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Project Management

Using PMI Approach


December 2014 Jeddah , KSA

Class Schedule
Lecture 1
Lecture 2
Lecture 3
Lecture 4
Lecture 5
Lecture 6
Lecture 7
Lecture 8

:
:
:
:
:
:
:
:

09th
10th
11th
12th
13th
14th
15th
16th

Dec
Dec
Dec
Dec
Dec
Dec
Dec
Dec

TUE
WED
THU
FRI
SAT
SUN
MON
TUE

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7-10 pm
7-10 pm
7-10 pm
3-10 pm
3-10 pm
7-10 pm
7-10 pm
7-10 pm

Abu Bakar Ahsen


Education / Qualification

BCS , M.IT
PMP , RMP
MCTS , MCPD
Lean Six Sigma Green Belt Certified

Work Experience
15+ Years of Working & Project Management
Experience
150+ Project Management Workshops
Already trained 4000+ Industry Professionals
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Cartoons Time

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You can become PMP , if


Graduation or Above

Diploma Holders

Work
Experience

3+ Years Job Experience


Including 4,500 + Hours of
Project Experience.
( Non Overlapping)

5 + Years Job Experience


Including 7,500 + Hours of
Project Experience
(Non Overlapping)

Project
Management
Training

35 PDUs of Project
Management Training

35 PDUs of Project Management


Training

Exam

One 4 hours Exam ,


200 MCQs

One 4 hours Exam ,


200 MCQs

Ref : www.pmi.org
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Project Management Training Sources

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PMP Examination Information


Computer-based exam at a Prometric Test Center
200 Multiple Choice Questions to be done in 4
hours. ( All questions have 4 Options)

Of the 200 questions, 25 are considered pretest


questions and are not scored.
61.0% passing score ( 106 / 175 ) But may vary
depending upon your luck on that day ( Best case
scenario and worst case scenario )
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Frequently Asked Questions (FAQs)


What is the cost of the PMP Exam?
PMI member = $405 Non-PMI member = $555
If I fail the PMP, what is the cost to retake the PMP
Exam?
PMI member = $275 Non-PMI member = $375
How many times can I take the PMP Exam?
You are granted a one-year eligibility period in which
to pass the examination. During the eligibility period,
you may take the examination up to three times.
When do I learn if I passed the PMP Exam?
On the spot result
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Prometric Centers
Medina
Jeddah
Riyadh
Dammam

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Prometric Centers

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Prometric Centers

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Sample PMP Exam


Question
Which of the following is NOT true of obtaining project plan approval?
a.

Until you obtain plan approval, you dont need to put changes to it
through change control.

b. Change control makes sure that only approved changes can make it into
the approved plan.
c.

Only one person needs to approve the Project Management Plan and
thats the Project Manager.

d. Its important for the entire team to buy into the Project Management
Plan for it to be successful.

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Sample PMP Exam


Question
Which of the following is NOT true of obtaining project plan approval?

a.

Until you obtain plan approval, you dont need to put changes to it
through change control.

b. Change control makes sure that only approved changes can make it into
the approved plan.

c. Only one person needs to approve the Project Management Plan and
thats the Project Manager.
d. Its important for the entire team to buy into the Project Management
Plan for it to be successful.
Answer: C
Its not enough that the Project Manager approves of the Project Management Plan; it needs to be
approved by all of the stakeholders in the project. Everyone on the team should feel comfortable with the
processes that are going to be used to do the work.
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Sample PMP Exam


Question
You are the project manager for a railroad construction project. Your
sponsor has asked you for a forecast for the cost of project
completion. The project has a total budget of $80,000 and CPI of
.95. The project has spent $25,000 of its budget so far. How much
more money do you plan to spend on the project?
a.

$59,210

b. $80,000
c.

$84,210

d. $109,210

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Sample PMP Exam


Question
You are the project manager for a railroad construction project. Your
sponsor has asked you for a forecast for the cost of project
completion. The project has a total budget of $80,000 and CPI of
.95. The project has spent $25,000 of its budget so far. How much
more money do you plan to spend on the project?

a. $59,210
b. $80,000
c.

$84,210

d. $109,210
Answer: A

This question is asking you to create a forecast using Estimate To Complete (ETC), which uses CPI (Cost
Performance Index) to project how much money is likely to be spent for the rest of the project. The first
step is to plug the numbers into the formula EAC = BAC / CPI, which yields EAC = $80,000 / .95 =
$84,210. Thats how much money youre likely to spend on the project. Now you can figure out ETC =
EAC - AC = $84,210 - $25,000 = $59,210.
[BAC = Budget at Completion, EAC = Estimate at Completion, AC = Actual Cost]
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Sample PMP Exam


Question

Given this portion of the network


diagram to the right, whats the LF
of activity F?
a.

10

b. 11
c.

16

d. 17

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Sample PMP Exam


Question
Given this portion of the network
diagram to the right, whats the LF
of activity F?

a. 10
b. 11
c.

16

d. 17
Answer: A
Its just easy to calculate the late finish (LF) of an activity in a network diagram. Look at the following
activity, take its LS (late start), and subtract one. If theres more than one following activity, use the one
with the lowest LS. So for activity F in the question, the following activities are G, with an LS of 17, and H,
with an LS of 11. So the LF of F is 11 - 1 = 10.
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Sample PMP Exam


Question
There have been several rounds of layoffs at your company. Now your
project team is worried about their job security, and youve noticed
that their performance has decreased significantly because of it.
This is predicted by which motivational theory?
a.

McGregors Theory of X and Y

b. Maslows Hierarchy of Needs


c.

McLellands Achievement Theory

d. Herzbergs Motivation-Hygiene Theory

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Sample PMP Exam


Question
There have been several rounds of layoffs at your company. Now your
project team is worried about their job security, and youve noticed
that their performance has decreased significantly because of it.
This is predicted by which motivational theory?
a.

McGregors Theory of X and Y

b. Maslows Hierarchy of Needs


c.

McLellands Achievement Theory

d. Herzbergs Motivation-Hygiene Theory


Answer: B
Maslows Hierarchy of Needs says that people have needs, and until the lower ones (like acceptance
on the team, job safety or job security) are satisfied they wont even begin to think about the higher
ones (fulfilling their potential and making a contribution).

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Figure 1-8. Growth in PMP


Certification, 1993-2008
350,000
318,289

300,000
267,367

250,000

# PMPs

221,144

200,000
175,194

150,000
100,000

102,047
76,550
52,443

50,000

40,343

1,000
-

1,900

2,800

4,400

6,415

10,086

18,184

27,052

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Year

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Project Definition (PMI)


A project is a temporary endeavor undertaken
to create a unique product, service, or result.
Product :
Service:
Result :

Road / Building / Software / New Car etc


Mobile Network Coverage / Urgent Mail Service etc
Elections / Surveys / Exploration of Petroleum etc

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PROJECT MANAGEMENT
The application of skills and methodologies that
allow to deliver a project on time, within
budget and to the specifications.

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Project Characteristics
Temporary
Have some objectives to meet.
Progressive Elaboration ( Means more details
become available with the passage of time)
Are done to
grab some opportunity,
market demand,
capacity building,
technological advancement
regulatory requirements.
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Examples of projects include


Developing a new product or service
Designing a new transportation vehicle
Developing or acquiring a new or modified
information system
Constructing a building or facility
Building a water system for a community
Implementing a new business procedure or
process
Responding to a contract solicitation.
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KNOWLEDGE AREAS
Scope Management
Time Management
Cost Management
Quality Management

HR Management
Communication Management
Risk Management
Procurement Management
Stakeholder Management

Integration Management

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Project management
Knowledge Areas
Project Scope Management
Processes required to ensure that the project includes all
the work required, and only the work required, to
complete the project successfully.
1. Plan Scope Management
2. Collect Requirements
3. Define Scope
4. Create WBS
5. Validate Scope
6. Control Scope
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Project management
Knowledge Areas
Project Time Management
Describes the processes required to ensure timely completion
of the project.
1. Plan Schedule Management
2. Define Activities
3. Sequence Activities
4. Estimate Activity Resource
5. Estimate Activity Durations
6. Develop Schedule
7. Control Schedule
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Project management
Knowledge Areas
Project Cost Management
Describes the processes required to ensure that the
project is completed within the approved budget.

1. Plan Cost Management


2. Estimate Cost
3. Determine Budget
4. Control Costs

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Project management
Knowledge Areas
Project Quality Management
Describes the processes required to ensure that the
project will satisfy the needs for which it was
undertaken.
1. Plan Quality Management
2. Perform Quality Assurance
3. Control Quality
( What is the difference between QA and QC )

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Project management
Knowledge Areas
Project Human Resource Management
Describes the processes required to make the most effective use
of the people involved with the project.
1.
2.
3.
4.

Plan Human Resource Management


Acquire Project Team
Develop Project Team
Manage Project Team

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Project management
Knowledge Areas
Project Communications Management
Describes the processes required to ensure timely and
appropriate generation, collection, dissemination, storage, and
ultimate disposition of project information.
1.Plan Communications Management
2.Manage Communications
3.Control Communications

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Project management
Knowledge Areas
Project Risk Management
Describes the processes concerned with identifying,
analyzing, and responding to project risk.

1. Plan Risk Management


2. Identify Risks
3. Perform Qualitative Risk Analysis
4. Perform Quantitative Risk Analysis
5. Plan Risk Responses
6. Monitor and Control Risks
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Project management
Knowledge Areas
Project Procurement Management
Describes the processes required to acquire goods
and services from outside the performing organization.

1. Plan Procurement Management


2. Conduct Procurements
3. Control Procurements
4. Close Procurements

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Project management
Knowledge Areas
Project Stakeholder Management
.
1. Identify Stakeholders
2. Plan Stakeholder Management
3. Manage Stakeholder Engagement
4. Control Stakeholder Engagement

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Project management
Knowledge Areas
Project Integration Management
Processes required to ensure that the various elements of
the project are properly coordinated.
Below are the process in Integration Management
Knowledge Area
1. Develop Project Charter
2. Develop Project Management Plan
3. Direct and Manage Project Execution
4. Monitor and Control Project Work
5. Perform Integrated Change Control
6. Close Project or Phase
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Process Groups
Project management processes can be organized into five groups:
Initiating processes: recognizing that a project or phase should begin
and committing to do so.
Planning processes: devising and maintaining a workable scheme to
accomplish the business need that the project was undertaken to
address.
Executing processes: coordinating people and other resources to carry
out the plan.
Controlling processes: ensuring that project objectives are met by
monitoring and measuring progress and taking corrective action when
necessary.
Closing processes: formalizing acceptance of the project or phase and
bringing it to an orderly end.
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Process Groups

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Thank You

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Scope

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WHAT IS Work Break Down Structure


(WBS) ?
What is an activity ?
What is activity Dependancy ?

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How to calculate the project duration?


Using Critical Path Method

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Simple Example:
Lets say we have two activities
a) Make Biryani ( Duration = 60 Min)
b) Make Raita ( Duration = 10 Mins)
Project Start time = 08:00 pm

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Simple Example:
Lets say we have two activities
a) Make Biryani ( Duration = 60 Min)
b) Make Raita ( Duration = 10 Mins)
Project Start time = 08:00 pm
Activity Duration
Name ( Mins)

ES

EF

LS

LF

Float

Biryani

60

08:00

09:00

08:00

09:00

Raita

10

08:00

08:10

08:50

09:00

50

Flaot is the amount / duration by which you can delay an activity without affecting
the project target completion date.
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Simple Example:
Lets say we have two activities
a) Make Biryani ( Duration = 60 Min)
b) Make Raita ( Duration = 10 Mins)
Project Start time = 08:00 pm
Activity Duration
Name ( Mins)

ES

EF

LS

LF

Float

Biryani

60

08:00

09:00

08:00

09:00

Raita

10

08:00

08:10

08:50

09:00

50

60 Minutes is the project duration. The path containing make Biryani is the critical
path, longest path, and the shortest duration in which you can complete this project
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and is called as critical path.
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Example Project
Activity Name

Duration ( days)

Predecessor

None

None

14

D,F

12

B,C

G,H

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Network Diagram

start

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Network Diagram

start

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Network Diagram

H
I

end

start
E

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Network Diagram
D

G
A

F
I

start

end

H
B

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Identify all the paths


D

G
A

F
I

start

end

H
B
Path 1 A - D - G - I

Path 3 A - C - H - I

Path 2 A E - F - G - I

Path 4 B - H - I

Identify all the paths


D

G
A

F
I

start

end

H
B
Path 1 A - D - G - I

24 Days

Path 2 A E - F - G - I 26 Days

Path 3 A - C - H - I

23 Days

Path 4 B - H - I

20 Days

Critical Path Method


Activity Duration
Name
(Days)

Predecessor

None

None

14

D,F

12

B,C

G,H

ES

EF

LS

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LF

Float

Forward Pass
Activity Duration (
Name
WEEKS) Predecessor

ES

EF

None

None

10

14

D,F

11

24

12

B,C

10

21

G,H

25

26

LS

LF

Float

Backward Pass
Activity Duration (
Name WEEKS) Predecessor

ES

EF

LS

LF

None

None

12

12

10

10

10

14

D,F

11

24

11

24

12

B,C

10

21

13

24

G,H

25

26

25

26

Float

Float
Activity Duration (
Name WEEKS) Predecessor

ES

EF

LS

LF

Float

None

None

12

12

10

10

10

14

D,F

11

24

11

24

12

B,C

10

21

13

24

G,H

25

26

25

26

Zero Float Activities


Activity Duration (
Name
WEEKS)

Predecessor

ES

EF

LS

LF

Float

None

10

10

14

D,F

11

24

11

24

G,H

25

26

25

26

Second Example
Activity Duration (
Name WEEKS) Predecessor

None

B,E

E,G

C,F,H

ES

EF

LS

LF

Float

Second Example
Activity Duration (
Name WEEKS) Predecessor

ES

EF

None

13

B,E

10

15

E,G

10

16

C,F,H

17

19

LS

LF

Float

Second Example
Activity Duration
Name ( WEEKS) Predecessor

ES

EF

LS

LF

None

2,3,5

10 , 9

13

10

16

9 , 10

B,E

10

15

11

16

E,G

10

16

10

16

C,F,H

17

19

17

19

Float

Second Example
Activity Duration (
Name WEEKS) Predecessor

ES

EF

LS

LF

Float

None

13

10

16

B,E

10

15

11

16

E,G

10

16

10

16

C,F,H

17

19

17

19

Earned Value Management

A method to assess the projects performance.


Where we are standing ?
How is it going ?
Is it going good or Bad ?
In Terms of Time
In Terms of Cost

If it continues like this ? What are the forecasts /


Projections / Estimations ?
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Example

We have to construct a wall , in 10


days, and 1000 SAR budget. At the
end of 4 days, we have completed
20 % and spent 300 SAR. Assuming
linear planning ( 10 % daily
achievement and spending) ..
Calculate the following

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Planned Value (PV)


Earned Value (EV)
Actual Cost (AC)
Schedule Variance (SV)
Cost Variance (CV)
Schedule Performance Index (SPI)
Cost Performance Index (CPI)
BAC
EAC
ETC
VAC
TCPI
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PV = Planned Value = Budgeted cost of work


scheduled ) means we wanted to do )
At the end of 4th day ?? 40 %
Budget allocated for 40 % = 400
PV = 400
EV = Earned Value = Budgeted cost of work
performed ) means we have done )
At the end of 4th day ?? 20 %
Budget allocated for 20 % = 200
EV = 200

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AC = Actual Cost of the work so far done


Which is given in the statement itself i.e. 300 SAR
Schedule variance = SV = EV PV
Cost Variance = CV = EV AC
If SV or CV is negative shows a bad situation
If SV or CV is positive shows a good situation
If SV or CV is Zero shows an OK situation

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Schedule Performance Index= SPI = EV / PV


Cost Performance Index = CPI = EV / AC
If SPI or CPI is < 1 shows a bad situation
If SPI or CPI is > 1 shows a good situation
If SPI or CPI is 1 shows an OK situation

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How to remember the formulas

SV = EV PV
CV = EV AC
SPI = EV / PV
CPI = EV / AC

EV is coming first
For Variance its Minus
For Index is division
For Schedule other operand is PV
For Cost other operand is AC
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Planned Value (PV)


Earned Value (EV)
Actual Cost (AC)
Schedule Variance (SV)
Cost Variance (CV)
Schedule Performance Index (SPI)
Cost Performance Index (CPI)
BAC
EAC
ETC
VAC
TCPI
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