Project Managment Framework

Building professionalism in project management.TM

A Framework forProject Management

The Project Management Institute

Education Department

Additional materialsA. Seminar Evaluation FormsB. ExercisesC. Resources for Project Management Professional Candidates

A Framework for Project Management Units

1. Introduction and Key Concepts6. Controlling Projects2. Project Life Cycle Models 7. Closing Projects3. Initiating Projects 8. Organizational Impacts4. Planning Projects 9. Overview of Knowledge Areas5. Executing Projects 10. Role of the Project Manager

UNIT 1:INTRODUCTION

AND KEY CONCEPTS

Unit 1: Introduction and Key Concepts

Upon completion, you will be able to …• Define key PM concepts• List the reasons why PM is needed• Explain the difference between projects and

operations• Identify trends in the PM environment• List project success and failure factors• Identify potential benefits of PM

Key PM Concepts from the PMBOK® Guide

This figure is a conceptual view of these re lationships. The overlaps shown are not proportional.

ApplicationArea Knowledge

and Practice

GeneralM anagem entKnowledge

and Practice

The ProjectManagement

Body of Knowledge

Generally A cceptedProject Managem ent

Knowledge and Practice

* Project Management—A Managerial Approach, 1995, by Jack R. Meredith and Samuel J. Mantel Jr.

Why Do We Need Project Management?*

• Exponential expansion of human knowledge• Global demand for goods and services • Global competition • Above requires the use of teams versus

individuals

Project and Statement of Work (SOW)

• A project is “a temporary endeavor undertaken to create a unique product or service.”

• A SOW is a narrative description of products or services to be supplied under contract.

Project Management

“The application of knowledge, skills, tools and techniques

to project activities in order to meet or exceed stakeholder needs

and expectations from a project.”

PM EnvironmentDiscussion Question

• What are some trends that impact the environment in which projects are managed today?

Accelerating Trends

• Corporate globalization• Massive mergers and reorganizations• Flatter organizations• Short-term results driven

Accelerating Trends (continued)

• Team environment• Contract PM and outsourcing• Primacy of interpersonal skills• Multinational projects• Importance of cultural differences• Dependence on technology

A Balancing ActSchedule requirements cost

Source: William Gendron, presentation at 1998 PMI Global Forum

Business Objective

RiskRisk

The Project

Customer Expectation

A Balanced Project

Time Cost

Scope

Quality

BusinessObjectives

Expectation and Objective Congruency

Client/Customer ExpectationsLow High

Low OK

Customer wantsmore than theorganization

intends to provide.

HighBusiness needs

more from the project than the customer.

OK

Contrast Projects and Operations

Discussion Question

• How are “projects” different from “operations”?

Operations• Semi-permanent

charter, organization, and goals

• Maintains status quo• Standard product or

service• Homogeneous teams• Ongoing

Contrast Projects and Operations

Projects • Create own charter,

organization, and goals• Catalyst for change• Unique product or

service• Heterogeneous teams• Start and end date

Exercise 1-1PM Pitfalls and Pluses

• Looking back on projects with which you were associated, what were the top three factors that caused serious problems?

• That created a perception of success?

Common Pitfalls• Unclear objectives• Lack of senior management support• Lack of effective project integration • Inadequate funding• Change in business priorities• Original assumptions invalid• Ineffective team• Lack of effective communication processes• Other?

Source: NASA study, “Determination of Project Success,” 1974, by David C. Murphy, Bruce N. Baker, and Dalmar Fisher

Factors Affecting Project Success

• Coordination and relations• Adequacy of structure and control• Project uniqueness, importance, and public

exposure• Success criteria salience and consensus• Competitive and budgetary pressure• Initial over-optimism, conceptual difficulty• Internal capabilities buildup

Potential Benefits of PM for the Organization

• Improved control• Improved project support opportunities• Improved performance

Potential Benefits of PM for You

• Recognition of PM as a profession• Future source of company leaders • High visibility of project results • Growth opportunities • Build your reputation and network• Portable skills and experience

Integration Management

Cost Time

Integration

Quality

Summary• Defined key PM concepts• Described why PM is needed• Explained difference between projects

and operations• Identified trends in the PM environment• Discussed project success and failure

factors• Identified potential benefits of PM

UNIT 2:PROJECT LIFE

CYCLE MODELS

Unit 2: Project Life Cycle Models

Upon completion, you will be able to …• List the purpose and types of project life

cycle models• Distinguish between project and product life

cycle• Define the role of phase reviews in PM• Apply a model to a hypothetical and a real

project

Key Concepts • Project phase: “A collection of logically

related project activities usually culminating in the completion of a major deliverable.”

• Project life cycle: “Collectively the project phases are known as the project life cycle.”

• Product life cycle: The natural grouping of ideas, decisions, and actions into product phases, from product conception to operations to product phase-out.

Generic Cost and Staffing Life Cycle

Time

In itia lP hase

F in ishS ta rt

Inte rm ed ia te Phases(one or m ore)

F inalP hase

Cost andStaffing

Level

Project Life CycleExample Phases

Concept and Proposal

Development

Implementation

Termination

Verification

Final PhaseIntermediate PhasesInitial Phase

Pharmaceutical Project Life Cycle Model

Drug Sourcing

Discovery ScreeningPreclin icalDevelopm ent Registration(s) Workup Postsubm ission Activity

Patent Process

ScreeningLeadIdentified

Preclin icalINDWorkup

FileIND

FileNDA Postregistration Activity

Phase IClinicalTests

Phase IIClinical Tests

Phase IIIClinical Tests

APPROVAL

Formulation S tability

Process Development

Metabolism

Toxicology

Ten Plus Years

Construct

Spiral Methodology

Design

IdentifyEvaluate

Test

Evaluation

Evaluation

RiskAnalysis Business

Requirements

SystemRequirements

SubsystemRequirements

UnitRequirements

ConceptualDesign

LogicalDesign

PhysicalDesign

FinalDesign

Proof ofConcept

FirstBuild

SecondBuild

FinalBuild

Deploy Operations andProduction Support

Importance of Phase Reviews

Requirements Review

General Design Review

Detailed Design Review

Unit Test

Proposal Preparation

Requirements Analysis

General Design

Detailed Design

Code and Debug

Phase Initiation ExampleDetailed Design Phase

• Ensure correctness and completeness of previous phase, e.g., general design phase Assess all aspects of requirements, design approach, and deliverables Identify and work off items

• Determine contractor rewards/payment for closing phase

• Conduct a readiness review to begin next phase, e.g., detailed design phase Resource estimates and availability Design maturity Project plan review and update

• Secure stakeholder approval to proceed

Exercise 2-1Project Life Cycle Model

• Divide a current project on which you are working into phases, name them, and write a brief statement of purpose for each phase

Summary• Explained the concept and purpose of

project life cycles• Defined the role of phase reviews in PM• Described life cycle models• Differentiated project life cycle and

product life cycle• Applied a model to hypothetical and real

projects

UNIT 3:INITIATING PROJECTS

Unit 3: Initiating Projects

Upon completion, you will be able to …• List the main functions of each PM process

group• Describe the purpose of the initiation process • Identify its inputs and outputs, tools and techniques• Develop a sample project charter• Give an example of how process groups can apply

to the project as a whole or to a project phase

Process Definition

• “A series of actions people take to bring about a desired result.”

• Types of processes Project management processes Product-oriented processes Business-oriented processes

Initiating Processes

PlanningProcesses

ControllingProcesses Executing

Processes

ClosingProcesses

Commitment toexecuting project

Approach toexecuting project

Monitoring, measuring, andtaking corrective action

Coordinating people and

other resources

Formal productacceptance andend of project

Project Management Process Groups

Process Interactions

• Inputs• Tools and techniques• Outputs• Taxonomy

Process Group Overview

To the Planning Processes(Figure 3 – 5)

In itiating Processes

5 .1In it ia tio n

InitiationScope Initiation

1. Formal authorization that the project exists 2. Recognition the project should continue

into the next phase

Purpose of Initiation Process

1. To commit the organization to a project or phase

2. To set the overall solution direction 3. To define top-level project objectives4. To secure the necessary approvals and

resources5. Validate alignment with strategic objectives 6. To assign a project manager

Process OutputInput

Tools and Techniques

1. Product description2. Strategic plan3. Project selection criteria4. Historical information

“Initiation is the process of formally recognizing that a new project exists or that an existing project should continue into its next phase.”

1. Project charter2. Project manager identified/ assigned3. Constraints4. Assumptions

1. Project selection methods2. Expert judgment

Initiating Core Process—Initiation

Initiation

Inputs• Product description• Strategic plan• Selection criteria• Historical information

Tools• Project selection methods• Expert judgement

Outputs• Project charter• PM assigned• Constraints• Assumptions

Scope Initiation

Inputs• Product description – Documents characteristics of the

product or service and its relationship to a business need

• Strategic plan – Describes the organization’s mission, vision, and goals for the future, which the project supports

• Project selection criteria – Defined in terms of the product and covers the full range of management concerns

• Historical information – Results of previous project decisions and performance

Scope Initiation

Tools & Techniques• Project selection methods (Decision

models)– Benefit-measurement methods – Comparative

approaches; scoring models; benefit-contribution and economic models

– Constrained optimization methods – Mathematical models using linear, dynamic, integer, and multi-objective programming algorithms

• Expert judgment – Experts with specialized knowledge or training assess the inputs to this process

Scope Initiation

Outputs• Project charter • Project manager selected• Constraints – Factors that limit the project

management team’s options regarding scope, staffing, and schedule

• Assumptions – Factors that, for planning purposes, will be considered to be true, real, or certain

Scope Initiation

Project Charter

“A document issued by senior management that

provides the project manager with the authority to apply

organizational resources to project activities.”

Project Charter

• Formally recognizes the existence of a project

• Refers to the business need the project is addressing

• Describes the product to be delivered

• Gives the project manager the authority to apply resources to the project

Scope Initiation

Project Charter Content

• Business need• Project objectives• Project deliverables• Assumptions• Constraints• Key staff• Written authorization

Exercise 3-1Project Charter

• Using the handout, complete the sample project charter

• Assume you are the project manager• As an example, choose an anticipated

major project assignment

Sample Initiating Activities• Negotiate, write, and refine the project charter • Confirm how the project links to the business

need• Identify management responsibilities• Identify geographic locations involved• Test top-level objectives versus strategic

business plans• Make strategic procurement decisions, e.g.,

make, buy, or identify qualified vendors

Key Outputs of Initiation Process

• Project charter• Project manager identified/assigned• Other key positions identified/assigned• Constraints identified• Assumptions identified

UNIT 4:PLANNING PROJECTS

Unit 4: Planning ProjectsUpon completion, you will be able to …• Describe the purposes of the planning processes • Identify the inputs and outputs of core planning

processes• Describe the function and develop sample planning

deliverables such as a scope statement, WBS, and milestone chart

• List the major tools and techniques used in the core planning processes

• Identify the planning facilitating processes and their functions

Planning Process Group

InitiatingProcesses

PlanningProcesses

ControllingProcesses

ExecutingProcesses

ClosingProcesses


PlanningProcesses


Processes

ClosingProcesses





other resources



Purpose of Planning Processes

To develop a project plan that:• Facilitates later accomplishment*• Ensures project wide integration• Monitors change effectively• Provides decision support information to

stakeholders• Can be updated by iterative planning activities

* Project Management—A Managerial Approach, 1995, by Jack R. Meredith and Samuel J. Mantel Jr.

Scope Planning

A written statement that includes:• Project justification, the major

deliverables, and the project objectives

• Criteria used to determine if the project or phase has been successfully completed

Process OutputInput


1. Product description2. Project charter3. Constraints4. Assumptions

"… the process of developing a written scope statement as the basis for future project decisions including, in particular, the criteria used to determine if the project or phase has been completed successfully.”

1. Scope statement2. Supporting detail3. Scope management plan

1. Product analysis 2. Cost/Benefit analysis3. Alternative identification4. Expert judgment

Core Planning ProcessesScope Planning

Scope Planning

Inputs• Product description• Project charter• Constraints• Assumptions

Tools• Product analysis• Benefit/cost analysis• Alternatives identification• Expert judgment

Outputs• Scope statement• Supporting detail• Scope management

plan

Inputs• Product description – Contains the characteristics of

the product or service in which the project will result

• Project charter – Formally recognizes the existence of a project

• Constraints – Factors that limit the project management team’s options regarding scope, staffing, and schedule

• Assumptions – Factors that, for planning purposes, will be considered to be true, real, or certain

Scope Planning

Tools & Techniques• Product analysis – Techniques to develop a

better understanding of the product (e.g., systems engineering, value engineering, function analysis, quality function deployment)

• Benefit/cost analysis – Estimating the tangible and intangible costs (or outlays) and the benefits (or returns) of various project alternatives

• Alternative identification – Techniques used to generate different approaches to the project

(e.g., brainstorming and lateral thinking)• Expert judgment

Scope Planning

Outputs• Scope statement – Written statement of

project. It contains:– Project objectives – Project justification– Project deliverables

• Supporting detail – Supporting documentation containing identified requirements, plans, assumptions, and constraints

Scope Planning

Project Scope Statement Purpose

• To provide a general description of the sum of the products and services to be provided by the project

• To develop a common understanding of project scope among stakeholders

• May make explicit some exclusions that, based on the audience, would be assumed to be part of the project

Scope Management PlanGuidelines for how scope is to be managed and how scope changes are to be integrated into the project

Scope Planning

• It includes:• An assessment of the stability of the

project scope• A clear description of how scope

changes will be identified and classified

Exercise 4-1Scope Statement

• Using the handout in your manual, develop a project scope statement based on the project charter developed in the initiating process exercise


1. Work breakdown structure templates

2. Decomposition

Process OutputInput

1. Scope statement2. Constraints3. Assumptions4. Other planning outputs5. Historical information

“… subdividing the major project deliverables (as identified in the scope statement) into smaller more manageable components … ”

1. Work breakdown structure

Core Planning ProcessesScope Definition

Scope Definition• Subdividing major project deliverables into

manageable components, in order to improve the accuracy of cost, time, and resources estimates

• Provides a baseline and assigns responsibility

• A scope baseline is the original plan, plus or minus approved changes

Scope Definition

Inputs• Scope statement• Constraints• Assumptions• Other planning inputs• Historical information

Tools• WBS templates• Decomposition

Outputs• Work

breakdown structure

• Scope Statement Update

Scope Definition

Inputs• Scope statement• Constraints• Assumptions• Other planning outputs – Outputs of the

processes in other knowledge areas should be reviewed for possible impact on project scope definition

• Historical information – About previous projects

Scope Definition

Tools & Techniques• WBS templates – Use a WBS from a previous

project or a standard template to develop a WBS for this project

• Decomposition – Subdividing major project deliverables into smaller, more manageable components until deliverables are defined in sufficient detail for supporting future project activities– Identify major elements of the project– For each element, decide if adequate cost and duration

estimates can be developed at this level of detail – Identify constituent elements (e.g., tangible, verifiable

results)– Verify the correctness of the decomposition – is it necessary

and is it sufficient for completion of the item decomposed

Scope Definition

Work Breakdown Structure (WBS)

• “A deliverable oriented grouping of project elements which organizes and defines the total scope of the project.

• Each descending level represents an increasingly detailed definition of a project component.

• Project components may be products or services.”

WBS Definition

Deliverable oriented grouping of project elements that

organizes and defines the total scope of the project

Hardware Services Data

Scope Definition

WBS Purpose• To define:

Solution strategy or general approach Implementation tactics

• To support more accurate estimates of project duration and cost than can be made at the project level

• To provide a basis for estimating project resources: Departmental or subcontractor support Vendors and their products Services Any other identifiable resource

Typical WBS

ProjectPlanning

1.1.1

ProjectControl

1.1.2

ProjectData

1.1.3

ProjectManagement1.1

ProductDesign

1.2.1

SystemsIntegration

1.2.2

Test &Evaluation

1.2.3

SystemsEngineering

1.2

CPUAcquisition

1.3.1

AuxiliaryEquipment

1.3.2

PrinterAcquisition

1.3.3

HardwareAcquisition

1.3

OperatingSystem

1.4.1

Database1.4.2

ApplicationDevelopment1.4.3

SoftwareDevelopment1.4

FacilityPlans

1.5.1

FacilityModification1.5.2

FacilityInstallation

1.5.3

FacilitiesModifications1.5

TrainingPlans

1.6.1

TrainingCourses

1.6.2

TrainingDevelopment1.6

InformationSystem

1.

Scope Definition

Responsibility Assignment Matrix

Scope Definition

WorkWorkBreakdownBreakdown

WorkWorkPackagesPackages

&&PlanningPlanningPackagesPackages

Functional FunctionalOrganizationOrganization

Validate Your WBS• All major elements been identified at top level?• Decomposed into measurable components?• Lower level(s) items necessary? All inclusive?• Would stakeholders agree WBS is satisfactory?• Can elements be scheduled, budgeted, and

assigned to a unit that will accept responsibility?• Too much or too little visibility and control ?• Can status reports be generated at all levels?

Using the WBS to Estimate Cost

• Project manager establishes work requirements by defining the What—“shalls” and “wills” When—sequence Why—dependencies

• Functional managers estimate cost by determining How—equipment and methods Who—type and level of expertise Where—location, department

WBS• Code of accounts – Uniquely identifies each

element of the WBS

• Work packages – A deliverable at the lowest level of the WBS

• WBS dictionary – Includes work-package descriptions

Scope Definition

Outputs• Work breakdown structure• Scope Statement Update

Exercise 4-2Work Breakdown Structure

• Using “Post-it® Notes,” construct a WBS for your project or subproject

• Apply the WBS validation criteria• Discuss any learning or insights with a

classmate, including any learning from applying the WBS test criteria

Activity Definition• Identify the activities that must be

performed to produce the project deliverables

• Define the activities that must be performed to meet the project objectives

Process OutputInput


1. WBS2. Scope statement 3. Historical information4. Constraints5. Assumptions6. Expert Judgment

“Identifying the specific activities that must be performed to produce the various project deliverables.”

1. Activity list2. Supporting detail3. WBS updates

1. Decomposition2. Templates

Core Planning ProcessesActivity Definition

Activity Definition

Inputs• WBS• Scope statement• Historical information• Constraints• Assumptions• Expert Judgment

Tools & Techniques• Decomposition• Templates

Outputs• Activity list• Supporting detail• WBS updates

Inputs• WBS – Primary input to activity definition• Scope statement – Project justification and project

objectives • Historical information – The activities that were actually

required on previous, similar projects• Constraints – Factors that will limit the PM team’s

options• Assumptions – Factors that, for planning purposes, will

be considered to be true, real, or certain• Expert Judgment

Activity Definition

Tools & Techniques• Decomposition – Subdividing project

activities into smaller, more manageable components

• Template – An activity list from a previous project or an activity list for a WBS element from the current project

Activity Definition

Outputs• Activity list – A list of all the activities that

will be performed on the project and a description of each

• Supporting detail – Documentation that contributes to the process, including all identified assumptions and constraints

• WBS updates – Refinements to the existing WBS

Activity Definition

Activity Sequencing

Establishing the activity logic and the dependencies needed to create a realistic and achievable schedule

Process OutputInput


1. Activity list2. Product description3. Mandatory dependencies4. Discretionary dependencies5. External dependencies6. Milestones

“… identifying and documenting interactivity dependencies.”

1. Project network diagrams2. Activity list updates

1. Precedence diagramming method (PDM)

2. Arrow diagramming method (ADM)

3. Conditional diagramming method

4. Network templates

Core Planning ProcessesActivity Sequencing

Activity Sequencing

Inputs• Activity list• Product description• Mandatory dependencies• Discretionary dependencies• External dependencies• Milestones

Tools & Techniques• Precedence diagramming

method (PDM)• Arrow diagramming

method (ADM)• Conditional diagramming

methods• Network templates

Outputs• Project network diagram• Activity list updates

Inputs• Activity list• Product description – Product characteristics

affect activity sequencing• Mandatory dependencies (Hard logic) –

Determined by the qualities of work to be done• Discretionary dependencies (Soft logic) –

Defined by the project management team• External dependencies – Relationships

between project activities and non-project activities

• Milestones

Activity Sequencing

Tools & Techniques• Precedence diagramming method

(PDM) – Nodes represent activities and arrows

show dependencies

Activity Sequencing

Start Finish

A

C D

E

B

Precedence Diagramming Method

Activity Sequencing Process

Activity Sequencing

Finish-to-Start – Activity A must finish before Activity B can start

A B

Start-to-Start – Activity A must start before Activity B can start

A B

Activity Sequencing Process

Activity Sequencing

Finish-to-Finish – Activity A must finish before Activity B can finish

A B

Start-to-Finish – Activity A must start before Activity B can finish

A B

Tools and Techniques (cont.)• Arrow diagramming method (ADM) – Uses

arrows to represent activities and connecting nodes to show dependencies

Activity Sequencing

AB

CD

Start

FinishE

• ADM uses finish-to-start dependencies only and uses dummy activities to show logical relationships

Arrow Diagramming Method

Tools & Techniques (cont.)• Conditional diagramming methods –

Diagramming techniques such as Graphical Evaluation and Review Technique (GERT) and System Dynamics models allow the depiction of non-sequential activities and conditional branches

• Network templates – Can include an entire project or just a portion of it (i.e., subnets and fragnets)

Activity Sequencing

Outputs

• Project network diagram – Schematic display of project’s activities and dependencies

• Activity list updates – Dividing or redefining activities so that the relationships are correctly diagrammed

Activity Sequencing

Activity Duration Estimating

Estimating the number of work periods likely to be needed to complete each activity

• Elapsed time (Delay) – Work periods between the finish of one activity and the start of another activity

Process OutputInput


1. Activity lists2. Constraints3. Assumptions4. Resource requirements5. Resource capabilities6. Historical information7. Identified risks

“… assessing the number of work periods likely to be needed to complete each identified activity.”

1. Activity duration2. Basis of estimates3. Activity list updates

1. Expert judgment2. Analogous estimating3. Quantitatively based durations4. Reserve time (contingency)

Core Planning ProcessesActivity Duration Estimating


Inputs• Activity list• Constraints• Assumptions• Resource requirements• Resource capabilities• Historical information• Identified Risks

Tools & Techniques• Expert judgment• Analogous estimating• Quantitatively based durations• Reserve time (contingency)

Outputs• Activity duration estimates• Basis of estimates• Activity list updates

Inputs• Activity list• Constraints• Assumptions• Resource requirements – Duration estimates are

influenced by resource effort and assignments• Resource capabilities – Duration estimates are

influenced by the capability of the people and the material resources assigned to them

• Historical Information– Project files– Commercial duration estimating databases– Project team knowledge

• Identified Risks


Tools & Techniques

• Expert judgment – Used with historical information

• Analogous estimates (Top-down estimating) – Uses duration of a previous, similar activity as the basis for the of estimate of a future activity

• Quantitatively based durations• Reserve time (contingency)


Outputs• Duration estimates – Quantitative

assessments of the likely number of work periods required to complete an activity

• Basis of estimate – Documentation of the assumptions used for developing the estimates

• Activity list updates


Schedule Purpose

• Converts the project plan to an operating plan that is the basic tool for controlling project activitiesBenefits of a realistic schedule?

Benefits of a Realistic Schedule

• Framework for managing critical project activities• Determines planned start and completion dates• Identifies activity and task precedence

relationships• Aids project team in defining critical

communication content • Specifies times when staff must be available• No surprises• Other?

Key Scheduling Definitions

• Network• Network techniques• Path• Node• Arc• Event• Activity

Scheduling TechniquesActivity on Arrow Example

Start A

D

B

E

C

F Fin ish

Work

Activity 2

Set up

Activity 1

Finish

Activity 3

Result 1

Result 2 Result 3

Network Techniques AOA Example

• Activities specified on arrows• Also called arrow diagramming method

(ADM)• Nodes show relationship

Scheduling TechniquesActivity on Node

• Activity on node network format Arrows show precedence relationships Nodes show activities

• 3 types of precedence relationships Activity on node 1—successor but no

predecessor Activity on node 2—predecessor and successor Activity on node 3—predecessor but no

successor

Task BTask A

Precedence RelationshipsFinish to Start

The “from” activity Task A must finish before

the “to” activity Task B can start

Precedence RelationshipsStart to Start

The direction of the arrow defines which task is the predecessor and which is the successor.

Tasks A and B may start at the same time, but the successor (B) cannot start until the predecessor (A) begins.

Task B

Task A

Precedence RelationshipsFinish to Finish

Tasks A and B may end at the same time, but the successor (B) cannot finish until the predecessor (A) finishes

Task B

Task A

Precedence RelationshipsStart to Finish

Task A must start before Task B can finish (seldom used).

Task B

Task A

PDM ExampleDiverging-Converging

ActivitiesDiverging

ActivitiesMultiple predecessors with single successor

Single predecessor with multiple successors

Paint Ceiling

Prep

Paint Trim

Clean-upPaint Walls(2nd coat)

Paint Walls

Converging Activities

Forward Pass Definitions• Early Start Date (ES)

Earliest possible point in time an activity can start, based on the network logic and any schedule constraints

• Duration (DU) Number of work periods, excluding holidays or other nonworking

periods, required to complete the activity; expressed as workdays or workweeks

• Early Finish Date (EF) Earliest possible time the activity can finish

• Forward Pass Starting at the beginning (left) of the network develop early start

and early finish dates for each task, progressing to end (right-most box) of the network

Forward Pass Calculation

EF = ES + DU – 1

DU = 4Paint Walls

DU = 3Paint Ceiling

DU = 2Paint Trim

DU = 2Paint Walls (2nd Coat)

DU = 2Prep

DU = 2Clean-up

1 2

3 4

3 5

3 6 7 8

9 10

DU

TaskFloat

ES

LS

EF

LF

Name Duration ES EF

Prep 2 1 2

Paint Trim 2 3 4

Paint Ceiling 3 3 5

Paint Walls 4 3 6

Paint Walls (2nd Coat) 2 7 8

Clean-up 2 9 10

Task Identification Forward Pass

Backward Pass Definitions• Late Start Date (LS)

Latest point in time that an activity may begin without delaying that activity’s successor

If the activity is on the critical path, the project end date will be affected• Float or Slack

Latest point in time a task may be delayed from its earliest start date without delaying the project finish date

• Late Finish (LF) Latest point in time a task may be completed without delaying that

activity’s successor If the activity is on the critical path, the project end date will be affected

• Backward Pass Calculate late start and late finish dates by starting at project

completion, using finish times and working backwards

Backward Pass Calculation

Name Duration ES EF LS LF Float

Prep 2 1 2 1 2 0

Paint Trim 2 3 4 7 8 4

Paint Ceiling 3 3 5 6 8 3

Paint Walls 4 3 6 3 6 0

Paint Walls (2nd Coat) 2 7 8 7 8 0

Clean-up 2 9 10 9 10 0

Task IdentificationForward and Backward

Passes

Scheduling TechniquesBar/Gantt Chart

Activ ity A

Activ ity B

Activ ity C

Activ ity D

Jun

Tim e

Jul Aug Sep O ct Nov

There are m any other acceptable ways to d isp lay pro ject inform ation on a bar chart.

Schedule Development

Determining the start and finish dates of project activities

• If start and finish dates are not realistic, the project is unlikely to be finished on schedule

Process OutputInput


1. Project network diagram2. Activity duration estimates3. Resource requirements4. Resource pool description5. Calendars6. Constraints7. Assumptions8. Leads and lags9. Risk management plan10. Activity attributes

“… determining startand finish dates forproject activities.”

1. Project schedule2. Supporting detail3. Schedule management plan4. Resource requirements

updates

1. Mathematical analysis2. Duration compression3. Simulation4. Resource leveling

heuristics5. Project management

software6. Coding structure

Core Planning ProcessesSchedule Development


Inputs• Project network diagram• Activity duration estimates• Resource requirements• Resource-pool description• Calendars• Constraints• Assumptions• Leads and lags• Risk Management Plan• Activity Attributes

Tools & Techniques• Mathematical analysis• Duration compression• Simulation• Resource-leveling heuristics• Project management software• Coding structure

Outputs• Project schedule• Supporting detail• Schedule management plan• Resource-requirement updates

Inputs• Project network diagram• Duration estimates• Resource requirements• Resource pool – Description of the available

resources and the times they are available to work on the project

• Calendars – Identify periods when work is allowed– Project calendars: Affect all resources– Resource calendars: Affect specific resources or

categories of resources


Inputs

• Constraints– Imposed dates– Key events or milestones

• Assumptions• Leads and lags – Dependencies that

require lead or lag values to accurately define the relationship

• Risk Management Plan• Activity Attributes


Tools & Techniques• Mathematical analysis – Calculating

theoretical early and late start and finish dates for all activities

– Critical Path Method (CPM) – Calculates a single, deterministic early and late start and finish date for each activity, to be used to determine which activities must be completed on time to avoid impacting the finish date of the project

– Graphical Evaluation and Review Technique (GERT) – Allows for loops in the relationships between activities and for the conditional and probabilistic treatment of relationships


Tools & Techniques (cont.)

• Mathematical Analysis (cont.)– Program Evaluation and Review Technique

(PERT) – Uses sequential network logic and a weighted-average duration estimate to calculate duration. Uses the probability of an estimate’s accuracy.


PERT Calculations

• PERT – Program Evaluation and Review Technique

• Expected Time = (Low + 4*Medium + High) / 6

• Standard Deviation = (High – Low) / 6


PERT Example

Evening CommuteOptimistic time = 15 minutesMost likely time = 30 minutesPessimistic time = 60 minutes

What is the Expected Time?


Tools & Techniques (cont.)– Duration compression – Looks for ways to shorten

the schedule without changing the project scope

– Simulation

– Resource-leveling heuristics (Resource-based method) – Changing the schedule to accommodate resources

– PM Software – Used to assist schedule development and to display schedule-development outputs

– Coding Structure


Outputs• Project schedule – Includes planned start and

expected finish dates for each activity

• Supporting detail – Documentation of all identified assumptions and constraints

• Schedule management plan – Defines how changes to the schedule will be managed

• Resource requirement updates – Updates based on the results of resource leveling and on updates to activity lists


Network Calculation

CalculationsForward Pass – Determine early start and early finish datesBackward Pass – Determine late start and late finish dates and float

0

A

B

C

D E5

5

10

10 5

Start Date 6/1

6/1 6/5

6/6 6/15

6/6 6/10

6/16 6/25 6/26 6/30

Finish Date 6/30

6/26 6/306/16 6/25

6/6 6/15

6/1 6/5

6/11 6/15

5

0 0 0


• Total float (Slack) – Amount of time an activity can be delayed and the project finish date not be effected

• Free Float – Amount of time an activity can be delayed and the early start of the follow-on activity not be effected

Basic TerminologySchedule Development

Gantt Charts• Bar chart – Displays activity start and end

dates, as well as expected durations

• Milestone chart – Displays scheduled start or completion of major deliverables

• Combination chart – Displays events and activities as a function of time


Typical Gantt Chart

Time

ActivityTask A

Task B

Task C

Task DJune July Aug Sep Oct Nov


Key Scheduling Concepts

• Master schedule• Crashing• Hanger• Workaround• Schedule variance

Milestone Chart

Exercise 4-3 Project Milestones

• Identify the major milestones in your project

Resource Planning

Determining physical resources needed (i.e., material, equipment, and people) and number of resources required to perform the project activities

Process OutputInput


1. WBS2. Historical information3. Scope statement4. Resource pool description5. Organizational policies6. Activity Duration Estimates

“… determining whatphysical resources(people, equipment,materials) and whatquantities of each shouldbe used to performproject activities.”

1. Resource requirements

1. Expert judgment2. Alternatives identification3. Project management software

Core Planning ProcessesResource Planning

Resource Planning

Inputs • WBS• Historical information• Scope statement• Resource pool description• Organizational policies• Activity Duration Estimates

Tools & Techniques• Expert judgment• Alternatives identification• Project management software

Outputs• Resource requirements

Inputs• Work breakdown structure (WBS) – Identifies the project

elements that require resources • Historical information – Used to identify the types of

resources that were required for similar work on previous projects

• Scope statement – Contains project justification and the project objectives, which need to be considered

• Resource pool description – Description of resources available, if necessary, to work on a project

• Organizational policies – Of the performing organization, regarding staffing and the rental and purchase of supplies and equipment

• Activity Duration Estimates

Resource Planning

Tools & Techniques• Expert judgment – Expertise, provided

by any group or individual, used to assess the inputs to this process– Other units within organization– Consultants– Professional and technical associations– Industry groups

• Alternatives identification• Project management software

Resource Planning

Outputs

Resource requirements – Description of the types (e.g., skill levels) and numbers of resources required by each element of the WBS

Resource Planning

Cost Estimating

• Difference between cost estimating and pricing:– Cost estimating: Assessing how much it will cost the

organization to provide the product or service– Pricing: Assessing how much the organization will charge for

the product or service

• Cost estimating also includes identifying and considering cost alternatives

Process of developing an approximation (or estimate) for the cost of the resources necessary to complete the project activities

Process OutputInput


1. WBS2. Resource requirements3. Resource rates4. Activity duration estimates5. Estimating Publications6. Historical information7. Chart of accounts8. Risks

“… developing an approximation (estimate of the costs of the resources needed to complete project activities.”

1. Cost estimates2. Supporting detail3. Cost management plan

1. Analogous estimating2. Parametric modeling3. Bottom-up estimating4. Computerized tools5. Other cost estimating methods

Core Planning Processes Cost Estimating

Cost Estimating

Inputs • WBS• Resource requirements• Resource rates• Activity duration estimates• Estimating Publications• Historical information• Chart of accounts• Risks

Tools & Techniques• Analogous estimating• Parametric modeling• Bottom-up estimating• Computerized tools• Other cost estimating methods

Outputs• Cost estimates• Supporting detail• Cost management plan

Inputs• WBS – Used to organize the cost estimates and to ensure that the cost of all

identified work has been estimated• Resource requirements • Resource rates – Unit rates for each resource • Activity duration estimates – Affects cost estimates if project budget

includes an allowance for the cost of financing (i.e., interest)• Historical Information – Information on the cost of resources

– Project files – Records of previous project results that are detailed enough to aid in developing cost estimates

– Commercial cost-estimating databases – Historical information available commercially

– Project team knowledge• Estimating Publications• Chart of accounts – Coding structure used by the organization to report

financial information. Cost estimates must be assigned to the correct accounting category.

• Risks

Cost Estimating

Tools & Techniques• Analogous estimating (Expert judgment) – Used to

estimate total project costs if there is a limited amount of detailed information

• Parametric modeling – Using project characteristics (or parameters) in a mathematical model to predict costs (e.g., price per square foot)

• Bottom-up estimating – Estimating the cost of individual work items and then rolling up the costs to arrive at a project total

• Computerized tools – PM software and spreadsheets• Other Cost Estimating Methods

Cost Estimating

Outputs• Cost estimates – Quantitative assessments of the cost of

resources (e.g., units of currency or staff hours) • Types of estimates

– Order of magnitude (-25% / +75%)– Budget estimate (-10% / +25%)– Definitive estimate (-5% / +10%)

• Supporting detail– Description of estimated scope of work– Documentation of the basis for the estimate– Documentation of any assumptions made– Range of possible results

Cost Estimating

Outputs (cont.)

• Cost management plan– Describes how cost variances will be

managed

– Part of the overall project plan

Cost Estimating

Cost Budgeting

Allocating the value of the overall cost estimate to individual work items, in order to establish a cost baseline to use in measuring project performance

Process OutputInput


1. Cost estimates2. WBS3. Project schedule4. Risk management plan

“… allocating the overall cost estimates to individual work items in order to establish a cost baseline for measuring project performance.”

1. Cost baseline

1. Cost budgeting Tools & Techniques

Core Planning ProcessesCost Budgeting

Cost Budgeting

Inputs • Cost estimates• WBS• Project schedule• Risk management plan

Tools & Techniques• Cost-estimating

tools and techniques

Outputs• Cost baseline

Inputs• Cost estimates • WBS – Identifies the project elements to

which the costs will be allocated• Project schedule – Used to assign costs to

project elements for the time period when costs will be incurred

• Risk Management Plan

Cost Budgeting

Tools & Techniques

• Cost estimating tools and techniques–Analogous estimating–Parametric modeling–Bottom-up estimating–Computerized tools

Cost Budgeting

OutputsCost baseline – Time phased budget that will be used to measure and monitor the cost performance of the project

Cost Budgeting

0

20

40

60

80

100

120

140

Jan Feb Mar Apr May Jun

Reporting Period

BCW

S ($

K)

Project Plan Development

Taking the results of other planning processes and putting them into a

consistent, coherent document

Process OutputInput


1. Other planning outputs2. Historical information3. Organizational policies4. Constraints5. Assumptions

“… taking the results of other planning processes and putting them into a consistent, coherent document.”

1. Project plan2. Supporting detail

1. Project planning methodology

2. Stakeholder’s skills and knowledge

3. Project management information systems

4. Earned value management (EVM)

Core Planning ProcessesProject Plan Development


Inputs• Other planning outputs• Historical information• Organizational policies• Constraints• Assumptions

Tools & Techniques• Project planning

methodology• Stakeholder skills

and knowledge• Project management

information system• Earned value management

Outputs• Project plan• Supporting detail

Inputs• Other planning outputs from the other knowledge

areas – They include base documents, as well as the supporting detail

• Historical information – Estimating databases and records of past project performance

• Organizational policies – Any and all of the organization’s formal and informal policies. These include QM process audits, continuous-improvement targets, personnel-hiring and -firing guidelines, employee-performance reviews, and financial controls

• Constraints – Any factors that will limit the project team’s options• Assumptions – Factors that, for planning purposes, will be

considered to be true, real, or certain


Tools & Techniques• Project planning methodology – Structured

approach used to guide the development of the project plan

• Stakeholder skills and knowledge – Create an environment in which stakeholders can contribute appropriately

• Project management information system – Consists of the automated and manual tools and techniques used to gather, integrate, and disseminate information and outputs from other PM processes

• Earned Value Management


Outputs

• Project plan – The formal, approved document used to manage and control project execution

• Supporting detail– Outputs from other planning processes– Additional information or documentation generated

during development of the project plan– Technical documentation– Documentation of relevant standards


Project Plan• Includes:

– Project charter– PM approach or strategy– Scope statement– Work breakdown structure (WBS)– Cost estimates– Schedule– Performance measurement baselines– Major milestones and target dates– Key or required staff– Key risks– Open issues and pending decisions


Facilitating Planning Processes

• Quality planning• Communications planning• Organizational planning• Staff acquisition• Procurement planning• Solicitation planning• Risk identification• Qualitative risk analysis• Quantitative risk analysis• Risk response planning

Facilitating Planning Processes

Sample Planning Activities• Subdividing deliverables into manageable

components• Allocating overall cost estimate to individual

work items• Identifying the specific activities people must

perform to produce the project deliverables• Identifying the sequence and duration of

activities• Determining project roles and responsibilities• Other?

Key Outputs of Planning Processes

The Project Plann Schedules n Cost management plann Budgets n Cost baselinen Risk management plan n Scope statementn Quality plan n Work breakdown structuren Staffing plan n Plan updatesn Procurement plan n Resource requirementsn Schedule management plan n Communications plan

UNIT 5:EXECUTING PROJECTS

Unit 5: Executing Projects

Upon completion, you will be able to …• Describe the purposes of the executing

processes • Identify the inputs and outputs of its core

processes• List the major tools and techniques


PlanningProcesses


Processes

ClosingProcesses





other resources



Purpose

• To coordinate, integrate, and manage all resources

Why?• in order to achieve the project objectives

How?• by carrying out the letter and intent of the project plan

While • responding to change and mitigating risks

Project Plan Execution

Carrying out the project plan by performing activities identified in the

document

Process OutputInput


1. Project plan2. Supporting detail3. Organizational policies4. Preventive action5. Corrective action

“… the primary process for carrying out the project plan.”

1. Work results2. Change requests

1. General management skills2. Product skills and knowledge3. Work authorization system4. Status review meetings5. Project management

information system6. Organizational procedures

Core Execution ProcessProject Plan Execution


Inputs• Project plan• Supporting detail• Organizational

policies• Preventive action• Corrective action

Tools & Techniques• General management skills• Product skills and

knowledge• Work-authorization system• Status review meetings• PM information system• Organizational procedures

Outputs• Work results• Change requests

Inputs

• Project plan• Supporting detail• Organizational policies• Preventive action• Corrective action

– Anything done to bring future performance in line with the project plan

– Output of the various control processes


Tools & Techniques• General management skills – Leadership,

communication, negotiation skills, etc.• Product skills and knowledge – Skills are part of

resource-planning and staff-acquisition processes• Work-authorization system – Formal procedure for

approving project work; source of written authorization to begin work on a specific activity or work package

• Status-review meetings – Regularly scheduled meetings to exchange information about the project

• Project management information system• Organizational procedures – Both formal and informal

procedures that might be useful during project execution


Outputs

• Work results – Outcomes of activities performed in order to accomplish the project; fed into the performance reporting process

• Change request – A request to expand or contract project scope, budget, schedule, or resources


Facilitating Execution Processes

• Quality assurance• Team development• Information distribution• Solicitation• Source selection• Contract administration

Facilitating Execution Processes

Sample Executing Activities• Managing work results and requests for

change• Using tools and techniques in project plan

implementation• Building effective relationships with vendors

and project team members• Choosing from potential sellers• Distributing status information in time for

stakeholders to act• Other?

UNIT 6:CONTROLLING

PROJECTS

Unit 6: Controlling Projects

Upon completion, you will be able to …• Describe the purposes of the controlling

processes • Identify the inputs and outputs of the core

controlling processes• List and define the major tools and

techniques


PlanningProcesses


Processes

ClosingProcesses





other resources



PurposeTo keep the project on track in order to achieve its objectives as outlined in the project plan by:

• Monitoring and reporting variances • Controlling scope changes• Controlling schedule changes• Controlling costs• Controlling quality• Responding to risks

Overview

Performance Reporting

• This includes status reporting, progress measurement, and forecasting

• Provides information on scope, schedule, cost, and quality, and possibly on risk and procurement

Collecting and disseminating performance information

Process OutputInput


1. Project plan2. Work results3. Other project records

“… collecting and disseminating performance information. This includes status reporting, progress measurements, and forecasting.”

1. Performance reports2. Change requests

1. Performance reviews2. Variance analysis3. Trend analysis4. Earned value analysis5. Information distribution

systems

Core Controlling ProcessesPerformance Reporting

Inputs• Project plan – Contains the various

baselines used to assess project performance

• Work results – Accurate information on project status, such as information about fully, or partially, completed tasks and costs incurred or committed

• Other project records – Any information pertaining to the project context


Tools & Techniques• Performance reviews – Meetings held to

assess project status or progress• Variance analysis – Comparing actual project

results to planned or expected results• Trend analysis – Examining project results over

time to determine if performance is improving or deteriorating

• Earned-value analysis – Integrating scope, cost, and schedule measures to assess project performance

• Information-distribution tools and techniques


Outputs• Performance report – Organizes and

summarizes the information gathered and presents the results of any analysis. Reports should provide the kinds of information and the level of detail required by various stakeholders and documented in the communications management plan

• Change requests – Requests for changes to some aspect of the project


Overall Change Control

Coordinating changes across the entire project

Process OutputInput


Core Controlling ProcessesOverall Change Control

1. Project plan2. Performance reports3. Change requests

1. Change control system2. Configuration management3. Performance measurement4. Additional planning5. Project management

information systems

1. Project plan updates2. Corrective action3. Lessons learned

“Overall change control is concerned with: (a) influencing the factors which

create change to ensure thatchanges are beneficial,

(b) determining that a change has occurred, and

(c) managing the actual changewhen and as they occur.”


Inputs• Project plan• Performance

reports• Change requests

Tools & Techniques• Change control system• Configuration management• Performance measurement• Additional planning• PM information system

Outputs• Project plan updates• Corrective action• Lessons learned

Overall Change Control• Concerned with:

– Influencing the factors which create change, in order to ensure that the changes are beneficial

– Determining that a change has occurred– Managing the actual changes

• Requirements:– Reflect all approved changes in the project plan– Reflect changes in the project scope definition. Project

scope changes affect the performance measurement baseline.

– Coordinate changes across all knowledge areas

Inputs

• Project plan – Provides the baseline against which changes will be controlled

• Performance reports – May alert the project team to issues which could cause problems in the future

• Change requests – May occur in many forms: oral or written, direct or indirect, externally- or internally-initiated, legally-mandated or optional


Tools & Techniques• Change control system – A collection of formal,

documented procedures that define the steps for changing official project documents

• Configuration management – Provides documented procedures for:– Identifying and documenting the functional and physical

characteristics of an item or a system– Controlling any changes to identified characteristics– Recording and reporting both the change and its status– Auditing the configuration items and systems to verify

conformance to requirements


Tools & Techniques (cont.)

• Performance measurements – Help assess whether variances from the plan require corrective action

• Additional planning – Changes may require new or revised plans in other knowledge areas

• Project management information system (PMIS)


Outputs

• Project plan updates – Any modifications to the contents of the project plan or to supporting detail

• Corrective action

• Lesson learned – The causes of variances, the reasoning behind the corrective action chosen, and other types of lessons learned should be documented


Facilitating Controlling Processes

• Scope Verification• Scope change control• Quality control• Schedule control• Cost control• Risk response control

Facilitating Controlling Processes

Process OutputInput


1. Risk management plan2. Actual risk events3. Additional risk identification

Facilitating Controlling ProcessesRisk Monitoring & Control

1. Workarounds2. Additional risk response

development

1. Corrective action2. Updates to the risk

management plan

“… involves executing the Risk Management Plan in order to respond to risk events over the course of the project.”

Key Cost ConceptEarned Value• A method for measuring project

performance• The budgeted cost of work performed for

an activity or group of activities• Compares the planned amount of work

with the accomplished amount of work to determine if cost and scheduled performance is as planned

Controlling Activities

• Reporting status versus plan and forecasting

• Responding to changes in risk • Completing and settling the contract,

including resolving of any open items• Identifying and reporting schedule slips• Determining whether schedule updates

require plan modifications• Other?

UNIT 7:CLOSING

PROJECTS

Unit 7: Closing Projects

Upon completion, you will be able to … • Describe the purposes of closing

processes • Identify the inputs and outputs of the core

processes• List the major tools and techniques


PlanningProcesses


Processes

ClosingProcesses





other resources



Purpose

Formalizing acceptance of the project and bringing it to an orderly end by:

• Closing the contract • Achieving administrative closure

Overview

Contract Close Out

• Involves product verification and administrative closeout

Completion and settlement of the contract, including resolution of any open items

Process OutputInput


1. Contract documentation “… involves both product verification (was all work completed correctly and satisfactorily) and administrative close-out (updating of records to reflect final results and archiving of such information for future use.”

1. Contract file2. Formal acceptance and

closure

1. Procurement audits

Core Closing ProcessesContract Close-out

InputsContract documentation – Includes, but not limited to:• Contract• Supporting schedules• Requested and approved contract changes• Seller-developed technical documentation• Seller performance reports• Financial documents (e.g., invoices and payment

records)• Results of any contract-related inspections

Contract Closeout

Tools & Techniques

Procurement audits –Structured reviews of the procurement process, from procurement planning through contract administration, conducted to identify successes and failures (lessons learned)

Contract Closeout

Outputs• Contract file – Set of indexed records,

prepared for inclusion with the final project records

• Formal acceptance and closure – Person or organization responsible for contract administration provides the seller with formal written notice that the contract has been completed. Normally specified in the contract.

Contract Closeout

Administrative Closure

• It includes collecting project reports, ensuring they reflect final specifications and analysis of project success and effectiveness, and archiving such information for future use

• Each phase of the project should be properly closed to ensure that important and useful information is not lost

Gathering, generating, and disseminating information in order to formalize the acceptance of the product by the sponsor, client, or customer

Process OutputInput


1. Performance measurement documentation

2. Documentation of the product of the project

3. Other project records

“… verifying and documenting project results to formalize acceptance of the product by the sponsor, client or customer.”

1. Project archives2. Formal acceptance3. Lessons learned

1. Performance reporting tools and techniques

2. Project Reports3. Project Presentations

Core Closing Process Administrative Closure


Inputs• Performance measurement

documentation• Documentation of the

product of the project• Other project records

Tools & Techniques• Performance-reporting

tools and techniques• Project reports• Project Presentations

Outputs• Project archives• Formal acceptance• Lessons learned

Inputs• Performance-measurement documentation –

All documentation produced to record and analyze project performance, including the planning documents which established the framework for performance measurement

• Documentation of the product of the project – Documents produced to describe the product

• Other project records


Outputs• Project archives – Complete set of indexed project

records

• Formal acceptance – Documentation that demonstrates that the client or sponsor has accepted the product of the project

• Lessons learned


Tools & TechniquesPerformance-reporting tools and techniques

Sample Closing Activities• Ensuring a record of lessons learned is developed,

documented, and made available for future projects• Verifying acceptance of products or services• Collecting all required project records• Determining if final products meet specifications• Assessing the quality, correctness, and completeness

of all formal project acceptance documents• Give performance appraisals and assist in the

planned transfer of personnel to other projects or positions

• Other?


PlanningProcesses


Processes

ClosingProcesses





other resources


Communication Flow

Operations

Start

Exercise 7-1Process Group Allocation

• Allocate the processes and activities to the correct process group

Questions/Opinions on Processes

• Most important processes?• Least important?• Missing?• Other questions?

Units 3–7 Summary• Identified the role of each process group• Identified the inputs and outputs of core

processes• Listed the major tools and techniques used in

core processes of each process group• Described facilitating processes• Recognized and allocated processes and

activities to their correct process group

UNIT 8:ORGANIZATIONAL

IMPACTS

Unit 8: Organizational Impacts

Upon completion, you will be able to …• Describe how different organizational

approaches can impact the process and effectiveness of project management

HR Requirements

• PM position descriptions• Reward system congruence • Career paths• Competency models• Training and development opportunities• Certification

Functional Organization

Functional OrganizationDiscussion Question

• In your opinion, what advantages and potential disadvantage does this type of organizational structure foster?

Functional OrganizationPotential Advantages

• Clear reporting relationships• Highly specialized expertise• Homogeneous group• Drive for technical excellence

Functional OrganizationPotential Issues

• Project boundaries limited to discipline• Barrier to customer influence and satisfaction • Employee development opportunities limited• Project manager dependent on personal influence• Hierarchical decision and communication

processes• Overwork technical issues versus build to standard• Fosters part-time roles

Weak Matrix

Balanced Matrix

Strong Matrix

Projectized Organization

Composite Organization

Projectized OrganizationDiscussion Question

• Based on your experience, what potential advantages and disadvantage does this type of organizational approach foster?

Project-Based OrganizationPotential Advantages

• Strong project manager role• Full-time administrative staff • Clear accountability • Fosters co-location• Improved focus• Cost and performance tracking• Decision-making• Customer relationships• Common processes

Project-Based Organization Potential Issues

• Lessening of employee’s “profession” identity• Reduced focus on technical competence• Leadership by the nontechnically skilled• Focus on administrative work versus technical • Devaluing of functional managers• Process versus deliverable emphasis

Structure Influence on Projects

Exercise 8-1Organizational Impacts

• If you were given authority for a day and tasked to improve project management in your organization, what changes would you make: To the organization structure and delegation of

responsibilities? To your role (no major promotions, please)?

Summary

Reviewed how organizational approaches can impact the effectiveness of project management

Functional organization Matrix organization Project-based organization

UNIT 9:OVERVIEW OF KNOWLEDGE

AREAS

Unit 9: Overview of Knowledge Areas

Upon completion, you will be able to …• Identify and describe the nine knowledge

areas• Identify your current development needs and

strengths in the processes in each knowledge area

Overview of Knowledge Areas

Cost TimeScope

IntegrationHuman ResourcesCommunications

Risk Procurement

Quality

Project Integration Management

“A subset of project management that includes the processes required to ensure that the various elements of the project are properly coordinated.”

• Project plan development• Project plan execution• Overall change control

Proposal Request

Proposal Phase

Requirements Analysis Phase

General Design Phase

Detailed Design Phase

Code and Debug

Overlapped phases can yield cost and schedule benefits but add to the integration challenge

The Integration ChallengeSoftware Product Development Example

Characteristics of Effective Integration

• Overlapped processes • Effective change control and communication

systems• Reduced development time and cost• Early and ongoing involvement of all stakeholders• Early visibility of results• Early problem identification and resolution• Use all relevant expertise at earliest meaningful

time

Project Integration Management

• Project Plan Development• Project Plan Execution• Overall Change Control

Processes required to properly coordinatethe various elements of the project

Project Scope Management“Includes the processes required to ensure that the project includes all of the work required, and only the work required to complete the project successfully.”

• Initiation• Scope planning• Scope definition• Scope verification• Scope change control

Scope Management

• Initiation• Scope Planning• Scope Definition• Scope Verification• Scope Change

Control

Processes used to identify all the work required to successfully complete the project

Key Scope Concepts• Configuration Management

A mechanism to track budget, schedule variances, and deliverable versions

• Specification A precise definition of a physical item, procedure, service, or

result for the purpose of purchase and/or implementation of an item or service

• Sources of Scope Change Variation in government regulations Failure to include a required feature in the design of the product Customers who change their minds about the desired nature of

the deliverable

Key Scope Concepts (continued)

Work Breakdown Structure• A deliverable-oriented grouping of

process elements that organizes and defines the total scope of the project

• Each descending level represents an increasingly detailed definition of a project component

• Project components may be products or services

Project Time Management • Definition

A subset of project management that includes the processes required to ensure timely completion of the project

• Processes Activity definition Activity sequencing Activity duration estimating Schedule development Schedule control

Time Management

• Activity Definition• Activity Sequencing• Activity Duration

Estimating• Schedule Development• Schedule Control

Processes required to ensure the project is completed on time

Purpose of Scheduling Processes

• Illustrates interdependence of project activities, work packages, and work units

• Monitors and controls timing of project work

• Guides the allocation of resources• Drives personnel availability issues and

activities

Remodel Kitchen WBS

ID Task Name Dur1 1 DESIGN 10d

2 1.1 SELECT DESIGNER 3d

3 1.2 CREATE PLANS 5d

4 1.3 SELECT CONTRACTOR 2d

5 2 PURCHASING 6d

6 2.1 PURCHASE APPLIANCES 6d

7 3 CARPENTERS 15d

8 3.1 TEAR OUT 3d

9 3.2 CHANGE WALLS 4d

10 3.3 INSTALL NEW CABINETS 3d

11 3.4 INSTALL SINK 1d

12 3.5 INSTALL DISHWASHER 2d

13 3.6 INSTALL FLOOR 2d

14 3.7 FINISH AND CLEANUP 1d

15 4 ELECTRICAL 3d

16 4.1 WIRING 2d

17 4.2 INSTALL LIGHTS 1d

18 5 MECHANICAL 2d

19 5.1 INSTALL PIPING 2d

20 6 READY FOR DINNER 1d

-3 -2 -1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

Kitchen Remodeling Precedence Relationships

Kitchen RemodelingForward Pass - Early Dates

ID Task Name Dur ES Date EF Date1 DESIGN 10d

2 SELECT DESIGNER 3d

3 CREATE PLANS 5d

4 SELECT CONTRACTOR 2d

5 PURCHASING 6d

6 PURCHASE APPLIANCES 6d

7 CARPENTERS 15d

8 TEAR OUT 3d

9 CHANGE WALLS 4d

10 INSTALL NEW CABINETS 3d

11 INSTALL SINK 1d

12 INSTALL DISHWASHER 2d

13 INSTALL FLOOR 2d

14 FINISH AND CLEANUP 1d

15 ELECTRICAL 3d

16 WIRING 2d

17 INSTALL LIGHTS 1d

18 MECHANICAL 2d

19 INSTALL PIPING 2d

20 READY FOR DINNER 1d

S S M T W T F S S M T W T F S S M T W T F S S M T W T FFeb 28, '99 Mar 7, '99 Mar 14, '99 Mar 21, '99

Kitchen RemodelingBackward Pass - Late Dates

ID Task Name Dur LS Date LF Date1 DESIGN 10d


3 CREATE PLANS 5d


5 PURCHASING 6d


7 CARPENTERS 15d

8 TEAR OUT 3d

9 CHANGE WALLS 4d


11 INSTALL SINK 1d


13 INSTALL FLOOR 2d


15 ELECTRICAL 3d

16 WIRING 2d


18 MECHANICAL 2d



F S S M T W T F S S M T W T F S S M T W T F S S M T W T F S SFeb 28, '99 Mar 7, '99 Mar 14, '99 Mar 21, '99 Mar

Kitchen RemodelingTotal Float

ID Task Name Dur ES Date EF Date LS Date LF Date T Float1 DESIGN 10d


3 CREATE PLANS 5d


5 PURCHASING 6d


7 CARPENTERS 15d

8 TEAR OUT 3d

9 CHANGE WALLS 4d


11 INSTALL SINK 1d


13 INSTALL FLOOR 2d


15 ELECTRICAL 3d

16 WIRING 2d


18 MECHANICAL 2d



T F S S M T W T F S S M T W T F S S M T W T F S S M T W T F S SFeb 28, '99 Mar 7, '99 Mar 14, '99 Mar 21, '99 Ma

Total Float = Late Finish Date – Early Finish Date

Kitchen RemodelingSummary

ID Task Name Dur ES Date EF date LS Date LF Date T Float1 DESIGN 10d 1 10 1 10 0d

2 SELECT DESIGNER 3d 1 3 1 3 0d

3 CREATE PLANS 5d 4 8 4 8 0d

4 SELECT CONTRACTOR 2d 9 10 9 10 0d

5 PURCHASING 6d 9 14 12 17 3d

6 PURCHASE APPLIANCES 6d 9 14 12 17 3d

7 CARPENTERS 15d 11 25 11 25 0d

8 TEAR OUT 3d 11 13 11 13 0d

9 CHANGE WALLS 4d 14 17 14 17 0d

10 INSTALL NEW CABINETS 3d 18 20 18 20 0d

11 INSTALL SINK 1d 21 21 22 22 1d

12 INSTALL DISHWASHER 2d 21 22 21 22 0d

13 INSTALL FLOOR 2d 23 24 23 24 0d

14 FINISH AND CLEANUP 1d 25 25 25 25 0d

15 ELECTRICAL 3d 18 20 20 22 2d

16 WIRING 2d 18 19 20 21 2d

17 INSTALL LIGHTS 1d 20 20 22 22 2d

18 MECHANICAL 2d 18 19 19 20 1d

19 INSTALL PIPING 2d 18 19 19 20 1d

20 READY FOR DINNER 1d 26 26 26 26 0d

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27

Float

Project Cost Management

“… the processes required to ensure that the project is completed within the approved budget.”

• Resource planning• Cost estimating• Cost budgeting• Cost control

Cost Management

• Resource Planning

• Cost Estimating• Cost Budgeting• Cost Control

Processes required to ensure the project is completed within the approved budget

One Performance Measurement

• Earned Value Budgeted Cost of Work Performed (BCWP)

• Related Terms Budgeted Cost of Work Scheduled (BCWS) Actual Cost of Work Performed (ACWP) Budget at Completion (BAC)

Cumulative Status Display

Variances

• Schedule Variance (SV) = BCWP – BCWS

• Cost Variance (CV) = BCWP – ACWP• Time Variance (TV) = STWP – ATWP

What Is the SV?

What Is the CV?

What Is the Time Variance?

Project Quality Management

“A subset of project management that includes the process required to ensure that the project will satisfy the needs for which it was undertaken.”

• Quality planning• Quality assurance• Quality control

Quality Management

• Quality Planning• Quality

Assurance• Quality Control

Processes required to ensure the project will satisfy customer requirements

Project HR Management

“… the processes required to make the most effective use of the people involved with the project.”

• Organizational planning• Staff acquisition• Team development

Human Resource Management

• Organizational Planning• Staff Acquisition• Team Development

Processes required to make effective use of the people involved with the project

Responsibility ChartA B C D E F

S R A P P

S A P P

S R A I

R S A P

S P I A

...

P

P

P

PERSO NPHASE

Requirem ents

Functional

Design

Developm ent

Testing

P = Participant A = Accountable R = Review required I = Input required S = S ign-off required

Responsibility Chart Characteristics

• Work Package Level• Components

WBS activity Responsible organization Responsible position title or person Type of responsibility

Approving authority Prime implementation accountability Support Notification

Exercise 9-1Responsibility Allocation

• Using the handout in your manual, complete the responsibility matrix for your project

• Discuss with a classmate the effectiveness of the allocation of responsibility and authority depicted

“… the processes concerned with identifying, analyzing, and responding to project risk.”

• Risk identification• Risk quantification• Risk response development• Risk response control

Project Risk Management

Risk Management

• Risk Management Planning• Risk Identification• Qualitative Risk Analysis• Quantitative Risk Analysis• Risk Response Planning• Risk Response Monitoring and

Control

Processes required to effectively identify, analyze,and respond to project risks

Risk Decision Tree

Exercise 9-2Risk Assessment

• Construct a risk assessment tree for a critical decision on your project

• If your original project selection does not lend itself to this exercise, feel free to substitute another project

Project Communications Management

“… the timely and appropriate generation, collection, dissemination, storage, and ultimate disposition of project information.”

• Communications planning• Information distribution• Performance reporting• Administrative closure

Communications Management

• Communications Planning

• Information Distribution• Performance Reporting• Administrative Closure

Processes required to ensure timely and appropriatedevelopment, collection dissemination, storage, and

ultimate disposition of project information

Project Procurement Management

“… includes the processes required to acquire goods and services from outside the performing organization.”

• Procurement planning• Solicitation planning• Solicitation• Source selection• Contract administration• Contract closeout

Procurement Management

• Procurement Planning• Solicitation Planning• Solicitation• Source Selection• Contract

Administration• Contract Close-Out

Processes required to acquire goods and servicesfrom outside the organization

Summary

• Identified and described the nine knowledge areas and the core processes in each

• Allocated typical processes and activities to their appropriate knowledge area

UNIT 10:PROJECT

MANAGER ROLES

Unit 10: Role of the Project Manager

Upon completion, you will be able to …Identify, in your environment, the most

critical project manager:• Roles• Responsibilities• Interpersonal skill requirements• Your knowledge area gaps and strengths

Project Manager Rolesn Decision-maker n Manager n Coach n Sales personn Communication channel n PM expertn Encourager n Facilitatorn Power broker n Behavior modeln Disciplinarian n Other?

Project Manager Responsibilities

• Project plan implementation• Achievement of objectives• Project integration• Communications • Stakeholder relations• Change management system• Priority establishment and maintenance

More Responsibilities• Staff acquisition, retention, and motivation • Selection and use of PM tools and techniques• Compliance with regulations, state and federal

laws, and organization policies and procedures• Resolving team conflicts• Negotiating win/win solutions• Deliver the project on time and within budget• Other?

Skill and Knowledge Requirements

This figure is a conceptual view of these relationships. The overlaps shown are not proportional.

ApplicationArea Knowledge

and Practice

GeneralM anagem entKnowledge

and Practice

The ProjectManagement

Body of Knowledge

Generally A cceptedProject Managem ent

Knowledge and Practice

Competency can be defined as …

• A qualification equal to a position requirement, or

• Capacities one must possess to perform satisfactorily in a position.

Success depends on your …

• Knowledge • Behaviors • Attitude• Organizational environment• Project environment • Fit • Self-knowledge and ability to adjust

One Emerging Operating Style

“We will need scroungers, tinkerers, masters of the extemporaneous,

and those who can make it happen, regardless of the rules,

the odds, or the inevitable second guess.”*

* Project Management Handbook, by David I. Cleland and William R. King

Exercise 10-1Project Manager Interpersonal

Skills

• Use the handout to assess the interpersonal skills required to manage a project successfully in your organization; then assess your skills, and identify skill gaps and strengths

Recognizing a Successful Project Manager

• Meets cost, schedule, technical, and mission objectives

Plus• Attains high levels of satisfaction and

perception of project success from: Client Sponsor Users Team

Example of an Organization Competence Assessment

Tool• CMM™ background• Levels of Software Engineering Maturity

Model Basic Repeatable Defined Managed Optimized

Why Reading Your Environment Is Important

Assessments reveal:• Fit between you, the organization, and the project• Your development needs and strengths • PM strategies most likely to be successful• PM strategies to be avoided• Guide for tools and techniques selection• Guide your performance expectations of self and others

And They:• Influence your own management style

Exercise 10-2 PM Knowledge Needs Assessment

• Complete the exercise in your manual, and then discuss the implications with a classmate

• Identify knowledge gaps, strengths, and possible developmental activities including: Growth assignments Seminars Self-study Degree programs Other?

PM Knowledge Needs Assessment Discussion Question

What did you learn from this exercise about:

• Yourself?• Your project?• Your organization?• Your future?

A Framework for Project Management

Seminar Summary1. Introduction and Key Concepts2. Project Life Cycle Models3. Initiating Projects4. Planning Projects5. Executing Projects6. Controlling Projects7. Closing Projects8. Organizational Impacts9. Overview of Knowledge Areas10. Role of the Project Manager

End

• Please complete the seminar evaluation form before leaving.

• Thank you for your participation!

PROFESSIONAL RESPONSIBILITY

Outline of Lecture• Responsibilities to the Profession• Compliance with Rules

& Policies• Candidate/Certificant Professional Practice• Advancement of the Profession• Responsibilities to Customers

& the Public• Qualifications, Experience & Performance of

Professional Services• Conflict of Interest Situations & Other Prohibited

Professional Conduct

Responsibilities to the Profession

• Compliance with all Organization Rules and Policies

• Candidate/Certificant Professional Practice

• Advancement of the Profession

Compliance with Rules & Policies

• Provide accurate & truthful information directly or indirectly related to all aspects of the PMI Certification Program

• Upon a reasonable & clear factual basis, report possible violations of the PMP Code of Professional Conduct

• Cooperate with PMI concerning ethics violations and the collection of related information

• Disclose to clients, customers, owners or contractors, significant circumstances that could be construed as a conflict of interest or an appearance of impropriety

Candidate/Certificant Professional Practice

• Provide accurate, truthful advertising and representation concerning qualifications, experience and performance of services

• Comply with laws, regulations and ethical standards governing professional practice in the state/province and/or country when providing project management services

Responsibilities to Customers & the Public

• Qualifications, Experience & Professional Services

• Conflict of Interest Situations & Other Prohibited Professional conduct

Qualifications, Experience & Performance of Professional Services

• Provide accurate and truthful representations to the public in advertising, public statements and in the preparation of estimates of costs, services, and expected results

• Maintain & satisfy the scope and objectives of professional services, unless otherwise directed by the customer

• Maintain and respect the confidentiality of sensitive information obtained in the course of professional activities or otherwise where a clear obligation exists

Conflict of Interest Situations & Other Prohibited Professional Conduct

• Ensure that a conflict of interest does not compromise legitimate interest of a client or customer, or influence/interfere with professional judgments

• Refrain from offering or accepting inappropriate payments, gifts or other forms of compensation for personal gain, unless in conformity with applicable laws or customs of the country where project management services are provided