MODULE 3

Project Planning and Scheduling

Project Planning and Scheduling
❑ Work Breakdown structure (WBS) and linear responsibility chart

❑ Interface Co-ordination and concurrent engineering

❑ Project cost estimation and budgeting

❑ Top down and bottoms up budgeting

❑ Networking and Scheduling techniques.

❑ PERT, CPM, GANTT chart

❑ Introduction to Project Management Information System (PMIS)

PROJECT SCOPE MANAGEMENT
Project Scope Management includes the processes required to
ensure that the project includes all the work required, and only the
work required, to complete the project successfully
The Project Scope Management processes are:
• The process of creating a scope management plan that documents
Plan Scope Management how the project and product scope will be defined, validated, and
controlled.
• The process of determining, documenting, and managing stakeholder
Collect Requirements
needs and requirements to meet project objectives.
• The process of developing a detailed description of the project and
Define Scope
product.
• The process of subdividing project deliverables and project work into
Create WBS
smaller, more manageable components
• The process of formalizing acceptance of the completed project
Validate Scope
deliverables
• The process of monitoring the status of the project and product scope
Control Scope
and managing changes to the scope baseline
Create the work breakdown structure

• Create WBS is the process of subdividing project deliverables

and project work into smaller, more manageable components.
• The key benefit of this process is that it provides a framework
of what has to be delivered.
• The Create WBS process is the most important process in the
Scope Management knowledge area because it’s where you
actually figure out all the work you’re going to do.
• It’s where you create the work breakdown structure (or WBS),
which is the main Scope Management output.
• Every single thing that anyone on the project team— including
you—will do is written down in the WBS somewhere
The inputs for the WBS come from other
processes
Breaking down the
work(by Phase)

❑ One way to get a clear

picture of all of the
work that needs to be
done on a project is to
create a work
breakdown structure.
❑ The WBS doesn’t
show the order of the
work packages or any
dependencies between
them.
❑ Its only goal is to show
the work involved in
creating the product.
Breaking down the
work(by deliverable)

❑ A WBS can be structured any way it

makes the most sense to you and
your project team.

❑ The two most common ways of

visualizing the work are by deliverable
or by phase. Breaking down the work
makes it easier to manage, because it
means you are less likely to forget
work packages that need to be
included.

❑ This is the same project as the one on

the left, but this time, it’s broken
down by deliverable.
Decompose deliverables into work packages
Inside the
work package
• You’ve probably noticed that the
work breakdown structure only
shows you the name of each work
package.
• That’s not enough to do the work!
• You and your team need to know a
lot more about the work that has to
be done. That’s where the WBS
dictionary comes in handy.
• It brings along all of the details you
need to do the project work. The
WBS dictionary is an important
output of the Create WBS
process—the WBS wouldn’t be
nearly as useful without it
The project scope
baseline is a
snapshot of the plan
❑ As the project goes on, you will
want to compare how you are
doing to what you planned for.
❑ So, the project scope baseline is
there to compare against. It’s
made up of the project scope
statement, the WBS, and the
WBS dictionary.
❑ When work gets added to the
scope through change control,
you need to change the baseline
to include the new work
packages for that work, so you
can always track yourself against
the plan.
The outputs of the Create WBS
process
❑ The Create WBS process has three major outputs:
the work breakdown structure, the WBS
dictionary, and the baseline.
❑ But there are others as well. When you create the
WBS, you usually figure out that there are pieces
of the scope that you missed, and you may realize
that you need to change your plan. That’s what
the project document updates are for
❑ Make sure you finalize the WBS Before your WBS
is done, you need to finalize it. You do this by
establishing a set of control accounts for the work
packages. A control account is a tool that your
company’s management and accountants use to
track the individual work packages.
❑ For example, Mike gets a list of control accounts
from Ranch Hand Games’ accounting department,
so they know how to categorize the work for tax
purposes
Linear responsibility chart(LRC)
❑ A responsibility assignment matrix (RAM), also known as RACI
matrix or linear responsibility chart(LRC), describes the
participation by various roles in completing tasks or deliverables for
a project or business process.
❑ RACI is an acronym derived from the four key responsibilities most
typically used: responsible, accountable, consulted, and informed. It
is used for clarifying and defining roles and responsibilities in
cross-functional or departmental projects and processes.

a. R = Responsible (also recommender)
b. A = Accountable (also approver or final approving authority)
c. C = Consulted (sometimes consultant or counsel)
d. I = Informed (also informee)
DEVELOP SCHEDULE
❑ Develop Schedule is the
process of analyzing
activity sequences,
durations, resource
requirements, and
schedule constraints to
create a schedule model
for project execution and
monitoring and
controlling
❑ The key benefit of this
process is that it
generates a schedule
model with planned
dates for completing
project activities.
Schedule management helps with aggressive timelines
❑ Since there are so many different
people involved in making the
wedding go smoothly, it takes a
lot of planning to make sure that
all of the work happens in the
right order, gets done by the right
people, and doesn’t take too long.
That’s what the Project Schedule
Management knowledge area is
all about.
❑ Initially, Kathleen was worried
that she didn’t have enough time
to make sure everything was done
properly. But she knew that she
had some powerful time
management tools on her side
when she took the job, and they’ll
help her make sure that
everything will work out fine
Diagram the relationship between activities
• One way to visualize the way activities relate is to create a
network diagram
• You’ll need to know how
to turn a table of nodes
into a network diagram,
so here’s your chance
to get some practice!
Here’s a list of nodes
for a PDM network
diagram. Try drawing
the diagram based on it:
• You’ll need to know how
to turn a table of nodes
into a network diagram,
so here’s your chance
to get some practice!
Here’s a list of nodes
for a PDM network
diagram. Try drawing
the diagram based on it:
Dependencies help you sequence your activities
❑ The most common kind of dependency is the Finish to
Start. It means that one task needs to be completed before
another one can start.
❑ There are a few other kinds of dependencies, though. They
can all be used in network diagrams to show the order of
activities.
❑ The three main kinds of dependency are Finish to Start
(FS), Start to Start (SS), and Finish to Finish (FF).
❑ This tool is called dependency determination and
integration in the Sequence Activities process
Dependencies help you sequence your activities
Dependencies help you sequence your activities
❑ External dependencies Sometimes your project will depend on things outside the work you are
doing. For the wedding, we are depending on the wedding party before us to be out of the reception
hall in time for us to decorate. The decoration of the reception hall then depends on that as an
external dependency.

❑ Discretionary dependencies Rob and Rebecca really want the bridesmaids to arrive at the reception
before the couple. There’s no necessity there— it’s just a matter of preference. For the exam, know
that you should set discretionary dependencies based on your knowledge of the best practices for
getting the job done.

❑ Mandatory dependencies You can’t address an invitation that hasn’t been printed yet. So, printing
invitations is a mandatory dependency for addressing them. Mandatory dependencies are the kind
that have to exist just because of the nature of the work.

❑ Internal dependencies The rehearsal dinner can’t begin until the happy couple leaves the church.
Some dependencies are completely within the team’s control.
Leads and lags add time between activities
❑ Sometimes you need to give some extra
time between activities. Lag time is
when you purposefully put a delay
between the predecessor task and the
successor. For example, when the bride
and her father dance, the guests wait
awhile before they join them.
❑ Lead time is when you give a successor
task some time to get started before the
predecessor finishes. So you might want
the caterer preparing dessert an hour
before everybody is eating dinner.
 Project Cost Estimation & Budget

Project Cost Management is defined as the process of planning and

controlling the project cost effectively. It defines what costs are required
for each deliverable. The cost of the project can be estimated from
various process sources (Examples below)
❖ Creating Work Breakdown Structure (WBS)

❖ Develop Schedule
❖ Plan human resources
❖ Identifying risks
The inputs of cost management include,
❖ Project management plan
❖ Project charter
❖ Enterprise environmental factors
❖ Organizational process assets

While, the output of this is

❖ Cost Management Plan.
 Cost Estimation
To estimate the cost of project you have to categorize various cost types
into categories like
∙ Labor cost
∙ Equipment cost
∙ Cost of supplies
∙ Travel cost
∙ Training cost
∙ Overhead cost, etc.
 Techniques used to estimate project cost
To estimate project cost formally there are few methods (techniques) used as
follows:
∙ Analogous Estimating
• This estimating technique is based on expert judgments and information based
on similar previous projects. Where previously done similar project cost is
considered with plus or minus of 20% for existing project.
∙ Parametric estimating
• Past data or record is used to estimate cost for the current project.
∙ Bottom-up estimating
• Once you have defined the scope of the project, it is the most reliable form of
technique. In this technique, based on WBS, you estimate the cost for each
resource or deliverables.
• Likewise, there are other methods (techniques) which could be useful for
estimating cost like PERT estimating, vendor bid analysis, etc.
 Project Budget Planning
The main purpose of this activity is to allocate and authorize the
monetary resources required to complete the project. The inputs for
determining budget includes
∙ Activity cost estimates
∙ Basis for estimates
∙ Scope baseline
∙ Project Schedule
∙ Resource calendars
∙ Contracts
∙ Organizational process assets
The output of this process is
∙ Cost performance baseline
∙ Project funding requirements
∙ Project document updates
The project budgeting is performed in parallel with the project
scheduling process. It is highly dependent on three component -
∙ Cost estimation
∙ Task durations
∙ Allocated resources
 Top-Down Approach
• The top-down approach to defining project tasks involves starting with the project goal or final
deliverable and breaking it down into smaller planning chunks. We call them work packages.
Each of these work packages or “chunks” is further refined into greater detail, and then work
items are assigned to team members.

• The top-down approach works well when there’s a clear insight into the details of a project,
and the leading project manager has a big picture of how the project contributes to the
organization.

• The benefit of top-down is that the major tasks are quickly identified, and the details are later
refined by the project team.

• The benefit of using the top-down approach here is that funding and resource planning can be
done quickly through consensus. The trade-off is that project cost and schedule dates aren’t as
accurate.
 Bottom-Up Approach
• The bottom-up approach to answering “What are the tasks?” relies on project team
members identifying the tasks and then organizing them into specific groups or
work packages

• The bottom-up approach results in a more detailed schedule, but it’s also a
time-consuming approach compared with the top-down task planning approach.
The schedule you create is based on direct input from experts who will be
implementing the project; it’s also a useful technique to build teamwork.

• If your organization doesn’t have previous experience with the type of project
you’re trying to plan, this approach helps identify unknown tasks.

• This technique is useful for developing detailed project budgets, schedules, and
monthly forecasts. And, it helps define the specific resource skills needed during
key phases of the project in order to get a more accurate schedule. The tradeoff of
using a bottom-up approach is that it requires more time.
 Concurrent Engineering
•Concurrent engineering, also known as simultaneous
engineering, is a method of designing and developing
products, in which the different stages run simultaneously,
rather than consecutively. It decreases product development
time and also the time to market, leading to improved
productivity and reduced costs.
•It is a long term business strategy, with long term benefits to
business. Though initial implementation can be challenging,
the competitive advantage means it is beneficial in the long
term. It removes the need to have multiple design reworks, by
creating an environment for designing a product right the first
time round.
 Gantt Chart
A Gantt chart, commonly used in project management, is one of the most popular
and useful ways of showing activities (tasks or events) displayed against time. On
the left of the chart is a list of the activities and along the top is a suitable time
scale. Each activity is represented by a bar; the position and length of the bar
reflects the start date, duration and end date of the activity. It was developed by
Henry Gantt. This allows you to see at a glance:
▪ What the various activities are
▪ When each activity begins and ends
▪ How long each activity is scheduled to last
▪ Where activities overlap with other activities, and by how much
▪ The start and end date of the whole project
 Project Management Information System (PMIS)
• PMIS is the logical organization of the information required for an organization to execute
projects successfully. A PMIS is typically one or more software applications and a methodical
process for collecting and using project information. PMIS systems differ in scope, design and
features depending upon an organisation's operational requirements.
• Characteristics of a PMIS:

• A PMIS Software supports all Project management knowledge areas such as Integration
Management, Project Scope Management, Project Time Management, Project Cost
Management, Project Quality Management, Project Human Resource Management,
Project Communications Management, Project Risk Management, Project Procurement
Management, and Project Stakeholder Management.
• A PMIS Software is a multi-user application, and can be cloud based or hosted on-premises.