CH 3

1. CH 3 Project Management (PM) Framework

2. Objectives You will understand the project management framework when you can

3. Objectives • Define the five process groups and understand how they interact over time • Define the nine knowledge areas • Define the component processes that exist within each process group • Know the methods used in each component process and the deliverables produced • Understand the importance of the Project Management Institute and other professional societies

4. The Project Management Profession • Number of jobs in IT Project Management continues to grow • Professional societies like the Project Management Institute (PMI) have grown tremendously (pmi.org) • In 1969 the Project Management Institute (PMI) was founded for the following reasons: • to create a forum for project managers to discuss emerging concepts and practices • to officially recognize project management as a profession in and of itself • to bring together people from all branches of project management to share and learn from each other

5. Project Management Knowledge Continues to Grow and Mature • The PMBOK Guide – 2000 Edition is an ANSI standard • Released end of `04 - PMBOK 3rd Edition • Just released A Guide to the PMBOK 4th edition • PMI’s certification department earned ISO 9000 certification • Hundreds of new books, articles, and presentations related to project management have been written in recent years

6. Project Management Certification • PMI provides certification as a Project Management Professional (PMP) • A PMP has documented sufficient project experience (3 years), agreed to follow a code of ethics, and passed the PMP exam • (200 questions in 4 hours) • More on certification found in Appendix C

7. Growth in PMPs Certifications, 1993 – 2008

8. Other PM organizations • Although PMI is the largest professional project management society it is not alone. There are several others that are growing as well such as: • the International Project Management Association (IPMA) and • the Association of Project Management’s (APM) PRojects IN Controlled Environments (PRINCE2) methodology

9. The PMBOK • The PMI Project Management Body of Knowledge framework used for the text is structured around: • five process groups which are made up of • component processes consisting of tools, techniques, and outcomes organized within • nine knowledge areas

10. The framework used in this text (see Figure 3-1 below) is structured around five processgroups, which are made up of component processes consisting of tools, techniques, Outcomes ; organized within nine knowledge areas. Also Project Management has 9 knowledge areas

11. Process Groups and Knowledge Areas Figure 3-1

12. 5 Process Groups • Initiatingprocesses – authorizing the beginning or ending of a project or phase • Planning processes – ensuring that the objectives of the project are achieved in the most appropriate way • Executing processes – coordinating all resources (people and material) during the implementation of the project plan • Controlling processes – monitoring of project variances from what was planned to actual progress • Closing processes – formal acceptance of the project or a phase and updating of the project information base with lessons learned

13. Process Groups Overlap in Time

14. The process groups are linked to each other by the outcomesthey produce; the outcomeof one group is often the input into another, as indicated inFigure below.

15. Process Groups Interacting in a Phase Figure 3-3

16. Interacting Process Groups • Figure 3-3 demonstrates how process groups exist within each phase of an iterative project • The initiating process group is the process that begins the project as well as each phase. Each phase consists of all five process groups interacting over time • Each phase as well as the entire project ends with the closing process. As each phase ends, the closing process reviews what was accomplished in the previous phase and what needs to be done or redone in the next phase

17. Process Groups • Process groups supply a roadmap to follow, and the knowledge areas describe the methods (for example, car, plane, bus) of how to get to our destination, which is project success

18. PMBOK Knowledge Areas • Integration Management • Scope Management • Time Management • Cost Management • Quality Management • Human Resources Management • Communications Management • Risk Management • Procurement Management

19. Knowledge Areas • The knowledge areas represent the body of knowledge that a project manager must have in order to consistently deliver successful projects that meet a customer’s expectations in terms of scope, time, cost, and quality of the project deliverables

20. Knowledge Areas Figure 3-4 below depicts the process of project management as an integrated machine.Project requirements/ specifications are funneled into the machine to start it running.Project requirements are the raw materials feeding the machine, and the product deliverablesare the finished goods. The core knowledge areas Scope, Time, Cost, and Qualityare represented by the large gears that have to be there to make it all work.

21. The PM Process Machine

22. Text Organization • Chapter 4 – 13 organized around project life cycle phase and the processes that exist within each phase organized by knowledge area. (see Figure 3-1 shown earlier for the road map)

23. Knowledge Areas: Definitions and Component Processes IntegrationManagement:Describes the processes and methodsrequired to identify, define, combine,unify, and coordinate the variousprocesses with the other eightknowledge areas Component Processes:Develop project charter,developproject management plan, direct andmanage project execution, monitorand control project work, performintegrated change control, and closeproject or phase

24. Knowledge Areas: Definitions and Component Processes ScopeManagement:Describes the processes and methodsrequired to ensure that the projectdelivers exactly what the customerrequested and only what the customerrequested to create a successful project Component Processes:Collect requirements, define scope,create WBS, verify scope, andcontrol scope

25. Knowledge Areas: Definitions and Component Processes TimeManagementDescribes the processes and methodsrequired to create and manageappropriate schedules to completethe project Component Processes:Define activities, sequence activities, estimate activityresources, estimateactivity durations, develop schedule,and control schedule

26. Knowledge Areas: Definitions and Component Processes CostManagementDescribes the processes and methodsrequired to create and manage theproject budget Component Processes:Estimate costs, determine budget,and control cost

27. Knowledge Areas: Definitions and Component Processes QualityManagementDescribes the processes and methodsrequired to ensure that the projectdelivers the stated and implied needsfor which it was designed Component Processes:Plan quality, perform qualityassurance, and perform qualitycontrol

28. Knowledge Areas: Definitions and Component Processes HumanResourcesManagementDescribes the processes and methodsrequired to effectively use the peopleassociated with the project Component Processes:Develop humanresources plan,acquire project team, developproject team, and manage projectteam

29. Knowledge Areas: Definitions and Component Processes CommunicationsManagementDescribes the processes and methodsrequired to create, collect, disseminate, and store information about the project Component Processes:Identify stakeholders, plancommunications, distributeinformation, manage stakeholderexpectations, report performance

30. Knowledge Areas: Definitions and Component Processes RiskManagementDescribes the processes and methodsrequired to identify, quantify, andcontrol risks associated with the project Component Processes:Plan risk management, identify risks,perform qualitative risk analysis,perform quantitative risk analysis,plan risk responses, and monitor andcontrol risk

31. Knowledge Areas: Definitions and Component Processes ProcurementManagementDescribes the processes and methodsrequired to acquire and manage goodsand resources from a source outsidethe project team Component Processes:Plan procurements, conductprocurements, administerprocurements, close procurements

32. Initiating Component and Major Deliverables Before the project begins, a critical activity occurs: selecting the project to work on. As shown in the fig. Below the Initiating group applies to the Integration Management knowledge area and the communication management knowledge area of the framework

33. Initiating Component and Major Deliverables Project initiation- The process of formally authorizing a new project or determiningthat an existing project should proceed into its next phase. Recall from Chapter 2 thatthe initiation phase is where these stage gate decisions (to proceed with the project ornot) are made. As a result of the project initiation process, three major deliverables are produced:

34. Initiating Component and Major Deliverables Project charter-This document formally authorizes a project. It should include (ormay reference another document) the business need that the project must address, adescription of the product to be created, critical success factors, and: a. Identification of the project manager-The project manager should be identifiedand assigned as early in the project as feasible. In many cases, the project selectionprocess happens first and then, after the project is selected for execution, anappropriate manager is chosen to lead the effort. b. Project assumptions-These are factors that for planning purposes are consideredto be true, real, or certain. c. Project constraints- These are factors that limit the project management team'soptions.

35. Initiating Component and Major Deliverables • Stakeholder register-This document summarizes all the stakeholders (people ororganizations) that are affected by some part of the project. • Stakeholder management strategy-This document outlines specific strategiesneeded to ensure that the project manager maximizes positive stakeholder influencesand minimizes negative stakeholder influences.

36. Project Initiation

37. Planning Component Process and Major Deliverables The errors we make in the initiation and planning processes are much more significantthan at any other time. The Planning group consists of component processes and deliverables that are applicableto every knowledge area of the framework, as shown in Figure 3-6 below. In IntegrationManagement, the process is as follows: Develop project management plan-This process uses the outputs from the otherplanning processes to create a consistent and coherent document that can be used toguide both project execution and project control. The.primary deliverable of project plan development is the project plan: Project plan-This formal approved document is used to manage project execution.The project plan can be expected to change over time when new information aboutthe project becomes available. A good deal of this text is devoted to building piecesof the project plan.

38. Planning Component Process and Major Deliverables The planning processes of Scope Management are: Collect requirements-This is the process of discovering, defining, and documentingstakeholders' needs to meet stated project objectives. Define scope-This is the process of subdividing the major project deliverables intosmaller, more manageable components. Create work breakdown structure (WBS)-The WBS is a deliverables-orientedgrouping of project components that organizes and defines the total scope of aproject. As with the scope statement, the WBS is often used to develop or confirm acommon understanding of project scope among the stakeholders. Let's again usethe course syllabus example from earlier in this chapter. Many syllabi include acomplete list of assignments, number of exams, and so on that a student is asked tocomplete during the semester. The WBS defines each outcome or deliverable that isrequired to build the product

39. Planning Component Process and Major Deliverables As a result of scope planning and scope definition, four major deliverables are produced: Requirements document-Thisdocument describes how each requirement meets abusiness need for the project. Scope statement-Thisstatement provides a documented basis for making futureproject decisions and for confirming or developing a common understanding of projectscope among the stakeholders.

40. Planning Component Process and Major Deliverables WBS-As defined earlier, the WBS is a deliverables-oriented grouping of projectcomponents that organizes and defines the total scope of a project. WBS Dictionary-Thisdocument supports the WBS with further details of the workpackages and control accounts

41. Planning Component Process and Major Deliverables The planning processes of Time Management are: Define activities-Thisprocess involves identifying and documenting specific activitiesthat must be performed to produce deliverables and sub-deliverables identifiedin the WBS. Sequence activities-Thisprocess involves identifying and documenting interactivelogical relationships-that is, identifying the sequence in which the activitiesmust be performed in order to produce a realistic and achievable projectschedule. Estimate activity resources-Thisprocess is used to determine which resources arebeing utilized and how much of each resource is available.

42. Planning Component Process and Major Deliverables Estimate activity durations-Thisprocess involves estimating the number of workunits (for example, hours, days, weeks) required to complete each activity. This involvestaking information on project scope and resources and then developing durationsfor input to schedules. Develop schedule-Thisis the process of analyzing activity sequences, activity durations,and resource requirements to create the project schedule

43. Planning Component Process and Major Deliverables As a result of these processes, five major deliverables are produced: Activity List-This list includes all the activities that will be performed on theproject. Project network diagrams-Theseare schematic displays of the project activities andthe logical relationships (dependencies) among them. The most common type ofproject network diagram is called a PERT (program evaluation and review technique)chart. Activity resource requirements-These are the hours available from each resource foreach task.

44. Planning Component Process and Major Deliverables Activity duration estimates-Theseare quantitative assessments of the likely numberof work periods (for example, hours, days, weeks) that will be required to completean activity. Project schedule-Thisdeliverable includes at a minimum the planned start andexpected finish dates for each activity. The project schedule can be presented in tabularform or graphically, using a project network diagram or using special types ofbar charts called Gantt charts and milestone charts. The schedule should also havea management plan that defines how changes to the schedule will be managed

45. Planning Component Process and Major Deliverables The planning processes of Cost Management are: Estimate costs-This process involves developing an approximation (estimate) ofthe costs of the resources needed to complete project activities. Determine budget-Thisprocess involves allocating the overall cost estimates toindividual activities or work packages to establish a cost baseline for measuringproject performance.

46. Planning Component Process and Major Deliverables As a result of these processes, three major deliverables are produced: Cost estimates-Theseare quantitative assessments of the likely costs of the resourcesrequired to complete project activities. The cost estimates get more accurate over time. Cost performance baseline-Thisis a time-phased budget that will be used to measureand monitor cost performance on a project. Funding requirements-Bothperiodic and total funding requirements are needed todeliver all docUlnented requirements on projects derived from cost estimates.

47. Planning Component Process and Major Deliverables Quality Management has only one planning process: Plan quality-This process involves identifying which quality standards are relevantto a project and determining how to satisfy them. As a result of quality planning, four major deliverables are produced: Quality management plan-This formal or informal document describes how theproject management team will implement its quality policy. Quality metrics-In very specific terms, what something is and how it is measuredby the quality control process. Checklists-Specificlists are used to verify that a set of required steps has been performed. Process improvements-It is important to identify non-value-added procedures andoutputs and eliminate them as much as possible.

48. Planning Component Process and Major Deliverables The planning processes of Human Resources Management are: Develop human resource plan-This process involves identifying, documenting, andassigning project roles, responsibilities, and reporting relationships. As a result of this process, three major deliverables are produced: Role and responsibility assignments-Theseassigmnents include project roles (whodoes what),. responsibilities (who decides what), and who has what authority thatmust be assigned to the appropriate project stakeholders.

49. Planning Component Process and Major Deliverables Staffing management plan-This formal or informal document describes when andhow human resorces will be brought onto and taken off the project team. It alsodescribes theIr available time to work on a project, any training needs, any pertinenthuman resources policies or regulations, and any safety guidelines. Organizationalchart-Thisis a graphical display of project reporting relationshipsthat commUnicates who works for (or reports to) whom, among the project teammembers and stakeholders.

50. Planning Component Process and Major Deliverables Communications Management has only one planning process: Plan communications-Thisprocess involves determining the information and communicationsneeds of the stakeholders-who needs what information, when theywill need it, how it will be given to them, and by whom. As a result of communications planning, one deliverable is produced: Communications management plan-Thisformal or informal document provides: a. What methods will be used to gather and store the various types of information b. To whom information will flow and what methods will be used to distribute thevarious types of information c. A description of the information to be distributed d. Methods for accessing information between scheduled communications e. A method for updating and refining the communications management plan asthe project progresses and develops