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Planview Customer Success Center

Resource Capacity Planning

Definition

This capability provides the mechanism to set resource capacity time-phased targets at the relevant organizational level, i.e., division, business unit, department.

Business Outcomes

Capacity Targets

  • We can set organizational resource capacity targets against which in-flight and potential new investments can be balanced

Demand Resource Planning

  • We can forecast the effort required to deliver potential new investments, expressing this demand against the relevant named resource

Capacity and Demand Balancing

  • We can assess our ability to successfully deliver potential new investments against resource capacity targets available to the organization

  • We can analyze the impact of new investments on resource capacity within the context of the existing portfolio of approved investments

  • We can schedule investments across time to optimize the use of resources

  • We can quickly identify capacity constraints as investments are approved and reallocate resources to high priority investments

Process Flow

           

           

Click a process step shape inside a light blue area for more information; hover for a quick view of the definition

           

                   

           

Capacity Targets Demand Resource Planning Capacity and Demand Balancing

Resource Capacity Planning Process Flow

           

 

           

Capacity Targets Process Steps

Capacity targets will have been set as part of the CBS1 (cost center) financial management process, specifically the budgeting stage (as highlighted below):

           

           

Click a process step shape inside a light blue area for more information; hover for a quick view of the definition

           

                   

           

clipboard_ea81bce726e859f8a23c7939b504ca7e7.pngEnter Labor Capacity

Capacity targets are set in the CBS1 (cost center) Planning process flow

           

Process Step Description
Enter labor capacity

Creating and managing  financial targets/budget incudes analysis of investments by comparing available Capacity (which can be in the form of resource capacity or financial a budget against what is required) versus Demand (derived by the forecast of programs in the portfolio).

To carry out portfolio investment and capacity planning, it is essential that an accurate recording of target budget and resource capacity is captured within Planview Enterprise One – PRM. To do so, planners enter the budget and resource capacity targets into the financial plan for the relevant capacity entities (in this case, CBS1 Cost Center), against which demand financial plans can be balanced (in this case, Work). Analyzing the demand versus the capacity data for the portfolio lets an organization ensure the right resources are available at the right time, and that they stay within available budgets for labor and non-labor costs.

           

Conceptual example of capacity and demand financial plans

           

In terms of resource capacity targets, this will be in the form of high level resource costs (budget) against the relevant labor account lines in the work financial plan. This can be done by navigating to the relevant work entity directly, or via a work portfolio, and accessing the financial plan via the action menu (the action menu).

           

NOTE

When directly accessing the capacity entity financial plan, ensure that the financial version you are updating matches the capacity financial version used for planning (as defined when Creating Planning Portfolios). 

           

Alternatively, capacity budgets and targets can also be managed from within a planning portfolio. Capacity Portfolio Manager shows a summarized capacity total broken down by the capacity slicer in the portfolio definition and also allows planners to drill into the financial plans for each individual capacity entity. 

For more information, see the following articles:

           

           

Demand Resource Planning Process Steps

Demand Resource Planning takes place in the Work menu of Planview Enterprise One – PRM.

           

clipboard_ece8f00044d90fc9a957a0f89d85962da.pngDefine project schedule Plan resources Assign resources

Demand targets are set in the Work Planning process flow and revised in Resource Management and Assignments 

           

Process Step Description
Define project schedule

The Project Schedule (Work Breakdown Structure) is considered any elements of the Work Breakdown Structure below the project level in the hierarchy, this includes the project phases, milestones and activities. Project Schedule consists of phases and tasks with, dates, durations and categorizations with the ability to add the relevant associated resource assignment information to produce a full plan of the project delivery.

The purpose of this step is to define the work breakdown structure to form the basis of the project schedule.

Define High Level Schedule - Lifecycle Templates and Manual Entry

The first action in creating the schedule is to define the high-level project phases and milestones to start building out the skeleton of the project.To automatically populate the schedule with a predefined template to form an outline of the project to start building from attributes in a project lifecycle to trigger the population of predefined WBS templates.


The WBS template acts as the starting basis of the schedule which can then be edited to form a high level plan, including the dates and duration of the project and the subsequent phases. The work owner should be modifying, extending, removing and adding additional components of work in the schedule where necessary to define the high level schedule of work. Templates can be also be configured to include role based resource demand in the form of requirements, see the Plan Resources step to understand more about creating resource demand in the schedule. 

Requested Start dates should be used to drive the start date of the inserted predefined schedule template.

The work owner can create and modify the components of work in the schedule to define the high level schedule of work. 

High Level Milestones can be added to the plan at this point and classified accordingly.  These may also be included in the template.

Mature Planning

The next action is to detail out work breakdown structure with activities

A detail plan provides a more granular view of tasks and milestones that need completing in order for the project to progress.  These can then be used to forecast the resource demand necessary to complete the outlined work in the next step in the capability map.

Any unwanted activities from the template should be removed, renamed or moved to a more suitable location in the schedule. 

The schedule should be populated with a more granular level of detail by adding activities under the phase level.  Based on the template as a starting point, each activity should be given a name and assigned the relevant attributes and categorization.

For more information see the following articles:

Plan resources

Resource demand built out in the project schedule in the form of role based Requirements provides a method of capturing foresight of the planned resource effort for future and ongoing work and projects.

This information can then be loaded from the schedule into the financial plan in conjunction with a rate card to provide the projected cost of meeting this demand.  In addition, Resource and Portfolio Managers can see this demand in the context of the organizations capacity to make well informed decisions about their ability to meet that demand and perform the work. 

This valuable aspect of organizational resource effort and cost planning requires a Project Manager to accurately create and maintain Requirements.

Requirements are used to plan long term role based resource effort for a project to act as a placeholder before the named resource who will be carrying out the work has been identified. This allows a Project Manager to understand and manage the effort and costs of the resources they require in advance of named individuals being allocated to their project.  The types and granularity of the resource roles are configured for each organization. The Org-Res primary structure is used to define the roles available for selection.

Role based resource demand (requirements) can be added through the action menu for the appropriate line.

It is possible for a Schedule Template to be automatically added during the Planning and Scheduling phase of a project.  This can be prepopulated with typical high level role based resource demand in the form of Requirements.  This prepopulated demand should then be adapted and profiled to accurately reflect the high level estimated resource demand of the project.

These templates are organizational specific and usually controlled by the PMO or a Planview Administrator.

Profiling the demand can be achieved directly in the Work and Resource Manager grid using the Work and Assignments Pivot.

In a matrix organization, requirements are sent to the resource managers who are responsible for the appropriate requested resource roles so they can provide a named resource/s to assign to meet the demand.

If the resources are owned by the project manager then requirements can provide a method of forecasting demand, and then subsequently replaced  by assignments at the level of named resource later at the project mangers convenience.

It is also possible to address a requirement directly to a resource manager by filling in the 'Address To' box.

The responsibility for Resource Management and Approval is organization specific and will have been configured to meet your specific needs during your implementation. 

Assign resources

 Resource Assignments

Resource assignments built out in the project schedule in the form of role based Reserves and Allocations provide a method of capturing the short term planned resource effort for named individuals who will be working on projects.

This information can then be loaded from the schedule into the financial plan in conjunction with a rate card to see the forecasted cost of carrying out these allocations.  In addition, Resource Managers can see these named resource bookings in the context of the organizations capacity to make well informed decisions about maintaining effective and balanced utilization levels with their teams.

This aspect of resource effort and cost planning requires a Project Manager to accurately create and maintain the resource assignments.

Creating Resource Assignments

Allocations and Reserves are used to plan the short and medium term resource effort for a project and provide a record of the named resource and effort of the individual who will be carrying out the work.

Allocations and Reserves may be used depending on the configuration and process of recording resource effort within the organization.  The Resource primary structure is used to define the resources available for selection, and a user will be able to select these resources dependent on the grants they have to the resource structure.

Creating and Profiling Allocations

Allocations provide a way of hard booking named resources to carry out work.  This feeds through to a resources utilization and provides resource managers and the allocated resource with foresight of the upcoming demand for that named individual.

Named Resource Allocations can be added through the action menu and profiling can be achieved directly in the Work and Resource Manager grid using the Work and Assignments Pivot. Allocations can only be made to task/activities in the Project Schedule.

As well as created as new Allocations can be created by filling a reserve or the generic role based demand from an existing Requirement. If Timesheets are implemented then Allocations will provide resources with the ability to book time to that activity.

Creating and Profiling Reserves

serves provide a way of soft booking named resources to work on projects.  This feeds through to a resources utilization and provides resource managers and the reserved resource with foresight of the upcoming demand for that named individual.

Reserves provide a method of provisionally reserving a resource to work on a particular activity or phase of a project but cannot be booked to through timesheets.

Much like Requirements, they are a method of capturing resource demand against work but are instead against named resources and as such feed directly into the resources overall utilization to support resource managers ability to successfully manage their workload.

Reserves can either be created from scratch or by filling the generic role based demand from an existing Requirement.

Direct Reserves are added directly to a phase or activity on a project via the action menu, this is typically for organizations where the Project Managers are responsible for the Resources.

For all other cases, such as in a matrix organization, Reserves will require the approval by the relevant resource manager.  It is also possible that all reserves are managed by the Resource Managers and Project Managers can only use a combination of requirements and allocations to forecast their project resource effort. 

Where do the Resource Assignments go?

In a matrix organization, allocations and reserves are sent to the resource managers who is responsible for the requested resources so they can provide approval of the resources ability to meet the demand.

If the resources are owned by the project manager then the reserves and allocations can provide a direct method of reserving and assigning resources respectively to the phases or tasks. Allocations can be booked to through timesheets and Reserves can be filled with allocations later at the project mangers convenience.

The responsibility for Resource Management and Approval is organization specific and will have been configured to meet your specific needs during your implementation. 

Authorize Resources for Time Reporting

Authorizations give a resource (or a group of resources, such as a department) permission to report time to a work item without defining specific effort. Resources report time after they perform the work as opposed to being scheduled to do the work at a specific time.  This provides an alternative for the detailed effort planning using Allocations but still provides users with the ability to record time to a project.

However, there is one very large disadvantage of using authorizations and as such should be used sparingly.  Authorizations do not impact a resource's planned availability or utilization.  This takes away the ability to see foresight of the planned resource demand places against roles and individual resources and doesn't allow the proactive management of over and under utilized resources in the same way.

Authorizations are best used for work where very little is known about the amount of effort required by an individual such as support work and should not be used to replace detailed effort planning.

If an authorization has a start and end date, time can only be booked inside of the dates.  All time bookings are work status dependent and the activity must be open in order to record time. Authorization date restrictions can be removed by selecting ‘clear dates’ on the action menu.  This will allow time to be booked against the activity outside of the start and finish dates.

The use of Authorizations and other assignment types will differ between organizations and depend upon your internal processes.

           

           

Capacity and Demand Balancing Process Steps

Capacity and demand balancing take place from the Work and Planning menus of Planview Enterprise One – PRM.

         

clipboard_e53214aa345b311e446df11624aa519c0.pngCreate/update planning portfolio to include all work that are ready for analysis/approval Rank and prioritize work or projects Analyze against portfolio targets Shift investments to fit with available capacity Balance against capacity Baseline portfolio Publish portfolio decisions and adjustments Close initiative/demand entity Create and compare scenarios

Capacity and demand balancing process flow

           

Process Step Description
Create/update planning portfolio to include all work that are ready for analysis/approval

Planning portfolios define where and which targets and demand you wish to analyze and for which time range (Planning Horizon).

Demand requirements for analysis:

  • Demand must not be in the Investment Approval Status of pending.
  • Demand must match the selected capacity.
  • Demand must be within the defined Planning Horizon.
  • Demand must be part of the additional portfolio definition.

For more information, see the following articles:

Create and compare scenarios

Investment and capacity planning lets you define an investment plan in a shared environment by working in investment and capacity planning scenarios that are portfolio-specific. When working in a shared environment, you and other users review the same proposed investment plan so that each of you can examine and update those portions that affect your respective areas.

Investment and capacity planning scenarios let you model different investment decisions and various approaches to balancing investment demand with capacity. By using multiple scenarios, you and other users who have access to a relevant portfolio can work in a what-if environment until it is determined that a particular scenario is ready to be published and thereby shared with others as your organization's investment plan.

           

Scenario options – Shared scenario and user-defined scenarios examples

           

           

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Scenario options

           

For more information about scenarios, see Managing Investment and Capacity Planning Scenarios.

See Using Shared Scenarios within Investment and Capacity Planning for an example of the use of shared scenarios.

Rank and prioritize work/projects

The purpose of this step is to Rank your organizational investments to determine their priority.

Investment and Capacity Planning provides a mechanism to compile all investments (accepted, in-flight, and potential programs) and carry out an assessment and approval in the context of the whole portfolio. The Rank view within Investment and Capacity Planning provides the ability to sort the list of investments based on subjective or qualitative scoring and prioritization criteria to determine a priority between the investments within the portfolio. This ranking is then used in subsequent screens in Investment Capacity Planning as sorting criteria.

Investments can be ranked automatically based on criteria and/or manually by the users of each scenario. Investments are displayed in the order that they have been ranked within a scenario. If no ranking has been applied in the scenario, investments are displayed alphabetically. If a scenario includes both ranked and unranked investments, unranked investments will display at the top in alphabetical order, and the ranked investments will display below in ascending order of their ranking.

           

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Planning Manager tile – ranking investments

           

           

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Planning Manager tile's Rank view – rank investments automatically

           

For more information see the following articles:

Analyze against portfolio targets

Investment and Capacity Planning provides a mechanism to compile all investments (accepted, in-flight and potential programs) and carry out an assessment and approval in the context of the whole portfolio. The Analyze view provides the ability to approve (that is, to set the Investment Approval Status to Accepted) programs by moving them above the line (accepted) and seeing the impact on overall budgetary constraints and capacity. Any changes made to Investment Approval Status and Internal Priority made in the Investment and Capacity screens are "what-if" changes and are not confirmed until the scenario is published to execution.

​The objective of this stage is the process is to confirm the approval of investments within the portfolio targets/constraints of costs and resource capacity.

To analyze investments "above and below the line":

  • Investments in this view are displayed in two trays:
    • The upper tray represents above-the-line investments with Accept or Conditionally Accept statuses.
    • Investments in the lower tray represent below-the-line investments with Refuse or Analyze statuses.
  • If the investments exceeding targets are in the below-the-line investments, it means that while the total of the portfolio will exceed the targets, the current above-the-line investments will not exceed the target.
  • Depending on the selected column set, you can also view different summarized financial information.
  • To make investment decisions (to approve or refuse an investment), you can open the action menu () next to each investment to select the desired status. Using the options in this menu, you can also view other information about the investment. Alternatively, you can use a drag-and-drop operation to move the investments between the above the line and below the line trays.

           

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Planning Manager tile – analyzing investments

           

For more information see Updating Investment Approval Status and Priority or Reviewing a Gantt Chart in Investment and Capacity Planning.

Shift investments to fit with available capacity

The Shift view provides a view of where demand exceeds capacity by period, as well as the ability to shift programs to fit within the available capacity.

After all the investments in a portfolio have been ranked and analyzed, the investment scenarios may be further evaluated to review the date ranges of the approved and conditionally approved investments. There may be constraint limitations on specific resource types that may be resolved by shifting dates of the investments. Investments previously below the line may be able to become approved if the dates are shifted.

           

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Planning Manager tile – shifting investments

           

           

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Planning Manager - Shift Highlighting Bottom Tray Details

           

           

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Planning Manager tile – shift-highlighting the bottom tray details

           

For more information see the following articles:

Balance against capacity

Investment and Capacity Planning provides a mechanism to compile all investments (accepted, in-flight, and potential programs) and carry out an assessment and approval in the context of the whole portfolio. The Balance view allows you to look at investments that have been accepted in the scenario and to look at the time profiled impact of the investments against the capacity and budget targets.

The objective of this stage in the process is to identify resource capacity/demand issues or cost time-phasing issues and to smooth demand across time to plan to deliver the programs within the capacity and time phased budget targets.

To balance Investments:

  • In the Balance Investments view, you use the category menu to decide what information you wish to view. In this example, we are viewing Labor Currency. You can also view Labor Effort by selecting Labor and Effort. Depending on your usage model, you can also view Expense, Capitalized Costs, and Benefits.
  • This Focus Control option displays the controls available for you to organize the information when you perform drill-down for analysis.
  • The controls available allow you to decide how many attributes to be included in the summarization for drill down, by moving them to the left of the focus control bar, then you decide which order they should be presented. The control on the far left will be the first level of drill down, following by attributes to its right.
  • Information on the grid at the lowest level is editable when you are viewing a user-created scenario or the Shared Scenario if it is editable.
  • Action menus () at the program level provide options to view additional information for the program.
  • Action menus at the lowest level provide options to update attributes of the line or to model changes to the demand.
  • Action menus from the Capacity levels provide the option to view the financial plan of the selected capacity to model changes to defined capacity.
  • Use the Scenario options to change the scenario you are viewing or to create and manage scenarios. It is important to not accidentally model what-if decisions on the Shared Scenario. What-if modeling should be done on user-created scenarios and published to the shared scenario when you are ready to commit to the plan.

           

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Planning Manager tile – balancing investments

           

For more information see the following articles:

Baseline portfolio

The purpose of this step is to capture a portfolio baseline in order to create a snapshot of the investment decisions and investments as of the end of the investment planning cycle. As the investment portfolio evolves and the program landscape continues to change, new programs arrive, or planned programs fluctuate in risk, forecasted cost or strategic alignment, a continuous reassessment about the investment decisions and priorities will force amendments to the investment planning portfolio. This working version can then be compared against the baseline and variances analyzed.

After creating versions, it is important to assign the correct Working Version or Comparison Version tags to see their respective values in column sets.

For more information about scenarios, see Managing Investment and Capacity Planning Scenarios.

The Planned Investments comparison view highlights financial differences between the working version and the comparison version.

The top tray compares financial data differences based on the selected column set. The bottom tray compares investment approval status and rank order.

           

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Planning Manager tile – Planned Investments pivot view

           

 

The Approval Decisions view compares Investment Approval statuses for multiple scenarios.

Selection of scenarios is made in the Investment and Capacity Planning screen's preferences. If no scenarios are selected, this screen compares all scenarios. Investments are displayed in the same way as the bottom tray of the Planned Investments comparison view—by Above the Line, Trade-off, and Below the Line.

           

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Planning Manager tile – Approval Decisions pivot view

           

For more information see the following articles:

Publish portfolio decisions and adjustments

The purpose of this step is to publish the investment approval decisions that were made to the scenario during the ranking, analyzing, shifting, and balancing of investments versus organizational capacity. Based on the above-the-line (accepted) and below-the-line decisions made during this investment planning process, the Investment Approval Status values are updated accordingly—all accepted programs will be changed to an Investment Approval Status of Accepted. Investment Approval decisions made in a scenario are "what-if" and not visible and live until the publishing process is completed.

  • If the investment approvals have been made in the Shared Scenario then the Publish from the Shared Scenario transaction will make the decisions live.
  • If the investment approvals have been made in another (not shared) scenario then the Publish from Scenario can be used to move the investment decisions to just the shared scenario or to the demand as well.

It is important to note that, as well as the investment approval decisions, any amendments to the demand data of investments or the capacity/budget targets within the (non-shared) scenario will also be published to live and will update the financial planning detail screens accordingly for the investments and/or capacity in question.

           

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Planning Manager tile – publish from the shared scenario

           

           

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Planning Manager tile – publish from scenarios created by users (non-shared)

           

For more information see the following articles:

Close initiative/demand entity

The purpose of this step is to change the status of programs which are refused to closed. If the program was in progress, any projects allocated to the program would need to be closed as well, to prevent accumulation of additional time and costs.

This step can be completed as part of a lifecycle process, or can be done manually.

For more information see Reviewing or Modifying a Strategic Entity's Details.

           

           

Best Practices

Coming soon.

           

           

Outputs, Reports, and Analytics

Coming soon.

This solution capability is supported by the following outputs, reports, and analytics.

Type Associated Outputs, Reports, and Analytics Description
Screen Investment and Capacity Planning Lets you pivot to different views that guide you through the process of investment and capacity planning. These views help you analyze capacity and demand data in multiple ways by examining different capacity and demand dimensions. Some views let you compare scenarios to display information that assists you in understanding the impact investment decisions within different scenarios have on balancing demand with capacity.
Analytic WRK31 - Work Portfolio Financial Analysis Work portfolio report that allows the analysis of project and portfolio financial plan data, including effort (FTEs/Days/Hours) or financial data (Cost/Benefit/Revenue). A single financial planning version is selected and the data type selected based on type and/or specific accounts. The slicer can be any work alternate structure or a line attribute of the selected accounts.
Analytic WRK32 - Work Portfolio Financial Burndown Comparison Work portfolio report that allows the comparison of one/many versions of project and portfolio financial plan data, including effort (FTEs/Days/Hours) or financial data (Cost/Benefit/Revenue).
Analytic WRK33 - Project Cost or Revenue/Benefit Bubble Work portfolio report that can select cost or revenue/benefit based measures from the financial planning data to drive bubble size.
Analytic WRK34 - Work Portfolio Investment Balance Bubble Work portfolio report, based on financial plan data, where the user can select benefit/revenue measures for the X axis, cost-based measures for the bubble size, and a risk-based attribute for the Y axis.