''Developed by Ioannis Papadantonakis''

It is beyond any reasonable doubt that the ''Work Breakdown Structure (WBS)'' is an exceptionally useful tool for planning, estimating, scheduling and controlling any kind of project. The term WBS describes the procedure of subdivision of the project deliverables and workload into smaller more manageable segments. More specifically, “The WBS is a hierarchical decomposition of the total scope of work to be carried out by the project team to accomplish the project objectives and create the required deliverables.” (PMBOK® Guide-Fifth Edition, 2013, p. 126)<ref name="one">Project Management Institute. “A Guide to the Project Management Body of Knowledge (PMBOK® Guide)”- Fifth Edition, 2013, p.126</ref>

The purpose of this wiki-article is not only to thoroughly describe the capabilities and restrains of this method but also to provide guidance to ''project managers'' concerning the techniques that can be used for the effective implementation of project Work Breakdown Structures.

==Big Idea==

===Historical Retrospection===

The initial forms οf the Work Breakdown Structure (WBS) were developed by the U.S. Department of Defence (DoD) and the National Aeronautics and Space Administration (NASA) at the mid-1960s with a view to regulating projects which had the ultimate goal of enhancing military and space systems respectively. Moreover, the management of these projects was undertaken by a central administration office and many different industrial contractors were recruited in order to contribute to the accomplishment of the huge variety of tasks. So, the WBS tool was used to “…ensure that the total project is fully planned and that all derivative plans contribute directly to the desired objectives” (NASA, 1962). After two decades; namely in 1987 the Project Management Institute introduced the Project Management Book of Knowledge (PMBOK) which provided the necessary guidance on how work breakdown structures could be applied in any kind of project.<ref>Eric S. Norman, Shelly A. Brotherton, Robert T. Fried. “Work Breakdown Structures: The Foundation for Project Management Excellence”- John Wiley & Sons, 2008, p. 4-5</ref>

===Work Breakdown Structure Definition===

The WBS process is characterized by the disintegration of the project into separate segments with the aim of managing it in a more efficient and effective way. Furthermore, this practical tool facilitates many other project management procedures like scheduling, efficient resource allocation, monitoring and control of the project. Also, the Work Breakdown Structure provides a complete and clear view of the project scope and deliverables.<ref>Project Management Institute. “Practice Standard for Work Breakdown Structures”- Second Edition, 2011, p. 3</ref> In addition, it presents with clarity the total workload as determined by the scope statement of the project and analyzes the planned work at the lower levels, also known as work packages. With the help of work packages, the activities that contribute to the planning, assessment, supervision, and control of operations are grouped together.<ref name="one" />

===Work Breakdown Structure Framework===

The Work Breakdown Structure (WBS) consists of several layers which are grouped at the upper and lower levels. Below the composition of a typical WBS is described.

To begin with, the content of the upper WBS levels may vary depending on the type of project and the industry involved. More generally, the main areas of the project are included at these levels. Then we have the lower WBS elements which mainly focus on supporting specific project management processes such as schedule development, cost estimation, resource allocation and risk assessment. These levels are called ''Work Packages''. The official definition of the Work Package is: “A deliverable or project work component at the lowest level of each branch of the work breakdown structure. The work package includes the schedule activities and schedule milestones required to complete the work package deliverable or the project work component.” (PMBOK® Guide-Third Edition, 2004, p.380). Finalizing WBS is done by assigning each work package to a ''control account'' and creating a separate identifier for that work package. With the help of these identifiers, the hierarchical summation of the cost, schedule and resources is achieved. “A control account is a management control point where scope, budget, actual cost, and schedule are integrated and compared to the earned value for performance measurement.” (PMBOK® Guide-Fifth Edition, 2013, p.132). Each control account typically involves one or more work packages while each work package cannot be linked to more than one control account. Additionally, these management control points are associated with more than one planning package, which is part of the WBS under the control account with given work content but without specified detailed activities.<ref>Project Management Institute. “A Guide to the Project Management Body of Knowledge (PMBOK® Guide)”- Fifth Edition, 2013, p.132</ref>

===Work Breakdown Structure Key Features===

Some of the most important prerequisites for qualifying a WBS as qualitative and successful are listed below:
*A key feature of WBS is that it is deliverable oriented. In particular, a ''deliverable'' is defined as “Any unique and verifiable product, result or ability to perform a service that must be produced to complete a process, phase or project” (PMBOK® Guide-Third Edition, 2004, p.358). Therefore, the WBS should be aligned with the individual deliverables.
*A functional WBS is a hierarchical decomposition of the work. ''Decomposition'' is “a planning technique that subdivides the project scope and project deliverables into smaller more manageable components until the project work associated with accomplishing the project scope and providing the deliverables is defined in sufficient detail to support executing, monitoring, and controlling the work.” (PMBOK® Guide-Third Edition, 2004, p.358). In this way, a clear definition of the project scope is achieved with the use of independent sub-deliverables.<ref>Eric S. Norman, Shelly A. Brotherton, Robert T. Fried. “Work Breakdown Structures: The Foundation for Project Management Excellence”- John Wiley & Sons, 2008, p. 13</ref>
*An effective WBS manages to share the project scope with all the stakeholders.
*The work packages it contains should clearly identify the tasks that need to be performed with a view to delivering the work package deliverables.
*Another important prerequisite is the participation of experienced subject experts (SMEs) as well as skillful financial and business managers in its construction.
*It should follow a common course with the development of the project scope until the final definition of the scope.
*The WBS must be open to continuous improvements that may be needed after setting the project scope.<ref>Project Management Institute. “Practice Standard for Work Breakdown Structures”- Second Edition, 2011, p. 20</ref>

===Representation of the Work Breakdown Structure===

A WBS can be represented in a variety of ways in order to achieve its goal. Also, a particular WBS can have different forms in a given project. Below, a presentation of all the possible WBS forms and the implementation of them in a ''bicycle construction'' project is taking place.
*Outline View
One of the most common representations of the WBS is the ''Outline View''. In particular, there are numbered recesses for each level. The main tools used to construct outline views are word processors and spreadsheets. '''Figure 1''' depicts this form of representation.
Another version of the outline view is the use of simple numbering for different levels with a view to presenting the hierarchical structure of the WBS. '''Figure 2''' delineates this kind of Overline View.
The first form is a more descriptive representation of the WBS while space saving is achieved with the help of the latter.
<div><ul>
<li style="display: inline-block;"> [[File:Outline_View.png|thumb|none|308px|Figure 1: Outline View including recesses, inspired by the “Practice Standard for Work Breakdown Structures”-Second Edition (2011)]] </li>
<li style="display: inline-block;"> [[File:Outline_View_2.png|thumb|none|200px|Figure 2: Hierarchical Outline View, inspired by the “Practice Standard for Work Breakdown Structures”-Second Edition (2011)]] </li>
</ul></div>
*Tabular View
An equally common method of representing a WBS is the ''Tabular View''. The presentation of levels and hierarchy is done by using table columns. This representation is mainly used due to the absence of design tools.This kind of representation is described at '''Figure 3'''.
Another form of this kind of representation includes some additional cost and organizational information regarding each level. Usually, this type is found in governmental publications. Α con of this version is that it can display only a limited number of levels.'''Figure 4''' displays this Tabular View form.
<div><ul>
<li style="display: inline-block;"> [[File:Tabular_View_1.png|thumb|none|416px|Figure 3: Tabular View, inspired by the “Practice Standard for Work Breakdown Structures”-Second Edition (2011)]] </li>
<li style="display: inline-block;"> [[File:Tabular_View_2.png|thumb|none|300px|Figure 4: Tabular View, inspired by the “Practice Standard for Work Breakdown Structures”-Second Edition (2011)]] </li>
</ul></div>
*Tree Structure View
The ''Tree Structure'' or "Organizational Chart" is probably the most common way of representing the WBS. More specifically, the main feature of this structure is that the "child" elements are presented as boxes that are linked through lines with the "parent" elements of which they are components. With the help of this representation, the process of decomposing the project into increasingly smaller elements is prominently displayed. Usually, the overall project is placed at the top of the tree structure and below the various levels of decomposition continue as depicted at '''FIgure 5'''.
Another form of tree structure presentation involves placing the project on the left and decomposing the work to the right. An example of this kind of presentation is the ''horizontal orientation'' which is shown at '''Figure 6'''.
Another method of this representation is the ''Centralized Tree Structure'' where the project is at the centre of the layout and the decomposition of the levels is directed to the right and left. A prerequisite for developing this form is the use of appropriate software that takes into account the group interaction. This tree structure genre is described at '''Figure 7'''.
<div><ul>
<li style="display: inline-block;"> [[File:Tree_Structure_1.png|thumb|none|780px|Figure 5: Vertical Tree Structure View, inspired by the “Practice Standard for Work Breakdown Structures”-Second Edition (2011)]] </li>
<li style="display: inline-block;"> [[File:Tree_Structure_View_2.png|thumb|none|360px|Figure 6: Horizontal Tree Structure View, inspired by the “Practice Standard for Work Breakdown Structures”-Second Edition (2011)]] </li>
<li style="display: inline-block;"> [[File:Tree_Structure_3.png|thumb|none|660px|Figure 7: Centralized Tree Structure View, inspired by the “Practice Standard for Work Breakdown Structures”-Second Edition (2011)]] </li>
</ul></div>
*Enhanced Uses
The main feature of this representation is the provision of further information on the individual elements. The ''WBS dictionary'' is an example of an enhanced use of the WBS. More specifically, the WBS dictionary provides detailed definitions for all WBS items as well as information regarding the resources associated with the various tasks. A WBS Dictionary regarding the ''Bicycle Project'' is depicted at '''Figure 8'''.<ref> Project Management Institute. “Practice Standard for Work Breakdown Structures”- Second Edition, 2011, p. 52-63 </ref>
<div><ul>
<li style="display: inline-block;"> [[File:WBS_Dictionary.png|490px|thumb|none|470px|Figure 8: WBS Dictionary, inspired by the “Practice Standard for Work Breakdown Structures”-Second Edition (2011)]] </li>
</ul></div>

==Application==

===Creating WBS: Tools and Techniques===

====WBS Methods====

The creation of a WBS can be carried out with the help of a wide variety of methods. Some of the most common and important ones are presented and analyzed below.

=====Decomposition=====

With the help of the ''decomposition'' technique, the scope of the project and the project deliverables are subdivided into work packages. The greater the difficulty of effectively controlling the project is, the higher the level of decomposition becomes. Also, depending on the size and complexity of the project, the level of detail for the work packages is determined. The process of decaying the entire project into work packages includes the following activities:
*Determine and analyze both project deliverables and work related to them.
*Construction and analysis of WBS.
*Disintegration of the higher levels of WBS to more detailed lower-levels.
*Create and match the identification codes to the corresponding components of the WBS.
*Evaluation of the decomposition rate of the deliverables.<ref name="two">Project Management Institute. “A Guide to the Project Management Body of Knowledge (PMBOK® Guide)”- Fifth Edition, 2013, p.128</ref>

=====Expert Judgment=====

''Expert judgement'' is a very useful method which contributes to the procedure of analyzing the data needed to break down the project deliverables into more manageable pieces with a view to building an effective WBS. Specifically, this method addresses the technical characteristics of the scope of the project and aims to find the ideal way to dissolve the overall scope. The truth is that any group with relevant expertise and experience with a corresponding project is able to provide expert judgment. In addition, the expert judgment is available in the form of pre-defined standards, which are usually of an industrial nature and products of previous project experience. The project manager uses this practical and indispensable method in order to achieve the final breakdown of the project scope into the individual work packages, which in turn will contribute to the effective management of the project’s work.<ref name="two" />

=====Top-Down Method=====

The following steps describe the general ''top-down'' process for developing a WBS:
#Determination of the final products of the project. At this stage, the products that make the project successful are defined. A basic prerequisite for achieving the alignment between WBS and project requirements is the detailed overview of high-level project scope documents, examples of which are the ''Statement of Work'' and the ''Technical Requirements''.
#Determination of the project's main deliverables, which are of key importance for the development of the project but are not capable of satisfying the business needs by themselves.
#Decompose the main deliverables to the point of being easier to manage and control. The set of these independent WBS elements at each level should represent 100% of the work in the upper element. Also, each work package should not include more than one deliverable.
#Continuous improvement of WBS in order to satisfy stakeholders. In particular, the development of the WBS should be continued until there is a common understanding that the project will be successful and the implementation and control process will produce the desired result.<ref name="three">Project Management Institute. “Practice Standard for Work Breakdown Structures”- Second Edition, 2011, p. 29-30</ref>

=====Bottom-Up Method=====

The ''Bottom-Up'' process includes the following 6 steps:
#Identify all deliverables related to the project. If activities are proposed then their deliverables should be included but not the activities themselves. In this way, the whole effort will be presented. In addition, each work package must not include more than one deliverable.
#Grouping of associated work packages.
#Concentrate the deliverables to the next level (e.g. the parent level) in such a way that the sum of the elements of each level represents 100% of the work below it.
#After a group of related tasks has been assigned to a parent, a subgroup analysis should be performed to ensure that work has not been neglected.
#The process continues until all of the individual elements join a particular “parent” representing the project. Also, the complete response to the overall project scope should be checked.
#Continuous improvement and revision of the WBS until the project stakeholders recognize the project's feasibility and the fact that its implementation will lead to the desired results.<ref name="three" />

=====WBS (Organizational) Standards=====

An ''organizational WBS'' standard includes a set of principles that contribute to the creation of a WBS and is likely to include a form, enumeration plan, name agreement or necessary components. Most organizations with experience in project management have WBS standards. These standards ensure the creation of effective and integrated WBS for the company. Moreover, the use of these standards helps the promotion of consistency as WBS components are reused.<ref name="three" />

=====WBS Templates=====

A ''WBS template'' is either a WBS sample that includes hierarchy to some extent or a general WBS "container" which is modified according to the needs and requirements of each project. Organizations usually have different types of templates that respond to different types of projects and life cycles. With the help of WBS templates, consistency is achieved as in the case of WBS standards. However, special attention is needed when reusing existing components as any non-required deliverables should be removed in order to align the WBS with the project scope.<ref name="three" />

'''In conclusion''', the main difference between WBS standards and WBS templates in relation to Top-Down and Bottom-Up methods is that the former are based on the reuse of WBS components while the latter are methods of creating new WBSs.

====WBS Tools====

The tools that are available to the project manager in order to build and manage a WBS are abundant. Next, the features of the main tools, as well as the advantages and the drawbacks that accompany them are presented.

=====Coloured Sticky Notes=====

The first types of tools included the use of paper and pencil. A few years later the ''Coloured Sticky Notes'' appeared. Although this tool is not so technologically advanced, it is widely used today to organize and structure any WBS. This tool works as follows: the notes represent the project deliverables and are grouped on a whiteboard with the aim of successfully presenting the WBS hierarchical structure.

=====Project Management Scheduler=====

The most important feature of ''Project Management Scheduling'' tools is the fact that they integrate the WBS with the project schedule, which is very useful for the effective design of the project. However, these tools hide various dangers. In particular, the deliverables and project schedule elements are merged, making it difficult to separate them. Also, this tool often leads to the creation of task lists that do not give a clear picture of the work packages.

=====Spreadsheets=====

A quite useful tool for building a WBS is the ''Spreadsheet'' which is the ideal tool for creating ''Tabular WBS Views''. Among the main advantages of this tool is the ability to build and manage complex WBSs. However, spreadsheets do not offer a visual representation of the WBS.

=====Word Processor=====

The ''Word Processor'' is a very useful tool that makes it possible to use multiple WBS views, including the ''WBS Dictionary''. On the other hand, it is not suitable for the construction of complex WBSs.

=====Graphics Development=====

The ''Graphics Development'' tools are the ideal solution for the visual representation of the WBS. However, like Word Processor, they are not capable of creating large WBSs.

=====Enterprise Project Management (EPM)=====

Another WBS management tool is the ''Enterprise Project Management'' or ''EPM''. By using this, it is possible to integrate various aspects of the project, such as its scope and cost. Its drawbacks are the high level of complexity, the difficulty of applying it to a small-sized project and its high cost.<ref>Eric S. Norman, Shelly A. Brotherton, Robert T. Fried. “Work Breakdown Structures: The Foundation for Project Management Excellence”- John Wiley & Sons, 2008, p. 36-38</ref>

===The 100% Rule===

One of the most critical rules associated with all levels of a WBS, regardless of its type, is the ''100% Rule''. The aim of this rule is to achieve the effective creation of the WBS and to assess its disintegration. The exact definition is, “The next decomposition of a WBS element (“child” level) must represent 100 percent of the work applicable to the next higher (“parent”) element.” (Gregory T. Haugan “Effective Work Breakdown Structures”, 2002, Vienna, VA Management Concept, p.17). The main reason for the WBS existence is the need for clear identification of work packages and project activities. Therefore, the 100% rule is an indispensable tool linked to the successful outcome of the project. In addition, this rule corresponds to activity level. Specifically, the sum of the activities included in each work package should be equivalent to 100% of the total work required for each work package. So the project manager has the ability to thoroughly understand the overall work of the project as well as to check if the tasks required to complete the project are properly planned. All project teams are used to testing and often reviewing the WBS. Consequently, both the effectiveness and the degree of WBS integration are constantly monitored by the subject experts of each group. In addition, this very important rule determines the proper use of the bottom-up cost estimator, which gives a clear picture of both the cost of the individual activities and the work packages with a view to calculating the total cost of the project. Additionally, provided that the decomposition of the works follows the 100% rule, then all the activities related to the project will be determined before the project schedule is decided. As for the estimation of costs and resources, this will take place simultaneously with the project planning.<ref>Gregory T. Haugan “Effective Work Breakdown Structures”, 2002, Vienna, VA Management Concept, p. 17-19</ref>

====100% Rule Example====

Below, the structure of the WBS of the ''construction of a house'' is presented and analyzed according to the principles of the 100% rule.
As we can see from '''Figure 9''', the top level of the WBS consists of a deliverable, which is the construction of the house and at the same time the main objective of the project. Moving to the second level, the number of deliverables is increased to three. The sum of the work rate of these deliverables is 100%. Also, the points that characterize each element represent the effort required to achieve that goal. The third level, which is the lowest level of this WBS, includes activities that require a greater degree of disintegration. Finally, the decomposition process can be continued by the project manager until he obtains the desired data.
<div><ul> [[File:100%_Rule.png|thumb|none|600px|Figure 9: Work Breakdown Structure of the Construction of a House, inspired by www.workbreakdownstructures.com]] </li>
</ul></div>
==Limitations==

The use of the WBS includes some limitations that should be taken into account by the project manager when it is created. In particular, the work packages should not contain many details as this will delay the progress of the project and makes it difficult for the project manager to manage them. In addition, the WBS should be composed of deliverables rather than activities because various tasks required to obtain the deliverables are modified during the project while the deliverables are not without a change request. Another factor that should be taken into account by project managers is that WBS is not a plan or schedule but simply represents the breakdown of deliverables into work packages. Finally, particular attention should be paid to the fact that the WBS is not an Organizational Hierarchy Chart which provides an insight into the hierarchical structure of an enterprise.<ref>https://www.projectsmart.co.uk/pdf/work-breakdown-structure-purpose-process-pitfalls.pdf. Work Breakdown Structure (WBS). Micah Mathis. Project Smart. Retrieved 25 February 2018.</ref>

==References==
<references/>

==Annotated Bibliography==

''Project Management Institute. “A Guide to the Project Management Body of Knowledge (PMBOK® Guide)”- Fifth Edition, 2013''.

'''Annotation''': This guide feeds the reader with valuable information about managing a project properly. In addition, it analyzes several concepts that are pivotal to project management. This book also provides detailed information on the process of the project scope definition with the use of WBS as well as useful instructions on WBS construction tools and methods.

''Project Management Institute. “Practice Standard for Work Breakdown Structures”- Second Edition, 2011''.

'''Annotation''': This book helps the reader understand the features that make WBS efficient and of high quality. It also provides guidance on implementing WBS in real-life projects. Also, the following three operations are analyzed in this book: The process of constructing the original WBS format, the further development procedure and also the process of its effective implementation.

''Eric S. Norman, Shelly A. Brotherton, Robert T. Fried. “Work Breakdown Structures: The Foundation for Project Management Excellence”- John Wiley & Sons, 2008''.

'''Annotation''': The aim of this book is to enrich the knowledge of each project and program manager on how Work Breakdown Structures work. Therefore, it analyzes the process of developing a WBS and also implementing it in the context of any project. Furthermore, there are several new concepts for Work Breakdown Structures presented within this book.

[[Category:Work Breakdown Structure]][[Category:Selected Articles]][[Category:Purpose]][[Category:Scope]]

Benefits of systems engineering

2019-03-04T21:55:16Z

Karina: /* Big idea */

==Abstract==

Systems engineering is a method for developing systems in the field of computer, networking, communication, research and development. The customer and stakeholder’s needs are satisfied in a high quality, trustworthy, cost efficient and schedule compliant manner throughout a system’s entire life cycle. To manage this, seven steps are usually followed: state the problem, investigate alternatives, model the system, integrate, launch the system, assess performance and re-evaluate [1]. These steps will be discussed further in the article, but to give an introduction, here are the basic core concepts of systems engineering:

Basic core concepts:

* Understand the problem before you try to solve it
* Translate the problem into measurable requirements
* Examine all alternatives before selecting a solution
* Consider the total system life cycle
* Test the system before delivering it
* Document everything.

Because systems engineering is such a wide discipline, this article will give an overview of what systems engineering is, and how some of the main principles could be beneficial to project management. Project management practitioners struggle everyday with projects which is not the size or complexity as the big and complex projects from which the Project Management and Systems Engineering professional standards and methods are established. Many do not have the resources for this. In this article the management task is tried scaled down, in a way that a practitioner can use some of the concepts.

==Big idea==

Systems engineering is an interdisciplinary approach where the point is to enable successful systems. It focuses on how to design and manage complex systems over their life cycles. Logistics, coordination of different teams, testing and evaluation, design, reliability are issues which become difficult when dealing with large or complex projects. This is what systems engineering deals with. It deals with work-processes, optimization methods and risk management. It is a methodology where the customers’ needs, and functionality is defined early in the development cycle, before going into the design. The development of this successful system or solution is constantly re-evaluated throughout its execution. [1]

To do so, there is a framework, or methodology in systems engineering. This framework generally consists of three fundamental steps:

# '''Formulation of the problem.''' The needs and objectives of a client group are identified, and design alternatives or options are found.
# '''Analysis of the Alternatives.''' The design and options are evaluated.
# '''Interpretation and selection.''' The design and options are compared, and the most acceptable alternative is being chosen based on how these are valued by the client group.

[[File:formulation_analysis_interpretation.jpg]]

'''Figure 1''' Formulation- Analysis- Interpretation

[[File:a_graph_figure_one.jpg|thumb|Caption]]

As seen in the figure the three fundamental steps are iterative. So are the expansion of these three fundamental steps of systems engineering. The seven step process, which is the most useful expansion. These seven steps are further explained in the article. [2] In these seven steps design and development, validation and operation, quantitative risk assessment is gone through stage by stage. The focus through these phases is often on performance, testing, scheduling and costs. [3]

==Application==

The responsibility for the discipline of systems engineering is to create and execute a process to ensure that the customer and stakeholder’s needs are satisfied in a high quality, trustworthy, cost efficient and schedule compliant manner throughout a system’s entire life cycle. This process is often divided in these seven tasks:

# '''State the problem'''
# '''Investigate alternatives'''
# '''Model the system'''
# '''Integrate'''
# '''Launch the system'''
# '''Assess performance'''
# '''Re-evaluate'''

These seven tasks is not just repeated in this order. The functions are performed in an iterative manner.

[[File:a_seven_step_process.jpg]]

'''Figure 2''' The seven step process

'''State the problem'''. The problem statement should describe the top-level functions that the system must perform. Essential and preference requirements should be traceable to this problem statement. The problem statement should say what must be done and not how to do it. The customer’s requirements should be stated in functional or behavioural terms. It should be expressed in words or as a model. Operators, maintainers, suppliers, acquirers, owners, users, regulatory agencies, sponsors, manufacturers and other stakeholders will give input to the problem statement [1].

'''Investigate Alternatives'''. Several alternative design should be created and evaluated. This should be done to find the best solution, but also to reduce project risk. When investigating alternative designs, the problem statement is helped clarified. The evaluation of the designs should be based on performance, schedule, cost and risk figures of merit. To find the preferred alternatives, multicriteria decision-aiding techniques should be used. A method like this is necessary because no design is likely to be best on all figures of merit. This analysis should be redone when more data are available. The models should be constructed and evaluated, and prototypes should be built. At the end, the system should be tested [1].

'''Model the system'''. As the several alternatives should be investigated, there should also be models for most of the alternatives. For the preferred alternative the model should be expanded so that it can help manage the system throughout the complete life cycle. Some of the models that can be used are listed below:

* Physical analogues
* Analytical equations
* State machines
* Block diagrams
* Functional flow diagrams
* Object-oriented models
* Computer simulations
* Mental models

The models should be designed for creating a program, and a process for producing it. That is what systems engineering is. The process models make it easier to study scheduling changes, make PERT-charts and perform sensitivity analysis. Identify bottlenecks and fragmented activities and opportunities of cost improvement is some of the things that will be revealed when running the process and is why this is a good way to do it. [1]

'''Integrate'''. In systems engineering people with different disciplines shall work together. It is important to integrate these systems, businesses and people. Interaction is significant in systems engineering. Interfaces with subsystems has to be designed. These subsystems should work in that way that finished products should be sent to other subsystems. The feedback loops are easier to manage around individual systems, than around interconnected subsystems. Also, co-evolving systems must be integrated. This type of integration leads to efficient processes for the system. [1]

'''Launch the system'''. Launching the system means allowing the system to do what it was intended to do. The system should now produce outputs. It can mean to make things or to buy commercial off the shelf hardware or software. Now, the preferred alternative is designed in detail. The parts are built or bought, integrated and tested. Here humans will need to be trained for the tasks they are given. The process of producing the system is iterative and will go on until the optimal efficiency and effectiveness is achieved. [1]

'''Assess performance'''. The system must be evaluated, and figures of merit, technical performance measures and metrices are used. Figures of merit usually focuses on the product and are used to quantify necessities in the trade-off studies. To reduce risk during design and manufacturing, technical performance measures are used. Metrics are used to help manage a company’s processes. Measurement is important. Then you can control it and improve it. [1]

'''Re-evaluate'''. One very important tool in engineering is to use feedback to help control systems and improve performance. To re-evaluate outputs should be observed and the information should be used to modify the system, the inputs, the product or the process. [1]

==Project Management==

To see how project management can be inspired by the methodology of systems engineering it is necessary to investigate what project management is about. First, an explanation of what a project is. A project is temporary and has a start and end date. A project creates a unique product, service or result. A project manager works with a project team and stakeholders to find a good practice for the project. Processes, inputs, tools, techniques, outputs and life cycle phases must be determined. This is what a project manager should do, and these things can change depending on the type of project, so that it is important to have the knowledge to know what works for different types of projects. Project management should work in a way such that the projects are effective and efficient. The project management should help the organizations to several things: [4]

* Meet business objectives
* Satisfy stakeholder expectations
* Be more predictable
* Increase chances of success
* Deliver the right products at the right time
* Resolve problems and issues
* Respond to risks in a timely manner
* Optimize the use of organizational resources
* Identify, recover, or terminate failing projects
* Manage constraints (scope, quality, schedule, cost, resources)
* Balance the influence of constraints on the project
* Manage change in a better manner

A project manager should be able to make a project successful. The factors of a successful project is time, cost, scope and quality. If these things are all working out as they should, the project is considered successful [4]. This article will further discuss how some of the benefits of the framework in systems engineering can inspire project management to a successful project.

==Benefits of systems engineering==

As systems engineering is a discipline that is mostly developed for management of complex technical projects, the discussed benefit are them who can help a practitioner in project management in a smaller scale as well. Project management is about satisfying the customers, resolve problems and issues, deliver a product with good quality to the right time. To do so, it is important with good collaboration among the people that are working together on the project. It is important that the employees know what to do, how to do it, and when to do it. A process, tools and guidance are needed to make it less chaotic and stressful. Because systems engineering is dependent on the cooperation between different disciplines, interrelation among all the disciplines that work together is central and a big focus. Interrelation is a part of the seven steps and they focus on creating subsystems which leads to efficient processes for the system. Interrelation is important for the technology, but also for the employees. When the interrelation among the disciplines is good, people tend to work better together, and it is easier when there is a plan for it. Not only is it good for making high quality products, the work environment is also strengthened. The project manager should be a part of making this an easy progress for the employees, by having focus on it, and having a clear plan for it. [5]

Another thing that is in focus in systems engineering is the high-quality results. As stated in the seven steps, they spend time on stating the problem, describing it, and finding out the customers’ requirements. Planning is important here. By knowing what to do, because there is good planning and preparatory work, the employees will not be distracted by unclear tasks, which again leads to higher productivity and efficiency. This also leads to lower costs of a project, which is something that is highly valued in project management. Another reason why systems engineering should be efficient and productive is because of the re-evaluation. The re-evaluation make you learn from mistakes and finding out what is working and what is not. By establishing effective knowledge transfer and lessons learned, errors or inefficiency from earlier projects can be eliminated. Re-evaluation will also improve the product, and a high-quality product will be delivered. This should ensure the stakeholders satisfaction with the project management function, as it ensures alignment with the expected deliverables.

==Challenges in systems engineering==

The original domains of systems engineering are aerospace and military. These are expensive, long-lasting, safety and reliability critical systems with typically the government as acquiring organization. As consequence, the original systems engineering tends to be heavy, e.g. many documents, processes and bureaucratic [6]. Systems engineering can be too heavy for the not that complex projects, but then it is important to use the systems engineering framework as an inspiration.

The constantly changing requirements are also a challenge. Because of the continuous introduction of new technologies and priorities worldwide, the requirements are changing. If there is a lack of good communication between the ultimate user and the system developer, it can be a challenge and lead to misunderstandings of what the problem actually is. [7]

Because systems engineering is used for large-scale and complex problems, issues with risks and uncertainties involving future events, which are difficult to predict is a challenge. [2]

==Reflection==

There are some challenges in systems engineering, but these challenges are more for the complex systems. When using systems engineering in project, these challenges must be considered, but it is also easier to consider them in a smaller scale. As stated before, what the practitioners need, are advice on how to scale down the systems engineering way of thinking to something achievable. And this is what can be the challenges of using systems engineering in management for projects that are not that complex. This is what is discussed in the section above on benefits, where the systems engineering way of thinking can inspire the management methods, and what is important in managing projects.

The seven steps in systems engineering is iterative. This means that the systems engineering approach is very useful in for example spacecraft design, computer chip design, robotics and software integration. These are systems that all the time can be re-evaluated. In for instance the building industry, the buildings and bridges are built, and it is not easy to re-evaluate and then use this information in the same project. At least not in the very end. But it should be evaluated so that the knowledge can be carried on to the next project. In this way, systems engineering is useful in many disciplines, and in the seven steps, there are many good ways of working. Such as the planning, or problem stating, the interrelation and the re-evaluation. Because of these things, the company or team will be much more flexible and able to respond to a customer’s requirements much faster.

==Annotated bibliography==

'''[1] Incose, About systems engineering. From: https://www.incose.org/about-systems-engineering. Downloaded: 20.02.19'''
This is a web-source from Incose. It is a web site that is developed by members of the International Council on Systems Engineering. Here, it is possible to find further information of what systems engineering is all about and the current SE standards are linked to. The article named, about systems engineering is about the seven step process, which has been the main source of information.

'''[2] Sage P. Andrew, “Methodological Frameworks and Systems Engineering Processes” in Introduction to systems engineering. Canada: John Wiley & Sons, Inc.'''
The book is an introduction to what systems engineering is. In the chapter, methodological frameworks and systems engineering processes, the framework in systems engineering is explained, as the seven steps. Also some challenges of systems engineering is addressed here.

'''[4] Project Management Institute. “Introduction”, in Guide to the Project Management Body of Knowledge, sixth edition. Pennsylvania: Project Management Institute, 2017, 1. '''
This book is a guide on how to use tools in project management. It also explains what is important in project management. The main source of information in this book has been the first chapter, introduction where it is explained some fundamental elements as what a project is and the importance of a project manager.

'''[6] Gerrit, Jan Muller. Personal communication, 1st of March, 2019.'''
This source is from an e-mail with a professor, teaching in master of science in systems engineering in South-East Norway.

==Sources==

*[1] Incose, ''About systems engineering.'' From: https://www.incose.org/about-systems-engineering. Downloaded: 20.02.19
*[2] Sage, P. Andrew and Armstrong, JR, E. James, “Methodological Frameworks and Systems Engineering Processes” in ''Introduction to systems engineering.'' Canada: John Wiley & Sons, Inc, 2000, 46.
*[3] Online engineering program. ''What do systems engineers do.'' From: https://www.onlineengineeringprograms.com/faq/what-does-a-systems-engineer-do. Downloaded: 20.02.19
*[4] Project Management Institute. “Introduction”, in ''Guide to the Project Management Body of Knowledge, sixth edition.'' Pennsylvania: Project Management Institute, 2017, 1.
*[5] Burge Hughes Walsh Limited, ''Systems Engineering People.'' From: https://www.burgehugheswalsh.co.uk/Systems-Engineering/People.aspx. Downloaded: 21.02.19
*[6] Gerrit, Jan Muller. Personal communication, 1st of March, 2019.
*[7] Blanchard S. Benjamin and Blyler E. John. “Introduction to System Engineering” in ''System Engineering Management, 5th edition.'' Canada: John Wiley & Sons, Inc, 2016,1.

'''Figures'''

# Sage, P. Andrew and Armstrong, JR, E. James, “Methodological Frameworks and Systems Engineering Processes” in ''Introduction to systems engineering.'' Canada: John Wiley & Sons, Inc, 2000, 51.
#

2019-03-04T20:54:44Z

Karina: /* Contractual Overview and Legal Specifications */

==Abstract==

The purpose of this article is to assess the importance and the procedure of applying due diligence as a measure to evaluate financially, technically and legally a wind farm asset. When an investor is interested in acquiring a certain asset or obtaining a loan for development of a project, he needs to be aware of the risks, costs and benefits that might be laying under a hypothetically healthy investment. This is the reason why, especially when the funds are sourced from a bank or a financial institution, due diligence might be held from an independent third party with the scope of providing subjective judgement. Or even as an equity holder or project owner, a thorough mitigation of all the risks involved is suggested in order to assess the viability of a project, enabling clients to make a fully informed decision before investing any money <ref name="one">http://www.renewableenergyfocus.com/view/19361/spotlight-on-due-diligence-for-wind-power/</ref>.

Many consultancy companies that take action in the development, construction and operations phase of wind farm assets provide this kind of service as well and usually are assigned to deliver the due diligence report. When it is being held in the preconstruction phase, it helps determine and ensure the timeframes of the project. The more aspects this process covers, the more secure can the finance and loan conditions be considered since the quality and amount of information processed is enhanced leading to wise decision making. It is considered a good business practice with the data acquired contributing to a secure and safe lifecycle.

Due diligence is instantly related to project management since it establishes the foundations for a safe and efficient development, operation, management and strategy from the side of the investors. Every project needs a coordinated effort by a team of engineers to apply their experience and knowledge on assessing it and evaluating it. Emphasis is given in addressing all the key figures and risks when applying a due diligence practice. The clarification of this method through this article can strongly benefit investors and lenders in need of bridging their financial but also the managers, by securing their strategical planning, minimizing the risks and handling successfully their portfolio (2).

==Why Due Diligence?==

It is a legal and business term meaning “reasonable investigation” and is defined by the constitution. When brokers or consultants are accused of inadequate disclosure to investors of material information that define a project when it comes to selling equities, due diligence defence is used to prove the integrity of their position. In addition, this method is used to compare different projects mostly regarding costs and schedules, so the budget will not irrationally be over exceeded.

When it comes to wind farm assets, specific aspects raise awareness which include possible overestimation of production, unreal performance, deficient maintenance, unclear operational agreements, missing log files, misused equipment, lower operational costs or legal obstacles (3). Environmental standards should be met, social impact of the problem taken into account, thorough investigation of the affected stakeholders of a particular project be done and the profitability of it calculated with realistic uncertainty.

To scale it down, this method has been sufficiently determined as a combination of risk assessment, character and performance checks involving the third parties related to the project along with feasibility studies <ref name="one"></ref>. That way it is possible to achieve lower interest rates and better insurance conditions for a project.

==Performance Evaluation==

The main factor that is used to evaluate a potential wind energy project or an existing one is the meteorological conditions that take place in the specific area of interest. Strong and stable winds indicate an investment opportunity with safe financial figures like positive Net Present Value and Return of Investment higher than the interest rate. Those winds that define a site are extracted from a thorough Wind Resource Assessment using advanced numerical analysis tools which include linear or Computational Fluid Dynamics based software packs. The target is to determine the net yield of a wind farm, the probability of wind availability, the fluctuations in production and the loads that the turbines are expected to undergo (Wind Classification) (7).

The initial phase is to define the measurement campaign as reliable, appropriate and standard complying. Next step is to assess those measurements taking into account the micro-meteorology of the site using the tools mentioned above and finally introduce safe uncertainties estimation and technical losses factors. It is of high importance to compare actual performance with the theoretical turbine efficiency since various power boost and optimization programs have been launched by the manufacturers in order to promise higher performance (7). IEC compliance and discrepancy investigation ought to be carried out to ensure the turbines are performing according to their standards because complex winds and harsh weather conditions (extreme heatness, below zero conditions, sand, sea salt, degradation) shorten the efficiency of the blades.

Downscaling to key performance figures which are crucial in a due diligence report, the ‘exceedance cases’ of the Wind Resource Assessment play a major role in defining the willingness for bankability. Representing the minimum estimated production for 50% of the time (P50) and for 90% of the time (P90), those values will give safe results along with extra liquidity and easiness of financing with promising values of the ‘exceedance cases’.

Since the turbine costs accounts for approximately the 75% of the project, suppliers and companies involved in the project as subcontractors or third parties are being brought to the due diligence spotlight, especially for offshore where the costs double and further assessment should be conducted. If the erecting of the wind turbines comes with committed services and offers from the supplier, comfort and security will have higher chances to appear since the supplier shares his knowledge of his product for the first years obtaining responsibilities in the project also in the operational phase (1).

It is important for the lenders to check the creditworthiness of the participating supplies due to the fact that strong financial platforms mean lower potential warranty problems and honor availability guarantees. Experienced, well-established equipment providers who are directly related to good reputation and broad portfolio can contribute in bridging potential finance gaps with financial institutions and creditability agencies.
The profitability and safety between short-term and long-term service contractual agreements should be investigated because most of the supplies of the turbines offer those packages in the early phase of the project. The service provider should be consistent and on alert to optimize the availability of the turbines along with minimising the operation & management costs.

==Financial Assessment==

Renewables are playing a bigger role year by year in the markets and cause increased capital accumulation in their whole supply chain along with all the services that surround the facilities. Capital intensive investments might lead developers to not being able to finance a project through their capital reserves, causing them to turn to other financing options. Many types exist like Corporate Finance and Capital Market Finance but the most usual is the Project Finance scheme provided by banks that require a detailed due diligence from the investor’s side, developing and contributing with his own equity which determines the liability of the company. Similar to any other business sector, renewable energy facilities might change ownership during their lifecycle or might need to be certified that they follow the standards.

The financing form is chosen according to the maturity of the financial sector, the energy market and the project developer’s experience. Afterwards the loan is paid back by the generated, stable and forecastable cash flows, coming ideally from a reliable public support scheme or a long-term power purchasing agreement. That is why, renewable energy facilities are being developed mostly in countries with stable political situation which have established a supporting background for “green technologies” penetration (4).

The bank takes into account the expected cash flows generated annually and the risks of the project in order to approach the reliability and projectability of the future cash flows. Those financial risks during the planning phase are identified in the wind resource availability, the situation of the insurance services in the country, the feed-in tariff and the electricity spot price. The feasibility study takes place with the scope of investigating on an annual base the cash available for debt service, the equity cash flow and the key financial project ratios (4). Prevailing market price methodology is also applied to verify the prices of the equipment provided by manufacturers or retailers (1). A very used method from banks nowadays is to gather multiple balance sheet projects in a single portfolio and arrange a loan that will cover it entirely due to the emerging number of involved companies in the sector (5).

==Environmental Considerations==

The Environmental Impact Assessment will need to be revisited due to the trendline of the few past years of banks adopting environmental and social policies. By following strictly the legislation, the environmental liability regime of the host country and the past actions of the project sponsors, additional unforeseen costs can be reduced that could occur due to lack of environmental compliance (1). Including a strategy for decommissioning after the lifecycle of the plant, contributes positively to reducing the risks of local opposition.

It is becoming more and more important when developing a project or obtaining the ownership of one, to apply environmental risk management. Some key aspects will be addressed underneath following the procedure of risk identification, assessment and finally treatment:

• Impacts on asset values: Cleaner materials and energy efficient practices lead to increased value of investment. The opposite happens due to contamination or environmental obsolescence of equipment.

• Inability of borrowers to repay loans: Increased taxation and limitations to emissions or cleanup procedures might lead to fines and penalties if not followed according to the standards.

• Lender or investor liability: Environmental violations trigger the authorities to investigate on the causer. This is not something in favor of the investor or lender so the limits should be clarified especially when it come to obtaining a wind farm asset.

• Reputation impacts: Poor environmental performance might affect the public image, market position and future business of the possible lender or investor (6).

==Contractual Overview and Legal Specifications==

A very important notice is whether or not a wind farm asset is being developed, operated and managed inside legal limitations. The tailor-made due diligence team that is going to focus on the project is summoned to review all the relevant contracts to ensure there are no technical risks and everything is under compliance. Among others that should be reviewed are the turbine certifications, the electrical design parameters, the grid compatibility, building permissions, remuneration and the power purchase agreements (6).

The risks that are being taken into account during the due diligence procedure regarding contracts involve the following:
[[File:Loipon.png|right]]

''Financing phase''

• Project finance loan agreement

• Shareholder agreement

• Manufacturer’s market share

• How broadly is the specific technology used or proven?

''Investment phase''

• Engineering, procurement and construction contractor (EPC)

• Turbine supply agreement

• Balance of Power contract (BoP)

• Grid connection and usage agreement

''Operating phase''

• Power Purchase Agreement (PPA)

• Land rights contracts

• Operation & Maintenance Agreements

• Insurance contracts (4)

==Stakeholders Approach==

An impartial overview of the stakeholders involved in the project should be done since a wind energy facility affects many different groups of people. The highest risk spotted here would be the existence of strong opposition local groups, environmental organisations or local authorities who would protest against the construction of a wind farm in their area. These are facts that should be acknowledged by the investor or lender since these groups could delay a lot the project or demand high compensations. Relevant risk treatment and mitigation measures should be designed. In case a project is already operating but changes ownership, the scenario of expanding the capacity of the wind farm or switching to repowering after its lifecycle ends, could crash into many barriers by the above stakeholders.

==Decision-making for project management==

As described in the previous paragraphs, a good due diligence practice can minimize the risks of a potential project or investment in an existing and establish a “sterilized” background for action. Project managers and financing stakeholders are always on alert regarding the achievement of their benefits since they might be fragile or uncertain. Due diligence is a tool that could be considered the right hand of project management, enabling the persons above to proceed to a wise decision-making while securing their interests.

Lack of due diligence might lead to project implementations which occur through organizational changes, absence of a testing phase due to a delayed schedule or enthusiasm for delivering new projects without acknowledging the outcomes of the initial one. Failure of achieving the goals, declining budgets and unhappy customers are only some of the consequences followed by a shallow and hurried project design (10).

==Barriers in Due Diligence==

Like in every procedure, some obstacles can define them and set the alarm for future improvement. Regarding due diligence, there has been spotted lack of specific technical expertise for the performance since it sometimes requires proper training and only big corporations might be in position of accepting this task. Perception barriers due to insufficient level of knowledge from wind farm investors who can be detected in non-corporate frames and develop collaborative small-scale distributed projects. Information availability is uncertain as well while all documentation might be hard to obtain. Lack of governmental and other institutional support might not motivate potential developers or lenders to undergo this procedure with integrity, especially in developing countries. Being a capital-intensive type of investment, a renewable energy investor might judge transaction costs as being too high for review procedures (8).

==Bibliography==
<references />

1) http://www.renewableenergyfocus.com/view/19361/spotlight-on-due-diligence-for-wind-power/

2) https://www.ae911truth.org/project-due-diligence

3) https://en.wikipedia.org/wiki/Due_diligence

4) https://d2oc0ihd6a5bt.cloudfront.net/wp-content/uploads/sites/837/2017/06/2_Project-structure-and-financing-sources-for-wind-farms-.pdf

5) https://www.wind-energy-the-facts.org/index-45.html

6) https://www.dewi.de/dewi_res/index.php?id=12

7) https://www.k2management.com/services/due-diligence

8) http://lup.lub.lu.se/luur/download?func=downloadFile&recordOId=1324773&fileOId=1324774

Benefits of systems engineering

2019-03-04T20:51:52Z

Karina: /* Application */

==Abstract==

Systems engineering is a method for developing systems in the field of computer, networking, communication, research and development. The customer and stakeholder’s needs are satisfied in a high quality, trustworthy, cost efficient and schedule compliant manner throughout a system’s entire life cycle. To manage this, seven steps are usually followed: state the problem, investigate alternatives, model the system, integrate, launch the system, assess performance and re-evaluate [1]. These steps will be discussed further in the article, but to give an introduction, here are the basic core concepts of systems engineering:

Basic core concepts:

* Understand the problem before you try to solve it
* Translate the problem into measurable requirements
* Examine all alternatives before selecting a solution
* Consider the total system life cycle
* Test the system before delivering it
* Document everything.

Because systems engineering is such a wide discipline, this article will give an overview of what systems engineering is, and how some of the main principles could be beneficial to project management. Project management practitioners struggle everyday with projects which is not the size or complexity as the big and complex projects from which the Project Management and Systems Engineering professional standards and methods are established. Many do not have the resources for this. In this article the management task is tried scaled down, in a way that a practitioner can use some of the concepts.

==Big idea==

Systems engineering is an interdisciplinary approach where the point is to enable successful systems. It focuses on how to design and manage complex systems over their life cycles. Logistics, coordination of different teams, testing and evaluation, design, reliability are issues which become difficult when dealing with large or complex projects. This is what systems engineering deals with. It deals with work-processes, optimization methods and risk management. It is a methodology where the customers’ needs, and functionality is defined early in the development cycle, before going into the design. The development of this successful system or solution is constantly re-evaluated throughout its execution. [1]

To do so, there is a framework, or methodology in systems engineering. This framework generally consists of three fundamental steps:

# '''Formulation of the problem.''' The needs and objectives of a client group are identified, and design alternatives or options are found.
# '''Analysis of the Alternatives.''' The design and options are evaluated.
# '''Interpretation and selection.''' The design and options are compared, and the most acceptable alternative is being chosen based on how these are valued by the client group.

[[File:formulation_analysis_interpretation.jpg]]

As seen in the figure the three fundamental steps are iterative. So are the expansion of these three fundamental steps of systems engineering. The seven step process, which is the most useful expansion. These seven steps are further explained in the article. [2] In these seven steps design and development, validation and operation, quantitative risk assessment is gone through stage by stage. The focus through these phases is often on performance, testing, scheduling and costs. [3]

==Application==

The responsibility for the discipline of systems engineering is to create and execute a process to ensure that the customer and stakeholder’s needs are satisfied in a high quality, trustworthy, cost efficient and schedule compliant manner throughout a system’s entire life cycle. This process is often divided in these seven tasks:

# '''State the problem'''
# '''Investigate alternatives'''
# '''Model the system'''
# '''Integrate'''
# '''Launch the system'''
# '''Assess performance'''
# '''Re-evaluate'''

These seven tasks is not just repeated in this order. The functions are performed in an iterative manner.

[[File:a_seven_step_process.jpg]]

'''State the problem'''. The problem statement should describe the top-level functions that the system must perform. Essential and preference requirements should be traceable to this problem statement. The problem statement should say what must be done and not how to do it. The customer’s requirements should be stated in functional or behavioural terms. It should be expressed in words or as a model. Operators, maintainers, suppliers, acquirers, owners, users, regulatory agencies, sponsors, manufacturers and other stakeholders will give input to the problem statement [1].

'''Investigate Alternatives'''. Several alternative design should be created and evaluated. This should be done to find the best solution, but also to reduce project risk. When investigating alternative designs, the problem statement is helped clarified. The evaluation of the designs should be based on performance, schedule, cost and risk figures of merit. To find the preferred alternatives, multicriteria decision-aiding techniques should be used. A method like this is necessary because no design is likely to be best on all figures of merit. This analysis should be redone when more data are available. The models should be constructed and evaluated, and prototypes should be built. At the end, the system should be tested [1].

'''Model the system'''. As the several alternatives should be investigated, there should also be models for most of the alternatives. For the preferred alternative the model should be expanded so that it can help manage the system throughout the complete life cycle. Some of the models that can be used are listed below:

* Physical analogues
* Analytical equations
* State machines
* Block diagrams
* Functional flow diagrams
* Object-oriented models
* Computer simulations
* Mental models

The models should be designed for creating a program, and a process for producing it. That is what systems engineering is. The process models make it easier to study scheduling changes, make PERT-charts and perform sensitivity analysis. Identify bottlenecks and fragmented activities and opportunities of cost improvement is some of the things that will be revealed when running the process and is why this is a good way to do it. [1]

'''Integrate'''. In systems engineering people with different disciplines shall work together. It is important to integrate these systems, businesses and people. Interaction is significant in systems engineering. Interfaces with subsystems has to be designed. These subsystems should work in that way that finished products should be sent to other subsystems. The feedback loops are easier to manage around individual systems, than around interconnected subsystems. Also, co-evolving systems must be integrated. This type of integration leads to efficient processes for the system. [1]

'''Launch the system'''. Launching the system means allowing the system to do what it was intended to do. The system should now produce outputs. It can mean to make things or to buy commercial off the shelf hardware or software. Now, the preferred alternative is designed in detail. The parts are built or bought, integrated and tested. Here humans will need to be trained for the tasks they are given. The process of producing the system is iterative and will go on until the optimal efficiency and effectiveness is achieved. [1]

'''Assess performance'''. The system must be evaluated, and figures of merit, technical performance measures and metrices are used. Figures of merit usually focuses on the product and are used to quantify necessities in the trade-off studies. To reduce risk during design and manufacturing, technical performance measures are used. Metrics are used to help manage a company’s processes. Measurement is important. Then you can control it and improve it. [1]

'''Re-evaluate'''. One very important tool in engineering is to use feedback to help control systems and improve performance. To re-evaluate outputs should be observed and the information should be used to modify the system, the inputs, the product or the process. [1]

==Project Management==

To see how project management can be inspired by the methodology of systems engineering it is necessary to investigate what project management is about. First, an explanation of what a project is. A project is temporary and has a start and end date. A project creates a unique product, service or result. A project manager works with a project team and stakeholders to find a good practice for the project. Processes, inputs, tools, techniques, outputs and life cycle phases must be determined. This is what a project manager should do, and these things can change depending on the type of project, so that it is important to have the knowledge to know what works for different types of projects. Project management should work in a way such that the projects are effective and efficient. The project management should help the organizations to several things: [4]

* meet business objectives
* satisfy stakeholder expectations
* be more predictable
* increase chances of success
* deliver the right products at the right time
* resolve problems and issues
* respond to risks in a timely manner
* optimize the use of organizational resources
* identify, recover, or terminate failing projects
* manage constraints (scope, quality, schedule, cost, resources)
* balance the influence of constraints on the project
* manage change in a better manner

A project manager should be able to make a project successful. The factors of a successful project is time, cost, scope and quality. If these things are all working out as they should, the project is considered successful [4]. This article will further discuss how some of the benefits of the framework in systems engineering can inspire project management to a successful project.

==Benefits of systems engineering==

As systems engineering is a discipline that is mostly developed for management of complex technical projects, the discussed benefit are them who can help a practitioner in project management in a smaller scale as well. Project management is about satisfying the customers, resolve problems and issues, deliver a product with good quality to the right time. To do so, it is important with good collaboration among the people that are working together on the project. It is important that the employees know what to do, how to do it, and when to do it. A process, tools and guidance are needed to make it less chaotic and stressful. Because systems engineering is dependent on the cooperation between different disciplines, interrelation among all the disciplines that work together is central and a big focus. Interrelation is a part of the seven steps and they focus on creating subsystems which leads to efficient processes for the system. Interrelation is important for the technology, but also for the employees. When the interrelation among the disciplines is good, people tend to work better together, and it is easier when there is a plan for it. Not only is it good for making high quality products, the work environment is also strengthened. The project manager should be a part of making this an easy progress for the employees, by having focus on it, and having a clear plan for it. [5]

Another thing that is in focus in systems engineering is the high-quality results. As stated in the seven steps, they spend time on stating the problem, describing it, and finding out the customers’ requirements. Planning is important here. By knowing what to do, because there is good planning and preparatory work, the employees will not be distracted by unclear tasks, which again leads to higher productivity and efficiency. This also leads to lower costs of a project, which is something that is highly valued in project management. Another reason why systems engineering should be efficient and productive is because of the re-evaluation. The re-evaluation make you learn from mistakes and finding out what is working and what is not. By establishing effective knowledge transfer and lessons learned, errors or inefficiency from earlier projects can be eliminated. Re-evaluation will also improve the product, and a high-quality product will be delivered. This should ensure the stakeholders satisfaction with the project management function, as it ensures alignment with the expected deliverables.

==Challenges in systems engineering==

The original domains of systems engineering are aerospace and military. These are expensive, long-lasting, safety and reliability critical systems with typically the government as acquiring organization. As consequence, the original systems engineering tends to be heavy, e.g. many documents, processes and bureaucratic. [6]. Systems engineering can be too heavy for the not that complex projects, but then it is important to use the systems engineering framework as an inspiration.

The constantly changing requirements are also a challenge. Because of the continuous introduction of new technologies and priorities worldwide, the requirements are changing. If there is a lack of good communication between the ultimate user and the system developer, it can be a challenge and lead to misunderstandings of what the problem actually is. [7]

Because systems engineering is used for large-scale and complex problems, issues with risks and uncertainties involving future events, which are difficult to predict is a challenge. [2]

==Reflection==

There are some challenges in systems engineering, but these challenges are more for the complex systems. When using systems engineering in project, these challenges must be considered, but it is also easier to consider them in a smaller scale. As stated before, what the practitioners need, are advice on how to scale down the systems engineering way of thinking to something achievable. And this is what can be the challenges of using systems engineering in management for projects that are not that complex. This is what is discussed in the section above on benefits, where the systems engineering way of thinking can inspire the management methods, and what is important in managing projects.

The seven steps in systems engineering is iterative. This means that the systems engineering approach is very useful in for example spacecraft design, computer chip design, robotics and software integration. These are systems that all the time can be re-evaluated. In for instance the building industry, the buildings and bridges are built, and it is not easy to re-evaluate and then use this information in the same project. At least not in the very end. But it should be evaluated so that the knowledge can be carried on to the next project. In this way, systems engineering is useful in many disciplines, and in the seven steps, there are many good ways of working. Such as the planning, or problem stating, the interrelation and the re-evaluation. Because of these things, the company or team will be much more flexible and able to respond to a customer’s requirements much faster.

==Annotated bibliography==

'''[1] Incose, About systems engineering. From: https://www.incose.org/about-systems-engineering. Downloaded: 20.02.19'''
This is a web-source from Incose. It is a web site that is developed by members of the International Council on Systems Engineering. Here, it is possible to find further information of what systems engineering is all about and the current SE standards are linked to. The article named, about systems engineering is about the seven step process, which has been the main source of information.

'''[2] Sage P. Andrew, “Methodological Frameworks and Systems Engineering Processes” in Introduction to systems engineering. Canada: John Wiley & Sons, Inc.'''
The book is an introduction to what systems engineering is. In the chapter, methodological frameworks and systems engineering processes, the framework in systems engineering is explained, as the seven steps. Also some challenges of systems engineering is addressed here.

'''[4] Project Management Institute. “Introduction”, in Guide to the Project Management Body of Knowledge, sixth edition. Pennsylvania: Project Management Institute, 2017, 1. '''
This book is a guide on how to use tools in project management. It also explains what is important in project management. The main source of information in this book has been the first chapter, introduction where it is explained some fundamental elements as what a project is and the importance of a project manager.

'''[6] Gerrit, Jan Muller. Personal communication, 1st of March, 2019.'''
This source is from an e-mail with a professor, teaching in master of science in systems engineering in South-East Norway.

==Sources==

*[1] Incose, About systems engineering. From: https://www.incose.org/about-systems-engineering. Downloaded: 20.02.19
*[2] Sage, P. Andrew and Armstrong, JR, E. James, “Methodological Frameworks and Systems Engineering Processes” in Introduction to systems engineering. Canada: John Wiley & Sons, Inc, 2000, 46.
*[3] Online engineering program. What do systems engineers do. From: https://www.onlineengineeringprograms.com/faq/what-does-a-systems-engineer-do. Downloaded: 20.02.19
*[4] Project Management Institute. “Introduction”, in Guide to the Project Management Body of Knowledge, sixth edition. Pennsylvania: Project Management Institute, 2017, 1.
*[5] Burge Hughes Walsh Limited, Systems Engineering People. From: https://www.burgehugheswalsh.co.uk/Systems-Engineering/People.aspx. Downloaded: 21.02.19
*[6] Gerrit, Jan Muller. Personal communication, 1st of March, 2019.
*[7] Blanchard S. Benjamin and Blyler E. John. “Introduction to System Engineering” in System Engineering Management, 5th edition. Canada: John Wiley & Sons, Inc, 2016,1.