Professional Documents
Culture Documents
Professional
(PMP)
Redf2661@Yahoo.com
What's Up: +966558411183
Linked In: https://sa.linkedin.com/in/nasseribrahim
1
Welcome
Introducing
Trainers Nasser Almohimeed
Start Date: 30-06-2017 End: 05-07-2017
Course Name: Project Management Professional - PMP
2
علَىْ َوج ِْه ِْه أَهدَىْ أ َ َّمنْ يَم ِ
شي شي ُم ِكبًّا َ((أَفَ َمنْ يَم ِ
علَىْ ِص َراطْ ُمست َ ِقيمْ))
س ِويًّا َ
َ
3
Project Management Certifications
• Professional in Project Management PMP
4
Who is the owner ?
5
6
PMI Certification Programs
• PMI® Certification Programs include PMP, PgMP, PMI-SP
(Scheduling Professional) PMI-RMP (Risk Mgmt
Professional).
• Individual Benefits:
8
Continue The Exam
• It is 200 pass/fail questions.
• To pass, you have to answer 106 graded questions
correctly out off 175. That translates to 61% *.
• The other 25 questions are considered experimental
questions that PMI is evaluating for use on future
exams. However, they do not count toward your grade
and you will not know which questions count and
which don’t.
9
Requirements to Apply
• To be eligible for PMP Certification, you will need to demonstrate
that you meet certain minimum criteria as below:
10
Validity
11
PMP Pay Scale
12
13
Ethics in Project Management
• For this reason, PMI offers guides for practitioners like
the PMI Code of Ethics and Professional Conduct, and
an avenue to report and resolve matters involving
unethical behavior through the PMI Ethics Review
Committee.
14
End
15
Project Management Framework
16
What Is A Project?
• Project
17
Project Management
• What is a Project Management?
Project management is the application of
knowledge, skills, tools, and techniques to project
activities to meet the project requirements.
18
Portfolio, Program, and Projects
• Portfolio refers to a collection of projects, programs,
sub portfolios, and operations managed as a group to
achieve strategic objectives.
Again
What is Project, Project Management?
19
Project Management Office
20
Types of PMO:
Supportive. Supportive PMOs provide a consultative role to projects
by supplying templates, best practices, training, access to
information and lessons learned from other projects.
21
Operations
Are organizational function performing the ongoing
execution of activities that produce the same product or
provide a repetitive service.
Are permanent endeavors to produce repetitive outputs,
with resources assigned to do basically the same set of
tasks according to the standards institutionalized in a
product life cycle.
Operations require business process management or
operations management.
22
Projects Vs. Operational Work
23
Role of the Project Manager
25
Foundational Terms & Concepts
26
Organizational influences on a Project
Organizational communications
Organizational communications capabilities have great
influence on how projects are conducted.
27
Organizational Process Assets
28
Enterprise Environmental Factors
29
Organizational Structure
30
Organizational Structure
• Culture & Structure is EEF. so, a PM should understand
the differences that may affect a project as it will
have impact on the way the project is managed and
even its ultimate success.
• Three major types of organizations Structure
1. Functional Structure
2. Projectized Structure
3. Matrix Structure:
Weak Matrix - Strong Matrix - Balanced Matrix
31
Functional Organization
32
Projectized Organization
33
Weak Matrix Organization
34
Balanced Matrix Organization
35
Strong Matrix
36
Organizational Structure
• Project Manager’s Power
38
Project Life Cycle
39
Project Life Cycle
Initiating Planning
Monitoring &
Controlling
Executing
Closing
40
Continue Project Life Cycle
41
What is A Project Management
Process?
A package of inputs, tools and techniques,
and outputs used together to do something
on the project.
42
Essential Terms
• Progressive Elaboration
43
Essential Terms
• Baseline
Baseline refers to the accepted and
approved plans & their related documents.
44
Essential Terms
• Regulation
Official document that provides guidelines
that must be followed.
Issued by government or another official
organization.
• Standard
A document approved by a recognised body
that provide a guidelines. It is not
mandatory.
45
Essential Terms
• Policy
Organization policy is an asset.
Gives guidance to your action as per local
organization rule.
Save time later in the future by preventing
you from doing something your company
would frown upon.
PMs should follow company policy.
46
Essential Terms
Sellers.
Sellers, also called vendors, suppliers, or
contractors, are external companies that
inter into a contractual agreement to
provide components or services necessary
for the project.
Business partners.
Also external companies, but they have a
special relationship with the organization.
47
Essential Terms
• Project Coordinator.
Weaker than a PM.
Can't make overall project decisions.
have some authority to reassign assign resources.
Found in weak matrix or functional organization.
• Project Expeditor .
The weakest among all.
Staff assistant with little or no formal authority.
Do not have any authority of resources.
Found in a functional organization.
48
Essential Terms
• The Triple Constraint Scope
Quality
49
Stakeholders
50
Continue Stakeholders
51
So, we have
5 process groups,
10 knowledge areas,
52
End
53
Project Management Processes
54
55
PMI Framework
• Framework Organized into:
56
Process
A process is a set of interrelated actions and
activities performed to achieve a pre-specified
product, result, or service.
47 unique processes composed of three
elements:
1.Inputs
2.Tools and Techniques
3.Outputs
57
To Project Success
58
Organization
Important Issues:
59
60
End
61
Integration Management
62
63
Integration Management
• Integration process cover all project Phases.
• Takes a high-level view of the project from start to finish.
64
Integration Management
65
Developed Project Charter
• The document that officially starts the project.
• Work starts even before the project comes official,
but it will not be real until the charter is issued.
66
Inputs
• Statement Of Work (SOW)
a narrative description of products or services to be
delivered by the project and is provided by the
project initiator or customer.
• Business Case
A business case justification for doing the project in
first place. (Include: ROI)
• Agreements
• Enterprise Environmental Factors
• Organizational Process Assets
67
Tools and Techniques
• Expert Judgement
Used to assess the inputs to develop a project charter.
Such judgement and expertise is applied to any
technical and management details during this process.
Ex: Other units within the organization, Consultant,
subject matter experts, and
• Facilitation techniques
Facilitation techniques have broad application within
project management processes and guide the
development of the project charter.
Ex: Agenda, Ground Rule, Brainstorming, Nominal Group
68
Outputs
Project Charter
Documents the business needs, current
understanding of the customer's needs, and the
new product, service, or result that it is intended
to satisfy, such as:
Product purpose or justification.
Measurable project objectives and related
success criteria.
High-level requirements.
High-level risks.
69
Project Charter
Summery milestone schedule.
Summery budget.
Assigned PM, responsibility, and authority level,
and Name and authority of the sponsor or other
person(s) authorizing the project charter.
Project Goal & Scope Statement.
Deliverables & Key Stakeholders.
Assumptions & Constraints.
Initial Risks & Schedule Estimates.
Cost Estimates & Success Criteria
“Signatures”
70
Develop Project Mgmt Plan
• The process of documenting the actions necessary to
define, prepare, integrate, and coordinate all subsidiary
plans.
• Specifies the who, what, when, where and how.
• Progressively elaborated, meaning that it is developed,
refined, revisited, and updated.
71
Inputs
Project Charter.
Outputs from other Planning Processes.
(from other knowledge area)
Enterprise Environmental Factors.
72
T&T
• Expert Judgement.
• Facilitation Techniques.
73
Outputs
• Project Management Plan
74
Project Management Plan and Project
documents
76
Inputs
• Approved Change Requests
It can modify policies, the project management
plan, procedures, costs, or budgets, or revise
schedules.
It may require implementation of preventive or
corrective actions.
• Enterprise Environmental Factors
• Organizational Process Assets
77
T&T
• Project Management Information System (PMIS)
Provides access to an automated tool, such as
scheduling SW tool, a configuration management
system, and information collection system.
• Meetings
Meetings tend to be one of three types:
− Information exchange;
− Options evaluation
− Decision making.
78
Outputs
• Deliverables
Any product, service, or result.
• Work Performance data
Information from project activates collected as the
project progresses.
• Change Requests (not approved)
When issues are found, it may modify project
policies, or procedures, project scope, project cost
or budget,
It could be: Corrective Actions, Preventive Actions,
Defect Repairs.
79
Continue Outputs
• Project management plan updates
Elements of project management plan.
• Project Documents updates
Requirements documents.
project logs (issues, assumptions, etc.).
Risk register, and stakeholder register.
80
Monitor & Control Project Work
• Looks at all of the work that is being performed &
makes sure that the deliverables themselves & the
way in which they are being produced are inline with
the plan.
• All M&C processes compare the work results to the
plan & make whatever adjustments are necessary to
ensure that they match and that any necessary
changes in the work or the plan are identified and
made.
81
Monitor & Control Project Work
82
Inputs
• Project Management Plan.
• Schedule Forecasts
This is expressed in a form of SV and SPI, variance
between planned date and forecasted finish date.
• Cost Forecasts
Expressed in a form of CV, CPI, BAC and variance against
planned and actual expenditure .
83
Continue Inputs
• Validated changes
Approved changes that result from the Perform Integrated
Change Control process require validation to ensure that
the change was appropriately implemented.
84
85
Tools and Techniques
• Expert Judgment
• Analytical techniques
Analytical techniques are applied in project
management to forecast potential outcomes based on
possible variations of project or environmental
variables and their relationships with other variables.
• Project Management Information System
• Meetings
86
Outputs
• Change Requests (not approved)
• Work performance reports
Should be prepared by the project team detailing
activates, accomplishments, milestones, identified issues,
and problems,
It can be used to report the key information including:
Current status,
Forecasts, and
Issues.
• Project Management Plan Update
• Project Document Updates
Forecasts, Performance reports, Issue log.
87
Perform Integrated Change Control
• When change occurs in one area, it is SHOULD
evaluated for its impact across the entire
project.
88
Inputs
• Project Management Plan.
• Work Performance Reports.
• Change Requests.
• Enterprise Environmental Factors
• Organizational Process Assets
89
T&T
• Expert Judgment.
• Meetings.
• Change Control Tools
Manual or automated tools may be used.
Tools are used to manage the change requests and the
resulting decisions.
90
Outputs
• Approved Change Requests
Approved change requests will be implemented through the
Direct and Manage Project Work process.
• Change Log
• Project management Plan Updates
Any subsidiary management plans.
• Project Document Updates
91
Close Project or Phase
• Is the process of finalizing all activates across all of
the project management process group to formally
complete the project or phase.
92
Close Project or Phase
93
Inputs
• Project Management Plan.
• Accepted Deliverables
Those deliverables that have been accepted
through the (Verify Scope process).
• Organizational Process Assets
Project/phase closure guidelines or requirements
(project audits, project evaluations, and transition
criteria), and
94
T&T
• Expert Judgment
Expert judgment is applied when performing administrative
closure activities. These experts ensure the project or
phase closure is performed to the appropriate standards.
• Analytical Techniques
• Meetings
95
Outputs
• Final Product, Service, or Result Transition
The transition of the final product, service, or result that
the project was authorised to produce (or in the case of
phase closure, the intermediate product, service, or
result),
96
END
97
Scope Management
98
99
Scope Management
• The overall goals of scope management are to:
Define the need, expectations, Manage changes,
and Gain acceptance.
• Scope changes should be handled in a structured,
procedural, and controlled manner.
100
Continue Scope Mgmt
• Requirements should be documented with the
acceptance criteria.
• In the project context, the term scope can refer to:
Product Scope. The features and functions that
characterize a product, service, or result.
Project Scope. The work that needs to be
accomplished to deliver a product, service, or result
with the specific features and functions.
• Product scope is the “what” part (functional
requirements).
• Project scope is the “how” part (work related).
• 101
Scope Management
Scope Creep (requirement creep, function creep)
Refers to changes, continuous or uncontrolled growth in
a project’s scope.
103
Plan Processes Themes
Plan KA Management
…….
104
Outputs
Scope Management Plan
The components of a scope management plan include:
Process for preparing a detailed project scope statement;
Process that enables the creation of the WBS from the
detailed project scope statement;
Process that establishes how the WBS will be maintained
and approved;
105
Continue Outputs
Requirements Management Plan
• The requirements management plan is a component of the
project management plan that describes how requirements
will be analyzed, documented, and managed. It include, but
are not limited to:
How requirements activities will be planned, tracked, and
reported.
Requirements prioritization process;
Product metrics that will be used and the rationale for
using them.
106
Collect Requirements
• Defining and documenting stakeholder’s needs,
• The project success is directly influenced by the care
taken in capturing and managing project and product
requirements,
• It could categorize into:
Project requirements.
Product requirements.
107
Collect Requirements
108
Inputs
• Stakeholders Management Plan
• The stakeholder management plan is used to understand
stakeholder communication requirements and the level of
stakeholder engagement.
• Project Charter
• Stakeholder Register
109
T&T
• Interviews
Formal or informal approach to discover info from
stakeholders by talking to them directly.
• Focus Groups
Bring together prequalified stakeholders and
subject matter experts to learn about their
expectations about a proposed project.
• Facilitated Workshop
Primary technique for defining cross-functional
requirements and reconciling stakeholder
differences, focused sessions that bring key cross-
functional stakeholders together to define product
requirements.
110
Continue T&T
111
Continue T&T
• Group Decision Making Techniques
Assess multiple alternatives with an expected
outcome in the form of future actions resolution.
There are multiple methods for reaching a group
decision, Ex:
Unanimity . Everyone agrees.
113
Continue T&T
Benchmarking
Benchmarking involves comparing planned practices to those
of comparable organizations to identify best practices.
Context diagrams
Context diagrams show inputs to the business system, the
actor(s) providing the input, the outputs from the business
system, and the actor(s) receiving the output.
Document Analysis
Document analysis is used to elicit requirements by analyzing
existing documentation and identifying information relevant to
the requirements.
114
Outputs
• Requirements Documentation
Requirements may start out at a high level and become
progressively more detailed as more is known.
Acceptance criteria.
Impact to other entities inside & outside the org.
Support & training requirements.
Requirements assumptions & constraints.
115
Continue Outputs
• Requirements Traceability Matrix
116
Define Scope
A detailed understanding of the requirements to be executed,
verified, and delivered. It is this process where the
requirements are gathered and documented.
117
Statement Of Work
VS
Scope Statement
118
Inputs
• Scope Management plan
• Project Charter
• Requirements Documentation.
119
Tools and Techniques
• Expert Judgment
• Product Analysis
Detailed Analysis of the project’s product, service,
or result, with the intent of improving the project
team’s understanding of the product and the
requirements.
• Alternatives Identification
To make sure that the team is properly considering
all options as they relate to the project’s scope.
Techniques to generate creative thought are used.
• Facilitated Workshops
120
Outputs
• Project Document Updates
• Project Scope Statement
More detailed than the SOW.
It includes:
Goal of the project.
Product descriptions.
Identified risk up to now.
Acceptance criteria.
Cost estimate.
Project exclusions, assumptions, constraints.
121
Create WBS ((Team Work))
The process of sub dividing project deliverables and
project work into smaller more manageable components.
122
T&T
• Decomposition
Breaking down the project deliverables into
components (the work package level).
In the WBS, top layer is very general (just name),
and each subsequent layer is more and more
specific. Every level is the detailed explanation of
the level above it.
To what level we decompose?
Are tour work packages small enough to be
manage and estimated for time and cost.
• Expert Judgment
123
Outputs
• Scope Baseline
Which include :
Project Scope Statement.
Work Breakdown Structure. (WBS)
WBS Dictionary .
124
Continue WBS
125
Continue WBS
126
• 80 hour rule: No ”lowest level of detail of the WBS” to
produce a single deliverable should be more than 80 hours
of effort.
• Rule of thumb: No “lowest level of detail of the WBS”
longer than a single reporting period.
127
Continue Outputs
• WBS Dictionary
A document that detail information to the contents
(nodes) of the WBS.
WBS dictionary may include, but is not limited to:
○ Code of account identifier. ○ Description of work.
○ Assumptions and constraints. ○ Responsible organization.
○ Schedule milestones. ○ Associated schedule activities.○
Resources required.
○ Cost estimates.○ Quality requirements. ○ Acceptance
criteria,○ Technical references. and ○ Agreement
information.
• Project Document Updates
128
Example
• SAAD want to re-qualify his bed room; he
decide to change his bed, paint walls, buy
new sofa and Get rid of old furniture's.
• Since he do not have enough budget; he
also decide to keep some money from his
monthly salary for three months.
129
Example
130
Option 1
Requalified Room Project
1.3 1.4
1.0 1.2
Get rid old Change sofa
Collect Money Paints walls Furniture's
131
Option 2
Requalified Room Project
132
Validate Scope
Validate Scope is the process of formalizing acceptance of
the completed project deliverables.
• Scope Validation & Quality Control
Both inspect the product against the scope.
SV performed after QC & can be performed at the
same time.
• Difference:
SV focuses on the completeness of the work, while
QC focuses on the correctness of the work.
133
Validate Scope
134
Inputs
• Requirements Documentation
• Verified Deliverables
• Work Performance data
135
T&T
• Inspection
Includes activities such as measuring, examining and
verifying to determine whether work and
deliverables meet requirements and product
acceptance criteria.
They are sometimes called reviews, product
reviews, audits, and walkthroughs.
136
Outputs
• Accepted Deliverables
Performed by the PM, the sponsor, the customer, and
the functional managers.
• Change Requests
• Work Performance information
Work performance information includes information
about project progress, such as which deliverables have
started, their progress, which deliverables have finished,
or which have been accepted.
• Project Document Updates
137
Control Scope
An on-going process that begins as soon as the scope
baseline is created where each scope change request
should be controlled and managed.
138
Inputs
139
T&T
• Variance Analysis
Used to measure differences between what was
defined in the scope baseline and what was
actually created.
140
Outputs
141
End
14
Time Management
14
144
Time Management
• The PM should be in control of the schedule.
145
Plan Schedule Management
Plan Schedule Management is the process of establishing the
policies, procedures, and documentation for planning,
developing, managing, executing, and controlling the project
schedule.
146
Outputs
• Schedule Management Plan
A component of the project management plan that
establishes the criteria and the activities for developing,
monitoring, and controlling the schedule. The schedule
management plan may be formal or informal, highly
detailed.
For example, the schedule management plan can
establish the following:
Project schedule model development, Level of accuracy.
Control thresholds, and Process descriptions.
Rules of performance measurement, reporting formats.
147
Define Activities
Identifying the specific actions to be performed to
produce the deliverables, WBS identifies the deliverables
at the lowest level in the WBS, the work package.
Project work packages are decomposed into smaller
components called activities that represents the work
necessary to complete.
148
Inputs
• Schedule management plan
• Scope Baseline
The project deliverables, WBS, constraints, &
assumptions documented in the project scope
baseline are considered explicitly when defining
activities.
149
T&T
• Decomposition
Subdividing the work packages into smaller, more
manageable components called activities.
Involving team members in the decomposition can
lead to better and more accurate results.
150
Outputs
• Activity List
All of scheduled activities that need to be performed,
Finally, activities are used to create the project
schedule.
• Activity Attributes
For planning, we need to have additional info about
activities.
It is an expansion of the activity list and it will be seen
with it.
• Milestone List
A significant point or event in the project.
Imposed, dates based on contractual obligation.
Optional, dates based on historical information.
151
Ex: Activity list
152
Ex: activity attribute
153
Sequence Activity
Identifying and documenting relationships among the
project activities.
We can use project management software or using
manual or automated techniques.
Ex: MS Projects, primavera.
155
T&T
• Precedence Diagramming Method (PDM) or (AON)
or AOA
Used in Critical Path Method (CPM) for
constructing a project schedule network diagram.
Activities are represented by the node
(Rectangles), with arrows representing the
dependencies between them.
156
PDM
157
Note:
PDM is Activity on NODE (AON); it mean activity present
by node.
While Activity On Arrow(AOA); activity present by Arrow.
158
Continue T&T
• PDM includes four types of dependencies or logical relations:
159
Continue T&T
• Dependency Determination
160
Continue T&T
• Leads and Lags
161
Continue T&T
A lag : a waiting period that exists
(must occur) between two activity.
162
Outputs
• Project Schedule Network Diagram
Activity list.
Activity attributes.
Risk register.
163
Exercise1
166
Input
• Schedule Management Plan
• Activity List
• Resource Calendars
Information on which resources are potentially available
(when and how) during the activity period,
• Risk Register
Risk events may impact resource selection and availability.
Updates to the risk register are included with project
documents updates.
Risk Register Example
167
Continue Inputs
168
T&T
• Expert Judgement.
• Bottom-Up Estimating
• Alternative Analysis
Outsourcing an activity, purchasing a S.W. component
rather than building it, or using a totally different
approach to complete the activity.
• Published Estimating Data
Data available through published, recognized sources
that can help in estimating,
• Project Management Software
169
Outputs
• Activity Resource Requirements
The type & quantity of resources required for each
schedule activity is the primary output.
Ex. Two senior programmers are required for 4
months.
• Resource Breakdown Structure (RBS)
Similar to WBS, is a hierarchical structure of the
identified resources by resource category &
resource type.
It is useful for organizing and reporting project
schedule data with resource utilization
information.
170
Continue Outputs
• Project Document Updates
Activity list.
Activity attributes.
Resource calendar.
171
Estimate Activity Durations
• Analyze each activity in the activity list to estimate
how long it will take. It focuses on determining the
duration.
172
Estimate Activity Durations
173
Inputs
• Schedule Management Plan
• Activity List.
• Activity Attributes.
• Activity Resource Requirements
The resources assigned to the activity, and the
availability of the resources will influence the
duration of most activities.
• Resource Calendars
The type, availability, & capabilities of human
resources.
The type, quantity, availability, & capability when
applicable, of both equipment & material resources.
174
Continue Inputs
• Project Scope Statement
• Risk Register
The risk register provides the list of risks, along with the
results of risk analysis and risk response planning.
• Resource Breakdown Structure
provides a hierarchical structure of the identified
resources by resource category and resource type.
• Enterprise Environmental Factors
• Organizational Process Assets
Duration estimating databases and other reference data,
175
T&T
• Expert Judgement.
• Analogous Estimating
Top-Down Estimating use info from a previously
performed project to estimate the current project.
• Parametric Estimating
It can produce a higher levels of accuracy.
Uses statistical relationship between historical data and
other variables.
176
Continue T&T
• Three-Point Estimating (PERT) : PERT, use three data points for
the duration instead of simply one.
Pessimistic, Most Likely or realistic, and Optimistic
estimates,
Formula: Pessimistic + 4XMost Likely + Optimistic
6
Standard Deviation for an Estimate:
Sigma= Pessimistic – Optimistic
6
• Two commonly used formulas are triangular and beta
distributions. The formulas are:
• Beta distribution tE = (tO + 4tM + tP) / 6
177
Continue T&T
• Group Decision-Making techniques
• Reserve Analysis
Reserve time or Contingency and some time
referred to as buffer into the overall project
schedule to account for schedule uncertainty,
Revisited throughout the life of the project, being
revised up or down as more info on schedule risk
becomes available.
178
Outputs
• Activity Duration Estimates
Quantitative assessments of the likely number of
work periods that will be required to complete an
activity.
Contains an estimated duration for each activity in
the activity list.
• Project Document Updates
Activity attributes, and
Assumptions made in developing the activity duration
estimate such as skill level and availability.
179
Develop Schedule
• Analyzing activity sequences, durations. resource
requirements, and schedule constraints to create the
project schedule.
180
Continue Develop Schedule
Inputs T&T Outputs
SL = LS – ES OR SL= LF-EF
183
Schedule Network Analysis
184
Continue T&T
• Critical Path Method
185
Exercise
186
Continue T&T
187
Continue Critical Chain Method
PM should Add “buffers” between activities and make
sure not to exceed your buffer.
189
Continue Critical Chain Method
• Project Buffer
This buffer is placed between the last task and the project completion date
as a non-activity buffer.
• Feeding Buffers
They are inserted between the last task on a non-critical chain and the
critical chain.
• Resource Buffer
These buffers are kept alongside the critical chain to make sure that they
are available when they are required.
190
Continue T&T
191
Continue T&T
• Resource Optimization Techniques
1.Resource Leveling
192
Continue T&T
2. Resource Smoothing
A technique that adjusts the activities of a schedule
model such that the requirements for resources on the
project do not exceed certain predefined resource
limits.
193
Continue T&T
• Modeling Techniques
Examples of modeling techniques include, but are not
limited to:
1. What-If Scenario Analysis.
2. Simulation
Simulation involves calculating multiple project durations
with different sets of activity assumptions, usually using
probability distributions constructed from the three-point
estimate.
• Leads and Lags
194
Continue T&T
• Schedule Compression
Fined ways to complete the project earlier without
cutting the project’s scope:
1. Crashing: adding resources to the project
activity. It almost always increase cost.
2. Fast Tracking: re-ordering the sequence of
activities so that the some of the activities are
performed in parallel, or at the same time. It
does not necessary increase cost, but it
increases risk.
195
Continue T&T
• Scheduling Tool
Automated scheduling tools expedite the
scheduling process by generated start and finish
dates based on the inputs of activities, network
diagrams, resources, resources and activity
durations.
196
Outputs
• Schedule Baseline
A schedule baseline is the approved version of a schedule
model that can be changed only through formal change
control.
• Project Schedule
197
Continue Outputs
Milestone Charts Similar to bar charts, but only
identify the scheduled start or completion of major
deliverables or milestones and key external
interfaces.
Provides general level of information.
Used for brief, high level presentations where a lot
of schedule detail would be undesirable.
198
Milestone Charts
199
Continue Outputs
Bar Charts (Gantt Chart) representing activities, show
activity starts and end dates, durations.
- Easy, and frequently used. Show percentage complete
- Represents the activity on horizontal bars with calendars.
- The length of the bar corresponds to the length of the time
the activity should require.
200
Bar Charts (Gant Chart)
201
Continue Outputs
• Schedule Data
• Schedule Baseline
202
Continue Outputs
• Project calendars
Identifies working days and shifts that are available for
scheduled activities
• Project Management Plan Updates
• Project Document Updates
203
Control Schedule
• Concept of any controlling process, is to compare the work
results to the plan and ensure that they line up.
204
Control Schedule
205
Inputs
206
T&T
• Performance Reviews
1.Trend Analysis
2.Critical path method.
3.Earned value management (cost management chapter).
4.Critical Chain Method
207
Continue T&T
• Scheduling Tools
208
Outputs
• Work Performance Information
• Change Requests.
• Project Management Plan Updates
• Project Document Updates
• Organizational Process Assets Updates
209
End
21
Cost Management
21
212
Cost Management
• Third main project constraint, based of The Triple
Constraint model.
• PM should have a well-defined WBS, an activity list with
resource and duration estimates for all activities.
213
Plan Cost Management
Plan Cost Management is the process that establishes the
policies, procedures, and documentation for planning,
managing, expending, and controlling project costs.
214
Outputs
• Cost Management Plan
The cost management plan is a component of the project
management plan and describes how the project costs will be
planned, structured, and controlled.
216
Estimate Costs
217
Inputs
• Cost Management Plan
• Human Resources Management Plan
Provides project staffing attributes, personnel rates, and
related rewards/recognition, which are necessary
components for developing the project cost estimates.
Human Resource Management Plan input on Estimate Costs?
• Scope baseline :
Scope statement – WBS – and WBS dictionary
• Project Schedule.
• Risk Register.
• EEF & OPA.
218
T&T
• Expert Judgment:
• Analogous Estimating (Top Down)
• Parametric Estimating
• Bottom-Up (Detailed) Estimating
• Three point estimate:
219
T&T
• Reserve Analysis
Reserve amount also called Contingency.
The reserved amount should be analyzed to ensure that
the amount of reserve being planned reflects the risk
associated with the project.
• Cost of Quality (COQ) (During Product life cycle)
Refers to all of the costs that are incurred to (prevent
defects) in products or costs that (result from defects)
in the products.
Also used in the quality planning process.
220
T&T
• Project Management Estimating Software:
Computerized applications like spreadsheets,
simulations and statistical tools.
• Vendor Bid Analysis
Bids should be analyzed, to improve the project
team’s understanding of cost.
221
Outputs
• Activity Cost Estimating
How much it would cost to complete each schedule
activity.
• Basis of estimates
Document of the basis of estimates.
Document of all assumptions.
Document of any known constrains.
Confidence level of final estimates.
• Project Documents Updates
222
Determine Budget
aggregating the estimated costs of work packages to
establish an authorized cost baseline.
223
Determine Budget
224
Inputs
• Cost Management Plan
• Scope Baseline
• Basis of estimates
• Project schedule
• Recourse calendar
• Risk Register
• Agreements
• OPA
225
T&T
• Expert Judgment
• Cost Aggregation
Costs are estimated at an activity level, these estimates
should be aggregated to the work package level where
they will be measured, managed, and controlled during
the project.
• Reserve Analysis
Related to risk.
Almost all projects maintain a financial reserve to
protect them against cost overrun.
How much they keep, how they track it vary from
project to another. These buffers go by various names
such as management reserve, and Contingency reserve.
226
• Reserve Analysis
227
Continue T&T
• Historical Relationship (Parametric Estimation)
A good way to check the validity of your budget is to compare
it with any historic data or industry data that show cost
relationships.
228
Outputs
• Cost Baseline
Provides Budget at completion.
Specifies what costs will be incurred & when.
Larger project may be divided into multiple cost
baselines.
• Project Funding Requirements
Cost Baseline is used to determine the project’s
funding requirements that are almost always related
to the planning expenditures, but not identical to
them.
They also should include any planned contingency or
reserve funds, since these must be available to the
project as soon as they are needed.
• Project documents updates
229
230
Control Cost
231
Inputs
• Project management plan
• Project Funding Requirements
• Work performance Data
• Organization process assets
232
T&T
• Earned value management (EVM)
It’s a method of performance measurement, it
integrates project scope, cost and schedule to help
measure project performance.
EVM monitor, three monitory values:
Planned value - Earned value - Actual cost
• By EVM Project manager will know whether the project is:
− ahead of / on / behind schedule
− under / on / over budget
233
EVM
Planned Value (PV):
How much Work should have been completed at a point in
time based on the plan.
The authorized budget assigned to be accomplished.
(Planned % complete X BAC)
Total PV for the project is also known as (BAC)
Earned Value (EV) :
The monitory value of work performed.
Delivered by measuring where you actually are in terms of
work completed during a given period of time in the
schedule.
Actual Cost (AC):
The actual cost incurred.
The money spent during a given period of time.
234
EVM
EVM monitor, two variances
Cost Variance:
• The difference between what we expected to spend
and what was actually spent.
• CV= EV-AC
Schedule Variance:
• The difference between where we planned to be in
the schedule and where we are in the schedule.
• SV=EV-PV.
235
EVM
Schedule performance index.
• It measures how efficiently the project team is
using its time.
• SPI = EV/PV
Cost performance index.
• The cost performance index (CPI) is a measure of
the cost efficiency of budgeted resources,
expressed as a ratio of earned value to actual
cost.
• CPI = EV/AC
236
Exercise
Earned Value Management
Assume 4 equal sides, budget 200$ per side, schedule 1 side per
day. Finish 4 days & cost 800$.
Day1: side 1 complete, budget of 200$ spent.
Day2: side 2 started but not complete, expected budget 220$
Day3: side 2 complete, and half of side 3 completed but team left
early and only spent 140$
238
EVM Example:
239
Continue T&T
Forecasting.
240
Exercise
Earned Value Management
• Project of Highway Paving 100 Km; for each 10 Km we need
a month with cost 100 k$, total project budget is 1 million
and duration 10 Month.
• MONTH1: 10 km complete, budget of 90k spent.
• MONTH2: 15 km complete, budget of 150k spent.
• MONTH3: 15 km complete, budget of 110k spent.
• MONTH4: 10 km complete, budget of 100k spent.
242
Answer
• PV = 100 + 100 + 100 + 100 = 400 k
• EV = (10+15+15+10)=50 km * 100k = 500k
• AC = 90 + 150 + 110 + 100 = 450 k
• CV= EV-AC = 500 – 450 = 50
• SV=EV-PV = 500 – 400 = 100
• CPI = EV/AC = 500 /450 = 1.1
• SPI = EV/PV = 500 / 400 = 1.25
243
T&T
• To-Complete Performance Index (TCPI)
Is a measure of the cost performance that is required to
be achieved with the remaining resources in order to
meet a specified management goal .
TCPI = (BAC-EV)/(BAC-AC)
TCPI = (BAC-EV)/(EAC-AC)
244
T&T
EAC=AC+[(BAC-EV)/(cumulative CPIX cumulative SPI], this
estimate introduce SPI as a factor in estimating EAC and
we can add a weighting value (80/20 or 50/50) between
SPI and CPI
245
Continue T&T
246
247
248
Continue T&T
• Performance Reviews
Meetings held to measure actual performance against
the plan.
249
Outputs
250
Continue Outputs
251
End
25
Quality Management
25
254
Quality Management
• Quality:
The degree to which a set of inherent
characteristics fulfill requirements.
255
Modern QM approaches
• Seek to minimize variation and deliver
results that meet defined requirements.
• Recognize the importance of :
− Customer satisfaction.
− Prevention over inspection.
− Continuous improvement.
− Management responsibility.
− Cost of Quality (COQ).
256
257
Terms and Definitions
We must differentiate between quality control and
quality assurance:
Quality assurance: It is an executing process, so
its focus is on the work being done on the
project. Its purpose is to ensure the team is
following organizational policies, standards, and
processes as planned to product the project’s
deliverables.
Quality control: It is a monitoring and controlling
process which examines the actual deliverables
produced on the project; its purpose is to ensure
the deliverables are correct and meet the
planned level of quality.
258
Quality Pioneers and Philosophies
• Joseph Juran (1904 - 2008):
Developed (80/20 rule: 80% of the
problems are caused by 20% of the
causes)
• Philip Crosby (1926 - 2001):
advocated Zero Defects which led
to six sigma
• W. Edward Deming (1900 -1993):
Increase quality and reduce costs
by continuous process
improvement. (Plan-Do-Check-Act)
259
Continue Terms and Definitions
Just-In-Time (JIT): A manufacturing method that
brings inventory down to zero (or near zero) levels. It
forces a focus on quality, since there is no excess
inventory on hand to waste.
If you are doing 100,000 surgical operations a year, 1 sigma 31.74% or 31,740 incorrect surgical operations.
If you are doing 100,000 surgical operations a year, 3 sigma 0.27% or 270 incorrect surgical operations.
If you are doing 100,000 surgical operations a year, 6 sigma 0.0000002% or 0.02 incorrect surgical operations.
261
Continue Terms and Definitions
Attribute sampling: Measures whether or not
the results conform to specifications. (YES or NO)
Variable sampling: continuous scale that measures
the degree of conformity. The result is rated on
degree of conformity.
Control limits: identify the boundaries of common
variation in a statistically stable process or
process performance.
Tolerance: specified range of acceptable results.
262
Plan Quality Management
First Process
263
Plan Quality Management
It is the process of identifying quality requirements and/or
standards for the project and its deliverables, and documenting
how the project will demonstrate compliance with relevant
quality requirements and / or standards.
264
Inputs
265
T&T
• Cost-Benefit Analysis
A cost-benefit analysis for each quality activity compares the
cost of the quality step to the expected benefit.
• Cost of Quality (COQ)
Looks at all of the costs that will be realized in order to
achieve quality.
266
T&T
• Benchmarking
Project’s quality standards are compared to those of
other projects which will serve as a basis for
comparison.
• Design of Experiments (DOE)
267
Outputs
• Quality Management Plan: Describes how the quality policy will
be met.
• Process Improvement Plan: Deals with how quality activities
will be streamlined and improved. Areas to consider:
Process boundaries,
Process configuration,
Process metrics,
Target to improve performance.
• Quality Metrics: Define how quality will be measured.
• Quality Checklists: (list of steps)To ensure that all steps were
performed. and that they were performed in the proper
sequence.
• Project Documents Updates
268
Perform Quality Assurance
Second Process
269
Perform Quality Assurance
The process of auditing the quality requirements and the
results from quality control measurements ensure that
appropriate quality standards are used.
272
Affinity Diagram Used to organize results of a root cause
analysis into groups
Complex No raise
Not Written
Technology
Wrong Lack of
Accountability
Burn
resources
273
Process decision program
charts (PDPC) Used to understand a goal in relation to
the steps for getting to the goal. Used in
the process improvement plan.
Send Team to
UK for training
Training your
team
Using coding
standards
Certify the code
274
Interrelationship Diagraphs
Used to analyze the relationships among
numerous issues and find a root cause.
Used to solve complex scenarios
Bad
Food
Unsatisfied
Customer
Chief
A/C
Waiter
275
Tree Diagrams
Used to find a solution to a problem by mapping out
data relationships
Bad Recipe
Bad Food
Bad
Unsatisfied Ingredients
customer
276
Prioritization Matrices
Useful to prioritize issues and find solutions
Pleasant Surroundings
Disrespect of customers
Unhappy staff
Bad Food
Bad Service
277
Network Diagrams
Used to improve time management processes
278
Matrix Diagrams
Used to find relationships between two or more sets
of items. Useful for quality improvement
Action
Objectives Improved Improved Improved
Employee Kitchen Delivery
Training Process Process
30 Mins
Max Wait
Friendly
Drivers
Courteous
Order
Taking
• Process Analysis
Reviews the quality process to ensure that it is working
efficiently & effectively.
280
Outputs
• Change requests
• Project management plan updates
• Project document updates
• Organization process assets updates
281
Control Quality
Third Process
282
Control Quality
• It is the process of ensuring a certain level of quality in
deliverables or to verify that the deliverables meet the
requirements.
• It helps answer the question: “Are the results of our work
meeting the standards?”
283
Control Quality
Inputs T&T Outputs
1.Project Management 1.Seven Basic Quality 1. Quality Control Measurements
Plan Control Tools 2. Validated changes
2. Quality Metrics 2. Statistical Sampling 3. Verified Deliverables
3. Quality Checklists 3. Inspection 4. Work performance info
4. Work Performance 4. Approved change 5. Change requests
Data requests Review 6. Project Mgmt Plan Updates
5. Approved Change 7. Project document updates
Requests 8. Org Process Assets Updates
6. Deliverables
7.Project Documents
8.Organizational
process assets
284
Inputs
• Project management plan
• Work performance measurements
• Approved change requests
• Deliverables.
• Project Documents
• Organization process assets
285
T&T
• Seven Basic Quality tools:
286
Cause-and-effect diagram
Represent the image as a fish. Used to
analyze problems and find the root
causes
Skill Level
Motivation Level
People High
Defect
Tools Process Rate
287
Flow Chart
A graphical representation of a process.
Used to help analyze a process and find
quality problems
288
Check Sheet/Tally Sheet
Used to keep track of data such as quality
problems uncovered during inspection
289
Histogram
Used to present the data in bar chart to
determine the most pressing problems
290
Pareto Diagram
A Bar chart arranges the results from most to
least frequent. (80/20 rule)
80 sec.
70 sec.
60 sec.
50 sec.
40 sec.
292
Scatter Diagram
Used to tracks two variables to determine
their relationship
Defects (Dependent Variable)
293
Continue T&T
• Statistical Sampling
• Inspection
An inspection is the examination of a work product to
determine if it conforms to documented standards.
The results of an inspection generally include
measurements and may be conducted at any level.
For example, the results of a single activity can be inspected,
or the final product of the project can be inspected.
Inspections may be called reviews, peer reviews, audits, or
walkthroughs. In some application areas, these terms have
narrow and specific meanings.
294
Outputs
• Quality control measurements
resulting documents out from quality control activates.
• Validated changes
Any changed or repaired items are inspected and either
accepted or rejected (return for rework).
• Verified deliverables
Are inputs to verify scope process.
295
Continue Outputs
• Work performance Information
• Change requests
• Project management plan updates
• Project document updates
• Organization process assets updates
296
Remember this:
Accepted
No
3 deliverables
Yes
2
1 Verified deliverables
297
Perform Quality Assurance & Control Quality
298
End
29
HR Management
30
301
Human Resource Management
• The process that organize and manage the project team,
302
Terms and Definitions
• Maslow's hierarchy need theory
• Mcgregor - theory x y
• Herzberg's motivation-hygiene theory
• McClelland's Human Motivation Theory
303
Maslow's hierarchy need theory
304
Mcgregor - Theory x, y
305
Herzberg's theory
306
McClelland's Human Motivation Theory
307
Develop human Resource Plan
• This process defines
Roles, required skills,
Responsibilities, reporting relationships, and
When to acquire and release project team.
308
Input
309
T&T
• Org Charts and Position Description
Present who will be working on the project and what
they will be responsible for doing, including
Responsibility availability matrix hierarchical charts
(WBS,OBS,RBS), text oriented formats.
Hierarchical type charts.
310
T&T
Matrix based charts (Ex. RAS)
311
T&T
• Networking
Communicating with others within your “network”
of contacts, like correspondence, meetings and
information conversation.
• Organization Theory
Provides info regarding the way in which people,
teams, and organizational units behave.
• Expert Judgement
• Meetings
312
Outputs
Human Resources Management Plan:
It includes:
Roles and Responsibilities
Project Organizations Charts
Staffing Management plan
Staffing acquisition.
Resource calendar.
Staff release plan.
Training needs.
Rewards and recognition.
Compliance with governmental, union regulations.
Safety.
313
Acquire Project Team
314
Inputs
• Human Resource Management Plan
• Enterprise environmental factors
315
T&T
• Pre-Assignment
Staffing done before the running of this process for the sake
of project requirements or as a result of organization policy or
politics.
• Negotiation
It is an important skill for the PM, PM needs to negotiate with
functional managers and with project team other project
managers and external organizations.
• Acquisition
Looking outside the org for resources when they cannot be
provided by your organization.
• Virtual Teams (tools)
Group of individuals who may or may not see each other in
person.
316
T&T
• Multi-criteria decision Analysis
Selection criteria are often used as a part of acquiring
the project team. By use of a multi-criteria decision
analysis tool, criteria are developed and used to rate or
score potential team members
317
Outputs
• Project Staff Assignments
Each role that was defined should have a resource assigned to it.
• Resource calendar
318
Develop Project Team
319
Inputs
• Human Resource Management
• Project staff assignment
• Resource calendars
320
T&T
• Interpersonal skills
Or what is called “soft skills” like empathy,
creativity, group facilitation, understanding and
sentiments.
• Training
formal or informal training.
322
T&T
• Ground Rules
323
Outputs
• Team Performance Assessment
Measuring and evaluating how the team is doing,
E.g., measure the work performance, the experience
the team is acquire.
• EEF updates
324
Manage Project Team
• project manager can use five types of power to
influence his team members as follows:
− Formal or Legitimate Power
− Reward Power
− Penalty Power
− Expert Power
− Referent Power
325
Manage Project Team
326
Inputs
327
Inputs
• Issue log
An issue log can be used to document and monitor who is
responsible for resolving specific issues by a target date.
• Work Performance reports
• Organizational Process Assets
328
T&T
• Observation and Conversation
• Project Performance Appraisals
PM and other personnel managers on the project
meet the people who report to them on the project
and provide feedback on their performance.
329
T&T
• Conflict Source
Conflict occur between individuals or groups on the
project, it could occurs between PMs and Functional
Managers.
Sources : Schedules- Project priorities Resources- Technical
opinions.
330
T&T
• Conflict Management
Methods of conflict Management:
331
Continue T&T
• Interpersonal skills
Includes leadership, influencing, and effective decision making.
332
Outputs
• Change requests
• Project management plan update
• Enterprise environmental factors updates
• Organizational Process Assets updates
333
End
33
Communication Management
33
Communication Management
• All tasks related to producing, compiling, sending,
storing, distributing, and managing project records.
337
Communication Type
• Internal and external
• Formal (reports, memos) and informal (emails, ad-hoc
discussions).
• Official (newsletter, annual report) and unofficial (off
the record communications).
• Vertical (up and down the organization) and horizontals
(with peers).
• Verbal and non-verbal.
338
Plan Communication Management
339
Inputs
• Project Management Plan
• Stakeholder register
• Enterprise Environmental Factors
• Organizational Process Assets
340
T&T
• Communication Requirements Analysis
341
342
PMP Exam Sample Question
• On your current architecture and design project you the
project manager are interacting with six other stakeholders.
Three new stakeholders join the project. How many new
channels have been added?
• a. 15 channels
b. 21 channels
c. 24 channels
d. 36 channels
•
343
PMP Exam Sample Question
• On your current architecture and design project you the
project manager are interacting with six other stakeholders.
Three new stakeholders join the project. How many new
channels have been added?
• the number of communication channels = n(n-1)/2
• n= number of stakeholders , “the project manager is interacting with six
other stakeholders.” : seven stakeholders. 7(6)/2= 42/2= 21 channels.
• “Three new stakeholders join.” now there are ten stakeholders.
• 10(9)/2= 90/2= 45 channels.
• We began with 21 channels for seven people and now have 45 channels
for ten people.
Therefore 24 new channels have been added.
344
T&T
• Communications Technology
The right tool should be selected for a given
communications need.
Factors that can affect the project include:
Urgency of the need for information.
Availability of technology.
Ease of Use.
Project Environment.
Sensitivity and confidentiality of the information.
345
T&T
• Communication Models
346
Communication Models
The sender is responsible for:
Encode the message clearly
Select a communication method
Send the message
Confirm that it was understood from the
receiver
The receiver is responsible for:
Decode the message
Confirm that the message was understood
347
T&T
• Communication Methods
348
Outputs
• Communications Management Plan
In addition to what was described, the communication
plan must Identify the project documents that will be
created during the course of the project and define
how these documents will be shared and archived,
349
Outputs
• Communications Management Plan
350
Outputs
• Communication Management Plan include:
Stakeholder communication requirements.
Information to be communicated, including
language, format, content, and level of detail.
Reasons for the distribution of that information.
Time frame and frequency for the distribution of
the required information.
Person responsible for communicating the
information.
351
• Communication Management Plan include:
Methods or technology used to convey the information.
Escalation process.
Methods for updating and refining the communications
management plan.
Communication constraints.
It can also include guidelines and templates for project
status meetings, project team meetings, e-meetings,
and e-mail.
352
Outputs
353
Manage communications
Manage Communications is the process of creating,
collecting, distributing, storing, retrieving, and the ultimate
disposition of project information in accordance to the
communications management plan.
354
Inputs
• Communication Management Plan
• Work Performance Reports
• Enterprise Environmental Factors
• Organizational Process Assets
355
T&T
• communication technology
• communication Models
• communication Methods
• Information Management Systems
• Performance reporting
356
Outputs
• Project communications
The Manage Communications process involves the activities
that are required for information to be created, distributed,
received, acknowledged, and understood.
• Project Management Plan updates
• Project documents updates
• Organizational Process Assets updates
357
Control Communications
Control Communications is the process of monitoring and
controlling communications throughout the entire project
life cycle to ensure the information needs of the project
stakeholders are met.
358
Inputs
359
T&T
• Information Management Systems
• Expert Judgment
• Meetings
360
Outputs
• Work Performance Information
• Change Requests
• Project Management Plan Updates
• Project Document Updates
• Organizational Process Assets Updates
361
END
362
Risk Management
36
Risk Management
• The PM is in control and proactively managing events, avoiding
as many problems as possible,
365
Risk Management
Risk Issue
Unknown
Known risks are Known Risk
risks that have Risk
been identified
and analyzed.
Unknowns risk
are not known
For example,
you know that
Contingency Management until they
there is a reserve reserve happen. You
cannot make a
chance that one
of your team response plan
members may for these risks.
go on leave
during the peak
Owned by Owned by For example,
of your project. PM Management Flood,
Sandstorm, etc.
366
Plan Risk Management
First process
367
Plan Risk Management
368
Inputs
369
T&T
• Analytical Techniques
• Expert Judgment
• Meetings
370
Outputs
• Risk Management Plan
Methodology: define approach, tools and data
sources used for risk management.
Roles and responsibilities: How risk will be
managed and by whom.
Budgeting.
Timing.
Categorize:
Definition of Risk probability and impact.
371
Outputs
372
Outputs
Risk Management Plan Include also:
Probability and impact matrix.
Second Process
374
Identify Risks
Inputs T&T Outputs
1. Risk management Plan 1. Documentation Reviews 1. Risk Register
2. Cost management Plan 2. Info Gathering Techniques
3. Schedule management Plan 3. Checklist Analysis
4. Quality management plan 4. Assumptions Analysis
5. Human Resource management plan 5. Diagramming Technique
6. Scope baseline 6. SWOT analysis
7. Activity Cost Estimates 7. Expert judgment
8. Activity duration estimates
9. Stakeholder register
10. Project documents
11.Procurements documents
12.Enterprise Environmental
Factors
13. Org Process Assets
375
Inputs
• Risk management plan
• Cost management plan
• Schedule management plan
• Quality management plan
• Human resource management plan
• Scope baseline
• Activity Cost estimates
• Activity duration estimates
• Stakeholder register
376
Continue Inputs
• Project documents
• Procurement documents
If the project requires external procurement of
resources, procurement documents become a key
input to the Identify Risks process.
• EEF
• 0PA
377
T&T
• Documents reviews
• Information Gathering Technique
Brainstorming , Delphi technique, Interviewing, Root
Cause analysis.
• Checklist Analysis
Risk identification checklists are developed based on
historical information and knowledge that has been
accumulated from previous similar projects and from
other sources of information.
• Assumptions Analysis
Assumptions should be analyzed and documented and
challenged if necessary.
Continue T&T
• Diagramming technique
Cause-and-effect or Ishikawa
System or process flow charts
• SWOT Analysis (Strength, Weakness, Opportunity, and Threat)
SWOT Analysis, used to measure each risk’s strengths,
weaknesses, opportunities, and threats.
It helps specify the most significant project risk factor.
• Expert Judgement
379
SWOT Analysis
380
Outputs
• Risk Register
381
Risk Register
382
Perform Qualitative Risk Analysis
Third Process
383
Perform Qualitative Risk Analysis
• To determine which risks are the highest priority.
• It takes each risk from the risk register and works to
analyze its probability of occurring and impact on the
project.
384
Inputs
385
Tools and Techniques
• Risk Probability and Impact Assessments/
Probability and Impact Matrix
To determine what the highest priorities, can be
assesses by meetings or interviews with experts of risk
categories.
Each risk in the risk register is evaluated for its
likelihood of occurring and its potential impact on the
project.
386
387
T&T
• Risk Data Quality Assessment
The data used should be evaluated to determine whether or not it is
accurate and of acceptable quality.
• Risk Categorization
Can be categorized in many ways (i.e:RBS or by project phases)
• Expert judgment
388
Outputs
• Project Documents updates
1.Risk Register Updates.
Relative ranking or priority list of project risks,
389
Perform Quantitative Risk Analysis
Fourth Process
390
Perform Quantitative Risk Analysis
• Assigns a projected value to (quantify) the risks that
have been ranked by qualitative risk analysis.
• This value is specified in terms of cost or time.
391
Inputs
• Risk management plan.
• Cost management plan.
• Schedule management plan
• Risk register
• Enterprise Environmental Factors
• Organization process assets
392
T&T
• Data Gathering and Representation Techniques
Interviewing - Experts Judgment - Probability
distribution.
• Quantitative Risk Analysis & Modeling Techniques
Sensitivity Analysis: analyze the project and
determine how sensitive it is to risk.
Tornado Diagrams: analyse project sensitivity
to cost or to other factors.
393
Tornado Diagrams
394
Quantitative Risk Analysis & Modeling Tech.
395
Quantitative Risk Analysis &
Modeling Tech.
396
Quantitative Risk Analysis & Modeling Tech.
A company is trying
to determine if Pass: No Impact
prototyping is
worthwhile on the
project
Failure: 70%
Setup Cost = $ 0 Probability and $
450,000 impact
Do not
prototype
Pass: No Impact
397
Quantitative Risk Analysis & Modeling Tech.
Answer:
399
Outputs
• Project documents updates
Project documents are updated with information resulting
from quantitative risk analysis.
400
Plan Risk Response
Fifth process
401
Plan Risk Response
402
Inputs
• Risk management plan
• Risk register
403
T&T
• Strategies for Negative Risks or Threats
Avoid: appropriate for undesirable risk
Transfer: transfer it to another party
(Transferee the loss associated with risks
to a third party) and make him responsible
(e.g. insurance),
Mitigate: make it less, minimizing the
probability and impact of risks to
acceptable level (e.g. construct outside
rainy season).
Accept: Accept the risk and not take any
action unless the risk occurs.
404
T&T
• Strategies for Positive Risks or Opportunities
Exploit: trying to remove any uncertainty.
Finishing the project early, adding more
people to complete early
Share : working with another party how can
better utilize the opportunity.
Enhance: seek to increase the opportunity
probability.
Accept: Accept the risk and not take any
action unless the risk occurs.
405
T&T
• Contingent Response Strategy
• Expert judgment.
406
Outputs
• Risk Management Plan Updates
• Project Document Updates.
407
Control Risk
Sixth process
408
Control Risk
Inputs T&T Outputs
1. Project Mgmt Plan 1. Risk Reassessment 1. Work performance Info
2. Risk Register 2. Risk Audits 2. Change requests
3. Work Performance 3. Variance and Trend 3. Project Mgmt Plan Updates
data Analysis 4. Project document updates
4. Performance 4. Technical Performance 5. Org Process Assets Updates
Reports Measurement
5. Reserve Analysis
6. Meetings
409
Inputs
• Project management plan.
• Risk register
• Work performance data
• Work Performance reports
410
T&T
• Risk reassessment
To identify new risks and closing risks that are
outdated.
• Risk Audits
Focused on overall risk management.
• Variance and Trend Analysis
Variance Analysis, focus on the difference
between what was planned and what was
executed.
Trend Analysis, shows how performance is
trending. It shows worst cost performance.
411
T&T
• Technical Performance Measurement
• Reserve Analysis
• Meetings
412
Outputs
• Work Performance Information
• Change requests
• Project management plan updates
• Project document updates.
• Organizational process assets updates
413
End
41
Procurement Management
41
Procurement Management
Processes performed to obtain goods, services, or
scope from outside the organization.
417
Procurement Management
Contracts could take one of Three types:
Firm Fixed Price Contracts
Firm Fixed Price (FFP)
Fixed Price Incentive Fee (FPIF)
Fixed Price Economic Price Adjustment (FPEPA)
Cost Reimbursable Contracts (CR)
Cost Plus Fixed Fee (CPFF)
Cost Plus Incentive Fee Contracts (CPIF)
Cost Plus Award Fee Contracts (CAF)
Time and Material Contracts (T&M)
Marge of above two contracts types.
418
Procurement Management
419
Plan Procurement
420
T&T
• Make-or-Buy Analysis
Look at all of the factors that could sway the decision toward
making internally or buying externally, including risk factors,
costs, releasing proprietary info, and a host of other decision
pointing.
• Expert judgment
• Market Research
• Meetings
421
Conduct Procurement
Obtaining seller responses, selecting a seller, and awarding
a contract. A short list of qualified sellers can be
established based on preliminary proposal.
422
T&T
• Bidder Conference.
• Proposal evaluation techniques
Expert judgment.
Advertising.
Internet search.
Procurement negotiations.
• Independent Estimates
• Expert Judgment
• Advertising
• Analytical techniques
• Procurement negotiations
423
Control Procurement
424
T&T
• Contract change control system.
• Procurement performance reviews.
• Inspections and audits.
• Performance reporting.
• Payments systems.
• Claims administration.
• Record management system.
425
Close Procurement
426
T&T
• Procurement Audits.
• Procurements negotiations.
• Record Management System.
427
End
42
Stakeholders Management
42
430
Identify Stakeholders
431
T&T
• Stakeholder Analysis
Influence/impact grid: Grouping the stakeholders based on
their active involvement (“influence”) in the project and their
ability to effect changes to the project’s planning or
execution (“impact”) in the project.
432
Outputs
• Stakeholder Register
433
Plan Stakeholder mgmt.
434
T&T
• Expert Judgment
• Meetings
• Analytical techniques
The engagement level of the stakeholders can be classified as
follows:
Unaware.
Resistant.
Neutral.
Supportive.
Leading.
435
Manage Stakeholder Engagement
436
T&T
• Communication Methods
• Interpersonal Skills
• Management Skills
437
Control Stakeholder Engagement
438
End
43
Practice exercise
440
1) Which of the following is NOT a characteristic
of a project?
441
2) In your project, you create a document to record the
code of account identifier, description of work,
responsible organization, and schedule milestones.
This document can be referred to as:
A- WBS
B- WBS dictionary
C- PERT/CPM charts
442
3) You are working for a semi-conductor company.
There have been several instances in the past week
when a few circuits have not been giving accurate
results. You have been assigned the task of
determining the probable cause for the variations.
Which tool would you use?
A- Control Chart
B- Ishikawa Diagrams
C- Pareto Diagrams
D- Inspection
443
4) Which of the following statements about the project
management team and the project team is inaccurate?
444
5) You have recently assumed charge of a project from
another project manager. You want to know what kind of
information you should provide to different stakeholders and
what methods to adopt for this purpose. You will find this
information in the:
B- Project records.
C- Performance reports.
D- Communications plan.
445
6) The responsibility of stakeholder expectations management
usually lies with the:
B- Project manager.
C- Project team.
446
7) In an automobile company in which you are the project
manager, the allowable standard deviation for a product to be
delivered by the contractor is less than 0.002 inches. However,
product testing has revealed that the actual deviation is slightly
more than 0.002 inches. You believe that the variation from the
permissible deviation is negligible. In this case, you must:
D- Create Deliverables.
448
9) It is standard that the customer is required to follow
rigorously defined processes for user acceptance testing which
must be conducted each time a module is completed. The
customer is also required to notify the project manager, in
writing, that the software module was tested and whether it
was acceptable or not. This user acceptance testing, and the
resulting notification is part of which process? :
A- Control Scope.
B- Collect Requirements.
C- Validate Scope.
449
10) As a project manager, you are concerned with determining
which risks may affect the project. What is the process by
which such risks are determined?
B- Identify Risks.
450