**5.4 The monitoring and controlling process**

The monitoring & controlling process is initiated upon completion of the project gross planning and timely ranges from this point on to the end of the order execution. This process thus basically accompanies the order-execution processes of engineering, ordercreation, procurement, manufacturing, assembly, shipping and ramp-up. The created detailed plans provide the basis for the monitoring of progress. The monitoring of progress basically serves to track the overall project at all times and to thereby provide an up-to-date overview of the project situation, concerning costs-, quality- and schedule-related aspects, based on monitoring information provided by the involved in-house departments and suppliers. It is in particular subject to the monitoring of the progress in this context to identify divergences between the primary project plans (to-be performance) and the actual project performance (as-is performance). The monitoring of suppliers furthermore

producer-supplier-interface KL5 in the course of the inter-company order execution (cf. Fig. 14). Each order is eventually monitored and controlled in the course of the order monitoring & controlling, during which monitoring & controlling information have to be

Fig. 14. Detailed structure of the procurement process (Schmidt, 2008)

The monitoring & controlling process is initiated upon completion of the project gross planning and timely ranges from this point on to the end of the order execution. This process thus basically accompanies the order-execution processes of engineering, ordercreation, procurement, manufacturing, assembly, shipping and ramp-up. The created detailed plans provide the basis for the monitoring of progress. The monitoring of progress basically serves to track the overall project at all times and to thereby provide an up-to-date overview of the project situation, concerning costs-, quality- and schedule-related aspects, based on monitoring information provided by the involved in-house departments and suppliers. It is in particular subject to the monitoring of the progress in this context to identify divergences between the primary project plans (to-be performance) and the actual project performance (as-is performance). The monitoring of suppliers furthermore

**5.4 The monitoring and controlling process** 

exchanged (cf. KL6 in Fig. 14).

necessitates a regular exchange of monitoring information in the course of ordermonitoring, which is represented by a further producer-supplier-interface (cf. KL7 in Fig. 15). Another important task within the process of monitoring & controlling is the Entry of Change Requests. Those changes mainly refer to specification- or schedule-related aspects. During the following clarification of Change Requests, the feasibility of the requested changes is assessed together with the customer in due consideration of the current project situation. Since unexpected events such as the mentioned changes or delays due to malfunctions or labor slacks are naturally unpredictable, the primarily set project plans have to be adjusted continuously according to the information created in the course of the monitoring of progress and the clarification of Change Requests. That is in fact the main content of the project coordination. Upon the coordination of the project plans, it is subject to the project coordination to anticipate the occurred changes, as well as to compensate and counter their effects. In order to still realize the guaranteed delivery dates, the modified project schedules and schemes have to be forwarded to the respectively affected in-house departments or suppliers, where the detailed plans should be adjusted accordingly. If the delivery date is no longer realizable, the process-activity of project planning and order coordination of the project planning process has to be carried out again (Cuber & Schmidt, 2012).

Fig. 15. Detailed structure of the monitoring and controlling process (Schmidt, 2008)
