Section 5: Define Project Management Foundations

 Projects are temporary – have start and end –

 Projects Enable Business Value – Tangible and Intangible
 Project Initiation Context – regulatory, legal or social requirement – stakeholder request –
technological advances – create, improve, and fix products processes and services
 Project Management – application of knowledge, skills, tools, and techniques to meet the
project objectives
 Project Management Processes (49 Processes) vs Project Management process groups (there’s
5 – initiation, planning, executing, monitoring & controlling, closing)
 Project Constraints – scope, quality, schedule, budget, resources, risks
 Project Management Application Areas: Construction, Health Care, Government, Information
Technology
 Project Management Life Cycle vs Project Life Cycle – Project Management Life Cycle (Initiation,
Planning, Executing, Monitoring & Controlling, Closing) – Project life cycle is the phases of the
project.
 Progressive elaboration: idea or concept, formulate the idea, business case, feasibility study,
project.

Section 6: Related Areas of Project Management

 Program Management: comprised of multiple related projects to achieve benefits.

 Portfolio Management: comprised of programs, projects and operations working towards
achieving business goal. Portfolio is about maximizing return on investment.
 Portfolios have organizational scopes and reflect the strategic goal of an organization.
 Project Portfolio Management: the process of choosing and prioritizing projects within an
organization.
 Project Management Office: support project managers, manage resources across PMO, conduct
Audits, develop and manage processes, and facilitate communication across projects.
 PMO types: Supporting, Controlling, Directing
 Projects vs Operations: Projects is temporary and generated to fulfill an objective while
operation is an ongoing endeavor and is repetitive actions.
 Organizational Project Management & Strategies (OPM) – Coordinate, managed and control
projects, programs, and portfolio management in a uniform and consistent effort.
 OPM Facts: Strategy (goals and tactics); Portfolio (Value Decisions); Programs/projects (Results
delivery); Operations (Business value realization).
 Project Environment: Physical Location & factors that influence the project (cultural, social,
infrastructure)
 Physical elements: Weather, constraints, working conditions, location of the project, external
enterprise environmental factors
 Social and Cultural Influence: Political Climate, code of conduct, ethics, perceptions, values,
External EEFs
  Organization Culture and Structure: Mission, vision, values and beliefs, cultural norms,
hierarchy and authority, organizational and management style, internal EEFs
 Infrastructure Environmental Factor: facilities, equipment, telecommunication channels, IT
hardware and usability, internal EEFs.

Section 7: Project Management Components

 PMP 10 Knowledge Areas

o Integration Management
o Scope Management
o Schedule Management
o Cost Management
o Quality Management
o Resource Management
o Communications Management
o Risk Management
o Procurement Management
o Stakeholder Management
 Processes in Process Groups: (Initiating -2, Planning – 24, Executing – 10, Monitoring – 12,
Closing -1) *most questions
 Work Performance Data, Information, Reports: Data – Raw Data, Information – analyze the
data to make decisions and actionable results, Report – Communicable Formatting in terms of
report, memo, dashboard, help stakeholders make decisions.
 Tailoring the Processes: what processes and to what depth is needed for this project? A project
doesn’t necessarily need all the processes, the larger the project the more process it needs.
 Predictive Projects life cycles: plan driven and goes all the way down to the end of project
(waterfall approach). Scope is closely managed.
 Iterative/incremental Life Cycle: Phases repeat through iterations which creates deliverable.
 Adaptive Life Cycle: change driven (Agile Projects) – changes to the scope is expected. They’re
rapid iterations.
 Business Documents: Project charter, Project Business Case, Project Management Plan, Benefit
Management Plan
 Phase Gate: review of the current phase prior to moving to the new phase is called Phase Gate
 Project Business Case: Economic Feasibility Study, validating the benefits the project will create,
future Project Management decisions, management throughout the process.
 Project sponsor is responsible for Business Case and Project Manager can give recommendation.
Business case is in Program Level.
 Business Case is used in Business Needs, Project Determination,
 Analysis of a situation – Required, Desired, Optional.
 Project Benefit – project outcome that provide value to business
o Target Benefits – Tangible & Intangible benefits
o Strategic Alignment – benefits are aligned with organization strategy
o Metrics – how benefits are measured
o Timeframe – when benefits are measure – phase, short-term, long-term
 o Assumptions – the factors expected to be in place
o Risks- the risk of realization of benefits

Section 8: Project Environments

 Enterprise Environmental Factors: PMs have no control over EEFs and is something outside the
project. Like rules, laws, and policies. There are 2 types of EEFs. *restricted choices that you
must follow.
1. Internal EEFs – Created by the Organization but outside the project (Culture, Code of
Conduct, Location, Vision, Mission, People, Infrastructure & Facility of organization,
software, employee capability)
2. External EEFs – things out the organization (Laws, regulations, Marketplace, Cultural
influences, Commercial Database, government standards, academic research, physical
environmental factors, financials)

 Organizational Process Assets (OPAs): resource within an Organization (employees, historical

information, policies, standards, procedures, guidelines, template for project documents)
*guidelines made to help
 Common OPAs: Financial Controlling & Procurement Processes, communication Requirements,
Processes for Project Activities, Project Closing procedures.
 Processes, Policies, and Procedure: these 3 Ps can impact the project process groups. *Study
more
 Knowledge Repositories: Cataloging, Archiving, Retrievable, OPAs, Archive the closure
 Examples of Knowledge Repositories: Project files from past projects, lessons learned, issue and
defect database, financial database, configuration management database
 Organizational Systems: gives structure and governance on how’s work done – Permissions,
Work authorization, employee discipline, defined by organization management.
 System Dynamics – relationship between departments, projects, management & employees.
Bureaucracy, politics, and policies.
 Frameworks: governance is the rules! Framework is the organizational structure. *study more
1. Governance defines what you can or can’t do in an organization
2. How you operation in a system
3. Framework is the organizational structure
 Management Elements: Portfolio, programs and projects have governance that share common
approach in alignment, risk, performance, communications.
 Organizational Structure Types: 10 types
1. Organic or simple – flexible and all employees thrive to have the work done regardless
of their roles. Start-up companies
2. Functional (Centralized) – clear division of business units. Functional Manager has the
authority opposed to PM.
3. Multidivisional – replication of function for each division. PM has little authority. Like
functional.
 4. Weak Matrix – team has a blend of departmental and project duties – PM has little
authority. Functional Manager manages the budget
5. Balanced Matrix – PM has low to moderate authority. Functional Manager and PM
share the management of project budget.
6. Strong Matrix – PM has more authority than the Functional Manager and PM manages
the project budget.
7. Project Oriented (Composite, Hybrid) – groups of employees work together on this
project.
8. Virtual – network structure within the organization
9. Hybrid – blend of different structure types – PM power unique to the structure
10. PMO Structure – PMO manages the projects across the organization. Uniform approach
for all projects.


PMO – uniform approach
1. Directive PMOto–support PM.ofPMO
PM is part PMOprovides OPAs asthe
which manages templates,
project training, software t.
2. Controlling PMO – setup the framework/Governance
3. Supportive PMO – Act as Consultative role.

Section 9: Role of a Project Manager

 Definition of Project Manager - Manage project and lead people. Active listener, PM
communicates (written, oral) formal, informal, vertical (hierarchy), horizontal.
 Project Manager Negotiate – PM solve problem,
 Project Manager’s Sphere of Influence: Stakeholder Influences, Organizational influences,
Social, Economics and Environmental influences, International Influence, Cultural & Industry
Influences (Current trends, communities, education, application areas).
 Project Management Competencies: Unconsciously incompetent (unaware of skills you don’t
have), consciously incompetent (aware of skills you don’t have), consciously competent (learn
and practice the skill), unconsciously competent (do the skill without thinking), Chosen
Incompetent (practices and maintain the skill).
 Project Management Value: 1- Knowledge, 2-Performance, 3-Personal
 Project Management Skills – 1- Apply Project Management, 2- Knowledge Areas are technical
Project Skills, 3 – Business Skill and Business Expertise
  Strategic and Business Management Skills: 1- ability to see high level overview, 2- effectively
negotiate and implement decisions, 3- knowledge of other functions – financial, operations,
marketing.
 Business Knowledge: Strategy, Team, Value
 Leadership Skills: 1- guide 2- motivate 3- Negotiate 4- Resilience 5- communicate 6- Solve 7-
Think 8- Interpersonal
 Leadership Styles:
o Transactional leadership: (management by exception): rewards and punishment
o Servant Leader: (focuses on the needs of the project)
o Lassiez-faire: hands off approach towards project
o Transformational leadership: inspiring and motivational
o Charismatic: you can do more than you think you can do
o Interactional leadership: fantastic and hybrid type of leadership
 Positional Power – power of position of project manager
 Informational power: project manager has the information
 Referent power: respected because of the past performance
 Situational power: because of certain situation someone gets the power
 Charismatic: based on personality
 Reward power: based on performance
 Ingratiation power: gain power through flattery, false power wears off quickly
 Pressure-based power: restricting the choices to get the result
 Guilt-based power: make the stakeholder feel guilty to have the work done
 Persuasive power: persuade people through a speech to have the work done
 Avoiding power: refuse to act
 Comparing leadership and management: leadership is about aligning and motivating people
and management is getting things done.

Section 10: Project Integration Management

 Only knowledge areas that has at least one process in all the process groups
 Trends & Emerging Practices in Project Integration Management
o Alignment of benefits, management, project life cycle
o Creating the project management plan
o Creating and managing project knowledge
o Managing performance and changes of the activities
o Making integrated decisions.
o Managing the project’s progress
o Meet project objectives
o Collect, analyze and communicate project data
o Completing the work, formally closing phase, contract and project
o Managing phase transitions
o Automated tools PMIS
o Visual tools instead of plans (dashboard, Kanban board)
o Project knowledge management
 o Project Manager’s increased responsibility
 Business case development
 Benefits management
o Hybrid methodologies (adaptive and predictive)
 Tailoring Project Integration management
o Tailor the process as needed and also allowed by governance
o Enterprise environmental factors
o PMOs
 Processes that can be tailors
o Project life cycle
o Development life cycle
o Management approaches
o Knowledge management
o Change
o Governance
o Lessons learned
o benefits
 Consideration for adaptive environments
o Project teams are local experts
o Team member determines how plans and components integrate
o Project manager has a servant leader approach
o Project manager build collaborative decision-making environment
o Team members are usually generalist than specialists
 Developing Project Charter (Initiation)
o Inputs
 Business documents
 Agreements
 EEFs
 OPAs
o Tools & techniques
 Expert judgement
 Data gathering (brainstorming, focus groups, interviews)
 Interpersonal and team skills (conflict Management, facilitation, meeting
management)
 meetings
o outputs
 project charter
 assumption log
 Develop Project charter
o Authorize the project and project manager
o Authorized external to the project – (Project Sponsor signs the charter)
o Appropriate power
o Portfolio steering committee
o Usually once, can be multiple points in project
 Business case for project charter
o Market demand
o Organizational need
o Customer request
o Technical advance
o Legal requirement
o Ecological impact
o Social need
 EEFs
o Government standards
o Legal and regulatory requirements
o Marketplace condition
o Organizational culture and pollical climate
o Organization governance framework
o Stakeholder expectation and risk thresholds
 OPAs
o Organizational standard policies, process and procedure
o Portfolio, program and project governance framework
o Monitoring and reporting methods
o Templates
o Historical information and lesson learned repository
 Developing the project charter
 o Expert judgement: organizational strategy, benefits management, technical knowledge,
estimating and risk identification
 Consultants
 Internal organizational resources
 Stakeholders
 Industry groups
 PMOs
 Data Gathering in creating project charter
o Data gathering
o Focus groups
o Interviews
 Project Charter should include
o Project Purpose
o Measurable project objectives
o High-level requirements
o Overall project risk
o Summary milestone schedule
o Preapproved financial resource
o Key stakeholdes
o Approval requirements
o Exit criteria – close or cancel
o Assigned project manager
o Sponsor
 Choosing a project
o Opportunities
o Problems
o Customer request
 Benefits measurement
o Compare the benefits of the project
o Cost-benefits ratio
o Scoring models
o Murder boards
o Payback period
 Future Value of Money
o FV = PV(1+i)^n  I = interest, n = number of time periods
o PV = FV/(1=i)^n
o Net Present Value = sum (PVn)/ (1=i)^n * will not be in exam
o International rate of Return = IRR higher = good, IRR lower = not good, IRR greater than
zero means benefit * will not be in exam
 Creating Assumption log:
o Documents contains assumptions and constraints
o Believed to be true but not proven
o Updated throughout the project
  Developing Project Management Plan (Planning)
o Input
 Project charter
 Outputs from other process
 EEFs
 OPAs
o Tools and Techniques
 Expert Judgement
 Data gathering
 Meetings
 Interpersonal and team skills
o Output
 Project Management Plan
 Project management plan is fluid means it’s updated throughout the project
 Project is executed, monitored and controlled, and closed
 Project management plan is baselines – the first plan is called baseline. After baseline, for any
change in plan change control is required.
 After baseline, change control is required to update the plan

Purpose of the plan:

 Communicates intent of the project

 Guidance to project manager
 Provides structure, documentation, and baseline

Planning participants

 Project Manager
 Project Team members
  Customers
 Management

Kick-off meetings

 End of planning and start of execution

 In PMBOX, kick-off meeting is taken place after plan is finalized not after the project charter
 Communicate objectives
 Gain team commitments
 Explain stakeholder roles and responsibilities

Smaller projects – one team performs planning and execution. Kick off occurs after initiation in planning

Large projects – project management team manages the planning; kick-off meeting takes place with
executing process groups

Multiphase projects: kick off meeting at start of each phase.

Typical Project Management plan: Scope plan, cost, schedule, resource, procurement, stakeholder, risk,
communication, quality, and requirement management plan.

Project Plan: Baseline (bases for comparison of actual versus planned)

 Scope baseline: scope statement, WBS, WBS dictionary

 Schedule baseline: schedule model that is used as a basis for comparing with actual results.
 Cost baseline: time=phased project budget

 Direct and manage project work (Execution)

 Input
o Project Management Plan
o Project Documents (Change Long, lessons learned register, milestone list, project
communications, project schedule, requirements traceability matrix, risk register, risk
report)
o Approved change requests
o EEFs
o OPAs
 Tools and techniques
o Expert judgment
o Project management Information system PMIS
o meetings
 output
o deliverables
o work performance data
o issue log
o change requests
o project management plan
 o project document updates (Change Long, lessons learned register, milestone list, project
communications, project schedule, requirements traceability matrix, risk register,
stakeholder register)
o OPAs

 Actions in execution as PM
o Corrective action – realigns project performance
o Preventative action – ensures future performance
o Defect repair – modifies nonconformance to project requirements
o These actions require change request


Projects create Deliverables (outcome of the project)

 Change control is applied after the first revision

 The control of the multiple versions of a deliverable is supported by configuration management
toll and procedures
 Once approved as part of scope validation, changes to the deliverable require formal change
request
 Changes to deliverables means more time and cost

Issue Log: a risk event that has occurred and log is documenting it.

 Issue type
 Who raised the issue and when
 Issue description
  Issue priority
 Who is assigned of the issue
 Target resolution date
 Issue status
 Outcome

Manage Project Knowledge: *lots of question in exam (Execution)

Inputs

 Project Management Plan

 Project documents (lessons learned register, project team assignments, resource breakdown
structure, source selection criteria, stakeholder register)
 Deliverables
 EEFs
 OPAs

Tools and techniques

 Expert judgment
 Knowledge management
 Information management
 Interpersonal and team skills (active listening, facilitation, leadership, networking, political
awareness

output

 Lessons learned register

 Project management plan updates
 OPAs updates

2 types of knowledge:
 1. Explicit Knowledge: knowledge that can be quickly and easily expressed through conversation
2. Tacit knowledge: more difficult to express that has been gained through years of experience.

Knowledge management techniques

 Story telling
 Knowledge fair cafes
 Work shadowing – you follow an expert
 Reverse shadowing – the expert follows you
 Creativity and idea management techniques
 Discussion forums
 Networking with colleagues
 Communities of practice
 Meetings to discuss project
 Training events to share knowledge

Monitoring and controlling project work (Monitoring and Controlling)

Inputs

 Project Management Plan

 Project Documents (Assumption log, basis of estimates, cost forecast, issue log, lessons learned
register, milestone list, quality reports, risk register, risk report, schedule forcasts
 Work performance information
 Agreements
 EEFs
 OPAs

Tools and Techniques

 Expert Judgement
 Data Analysis (Alternative Analysis, Cost-Benefit analysis, earned value, root cause, trend
analysis, variance analysis)
 Decision meeting
 meetings

Outputs

 Work performance reports

 Change requests
 PM plan updates
 Project docs updates (cost forecasts, issue log, lessons learned, register, risk register, schedule
forecast)
Monitoring Vs Controlling

Monitoring (collecting, measuring, assessing measurement, health of the project, identify areas that
require special attention)

Controlling (Determining corrective action, preventive action, replanning, follow up on action plan,
confirming actions that have improved)

Performing Integrated change Control (Most important process) (Monitoring and Controlling)

Inputs

 Project Management plan (Change management plan, configuration management, scope

baseline, schedule baseline, cost baseline)
 Project documents (Basis of estimates, requirement traceability matrix, risk report)
 Work performance report
 Change requests
 EEFs
 OPAs

Tools and Techniques

 Expert judgement
 Change control tools
 Data analysis (Alternative Analysis, cost benefit analysis)
 Decision Making (voting, autocratic decision making, multicriteria analysis)
 meetings
Outputs

 Approved change requests

 PM plan updates
 Project docs updates
 Change log

Integrated change control

 Happens throughout the project

 Responsibility of Project Manager
 Happens after baseline established
 Examines the effect of change in the entire project
 Verbal changes happen but should be documented

Change request:

 Entered in change management system or configuration management system

 Accept, deferred, or rejected
 Change approval level is defined in project plan
 Change control board may be utilized
 Over/under change approval/rejections
Change Requests as outputs:

 Processes can create change requests

 Correction action
 Preventive action
 Defect repair
 Updates to formally controlled documents.

Configuration Change Control: whenever there’s change in scope, configurations change control is
required:

 Configuration identification:
 Configuration status accounting:
 Configuration verification and auditing:

Managing project change:

 Documentation change requests

 Unapproved changes
 Scope creep
 Gold plating
 Track changes
Integrated Change Control Decision Making:

 Voting: Unanimity, majority, plurality

 Autocratic Decision Making: one person decides
 Multicriteria Decision Analysis: decision matrix for systematic analytical approach, predefined
criteria for accepting or rejecting changes.

Closing the Project or Phase: (Closing)

Closing: project, phase, contract.

Administrative closure:

 Closing project accounts,

 Reassigning personnel
 Dealing with excess project material
 Reallocating project facilities, equipment, and other resources
 Creating the final project reports

Closing contractual agreements:

 Confirming the formal acceptance of work

 Finalizing open claims
 Updating records to reflect results
 Archiving information for future
Closing Activities:

 Finalize project or phase records

 Audit project for success or failure
 Manage knowledge sharing and transfer
 Complete lessons learned
 Archive project information
 Transfer the projects products services or results
 Collecting suggestions for improving or updating policies
 Measuring stakeholder satisfaction

Early project closure:

 Project termination
 Why was the project terminated?
 Communicate with stakeholder
 Complete project closure

Section 11: Manage Project Scope

1: Plan Scope Management Plan: (planning)

creating the project scope management plan:

defines how scope will be: defined, developed, monitored, controlled, and validated.

Project charter is the key input + historical information + EEFs

Project Management Plan inputs:

 Planning is an iterative process

 Quality Management plan – considerations for quality policies
 Project life cycle descriptions: phases of the project
 Development approach – iterative, agile, adaptive, iterative, or hybrid

Scope Management plan:

 Not the project scope

 How to create project scope statement
 How WBS will be created
 How the scope baseline will be approved and maintained
 How formal acceptance of the deliverables happens

Project Scope vs Product scope:

Product scope: features and functions

Project scope: work to be completed

Scope and Project Completion:

 Project scope is measured against project plan

 Product scope is measured against project requirements
 Requirements are conditions or capabilities that must exist in a product, service or result.

Triangle Model in Predictive vs Adaptive projects.

Grooming the backlog in adaptive environment:

 The product owner owns the backlog

 Backlog refinement is the prioritization backlog items
 The project team may participate in backlog grooming

2: Collection the project Requirements: (Planning)

Interview Stakeholders: stakeholder register, one-to-one, one to many, many to many

Focus group: moderated event, 6-12 people, neutral moderator, participant composition

Questionnaires or surveys:

Benchmarking the requirements: comparing two or more system, business or approaches

Analyzing project documents: project plans, brochures, blueprints

Using group decisions: unanimity, majority, plurality, dictatorship

Multicriteria analysis: performance metrics, risks, requirements. Decision matrix.

Affinity diagram: cluster of ideas

Mind mapping: brainstorm ideas, consolidate ideas, helps to generate new ideas

Nominal group technique: 1) generate idea 2) each participant brainstorms the problem/opportunity
with their ideas 3) the facilitator add the ideas in white board 4) the ideas are discussed 5) privately vote
the ideas from 1 to 5.

Facilitated workshop: joint application design, quality function deployment

Agile requirement gathering:

Role: who benefits from the feature

Goal : what the stakeholder aims to accomplish

Motivation: benefit to the stakeholder

Utilizing a context diagram: flow of the product throughout

Prototype: throw away prototype (picture), functional, storyboarding

Managing the project requirements:

1. Business requirements
2. Solution requirements
3. Project requirements
4. Stakeholder requirements
5. Transition requirements
6. Quality requirements

Requirement traceability matrix: defines project characteristics,

Trackers requirements from entry, executing into operation.

3: Defining the project scope statement (Planning):

Detailed description of project and product scope, describes the product, service or result

Define Scope:

 Project Scope Statement

 Scope Baseline
o Project Scope Statement
o Project WBS
o Project WBS dictonary
 Adaptive Environments define:
o High level vision
o Detailed scope iteration
Product Analysis: Product breakdown, requirements analysis, systems analysis, systems engineering,
value engineering, value analysis.

Alternatives Generations: Benchmarking, systems, vendors, materials, resources.

Examining a project scope statement:

 Product scope description

 Project deliverables
 Product acceptance criteria
 Project exclusions

4: Creating WBS: (Planning)

 Decomposition of project scope, Subdivide the project work, Smallest item in work package
Finalizing the WBS:

Control accounts for work package

Code of accounts – unique identifier

Scope baseline:

Scope statement, WBS, and WBS dictonary

5: Validating Scope: (Monitoring and Controlling):

 Inspection driven process

 Customer inspects the project work
 Phase and project completion
 Review, audits, walkthroughs
 Leads to formal project acceptance.

6: Controlling the project Scope: (Monitoring and Controlling)

Maintain the scope baseline integrity

Section 12: Project Schedule Management

Kanban system – Work in progress

Lean manufacturing: backlog of assignments given to team as available, similar sized tasks.

Consideration of adaptive environments:

 Short iteration of cycles (called sprint)

 Prioritized backlog of requirements
 Rapid feedback in review cycles
 User stories
 Change is welcome

Project manager role in adaptive (agile):

Servant leadership, same role in PMBOK,

Theory of Constraints: identifying the most importing limiting factor often considered the bottleneck.
Scientific approach to improvement.

1: Creating Schedule Management plan:

2: Define the Project Activities:

 Activities associated with work packages

 Bases for estimating, scheduling and controlling work
 Activity list
 Activity attributes
 Milestone list
Defining Project Activities:

 Project Work (Activities) and project manager work (LOE)

 Planning processes
 Sequence of activities
 Procurement time
 Internal and external events
 Known and unknow events

8/80 rule: between 8 to 80 each work package should typically take

To decompose project activities we need three inputs: Scope baseline, EEFs, OPAs

Planning components:

 Control accounts: management control points, scope cost and schedule, performance
measurement
 Planning packages: decisions to be completed, issues

Rolling wave Planning: iterations of planning and doing

 Imminent work is planned in detail

 Distant work is planned at a hight level
 Future work approaches more planning
 Focus on most important
 Form of progressive elaboration

Compiling activity list

Templates: historical information, pre-populated forms and plans, OPAs

Activity list: separate document, lists all project activities, activity identifier, scope of work description

Activity attributes: activity name and description, Activity ID, WBS identifier, relationships, Lead
(overlap of activities to reduce the time) and Lag (adding more time and no overlap), resource
requirement, imposed dates, constraints, additional information.
Effort and project activities:

Love of Effort (LOE): reporting and budgeting

3: Sequencing project activities:

Computer driven – PMIS

Manual driven – sticky notes on the wall

Blended approach – combination of manual and computer

Dependency determination:

Mandatory dependencies: hard logic

Discretionary dependencies: soft logic

External dependencies: external constraints (vendors and inspectors)

Internal dependencies: type of hard logic (approval, people in vacation)

*creating Network Diagram:

Visualize the project work, show the relationship of the working activities, workflow of the project,
activity on node.

*considering leads and lags:

Lag is positive time & lead is negative time

Lead called accelerated time and allow activities to overlap

Lag is waiting time and can move activities further apart.

*Estimating Activity Durations:

Level of details leads to accuracy, activity lists activity resource requirements, activity attributes,
resource capabilities, OPAs

Creating duration estimates:

 Tasks are first identified

 Sequencing of the activities
 Resource defined
 Durations are estimated
 Four activities are iterated

Estimating duration consideration:

 Law of diminishing returns: increase in resources will eventually yield diminishing returns
 Number of resources: adding resources doesn’t necessarily reduce duration, risk, knowledge
transfer
 Advance in technology: faster equipment/learning curve
  Motivation of staff: student syndrome/parkinson’s law (padding the duration)

Decision Making Techniques:

 Determine confidence of estimates

 Voting
 Fist of five (closed fist mean no support, five finger means full support, fewer than three fingers
team will discuss the objections)

Included in Estimates:

 Range of variance (range +/- days or weeks, percentage of acceptable target date)
 Basis of estimates (assumptions make, known constraints, range of possible estimates,
confidence level of the final estimate, risking influencing this estimate)

Analogous Estimating:

Creating an analogy, similar project work, historical information, top-down estimating.

Fastest and least expensive but least reliable estimating approach, uses historical and reliable
information and expert judgment.

Parametric Estimates:

Parameter for estimate, repetitive work, historical data (algothrim to calculate duration = time per unit,
square footage, historical data)

Duration and effort: duration shows how long an activity can take and effort is the billable time for the
labor.

Three-point Estimating (triangular distribution): (optimistic + most likely + pessimistic)/3

Pert estimating (beta Distribution): (optimistic + 4xmost likely = pessimistic)/6

Bottom-up estimating: require a fully decomposed WBS for each work package, it’s called bottom up
because you’re starting from bottom activities and working your way up to predict the project durations.
Most reliable that can be used for both cost and time

Factoring Reserve time:

Contingency reserve: associated with money – risk in the project (unknown and knowns)

Management reserve: associated with time and money – schedule uncertainty

Considering Management Reserve:

 Specified amount of the project budget

 Withheld for management control purposes
 Reserve for unforeseen working that is within scope of the project
 Address the unknown and knowns
 Not included in the schedule baseline
 Part of the over project duration
  Contracts may require use of management reserves as a change to schedule baseline

Developing the Project Schedule:

 Defines the sequence of events

 Duration of the activities and project
 Determines when resources are need
 Establishes logical relationships between activities

Evaluating the project constraints and assumptions:

Constraints: weather, working hours, market window, government requirements, industry regulations
and guidelines, time frame for delivery of materials

Project constraints: must start on, must finish on, start no earlier than, start no later than, finish no
earlier than, start no later than.

Assumptions and scheduling: new work, risks, force majeure, labor, effort

Risk and the schedule: uncertain (+ or – affect), known and unknowns, risk analysis affects completion
(qualitative and quantitative), risks affects costs and time

*Performing Schedule Network Analysis:

Finding Float
  Free Float: an activity can be delayed without delaying the early start of any successor
activities
 Total float: an activity can be delayed without delaying project completion
 Project Float: a project can be delayed without passing the customer expected completion
date. (ADD window)

Critical Path Method – longest duration that cannot delay the activities (Bottleneck). Not float in CPM
(float means finding opportunity to delay)

Forward Pass = Early start + duration – 1

Backward Pass = late finish – duration + 1

(early start, early finish)

Z
A
Predecessor
successor (last start and late finish)

*critical path method, the duration of ES and LS should be equal, same for EF should be equal to LF.

Find Float = LF – EF or LS – ES

*Project Simulation: What-if scenarios Analysis

Monte Carlo Analysis: risk used to calculate possible schedule outcomes – calculate multiple work
package durations.

Utilizes different activity assumptions, constraints, risks, issues, probability distributions

*applying duration compression: crashing adds people and cost, fast tracking adds risks and develops.

Resource Level Heuristics: limits labor in time period (max hours 40 example), often extends the
project schedule

Resource Smoothing: limits labor except for critical path, tries to adhere to deadline

*agile Release Planning:

 High level summary (3-6 months)

 Project roadmap and project vision

*Controlling the Project Schedule:

 Schedule control – integrated change control

 Measuring project performance
 Examining schedule variance
 Updating the project schedule
 Correction actions and lessons learned
*Measuring Project Performance:

 Earned Value Management

 Schedule variance
 Schedule performance index
 To complete performance index

Section 13: Project Cost Management