What is Event Chain Methodology, and what are best practices, tools and online templates for teams and organizations?
Definition of Event Chain Methodology
Event Chain Methodology is an uncertainty modeling and scheduling technique that is focused on identifying and managing events and the relationship between them (event chains) that affect project schedules. It is often considered a better alternative to critical path method and critical chain project management. It is used to manage both expected and unexpected events that effect project planning.
Description of Event Chain Methodology
This method uses a mathematical model that can easily be executed by software. The project manager provides the project schedule and a list of risks associated with it. Specific software determines the likelihood each risk occurring, the potential impact of the risk on the project, such as delays, cost increases, etc., and when during the project timeline the risk could occur. There are 6 major principles upon which Event Chain Methodology is based:
- Risk time and Status: These are external events that impact the project negatively or positively, and could involve time (a late delivery of supplies) or a status event (a change in the cost of supplies).
- The Chain of Events: Events which cause other events create a chain of events and can affect the progress of the project. If there is a delay on one segment of the project, the next segment will likely be delayed as well.
- The Monte Carlo Simulation: The Monte Carlo simulation is used to evaluate the impact of unforeseen events on the project. Monte Carlo simulation is a computerized mathematical algorithm that calculates the risks that must be considered in analysis and decision making. The likelihood of each hazardous event occurring, and its effects is used as input to the Monte Carlo analysis, which then provides a probability curve used in planning the project.
- Critical Event Strings: Critical events or critical event chains are those that are most likely to severely impact the project. By identifying them from the start of the project, it is possible to mitigate their potential negative impact.
- Monitoring performance with the Chain of Events: It is imperative that the project manager uses the most up-to-date information in the Monte Carlo simulation, in order to receive the most accurate results. Throughout the duration of the project, the probability of events can then be calculated more accurately using real-time updated data.
- Diagrams of the Chain of Events: Using Chain of Events Diagrams simplify the risk analysis by showing relationships between events and tasks, and the impact of each. Event strings can be represented by arrows that correlate to a particular task or a time interval on a Gantt chart. Each event and each event chain is represented by a different color.
Using Event Chain Methodology greatly simplifies a project manager’s job, by simplifying the definition and analysis of problems related to project planning. It makes organizing projects with uncertainties easier, because potential issues are confronted early on.
Tools & Templates
Various Project Management methods, Risk Assessments and Process Maps can all be used to provide insights, data and additional support when using an Event Chain Methodology.
upBOARD's Online Event Chain Methodology Tools & Templates
Unlike most traditional Event Chain Methodology techniques, upBOARD’s online Event Chain Methodology tools allow any team or organization to instantly begin working with our web templates and input forms. Our digital platform goes far beyond other software tools by including progress dashboards, data integration from existing documents or other SaaS software, elegant intuitive designs, and full access on any desktop or mobile device.
Learn more about upBOARD’s portfolio of other project management best practice tools and templates including:
Action Item List, Agile Project Management, Benefits Realization Methodology, Critical Chain Project Management, Critical Path Chart, Critical Path Method, Event Chain Methodology, Extreme Project Management, Gantt Chart, Integrated Project Management, Issue Tracker, IT Roadmap, Lean Project Management, Lean Six Sigma, PMBOK Project Management, PRINCE2 Project Management, PRiSM Project Management, Process-Based Project Management, Program Management, Project Budgeting, Project Charter, Project Portfolio Management, Project Portfolio Timeline, Project Risk Management, Project Schedule, Project Scorecard, Project Timeline, Project Tracker, Requirements Breakdown Structure, SCRUM Project Management, Skills Requirement Checklist, Task List, Time Card, To Do List, Waterfall Project Management, and Work Breakdown Structure.