New Product Development Management

Project management
Part 2a
 Come si gestisce un progetto?
How can we manage a project?

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 PMBOK: A reference methodology

• The Project Management Body of Knowledge (PMBOK) is a

guide, published by the Project Management Institute, whihc
has the purpose of documenting and standardizing recognized
practices within project management domain

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 PM knowledge areas in the PMBOK

1. Project scope management

2. Project time management
3. Project cost management
4. Project quality management
5. Project human resource management
6. Project communication management
7. Project risk management
8. Project procurement management
9. Project integration management
10. Project stakeholder management
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 Project scope management

• The management of the project scope includes

processes that are necessary to ensure that all
activities, and only those ones, are carried out in
order to complete the project successfully
• The main objective of project scope management
is defining and controlling what is included and
what is not included in the project

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 Project scope management

• The project scope management includes:

Activities Output
Description, definition and planning of the project
scope through the creation of a detailed plan of PROJECT
PM (base for all future decisions) CHARTER

Decomposition of activities and breakdown of the WORK

main project output (deliverable) BREAKDOWN
STRUCTURE
Check and control of the scope through the
approval of deliverables by the project manager PROJECT PLAN

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 Project charter

• Document that formalizes the «ok» to go on with a project and that

identifies the requirements that satisfy the needs and expectations
of the stakeholder main stakeholder = customer
• The Project Charter indicates the expectations of the organization that
realizes the project (firm or group of firms), the understanding of the
customer needs and the expected result (product or service)
• It establishes a relationship between the organization that carries out
the project and the customer (even internal to the organization itself)
• If the customer is external to the organization, the Project Charter may
coincide with the contract

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 Content of the project charter

• Purpose and rationale of the project

• Measurable goals of the project and associated success factors
• Requirements
• Description of the project
• Risks
• Scheduling of milestones
• Overall budget
• Official enrolling of the project manager

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 Work Breakdown Structure (WBS)

• The WBS is a hierarchical tree structure that describes all the

activities to be carried out to complete the project

• WORK → activities/tasks
• BREAKDOWN → decomposition (from general to particular)
• STRUCTURE → elaboration of a visual structure

• It organizes and defines the overall scope of the project in terms

of activities
• It makes planning and control over the project possible
through planning and control over its components
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 Work Breakdown Structure (WBS)

it allows us to see microactivities (subdivided from macro-ones) to better understand what to do, plan, checking and
controlling afterwords. see if only relevant activites are in the plan of the projecy.

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 WBS

• Useful to define results to be obtained

• Identifying the main deliverables it's an output, define deliverable from activities.
• Decomposing deliverables in smaller tasks
• The WBS decomposes the project in sub-projects and
components
• The lowest level of decomposition is represented by Work
Packages that must be manageable

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 Work package and deliverables
WORK PACKAGE
• It represents a piece of work to be done
• It is the final element (leaf) of the WBS
• It becomes an element of planning and control
Division of work into work packages might be requested also from stakeholders
(ex. EU fro funds)
DELIVERABLE
• Represented by each product, service or result that must
be obtained to complete the project or a part thta must
be measurable and verifiable
• External deliverable = deliverable that need approval by an
external stakeholder, e.g. sponsor or customer
• Examples: documents associated to the project, documents
associated to the product object of the project, products
(tangible outputs of the activities)
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 Advantages of the WBS

• It minimizes the risk of forgetting something

• It highlights the project hierarchy
• It positions a WP within the project
• It identifies the points of control
• It facilitates communication among stakeholders
• It identifies the work to be done
• It allows aggregation of data (time, costs, revenues, etc.) at
different levels, from the lowest to the highest

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 Practical approaches to the WBS 1/3
ABS – Activity Breakdown Structure
Disaggregation of the project in its basic activities

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 Practical approaches to the WBS 2/3

PBS – Product Breakdown Structure

Disaggregation of the project based on expected outputs

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 Practical approaches to the WBS 3/3

OBS – Organization Breakdown Structure

Disaggregation of the project based on responsibilities

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 Project scope
we can think of merging these three different types of WBS in order to assess who has to do what, join hierarchies to
activities helps to better plan and check progresses in the project
• It defines how to execute, monitor, control and
thus completing the project
• It documents the collection of outputs of the
planning process
PLANNING
What to do?
Who does?
Doing with what?
How to do?
When doing?
How much does it cost?
in this way it's also easier to manage accidents, delays...

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 Let’s summarize

Project scope management

• It includes processes necessary to guarantee that the project
involves all the work to be done, and only the necessary work,
to complete the project successfully
• Its main pbjective is controlling what is included in the project
and what is no included
• Each change in the project scope must be checked in terms of
compatibility with the Project Charter otherwise it must be
refused

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