Project Health Indicators can be a great way to quickly see how is the project is going. While there any softwares out there that may have one. I have not been able to understand what factors are taking into consideration when determining the health of a project.
For example let's say we have a red, yellow and a green icon.
What factors in your opinion should or will decide the health of a project.
Perhaps budget over 70% and only 20% tasks completed or perhaps
2 days left and only 20% of tasks completed or perhaps
What would be 4 factors that in your opinion can affect the health of a project? Saving Changes...
RYG are subjective indicators and I've seen executives try to game the numbers to get the right color. I prefer to present the underlying KPIs themselves.
You always want a combination of quantitative (e.g. EVM) and qualitative (e.g. team and stakeholder satisfaction) metrics, and you should look at both percentage and magnitude values for the quantitative metrics (e.g. above 10% OR $1MM over budget).
The first and simpliest way is to use project baselines and actual deviations from those baselines. You can set the thresholds for each baseline for Yellow and Red signals. It is easy to indicate the health of schedule and budget in such way.
Next step (more difficult) is to measure and indicate the deviation from the Scope baseline.
Next possible parameters to measure and indicate are:
- actual sum under the risks (also with thresholds) (here I suggest the sum of losses multiplied by the probability for each actual risk)
- the alignement to the strategy (for example, the approveness of alignment to the benefits delivery plan gained at the most recent gate between the phases)
- different quality metrics for interim deliverables and for the project outcomes.
Addition to KPI we can use the Dashboards and Scorecards for performance reports.
and using RYG colors.
You remember the techniques which using for Probability and Impact Matrix with scale
(1 to 10) which used the probability * Impact then we consider the RED and Yellow colors and put the green color at watch list.
We can do a similar technique with (Cost,scope and schedule=Triple constraint ) or let use the 6 competent factors =six constraint ( Cost, scope,schedule, risk,quality and resource).but here you should give a weighted points for scale (1-to 10).