oly | | | | | | ha KnswledgeHut PMP. Exam Preparation Course «2 Course Book By ConnaissancesHut A Registered Trademarks and Service Marks are the property of the Project Management InsituteWa Ww ow PMP. Exam Preparation Course «2 Table of Contents Module 1 - An introduction to PMPs Certification Course Module 2 - Project Management Framework Module 3 - Project Management Processes Module 4 - Project integration Management Module 5 - Project Scope Management Module 6 - Project Time Management Module 7 - Project Cost Management Module 8 - Project Quality Management Module 9 - Project Human Resource Management Module 10 - Project Communications Management Module 11 - Project Risk Management Module 12 - Project Procurement Management Module 13 - Project Stakeholder Management Module 14 - Professional & Social Responsibility Module 15 - PMPs Examination Tips and TricksPMP. Exam Preparation Module 1 Introduction to PMP. Certification Course Based on the PMBOKs Guide’ — Fifth Edition fy) rl m1 m7. Tahal WholMoltl PR TL i ‘ft ees ees meses sees ee UPi i ft 7) PMP. Exam Preparation = Content of Module 1 Based on the PMBOKe Guide’ - Fifth Edition i. » Whats the PMle & the PMBOKs Guide? a = Evolution of the PMls mm a = Certifications offered by the PMle = + PMle contact resources aa = What is PMPs? = + Prerequisites for the PMPe Exam = PMPs Exam syllabus a + How the PMPs Exam is structured? = + About this tutorial | = i]mo aw pda gho Ala] & z e PMP. Exam Preparation & = What is the PMI. & the PMBOK; Guide? ® PMle: Project Management Institute . PMle official website www.pmi.org s I PMlle is the world's leading not-for-profit membership association for the Project Management © profession. “| no PMlle offers PMPs (Project Management Professional) examinations across the world. | ws PMBOKe Guide: Project Management Body of Knowledge 5 | PMBOe Guide is the principal reference for the PMPs exam and an Approved American National Standard (ANSI) | @s Latest Edition of the PMBOKe Guide is the PMBOKe Guide Fifth Edition | =. aI = & a eai a a a \ | H ; = PMP. Exam Preparation a I Evolution of the PMl. and the PMBOK; Guide | 3 aa | = 1969 - Project Management Institute was founded \ = 1976 - Discussion on Standards aa 1981 - PMle board of Directors Approved the Proposal 1984 - Approval of the 2nd standards; launch of PMPé certification { and 1985 - Workshop as part of PMle Annual Seminars = 1986 - Three New Sections “ © Project Management Framework a © Risk Management I © Contract/Procurement management 1987 - PMBOK» was Approved and Published 1996 - A guide to the PMBOKs (PMBOK» Guide) = 2000 - Second Edition. —_ 2004 - Third Edition. 2008 - Fourth Edition with examination changes in 2011, at 2012 - Fifth Edition published as aa Ge we, \ vw 11 PMP. Exam Preparation _ Certifications offered by the PMI. c in im *Certified Associate in Project Management (CAPM)> J “Project Management Professional (PMP)o *PMlo Scheduling Professional (PMI-SP)o a *PMlle Risk Management Professional (PMI-RMP)s J *Program Management Professional (PgMP)» pal “Agile Certified Practitioner (PMI-ACP)»n eel BL! | ‘pel Ba aces! Bl eee! Ts eel BE - $=Wow aaa aw A a PMP. Exam Preparation PMI. Contact Resources ‘Americas Project Management Institute - Headquarters +4 Campus Boulevard Newtown Square, PA 19073-3299 USA E-mail: customercare@ pmi.ong Toll number: +1-610-356-4600 Toll free number: 1-855-746-4849 EMEA India PMilo's EMEA Ser PMle India Lelystad, Notherlands, PM Organization Centre Private Limited E-mail: customercare,emea@pmi.or ‘Mumbai, India Toll number: +31-320-239-639 (Middle East E-mail: customercare.india@pmi.or and Africa) iLorg.in 971-124-4517 140 Asia Pacific Pilil's Asia Pacific Service Centre 20, Bendlemeer Road Cyberhub, #04-02 Singapore 339914 Tel: +85 6496 5501 Fax: #65 6496 8699 E-mail: customercare asiapac@pmi.org PMI China PMs (Boijing) Project Management Institute,, Ltd, Rm. 1604-1605A, 16/F, Ideal international Plaza #.58 Northwest 4th Ring Rd. Haidian District, Beijing 8260 Fax: +86-10-8260 790 Email: chinaoffice@omi.orat Website: china pmioraPMP. Exam Preparation What is PMPs? + The PMBOKs PMPs: Project Management Professional = PMPo is a credential offered by the Project Management Institute (PMle) + PMPs exam is based on: o K Guide (see PMPs Exam Content Outline) © PMs Code of Ethics ard Professional Conduct Other current Project Management practices + Once certified PMPo Certification is valid for 3 years * Holders must achieve 60 PDUs ‘or renewal + PDU: Professional Development Units +1 PDU corresponds to 1 hour of professional development activity approved by the PMle mom om ™ 1 py ope faa PMP. Exam Preparation Prerequisites for the PMP. Exam Training - 35 contact hours of project management training, e.g. This program enables you to make a claim for the PMls's 35 hour training requirement. Project Experience - Experience leeding and directing project "tasks": © With a four year bachelor’s degree or global equivalent — 4500 hours over at least 36 months ‘© With High School/Diploma - 7500 hours over at least 60 months * Application for exam with payment can be submitted online. After accepting your application, the Mlle will send an electronic notification indicating: © Examination scheduling instructions, or © The application has been selected for audit * You need to schedule the exam within 1 year from the date of registrationPMP. Exam Preparation Format of the PMBOK. GuideGuide The PMBOKs Guide Fifth Edition consolidates the cross-sectoral and global Project Management experience of thousands of practitioners. It presents the following in a self-consistent form: + 47 Project Management processes assigned to © 5 Process Groups (related to when they are used) and © 10 Knowledge Areas (related to why they are used) a fen mom mem fa mmm Halsi PMP. Exam Preparation “The 5 Process Groups are: Initiating: Contains 2 processes used to: L + Develop the Project Charter ag + Identify Stakeholders Planning: There are 24 planning processes that are used for: ~ + Defining the Project Scope _ * Defining the project's objectives i * Defining the course of action required (Project Management Plan) Executing: There are 8 executing processes where all the work planned is carried out.PMP. Exam Preparation Process Groups (continued): Monitoring and Controlling: Consisting of 11 processes primarily used to: Track actual performance Identify deviations from plan Implement corrective actions Report on project performance Closing: Containing 2 processes to: + Close all procurements + Formally close down the project or phase ln mm mm rm Tey= PMP. Exam Preparation The 10 Knowledge Areas are: Integration Management - To ensure integration of all the Project Management Processes and activities in meeting the project's objectives, Scope Management ~ To ensure that the project contains all th e work required to meet the objectives, nothing more, nothing less. + Cost Management — To ensure that the project can be completed within the approved budget. * Quality Management - To ensure that the project meets the quality requirements of the stakeholders. Time Management ~ To ensure that the project is completed within the time constraints.fa Be Bb. se PMP. Exam Preparation The 10 Knowledge Areas (continued): + Human Resource Management - To organize, develop and manage the project team + Communications Management - To ensure the management of project information, from collection to disposition + Risk Management ~ To increase the Probability (P) & impact (I) of opportunities and decrease the Probability (P) and Impact (I) of threats * Procurement Management — To ensure that products or services are of the required quality and are procured for integration with the final product + Stakeholder Management — To identify and manage stakeholders throughout the life cycle of the project and increase the chance of project success. Le ome a Te. pe mye oe bees i: qTat a ai = PMP. Exam Preparation How the PMP: exam is structured? There are 200 multiple choice questions to be answered in 4 hours Only 175 answers count for examination purposes. 25 questions are randomly placed pretest (un-scored) questions PMs grades the exam on each of the 10 Knowledge Areas Based on this grading the PMlo declare a PMP» pass or fail Each right answer will earn 1 point There is no penalty for wrong answers. Project Management Process Percentage of Questions Initiating 13 Planning 24 Executing 30 Monitoring & Controlling 25 Closing 8PMP. Exam Preparation About the Course * Introduction to the PMPe Certification Course + Project Maragement Framework + Project Maragement Process Groups + Knowledge Areas (10) Integration Management ‘Scope Management Time Management Cost Management Quaity Management Hurran Resource Management Communication Management Risk Management Procurement Management Stakeholder Management * Professional and Social Responsibility * PMPs Examination tips and tricks 000000000 ° _ bi {Dhl ea aaa ‘ Tis Dk ee De ee i a id ad hs es meee tw eee es res Bb eea uh aw ab ia al a 4 aah ig iS BP = aa ash ae ees may: PMP. Exam Preparation End of Module 1 Introduction to the PMP. Certification Course Based on the PMBOK. Guide — Fifth editionPMP. Exam Preparation Module 2 Project Management Framework Based on the PMBOKs Guide ~ Fifth Edition - \e-ag ai 3 PMP. Exam Preparation Content of Module 2 am Definition of a Project What is Project Management? What is Operations Management? What is Program Management? What is Portfolio Management? Project Management Office (PMO) Constraints Role of a Project Manager Organizational structure Enterprise Environmental Factors Organizational Process Assets E Project Life Cycle Vs Product Life Cycle = =19-PMP, Exam Preparation Definition of a Project + A project can be defined as a unique endeavor involving many activities that have a beginning and an end, undertaken to create a unique product, service or result. + It brings about change and is often executed in a fast changing and high risk environment. + [twill end when either it's goals and objectives are met or the project is brought to a premature end (termination). + In principal, projects are non-repetitive. _ 207= PMP. Exam Preparation = Project Management The application of knowledge, skills, tools & techniques to meet the project requirements: + Project Management as well as project product knowledge * Interpersonal, management & technical skills = + Tools and techniques such as earned value management, network diagramming techniques, decomposition ets. Accomplished through the appropriate application and integration of the 47 logically grouped Project Management processes. 2 The primary challenge of Project Management is to achieve all of the project s goals and objectives while respecting the project constraints. a = —~2|-PMP. Exam Preparation Operations Management Operations Management is that aspect of a business enterprise which is involved in producing goods and services in the most efficient and effective way: + Itaims to maximize profits * It converts resources into desired goods and services + Its efficiency and effectiveness can be monitored by the application or implementation of quality systems and techniques. + In contrast with projects, it is usually repetitive atPMP. Exam Preparation Program Management A program is a group of projects, which are managed together to obtain greater benefits, and efficiency which would not be available managing them individually, while minimizing the negative risks (threats) and costs For a group of projects to be called as program, it must add some value in managing them together. If there is no added value it cannot be defined as a program Program Management is the coordinated management of a specific program to achieve its strategic goals, objectives and benefits Program Management also includes coordinating and prioritizing resources across Projects, managing links between tre projects and the overall costs and risks of the program Program focus is on the realization of benefits through projects.PMP. Exam Preparation Portfolio Management + Program focus is on the realization of benefits through projects. + A portfolio refers to a collection of projects or programs and other works that are grouped together to effectively meet business objectives. * Project Portfolio Managementis a term used to describe methods for analyzing and collectively managing a Project Portfolio, + The projects or programs of the portfolio may or may not be interdependent or directly related. + Portfolio Management focuses on resource prioritization to serve the organization's strategy.= PMP. Exam Preparation Project Management Office (PMO) The PMO is an organization structu’e that is responsible for providing centralized E coordinated management and support for projects in the organization PMOs create value through Standardization (e.g. process, systems), Knowledge (e.g. retention, training) & Consulting (e.g. project, outcome) Typical functions of the PMO include: * Providing coaching, training, mentoring, and oversight on how to manage projects. Developing and managing procedures, policies, templates, and other documentation shared by the projects. * Auditing projects to ensure compliance with set standards = * Managing shared resources across all the projects administered by the PMO. E + Coordinating communication across projects. -2s-PMP. Exam Preparation Constraints Constraints are usually: + competing with one another + changing over time + interrelated Typical corstraints include: +Time + Cost * Scope + Quality +Risk + Resources Constraints may also include: * Contractual provisions * Schedule constraints * Organizational policies + Communication (language barrier) + Environment 26 mil i Tr eB el wlPMP. Exam Preparation The Role of the Project Manager The Project Manager is responsible for the overall accomplishment of the project, ensuring that the project objectives are achieved. The key role of the Project Manager is to ensure project integration. The role of Project Manager comprises many responsibilities including: * Planning and defining scope * Activity planning and sequencing * Resource planning * Developing schedules * Time estimating * Cost estimating * Developing a budget * Controlling quality * Managing risks and issues * Creating charts and schedules * Risk analysis * Customer Liaison * Documentation * Team leadership Strategic influencing Scalability, interoperability and portability analysisPMP. Exam Preparation on Organizational Structure Three types of organizational structures based on the authority level of the project manager are described: + Functional + Matrix be © Weak Matrix © Balanced Matrix fi © Strong Matrix 7 + Projectized E A composite organizational structure is frequently used by organizations where all three types of structures are used at different levels or for different projects. 28dal aa} PMP. Exam Preparation Functional Organizational Structure * Projects run in this structure normally do not have an appointed Project Manager * Funding and reporting are through the organization's functional structure * Project resources report to their own functional managers Managing DirectorPMP. Exam Preparation Matrix Organizational Structure The Project Manager shares responsibility for assigning project team members with the < functional managers. 3 types are described: Z Weak Matrix: A part-time Project Manager is appointed who does not control the project budget. The functional managers have more control over the resources than the Project Manager. =) Balanced Matrix: The Project Manager and functional managers share respcnsibility for the project and authority over the project resources equally, Strong Matrix: A Project Manager who controls the project budget is appointed full time. <— Seca tanve al authority over the project resources £ than the functional managers. a 1 ie 4eS) PMP: Exam Preparation Projectized Organizational Structure + The Project Manager has full authority over project resources, can assign project priorities and direct the work of the project team members + The project team members report only to the Project Manager. Project Manager |PMP. Exam Preparation Enterprise Environmental Factors + Internal and external factors that impact or influence a project's success + May originate from any or all of the enterprises involved in the project and include: + Culture and structure of the performing organization * Infrastructure and resources may include facilities and equipment, Project Management information systems, available human resources, communication channels etc. + Intemal and external conditions e.g. risk tolerances of the project stakeholders, political environment, market conditions etc. 322 me xae 7 PMP. Exam Preparation > Organizational Process Assets + Process-related assets of any organization involved in the project can include: Ra Formal or informal plans Policies i Procedures Guidelines Lessons learned Sar eo 0000 ea) 33 \PMP. Exam Preparation Project Life Cycle vs. Product Life Cycle The Project Life Cycle is a logical sequence of activities required to accomplish the project's goals or objectives Any project goes through a series of stages during it's life, regardless of scope or complexity The Product Life Cycle usually consists of five major steps: * Product Development + Product Introduction + Product Growth + Product Maturity + Product Decline. The product will be withdrawn from the market when it becomes obsolete. 34am PMP. Exam Preparation Project Life Cycle vs. Product Life Cycle The Project Life Cycle has the following characteristics: * Phases within one project may be overlapping * Typically one project phase does not last more than 6 months = Phases may be repeated during a project * Project phases may not be sequential The Product Life Cycle has the following characteristics: * Phases are non-overlapping = Phases may last for several years = Each phase occurs only once = Phases are sequentialPMP. Exam Preparation Project Life Cycle In the Fifth Edition of the PMBOKs Guide, there are 3 types of life cycle: 71 Predictive Life Cycle 5+ Iterative and Incremental Life Cyce + Adaptive Life Cycle The Predictive Life Cycle has the following characteristics: Scope and time, cost required to deliver that scope is known early in the life cycle Used when product to be delivered is well understood, and there is substantial base for industrial practice Typically it follows sequential phases Also known as Fully Plan-drivena =| PMP. Exam Preparation Project Life Cycle The Iterative and Incremental Life (I & 1) Cycle has the following characteristics: + Products are developed in phases (also called Iterations) + Product is developed through a series of | & | cycles + Each iteration incrementally builds the product and at the end of iteration, a deliverable ora set of deliverables completed + Used when organizations need to manage changing objectives and scopes, to reduce complexity of the project The Adaptive Life Cycle has the following characteristics: It has also Iterative and Incremental approach, but differ in that iterations are very rapid usually 2 to 4 weeks of times. Fixed in time and cost before the start of iteration Also known as Change Driven or Agile Methods Used with a rapidly changing environment, when requirements and scopes are difficult to define in advance 37Pegs PMP. Exam Preparation EL {E215 TEL. Questions - Module 2 Project Management Framework ;a asd 2 PMP. Exam Preparation Questions Module 2 Question-1 mt + Which of the following is not a characteristic of a project? S A. Unique a B. Temporary C. Creates a product a D. Repetitive Question-2 + You are working in an organization where role of project manager does not exist. However, whenever needed, a group of people are taken from various functional 4 departments to work on a project and when complete, it is disbanded. What kind of organization are you in? Strong Matrix Balanced Matrix Functional . Composite ae) pom> ad gel Bel 3y nl |PMP. Exam Preparation Questions Module 2 Question - 3 A project can be taken up in an organization due to many strategic factors. Which one of the following is not a factor to initiate a project? A. Technological advance B. Market demand C. Stakeholder wishes D. Legal requirements Question - 4 In which one of the following organizational structures is a project manager's role not full time? gom> Weak matrix Balanced matrix Strong matrix None of the aboveau ake aul aa) 3 PMP. Exam Preparation "1 Questions Module 3 Question - 5 * Which one of the statements below is not correct? A. A program can have projects, but a project may not be part of a program B. Program or projects in a portfolio may not be interdependent or directly related C. Aprogram can contain work outside the discrete projects under that program D. A project must belong to one of the programs in an organization Question - 6 * After a project's closure, as the project manager you have captured the lessons Jeamed and stored into the archive. The archive will be considered as: A. Enterprise Environmental Factors B. Organizational Process Assets C. Policies for the Organization D. Templates for future projectsPMP. Exam Preparation End of Module 2 Project Management Framework Based on the PMBOK: Guide — Fifth edition 42 (myi —— —s — — a PMP. Exam Preparation Project Management Processes Based on the PMBOKs Guide — Fifth Euition 43 Module 3PMP. Exam Preparation E Contents of Module 3 + Project Life Cycle Overview + Project Life Cycle vs. Project Management process = fT * Stakeholders + Key stakeholders + Process Groups and Knowledge Areas + Inputs/outputs of the 47 Project Management processes * Organizational influences on Project Management= a PMP. Exam Preparation Project Life Cycle Overview The project life cycle refers to a logical sequence of activities to accomplish the project's goals or objectives. The project life cycle includes: The technical work to be done in each phase When the deliverables are to be generated, how they are reviewed, verified & validated. + Who is involved in each phase. * How to control and approve each phese. + Project * Detaled definition gag planning soit LnPMP. Exam Preparation Project vs. Process + AProject is a once-off, unique urdertaking + AProcess defines what work is done repetitively and how it is done + Aneffective way of managing projects is by utilizing repetitive processes, with suitable once-off parameters. + To improve projects, the processes can be refined. + The model can be applied at all levels, e.g. for sub-projects and phases - it does not relate solely to the project level. abP MP. Exam Preparation 5 Process Groups The PMBOKe Guide Fifth Edition categorizes Project Management processes in 5 Process Groups: © Initiating = Start the cycle © Planning = Plan o Executing = Do © Monitoring & Controlling = Check & Act © Closing = Ends the cycle NOTE: Process Groups are groups of processes, not phases 49FT De a PMP. Exam Preparation 5 ef Initiating Process Group oy : : The processes that facilitate the fermal authorization to start a new project or a project phase. bed Includes the following Project Management processes: + Develop the Project Charterto initiate & authorize the project. * Identifying stakeholders by identifying all people or organizations impacted by the project, and documenting relevant information regarding SPs bc ble o Their interests © Involvement © Potential impact on project success Bl LB LoL Ieee 46 sPMP. Exam Preparation Planning Process Group i ia This process group consists of those processes that: ‘ + Establish the total scope of the project + Define and refine the objectives, and + Develop the course of action required to attain those objectives. The planning processes develop the Project Management Plan and the project documents that will be used to carry out the project such as: + Requirements traceability matrix + Activity lists * Activity attributes * Risk register etc. 44pope Ee LES oar PMP. Exam Preparation 3 Executing Process Group The Executing Process Group is where all the project work related planning steps are put into action Can be thought of as the "do" component of the Plan-do-check-act (PDCA) cycle model. Actions during execution process: + Manage project execution * Develop and Manage project team + Manage stakeholder engagement + Implementing quality standards and assurance. i + Implement training needs : Implement approved changes Conduct procurement as per the plan ! Manage communications Update project document j S= wou ul ttl i ae a ua) joe 4 = 2 PMP. Exam Preparation Monitoring & Controlling Process Group A project needs consistent monitoring and controlling in order to stay within scope, be completed on time and within the allocated budget. The Monitoring and Controlling Process Group concerns two main aspects of Project Management: + Monitoring and measurement of project performance, making adjustments as needed with the end goal of maintaining the project on its pre-planned course. + Providing the checks and balances needed to determine how a project is performing.PMP. Exam Preparation Monitoring & Controlling Process Group Actions + Integrated change control + Schedule / plan control + Cost control + Scope & quality control + Identify problems & implement solutions + Control stakeholder engagement + Control communications + Performance reporting Seuu ae PMP: Exam Preparation Closing Process Group The closing process group formalizes acceptance of the product, service, or result and brings the project or project phase to an orderly end. This group includes the processes used to formally terminate all activities of a project or a project phase, to hand over completed work products, or to close a cancelled project or project phase. + Obtain acceptance by the customer + Measure customer satisfaction + Conduct end review + Study impacts of tailoring to any process + Finalize and implement lessons learnt * Close out procurements + Hand over project deliverables to the operations team.PMP. Exam Preparation Stakeholders Project stakeholders are individuals or organizations whose interests are affected positively or negatively by the project. Different project stakeholders can have different and conflicting expectations, which need to be analyzed and managed. Stakeholders can include customers, end users, sponsors, program managers, portfolio managers, Project Management Offices (PMO’s), project managers, project team members, functional managers, operation managers, sellers, vendors, legal department, etc. suPMP: Exam Preparation Key Stakeholder Categories Project Manager Project team members Manages the Project Group performing the project work Project Management team Who are directly involved in the Project Management activities Portfolio Manager Responsible for decreasing or increasing the priority of the project and involved in selection of project, e.g. by looking at RO! Performing Organization Whose employees are most directly involved in doing the project's work el PMO peje es It has direct or indirect responsibility for the outcome of ofhie the project Sponsor Provides the financial resources for the project Customer Purchases the product or service OI~ Return on investment rol Rae om om weitPMP. Exam Preparation Project Management Process Groups 5 i Planning |EN [ i mm =PMP. Exam Preparation Process Groups & Knowledge Areas ps (PO) Oo a a ast Proce Planning ‘Executing ‘Monitoring & Controlling ProceseGroup | Procesecreup | "ProcasaGra | proseeteomup Monitor & Conte! See DeveepProet | Devop Project | Drectamanage | etas,Com | egeentanesrment | Opener | Manereifin |Prctnconte | roninaineg | Paget chars Cone ' = = Plan Scope Management, ; Colet Recaremens Votdoe Sope Tere Reneatent Define Scope Contro! Scope 2 : Crete WoS | Pin Sehediio | | i. Management og Daina Astellas — | c sequence Acts z Tate Hence ore Cont Shea ears Lanett ar Deven Sched | Plan Cost Management, | ‘Cost Management EstimateCosts | | Control Costs: Detemne sage | BgPMP. Exam Preparation se f g Process Groups & Knowledge Areas S ree comity id = | | cuir Project Team rntimantonre fee Poste if Manage Project Team fan conmutcations Manovs [conte cenmuncatera| & Pan RlekManagemet, leona 7 Perform Guslitatve Risk jas oes Monto & Cont Fists j Perfo Quatiative Risk aL a = Plan Risk Responses a PlanProcemenis | Conduct. Adanstec Close A Wansgerrer |. Proctements Prosurements | Procirements {at { enity Plan Stokehower | Manage Statehoiter | Conral Slatehokler Suakehoters Marogenet | Engagement Engagement Rc rm tety WoW ow ae ww ow wy ww PMP: Exam Preparation Inputs/outputs of 47 Project Management Processes Ne. Process 3. Enterprise Environmental Factors ‘4 Organizational Process Assets Input Output 7 Projeat Statement of Wark ofabe 2. Business Case 1 3. Agreement 1. Project Charter halal 7 Ennis Ee onal Fae 5. Organizational Process Assets “Project Charter % Idontify Procurement Documents 1. Stakeholder Register Stakeholders: 3 Enterprise Environmental Factors 4, Organizational Process Assets 1 Project Charter a] Dewan Projet Z Outputs Tom other Planning Procssses 4} Project Maragonsnat Plan 4 | Plan Scope Management 7. Project Management Pian 2, Project Charter 1. Scope Management Plan 3 Enterprise Environmental Factors ‘& Organizational Process Assets 2. Requirements Management Plan 5.| Collect Requirements 7. Scope Management Plan. 2 Requirements Management Pla 3. Slakeholder Management Pan 1. Requirements Documentations Project Charter 5, Siakeholder Register 2. Requirements Traceabilly Matric T. Scope Management Plan 2, Project Charter 1. Project Scope Statement 6 | Define Scope Requirements Documentation eee 7, Organizational Process Assets 2. Projet Document Uplat "L Scope Management Plan — 7 Project Scope Statoriant 1. Scope 8: 7 Create wes: 3. Reguiements Documentation Z Enterprise Environmental Factors 5. Organizational Process Assets 2. Project Document UpdatesPMP. Exam Preparation Inputs/outputs of 47 Project Management Processes (Continued) & Enlerprise Environmental Factors 4. Organizational Process Assels No Pros Input ‘Gutput 7, Pojecl Management Flan 2, Project Crariar 8 | Plan Schedule Menegement 1. Schedule Management Pen 3 Project Scope Statement BEniorprise Environmental Factors "Z Organizational Process Assets 7 Schedule Management Plan 7 Aatiy Ut 2, Scape Baseine Z Activity Atvibutes 9 Define Activities 3 Enieipise Environmental Factors 3 Milestone List “. Organizational Process Aseols “1 Schedule Menagement Plan 2. Aciviy List 1. Project Schedule Network Diagram SActvy Atbutes 10] Sequence Activites "4, Mision List 2, Project Document Updates 1" Estimate Activity Resources 4. Schaduia Management Plan 2. Acivily Usk 1. Aetly Resource Requirements S Act Atbutee TF Resource Calendars 5. Risk Register 2, Resource Breakdown Structure 6. Raliviy Cost Estimates 7. Enterprise Environmental Factors 3. Organizational Process Assets 3. Project Documents Updates 6°| Inputs/outputs of the 47 Project Management Processes No. Taput ‘Sutput 12 | Estimate Activity Durations TT Schedule Management Pan 7. Actviy List TAalvity Atributes 7 Acinily Resource Requirements 3. Resource Calendars 1 Activity Duration Estimates & Project Scope Statement 7. Risk Register &. Resource Breakdown Stucture 3. Enterprise Environmental Factors ¥0_ Organizational Process Assots 2, Project Document Updates Develop Schedule Schedule Wanagoment Plan 2, Actviy List 1 Schedule Basalne SAciviy Atibuies 7 Retily Resource Requirements 5. Project Schedule Network Diagranh 2, Project Schedule 6 Resource Calendars 7. Aelvity Duration Estimates a Schoaule Dale 8. Projecl Scope Statement Risk Raginor Projet Calendars 70 Project Staff Assionmonis Tr Resource Breakciown Structure 5. Project Management Plan Updates 72. Enterprise Environmental Factors ©. Project Document Updates TS. Organizational Process Assets Plan Cost Management 7 Project Management Plan 2, Project Charter 3. Enterprise Environmental Factors 7 Orgaiizational Process Assets 1. Cost Management Plan ePMP. Exam Preparation Inputs/outputs of the 47 Project Management Processes Ne Process Input ‘Output {Gost Management Pian 2 Human Resource Management Plan ere 3 Scope Baseline Ta 6 Estimate Cosis 4, Project Schedule Sea eer 5 Risk Register 6, Enlorprise Environmental Factors 3. Project Documents Updates 7, Organizational Procoss Assets 7. Gost Management Plan 2, Scope Baseline 1. Cost Baseline 3 Actviy Cost Estimates 4. Basis of Estimates 16} Determine Budget 5, Project Schedule 2, Project Funding Requirements @. Resource Calendars 7. Risk Register 8. Agreements 3. Project Document Updates Organizational Process Assets 1. Project Management Plan 1. Quality Management Plan 2 Stakeholder Register 2, Process Improvement Plan 17 | Plan Quality Management 3. Risk Register 3. Qually Metrics “4 Reatirements, Documentation 4 Quality Gheckists . Enterprise Environmental Factors ject Document Updates &. Organizational Process Aseets Serr reer eer 6d: No. Process Taput ‘Ouipur Plan Human Resource Menagement 7 Project Management Plan 2 Actvly Resource Requirements 3. Enterprise Environmental Factors ‘4. Organizational Process Assets 1. Human Resource Management Plan Pian Communications Management 7 Project Management Plan 2, Stakeholder Regier 1. Communication Management Plan ZL Enlerprise Environmental Factors 4 Organizational Process Ascote 2. Project Document Updates Pian Risk Management 7 Project Manegement Pian 2, Project Cherter 3. Stakeholder Register & Enterprise Environmental Factors Organizational Process Assets 1. Risk Management Plan Fenty Risks: 7_Risk Mgmt. Pin 2, Cost Mgmt Plan ‘Schedule Mgr. Plan 4. Qual. Mom. Plan 3. HR Mgmt. Pan 6: Scope Baseline 7-Aaiviy Cost Est. 6. Activity Duration Est Stakeholder Rogster 10. Project Documents 11. Procurement Decuments 12. Enterprise Environmantal Factors “S. Organizational Process Assels 41. Risk Register 63PMP. Exam Preparation Inputs/outputs of the 47 Project Management Processes (Continued) ae gw " “m4 EH Management No Process Tapa Output Risk Management Plan aut 2, Scope Bassline form Qualitative 22 3. Risk Register isk Analysis 1. Projet Document Pee 4. Enlerpise Environmental Face eee 5, Organizational Process Assets 1. Risk Management Pian 2, Cost Manageriant Pan 23 | Perform Quantitative 3, Schedule Management Plan Risk Analysis 4: Risk Registor 1. Project Document Updates: 5. Entorpise Environmental Factors @_ Organizational Process Assots 1. Risk Management Pian 7 Project Management Pan Updates 4 ik Responst 24 | Pian Risk Responses 2. Risk Register 2, Project Document Usdatos 1, Project Management Pian 4. Procurement Management Plan 7% Requrements Documentation 2, Procurement Siatoment of Wok 3 Risk Regiser 3, Procurement Documents ee : 4. Aalvily Resource Requirements 4. Source Selecion Criteria 2 ian Procurement 5. Project Schedule 5 Make-or-buy Decisions 6 Activly Cost Estimates 7. Stakeholder Regisier 8. Change Requests @ Enterprise Environmental Factors 8. Organizational Process Assets, 7. Project Document Updates 64Ww uu ow Uy ty) Sie PMP. Exam Preparation Inputs/outputs of the 47 Project Management Processes (Continued) 3. ually Metios Ne Process: Tnput ‘Output 7 Pigject Monagement Pian eee t caahee oaer 1. Stekeholder Management Pian Management 3. Enterprise Environmental Factors Project Document Unda 4. Organizational Process Assets See eee tee: 1. Project Management Plan 1. Detiverables | mn | Svectend wanage 2. Approved Ghange Requests 2. Work Performance Data Project Work 3. Enterprise Environmental Factors 3. Change Requosis 4, Organizational Process Assels 4. Project Management Plan Updates 5, Projeci Document Updates 4. Quality Management Pian 4. Change Requests 2, Process improvement Plan 2, Project Management Plan Updates 28 | Perform Quaity Assurance 3. Project Document Updates. 4 Qualty Control Measurements 5, Project Documents 4, Organizational Process Assets Updates Acquire Project Team 1 Human Resource Management Pian 1. Project Staff Assignments 2. Enterprise Environmental Factors 2. Resource Calendars 3. Organizational Process Assets 3. Project Management Plen Updates Develop Project Team 1 Human Resource Management Plan 7. Team Performance Assessments 2, Project Staff Assignments 3. Resource Calendars 2, Enterprise Environmental Factors Updates 6SPMP. Exam Preparation Inputs/outputs of the 47 Project Management Processes Ne Process Tnput 31| Manage Project Team ik Performance Repo 32 | Manage Communications 2. Work Peviormance Reports in = Fa Fares Fi = en ria Reser snagsan PR ea le 2. Project Staff Assignments 1. Change Requests 1 Tea Paomanas Aesnnona Fee Management Pen Opa 4. tssue Log 7. Project Document Updates esa Work Petomanoe Ropors 4. Ene Eniorrrtl Fors Upiais 5 OigarizatlProases Rass 3 Organsatona Paces Asta Upaaoe 7: Cominraten Maraperen Pas #. Pel Concer e Prec Managed Par Tas 3 Erierpise Envrenmental Factors 3-Project Document Updates es 4. Organizaonal Powis Rest 7 Orginal Prooess Assos Upaaes | hese ee tears 1 Soloed Soles 7. Proament Dosrmati 2 Agearers 3. Source Selection Crtria 3. Resource Galendar 33 | Conduct Procurements 4 Soler Proposes 4 Change Requests 5, Project Dacurnents 6. Make-or-buy Decisions 5. Project Management Plan Updates 7. Procurement Statement of Wark 8. Organizational Process Assets 6. Project Document Updates 1. Stakeholder Management Plan 4. Issue Log az | Manago Stokehotdor 2. Communications Management Plan 7% Change Requests Engagement ‘3, Change Log 3 Project Management Pian Updates “Organizational Process Aasels 4 Project Document Updates 5. Organizational Process Asset Updates 6euw Ww ow wow i tl Ww il i} PMP. Exam Preparation Inputs/outputs of the 47 Project Management Processes Process Taput ‘Output 38 Monitor and Control Project Work 7. Project Wenagerioni Plan 2, Sohedule Forecasts, 1. Change Requests 3. Cost Forecasts 2, Work Performance Repors 4 Valddated Changes 3, Project Management Pian Updates ‘5. Work Performance Information 4, Project Docurnent Updates & Enterprise Environmental Factors 7. Organizational Process Assets 38 Perform Integrated ‘Change Control 1. Project Management Pian 1. Approved Change Requests 2. Work Performance Reports: 2. Change Log 3. Change Requests 3. Project Management Pian Updates Enterprise Environmental Factors “4, Project Document Updates ‘5. Organizational Process Ascels 7 Validate Scope 7. Project Management Plan 7 Accepted Delverabloe 2, Requirements Documentations 2, Change Requests 3. Requirements Traceabilly Matric 3. Work Performance Information 4. Verified Deiverables 2 Project Document Updatcs 5, Work Performance Data Control Seepe 7, Project Management Plan 1. Work Performance Information 2, Requirements Documentation 2. Change Requests 3. Requirements Traceabity Matix 3. Project Ménegement Plan Updates 4. Work Performance Data 4, Project Docurnent Undates ‘5 Organizational Process Assais {5 Organizational Process Assets Updates 4%PMP. Exam Preparation Inputs/outputs of the 47 Project Management Processes 17 input Sutput 5. Approved Change Requests Wo, Prosess, a ee 1, Work Performance Information T Work Perfomance Data 7, Schedule Forecasts Se eee 4, Project Calendars 3, Change Requests 5. Schedule Data & Project Management Pian Updstes &. Organizational Process Assets 7. Organizational Process Assats Updates 7. Projest Management Pian 7. Work Performance Information 2. Project Funding Requirements 72, Gost Forecasts a conto Costs 3. Work Performance information 3. Change Requests “4. Organizational Process Assete 7%. Project Management Plan Updates 5, Project Document Updates &. Organizational Process Assets Updates 77 Project Management Plan 1. Queliy Control Measurements 2, Quality Metics 2, Validated Changes: 3. Gualiy Checkisis 3, Verified Deliverables ‘a te 7% Work Performance Data 7. Work Performance Information 5. Change Requests @. Deliverables 3. Project Managarrent Plan Updates 3 7. Project Documents 7. Project Document Updates, @. Organizational Process Assets @, Organizational Process Asset Updates & cium teealr ay i i = = == PMP. Exam Preparation — Inputs/outputs of the 47 Project Management Processes NoT Process. Input ‘Output aaa Tne Fs 7 Wok Petes omaien —! 2. Project Communications 2. Change Requests 1 | | conte communications 3 issue Lop 3 Fat Menogerent Play Opa | Wa Petomanes 7 Bajed Decora Utes | 5. Organizational Process ASSaIe 5, Organizational Process Assets Updates i 4, Project Management Plan 4. Work Performance Information | Theron 7 Chaps Renee Cort Rta 3 WoncPaterancs bas Pio aap Sar USS 7 ie Petar Rese 1 Bigs Dearson oe . 7 Oasis Ate USS Psa tage Bn 1 Wk Paemanes seat 2 Pecuoren Demers 2. Chane Reames SZ Aperans 7 Pid rapes Par TRS ee nemene: “ Asproved Change Requests 4. Projet Document Updates 1 SW Paere nee ESraslona Sosa Ren IS @ Wien Poros ae 1 je Menage Pav 1 Wei Peemancs omaica ees Tiassa 7 change Rone piled Zio romance bas 3 Pres Wana Pan Up i Pea Doane 4. Pro Doct Upton 3 Ginsatonal Posse Aces Use 69 |PMP. Exam Preparation the 47 Project Management Processes EE Inputs/outputs of Te Process input Suipat 7. Project Management Pion 7. Final Product, Service of Resut Transition 48 | Close Project or Phase 2. Accapted Deliverables 7, Organizational Process Assets Updates J Organizational Process Assets Updates ‘Close Procuremants “| Project Management Plan { Giosed Procurements 2 Procurement Documents Z Organizational Process Assots Updatessy mz 3 = = = PMP. Exam Preparation sj _- Project Integration Management Processes co Develop Project Charter — developing a document that formally authorizes the existence of a project and provides the project manager with the authority = to apply organizational resources to the project E Develop Project Management Plan — defining, preparing, and coordinating = all subsidiary plans and integrating them into a comprehensive project management plan. Direct and Manager Project Work — leading and performing the work defined wa in the project management plan and implementing approved changes to = achieve the project's objectives Monitor and Control Project Work — tracking, reviewing, and reporting Project progress against the performance objectives defined in the project a management plan. . Perform Integrated Change Control ~ reviewing all change requests, approving changes and managing changes to deliverables, organizational Process assets, project documents and the project management plan and communicating their disposition. 4 Close Project or Phase — finalizing all activities across all of the project management process groups to formally complete the project or phase. a WwBW [Bus Me PMP. Exam Preparation } n Project Scope Management Processes : 1 iE Plan Scope Management - creating a scope management plan that documents how the project scope will be defined, validated, and controlled Collect Requirements — determining, documenting, and managing stakeholder needs and requirements to meet project objectives. 1 Define Scope — developing a detailed description of the project and : product. q Create WBS — subdividing project deliverables and project work into S smaller, more manageable components. ] i “1 r ; i i ! Validate Scope — formalizing acceptance of the completed project deliverables. Control Scope — monitoring the status of the project and product scope and managing changes to the scope baseline 42. pea mWww wy = «a PMP. Exam Preparation ‘aj Project Time Management Processes Plan Schedule Management — establishing the policies, procedures, and = documentation for planning, developing, managing, executing, and : controlling the project schedule. : Define Activities — identifying and documenting the specific actions to be LS performed to produce the project deliverables. I Sequence Activities — identifying and documenting the relationships a among the project activities. Ss Estimate Activity Resources — estimating the type and quantities of materials, human resources, equipment, or supplies required to perform I each activity. i Estimate Activity Durations — estimating the number of work periods a needed to complete individual activities with estimated resources. | Develop Schedule — analyzing activity sequences, durations, resource a requirements, and schedule constraints to create the schedule model. | = Control Schedule — monitoring the status of the project activities to Te Update project progress and manage changes to the schedule baseline to a achieve the pian. 73 |PMP. Exam Preparation Project Cost Management Processes Plan Cost Management — establishes the policies, procedures, and documentation for planning, managing, expending, and controlling project costs. Estimate Costs — developing an approximation of the monetary resources needed to complete project objectives. Determine Budget — aggregating the estimated costs of individual . activities or work packages to establish an authorized cost baseline. . Control Costs — monitoring the status of the project to update the | project costs and managing changes to the cost baseline. Wwoa ib ill ll tl i PMP. Exam Preparation tai Project Quality Management Processes ial ul ul Plan Quality Management — identifying quality requirements and/or standards for the project and its deliverables and documenting how the project will demonstrate compliance with quality requirements and/or standards. = Perform Quality Assurance ~ auditing the quality requirements and S the results from quality control measurements to ensure that appropriate quality standards and operational definitions are used. Control Quality — monitoring and recording results of executing the quality activities to assess performance and recommend necessary | changes. WsPMP. Exam Preparation Project Human Resources Management Processes Plan Human Resources Management — identifying and documenting project roles, responsibilities, required skills, reporting relationships, and creating a staffing management plan. Acquire Project Team — confirming human resource availability and 4 obtaining the team necessary to complete project objectives. fas Develop Project Team — improving competencies, team member interaction, fe and overall team environment to enhance project performance. " Manage Project Team ~ tracking team member performance, providing feedback, resolving issues, and managing changes to optimize project performance, Feale ea, ‘a | =] | . | mI sa PMP. Exam Preparation 2 Project Communications Management Processes mR = a Plan Communications Management — developing an appropriate approach and plan for project communications based on stakeholder’s ig information needs and requirements, and available organizational assets, = Manage Communications ~ creating, collecting, distributing, storing, = retrieving and the ultimate disposition of project information in accordance ' - with the communications management plan, os Control Communications — monitoring and controlling communications = throughout the entire project life cycle to ensure the information needs of * the project stakeholders are met. | at kal mel Aas be) 4‘ . PMP. Exam Preparation ’ Project Risk Management Processes : a F Plan Risk Management — defining how to conduct risk management activities for a project. Identify Risks — determining which risks may affect the project and documenting their characteristics. Perform Qualitative Risk Analysis ~ prioritizing risks for further analysis or action by assessing and combining their probability of occurrence and impact. Perform Quantitative Risk Analysis — numerically analyzing the effect of : identified risks on overall project objectives, Plan Risk Responses ~ developing options and actions to enhance opportunities and reduce threats to project objectives. Control Risks ~ implementing risk response plans, tracking identified risks, monitoring residual risks, identifying new risks, and evaluating risk process effectiveness throughout the project. 48= (i Ui i aa ae a) PMP. Exam Preparation Project Procurement Management Processes Plan Procurement Management — documenting project procurement decisions, specifying the approach, and identifying potential sellers, Conduct Procurements — obtaining seller responses, selecting a seller, and awarding a contract. Control Procurements — managing procurement relationships, Monitoring contract performance, and making changes and corrections as. appropriate. Close Procurements — completing each project procurement a |PMP: Exam Preparation ' Project Stakeholders Management Processes Identify Stakeholders — identifying the people, groups, or organizations E that could impact or be impacted by a decision, activity, or outcome of the project; and analyzing and documenting relevant information regarding their interests, involvement, interdependencies, influence, and potential impact on project success. Plan Stakeholder Management — developing appropriate management strategies to effectively engage stakeholders throughout the project life cycle, based on the analysis of their needs, interests, and potential impact on project success. Manage Stakeholder Engagement ~ communicating and working with i stakeholders to meet their needs/expectations, address issues as they c occur, and foster appropriate stakeholder engagement in project activities throughout the project life cycle. Control Stakeholder Engagement — monitoring overall project stakeholder relationships and adjusting strategies and plans for engaging stakeholders. Loial dal PMP. Exam Preparation Organizational Influences on Project Management + The organizational culture, style and structure influence how projects are performed. The term culture generally means “how we do things around here.” * Process orientation - if the organization follows a good, scalable Project Management process you are likely to deliver consistently successful projects. * Governance - The management function that concerns making sure people do what they're supposed to do in accordance with the standards and guidelines. * Training - appropriate training to project managers should result in a better project outcome. * Roles and responsibilties - roles and responsibilities of every individual and work need to be defined. The sponsor, for instance, needs to perform a quality assurance ole and be the project champion in his or her organization, * Organizational structure - the structure of the performing organization often, constrains the availability of resources in a Spectrum from functional to projectized, with a variety of matrix structures in between 8)PMP. Exam Preparation Organizational Influences on Projects ea Table 2-1. Organizational Influences on Projects . in rs eae I ee ay) ‘Weak Matrix [esenestnan Strong Matix ae ce Project Manager's: “ Low to Moderate: High to Authority ee ae Moderate to High Almost Total 7 Resource Lowto Moderate High to = Avadabity Arie or Rene Fe nae Wederste woth | Almost Tota 7 ‘Who controls the Functional | Functional ot Project Project a project budget Manager Manager ino Meneger Maneger roject Manager's ‘a ae Parttime Porttime Fultime Fultime Fulkime 7 Project M B Kicet Management | perstime Parttime Partuime Fuvtime Fulttmne q 5 : & ia id il a = PMP. Exam Preparation Questions - Module 3 Project Management Processes[ier et ee ro PMP. Exam Preparation f rb f) Questions Module 3 Question - 1 a + Which Process Group tracks the progress and performance of the project? . Planning Process Group . Executing Process Group "Monitoring and Controlling Process Group Closing Process Group ©) pom> Question - 2 + Stakeholder Management is one of the most important works performed by a Project Manager. For identification of stakeholders, which of the following Process Groups and Knowledge Areas does “Identify Stakeholders” belong? ee A. Initiating Process Group and Human Resources Management Knowledge Area B. Planning Process Group and Human Resources Management Knowledge Area C. Initiating Process Group and Stakeholder Management Knowledge Area D. Planning Process Group and integration Management Knowledge Area me | ' ¢ \ ' 1= Gow i aa a aa aar bal ean el PMP: Exam Preparation Questions Module 3 Question - 3 B. Cc. D. Which Knowledge Area has a process area defined in all of the Process Groups? A. Integration Management G Time Management { Cost Management (O Scope Management Question — 4 * Which one of the followin, Edition? pop> ig is not a valid process area defined in PMBOKs Guide Fifth .. Monitor and Control Quality Monitor and Control Procurements - Monitor and Control Project Work ‘i . Both Aand BPMP. Exam Preparation Questions Module 3 Question - 5 * The Risk Register will be the Output of which Process Area as defined in the PMBOKe Guide Fifth Edition? A. Plan Risk Management B. Identify Risks 8 Cc. Control Risks . D. Develop Project Management Plan | | | % Jwal gal eat 7 PMP: Exam Preparation End of Module 3 Project Management Processes Based on the PMBOK: Guide — Fifth edition had ear Qt wedPMP. Exam Preparation Module 4 Project Integration Management Based on the PMBOKs Guide ~ Fifth Edition Be=] < ee nn: PMP. Exam Preparation Contents of Module 4 What is Project Integration Management? + Role of project team + Role of project sponsor + Project selection methods * Core processes of the Project Integration Management Knowledge Area: © Develop Project Charter © Develop Project Management Plan Direct and Manage project work © Monitor and Control project work © Perform Integrated Change Control © Close Project or Phase ° 8qPMP. Exam Preparation What is Project Integration Management? The process of ensuring that the various elements of a project are properly consolidated, coordinated and integrated to ensure the successful completion of the project. Project Integration Management includes initiating the project (Project Charter), project planning (Project Management plan), Directing and Managing Project Execution, Monitoring and Controlling Project Work, Performing Integrated Change Control, and Closing the Project or a Phase of a project.Wi 1) : i E 1 E : PMP. Exam Preparation The Role of the Project Team The key role of the Project team is to concentrate on achieving the project's objectives. The team consist of: * The Project Manager * The Project Management team * The individuals who perform the work ofthe project to produce the project outcome Typical responsi ies include: * Project Communication + Day-to-day management of the project * Monitoring the projects critical path * Risk Management * Change contro! * Deliver the project's products Aa]Ta rr PMP. Exam Preparation The Role of the Project Sponsor The sponsor is the project champion. This role includes maintaining support for the project by acting as project spokesperson to the higher-level management and spelling out the benefits of the project. Key roles of the Project Sponsor are: Project advocate and visionary. Final decision point for escalated issues. Supports and directs the project manager and team. Communicates project status to executive management. Ensures the realization of the project's benefits Controls the project budget Authorizes project baselines, etc. qGzair au ih Gl GB) G8) Gay PMP. Exam Preparation Project Selection Methods Project selection uses various techniques to select the most appropriate project(s) amongst the available alternatives. The techniques can be grouped into two major categories. Benefit Measurement (comparative approach) * Scoring Models + Cost-benefit analysis + Economic models Constrained Optimization (mathematical approach) + Linear and Non-linear Programming + Integer programming & dynamic programming + Multi-objective programming 93PMP. Exam Preparation Scoring Models Evaluates projects by using a set of criteria with a weight or score assigned to each criterion in accordance with managerial policy. Different weights can be assigned to different criteria to represent the varied degree of importance given to various criteria All projects are evaluated against this set of criteria and the project with the maximum score is selected. Both objective and subjective criteria can be included, such as financial data, organizational expertise, market value, innovation and those which fit with the corporate culture. gy— = Wo ll ll lb iW hm PMP. Exam Preparation Cost Benefit Analysis A process of determining the pros and cons of any process, product or activity. Based on comparing the projected cost and income (benefit) Can be used as the basis for comparing alternative competing projects or implementation methods. This method favors projects that create quantifiable benefits as the long-term benefits of projects might not be tangible at the current time, such as innovation and strategic values. asWks; ae Sar cgee: PMP: Exam Preparation Cost Benefit Analysis Benefit Cost Ratio (BCR) can be calculated as Benefit + Cost For the benefit to exceed cost, the BCR must be greater than 1 i The greater the BCR is, the more attractive the project and the project with the highest BCR will be selected. Example: If the projected costs and benefits of two projects are: + Project A with a cost of $10,000, generating an expected income of $60,000. The BCR is equal to $60,000 + $10,000 = 6. * Project B with a cost of $20,000, generating an estimated income of $100,000. The BCR is equal to $100,000 + $20,000 = 5. Using BCR, project A will be chosen over project B tl eae ee ea ee Ean %al PMP. Exam Preparation Economic Models Economic models are used to estimate the economic efficiency of a project. It involves a Set of calculations to provide overall financial data about the project and projects that offer the best monetary benefits to the company would be prioritized, The common terms involved in economic models are explained in the following lis. Cash flow - refers to both the money coming in and the money going out of an organization. ‘Two common methods are NPV (Net Present Value) and IIR (Internal Rate of Return). 7PMP. Exam Preparation Present Value (PV) and Net Present Value (NPV) + To understand these two concepts, understand that one dollar today can buy you more than what one dollar can buy next year (because of inflation). + Net Present Value is the sum of all the cash flows of the project (including both costs and benefits), each adjusted to today's value ( = Present Value) according to estimated future inflation Alternative Projects can be compared using the NPV, even if they are not expected to be completed during the same time frame and benefits are reaped over different periods of time. 98BAP: me PMP. Exam Preparation Internal Return Rate (IRR) Another way of estimating the potential benefit of a project The cost of the project is viewed as the capital investment and the profit is translated into the interest rate over the life of that investment. IRR is the rate of interest used in the NPV calculation which makes the NPV = 0.PMP. Exam Preparation Constrained Optimization Methods Constrained optimization methods are concerned with predicting the success of the project. These methods are based on complex mathematical models that use formulae and algorithms to predict the success, These models use the following kinds of algorithms: + Linear + Nonlinear + Dynamic + Integer + Multiple objective programming 100= PMP. Exam Preparation a Expert Judgment Expert judgment is one of the techniques used in project management to accomplish various tasks, including project selection. It refers to making a decision by relying on 3 &xpert advice from one or more of the following sources: Senior management An appropriate unit within the organization The project stakeholders, including customers and sponsors Consultants Professional and technical associations Industry groups Subject matter experts from within or outside of the performing organization Project management office (PMO) e©0000000 jorPMP. Exam Preparation Develop Project Charter The project charter formally authorizes the Project and defines the responsibility and authority Inputs to of the project manager. develop the Project Charter: Project Statement of Work (SOW) - a narrative description of products or services to be supplied by the project. Agreements — defines initial intention of the project and in the form of a contract, MoU, SLA etc. A contract is for an external customer, Enterprise Environmental Factors - culture and structure, infrastructure, existing human resources, marketplace & its conditions etc Organizational Process Assets - the organization's policies, guidelines, Procedures, plans, approaches, or standards for conducting work, including project work. Business Case - documents information required to determine whether or Not the project is worth the required investment. Jo2PMP. Exam Preparation Develop Project Management Plan ‘The Project Management Plan is the key document that contains the overall Planning, monitoring, and implementing activities to be done on a project. Inputs to develop the Project Management Plan Project Charter, including business needs and project objectives EL Outputs from planning processes regarding cost, scope, schedule, quality, risk, procurement and resources, Enterprise Environmental Factors i.e. company culture Organizational Process Assets i.e, procurement procedures = = = }- E ee ere et r Sipe. Come. (Zasl) 44 =| = ‘ a MoU» nemerene— , 103PMP. Exam Preparation Direct and Manage Project Work Direct and Manage Project Execution is the process that comprises all the work needed to deliver the project's deliverables as defined in the Scope Baseline consisting of the Scope Statement, WBS and WBS Dictionary. Project Deliverables: The primary Output which is any unique and verifiable product, result or capability to perform a service Change Requests are one of the Outputs of this process. There are four types of changes that can be requested: * Corrective action: This is the documented direction for executing the project work to bring expected future performance in line with the Project Management Plan. + Preventive action: Documented direction to perform an activity that can reduce the probability of negative Outputs. * Defect repair: Formally documented identification of a defect in the project with a tecommendation for repairing or replacing the component + Updates: Changes to formally controlled documentation reyPMP. Exam Preparation 3 Monitor and Control Project Work Tis Process involves collecting, tracking, reviewing and reporting the performance j objectives defined in the project management plan. Inputs to monitor and control project work are ia + Project Management Plan * Work Performance Information * Schedule and Cost Forecasts + Validated Changes aa) Enterprise environmental factors Organization process assets 1 The results of the monitoring & control process are: 7 + Change Requests © recommended changes to the project as well as : © recommended corrective and preventive actions, + Work Performance Reports 3 * Project management plan updates * Project documents updates 10sPMP. Exam Preparation Perform Integrated Change Control ‘The objective of this process is to ensure that only approved changes are incorporated into a revised baseline and implemented in the project. It's achieved through reviewing all change requests, approving and managing changes to the: * Deliverables * Organizational Process Assets * Project Documents + The Project Management Plan [06si oe PMP. Exam Preparation Perform Integrated Change Control During integrated change control the following actions are performed: * Reviewing of all change requests * Approving changes * Managing changes Inputs to perform integrated change control are: * Project Management Plan * Work Performance Reports * Change Requests * Enterprise Environmental Factors * Organizational Process Assets fo#PMP. Exam Preparation Close Project or Phase Project closure involves: + handing over the deliverables to the customer + passing the documentation to the business + cancelling supplier contracts + releasing staff and equipment + finalizing lessons learned and + informing stakeholders of the closure of the project.aR) PMP. Exam Preparation Questions - Module 4 Project Integration Management JogPMP. Exam Preparation Questions Module 4 Question -1 + Which one of the following best describes the main purpose of the Project Charter? A. Itidentifies the sponsor and describes his or her role in the project B. It identifies the list of important stakeholders in the project C. It describes the initial scope of the project work D. It authorizes the project manager to work on the project Question - 2 + After Anita's input (Anita is the PM), the Project Charter is ready and Anita wants to kick- start on the project meeting. Which process should she get into immediately in such a case? A. B. Cc. D. .. Start identifying the stakeholders Start collecting the requirements Start preparing the initial project plan Start getting the resources for the project joPMP. Exam Preparation ~ Questions Module 4 Question - 3 + Which one of the following is not a mathematical approach in project selection? ‘A. Using linear algorithms eS B. Using dynamic algorithms i : = C. Using economic models . D. Using multiple objective programming 1 Question — 4 5+ The person responsible for approving the changes to the baseline in the Project epee ee ee tek alr 4 gom> Management Plan is: Project Sponsor Project Manager Program Manager Portfolio Manager e nNPMP. Exam Preparation Questions Module 4 Question -5 * Change Requests can act as inputs and outputs to which of the following process area pairs? ‘A. Develop Project Management Plan & Monitor and Control Project Work B. Perform Integrated Change Control & Direct and Manage Project Work C. Monitor and Control Project Work & Close Project or Phase D. Develop Project Management Plan & Develop Project Charter Question -6 + AProject Management Plan is a combination of the following documents with the exception of: A. B. Cc. D. ‘Schedule Management Plan Cost Management Plan Risk Management Plan Issue Log m2| PMP. Exam Preparation End of Module 4 Project Integration Management Based on the PMBOK: Guide — Fifth edition sapere ar ae = —? NZPMP. Exam Preparation Module 5 Project Scope Management Based on the PMBOKs Guide — Fifth Edition Ny= PMP. Exam Preparation Content of Module 5 + What is Project Scope Management? + Product Scope vs. Project Scope (+ Plan Scope Management > nl | { + Define Scope * Collect Requirements a) \ ‘+ Create WBS (werk Bacateecloun Structow ) eu (f i * Validate Scope > Abb * Control Scope a Eee eePMP. Exam Preparation Project Scope Management Project Scope Management, according to the PMBOKe Guide Fifth Edition, is “the processes to ensure that the project includes all of the work required, and only the work required, to complete the project successfully.” The Project Scope Management Knowledge Area consists of six processes: Plan Scope Management - Creating a Scope Management Plan Collect Requirements - obtaining stakeholder’s needs Define Scope - in the Project Scope Statement Create WBS - decomposing scope into work packages Validate Scope - user acceptance and sign-off Control Scope - Integrated Change Control of the Scope Baseline nePMP. Exam Preparation = Project Scope Management Scope Management may be characterized as the function of developing and managing the project's scope: * from given goals and objectives * through development and explicit definition + through execution or production + to satisfactory product delivery ntPMP. Exam Preparation Product Scope vs. Project Scope Product Scope - is the set of functions and features that characterize a product, Service, or result to be delivered by the project. Project Scope - is the work required to deliver the product scope, The major goal of Scope Managements to ensure that all the required work and only the required work is included and performed in the project. This goal is accomplished by the following processes: P= Collecting Requiements NBeal GaP ae ls tah PMP. Exam Preparation Plan Scope Management The process of creating a Scope Management Plan that documents how the project scope is defined, validated and controlled — provides guidance and direction on how scope will be managed throughout the project life cycle Inputs Tools & Techniques ‘Outputs Project Management Plan Expert Judgement S| Project Charter Mesings Requirements Management |. j ~~) ; Plan > E Entorprice Environmental si Factors ‘Organizational Process =} 2: i NyPMP. Exam Preparation Collect Requirements Collect Requirements is the process of defining and documenting stakeholder’s needs to meet the project's goals. Requirements include the quantified and documented needs and expectations of the sponsor, customer, and other stakeholders and can be categorized into: ub * Project requirements (business requirements, project management_\/~" requirements, delivery requirements, etc.) é + Product requirements (information on technical requirements, security requirements, performance requirements etc.) ite yeBey: 3 PMP. Exam Preparation Collect Requirements Process of determining, documenting, and managing stakeholders needs and requirements to meet project objectives inputs Tools & Technique ‘Outputs "Scope Management Plan Inteniows Requirements Documentation ‘Requirements Management Facilitated Workshops. Requirements Traceability Plan Matric ‘Stakeholder Management | Group Greatviy Techniques Plan Project Gharier ‘Group Decision Making Techniques ‘Stakeholder Register ‘Questionnaires and Surveys: Focus Groups ‘Observations Prototypas. ‘Benchmarking Context Diagrams Document Analysis 124PMP. Exam Preparation Define Scope The Process of developing a detailed description of the project and product © This process describes the project, service, or result boundaries by defining which of the requirements collected will be included / excluded from the scope Inputs ‘Scope Management Pian Tools & Techniques Expert Judgement Outputs Project Scope Statement Project Charter Product Analysis, Project Document Updates Requirements Documentation ‘Alternatives Identification Organizational Process Facilitated Workshops 12d—— wou ou U ul ut iu a aa) au ak) all PMP. Exam Preparation Create WBS * The Work Breakdown Structure (WBS) as defined by the PMBOKe Guide Fifth Edition is “a deliverable-oriented hierarchical decomposition of the work to be executed by the project team to accomplish the project objectives and create the required deliverables." * The lowest level of the WBS is referred to as a work package. + For every work package a WBS Dictionary is compiled. * The Scope Baseline consists of the approved detailed Project Scope Statement, WBS and WBS Dictionary. 123PMP. Exam Preparation WBS Dictionary The WBS dictionary may typically include: + Abrief description of the Scope or Statement of Work. + Defined deliverables. + Activities required for the work package. + Start and end dates. + Resources required. + Cost estimates. + Defined milestones. + Contract information. + Quality requirements. | 4 12 |PMP. Exam Preparation Create WBS The process of sub-dividing project manageable components. KPS deliverables and project work into smaller, more Inputs Tools & Techniques ‘Outputs ‘Scope Management Plan Decomposition ‘Scope Baseline Project Scope Statement Expert Judgement Project Document Updates ‘Requirements Documentation Organizational Process AssetsPMP. Exam Preparation WBS Example New Boat 10 20 30. nies sans oat Shot isting at 22 umm wt weer and Materials Acquires ai superstructure ‘Sinishing Matoriat ot & sg at Panne a fa See 233 mowias| | 222 || 220 aa || 23] | azn 328 324 Marwed'& | | Feamowor | [piyStinin| — | Framework | | PRS | | ergine | | Furia | | Boat ‘ca | | Rovontiae | | eee embed || Re, | | insntes | [a Gocres| | Poin 126a i il th tl ti ib Al AML PMP. Exam Preparation Validate Scope {tis the process of formalizing acceptance of the completed project deliverables. Project Management Plan Inspection includes reviewing deliverables to ensure that they are completed as expected and obtaining formal acceptance of the deliverables by the customer. Outputs ‘Accepted Delverabes Requirements Documentation Group Decision Making Techniques ‘Change Requasis, Requirements Traceablity Matic Work Performance: Information Verified Daiiverabies Project Document Updates ‘Work Performance Data 12%PMP. Exam Preparation Control Scope Scope Control includes: + Monitoring the status of the Project and Product Scope + Managing changes to the Scope Baseline. + Focusing on the Project Management aspects for delivering the product/service, Topas Tools & Techniques Outputs Project Management Pan Variance Araljee Work Performance infomation Work Performance Data Change Requesis Requirements Documentation Prjoct Document Updates Requeirents Taceabiiy Froject Managoment Pian Mate Updates Crsaizatonal Process Orpanizatonal Procaes ascot ‘Acta Updates 18a ‘oa ASE PMP. Exam Preparation eb RR dey Rt LAE Bal Questions - Module 5 te Project Scope Management RED RMT 2 = 429PMP. Exam Preparation 1 Questions Module 5 Question -1 * Which one of the following best describes the Scope Baseline for a project? A. WBS, WBS Dictionary and Project Management Plan B. WBS Dictionary, WBS and Requirements Management Plan J ~ C. WBS, WBS Dictionary and Scope Statement 5 D. WBS, WBS Dictionary and Requirements Documentation Question - 2 * According to the PMBOKs Guide Fifth Edition, the Project Scope Statement is an Output © of which project management process? Define Scope (> Plan Scope Management \ Collect Scope Validate Scope Dom». a =| PMP. Exam Preparation Questions Module 5 Question —3 + Your project team is executing the work packages for your project when a serious disagreement regarding the interpretation of the scope is brought to your notice by two senior technical members. How should the dispute be resolved? . Project team should decide on the resolution . Dispute should be resolved in favor of the customer ~ . Dispute should be resolved in favor of senior management .. Project Manager should consult the project charter for guidance Question - 4 + The most important part of validating Project Scope is: com> Gaining formal acceptance of the deliverables from the customer Checking scope of the project against stakeholder expectations Verifying that the project is performed on time & within budget Verifying that the project met the quality specification 13)PMP. Exam Preparation Questions Module 5 Question - 5 * You recently joined as a project manager for a construction project. Construction for the project has already been started, but you found that no WBS is available. Which will be your best course of action? A. Stop construction on the project until the WBS is created B. Refuse to manage the project C. Consult the senior management team & consult on the oversight on the WBS D. Check the historical information on the project Question - 6 i * The lowest level in a Work Breakdown Structure is known as: A Control Account B. Activity | C. Deliverable | D. — Work Package y 132,wae ae aera Anh iad Bip Gi ear Ae PMP. Exam Preparation End of Module 5 Project Scope Management Based on the PMBOK: Guide — Fifth edition 133PMP. Exam Preparation Module 6 Project Time Management Based on the PMBOKs Guide ~ Fifth Ealtion 1343 ib ul ey = AAD ABS Aal Bip aer mL PMP. Exam Preparation Content of Module 6 What is Project Time Management? What is Project Schedule? Gantt Charts Network Diagram Estimation ‘Schedule Network Analysis Techniques PERT, PERT Analysis, Critical Path Method and Schedule Compression Project Time Management Knowledge Area Processes Plan Schedule Management Define Activities Sequence Activities Estimate Activity Resources Estimate Activity Durations Develop Schedule Control Schedule e000000PMP. Exam Preparation Project Time Management eet + In simple words the Project Time Management processes describe how to monitor and control time spent within a project. Wbees + Every resource on the project needs to know what to do and when. Without an agreed and realistic schedule, time may be wasted waiting for predecessor tasks to complete or tasks may be done out of sequence, leading to rework and additional costs. * Using the Time Management processes, the amount of time being spent by the project team can be controlled, which will increase the chances of delivering the project on time and as scheduled. 2 2 a i d ! : i 136PMP. Exam Preparation Project Schedule * AProject Schedule is the agreed upon start dates, durations and end dates of the project tasks sequenced in a logical order. This is done by analyzing activity sequences, durations, resource requirements, and schedule constraints * The Baseline Schedule is the finalized and approved version that will be used to control the project schedule. * The Schedule Management Plan contains details like, how to go about planning the project schedule and how to effectively manage and control the project to the schedule baseline. 139PMP. Exam Preparation Project Schedule Project schedules support the following: + They provide a basis to monitor and control project activities. + They help with determining how best to allocate resources to achieve the project goals. + They help with assessing how time delays will impact the project. 4 * They enable the identification of where excess resources are available for re-allocation to other tasks or projects. j + They provide a basis for tracking project progress. 138.= = THEE ARE WEE PMP. Exam Preparation Gantt Chart * It provides a graphical illustration of a schedule that helps to plan, coordinate, and track specific tasks in a project. Itillustrates the start and finish dates of the elements of a project. 'tis constructed with a horizontal axis representing the total time span of the Project, broken down into increments (for example, days, weeks, or months) and a vertical axis representing the tasks that make up the project report Date zene avo 31 sari 191 aeVa aria ioe aziz sare siz a) i Seer ntontewa Cc = 139PMP. Exam Preparation Project Schedule Network Diagram A visual representation technique that depicts the activities involved in a project and the logical relationships (dependencies) among them. Precedence diagramming method (PDM) may use an activity-on-node (AON) schedule network diagramming technique, where the boxes (nodes) represent the activities and the arrows represent the logical relationships. Activity End2 a =; PMP. Exam Preparation | ss Schedule Network Dependencies = _ There are four types of dependencies: i Finish-Start: The successor activity (B) cannot start before the predecessor activity (A) has “ended e.g. you cannot cook a stew before gathering alll the ingredients. Start-Start: The successor activity (B) cannot start before the predecessor activity (A) has ={__ started e.g. project management can only start on the project once the project has started. Finish-Finish: the successor activity (B) cannot finish before the Predecessor activity (A) _.__ has finished e.g. project management can only stop once the last activity on the project is | completed. | Start-Finish: The predecessor (A) can not start until the successor (B) has finished. This type is seldom used, & RRP REE 14PMP. Exam Preparation Estimation Estimation is a quantitative assessment ofthe likely amount or outcome. It should always include some indication of accuracy (e.g., plus/minus a certain percentage), Types of estimation techniques include: Analogous - an estimate done usin g the values of parameters from previous experiences with similar activities. Parametric - uses a statistical felationship between historical data and other variables to calculate an estimate for activity parameters 6 g. multiplying the planned work to be performed by the historical cost per work unit to obtain an estimated cost value. Bottom-up - Estimating based on individual work packages of the WBS and rolled- Up to get the total estimate for the project. This estimate is normally the most accurate because it is based on estimating at detail level, i it fh. a cea| aap eer bed au PMP- Exam Preparation Estimation (Continued) Heuristics: A heuristic estimate means rule of thumb i.e. the 80/20 quality rule that suggests that 80 percent of quality problems are caused by 20 percent of problem sources. Reserve Analysis: An analytical technique to determine the essential features and relationships of components in the project management plan to establish a reserve for the schedule duration or budget for a project. 143PMP: Exam Preparation Single & Three Point Estimation Single Estimate - only one estimate per activity is provided i.e. the person doing the estimate says that the activity would take 2 weeks. Three-point Estimates - PERT (Program Evaluation Review Technique) uses a three-point | estimating technique, with weighted averages of optimistic, pessimistic and most likely estimates. The most likely estimate is weighted most heavily. The equation is: E = PERT estimate (time or cost) Optimistic estimate ML = Most Likely estimate essimistic estimate Example: It is estimated that an activity would at best be completed within 5 days, at worst within 15 days, but most of the time should be completed within 7 days: PERT duration estimate E = (5 + (4 X 7) + 15)/6 = 48/6 = 8 days Nadya PMP. Exam Preparation Plan Schedule Management The process of establishing the policies, procedures, and documentation for planning, developing, managing, executing, and controlling the project schedule Gives guidance and direction on how the project schedule should be managed throughout the project lifecycle Project Menagoment Plan Tools & techniques Expert Judgement ‘Outputs ‘Schedule Management Pian ‘Project Chartor ‘Analytical Techniques Enterprise Environmental Factors Meatings ‘Organizational Process ‘AscotsPMP. Exam Preparation Define Acti ities Activity definition is the process of decomposing a work package into a number of tasks required to complete the deliverables. In other words - what needs to be done on the project, | : i i i Too aT cae ee Tenaya ; expe Besse Fog Wes Pog Tay Sasa eae |e SDRC Yasar Ee Tatra ome iewar ta PMP. Exam Preparation Sequence Activities ‘Sequencing activities is where activities are put in order of when they should be performed by defining the relationships between them. Inputs Tools & Techniques Outputs "Schedule Management Plan redence Diagramming | _ Project Schedule Network Method (POM) Diagrams ‘Activity Uist Dependency Determination | — Project Document Updates Act Attributes: Leads and Lags Project Scope Statement Milestone List Enterprise Environmental Factors Organizational Process Assets “ttPMP. Exam Preparation Sequence Activities continued Leads and Lags: Lead ~ is the amount of time that a successor activity can be advanced with respect to a 1 Predecessor activity, Eg, on a new build offic project the car park for the offices couldbe Scheduled to start two weeks before the actual building work on the office itself completes. This would be shown as a finish-to-start with a two week lead. Leads are often indicated as having negative value for lag in scheduling software. Lag ~ is the amount of time that a successor activity will be delayed with respect to a predecessor activity. Eg, a review team may start editing a draft decament days after Starting to write it. This would be shown as a start-to-start with a 5 day lag. Compote office build FS-2 Weeks (Lead) 8-5 Days (Lag) 14daah eS ae: a aes PMP. Exam Preparation Estimate Activity Resources Estimate activity resources are the process of estimating the type and quantities of resources required to perform each activity. Inputs Tools & Techniques Outputs ‘Schedule Management Plan Expert Judgement ‘Aalivly Resource Requirements ‘Activily List ‘Alternatives Analysis Resource Breekdown Structure Activity Atsbutes Published Estimating Data | Project Document Updates Resource Calendars Bottom Up Estimating Risk Register Project Management Software ‘Activity Gost Estimates Enterprise Environmental Factors ‘Orgenizational Process Assets sugPMP. Exam Preparation Estimate Activity Durations Activity duration estimation is the process of identifying the time needed (work period) to complete individual activity. Inputs ‘Tools & Techniques Outputs ‘Schedule Management Plan ‘Expert ludgemant TRetivty Duration Estimates Activity List ‘Analogous Estimating Project Document Updates ‘civ Aurbutes: Parametic Estimating ‘Activity Resource Three Point Estimates: Requirements ‘Resource Calendars ‘Group dession Making “Techniques Project Scope Statement Reserve Analysis Risk register Resource Breakdown Structure Enterprise Environmental Factors ‘Organizational Process Assets {se— q PMP. Exam Preparation Develop Schedule The process of analyzing activity sequences, durations, resource requirements and schedule constraints to create the project schedule. Inputs Tools & Techniques ‘Outputs ‘Schedule Manage ‘Schedule Network Analysis ‘Schedule Baseline ‘Activity List Critical Path Method Project Schedule ‘Activity Attributes Critical Chain Method ‘Schedule Data Project Schedule Network | Resource Optimization Project Calendars Diagrams Methods ‘Activity Resource ‘Modeling Techniques Project Management Plan Requirements Upestes Resource Calendars ‘Leads and Lags Project Document Updates Activity Duration Estimates | Schedule Compression Project Scope Statement ‘Scheduling Too! Risk Register| Project Staff Assignments Resource Breakdown Structure Enterprise Environmental Factors Organizational Process Assis ysPMP. Exam Preparation Control Schedule Controlling the schedule includes monitoring schedule performance and controlling changes to the schedule baseline. inputs Project Management Pion Tools & Techniques Performance Reviews | | Outputs Work Performance Information Projact Schedule Project Management Software ‘Schedule Forecasts Work Performance Data Resource Optimization Techniques ‘Change Requests Project Calendars ‘Modeling Techniques Project Management Plan Updates Schedule Data leads and Lage Project Document Updates ‘Orgenizational Process Assels ‘Schedule Compression ‘Organizational Process ‘Assets Updates ‘Scheduling Too! \S2f aR ik PMP. Exam Preparation Schedule Network Analysis Techniques ‘Schedule network analysis techniques are used to produce the project schedule. Examples of these techniques are: Scenario analysis technique, investigating questions such as “what if a particular aspect is changed on the project, would that produce a shorter schedule?”. The aim is to produce a more realistic schedule. Monte Carlo analysis is a computer based technique to simulate the outcome of a project, making use of three point estimates. It re-calculates the schedule network and critical path for different randomly chosen scenarios and calculates the probability distribution for completion dates. Resource levelling is used to produce a resource limited schedule and results in more realistic resource assignments. Critical chain method is a technique to develop the project schedule that takes both the activity and resource dependencies into account. 183PMP. Exam Preparation Critical Path Method The critical path determines the shortest time within which the project can be completed and it is the longest duration path through a network of tasks. Critical tasks (activities) are tasks or activities on the critical path. Float or slack time is the amount of time a task can slip before it delays the project schedule. There are two common types of floats. + Free floats the time a single task can be delayed without delaying the early start of the successor task. Total float is the time a single task can be delayed without delaying project completion. Float is defined as: float = LS - ES or LF - EF Activity duration is defined as: EF - ES or LF - LS Where LS = Late Start, ES = Early Start, LF = Late Finish, EF = Early Finish Critical path has zero or negative total float. A project can have several critical paths. 1SPMP. Exam Preparation Critical Path Example Act | Weeks | Pre 1+ A al Start A1w Daw Hew | 2 [sm | Baw Ht E Sw ul 3 ‘ WW cE 3 Start F 4w ! 4 © D 4 A C3wP 1G 6w Pl 2w Ec 5 B F 4 8 Critical path is determined by doing a: S e g + Forward pass (calculate ES and EF) H 6 E&D + Backward pass (calculate LS and LF) j 55 a * Calculating float * Determining the critical path J 3 | FH&lPMP. Exam Preparation Critical Path Example wig. LEGEND Wk we Tey ee ee se= PMP. Exam Preparation = Schedule Compression 3 = Schedule compression is the shortening of the project schedule without affecting = the project scope. Si Two ways of creating schedule compression are: = * Fast Tracking a + Crashing Fast Tracking is the process of compressing the total project duration by Performing some activities concurrently that were originally scheduled sequentially Crashing analyses cost and schedule trade-offs to determine how to obtain the greatest amount of schedule compression for the least incremental cost. S| it 4 Mapa ier uP \S4Sein) em, PMP. Exam Preparation Schedule Compression Example oe! Activity | Original | Crash | Time | Original | Crash | Extra | Crash as Duration | Duration | savings | cost Cost | Cost | Cost per (weeks) | (weeks) (usp) | (usp) | (USD) | week " ww 10 5 5 15,000 | 25,000 | 10,000 | 2,000 xX 5 4 1 16,000 | 26,000 | 10,000 | 10,000 J 7 20 18 2 12,000 | 14,000 | 2,000 | 1,000 J zz 12 10 2 12,000 | 18,000 | 6,000 | 3,000 i Based on the above information we can decide to crash the activity ‘YY’ as it has the least cost impact for the most schedule compression Deed BE Deemed BE eee Zl 1S8 ite eePMP: Exam Preparation 2 PERT Analysis Steps 1. Calculate per activity the estimated durations using ¥ PERTIE=(0+4xML+P)/6] and ¥ Standard deviation [o = (P - 0) /6] 2. Draw the project schedule network, analyze the paths through the network and find the critical path. 3. Determine the length of the critical path based on the PERT duration estimates. au! S 4. Calculate the standard deviation of the critical path with the formula \(otask 1)? + (task 2)? + (otask 3)? +. 1. Probability predictions can now be made using this information. ; 154PMP. Exam Preparation TT et ee PERT Example Activity | 0 | mt | P | Expected or | Standard o? Range of the PERT Deviation Estimate Duration (9) w 16 | 26 | 54 29 6.33 40.14 29 £6.33 x 40 | 59 | 84 60 7.33 53.78 60+7.33 Y 40 | 45 | 56 46 2.67 7M 46 £267 Zz 30 | 38 | 40 37 1.67 2.78 37 £1.67 Path 172 10.19 103.78 IFW.XY and Z are the only activities in a project and all are on the critical path, whatis the i project duration? The answer is 172 with a standard deviation of 10.19. The probability ot completing the project between: 161.81 and 182.19 days is 68.27% (one sigma) 151.63 and 192.37 days is 95.45% (two sigma) 141.44 and 202.56 days is 99.73% (three sigma)i au aaa PMP. Exam Preparation Questions - Module 6 Project Time Management VePMP. Exam Preparation Questions Module 6 Question -1 * Two Tasks P (duration of 2 weeks) and Q (duration of 3 weeks) will finish together, but Q has a lag of 2 days with its predecessor P. Which is the correct way of representation for Q's predecessor field? A. FF+2 B. FF-2 C. FS+2 D. FS-2 Question - 2 + The PERT estimate for a task with optimistic value of 3 days, pessimistic value of 7 days and most likely value of 5 days is: poOm> 4 days 7 days 5 days 3 days (62. |3 a 3 a tar a Sap eee eae = PMP. Exam Preparation Questions Module 6 Question -3 * What-if analysis is used as one of the Tools and Techniques in which one of the following process areas? A Estimate Activity Resources and Estimate Activity Durations B, Develop Schedule and Define Activities Cc. Develop Schedule and Control Schedule D. Only in Develop Schedule Question -4 * An activity has an ES of 0 day and LS of 2 days. Which one of the following is a correct statement? (Choose all that apply). com> The activity is one of the first tasks to be executed in the project The activity has a float of 2 days The activity is not on the critical path The activity has a duration of 5 daysPMP. Exam Preparation Questions Module 6 Question - 5 + What is the correct sequence of execution for process areas in time management? A. Create WBS, Define Activities, Sequence Activities, Estimate Activity Duration, and then Estimate Activity Resources B. Create WBS, Define Activities, Sequence Activities, Estimate Activity Resources, and then Estimate Activity Durations C. Define Activities, Sequence Activities, Estimate Activity Resources, Estimate ' Activity Duration, and then Develop Schedule D. Define Activities, Sequence Activities, Estimate Activity Durations, Estimate Activity | Resources, and then Develop Schedulei ee Uae = PMP. Exam Preparation End of Module 6 =} Project Time Management Based on the PMBOK. Guide — Fifth edition ger iky Gk ear 16S mEPMP. Exam Preparation Module 7 Project Cost Management Based on the PMBOKe Guide — ith Edition es he erence te faial aad tak = PMP. Exam Preparation Content of Module 7 + Whatis Project Cost Management? * _ Differentiate between Cost Estimating and Cost Budgeting + Key Terminology in Project Cost Management © Plan Cost Management ° Estimate Costs ° Determine Budget ° Control Costs + Earned Value Technique 167 * Core PM processes of the Project Cost Management Knowledge Area,PMP. Exam Preparation Project Cost Management Project Cost Management involves: + Making an approximation of the expected costs (estimate costs) + Getting approval for the costs (determine budget) + Monitoring the status of the project cost and taking action where needed (control cost). Cost Management Plan: states how costs will be controlled, estimating units of measure, estimating precision, permissible variance thresholds, earned value rules and reporting formats. Neswaa =} -| —_— PMP. Exam Preparation Plan Cost Management + The process that establishes the planning, managing, expending, * Gives guidance and direction on how co: project policies, procedures and documentation for and controlling project costs st will be managed throughout the Inputs Project Management Plan Expert Judgement Outputs ‘Cost Management Plan Project Charter Analyiical Techniques Enterprise Environmental Factors Meatings Organizational Process 164PMP. Exam Preparation Estimate Costs Cost Estimating is the process of "developing an approximation of the monetary resources needed to complete project activities” Outputs Expert Judgement ‘Aalvily Cost Estimates ‘Scope Baseline “Analogous Estimating Basis of Estimates Project Schedule Parametic Estimating Project Document Updates Human Resource Management Pian Bottom-Up Estimating “Three Point Estimates Enterprise Environmental Reserve Analysis, Factors (Organizational Process Cost of Quality ‘Assets Project Management Software Vendor Bid Analysis ‘Group Decision Making “Techniques: SPt Sv — zvi pv rv fiz EW Ti wl Lf i ase fi i a ciaraus Recker ote PMP. Exam Preparation Determine Budget Cost budgeting is the process of activities or work packages and for assigning project cost. A (bh Ace Ere = 4 apt” ne jlee ah eee eel aggregating the estimated costs of individual Negotiating to establish an authorized cost baseline py (eX = = yook f= (Pe (oo X1or = 4+eTc sto Ite Inputs Took ques: ‘Outputs Cost Management Plan ‘Cost Aggregation (Cost Baseline ‘Aaivty Cost Estimates Reserve Analysis Project Funding Requirements Basis of Estimates Expett Judgement Project Document Usdates ‘Scope Baseline Historical Relationships Project Schedule Funding Limit Recanciiation Resource Calendars Rakin Tareemenis Orgenzatona Procase ‘Ascote fv P Greed Vher- Ev exyrectect Vetue- AC adut Gsh es - V4— EV IncPMP. Exam Preparation Control Costs Control cost is the process of monitoring and controlling the project budget and managing changes to the cost baseline. Inputs Index (TCP) niques. Outputs Project Management Plan | Eamed Vakie Management ‘Work Performance Information Project Funding Requirements Forecasting Cost Forecasts ‘Work Performance Date ‘To Complete Performance: ‘Change Requasts| ‘Organizational Process Performance Reviews ‘Project Management Plan Updates Project Management Software Project Dacument Updates Reserve Analysis ‘Orgarizational Process ‘Assets Updates 172.ual PMP. Exam Preparation Earned Value Management Terms The following is a summary of important earned value terms: Term Interpretation Pv (BCWs) Whatis te estimated value of the work planned to be done? EV (BCWP) Eamed Value Whatis the estinated value af the work actualy accomplished? ‘AC (ACW) ‘Actual Cost ‘Whats the actual cost incurres? BAC Budget at Completion | How much did you budget for the project? EAC Estimate at Completion | Whati the total project estimated to cost? ETC Estimate to Complete | From this point on, how much ‘more do we expect i to cost to finish the job? VAC Variance at Completion | How much over or under budget do we expect lo be? ww IF3PMP. Exam Preparation (e=ve Bs ) Earned Value Management Calculations Earned Value Management formula and interpretation: Formula Interpretation ost Variance (CV) EV-AG NEGATIVE le over budget, POSITIVE is under budget ‘Schedule Variance (SV) Ev-PV NEGATIVE is behind schedule, POSITIVE is ahead of schedule Gost Pariormance Index EVIAG Getting (Oni) —_ cents Ph out of vey ‘Schedule Performance EVIPV Progressing at (Only) _% of tndex (SPI) the rate orginal planned (t4aul a Et ee ee =_e PMP. Exam Preparation Earned Value Management Calculations (Continued) Earned Value Management formula and interpretation: Name Estimate at Completion Formula BAC /CPI Interpretation + As of now, how much do we expect the total AC + (BAC - EV)/ CPI (EAC) Project to cost. Used if past trends are expected to continue into the future. AC +ETC + Actual plus a new estimate for the remaining work, Used when the original estimate was fundamentally flawed Other ways to calculate EAC: AC + BAC-EV + Actual to date plus remaining budget. Used when past results are not typical of the expected future results * Actual to date plus remaining budget modified by Performance. Used if past trends are expected to continue into future. 13SPMP. Exam Preparation Further Earned Value Management Calculations Estimate To Complete (ETC) EAC -ac How much more will the Project cost? Variance At Completion (VAC) BAC -EAC How much over budget will the project be at completion? = ——— fi | | 36Ui tal esl AA Fe PMP. Exam Preparation EVM Illustration To illustrate the concept of EVM, assume a project of building a wall has exactly one task. The task was baselined at 8 hours, but 11 hours have been spent and the estimate to complete is 1 additional hour. The task was to have been completed already. Assume an Hourly Rate of $100 per hour. Using this information: Calculate CPI and SPI. Problem Solution: Hourly Rate = $100 PV or BCWS = Hourly Rate * Total Hours Planned or Scheduled PV = $800 ($100 * 8 hours) AC or ACWP = Hourly Rate * Total Hours Spent AC = $1100 ($100 * 41 hours) : hy che i pi CeSh fleoferma a ¢ V4FPMP. Exam Preparation EVM Illustration (Continued) Baselined Effort-hours * Hourly Rate 3800 (8 hours * $100) AC + ETC 1200 (1100 + 100) AC - EAC VAG = -$400 ($800 - $1200 ) ‘% Completed Planned = PV / BAC % Complete Planned = 100% ($800 PV / $800 BAC) % Completed Actual = AC / EAC % Complete Actual = 91.7% ($1100 AC / $1200 EAC) EV or BCWP = Base lined Cost * % Complete Actual EV = $734 (baseline of $800 * 91.7% complete) AC {<< BN cP* - aa tae evt "SP : py 148 a a a | a | eea PMP- Exam Preparation EVM Illustration (Continued) SV = Earned Value (EV) - Planned Value (PV) SV = -$66 ($734 EV - $800 PV) ‘SPI = Earned Value (EV) / Planned Value (Pv) SPI = 0.91 ($734 EV / $800 PV) CV = Earned Value (EV) - Actual Cost (AC) CV = -$366 ($734 EV - $1100 AC) indicating a cost overrun CPI = Earned Value (EV) / Actual Cost (AC) CPI = 0.66 ($734 EV / $1100. AC) indicating over budget aaa a a - 134 4 Gosh . @hkAaest pee ftv (Cue! PaPMP. Exam Preparation Questions - Module 7 Project Cost Management 186 2PMP. Exam Preparation Questions Module 7 Question - 5 * Asa project manager, your best use of the Cost Baseline would be: A. B. Cc. D. Measure and monitor the cost performance of the project Track approved changes Calculate team performance bonuses Measure and report project variable costs Question -6 + The value of work completed so far is: A B. c. D. EV AC PV EACPMP. Exam Preparation End of Module 7 Project Cost Management Based on the PMBOK;: Guide — Fifth edition yayPMP. Exam Preparation Module 8 Project Quality Management Based on the PMBOK # Guide ~ Fifth Euition 3SPMP. Exam Preparation Content of Module 8 + Whatis Quality? + Whatis Quality Management? + Cost of Quality + Core PM processes of the Project Quality Management Knowledge Area. © Plan Quality Management o Perform Quality Assurance Control Quality + Seven Basic tools of Quality V3Ww uw ti eu a aan i = i = aay PMP. Exam Preparation Quality ‘Quality is the ongoing process of building and sustaining relationships by assessing, anticipating, and fulfiling stated and implied needs” This definition basically says that quality is "meeting or exceeding customer expectations," Project quality management involves making sure the project meets the needs or expectations of the stakeholder. The project manager is responsible for project quality, whereas senior management is responsible for the quality of the whole organization, \8FPMP. Exam Preparation What is Quality Management? Quality Management on a project is making sure that the final product or service meets certain standards. The standards can be set by the Project Manager or the customer or by established norms such as legal requirements. The three processes of the Project Quality Management Knowledge Area are: + Plan Quality Management + Perform Quality Assurance + Control Quality \Bow ti uaa i) ul = wg PMP: Exam Preparation What is Quality Management? Continued In the context of achieving ISO compatibility, modem quality management approaches seek to minimize variations and to deliver results that meet defined requirements. These types of approach recognize the importance of: Customer satisfaction — understanding, evaluating, defining requirements and expectations of customers and clients Prevention over inspection — Quality should be planned, designed and built into project deliverables not inspected into the project deliverables. Continuous improvement ~ Plan-do-check-act (PDCA) is the basis for quality improvement as defined by Shewhart and modified by Deming. Quality improvement initiatives such as Total Quality Management (TQM) where everyone involved in the project can contribute to its quality improvements and Lean Six Sigma could improve the quality of the project's management as well as the quality of the deliverables Management Responsibility ~ Management retains within it the responsibilty for quality and the for the provision of suitable resources with adequate capabilities, seqPMP. Exam Preparation Cost of Quality Cost of quality includes all costs incurred over the life of the product by investing in preventing non-conformance to requirements and ensuring that the product conforms to requirements. Cost of conformance The costs incurred while building in, or ensuring, quality are called the costs of conformance. Costs of conformance can include activities such as: + process documentation, + training, + inspections, and + audits This is money spent to avoid failures.ui ol ub ub wi Wi Daa i) al PMP. Exam Preparation Cost of Quality (Continued) Cost of Non-Conformance There is a potential loss or money spent for costs associated with any resulting project failures. These costs are referred to as the costs of non-conformance. This is money spent because of failures. Costs of non-conformance can include things such as: + payments made out on warranties, + re-work or scrap, and/or + damage to reputation. 44PMP. Exam Preparation Plan Quality Management The goal is to identify all relevant standards that apply to a project as well as the quality requirements that need to be met. ‘Tools & Techniques Outputs Project Management Plan ‘Cost Benefit Analysis ‘Quality Management Plan Stakeholder Regster Cost of Quality (COa) Quality Metrics Risk Register Benchmarking (Quality Checklists Requirements Documentation ‘Seven Basie Tools Process improvement Plan Enterprise Environmental Factors Design of Experiments Project Document Updates ‘Organizational Process ‘Assels ‘Additional Qualty Planning Tools Statistical Samping Mostings 192= iy uy or PMP: Exam Preparation Perform Quality Assurance Standards are being used and analyzed for improvement options. In particular, a Project Manager may run a project quality audit. Quality assurance ensures the proper implementation of the quality system. Inputs ‘Gualiy Management Plan Tools & ‘Quality Audits Outputs ‘Change Requests, ‘Quality Metrics ‘Quality Management and Control Toots Project Management Plan Updates ‘Quality Checkists Process Analysis Project Document Updates Process Improvement Pian Organizational Process: Assots Updates Project Documents 193,PMP. Exam Preparation Control Quality Control Quality is the process of monitoring and recording results of executing the quality activities to assess performance and recommend necessary changes. Inputs Tools & Techniques ‘Outputs Project Management Plan | Seven Basic Tools of Quality | Qualty Control Measurements ‘Quality Metres ‘Statistical Sampling Vabdated Changes (Quality Checklists Inspection| Verified Dalverables ‘Work Performance Data | Approved Change Requests Work Performance Review Information ‘Approved Change Requests Project Management Pian Updates Procurement Documents Project Document Updates Dalverables ‘Organizational Process ‘Assets Updates: ‘Organizational Process: ‘Assets 194wm ui “a i ll Wl ill PMP. Exam Preparation Seven Basic Tools of Quality Ishikawa's seven basic tools can be: understood and used by anyone without training in statistics used to solve the vast majority of quality-related issues 1. Cause and Effect Diagrams 2. Flowcharts 3. Check-sheets 4. Histograms 5. Pareto Charts or Diagrams 6. Scatter Diagrams 7. Control Charts sasPMP. Exam Preparation Cause & Effect Diagram A graphic too! that helps identify, sort, and display possible causes of a problem or quality characteristic, Also called fishbone or Ishikawa diagrams. Basic layout of Cause & Effect Diagram Benefits of using this diagram: + Helps determine root causes + Encourages group participation + Uses an orderly, easy-to-read format + Increases process knowledge + Identifies areas for collecting data Gaurece 196ti =| az =a oa ae =) = PMP. Exam Preparation = Flowchart a “sj Aictorial representation of the separate steps of a ; process in sequential order. “Sj Used in designing and documenting complex Processes, Like other types of diagrams, they help L visualize what is going on and thereby help the = Viewer to understand a process, and perhaps also find flaws, bottlenecks, and other less-obvious J features within it. Help you get a handle on how processes work by J showing all of the decision points graphically. = =| = = \9 | Start Do Decide Do > Do End _j«—_’PMP. Exam Preparation Check sheet ‘Also known as Tally sheets and can be used as a checklist while gathering data. Facts are organized in a manner, which will facilitate the effective collection of useful data about a potential quality problem. Itis especially useful for gathering attributes data while performing inspections to identify defects. This is later put into Pareto Diagrams for analysis. Checksheets Category Strokes Frequency | Awibute # Attribute 2 ARIUS oo Attribute AaBGo i TAPER IE a LL LL Mapa a a PMP: Exam Preparation Histogram Ahistogram is a vertical bar chart showing how often a particular variable occurred, Histograms are used to plot the density of data, and often for density estimation, and estimating the probability density function of the underlying variable,PMP: Exam Preparation Pareto Chart A bar graph, where the lengths of the bars represent frequency or cost (time or money), and are arranged with the longest bars on the left and the shortest to the right. Pareto charts help to figure out which problems need attention right away. They're based on the idea that a large number of problems are caused by a small number of causes. In fact, that's called the 80 / 20 rule - 80% of the defects are usually caused by 20% of the causes, + 80% of defects 20% of causes 200a a 3 —| sj PMP. Exam Preparation sj Run Chart | Also known as a run-sequence plot, it is a graph that displays observed data in a time Sj sequence. Often, the data displayed represent some aspect of the output or performance of a manufacturing or other business process Run charts are similar to the control charts used in statistical process control, but do not al show the control limits of the process. observed data time sequencePMP. Exam Preparation Scatter Diagram The scatter diagram graphs pairs of numerical data, with one variable on each axis, to look for a relationship between them. If the variables are correlated, the points will fall along a line or curve. The better the correlation, the tighter the points will hug the line. Scatter charts help look at the relationship between two different kinds of data. ld Faithful Eruptions http://en.wikipedia.org/wiki/Scatter_plot yor OLa GoW i =| il ial a aan bial PMP-Exam Preparation Control Chart Also known as Shewhart charts or process behavior charts have a central line for the average, an upper line for the upper control limit and a lower line for the lower control limit. ‘The control chart is a graph used to study how a process changes over time. Data are plotted in time order. observed data time sequence Process out of control UCL = Upper Control Limit LCL = Lower Control Limit 203PMP. Exam Preparation Questions - Module 8 1 Project Quality Management |= Gal Lk) Gk) ik ta] ey = REP Gk) ak) APA EE PMP: Exam Preparation Questions Module 8 Question —1 In which one of the following charts is the rule of seven used? A. Control Chart B. Run Chart C. Pareto Chart D. Flowchart Question - 2 * You are a project manager and h find out what standards and py process is being performed? gom> lave been called by the senior management team to ractices are being followed in your project. By this, which Total Quality Management Plan Quality Management Perform Quality Assurance Control QualityPMP. Exam Preparation Questions Module 8 Question - 3 * An Ishikawa Diagram is used in which of the following process area(s)? A. Plan Quality Management B. Control Schedule C. Perform Quality Assurance YD. Control Quality Question —4 + Which one of the following best represents the Total Quality Management (TQM) philosophy? ‘A. Decreasing inventory to zero or near zero level B. Everyone in the organization can contribute to quality improvements C. Zero defects D. Continuous improvement is preferred over disruptive changes 206= tai Amy dad imi tai Lab bal ia eee ee PMP. Exam Preparation Questions Module 8 Question - 5 pom> Ina Control Chart, the upper and lower contro mean? | limits are set at what value from the . One standard deviation Two standard deviations ye Three standard deviations . Six standard deviations Question - 6 * The com> PDCA cycle was initially proposed by: ISO body Edwards Deming Francis Bacon Walter D. Shewart 4 wt fF ether ony Seper peat tea We Veo ee Gut Vesela) Ul < ¢ PL ee y ya ho 267PMP. Exam Preparation End of Module 8 Project Quality Management Based on the PMBOK: Guide ~ Fifth edition Lea a a 3 = = bes kal PMP. Exam Preparation Module 9 Project Human Resource Management Based on the PMBOK» Guide — Fifth Edition 204PMP. Exam Preparation Content of Module 9 What is Human Resource Management? Roles and Responsibilities of the Project Sponsor Functional Manager vs. Project Manager Core PM processes of the Human Resource Management Knowledge Area. Plan Human Resource Management Acquire Project Team Develop Project Team Manage Project Team 0000 Conflict Management Motivation Theory 2lePMP. Exam Preparation Human Resource Management Project Human Resource Management includes the processes of planning, acquiring, organizing, managing and leading the project human resource team. Project resource management includes the following: * Plan Human Resource Management: identify and document Project roles, responsibilities, reporting relationships as well as creating the staffing management plan. Acquire Project Team: obtain the human resources needed to complete the project. * Develop Project Team: improve the competencies and interaction of team members to enhance project management. * Manage Project Team: tracking team member performance, providing feedback, resolving issues and coordinating changes to enhance project performancePMP. Exam Preparation Role of Project Sponsor The sponsor is a key stakeholder of the project that provides the financial resources, in cash or in kind, for the project. There may be more than one sponsor for a project. The Project Sponsor: Is responsible for providing the project budget Provides authority to the project manager. Prioritizes the constraints for the project. Approves the project management plan. Enforces quality policies Approves changes Formally accepts project deliverables. Ensures the benefits from the project are realized 2ILPMP. Exam Preparation Functional vs. Project Manager Functional Manager - A manager responsible for activities in a specialized department or function. functional manager is responsible for one of the principle elements of the organization, such as production, marketing, finance, etc. Project Manger - A manager or individual responsible for managing a project. A Project manager is responsible for the whole project and each phase. The project manager is the person responsible for accomplishing the project objectives within the constraints of the Each functional manger tends to emphasize | project. his/her own function or department and his/her authority level is limited to his/her department or function. A Functional manager is likely to be a part of the function or department planning and controlling. The project manager is involved in the Planning, controlling and monitoring, and managing the assigned project resources to best meet project objectives. 213PMP. Exam Preparation Plan Human Resource Management * Plan Human Resource Management is the process of identifying and documenting project roles, responsibilities, and required skills, reporting relationships, and creating a staffing management plan. + Itestablishes project roles and responsibilities, project organization charts, and a staffing management plan inputs Project Management Plan Tools & Techniques ‘Organizational Cherie & Position Descriptions Outputs Human Resource ‘Management Pian Activity Resources Requirements Networking Enterprise Environmental Factors (Organizational Theory Organizational Process Expert Judgement Meetings a 244PMP. Exam Preparation Acquire Project Team [The Acquire Project Team process involves the process of obtaining the specific human resource needed to accomplish all phases of the given project and thereby meeting the objectives or goals of the project. Inputs Tools & Techniques Outputs Human Resource Pre- Assignment, Project Staff Assignments Management Pian Enterprise Envionena Togotaton Resource Gaenaas | | acorn a Organizational Process ‘Acquisition Project Management Plan ; a Urasten E Vial Fears ‘Muit-Crteria Decision Analysis a sm” wan er i uePMP. Exam Preparation Develop Project Team The Develop Project Team process under Human Resource Management is the means by which "improving competencies, team interaction and the overall team environment will enhance project performance.” Tnputs Tools & Techniqué Outputs Human Resource Interpersonal Skis "Team Performance Management Plan Assessments Project Staff Assignments | Personal Assessment Tools | Enterprise Environmental Factor Updates Resource Calondars Training Ground Rules ‘Ce-Lecation| cognition and Rewards Team Builing Activitesia an oar aar Ee PMP. Exam Preparation Develop Project Team Team Building Activities: Team building can come in the form of five minute briefings, sports activities or professional facilitated meetings. Team building is essential in the early stages of a project. Itis a continual process throughout a project. The project manager must continually monitor the functionality and Performance of the team and take action to prevent or correct various team problems. The Tuckman Ladder (Tuckman & Jensen, 1977) includes five stages of team development: Forming. Storming. © Norming, Performing. Adjourning.PMP. Exam Preparation Develop Project Team Forming — is where the team meets and learns about the project and their formal roles and responsibilities. At this point team members tend to be independent and not as open to one another. Storming — here the team starts to address the project work, technical decisions and the management approach to the project. The team needs to be open and collaborative at this stage or the environment can become counterproductive. Norming — team members begin to work together and adjust to the environment. They also may adjust their own work habits to suit the environment. Performing — reaching this stage a team will be well organized. They will be interdependent and work through issues smoothly and effectively. Adjourning — the team completes the work and moves on from the project to other assignments. 2i id ial ak ans alr PMP: Exam Preparation Manage Project Team Manage Project Team process involves the tracking and appraisal of team member performance, providing feedback, resolving issues, managing conflict and coordinating changes to enhance project performance. Management Plan Tools & Techniques Observation and Conversation Outputs ‘Change Reque Project Stat Assignments, Project Performance Aopratsals Project Management Plan Updates Issue Log Confct Menegement Project Document Updates “Team Performance Interpersonal Skils Enterprise Environmental Assessments Factors Updates Work Performance Repors (Organizational Process Assets Updates Organizational Process Assets 214PMP: Exam Preparation Conflict Management Conflict is a form of interacting where we find ourselves under perceived threat to our : personal or collective goals. Conflict is an inevitable consequence of organizational interactions. Conflict situations result in negative and positive effects. They may help diffuse more serious conflicts, stimulate a search for new facts or resolution, increase group cohesion and performance, and demonstrate the power or ability of the conflicting parties. ane |i uu ig) iat i) ikl ik a ik) PMP: Exam Preparation Conflict Management (Continued) Conflict can be avoided by: + Keeping the project team informed about the exact project status * Assigning responsibilities in such a way that overlapping of responsibilities do not occur. * Keep the whole project team motivated, Approaches to conflict resolution: * Avoidance approach + Compromise approach * Confronting or problem solving approach + Smoothing approach * Forcing approach 22)PMP. Exam Preparation Motivation is an internal drive to meet a set of objectives. Being a project manager one should be aware of what motivates the team, in order Motivation Theory | to get the results expected. McGregor's X-Y theory. According to McGregor, there are the following two types of managers: + Theory X managers believe people are self-centered, are only motivated by their physiological and safety needs. They lack ambition and have very little problem solving skills, they also dislike and try to avoid work. + Theory Y managers trust their employees. People are willing to work without supervision, They are creative, committed and want to achieve something. qi=| i i ty ug ay inl ETT Rak PMP. Exam Preparation Maslow’s Hierarchy of Human Needs Masiow’s hierarchy fesnart of others, hee by others’ People who feel secure naed Family, i toveldslong: friendship, family, sexual intimacy 223PMP. Exam Preparation Questions - Module 9 Project Human Resource Management ' |a3 Gu aad lab th ual a = ur uF PMP. Exam Preparation Questions Module 9 Question ~1 * Which one of the following is the best form of Conflict Management technique? A. Withdraw B. Avoidance C. Confront D. Compromise Question - 2 + What do the letters RACI stand for in a RACI chart? Responsible, Analyze, Consult and Inform Responsible, Accountable, Confirm and Inform Role, Accountability, Confirmation and Information Responsible, Accountable, Consult and Inform pom> asPMP. Exam Preparation Questions Module 9 Question - 3 + Atthe higher level of Maslow’s hierarchy of needs which one will hold true? A Food, Sleeping and Breathing B. Self confidence, Achievement Cc. D. Security of family, Employment Friendship, Family Question - 4 + AResource Calendar is prepared for the resources within the Human Resource Management Knowledge Area and is part of: pom> Human Resource Plan Release Plan Staffing Management Plan 17 Project Management Plan pela id Ww fil Ti ui i ta PMP: Exam Preparation Questions Module 9 Question -5 * What is the correct sequence of steps taken during the development of a project team? A. Storming, Forming, Norming and Adjourning B. Forming, Storming, Norming, Performing and Adjourning C. Forming, Storming, Norming, Performing and Relieving D. Forming, Storming, Norming, Performing, Achieving and Adjourning Question -~6 * The best forms of power given to a project manager are: SOM>y Reward and Referral Reward and Formal Expert and Reward — Expert and Formal 227PMP. Exam Preparation 3 : End of Module 9 Project Human Resource Management Based on the PMBOK. Guide — Fifth edition whe Ih I US wya a =j PMP. Exam Preparation Module 10 Project Communications Management Based on the PMEOKe Guide - Fifth Editon ‘argPMP. Exam Preparation Content of Module 10 + What is Communication? + Communication Methods, Technology and Channels + Basic Communication Model + Key Terminology in Project Communication Management + Core PM processes of the Communication Management Knowledge Area. o Plan Communications Management © Manage Communications © Control Communications ayePMP. Exam Preparation Communication Communication is the activity of conveying meaningful information. Communication requires a sender, a message, and an intended recipient. The communication process is complete once the receiver has. understood the sender. Project teams are not normally natural teams and sometimes do not even reside in the same geographic location. Unique delivery methods and communication devices need to be utilized to overcome this challenge. 4 ao Project managers spend most of their time in communicating to stakeholders. * “\ A project manager needs to understand the project well enough to know who needs to know which pieces of information, and just as importantly, which pieces of information are of no use to other members. Communication isn’t about how much you say to everyone, it's about saying the i right things to the right people. 23)PMP. Exam Preparation Communication Methods The PMBOKs Fifth Edition categorizes the methods: ‘of communication into: * Interactive Communication + Push Communication + Pull Communication For Interactive communication, all stakeholders involved in the communication can Fespond to each other in real-time i.e. face-to-face meetings, video conferencing, phone calls & messenger chats. Push communication is a method in which information is distributed without any feedback from the recipients i.e. meeting notes to people after a brainstorming workshop, email or voicemail. Organizations use push communication to notify shareholders through a press release. Pull communication is best for a large audience that needs to access information at their discretion. i.e. organization websitesPMP. Exam Preparation Basic Communication Model A Communication model looks like a circle with 3 parts (see picture) + The sender + The message * The receiver. Encode: To translate thoughts or ideas into a language that is understood by others. Decode: To translate the message back into meaningful thoughts or ideas. Sender Receiver Message Each message is encoded by the sender and decoded by the receiver. 232,PMP. Exam Preparation Communication Channels onsideration the number of communication and how complex it might be. It is important to and to limit the number of channels to only The Project Manager must also take into c channels that will be involved in the project establish who will communicate with whom those necessary to complete the project. The formula for establishing the number of communicati n(n-1)/2 Where “n’ represents the number of stakeholders. ions channels is: Example: There are 10 stakeholders involved in a project. The number of communication channels will be: n=10 Using the formula 410(10-1)/2=45 There are 45 communications channels for this project.w ial ial tal PMP. Exam Preparation Plan Communications Management Plan communication is the process of developing an appropriate approach and plan for project communications based on the stakeholder’s information needs and requirements, and available organizational assets Inputs Tools & Techniques ‘Outputs Project Menegement Plan | Communicatons Requirement | Communications Manag alysis Plan ‘Siekeholder Register ‘Communications Technology | _ Project Document Updates om Enterprise Environmental ‘Communications Models : Factors L (Organizational Process ‘Communications Methods = ‘Assets mer 236PMP, Exam Preparation Plan Communications Management continued ARACI Chart is a matrix based chart known also as a responsibility assignment matrix (RAM). A RACI Chart (responsible, accountable, consult, and inform) is useful when the project team consists of internal and external resources and it assists in ensuring clear divisions of individual roles and expectations. A Raia aa ae AGI Chart ‘Aativity Dave William Carol Bon 1 Greate Project Keele Charter A R 1 Il t Collect ' requirements t A R c c ‘Submit Change 1 A R R ce Requests Develo Project Plan A c. t t R R=Responsible A=Accountable C= Consult |= Inform 236wi = las PMP: Exam Preparation Manage Communications The process of creating, collecting, distributing, storing, retrieving, and the ultimate disposition of project information in accordance with the Communication Management Plan. Inputs ‘Communications Management Plan ‘Outputs Project Communications Work Performance Reports ‘Communications Models Project Management Plan Updates Enterprise Environmental | Communications Methods | Project Document Updaes| Factors Organizational Process: Information Management Organizational Process ‘Assets ‘Systems ‘Assets Updates: Performance Raparting 234PMP. Exam Preparation Control Communications The process of m project life cycle t met. This helps in optimal information fi jonitoring and controlling communications throughout th 0 ensure the information needs of the project stakeholders are low among all participants. SS wi i ee e entire Inputs Project Management Plan Tools & techniques Tnformation Mi Systems nt ‘Outputs Work Information Project Communications Expert Judgement Change Requests Issue Log Meetings Project Management Plan Updates: ‘Work Performance Data Project Dacument Updates ‘Organizational Process: Assets ‘Organizational Process: ‘Aseets Updates: 23gtal = a See ee — PMP. Exam Preparation Questions - Module 10 Project Communications Management 224PMP, Exam Preparation Questions Module 10 Question -1 + Anissue Log is an Input to which process area in the Communication Management Knowledge Area? A. Plan Communications Management B, Manage Communications Management C. Control Communications Management D. Monitor Communications Management Question -2 + You have prepared the Project Management Plan and have sent it through email. What form of communication is being used? A. Informal, Written ~ B, Informal, Verbal C. Formal, Written D. Formal, Verbal 24i id ua i i PMP. Exam Preparation Questions Module 10 Question - 3 You have a team of 15 People and recently one of the members moved to another project team. How many communication channels are removed due to this? A 12 B. 14 Cc. 15 D. 18 Question ~ 4 4 Xt? ) woe The Project Management Plan is not one of the Inputs to which process area? pom> Plan Communications Management Manage Communications Control Communications Both A and C “auPMP. Exam Preparation Questions Module 10 Question - 5 + The number of internal and external stakeholders on a project are “I’ and “E”, respectively. How many communication channels are possible? A N*(N-1)/2 B. I*(1-1)/2 C. Et(E-1)/2 D. (+E)*(+E-1)/2 % Question - 6 + The responsibility of decoding the message lies with: . The Sender . The Receiver — . Communication Channel Communication Methods pom> 2ULAes GME Gl ee RL SAE 3 PMP: Exam Preparation mates End of Module 10 Project Communications Management Based on the PMBOK. Guide — Fifth edition : 24PMP. Exam Preparation Module 14 Project Risk Management Based on the PMBOKe Guide — Fifth Edition 24hPMP. Exam Preparation Content of Module 11 * What is Risk? + Project Management Risk's reted tenry yl + How is risk & EMV calculated? ¢ * Risk Classification + Decision Tree Analysis * Risk Reserve & Contingency Reserve + Key Terminology in Project Risk Management * Core PM processes of the Risk Management Knowledge Area © 00000 Plan Risk Management Identify Risk Perform Qualitative Risk Analysis Perform Quantitative Risk Analysis Plan Risk Responses Control Risks 2gPMP. Exam Preparation Risk According to the PMBOKs Guide Fifth Edition, risk is “an uncertain event or condition that, if it occurs, has a positive or negative effect on a project's objectives.” Two characteristics of a risk in project management are: + Itoccurs from elements of uncertainty (probability). + It might have negative or positive effects on meeting the project objectives (impact). Risk Management includes: * planning risk management + identifying and analyzing the risks + preparing the response plan + monitoring the risk + implementing the risk response if the risk ocours 2u6ww iw a wy Wow Ww w Ww uu = ik} PMP. Exam Preparation Project Management Risk Processes Plan Risk Management - to determine how to conduct risk management for the project at hand. Identify Risks - to identify and document the risks that might occur. Perform Qualitative Risk Analysis - to estimate the overall probability and impact for risks to occur and to prioritize them accordingly for further analysis. Perform Quantitative Risk Analysis - to analyze numerically the probability and effect of selected risks on meeting the project objectives, Plan Risk Responses - to prepare a risk response plan in order to increase the positive impact and decrease the negative impact of risks on the project. Control Risks - to track identified risks, identify new risks, execute risk response plans, and evaluate the effectiveness of the responses, 2PMP. Exam Preparation Risk & Expected Monetary Value (EMV) EMV = Probability x Impact (in units of money) + EMV calculates the average result of positive (opportunity) and negative (threat) risks. + The EMV of opportunities are expressed as positive values, while those of threats are negative. + EMV for a project is calculated by multiplying the value of each possible outcome bj its probability of occurrence and adding the results together. + Acommon use of this type of analysis is in decision tree analysis. 24g= PMP: Exam Preparation Risk & Expected Monetary Value (EMV) (Continued) Example: There is a negative tisk (threat) that has a 25% probability of prohibiting the execution of the work package ABC and if that risk occurs the impact of not having —, _ executed the package is estimated at $10,000. SS EMv = 25% * $10,000 = -2,500. ‘There is also a positive risk (opportunity) that has a 10% probability of speeding up sq__ the execution of the work package ABC and if that happens it will save the project = $15,000. = EMV = 10% * $15,000 = +$1,500. Therefore, the EMV for the work package ABC is $1,500 - $2,500 = -$1,000 2uqPMP. Exam Preparation Risk Classification Risk categorization is the grouping of project risks that can support: + Risk identification by acting as a check list, + Risk response planning as many of the risks in a particular category can often be addressed with the same response strategy. Project risks can be categorized as: + External risks i.e. an unstable legal or regulatory environment, labor issues, changing owner priorities, or weather. + Internal (organizational) risks such as cost, time, and scope objectives that are internally inconsistent, lack of prioritization of projects, inadequacy or interruption of funding, and resource conflicts with other projects in the organization, 3 }a“ wo wh PMP: Exam Preparation mw Risk Classification (Continued) =—| Technical risks: such as reliance on unproven or complex technology, unrealistic Performance goals, changes to the technology used or to industry standards during the project. * Project Management risks: such as poor allocation of time and resources, inadequate Quality of the project plan, poor use of project management disciplines. Risk categories can be represented by a Risk Breakdown Structure (RBS): Project Management citi i wi)PMP. Exam Preparation Decision Tree Analysis An assessment of the data using the decision tree method to evaluate various possible outcomes. Allows decision-makers to factor in both probability and impact for each branch of every decision under consideration. « Tedicates the decision that will provide the greatest expected monetary value (EMV) when all the uncertain implications of costs, rewards and subsequent decisions are quantified. To use decision tree analysis in Project Risk Management, you need to: Document a decision in a decision tree Assign a probability of occurrence for the risk pertaining to that decision. ‘Assign monetary value of the impact of the risk if it occurs. Compute the expected monetary value for each decision path ash iE serra aR a i re Ncw i B) Ul al a! i) 1 H PMP. Exam Preparation Decision Tree Example The diagram depicts the decision tree. The EMV associated with each risk is calculated b the impact. Build new product: EMV (5m x 0.5) - $0.5m. = $ 2,000,000 Buy new product: EMV ‘$3m x 0.8) - $0.8m = $ 1,600,000 Retain legacy product EMV = ($0.5m x 1.0)-0 = $500,000 qcedeal FV rH jot Retain Legacy Product, buy or bulla? (expected monetary value) y multiplying the probability of the risk by Probability of Success 0.51 Bulle new product [Cost $509,000 0.50 0.20 uy new product ‘Cost $800,000 0.80 Retain legacy oo product Cost $0 1.00 253, Market Faure Revenue $0, success Revenue $ 5m Market Fallure Revenue $0 Market Success Revenue $3m Market Failure Revenue $000 Market Success everve $500,000PMP. Exam Preparation Risk & Contingency Reserve Risk Reserve Contingency Reserve Contingency Reserve is: Budgeted Cost _, ( + Established to deal with unknown risks and oF Planned Cost accepted known risks. | Management Reserve + Might be in the form of additional time, money S a or resources. Contingency Reserv cores + Covers risk events that are not accounted for. Project in the project baseline for duration and cost. estimations. Control A/c Sy ae Semi * Determined by the potential impact of the risk Works but should include enough to implement any ig contingency plans as well as a buffer for Activities dealing with unidentified risks. 284= ai al = Pe a PMP. Exam Preparation Plan Risk Management Plan Risk Management is the process of determining how to conduct Risk Management for the project at hand and document it in the Risk Management Plan. Inputs Project Management Plan Tools & Techniques “Analytical Techniques Outputs Risk Management Plan Project Charter Expert Judgement ‘Stakeholder Register Meetings Enterprise Environmental Factors Organizational Process etsPMP. Exam Preparation Identify Risks Identifying risks is the process of identifying and documenting the risks that might occur for a given project. Inputs Tools & Techniques Outputs Risk Management Plan Documentation Reviows Risk Regster Cost Management Plan Information Gathering Techniques: ‘Schedule Management Plan Checklist Analysis ‘Quality Management Plan ‘Assumpiions Analysis, Human resource Management Plan. Diagramming Techniques ‘Scope Baseline ‘SWOT Analysis ‘Activity Gost Estimates Expert Judgement ‘Activity Duration Estimates ‘Stakeholder Register Project Documents Procurement Documents Enterprise Environmental (Organizational Process Aseote 286 CN, eeia a tel ta) tal ta ta PMP. Exam Preparation = Perform Qualitative Risk Analysis = Used to estimate the overall probability for risks to occur and their impact and to prioritize them accordingly for further analysis. =| 4 Perform Qualitative Risk Analysis Perform Quantitative Risk Analysis Control Risks Plan Risk Responses 26PMP. Exam Preparation Questions Module 11 Question - 5 + Which one of the following process areas give a numeric value weight in monetary terms? A. Plan Risk Management B. Identify Risks C. Perform Qualitative Risk Analysis D. Perform Quantitative Risk Analysis Question - 6 + You are planning to take a healthcare insurance plan for your family What kind of risk response strategy you are adopting? Accept Transfer Mitigate Avoid vpom> 6lyfl (A aa aad i tah Tar ee ee ee aa as PMP. Exam Preparation End of Module 14 Project Risk Management Based on the PMBOK. Guide — Fifth edition bEa PMP. Exam Preparation ) s : a is - 4 Module 12 - Project Procurement Management J ia Based on the PMBOKe Guide — Fifth Edition ee.lab lal aa lal ai PMP. Exam Preparation tal Content of Module 12 lal tal + What is a Contract? + Different Types of Contracts + Advantages and Disadvantages of contract types + Key Terminology in Project Procurement Management * Processes of the Project Procurement Management Knowledge Area. ual lal a + Plan Procurement Management * Conduct Procurements * Control Procurements + Close Procurements 67PMP. Exam Preparation Contract Alegally enforceable agreement between two or more parties. Contracts contain terms and conditions that set the rights and obligatione of the contracting parties, The aim of a procurement Contract is to obtain the services Or products as agreed in the contract to the satisfaction of all parties to the contract. Procurement Management helps ensure that the Products and components not made by a company but purchased from outside the Project will not negatively impact on the quality of the project's final product, The procurement manager or office (contract manager) is normally responsible for creating and managing the procurement contract. oessj PMP. Exam Preparation ’ TPT en Contract Types Fixed Price (FP or FFP) - "firm fixed price" also called "Lump Sum". The simplest type of contract. The buyer specifies the work required and the supplier quotes a price. The seller assumes almost all of the risks of this contract Time and Materials (T&M) - simple billing at pre-negotiated rates for labor and materials on a project. Rates normally include a certain percentage markup for overheads or profit. In this arrangement the buyer carries most of the risk. Cost Reimbursable (CR) - in this type of contract the buyer agrees to reimburse the seller’s actual costs. Added to that is a fee that typically represents the seller's profit. In this type of contract the buyer carries most of the risk. egPMP. Exam Preparation Advantages & Disadvantages — Fixed Price Contract Advantages of fixed price contracts: + Less work for the buyer to manage. + The seller has a strong incentive to control costs. + Companies normally have experience with this type of contract. + The buyer knows the total price at project start. Disadvantages of fixed price contracts include: + The seller may underprice the work and try to make up profits on change orders. + The seller may not complete some of the contract statement of work once the contact becomes unprofitable. + More work for the buyer to write the contract statement of work + Can be more expensive than cost reimbursable contracts. he + The seller will have to provide for risk in the price quoted a 270.a PMP. Exam Preparation = Advantages & Disadvantages — Time & Materials Contract Advantages of time & materials contracts include: * Quick to create * Good choice when hiring "bodies" or people to augment staffing. Disadvantages of time & materials contracts include: ia * Seller has no incentive to control cost * Requires monitoring of daily output * More suitable for small projects only —a 7T/L Dey eal yong PMP. Exam Preparation I 5 Advantages & Disadvantages — Cost Reimbursable Contract q : Advantages of cost reimbursable contracts include: a + Simpler contract statement of work. + Usually requires less work to define the scope than fixed price. + Generally lower cost than fixed price because the seller does not have to “add on” for risk. : i iL! Disadvantages of cost reimbursable contracts include: TL WL + Require auditing of the seller's invoices. + Require more work for the buyer to manage. hadi) Seller has only a moderate incentive to control costs. Total price is unknown. Ee d [ jtal ta PMP. Exam Preparation Plan Procurement Management Procurement planning is the process that enables the procurement of products and services from external or internal suppliers. 4 Tools Tochiques ouput a Wake orBuy Anabae | Procireman Management an = RequrementsDocumenaion | Exper todgment | Procurement utovans o wor ak Regier Matt Research Wake or Buy Designs ‘Aatiy Resource Mesias Procrement Dossiers : Roquroment > Projet Scheie Source Selection Cronin = Falvy Cos Eninaes Change Requests | Sikahader Reg Proje Document Updates =| Erieise Enviromental fects 5 Orgerizatonal Paces = sts =| i a d | iPMP. Exam Preparation Conduct Procurements Conduct Procurements is the process of obtaining responses from sellers, selecting sellers, and awarding contract(s) to the selected seller(s). Inputs Tools & Techniques ‘Outputs Procurement Management Bidder Conferences ‘Selected Sellers Plan ‘Procurement Documents Proposal Evaluation ‘Agreements Techniques. ‘Sourea Selection Grteria Independent Estimates Resource Calendars ‘Seller Proposals Expert Judgement Change Requests, Project Documents ‘Advertsing Project Manegement Plan Updates Make or Buy Decisions ‘Analytical Techniques: Project Document Updates: Procurement Statement of work Procurement Negotiations Organizational Process Assels erya Le a tel tal tal i PMP. Exam Preparation Control Procurements The process of managing procurement relat Performance and making changes & correcti ionships, monitoring contract ions as requested. System Information Procurement Documents | Procurement Performance ‘Change Requests, Reviews ‘Agreements Inspections and Audits Project Management Plan Updates ‘Work Performance Reports Payment Systems Project Document Updates Work Performance Data Claims Administration Organizational Process ‘Assets Updates Records Management System Performance Reporing erPMP. Exam Preparation Close Procurements Close Procurements, as the name suggest is simply closing the procurements required by the project. Inputs Tools & Techniques ‘Outputs Project Management Plan Procurement Audis ‘Closed Prosurements Procurement Documents Procurement Negotiations Organizational Process: ‘Assets Updates Record Management Systems 216ala a tal tal tal jal | ee ee ee PMP. Exam Preparation Questions - Module 12 Project Procurement Management 97PMP. Exam Preparation ’ Questions Module 12 Question —1 + Which of the following contracts is not of fixed type? A. Firm Fixed Price B. Fixed Price Incentive Fee —C. Fixed Price with Economic Price Adjustment D. Fixed Price with Fixed Fee Question -2 + As project manager you found that to automate certain test cases and perform analysis with your team to find out whether to build or buy certain software. Which Tools and Techniques from which Process Area are you working on? Checking on the Procurement documents in Plan Procurement Make or buy analysis in Plan Procurement Build or buy analysis in Plan Procurement Checking on the Source Selection Criteria op m>ea 4 ta PMP. Exam Preparation lar Questions Module 12 Question 3 4 * Which type of contract pose minimal risk to the seller? VA. T&M , a B. FFP ete pets inteuhie oo C. CPIF et Paths espns py oh js 7 D. CP-EPA Beemer hy ares hd 4 Question-4 * Which process area falls into the Monitoring and Controlling Process Group during 5 Procurement Management? A. Plan Procurement Management B. Conduct Procurements v-C. Administer Procurements D. Close Procurements i | eePMP. Exam Preparation Questions Module 12 Question - 5 + You completed your project and delivered the project to the buyer. The buyer has accepted the deliverables, but is not happy with the result. What is the correct statement about the contract? A. Contract is incomplete B. Lack of terms and conditions in the contract C. Contract is complete and can be closed D. Contract is to be renewed Question —6 + AProcurement Audit happens in which Process Area? A. Plan Procurement Management B. Conduct Procurements C. Control Procurements ~ D. Close Procurements 2g0Al tab ia ta) ver tm ae PRP Gn ty ta PMP: Exam Preparation End of Module 12 Project Procurement Management Based on the PMBOK, Guide - Fifth edition 28.PMP. Exam Preparation Module 13 Project Stakeholder Management Based on the PMBOKe Guide — Fifth Edition 282=] a =a : PMP. Exam Preparation Content of Module 13 + Who is a Stakeholder? + Stakeholder Register * Various Analytical Techniques for Stakeholder Analysis * Various Management and Interpersonal Skills * Key Terminology in Project Stakeholder Management * Processes of the Project Stakeholder Management Knowledge Area © Identify Stakeholders © Plan Stakeholder Management © Manage Stakeholder Engagement © Control Stakeholder Engagement * 293PMP. Exam Preparation Stakeholder and Stakeholder Management Stakeholder: + Anyone who can impact the project or can be impacted by the project in a positive or negative way + Some stakeholders may have a limited ability to influence the project, where as others may be a significant influence on the project + Stakeholders can be people, groups or organizations Stakeholder Management: + Includes processes required to identify various stakeholders, analyze expectations and to develop appropriate management strategies for effectively engaging stakeholders in project decisions and execution Includes communication with stakeholders to understand needs and expectations, managing conflicting interests and fostering appropriate stakeholder engagement ORlal ‘alla a PMP. Exam Preparation Identify Stakeholders The process of identifying the people, groups or organizations that could be Impacted by a decision, activity, or outcome of the project; analyzing and documenting relevant information regarding their interests, involvernent, interdependencies, influence and potential impact on project success Inputs Tools & Techni Outputs Project Charter ‘Stakeholder Analysis, Stakeholder Register Procurement Documents Expert Judgement = Enterprise Environmental Meetings = Factors Organizational Process ‘AssetsPMP. Exam Preparation Stakeholder Analysis Stakeholder Analysis: + Atechnique of systematically gathering and analysing qualitative and quantitative information to determine whose interest should be taken into account in 3 steps. Step —1: Identify all the stakeholders with their roles, interests, expectations, influence etc. The later part is typically done by interviewing the identified stakeholders. o Step —2: Identify the potential impact each stakeholder could generate and classify them so as to define an appropriate strategy. o Step —3: Assess how key stakeholders are likely to react or respond in various situations, in order to plan how to influence them to enhance their support and mitigate potential negative impacts. 786a PMP. Exam Preparation Stakeholder Analysis Grids * Various Grids can be defined during Stakeholder Analysis. © Power/Interest Grid: Level of authority (Power) © Power/Influence Grid: Level of authority (Power (Influence) © Influence/Impact Grid: Level of. and Level of concern (Interest) ) and Level of active involvement active involvement (Influence) and their ability to affect changes to a project's planning or execution (Impact) © Salience Model: Describes classes of Stakeholders based on impose their will), urgency (appropriate involvement) their power (ability to (need for immediate attention) and legitimacy | BFPMP. Exam Preparation Stakeholder Register Stakeholder Register: « The primary Output of the Identify Stakeholder Process Area = Contains ail information related to the stakeholders + It can contain: ©. Identification Information: Name, Or Project and Contact Information o Assessment Information: Major influence on the project etc. © Stakeholder Classification: Can be internal resistor or neutral. ganizational Position, Location, Role in the requirements, main expectations, potential | or external, can be a supporter, oseiw a ota a iat au iar z ae = PMP. Exam Preparation Plan Stakeholder Management The process of developing appropriate management strategies to effectively engage Stakeholders throughout the project life cycle, based on the analysis of their needs, interests and potential impact on the project success. Provides a clear and actionable plan to interact with the stakeholders to ‘support interest in the project. inputs Toole & Techniques uta Project Naragement lan Expo Judgement ‘Siakeholder Management Plan ‘Stakeholder Register ‘Mostings Project Document Updates Enterprise Environmental ‘Analytical Techniques Factors ‘Organizational Process Assets 28gPMP. Exam Preparation Analytical Techniques Analytical Techniques: + Itis used to know the current engagement level of stakeholders as compared to the planned engagement + Engagement levels can be: Unaware: Unaware of project and potential impacts Resistant: Aware of project and potential impacts, but resistant to change Neutral: Aware of project, but neither supports or is resistant Supportive: Aware of project and potential impacts and supportive of change Leading: Aware of project and potential impact and actively engaged in ensuring project success 00000 Stakeholder Engagement Matrix: + Various stakeholders and engagement levels are put in a table + Annotation such as C for Current or D for Desired can be marked 2903 PMP: Exam Preparation Manage Stakeholder Engagement ‘The process of communicating and working with stakeholders to meet their needs and expectations, address issues as they occur, and foster appropriate stakeholder engagement in project activities throughput the project life cycle © Allows the project manager to increase su the chances of project success ipport and minimize resistance increasing Tnputs Tools & Techniques Outputs, Stakeholder Management | Communications Methods Tssue Log Plan ‘Communications Management Interpersonal Skis (Change Requests Phan Change Log Management Sklis Project Management Pian Updates ‘Organizational Process Project Document Updates Assois (Organizational Process ‘Assets UpdatesPMP. Exam Preparation Control Stakeholder Engagement The process of monitoring overall project stakeholder relationships and adjusting strategies and plans for engaging stakeholders © Stakeholder engagement activities are included in the Stakeholder Management Plan and are continuously controlled. Inputs Outputs Project Management Plen Work Performance Information Change Requests Issue Log Expert Judgement ‘Work Performance Data Meetings Project Management Plan Updates: Project Documents Project Docurment Updates ‘Organizational Process assets Updates 2m anes a ae(ay tay UY aU 1B} a ne a PMP. Exam Preparation Questions - Module 13 Project Stakeholder Management 293,PMP. Exam Preparation Questions Module 13 Question -1 + Anisgue Log is an Output of which Process Area of Stakeholder Management? A. Identify Stakeholders B. _ Plan Stakeholder Engagement © ©. Manage Stakeholder Engagement BD. Control Stakeholder Engagement Question - 2 ets a project manager you have been given the Project Charter. Which is the next Process Area you will get into immediately? ‘A, Develop Project Management Plan /B, Identify Stakeholders C. Plan Communications Management D. Plan Procurement Management 2294at ‘al lal (al lal a aan PMP: Exam Preparation Questions Module 13 Question — 3 * ASalience Model is used as one of the classification models for Stakeholder Management. Which combination does it have? A. Power, Influence B. Power, Interest C. Influence, Impact / D. Power, Legitimacy Question —4 * Which one of the following is the Analytical techniques tool? A B. VC. D. not an engagement level of the ‘stakeholder, performed with Resistant Leading Directing Supportive 2SPMP. Exam Preparation Questions Module 13 Question - 5 + Interpersonal Skills and Management Skills are used in? ia alr —_ A. Plan Stakeholder Management “ B. Manage Stakeholder Engagement C. Control Stakeholder Engagement ; D. Identify Stakeholders ‘ Question - 6 «Meetings are used in all Process Areas of the Stakeholder Management Knowledge Area, other than? A. Identify Stakeholders B. Plan Stakeholder Management C. Manage Stakeholder Engagement D. Control Stakeholder EngagementtA a aA eevee Ue CUD — PMP. Exam Preparation End of Module 13 Project Stakeholder Management Based on the PMBOK, Guide — Fifth edition 9%PMP. Exam Preparation Module 14 Professional & Social Responsibility Based on the PMl.’s Code of Ethics and Professional Conduct ‘Based on the PMBOKw Guide - Fifth Edition maea“@‘la fa ff la lal * PMP. Exam Preparation Content of Module 14 + Ensure Individual Integrity * Contribute to the Project Management Knowledge Base + Ethnocentrism * Code of Ethics + Professional Responsibility + Balance Stakeholder's interest 299PMP. Exam Preparation Ensure Individual Integrity ‘Adheres to legal requirements and ethical standards Tells the truth in reports, conversations and other communications. Follows copyright and other laws. Does not divulge company data to unauthorized parties. Does not put personal gain over the needs of the project. Prevents conflicts of interest or the appearance of conflicts of interest and deals with them when they occur. Does not give or take bribes or inappropriate gifts. Treats everyone with respect. Follows the PMls’s Code of Professional Responsibility. Does the right thing. Follows the right process. Reports violations of the laws, business policies, ethics and other rules.PMP. Exam Preparation Knowledge Base Shares lessons learned with other Project Managers in the company Writes articles about project management Supports the education of other Project Managers and stakeholders in project management Coaches or mentors other Project Managers. Mentors junior team members on Project Management related topics. Performs research to discover best practices for the use of project management and shares them with others Performs research on projects done within the company for the purpose of calculating performance metrics to be used within the organization for future projects.‘| Tah PMP. Exam Preparation Ethnocentrism Ethnocentrism - being centered in one’s own culture. In simple terms ethnocentrism can be defined as: making false assumptions about others’ ways based on our own limited experience. One need to put effort into avoiding being ethnocentric when dealing with people i from different cultures or countries | Culture shock - the disorientation ‘experienced by people who suddenly find themselves living and working in a different environment. set |PMP. Exam Preparation Code of Ethics The PMlo Code of Ethics and Professional Conduct is the authoritative guide on how all PMle members should behave. Eight guidelines to help establish a strong ethics foundation for your professional activities: Recognize that managing ethics is a process - itis the process of reflection and dialog that produces deliverables such as codes, policies and procedures. The goal of an ethics management initiative is preferred behavior in the project environment. The best way to manage ethical dilemmas, like negative project risks, is to avoid their ocourrence in the first place Make ethics decisions in teams, and make decisions public, as appropriate. Integrate ethics management with other project practices. Define preferred ethical values in the project management plan. Use cross-functional teams to develop your ethics management plan. Benefit from varied input. Value forgiveness - help project personnel recognize and address their mistakes and then support them to continue to try to operate ethically Give yourself credit for trying - attempting to operate ethically and making a few mistakes is better than not trying at all. All projects are comprised of people and people are not perfect. 33