PROJECT

MANAGEMENT PLAN
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Learning Outcomes
• Define a plan
• Understand how to develop the project management plan
• Develop the project plan

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What is a plan?
• APM BoK 5ed defines it an intended future course of action.

• A plan in its simplest form contains the following:

• Objectives- What are the goals and objectives
• How to- How to achieve the goals and objectives
• Resource- What people, materials and equipment are required/available
• Activities- Sequence of activities with details of time, cost and quality.

• A plan is a set of intended steps, through which the project manager expects to
achieve a predefined goal or objective. A plan can be created for individual topics or
for a project as a whole.

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What is a plan?
• The PMBOK 5ed defines the project management plan as, a plan which brings
together all the plans for a project.

• The purpose of the project management plan is to document the outcomes of the
planning process and to provide the reference document for managing the project.

• The project management plan is owned by the project manager. The PMP is also a
communication vehicle for ensuring key stakeholders share an understanding of the
project.

• The PMP is NOT a project schedule. A project schedule lists planned dates for
performing tasks and activities to meet milestones identified in the project plan

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Project Planning Steps
Benefits of a Project Plan
Developing a detailed project plan is important for among other reasons the
following:
◦ It guides project execution and gives direction to the project.
◦ It acts as basis for managing change during the project.
◦ It facilitates communication among stakeholders.
◦ It documents planning decisions with regards to the alternatives chosen.
◦ It documents project planning assumptions and outlines reasons for
assumptions, which can be tested at a later stage.
◦ It provides a means to measure progress and control.
◦ It verifies the final delivered project’s product against the project plan
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Project Planning Steps

◦ According to burke (2013:78), project planning steps can be outlined as

a sequence of discrete operations. However, in practice, other factors
may influence the sequence.
◦ There are a number of formats used to present the project
management plan:
◦ A checklist
◦ An initiative spiral
◦ A flow chart

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 Project Planning Documents
There are several plans and documents that combine to form the project management
plan. Some of these documents are as follows:
• Project trigger: Anything that triggers the project to start.
• Statement of requirements: High level outline of what is required
• Business case: One or more options to satisfy the requirements
• Project Carter: Document which officially formalizes the existence of the project and
gives the project an identity.
• Feasibility study: The project charter initiates the feasibility study to conduct an in
depth on the feasibility of performing the project.
• Build-method: Outlines how the project will be assembled or implemented.
• Configuration management: Nominates a group of experts to confirm that all the
components of the project will operate as intended.
• Estimating Time: All the individual plans are underpinned by an estimate or forecast of
what might happen 7
Project Planning Documents
• Scope Management: Defines what work the project will include as well as the work
not included in order to meet the intended objectives.
• Work breakdown structure: Subdivides the scope of work into manageable work
packages, which are easier to estimate, plan, assign and
• Critical path method (CPM): Uses a network diagram to present the work packages
and activities in a logical sequence of work which is developed from the build method
and other constraints.
• Schedule Gantt Chart: Document that communicates schedule information.
• Execution Strategy: Considers the “buy or make” decision. It considers whether
components needs to be bought or home-made.
• Procurement Schedule: The procurement function is to supply all the bought in
items at the best price and the required quality to meet the project schedule.
• Contract: Outlines the terms and conditions of the agreement.
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Project Planning Documents
• Resource Histogram: Supplies a skilled workforce, machines, and equipment to
complete the work as outlined in the project schedule.
• Estimating Costs: Estimates all project costs and assign budgets
• Project Cashflows: Project accounting process establishes and assigns budgets to
all the work packages and also determines the project’s cashflow.
• Earned Value: The project costs or man hours can be integrated with the project’s
schedule to produce the planned value which forms the baseline plan for the earned
value calculation.
• Risk Management Plan: Includes the process of identifying, analyzing, and
responding to project risk and opportunities.
• Project Quality Plan: Outlines a quality management system, which is designed to
guide and enable the project to meet the required condition.

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Project Planning Documents
• Communication Plan: Includes the process required to ensure proper collection,
storage, and dissemination of project information.
• Organization Breakdown Structure: The OBS and Responsibility Assignment Matrix
(RAM) links the WBS work packages to the person or team who is responsible for the
work.
• Baseline Plan (Project Management Plan): Portfolio of plans and documents which
outline how to achieve the project’s objectives.

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Developing a Project Plan Spiral
A Project Plan Spiral accurately represents the project plan and depicts individual plan separately
and incrementally as well as progressively integrate with other knowledge areas (Burke 2018:
124). A typical Project Plan Spiral is shown below:

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 Project Management Plan
Corporate Vision Statement
• Is the starting point for the planning and control cycle.
• It outline the long-term plan or direction of the whole company.

Corporate Values Statement

• It outlines how the company intends to do business.

Statement of requirements
• Outlines how the company needs to stay in business and maintain competitive advantage.
• It also identifies opportunities for the company to exploit to help achieve the long-term vision.

Business Case
• Is the selected solution to address the corporate requirements. The project Sponsor is responsible for
implementing the business case and realizing the benefits of the company. 12
Project Management Plan
Project Charter
• Is the document that officially formalizes the existence of a project and gives the project an identity
so that the Project Manager plans the budget and has the authority to use the company resources.

Feasibility Study
• This confirms the applicability of pursing the business case and the project within the stated
constraints.

The scope management plan

• This plan outlines the work to make the project and just as importantly, the work that is not included,
in order to meet the stated objectives.

Configuration management plan

• This plan outlines how components of the project will operate together after the project is complete
in its operating environment. An important plan for managing scope changes.
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Project Management Plan
Build-in method Plan
• Outlines how to make a product using the available resources, equipment and schedule constraints.

Project Schedule
• Outlines how to complete the project within the time objectives. This is affected using CPM and the
Gantt Chart.

Execution Strategy Plan

• this outlines the make or buy decision. The execution strategy considers the availability of in-house
resources and expertise and the benefits of outsourcing work.

Procurement Management Plan

• Outlines how to procure the bought-in items at the best price and the required quality to meet the
project’s schedule.

Resource Management Plan

• Outlines how to supply a skilled workforce, machines and equipment to complete the work as outlined 14
in the project schedule.
Project Management Plan
Cost Management Plan
• This assigns budgets to the work package based on the project estimates and the funds available.
Also considers project cash flow.

Risk Management Plan

• Outlines how to complete the project within an acceptable level of risk. The risk analysis technique
identifies and responds to any risk.

Quality Management Plan

• Outlines how to complete the project within the quality objectives. This will include quality assurance,
quality control, quality audits, product validation and acceptance criteria.

Communication Management Plan

• Outlines how to achieve the project communication objectives. This includes the collection, storage,
and dissemination of project information

Stakeholder Management Plan

• Identifies the key stakeholders and determines their needs and expectations. It outlines how to
engage the key stakeholders and involve them in the problem solving and decision-making process. 15
Project Control Spiral

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