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Published on May 9, 2014

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A Framework for Project Management The Project Management Institute Education Department

2 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Welcome to this seminar, A Framework for Project Management. It is designed to provide a basic structure or model that can be helpful in thinking about, understanding, discussing and managing projects. It will prepare you to develop more advanced skills by applying seminar content to your position responsibilities, studying the recommended readings in project management (see Appendix C), and in taking other seminars offered by PMI® and educational organizations who subscribe to PMI standards of project management. During this seminar we ask you to focus on applying these concepts to real-world projects through your active participation in the exercises and discussions based on your unique experiences.We believe this learning experience can help you succeed in today’s environment of constant change, high performance expectations, resource constraints and global challenges. PMI is grateful for the contributions of time, energy, and professional expertise of many PMI members who have reviewed the material and made many suggestions to improve its effectiveness. Good luck on what we hope will be an enjoyable educational experience! Welcome

3 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Your Expectations  What would you like to learn from this experience?  Solution to a specific problem?  Project management concepts/knowledge?  Specific skills?  Other?

4 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Additional materials A. Seminar Evaluation Forms B. Exercises C. Resources for Project Management Professional Candidates A Framework for Project Management Units 1. Introduction and Key Concepts 6. Controlling Projects 2. Project Life Cycle Models 7. Closing Projects 3. Initiating Projects 8. Organizational Impacts 4. Planning Projects 9. Overview of Knowledge Areas 5. Executing Projects 10. Role of the Project Manager

5 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

6 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Key PM Concepts from the PMBOK® Guide T h is f ig u r e is a c o n c e p t u a l v ie w o f th e s e r e la tio n s h ip s . T h e o v e r la p s s h o w n a r e n o t p r o p o r t io n a l. A p p li c a t io n A r e a K n o w le d g e a n d P r a c t ic e G e n e r a l M a n a g e m e n t K n o w l e d g e a n d P r a c t ic e T h e P r o je c t M a n a g e m e n t B o d y o f K n o w le d g e G e n e r a l ly A c c e p t e d P r o je c t M a n a g e m e n t K n o w l e d g e a n d P r a c t ic e

7 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. * 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

8 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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.

9 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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.”

10 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. PM Environment Discussion Question  What are some trends that impact the environment in which projects are managed today?

11 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Accelerating Trends  Corporate globalization  Massive mergers and reorganizations  Flatter organizations  Short-term results driven

12 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Accelerating Trends (continued)  Team environment  Contract PM and outsourcing  Primacy of interpersonal skills  Multinational projects  Importance of cultural differences  Dependence on technology

13 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. A Balancing Act Schedule requirements cost Source: William Gendron, presentation at 1998 PMI Global Forum Business Objective RiskRisk The Project Customer Expectation

14 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. A Balanced Project Time Cost Scope Quality

15 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Business Objectives Expectation and Objective Congruency Client/Customer Expectations Low High Low OK Customer wants more than the organization intends to provide. High Business needs more from the project than the customer. OK

16 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Contrast Projects and Operations Discussion Question  How are “projects” different from “operations”?

17 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

18 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 1-1 PM 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?

19 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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?

20 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

21 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Potential Benefits of PM for the Organization  Improved control  Improved project support opportunities  Improved performance

22 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

23 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Integration Management Cost Time Integration Quality

24 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

25 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

26 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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.

27 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Generic Cost and Staffing Life Cycle T i m e I n it ia l P h a s e F in is hS ta r t I n t e r m e d ia te P h a s e s ( o n e o r m o r e ) F in a l P h a s e C o s t a n d S t a f f in g L e v e l

28 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Project Life Cycle Example Phases Concept and Proposal Development Implementation Termination Verification Final PhaseIntermediate PhasesInitial Phase

29 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Pharmaceutical Project Life Cycle Model D r u g S o u r c in g D is c o v e r y S c r e e n in g P r e c lin ic a l D e v e lo p m e n t R e g is t r a tio n ( s ) W o r k u p P o s t s u b m is s io n A c tiv it y P a te n t P r o c e s s S c r e e n in g L e a d Id e n tifie d P r e c lin ic a l IN D W o r k u p F ile IN D F ile N D A P o s t r e g is tr a tio n A c tiv ity P h a s e I C lin ic a l T e s ts P h a s e II C lin ic a l T e s ts P h a s e III C lin ic a l T e s ts A P P R O V A L F o r m u la t io n S ta b ility P r o c e s s D e v e lo p m e n t M e t a b o lis m T o x ic o lo g y T e n P lu s Y e a r s

30 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Construct Spiral Methodology Design IdentifyEvaluate Test Evaluation Evaluation Risk Analysis Business Requirements System Requirements Subsystem Requirements Unit Requirements Conceptual Design Logical Design Physical Design Final Design Proof of Concept First Build Second Build Final Build Deploy Operations and Production Support

31 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

32 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Phase Initiation Example Detailed 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

33 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 2-1 Project 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

34 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

35 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

36 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

37 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process Groups Initiating Processes Planning Processes Controlling Processes Executing Processes Closing Processes

38 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process Interactions  Inputs  Tools and techniques  Outputs  Taxonomy

39 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process Group Overview T o t h e P la n n i n g P r o c e s s e s ( F i g u r e 3 – 5 ) I n i t i a t i n g P r o c e s s e s 5 .1 I n it ia t io n

40 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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 objectives 4. To secure the necessary approvals and resources 5. Validate alignment with strategic objectives 6. To assign a project manager

41 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Product description 2. Strategic plan 3. Project selection criteria 4. 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 charter 2. Project manager identified/ assigned 3. Constraints 4. Assumptions 1. Project selection methods 2. Expert judgment Initiating Core Process—Initiation

42 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Project Charter “A document issued by senior management that provides the project manager with the authority to apply organizational resources to project activities.”

43 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Project Charter Content  Business need  Project objectives  Project deliverables  Assumptions  Constraints  Key staff  Written authorization

44 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 3-1 Project Charter  Using the handout, complete the sample project charter  Assume you are the project manager  As an example, choose an anticipated major project assignment

45 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

46 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Key Outputs of Initiation Process  Project charter  Project manager identified/assigned  Other key positions identified/assigned  Constraints identified  Assumptions identified

47 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Unit 4: Planning Projects Upon 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

48 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Planning Process Group Initiating Processes Planning Processes Controlling Processes Executing Processes Closing Processes

49 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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.

50 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. C o r e P r o c e s s e s 4 .1 P r o je c t P la n D e v e lo p m e n t 7 .3 C o s t B u d g e tin g 6 .3 A c ti v ity D u r a tio n E s ti m a tin g 6 .2 A c ti v ity S e q u e n c in g 7 .1 R e s o u r c e P la n n i n g 5 . 3 S c o p e D e fin itio n 6 .1 A c tiv it y D e fin itio n 5 . 2 S c o p e P la n n in g 6 .4 S c h e d u le D e v e lo p m e n t 7 .2 C o s t E s ti m a tin g T o th e E x e c u ti n g P r o c e s s e s (F ig u r e 3 – 6 ) F r o m th e In it i a t in g P r o c e s s e s (F ig u r e 3 – 4 ) F r o m th e C o n t r o lli n g P r o c e s s e s (F ig u r e 3 – 7 ) F a c ilita tin g P r o c e s s e s 9 .1 O r g a n iz a tio n a l P la n n i n g 9 .2 S ta ff A c q u is itio n 1 2 .1 P r o c u r e m e n t P la n n in g 1 2 . 2 S o li c ita tio n P la n n in g 8 .1 Q u a lit y P la n n i n g 1 0 .1 C o m m u n ic a tio n s P la n n in g 1 1 . 1 R is k Id e n t ific a tio n 1 1 .2 R is k Q u a n tific a tio n 1 1 . 3 R is k R e s p o n s e D e v e lo p m e n t

51 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Product description 2. Project charter 3. Constraints 4. 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 statement 2. Supporting detail 3. Scope management plan 1. Product analysis 2. Cost/Benefit analysis 3. Alternative identification 4. Expert judgment Core Planning Processes Scope Planning

52 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

53 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 4-1 Scope Statement  Using the handout in your manual, develop a project scope statement based on the project charter developed in the initiating process exercise

54 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Tools and Techniques 1. Work breakdown structure templates 2. Decomposition Process OutputInput 1. Scope statement 2. Constraints 3. Assumptions 4. Other planning outputs 5. Historical information “… subdividing the major project deliverables (as identified in the scope statement) into smaller more manageable components … ” 1. Work breakdown structure Core Planning Processes Scope Definition

55 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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.”

56 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

57 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. A ir f r a m e E n g in e C o m m u n ic a tio n N a v ig a tio n F ir e C o n t r o l T e s t S e r v ic e s M a n a g e m e n t D a t a D e p o t L e v e l D e v e lo p m e n t a l T e s t S u p p o r tin g P M A c t iv it ie s F a c ilitie s E n g in e e r in g D a t a I n te r m e d ia te L e v e l M a in t e n a n c e O p e r a t io n a l T e s t S y s te m s E n g in e e r in g M a n a g e m e n t E q u ip m e n t T e c h n ic a l O r d e r s O r g a n iz a t io n a l L e v e l C o n s t r u c t io n M o c k - u p s P r o je c t M a n a g e m e n t T r a in in g D a t a A ir c r a f t S y s t e m S u p p o r t E q u ip m e n t F a c ilit ie s T e s t a n d E v a lu a t io n A ir V e h i c le T h is W B S is illu s tr a t iv e o n ly . It is n o t in t e n d e d t o r e p r e s e n t t h e fu ll p r o je c t s c o p e o f a n y s p e c if ic p r o je c t, n o r t o im p ly t h a t th is is th e o n ly w a y to o r g a n iz e a W B S o n th is t y p e o f p r o je c t .

58 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Pro je c t M a n a g e m e n t P ro je c t M a n a g e m e n t D e s ig n C o n s tru c tio n W a s te W a te r T re a tm e n t P la n t T h is W B S is illu s t ra t iv e o n ly . It is n o t in t e n d e d t o re p re s e n t t h e fu ll p ro je c t s c o p e o f a n y s p e c ific p ro je c t , n o r t o im p ly t h a t t h is is th e o n ly w a y t o o rg a n ize a W B S o n t h is ty p e o f p ro je c t. C iv il D ra w in g s H e a d w o rk s A rc h it e c t u ra l D ra w in g s A e ra t io n B a s in S t ru c t u ra l D ra w in g s Efflu e n t P u m p in g S ta t io n M e c h a n ic a l D ra w in g s A ir H a n d lin g B u ild in g H V A C D ra w in g s S lu d g e B u ild in g P lu m b in g D ra w in g s In s t ru m e n ta t io n D ra w in g s Ele c t ric a l D ra w in g s La t e r P h a s e s Ea rlie r P h a s e s

59 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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?

60 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

61 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 4-2 Work 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

62 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. WBS 2. Scope statement 3. Historical information 4. Constraints 5. Assumptions “Identifying the specific activities that must be performed to produce the various project deliverables.” 1. Activity list 2. Supporting detail 3. WBS updates 1. Decomposition 2. Templates Core Planning Processes Activity Definition

63 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Activity list 2. Product description 3. External dependencies 4. Mandatory dependencies 5. Discretionary dependencies 6. Constraints 7. Assumptions “… identifying and documenting interactivity dependencies.” 1. Project network 2. Activity list updates 1. Precedence diagramming method 2. Arrow diagramming method 3. Conditional diagramming method 4. Network templates Core Planning Processes Activity Sequencing

64 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Precedence Diagramming Method C F A D B E S t a r t F in i s h

65 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Activity lists 2. Constraints 3. Assumptions 4. Resource requirements 5. Resource capabilities 6. Resource information “… assessing the number of work periods likely to be needed to complete each identified activity.” 1. Activity duration 2. Basis of estimates 3. Activity list updates 1. Expert judgment 2. Analogous estimating 3. Simulation Core Planning Processes Activity Duration Estimating

66 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Schedule Purpose  Converts the project plan to an operating plan that is the basic tool for controlling project activities Benefits of a realistic schedule?

67 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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?

68 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Key Scheduling Definitions  Network  Network techniques  Path  Node  Arc  Event  Activity

69 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Scheduling Techniques Activity on Arrow Example S t a r t A D B E C F F in is h

70 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

71 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Scheduling Techniques Activity 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

72 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Task BTask A Precedence Relationships Finish to Start The “from” activity Task A must finish before the “to” activity Task B can start

73 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Precedence Relationships Start 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

74 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Precedence Relationships Finish 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

75 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Precedence Relationships Start to Finish Task A must start before Task B can finish (seldom used). Task B Task A

76 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. PDM Example Diverging-Converging Activities Diverging Activities Multiple predecessors with single successor Single predecessor with multiple successors Paint Ceiling Prep Paint Trim Clean-up Paint Walls (2nd coat) Paint Walls Converging Activities

77 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

78 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Forward Pass Calculation EF = ES + DU – 1 DU = 4 Paint Walls DU = 3 Paint Ceiling DU = 2 Paint Trim DU = 2 Paint Walls (2nd Coat) DU = 2 Prep DU = 2 Clean-up 1 2 3 4 3 5 3 6 7 8 9 10 DU Task Float ES LS EF LF

79 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

80 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

81 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Backward Pass Calculation

82 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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 Identification Forward and Backward Passes

83 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Scheduling Techniques Bar/Gantt Chart A c t iv it y A A c t iv it y B A c t iv it y C A c t iv it y D J u n T im e J u l A u g S e p O c t N o v T h e r e a r e m a n y o t h e r a c c e p t a b le w a y s t o d is p la y p r o je c t in f o r m a t io n o n a b a r c h a r t.

84 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Project network diagram 2. Activity duration estimates 3. Resource requirements 4. Resource pool description 5. Calendars 6. Constraints 7. Assumptions 8. Leads and lags “… determining start and finish dates for project activities.” 1. Project schedule 2. Supporting detail 3. Schedule management plan 4. Resource requirements updates 1. Mathematical analysis 2. Duration compression 3. Simulation 4. Resource leveling heuristics 5. Project management software Core Planning Processes Schedule Development

85 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Key Scheduling Concepts  Master schedule  Crashing  Hanger  Workaround  Schedule variance

86 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Milestone Chart E v e n t S u b c o n t r a c ts S ig n e d S p e c ific a t io n s F in a liz e d D e s ig n R e v ie w e d S u b s y s te m T e s t e d F ir s t U n it D e liv e r e d P r o d u c tio n P la n C o m p le t e d F e bJ a n M a r D a ta D a te M a y J u n J u l A u gA p r T h e r e a r e m a n y o t h e r a c c e p ta b le w a y s t o d is p la y p r o je c t in f o r m a t io n o n a m ile s t o n e c h a r t .

87 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 4-3 Project Milestones  Identify the major milestones in your project

88 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. WBS 2. Historical information 3. Scope statement 4. Resource pool description 5. Organizational policies “… determining what physical resources (people, equipment, materials) and what quantities of each should be used to perform project activities.” 1. Resource requirements 1. Expert judgment 2. Alternatives identification Core Planning Processes Resource Planning

89 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. WBS 2. Resource requirements 3. Resource rates 4. Activity duration estimates 5. Historical information 6. Chart of accounts “… developing an approximation (estimate of the costs of the resources needed to complete project activities.” 1. Cost estimates 2. Supporting detail 3. Cost management plan 1. Analogous estimating 2. Parametric modeling 3. Bottom-up estimating 4. Computerized tools Core Planning Processes Cost Estimating

90 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Cost estimates 2. WBS 3. Project schedule “… allocating the overall cost estimates to individual work items in order to establish a cost baseline for measuring project performance.” 1. Cost baseline 1. Analogous estimating 2. Parametric modeling 3. Bottom-up estimating 4. Computerized tools Core Planning Processes Cost Budgeting

91 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Other planning outputs 2. Historical information 3. Organizational policies 4. Constraints 5. Assumptions “… taking the results of other planning processes and putting them into a consistent, coherent document.” 1. Project plan 2. Supporting detail 1. Project planning methodology 2. Stakeholder’s skills and knowledge 3. Project management information systems Core Planning Processes Project Plan Development

92 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Facilitating Planning Processes  Quality planning  Communications planning  Organizational planning  Procurement planning  Solicitation planning  Staff acquisition  Risk identification  Risk quantification  Risk response development

93 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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?

94 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Key Outputs of Planning Processes The Project Plan  Schedules  Cost management plan  Budgets  Cost baseline  Risk management plan Scope statement  Quality plan  Work breakdown structure  Staffing plan  Plan updates  Procurement plan  Resource requirements  Schedule management plan  Communications plan

95 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

96 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Executing Processes Initiating Processes Planning Processes Controlling Processes Executing Processes Closing Processes

97 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

98 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. E x e c u tin g P ro c e s s e s T o th e C o n tro llin g P ro c e s s e s (F ig u re 3 – 7 ) F ro m th e P la n n in g P ro c e s s e s (F ig u re 3 – 5 ) F ro m th e C o n tro llin g P ro c e s s e s (F ig u re 3 – 7 ) F a c ilita tin g P ro c e s s e s 1 2 .3 S o lic ita tio n 1 2 .4 S o u rc e S e le c tio n 5 .4 S c o p e V e rific a tio n 1 2 .5 C o n tra c t A d m in is tra tio n 1 0 .2 In fo rm a tio n D is trib u tio n 9 .3 T e a m D e v e lo p m e n t 8 .2 Q u a lity A s s u ra n c e 4 .2 P ro je c t P la n E x e c u tio n Overview

99 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Project plan 2. Supporting detail 3. Organizational policies 4. Corrective action “… the primary process for carrying out the project plan.” 1. Work results 2. Change requests 1. General management skills 2. Product skills and knowledge 3. Work authorization system 4. Status review meetings 5. Project management information system 6. Organizational procedures Core Execution Process Project Plan Execution

100 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Facilitating Execution Processes  Information distribution  Team development  Quality assurance  Scope verification  Solicitation  Source selection  Contract administration

101 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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?

102 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

103 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Controlling Processes Initiating Processes Planning Processes Controlling Processes Executing Processes Closing Processes

104 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Purpose To 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

105 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. T o th e P la n n in g P ro c e s s e s (F ig u re 3 – 5 ) T o th e C lo s in g P ro c e s s e s (F ig u re 3 – 8 ) F ro m th e E x e c u tin g P ro c e s s e s (F ig u re 3 – 6 ) C o n tro llin g P ro c e s s e s F a c ilita tin g P ro c e s s e s 8 .3 Q u a lity C o n tro l 5 .5 S c o p e C h a n g e C o n tro l 6 .5 S c h e d u le C o n tro l 1 1 . 4 R is k R e s p o n s e C o n tro l 7 .4 C o s t C o n tro l 1 0 .3 P e rfo rm a n c e R e p o rtin g 4 .3 O v e ra ll C h a n g e C o n tro l Overview

106 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Project plan 2. Work results 3. Other project records “… collecting and disseminating performance information. This includes status reporting, progress measurements, and forecasting.” 1. Performance reports 2. Change requests 1. Performance reviews 2. Variance analysis 3. Trend analysis 4. Earned value analysis 5. Information distribution systems Core Controlling Processes Performance Reporting

107 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques Core Controlling Processes Overall Change Control 1. Project plan 2. Performance reports 3. Change requests 1. Change control system 2. Configuration management 3. Performance measurement 4. Additional planning 5. Project management information systems 1. Project plan updates 2. Corrective action 3. Lessons learned “Overall change control is concerned with: (a) influencing the factors which create change to ensure that changes are beneficial, (b) determining that a change has occurred, and (c) managing the actual change when and as they occur.”

108 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Facilitating Controlling Processes  Scope change control  Quality control  Schedule control  Cost control  Risk response control

109 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 1. Risk management plan 2. Actual risk events 3. Additional risk identification Facilitating Controlling Processes Risk Response Control 1. Workarounds 2. Additional risk response development 1. Corrective action 2. 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.”

110 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Key Cost Concept Earned 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

111 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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?

112 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

113 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Closing Processes Initiating Processes Planning Processes Controlling Processes Executing Processes Closing Processes

114 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Purpose Formalizing acceptance of the project and bringing it to an orderly end by:  Closing the contract  Achieving administrative closure

115 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Overview C lo s in g P r o c e s s e s 1 2 .6 C o n t r a c t C lo s e - o u t 1 0 .4 A d m in is t r a t iv e C lo s u r e F r o m t h e C o n t r o llin g P r o c e s s e s ( F ig u r e 3 – 7 )

116 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 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 file 2. Formal acceptance and closure 1. Procurement audits Core Closing Processes Contract Close-out

117 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Process OutputInput Tools and Techniques 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 archives 2. Formal acceptance 3. Lessons learned 1. Performance reporting tools and techniques Core Closing Process Administrative Closure

118 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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?

119 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Initiating Processes Planning Processes Controlling Processes Executing Processes Closing Processes Communication Flow Plans and Updates Status Guidance Changes Direction Start Operations Authorization

120 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 7-1 Process Group Allocation  Allocate the processes and activities to the correct process group

121 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Questions/Opinions on Processes  Most important processes?  Least important?  Missing?  Other questions?

122 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

123 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

124 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. HR Requirements  PM position descriptions  Reward system congruence  Career paths  Competency models  Training and development opportunities  Certification

125 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Functional Organization ( B la c k b o x e s r e p r e s e n t s t a ff e n g a g e d in p r o je c t a c t iv it ie s . ) C h ie f E x e c u t i v e P r o je c t C o o r d in a t io n F u n c t io n a l M a n a g e r S t a f f S t a f f F u n c t io n a l M a n a g e r S t a f f S t a f f F u n c t io n a l M a n a g e r S t a f f S t a f f

126 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Functional Organization Discussion Question  In your opinion, what advantages and potential disadvantage does this type of organizational structure foster?

127 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Functional Organization Potential Advantages  Clear reporting relationships  Highly specialized expertise  Homogeneous group  Drive for technical excellence

128 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Functional Organization Potential 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

129 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Strong Matrix F u n c t io n a l M a n a g e r M a n a g e r o f P r o je c t M a n a g e r s S t a f f S t a f f S t a f f S t a f f S t a f f S t a f f S t a f f S t a f f S t a f f P r o je c t M a n a g e r P r o je c t M a n a g e r P r o je c t M a n a g e r F u n c t io n a l M a n a g e r F u n c t io n a l M a n a g e r P r o je c t C o o r d in a t io n ( B la c k b o x e s r e p r e s e n t s ta ff e n g a g e d in p r o je c t a c tiv it ie s .) C h ie f E x e c u t iv e

130 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Projectized Organization P r o j e c t C o o r d in a t io n P r o je c t M a n a g e r S t a f f P r o je c t M a n a g e r S t a f f P r o je c t M a n a g e r S t a f f S t a f f ( B la c k b o x e s r e p r e s e n t s ta ff e n g a g e d in p r o je c t a c tiv itie s .) S t a f f S t a f f C h ie f E x e c u t iv e

131 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Projectized Organization Discussion Question  Based on your experience, what potential advantages and disadvantage does this type of organizational approach foster?

132 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Project-Based Organization Potential 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

133 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

134 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Structure Influence on Projects

135 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 8-1 Organizational 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)?

136 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Summary Reviewed how organizational approaches can impact the effectiveness of project management  Functional organization  Matrix organization  Project-based organization

137 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

138 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Overview of Knowledge Areas Cost Time Scope Integration Human Resources Communications Risk Procurement Quality

139 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

140 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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 Challenge Software Product Development Example

141 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

142 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

143 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

144 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

145 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

146 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

147 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Remodel Kitchen WBS Purchase Appliances Purchase Fixtures Remodel Kitchen Design Purchase Carpentry ElectricalLevel 1 Level 2

148 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. ID Task Name Dur 1 1 DESIGN 10d 2 1.1 SELECT DESIGNER 3d 3 1.2 CREATEPLANS 5d 4 1.3 SELECT CONTRACTOR 2d 5 2 PURCHASING 6d 6 2.1 PURCHASEAPPLIANCES 6d 7 3 CARPENTERS 15d 8 3.1 TEAROUT 3d 9 3.2 CHANGEWALLS 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 FINISHANDCLEANUP 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 FORDINNER 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

149 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Kitchen Remodeling Forward Pass - Early Dates ID Task Name Dur ES Date EF Date 1 DESIGN 10d 2 SELECT DESIGNER 3d 3 CREATEPLANS 5d 4 SELECT CONTRACTOR 2d 5 PURCHASING 6d 6 PURCHASEAPPLIANCES 6d 7 CARPENTERS 15d 8 TEAR OUT 3d 9 CHANGEWALLS 4d 10 INSTALL NEW CABINETS 3d 11 INSTALL SINK 1d 12 INSTALL DISHWASHER 2d 13 INSTALL FLOOR 2d 14 FINISH ANDCLEANUP 1d 15 ELECTRICAL 3d 16 WIRING 2d 17 INSTALL LIGHTS 1d 18 MECHANICAL 2d 19 INSTALL PIPING 2d 20 READY FORDINNER 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 F Feb 28, '99 Mar 7, '99 Mar 14, '99 Mar 21, '99

150 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Kitchen Remodeling Backward Pass - Late Dates ID Task Name Dur LS Date LF Date 1 DESIGN 10d 2 SELECT DESIGNER 3d 3 CREATEPLANS 5d 4 SELECT CONTRACTOR 2d 5 PURCHASING 6d 6 PURCHASEAPPLIANCES 6d 7 CARPENTERS 15d 8 TEAR OUT 3d 9 CHANGEWALLS 4d 10 INSTALL NEW CABINETS 3d 11 INSTALL SINK 1d 12 INSTALL DISHWASHER 2d 13 INSTALL FLOOR 2d 14 FINISHANDCLEANUP 1d 15 ELECTRICAL 3d 16 WIRING 2d 17 INSTALL LIGHTS 1d 18 MECHANICAL 2d 19 INSTALL PIPING 2d 20 READY FORDINNER 1d 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 S Feb 28, '99 Mar 7, '99 Mar 14, '99 Mar 21, '99 Mar

151 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Kitchen Remodeling Total Float ID Task Name Dur ES Date EF Date LS Date LF Date T Float 1 DESIGN 10d 2 SELECT DESIGNER 3d 3 CREATEPLANS 5d 4 SELECT CONTRACTOR 2d 5 PURCHASING 6d 6 PURCHASEAPPLIANCES 6d 7 CARPENTERS 15d 8 TEAR OUT 3d 9 CHANGEWALLS 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 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 S Feb 28, '99 Mar 7, '99 Mar 14, '99 Mar 21, '99 Ma Total Float = Late Finish Date – Early Finish Date

152 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Kitchen Remodeling Summary ID Task Name Dur ES Date EF date LS Date LF Date T Float 1 DESIGN 10d 1 10 1 10 0d 2 SELECT DESIGNER 3d 1 3 1 3 0d 3 CREATEPLANS 5d 4 8 4 8 0d 4 SELECT CONTRACTOR 2d 9 10 9 10 0d 5 PURCHASING 6d 9 14 12 17 3d 6 PURCHASEAPPLIANCES 6d 9 14 12 17 3d 7 CARPENTERS 15d 11 25 11 25 0d 8 TEAR OUT 3d 11 13 11 13 0d 9 CHANGEWALLS 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 FINISHAND 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 FORDINNER 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

153 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

154 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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)

155 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Cumulative Status Display Dollars Current Date BCWS BAC ACWP BCWP Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 1999 2000 2001

156 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Variances  Schedule Variance (SV) = BCWP – BCWS  Cost Variance (CV) = BCWP – ACWP  Time Variance (TV) = STWP – ATWP

157 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. What Is the SV? Project Management—A Managerial Approach, 1995, by Jack R. Meredith and Samuel J. Mantel Jr. ACWP = $73,000 BCWS = $56,000 BCWP = $30,800 (55% completed) Dollars (000) Current Date 100 90 80 70 60 50 40 30 20 10 0 Plan BCWS Earned Value BCWP Schedule Variance (SV) Actual ACWP Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 1999 2000 2001

158 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 What Is the CV? Project Management—A Managerial Approach, 1995, by Jack R. Meredith and Samuel J. Mantel Jr. ACWP = $73,000 BCWS = $56,000 BCWP = $30,800 SV = $-25,200 Cost Variance (CV) Dollars (000) Current Date 100 90 80 70 60 50 40 30 20 10 0 1999 2000 2001 Plan BCWS Earned Value BCWP Actual ACWP

159 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. What Is the Time Variance? Project Management—A Managerial Approach, 1995, by Jack R. Meredith and Samuel J. Mantel Jr. Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 ACWP = $73,000 BCWS = $56,000 BCWP = $30,800 SV = - $25,200 CV = - $42,200 (000) Dollars Actual ACWP Earned Value BCWP Cost Variance (CV) Plan BCWS TV 6 mos. Delay STWP ATWP 1999 2000 2001 100 90 80 70 60 50 40 30 20 10 0

160 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

161 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

162 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Responsibility Chart A 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 P E R S O N P H A S E R e q u ir e m e n t s F u n c t io n a l D e s ig n D e v e lo p m e n t T e s t in g P = P a r tic ip a n t A = A c c o u n t a b le R = R e v ie w r e q u ir e d I = In p u t r e q u ir e d S = S ig n - o ff r e q u ir e d

163 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

164 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 9-1 Responsibility 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

165 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. “… the processes concerned with identifying, analyzing, and responding to project risk.”  Risk identification  Risk quantification  Risk response development  Risk response control Project Risk Management

166 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Risk Decision Tree

167 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Exercise 9-2 Risk 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

168 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

169 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

170 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Summary  Identified and described the nine knowledge areas and the core processes in each  Allocated typical processes and activities to their appropriate knowledge area

171 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. 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

172 Copyright © 1999 Project Management Institute, Inc. All Rights Reserved. Project Manager Roles  Decision-maker  Manager  Coach  Sales person  Communication channel  PM expert  Encourager Facilitator  Power broker Behavior model  Disciplinarian Other?

173 Copyright © 1999 Project Management Institute, Inc. All Rights

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