Project Planning:- Communication Management

9.1. Project Communication

Project communication is the exchange of project-specific
information with the emphasis on creating understanding
between the sender and the receiver.
Effective communication is one of the most important
factors contributing to the success of a project.
Project communication includes general communication
between team members but is more encompassing.
It utilizes the Work Breakdown Structure (WBS) for a
framework, it is customer focused, it’s limited in time, it is
product focused with the end in mind, and it involves all
levels of the organization.
• Importance of Good Communications

• 1. The greatest threat to many projects is a failure to communicate.

• 2. Our culture does not portray IT professionals as being good communicators.
• 3. Research shows that IT professionals must be able to communicate effectively to
succeed in their positions.
• 4. Strong verbal skills are a key factor in career advancement for IT professionals.

• Communication is Key to Successful Project Management

• If project staff do not know what their tasks are, or how to accomplish them, then the
entire project will grind to a halt.
• If you do not know what the project staff are (not) doing then you will be unable to
monitor project progress.
• And if you are uncertain of what the customer expects of you, then the project will
not even get off the ground.
• Maintaining open, regular and accurate channels of communication with all levels of
project staff and stakeholders is vital to ensuring the smooth flow of instructions from
customer to factory floor and sufficient warning of risks and changes to enable early
assessment and preparation.
• 9.2. Project Communication Management
• Project Communication Management is the knowledge area that
employs the processes required to ensure timely and appropriate
generation, collection, distribution, storage, retrieval and ultimate
disposition of project information.

• Project Communications Management Processes

1. Communications planning: Determining the information and communications

needs of the stakeholders.
2. Information distribution: Making needed information available to project
stakeholders in a timely manner.
3. Performance reporting: Collecting and disseminating performance information,
including status reports, progress measurement, and forecasting.
4. Managing stakeholders: Managing communications to satisfy the needs and
expectations of project stakeholders and to resolve issues.
• 9.3. Communications Planning Every project should include some type of
communications management plan, a document that guides project
communications. Creating a stakeholder analysis for project communications also
aids in communications planning.

• Communications Management Plan Contents;

• 1. Stakeholder communications requirements.

• 2. Information to be communicated, including format, content, and level of detail.
• 3. The people who will receive the information and who will produce it.
• 4. Suggested methods or technologies for conveying the information.
• 5. Frequency of communication; (daily, weekly, monthly etc)
• 6. Escalation procedures for resolving issues.
• 7. Revision procedures for updating the communications management plan.
• 8. A glossary of common terminology.
• 9.4. Information Distribution
• Getting the right information to the right people at the right time and in a
useful format is just as important as developing the information in the first
place.
• Proper information distribution makes information available to project
stakeholders in a timely manner.
• Following the communication plan ensures that all members of the project
team are aware of their responsibilities to communicate with external
stakeholders.
• The more information stakeholders have regarding a project or deliverable,
the less likely last minute conflicts, changes, or complaints will affect a
project. Important considerations include:
– Using technology to enhance information distribution.
– Formal and informal methods for distributing information.

• Distributing Information in an Effective and Timely Manner

• 1. Don’t bury crucial information.
• 2. Don’t be afraid to report bad information.
• 3. Oral communication via meetings and informal talks helps bring important
information—good and bad— out into the open.
• Importance of Face-to-Face Communication
• Research says that in a face-to-face interaction:
– 58 percent of communication is through body language.
– 35 percent of communication is through how the words are said.
– 7 percent of communication is through the content or words that are
spoken.

• Pay attention to more than just the actual words someone is

saying. A person’s tone of voice and body language say a lot about
how he or she really feels. Encouraging More Face-to-Face
Interactions
– Short, frequent meetings are often very effective in IT projects.
– Stand-up meetings force people to focus on what they really need to
communicate.
– Some companies have policies preventing the use of e- mail between
certain hours or even entire days of the week.
 9.5. Performance Reporting

1. Performance reporting keeps stakeholders

informed about how resources are being used to
achieve project objectives.
2. Status reports describe where the project stands
at a specific point in time.
3. Progress reports describe what the project team
has accomplished during a certain period of time.
4. Forecasts predict future project status and
progress based on past information and trends.
 9.6. Managing Stakeholders

1. Project managers must understand and work

with various stakeholders.
2. Need to devise a way to identify and resolve
issues.
3. Expectations management matrix
4. Issue log
Expectations Management Matrix
• 9.7. Tools and methods

• Project team members use a variety of tools to organize and present project
information.
• 1. Project Fact Sheet: The project fact sheet contains summary data for stakeholders
outside the project team, and is typically posted on the project website.
• 2. Filing Systems: A filing system is a set of agreed-upon folder and file naming
conventions used to classify project documents to make them easier to find. It is,
essentially, a numbering scheme used to identify different types of documents and the
folders where they are stored. All project records must be filed according to the
following file systems
• 3. Work Breakdown Structure: The WBS is a deliverable-oriented grouping of project
elements that organizes and defines the total scope of the project. Project
communication relates to WBS elements. Team members use the WBS, OBS to create
the communication plan.
• 4. Resource Breakdown Structure: The RBS is a standardized, hierarchical list of roles
that is used to produce a project deliverable. Project team members use the RBS to
determine what roles are needed to produce project-specific WBS elements and to
identify who needs to receive certain communication products.
• 5. Project Charter: The project charter documents the agreement between the
sponsor and the project manager over the key elements of a project and component.
The charter helps the project manager guide the project team efficiently and
effectively through the project development process.
• 6. Organization Breakdown Structure (OBS): The OBS describes
the organization chart. It groups personnel into successively
smaller units, each reporting to a single manager or supervisor.
• 7. Performance Reporting: Performance reporting involves the
collection of all baseline data, and distribution of performance
information to stakeholders. Performance Reporting should
generally provide information on scope, schedule, cost, and
quality. By analyzing deviations from plan (variances) a project
manager can spot developing problems in time to take
corrective action before they become serious.
• Earned-value analysis translates both schedule and budget
measures into dollar values and tracks them against the original
planned expenditure of effort, again translated into its dollar
value.
 9.8. Communication Methods

• Project team members use a variety of

communication methods to deliver project
information, including meetings, telephone calls,
email, voicemail, and websites.
• Meetings in particular are often the most effective
way to distribute information to project stakeholders.
• Before planning a meeting, the project manager or
assigned team member should consider the
communication objectives carefully and choose a
meeting format that will meet the objectives.
 ICT Project Management
Chapter 7: Project Planning Phase – Project Risk Management

• 7.1 Introduction

• Project Risk can be defined as uncertainty that can have a negative or positive effect on
meeting project objectives.
• Project risk management is the art and science of identifying, analyzing, and responding
to risk throughout the life of a project and in the best interests of meeting project
objectives.
• Risk management is the systematic process of managing an organization's risk exposures
to achieve its objectives in a manner consistent with public interest, human safety,
environmental factors, and the law.
• Risk management is often overlooked in projects, but it can help improve project success
by helping select good projects, determining project scope, and developing realistic
estimates.
• Unfortunately, crisis management has higher visibility due to the obvious danger to the
success of the project but it’s risk management that helps a project have fewer problems
to begin with.
 7.1.1. Types of risks

• Negative Risk
– Negative risks: delays in completing work as scheduled, increases in
estimated costs, supply shortages, litigation, strikes, etc.
– Negative risk involves understanding potential problems that might occur in
the project and how they might impede project success
– Negative risk management is like a form of insurance; it is an investment

• Positive Risk
– Positive risks are risks that result in good things happening;
– Positive risks: completing work sooner and/or cheaper than planned,
collaborating with suppliers to produce better products, good publicity, etc.
• 7.1.2. Project Risks Categories
• Scope Risks
–Scope creep
–Hardware defects
–Software defects
–Scope gap (ill defined scope)
–Dependency change
–Integration change.

• Schedule risk
–Project dependencies
–Parts delay
–Estimation error
–Decision delay
–Hardware delays

• Resource risks
–Outsourcing delays
–Lack of funds
–Attrition of resources
–People joining the team late
–Scarcity of skills.
 7.2 Risk Management Processes
• There are six major processes in Project risk management

• 1. Risk management planning: deciding how to approach and plan the risk
management activities for the project
• 2. Risk identification: determining which risks are likely to affect a project and
documenting the characteristics of each
• 3. Qualitative risk analysis: prioritizing risks based on their probability and impact of
occurrence
• 4. Quantitative risk analysis: numerically estimating the effects of risks on project
objectives
• 5. Risk response planning: taking steps to enhance opportunities and reduce threats
to meeting project objectives
• 6. Risk monitoring and control: monitoring identified and residual risks, identifying
new risks, carrying out risk response plans, and evaluating the effectiveness of risk
strategies throughout the life of the project
 7.3. Risk Management Planning
• The process of planning of deciding how to approach and plan
for risk management activities for a project.
– The main output of risk management planning is a risk management
plan—a plan that documents the procedures for managing risk
throughout a project
– The project team should review project documents, corporate risk
management policies, lessons-learned reports from past projects and
understand the organization’s and the sponsor’s approaches to risk
– Important to clarify roles and responsibilities, prepare budget and
schedule estimates for risk-related work and identify risk categories
for consideration
– The level of detail will vary with the needs of the project
 7.3.1 Topics Addressed in a Risk Management Plan

• Methodology: How will risk management be performed on this project? What

tools and data sources are available and applicable?
• Roles and Responsibilities: Who are the individuals responsible for
implementing specific tasks and providing deliverables related to risk
management?
• Budget and Schedule: What are the estimated costs and schedules for
performing risk-related activities?
• Risk Categories: What are the main categories of risks that should be
addressed on this project? Is there a risk breakdown structure for the project?
• Risk Probability and Impact: How will the probabilities and impacts of risk
items be assessed? What scoring and interpretation methods will be used for
the qualitative and quantitative analysis of risks?
• Risk Documentation: What reporting formats and processes will be used for
risk management activities?
 7.3.2. Contingency and Fallback Plans, Contingency
Reserves

• In addition to a risk management plan, many projects also

include:

1. Contingency plans – predefined actions that the project team will take
if an identified risk event occurs
2. Fallback plans - developed for risks that have a high impact on meeting
project objectives, and are put into effect if attempts to reduce the risk
are not effective
3. Contingency reserves or allowances - provisions held by the project
sponsor or organization to reduce the risk of cost or schedule overruns to
an acceptable level . Project falling behind schedule due to inexperience
with new technology, use these funds to hire outside trainer
 7.3.5. Risk Breakdown Structure

• A risk breakdown structure is a hierarchy of

potential risk categories for a project
• Similar to a work breakdown structure but used
to identify and categorize risks
• In addition to identifying risk based on the
nature of the project or products produced, it is
also important to identify potential risks
according to project management knowledge
areas
 7.4. Risk Identification
• The process of determining which risks are
likely to affect a project and documenting the
characteristics of each.
• This is an ongoing process throughout the
project lifecycle as things change
• 7.4.1. Risk identification techniques and Tool
include;

• Brainstorming
• Delphi Technique
• Interviewing
• SWOT analysis
 7.4.2. Risk Identification Output

• The main output of the risk identification process is

a list of identified risks and other information
needed to begin creating a risk register Risk Register
• A risk register is: A document that contains the
results of various risk management processes and
that is often displayed in a table or spreadsheet
format
• A tool for documenting potential risk events and
related information
 7.4.3. Qualitative Risk Analysis

• After identifying the risks the next step is to

understand which risks are most important by
performing qualitative risk analysis. It involves
assessing the likelihood and impact of identified
risks to determine their magnitude and priority
Risk quantification tools and techniques include:
1. Probability/impact matrixes
2. The Top Ten Risk Item Tracking
3. Expert judgment
• 7.4.4. Quantitative Risk Analysis
– Often follows qualitative risk analysis, but both can be
done together
– Large, complex projects involving leading edge
technologies often require extensive quantitative risk
analysis
Quantitative risk analysis: numerically estimating the
effects of risks on project objectives
Main techniques include:
1. Decision tree analysis and Estimated monetary Value
(EMV)
2. Simulation
3. Sensitivity analysis
 7.5. Risk Response Planning:

• The process involves taking steps to enhance opportunities and reduce threats
to meeting project objectives. After identifying and quantifying risks, you must
decide how to respond to them.
• 7.5.1. Response Strategies for Negative risks

• Four main response strategies for negative risks:

– Risk avoidance – or eliminating the risk, usually by eliminating its causes.

– Risk acceptance – accepting the consequences should a risk occur, usually by preparing
for risk with backup plan or contingency reserves
– Risk transference – shifting the consequences of a risk event and responsibility for its
management to a third party. Example, to deal with financial risk exposure, a company
may purchase special insurance for specific h/w needed for a project. If h/w fails,
insurer has to replace it.
– Risk mitigation – reducing the impact of a risk event by reducing the probability of its
occurrence. e.g., use proven technology, buy maintenance or service contract
• 7.5.2. Response Strategies for Positive risks
• Four Response Strategies for Positive Risks
– Risk exploitation – do whatever you can to make sure the risk occurs, call press
conference to advertise new product, take out ads, etc
– Risk sharing – allocating ownership of the risk to another party. Hire an outside firm to do
your advertising and PR
– Risk enhancement – identify and maximize key drivers of the risk. Encourage your
employees or users of your product to spread the word of your product
– Risk acceptance – don’t take any action with regard to positive risk. Assume the product
will speak for itself

• 7.5.3. Residual and Secondary Risks

• Response strategies often include identification of residual and secondary risks.
– Residual risks are risks that remain after all of the response strategies have been
implemented
– Even though used stable h/w platform, it still may fail
– Secondary risks are a direct result of implementing a risk response
– Using stable h/w may have caused a risk of peripheral devices failing to function properly
7.7. 10 Golden Rules of Project Risk Management

• Rule 1: Make Risk Management Part of Your Project

• Rule 2: Identify Risks Early in Your Project: Two main sources exist to identify risks,
people and paper.
• Rule 3: Communicate About Risks: A good approach is to consistently include risk
communication in the tasks you carry out.
• Rule 4: Consider Both Threats and Opportunities
• Rule 5: Clarify Ownership Issues: Make clear who is responsible for what risk!
• Rule 6: Prioritise Risks
• Rule 7: Analyse Risks: Understanding the nature of a risk is a precondition for a good
response. Risk analysis occurs at different levels.
• Rule 8: Plan and Implement Risk Responses: Implementing a risk response is the
activity that actually adds value to your project.
• Rule 9: Register Project Risks: Maintaining a risk log enables you to view progress and
make sure that you won't forget a risk or two. A good risk log contains risks
descriptions, clarifies ownership issues (rule 5) and enables you to carry our some
basic analyses with regard to causes and effects (rule 7).
• Rule 10: Track Risks and Associated Tasks: Tracking risks differs from tracking tasks. It
focuses on the current situation of risks. Which risks are more likely to happen? Has
the relative importance of risks changed? Answering this questions will help to pay
attention to the risks that matter most for your project value.
 Revision questions
• Describe the four major steps involved in
Project communication management process.

• Describe the six major processes in Project risk

management process.