Project management essentials 3 day training program
- 2. WELCOME AND INTRODUCTIONS Program Length - 3 days Session I Session II Day 1 Introductory session to the Project Management discipline Project Management Processes Role of a Project Manager Day 2 Project Management Knowledge Areas - Overview Exercise Day 3 Organisational Influences and the Project Lifecycle Details on PMP, CAPM etc. Test
- 3. COURSE OVERVIEW AND TARGET AUDIENCES • Course Overview • Essentials / Introductory Session with a deep dive into few critical facets of Project Management • Target Audiences: • Project Managers / Coordinators • Staff with direct or indirect exposure to projects • Anyone who intends to further his/her career in Project Management by earning credentials and certification (CAPM, PMP etc.)
- 4. At the end of this program the trainee : - • Would be aware of the fundamentals of project management • Can take the next step towards certification
- 5. Contents are extrapolated mainly from the PMI’s PMBoK 5th Edition PMI – Project Management Institute PMBoK - Project Management Body of Knowledge
- 6. QUIZ CONDUCT A SMALL QUIZ HERE TO UNDERSTAND THE KNOWLEDGE LEVELS OF THE PARTICIPANTS
- 8. PROJECT MANAGEMENT FRAMEWORK What is a project ? A Project: - • Is a temporary endeavor undertaken to create a unique product, service, or result. • has a definite beginning and an end. • is not a routine operation, but a specific set of activities designed to accomplish a singular goal Examples
- 9. PROJECT MANAGEMENT FRAMEWORK • Refers to the fact that each project has a definite start and definite end. • Note • “Temporary” does not necessarily mean that the project duration is short • “Temporary” typically does not apply to the product, service or result created by the project. • Repetitive elements may be present, but has fundamental uniqueness Temporary -
- 10. PROJECT MANAGEMENT FRAMEWORK When does a project end? • A project can reach its end in one of the following ways: 1) The project has met its objectives (or) 1) The project has been terminated before its completion by the relevant stakeholder 2) The objectives of the project will not or cannot be met 3) The need for the project no longer exists
- 11. PROJECT MANAGEMENT FRAMEWORK When is a project successful? • When it has met the scope, time and cost goals • When it has achieved the desired results • When it has satisfied the customer/sponsor
- 12. PROJECT MANAGEMENT FRAMEWORK • Progressive Elaboration: • Progressive elaboration is the “iterative process of increasing the level of detail in a project management plan as greater amounts of information and more accurate estimates become available” • Part of the Planning Process Group • Building the project as you go along • Related - Prototypes, Rolling Wave Planning,
- 13. PROJECT MANAGEMENT FRAMEWORK Projects - Operations
- 14. PROJECT MANAGEMENT FRAMEWORK Project vs. operations Operation is: • A function that performs an ongoing tasks. • It doesn’t produce a unique (new) product or it doesn’t have a beginning & an end – or both.
- 15. PROJECT MANAGEMENT FRAMEWORK Projects Operations To produce a specific (unique) output and terminate Ongoing endeavours to produce repetitive outputs Heterogeneous Teams Homogeneous teams Hard Start and End Dates Ongoing Temporary Permanent* Catalyst for Change Maintains a Status Quo Project vs. operations
- 16. PROJECT MANAGEMENT FRAMEWORK • Both require resources, including human resources (people). • Both are constrained to limited, as opposed to unlimited resources. • Both are managed—that is, planned, executed, and controlled. • Both have objectives. Projects – Operations - similarities
- 17. PROJECT MANAGEMENT FRAMEWORK Group Exercise : Identify each of the following items as a project or an operation: • Publishing a weekly newsletter • Writing and publishing an Instruction Manual for a Department • Responding to customer queries and complaints • Implementing a FATCA solution • Processing cheques through ACH/RTGS • Scanning documents for a customer loan application • Implementing virtualization • Hiring a Project Manager
- 18. PROJECT – PROGRAM - PORTFOLIO
- 19. PROJECT MANAGEMENT FRAMEWORK What is a Program ? • A group of related projects managed together in order to gain efficiencies on cost, time, technology, etc. • A project may or may not be a part of a program, but a program will always have projects Advantages • Decreased Risks • Economies of Scale Examples
- 20. PROJECT MANAGEMENT FRAMEWORK What is a Portfolio ? • A set of projects, programs, and related work managed as a group to achieve a specific strategic business goal. • Not necessarily interdependent or directly related Advantages • Helps in decision making • Helps in selection and analysis of projects from a strategic and investment perspective Examples
- 21. PROJECT MANAGEMENT FRAMEWORK • What is project management ? “Project Management is the application of Knowledge, Skills, Tools and Techniques to project activities to meet project requirements. Project Management is accomplished through the appropriate application and integration of 47 logically grouped project management processes, which are categorized into 5 process groups – • Initiating, • Planning, • Executing, • Monitoring and Controlling, • Closing”
- 22. PROJECT MANAGEMENT FRAMEWORK • What is project management ? • Identifying requirements • Addressing needs, concerns & expectations • Managing communication • Managing stakeholders towards meeting requirements and creating project deliverables • Balancing project constraints: - • Scope • Quality • Schedule • Budget • Resources • Risks
- 23. PROJECT MANAGEMENT FRAMEWORK Why do organisations need Project Management? To deliver quality projects in time, within budget, to the satisfaction of the Customer
- 24. PROJECT MANAGEMENT FRAMEWORK Why do organisations need Project Management? • Completing projects in a cost effective and within the quickest possible time • Being more predictable • Resolving problems quickly. • Predicting and Mitigating Risks • Communicating and managing expectations with customers, team members and stakeholders more effectively • Building a quality product and getting it right the first time • Focus on metrics and fact-based decision making • Improved financial management. • Improved work environment. • To bring in a disciplined and structured methodology to deliver projects
- 25. PROJECT MANAGEMENT FRAMEWORK Inputs Tools & Techniques Outputs
- 26. PROJECT MANAGEMENT FRAMEWORK PROJECT CONSTRAINTS Project Constraints “A limiting factor that affects the execution of a project, program, portfolio or a process”.
- 27. PROJECT MANAGEMENT FRAMEWORK The triple constraint is the combination of the three most significant restrictions on any project: Scope, Schedule and Cost. The triple constraint is sometimes referred to as the project management triangle or the iron triangle.
- 28. PROJECT MANAGEMENT FRAMEWORK • Who is a Project Stakeholder ? • “Is an individual, group, or organization who may affect, be affected by, or perceive itself to be affected by a decision, activity, or outcome of a project.” • Internal or External • Directly or indirectly involved with the project • Whose interests may be impacted by the performance or completion of the project Examples
- 29. PROJECT MANAGEMENT FRAMEWORK Recap • Project – A temporary endeavor undertaken to create a unique product, service, or result • When does it end? When is it successful? • Operations - A function that performs an ongoing tasks. • Program - A group of related projects managed together • Portfolio - A set of projects, programs, and related work managed as a group to achieve a specific strategic business goal. • Project Management – The application of Knowledge, Skills, Tools and Techniques to meet project requirements • Project Constraints – Scope, Schedule, Cost, Risk, Resource, Quality, • Stakeholder - an individual, group, or organization who may affect, be affected by the outcome of the project ____________________
- 30. PRODUCT LIFE CYCLE PROJECT LIFE CYCLE
- 31. PROJECT MANAGEMENT FRAMEWORK “Product Lifecycle – the series of phases that represent the evolution of a Product from concept through delivery, growth, maturity to retirement”
- 32. PROJECT MANAGEMENT FRAMEWORK • Project Lifecycle - a series of phases that a project passes through from its initiation to its closure
- 33. PROJECT MANAGEMENT FRAMEWORK • The Project Life Cycle stages: • Initiating • Planning • Executing • Monitoring & Controlling • Closing Also known as Project Management Process Groups
- 34. PROJECT MANAGEMENT FRAMEWORK Initiating The processes performed to define a new project or a new phase of an existing project by obtaining authorization to start Examples / Outputs Planning The processes required to establish the scope of the project, refine the objectives and define the course of action required to attain those objectives. Examples / Outputs Executing The processes performed to complete the work defined in the plan Examples / Outputs
- 35. PROJECT MANAGEMENT FRAMEWORK Monitoring and Controlling The processes required to track, review and regulate the progress and performance of the project. Identify changes and initiate them Examples / Outputs Closing The processes performed to finalise all activities across all process groups to formally close the project or phase Examples / Outputs
- 38. PROJECT MANAGEMENT FRAMEWORK I P E M & C C 1 2 3 4 5 6 7
- 39. PROJECT MANAGEMENT FRAMEWORK 1 - Once the project has been approved, it moves from initiating into detailed planning, 2 - The project then moves into executing, where the team completes the work according to the what is detailed in the project management plan. 3 - While the work is being done, the work results are fed into monitoring & controlling to make sure the project is tracking to the baseline in the project management plan. 4 - If there are variances from the plan that requires changes but don’t affect the baselines, the resulting approved changes are fed back into executing & the execution of the project is adjusted to help fix the variance. 5 - Sometimes the variances require more significant changes that require adjustments to the baselines. If these changes are approved, there needs to be a planning efforts to identify the impact to the project baselines & revise the project management plan accordingly
- 40. PROJECT MANAGEMENT FRAMEWORK 6 – In rare instances, If the project deviates away from the baselines to an extent that it requires an analysis of whether the project should continue at all, it moves back into initiating for this decision. 7 – When the work is completed and scope is delivered, the project moves to closing stage. 8- The project could also move to the closing stage when it is terminated
- 41. PROJECT MANAGEMENT FRAMEWORK Recap • Product Lifecycle – the series of phases that represent the evolution of a Product from concept to retirement • Project Lifecycle - a series of phases that a project passes through from its initiation to its closure • The process groups sometimes interact and overlap within a project lifecycle • The lifecycle of a project is defined in the project management plan. The lifecycle of a product is not defined and continues till retirement
- 42. PROJECT MANAGEMENT FRAMEWORK Key Terminology • Vision – Idealistic View of the desired outcomes of the project • Objective – Something towards which the project work is to be directed, attainable or achieved • Scope – the Sum of all the products, services and results to be provided as result of the project • WBS – A hierarchical decomposition of the total scope of work to be completed by the project team to accomplish the project objectives • Milestone – A significant point or event in a project, program or portfolio • Baseline – The approved version of a work product that can be changed only through formal change control procedures, and is used as a basis for comparison • Triple Constraint - The combination of the three most significant restrictions on any project: scope, schedule and cost.
- 43. • Project Lifecycle - a series of phases that a project passes through from its initiation to its closure • Gantt Chart – a schedule bar chart where activities are listed on the vertical axis, dates on the horizontal axis and activity durations are shown as horizontal bars placed according to start and finish dates • Change Management – a formal process to manage change in a project • Risk Mitigation - a measure or set of measures taken by a project manager to reduce or eliminate the risks associated with a project
- 44. PROJECT MANAGEMENT FRAMEWORK End of Part I
- 45. PART 2 Project Manager Roles & Responsibilities and Competencies
- 46. PROJECT MANAGER ROLES, RESPONSIBILITIES & SKILLS • Planning • Define and clarify project scope • Develop the project plan • Develop the project schedule • Develop policies and procedures to support the achievement of the project objectives • Organizing • Determine the organizational structure of the project team • Identify roles and positions • Identify services to be provided by external companies • Staff project positions
- 47. PROJECT MANAGER ROLES, RESPONSIBILITIES & SKILLS • Leading • Setting team direction • Coordinating activities across different organizational functions • Motivating team members • Assigning work • Controlling • Measuring - Evaluating - Correcting • Defining project baselines • Tracking project progress • Project status reporting • Determining and taking corrective actions
- 48. PROJECT MANAGER ROLES, RESPONSIBILITIES & SKILLS • Communication Skills: • Written • Oral / Verbal • Non-verbal
- 49. PROJECT MANAGER ESSENTIAL SKILLS • Communications Methods: • Informal Written • Examples: E-mail, Memorandums • When is it Used Used frequently on the project to conveyinformation. • Formal Written: • Examples: Contracts, legal notices, Project documents • When is it used: Used infrequently, but essential for prominent documents that go into project records
- 50. PROJECT MANAGER ESSENTIAL SKILLS • Communications Methods: • Informal Verbal: • Examples: Meetings, discussions, phone calls, conversations. • When is it used: Used to communicate information quickly and efficiently • Formal Verbal: • Examples: Speeches, mass communications, presentations • When is it used: Used for events and gatherings, road shows, announcements
- 51. PROJECT MANAGER ESSENTIAL SKILLS • Organizational Skills: • Maintain project documentation, minutes of meetings, project reports etc. • Organize meetings, requirements sessions etc. • Coordinate specific sessions with stakeholders during the project life cycle • Coordinate with vendors on their visit, meetings etc. • Organize logistics, infrastructure etc.
- 52. PROJECT MANAGER ESSENTIAL SKILLS • Conflict Management Skills: • Conflicts arise often during projects. • Conflicts may arise between stakeholders due to differing or competing expectations • The Project Manager should adopt conflict management to resolve problems in the interest of achieving the common goals of the project • The Project Manager should be able to clearly analyze the problem, and implement the best course of action. • If unable to resolve the problem, escalation should be used
- 53. PROJECT MANAGER ESSENTIAL SKILLS Conflict Management Techniques • Withdraw / Avoid • Smooth / Accommodate • Compromise / Reconcile • Force / Direct • Collaborate / Problem Solve
- 54. PROJECT MANAGER ESSENTIAL SKILLS • Negotiation Skills: • The project manager should possess the ability to influence stakeholders to achieve the common goal of the project • Negotiation could take place in at all stages of the project and could involve scope of the project, the schedule, cost, milestones etc.
- 55. PROJECT MANAGER ESSENTIAL SKILLS Negotiation Techniques • Listen • Analyse the situation • Differentiate between wants and needs • Focus on interests and issues rather than positions • Ask high, but offer low. Be realistic • When you make a concession, act as though you are yielding something of value • Try for a “Win-Win” Situation
- 56. PROJECT MANAGER ESSENTIAL SKILLS • Leadership Skills: • Successful projects require strong leadership skills. The project manager should be adept in: - • Motivating people & inspiring them to commit. • Maintaining the self confidence and self-esteem of the team (Integrity) • Maintaining a constructive relationship with all stakeholders
- 57. End of Part II
- 58. QUIZ
- 59. • What are the 5 process groups in the project management framework? • What is a program • What is a portfolio • Progressive Elaboration is an ________________ method of increasing the level of detail in a PM plan • What are the six project constraints that a project manager balances? • The three key constraints are also called the _______________________ or the ____________________ I, P, E, M & C, C A group of related projects managed together A set of projects, programs, and related work managed as a group Iterative Scope, Schedule, Budget, Quality, Resources, Risks Triple Constraints Iron Triangle
- 60. • The stages of a product lifecycle - _______________,, _______________ & __________, _______________, ________________ • Broadly, the product lifecycle is measured on its Y axis through _________________, and the project lifecycle is measured through ______________________ • Provide few outputs of the following process groups • Initiating • Planning • Executing • Monitoring & Controlling • Closing • What is a baseline - Concept Delivery Growth Maturity Retirement Sales Cost and Resources Project Charter Project Plan Reports Issue Log Project Closure Document The approved version of a work product
- 61. • What is WBS • Types of Communication Skills • Types of Conflict Management techniques Work Breakdown Structure Oral, Written, Non Verbal Withdraw / Avoid Smooth / Accommodate Compromise / Reconcile Force / Direct Collaborate / Problem Solve
- 63. PROJECT MANAGEMENT ESSENTIALS Recap of Day 1 • Project – Operations – Program – Portfolio • What is Project Management? Why do organizations need Project Management? • Process Structure – Inputs > Tools and Techniques > Outputs • Project Constraints – Scope, Schedule, Cost, Risk, Resources, Quality • Who is a Project Stakeholder? • Product Lifecycle – Project Lifecycle • Project Lifecycle Stages – Initiating, Planning, Executing, Monitoring & Controlling, Closing • Project Manager – • Roles & Responsibilities – Planning, Organising, Leading and Controlling, • Competencies – Communication, Negotiation, Organisational,
- 65. PROJECT MANAGEMENT KNOWLEDGE AREAS
- 66. IV - PROJECT INTEGRATION MANAGEMENT
- 67. PROJECT INTEGRATION MANAGEMENT “Project Integration Management includes the processes and activities to identify, define, combine, unify and coordinate the various processes and project management activities within the project management process groups”
- 68. PROJECT INTEGRATION MANAGEMENT - OVERVIEW Summary • Unification, Consolidation, Communication, Integration across processes and activities throughout the project lifecycle • Conducting actions that are crucial to controlled project execution • Making choices about resource allocation, trade-offs among competing objectives and alternatives • Managing interdependencies across the project lifecycle
- 69. PROJECT INTEGRATION MANAGEMENT - OVERVIEW • 4.1 Develop Project Charter - the process of developing a document that formally authorizes a project or a phase and documenting initial requirements that satisfy the stakeholder’s needs and expectations. • • 4.2 Develop Project Management Plan - the process of documenting the actions necessary to define, prepare, integrate, and coordinate all subsidiary plans. • 4.3 Direct and Manage Project Work - the process of performing the work defined in the project management plan to achieve the project’s objectives. • 4.4 Monitor and Control Project Work - the process of tracking, reviewing, and regulating the progress to meet the performance objectives defined in the project management plan. • 4.5 Perform Integrated Change Control - the process of reviewing all change requests, approving changes, and managing changes to the deliverables, organizational process assets, project documents, and the project management plan. • 4.6 Close Project or Phase - the process of finalizing all activities across all of the Project Management Process Groups to formally complete the project or phase.
- 70. PROJECT INTEGRATION MANAGEMENT - OVERVIEW Key Terms to remember • Project Charter – A document that formally authorizes the existence of a project • Project Statement of Work – A narrative description of products, services or results to be delivered by a project • Business Case – A document that describes the necessary information to determine whether or not the project is worth the required investment • Project Management Plan – A document that describes how the project will be executed, monitored and controlled • Approved Change Requests – the requests reviewed and approved for implementation by the Change Control Board • Project Management Information System – Automated tool used during the monitoring and controlling process • Lessons Learned – Information on issues, risks, techniques etc., that may be applied to future projects
- 71. PROJECT INTEGRATION MANAGEMENT - OVERVIEW Process Process Group 4.1 Develop Project Charter Initiating 4.2 Develop Project Management Plan Planning 4.3 Direct and Manage Project Work Executing 4.4 Monitor and Control Project Work Monitoring and Controlling 4.5 Perform Integrated Change Control Monitoring and Controlling 4.6 Close Project or Phase Closing Integration Management Processes
- 72. PROJECT INTEGRATION MANAGEMENT - OVERVIEW
- 73. PROJECT INTEGRATION MANAGEMENT - OVERVIEW
- 74. PROJECT INTEGRATION MANAGEMENT - OVERVIEW QUIZ • The ________________is the document that formally authorizes the existence of a project • The Direct and Manage Project Work process integrates with the ________________Process Group • True or False - Lessons Learned is recorded throughout the lifecycle of the project, and documented / finalized in the closing stage • Approved Change Requests may alter the ______________ of the project Project Charter Executing True Baseline
- 75. V - PROJECT SCOPE MANAGEMENT
- 76. PROJECT SCOPE MANAGEMENT “Project Scope Management includes the processes required to ensure that the project includes all the work required, and only the work required , to complete the project successfully. Managing the project scope is primarily concerned with defining and controlling what is and what is not included in the project.”
- 77. PROJECT SCOPE MANAGEMENT - OVERVIEW Summary • Work performed to deliver a product, service or result • Project scope is sometimes viewed as product scope • Defining and controlling what is and what is not included Project Scope Management needs to be well integrated with other knowledge areas so that the work will result in delivery of the project scope
- 78. PROJECT SCOPE MANAGEMENT - OVERVIEW • 5.1 Plan Scope Management - The process of creating a scope management plan that documents how the project scope will be defined , validated and controlled • 5.2 Collect Requirements - The process of defining and documenting stakeholders’ needs to meet the project objectives • 5.3 Define Scope -The process of developing a detailed description of the project and product • 5.4 Create WBS - The process of subdividing project deliverables and project work into smaller, more manageable components • 5.5 Validate Scope - The process of formalizing acceptance of the completed project deliverables • 5.6 Control Scope - The process of monitoring the status of the project and product scope and managing changes to the scope baseline
- 79. PROJECT SCOPE MANAGEMENT - OVERVIEW Key Terms to remember • Product Scope – The features/functions that characterize a product • Project Scope – The work performed to deliver a product, service or result with specified features or functions • Requirements Management Plan – A component of the project management plan that describes how requirements will be analysed, documented or analysed. • Interview – A formal or informal approach to elicit information from stakeholders directly • Prototype – A method of obtaining feedback on requirements by providing a working model of the product before actually building it • Benchmarking – Comparing actual or planned practices to identify best practices, generate ideas for improvement, and provide a basis for measuring performance. • Requirements Traceability Matrix – A grid that links requirements from their origin to the deliverables that satisfy them
- 80. PROJECT SCOPE MANAGEMENT - OVERVIEW Process Process Group 5.1 Plan Scope Management Planning 5.2 Collect Requirements Planning 5.3 Define Scope Planning 5.4 Create WBS Planning 5.5 Validate Scope Monitoring and Controlling 5.6 Control Scope Monitoring and Controlling Scope Management Processes
- 81. PROJECT SCOPE MANAGEMENT - OVERVIEW
- 82. PROJECT SCOPE MANAGEMENT - OVERVIEW
- 83. PROJECT SCOPE MANAGEMENT - OVERVIEW Quiz • A working model of the product before actually building it is called a ___________________ • A Work Breakdown Structure (WBS) is created during the __________________ Stage • Project Scope Management includes the processes required to ensure that the project includes all the work required, and______________________, to complete the project successfully. only the work required Prototype Planning
- 84. VI – PROJECT TIME MANAGEMENT
- 85. PROJECT TIME MANAGEMENT “Project Time Management includes the processes required to manage the timely completion of the project.”
- 86. PROJECT TIME MANAGEMENT Summary • Project Time management refers to the ability to plan and finish the project in a timely manner. • Includes defining activities, estimating the durations of activities, scheduling activities and ensuring adherence to the schedule. • A combination of expert judgment and specific tools like precedence diagramming, network diagramming etc. are used
- 87. PROJECT TIME MANAGEMENT - OVERVIEW • 6.1 Plan schedule management - The process of establishing the policies, procedures and documentation for planning, developing, managing, executing and controlling the project schedule • 6.2 Define Activities - The process of identifying the specific actions to be performed to produce the project deliverables. • 6.3 Sequence Activities - The process of identifying and documenting relationships among the project activities. • 6.4 Estimate Activity Resources - The process of estimating the type and quantities of material, people, equipment, or supplies required to perform each activity. • 6.5 Estimate Activity Durations - The process of approximating the number of work periods needed to complete individual activities with estimated resources. Contd.
- 88. PROJECT TIME MANAGEMENT - OVERVIEW • 6.6 Develop Schedule - The process of analyzing activity sequences, durations, resource requirements, and schedule constraints to create the project schedule. • 6.7 Control Schedule - The process of monitoring the status of the project to update project progress and managing changes to the schedule baseline.
- 89. PROJECT TIME MANAGEMENT - OVERVIEW Key Terms to remember • Project Calendar – A calendar that identifies working days and shifts available for scheduled project activities • Schedule Baseline – The approved version of a schedule model that can be changed only through approved change management procedures • Crashing - A technique used to shorten the schedule duration by adding resources • Fast Tracking – A technique where sequential activities are done in parallel to shorten the schedule duration • Gantt Charts – Bar Charts which represent schedule information where activities are shown in the vertical axis, dates are shown in the horizontal axis, and activity durations are shown as horizontal bars • Critical path - The sequence of project activities that add up to the longest overall duration. This determines the shortest time possible to complete the project. • FS – Finish to Start, SS – Start to Start, FF – Finish to Finish
- 90. PROJECT TIME MANAGEMENT - OVERVIEW Process Process Group 6.1 Plan schedule management Planning 6.2 Define Activities Planning 6.2 Sequence Activities Planning 6.4 Estimate Activity Resources Planning 6.5 Estimate Activity Durations Planning 6.6 Develop Schedule Planning 6.7 Control Schedule Monitoring and Controlling Time Management Processes
- 91. PROJECT TIME MANAGEMENT - OVERVIEW
- 92. PROJECT TIME MANAGEMENT - OVERVIEW
- 93. PROJECT TIME MANAGEMENT - OVERVIEW Quiz • _________________ & _________________ are techniques used to shorten project duration • Develop Schedule is done during the ______________________ Stage • True or False - FS (Finish to Start) implies that an activity cannot start unless the preceding activity has finished – Crashing Fast Tracking Planning True
- 94. VII - PROJECT COST MANAGEMENT
- 95. PROJECT COST MANAGEMENT - OVERVIEW Project Cost Management includes the processes involved in planning, estimating, budgeting, financing, funding, managing, and controlling costs so that the project can be completed within the approved budget
- 96. PROJECT COST MANAGEMENT - OVERVIEW Summary • Project Cost management involves knowing the financial resources required for a project and creating an appropriate budget. • It requires that the project manager adheres to the budget • Cost management closely interacts with time management • Estimating is the key tool used for creating budgets • The Project Manager tracks the expended costs against budgets and take necessary decisions
- 97. PROJECT COST MANAGEMENT - OVERVIEW • 7.1 Plan Cost Management - The process that establishes the policies, procedures , and documentation for planning , managing , expending , and controlling project costs • 7.2 Estimate cost Management - The process of developing an approximation of the monetary resources needed to complete project activities. The key benefit of this process is that it determines the amount of cost required to complete project work. • 7.3 Determine Budget - The process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline. This baseline includes all authorized budgets, but excludes management reserves. • 7.4 Control Costs - The process of monitoring the status of the project to update the project budget and managing changes to the cost baseline
- 98. PROJECT COST MANAGEMENT - OVERVIEW Key Terms to remember • Direct Cost - Any cost that is identified specifically with a particular final cost objective. • Indirect Cost - Any cost not directly identified with a single, final cost objective (more than one project) • Fixed Cost - Periodic charge that does not vary with business volume • Variable Cost - Cost that fluctuates based on the business volume • Opportunity Cost: When there is a decision to be made between two opportunities, the opportunity cost is the value / money forgone for the not doing the project • Sunk Cost - Cost already incurred which cannot be recovered regardless of future events • Planned Value – The authorized budget assigned to schedule work • Earned Value - The measure of work expressed in terms of the budget authorized for that work • Actual Cost – The amount of money expended in the project as on date • Cost of Quality - The costs associated with not creating a quality product.
- 99. PROJECT COST MANAGEMENT - OVERVIEW Process Process Group 7.1 Plan Cost Management Planning 7.2 Estimate Costs Planning 7.3 Determine Budget Planning 7.4 Control Costs Monitoring and Controlling Cost Management Processes
- 100. PROJECT COST MANAGEMENT - OVERVIEW
- 101. PROJECT COST MANAGEMENT - OVERVIEW Quiz • True / False - Sunk Costs are costs that are already incurred and can easily be recovered at any stage • Determine Budget falls under the ____________________ process group • When a project activity needs to be redone, the _________________ increases. False Planning Cost of Quality
- 103. PROJECT QUALITY MANAGEMENT - OVERVIEW Project Quality Management Processes and activities of the performing organization that determine quality policies, objectives, and responsibilities so that the project will satisfy the needs for which it was undertaken
- 104. PROJECT QUALITY MANAGEMENT - OVERVIEW Summary • Project Quality management has two goals: • Ensuring a quality end-product. • Ensuring that all of the processes involved during the project lifecycle are carried out efficiently. • By managing quality, project managers can ensure a successful project and increased customer satisfaction. • Quality assurance – is proactive and includes planned and systematic activities implemented in a quality system to achieve quality. It occurs before a problem is identified, • Quality Control – includes problem identification, problem analysis and problem correction. It is reactionary and occurs after a problem has been identified.
- 105. PROJECT QUALITY MANAGEMENT - OVERVIEW • 8.1 Plan Quality Management - Identifying quality requirements and/or standards for the project and its deliverables, and documenting how the project will demonstrate compliance with quality requirements • 8.2 Perform Quality Assurance – The process of auditing quality requirements and the results from quality control measurements to ensure appropriate quality standards and operational definitions are used. • 8.3 Control Quality – The process of monitoring and recording results of executing the quality activities to assess performance and recommend necessary changes.
- 106. PROJECT QUALITY MANAGEMENT - OVERVIEW Key Terms to remember • Quality - is “the degree to which a set of inherent characteristics fulfil requirements” • Quality Assurance - activities that boost confidence surrounding quality • Quality Control - involves operational techniques meant to ensure quality standards. • Quality Management Plan is a component of the Project Management Plan that describes how the quality policies will be implemented • Grade - is a category or rank given to entities having the same functional use but different technical characteristics • Precision – is a measure of exactness • Continuous Improvement – The PDCA (Plan-Do-Check-Act) cycle is the basis for quality improvement • Cost of Quality - The expense of all the activities within a project to ensure quality, incurred throughout the project lifecycle • Cost-Benefit Analysis - considers the cost benefit trade offs, the benefit of quality activities must outweigh the costs
- 107. PROJECT QUALITY MANAGEMENT - OVERVIEW Quality Management Processes Process Process Group 8.1 Plan Quality Management Planning 8.2 Perform Quality Assurance Executing 8.3 Control Quality Monitoring and Controlling
- 108. PROJECT QUALITY MANAGEMENT - OVERVIEW
- 109. PROJECT QUALITY MANAGEMENT - OVERVIEW Quiz • Quality Assurance is ___________________ and Quality Control is _________________ • Perform Quality Assurance forms part of the ______________ process group • The Quality Management Plan must address • A. Quality Control for the project. • B. Quality Assurance for the project. • C. Continuous Process Improvement for the project . • D. All of the above. • E. None of the above Proactive Reactive Executing D
- 110. XI - PROJECT HUMAN RESOURCE MANAGEMENT
- 111. PROJECT HUMAN RESOURCE MANAGEMENT - OVERVIEW Project Human Resource Management includes the processes that organise, manage and lead the project team
- 112. PROJECT HUMAN RESOURCE MANAGEMENT - OVERVIEW Summary • The project team is comprised of people with identified skillset, assigned with specific roles and responsibilities, reporting relationships etc. • They may be full time or part time assigned to the project • Acquiring the project team and developing / managing them effectively • Tracking performance, providing feedback, resolving issues, managing changes
- 113. PROJECT HUMAN RESOURCE MANAGEMENT - OVERVIEW • 9.1 Plan Human Resource Management - The process of identifying and documenting project roles, responsibilities, required skills, reporting relationships, and creating a staffing management plan. • 9.2 Acquire Project Team - The process of confirming human resource availability and obtaining the team necessary to complete project activities. • 9.3 Develop Project Team - The process of improving competencies, team member interaction, and overall team environment to enhance project performance. • 9.4 Manage Project Team - Team is the process of tracking team member performance, providing feedback, resolving issues, and managing team changes to optimize project performance.
- 114. PROJECT HUMAN RESOURCE MANAGEMENT - OVERVIEW Key terms to remember • Roles and Responsibilities details role, authority, responsibility and competency for the resource requirement of the project • Project Organization Chart is a graphic display of project team members and their reporting relationships. It can be formal or informal, highly detailed or broadly framed, based on the needs of the project. • Staffing Management Plan details how and when the project will be staffed, released, training needs of resources, recognition & rewards, compliance and resource calendar. • Pre-assignment – assigning project team members in advance • Negotiation – with functional managers and other project managers if a resource with specific skillset is required for the project • Conflict Resolution – Managing conflicts using certain techniques to achieve the project goals • RACI Matrix (Responsible-Accountable-Consult-Inform) - describes the participation by various roles in completing tasks or deliverables for a project or business process • Forming – Storming – Norming – Performing – (Adjourning)
- 115. PROJECT HUMAN RESOURCE MANAGEMENT - OVERVIEW Process Group Process 9.1 Plan Human Resource Management Planning 9.2 Acquire Project Team Executing 9.3 Develop Project Team Executing 9.4 Manage Project Team Executing
- 116. PROJECT HUMAN RESOURCE MANAGEMENT - OVERVIEW
- 117. PROJECT HUMAN RESOURCE MANAGEMENT - OVERVIEW Quiz • RACI stands for ____________, _____________, ________________, _________________ • Avoid, Accommodate, Reconcile, Direct & Problem Solve are all techniques of Negotiation / Conflict Resolution • True / False - Disagreements amongst the project team mainly occur during the Forming stage • ___________________ is a component of the Project Management Plan that details how and when the project will be staffed, released, training needs of resources, recognition & rewards, compliance and resource calendar Responsible Accountable Consult Inform ----------------- False. They occur during the Storming Stage Staffing Management Plan
- 118. X – PROJECT COMMUNICATIONS MANAGEMENT
- 119. PROJECT COMMUNICATIONS MANAGEMENT - OVERVIEW “Project Communications Management includes the processes that are required to ensure timely and appropriate Planning, Collection, Creation, Distribution, Storage, Retrieval, Management, Control, Monitoring and the ultimate disposition of project information”
- 120. PROJECT COMMUNICATIONS MANAGEMENT - OVERVIEW Summary • Project Managers spend most of their time communicating with internal and external stakeholders • Effective communication creates a bridge between diverse stakeholders with different • Cultural • Organisational • Expertise • Perspective and interests which impact or have an influence on the outcome of the project • Entails • Defining the approach to communicate effectively and efficiently • Enabling an efficient flow of communication • Controlling the flow of communication
- 121. PROJECT COMMUNICATIONS MANAGEMENT - OVERVIEW • 10.1 Plan Communications Management - The process of developing an appropriate approach and plan for project communications based on stakeholder's information needs and requirements, and available organizational assets. • 10.2 Manage Communications - The process of creating, collecting, distributing, storing, retrieving, and the ultimate disposition of project information in accordance to the communications management plan. • 10.3 Control Communications - The process of monitoring and controlling communications throughout the entire project life cycle to ensure the information needs of the project stakeholders are met.
- 122. PROJECT COMMUNICATIONS MANAGEMENT - OVERVIEW Key terms to remember • Interactive Communication – multi directional exchange of communication. E.g. Meetings, Phone calls, video conferencing etc. MOST effective • Push Communication – Distribution of communication to an intended set of recipients. E.g. Letters, Memos, Emails, PRs etc. MODERATELY effective • Pull Communication – Distribution of Communication to very large audiences providing them the discretion to access the content. E.g Intranet Portals, eLearning, knowledge repositories etc. LEAST effective. • Communication Types – Oral, Written, Non-verbal, informal written, formal written, informal verbal, formal verbal • Performance Reporting – The act of collecting and distributing performance information, including status reports, progress measurements, and forecasts • Issue Log – Systemised medium to record issues faced throughout the lifecycle of the project and beyond • Information Management Systems – a standard set of tools for the Project Manager to capture, store and distribute information to stakeholders on costs, schedule and performance
- 123. PROJECT COMMUNICATIONS MANAGEMENT - OVERVIEW Process Group Process 10.1 Plan Communications Management Planning 10.2 Manage Communications Executing 10.3 Control Communications Monitoring and Controlling Communication Processes
- 124. PROJECT COMMUNICATIONS MANAGEMENT - OVERVIEW
- 125. PROJECT COMMUNICATIONS MANAGEMENT - OVERVIEW Quiz • Phone Call is a ________________ type of communication • True / False - The Communications Management Plan describes who can communicate with different types of stakeholders during the project • Intranet Portals and eLearning are examples of __________ Communication • True / False - Email is an example of Multidirectional Communication Informal Verbal True Pull False
- 126. XI - PROJECT RISK MANAGEMENT
- 127. PROJECT RISK MANAGEMENT - OVERVIEW “Project Risk Management includes the processes of conducting risk management planning, identification, analysis, response planning, and controlling risk on a project”
- 128. PROJECT RISK MANAGEMENT - OVERVIEW Summary • Involves the identification and documentation of risks throughout the project lifecycle • Key objective is to increase the likelihood of positive events and decrease the likelihood of negative ones • It ensures that the degree, type, and visibility of risk management are commensurate with both the risks and the importance of the project to the organization • Its important to communicate with and obtain agreement and support from all stakeholders • Helps to reduce uncertainty and focus on high priority risks • Negative Risk Management Strategies include: - • Acceptance – Don’t take any action unless the risk occurs • Avoidance – Don’t perform the task that may lead to a risk • Transfer – Shift the impact of the risk to a third party • Mitigate – Mitigate risks through specific actions like diversification, addition of resources etc.
- 129. PROJECT RISK MANAGEMENT - OVERVIEW • 11.1 Plan Risk Management - The process of defining how to conduct risk management activities or a project. • 11.2 Identify Risks - The process of determining which risks may affect the project and documenting their characteristics • 11.3 Perform Qualitative Risk Analysis - The process of prioritizing risks for further analysis or action by assessing and combining their probability of occurrence and impact. • 11.4 Perform Quantitative Risk Analysis - The process of numerically analyzing the effect of identified risks on overall project objectives • 11.5 Plan Risk Responses - The process of developing options and actions to enhance opportunities and to reduce threats to project objectives. • 11.6 Control Risks - The process of implementing risk response plans, tracking identified risks, monitoring residual risks, identifying new risks, and evaluating risk process effectiveness throughout the project
- 130. PROJECT RISK MANAGEMENT - OVERVIEW Key terms to remember • Risk Appetite - The degree of uncertainty an entity is willing to take on in anticipation of a reward. • Risk Tolerance - The degree, amount, or volume of risk that an organization or individual will withstand. • Risk Threshold - The level of uncertainty or at which a stakeholder may have a specific interest. Below that risk threshold, the organization will accept the risk. Above that risk threshold, the organization will not tolerate the risk. • Risk Register – A document where the results of risk analysis and risk response planning are recorded • Risk Mitigation – A risk response strategy to reduce the probability or impact of a risk • Risk Acceptance – A risk response strategy to acknowledge the risk and not take any action unless it occurs • Positive and Negative Risks – Opportunities and Threats • Risk Management Plan – A component of the Project Management Plan that describes how risk management activities will be structured and performed. • Probability and Impact Matrix – A grid to map the probability of each risk occurrence and its impact on the project objective if that risk occurs. • Diagramming Techniques – Cause and Effect Diagrams, Process Flow charts, Influence Diagrams
- 131. PROJECT RISK MANAGEMENT - OVERVIEW Process Group Process 11.1 Plan Risk Management Planning 11.2 Identify Risks Planning 11.3 Perform Qualitative Risk Analysis Planning 11.4 Perform Quantitative Risk Analysis Planning 11.5 Plan Risk Responses Planning 11.6 Control Risks Monitoring and Controlling Risk Management Processes
- 132. PROJECT RISK MANAGEMENT - OVERVIEW
- 133. PROJECT RISK MANAGEMENT - OVERVIEW Quiz • Name of the Document where the results of risk analysis and risk response planning are recorded - ______________________ • True / False - Positive Risks are welcome as they are opportunities, as long as the organization has the tolerance for it - • A strategy to completely eliminate the task that may lead to a risk occurrence - __________________ • Perform Qualitative Risk Analysis falls under the __________________ process group and Perform Quantitative Risk Analysis falls under the _______________ process group Risk Register True Avoidance Planning Planning
- 134. PROJECT RISK MANAGEMENT - OVERVIEW
- 135. XII - PROJECT PROCUREMENT MANAGEMENT
- 136. PROJECT PROCUREMENT MANAGEMENT - OVERVIEW Project Procurement Management includes the processes necessary to purchase or acquire products, services, or results needed from outside the project team. Project Procurement Management includes the contract management and change control processes required to develop and administer contracts or purchase orders issued by authorized project team members.
- 137. PROJECT PROCUREMENT MANAGEMENT - OVERVIEW Summary • Identify whether outside support is needed, and if so, what, how and when to acquire it • Alignment of internal and external stakeholder expectations through established agreements. • Buyers and sellers performance meets the procurement requirements according to the terms in the contract / agreement • The activities involved in the procurement processes form the lifecycle of the agreement • Some risks may be shared or transferred to a seller
- 138. PROJECT PROCUREMENT MANAGEMENT - OVERVIEW • 12.1 Plan Procurement Management - The process of documenting project procurement decisions, specifying the approach, and identifying potential sellers. • 12.2 Conduct Procurements - The process of obtaining seller responses, selecting a seller, and awarding a contract. • 12.3 Control Procurements - The process of managing procurement relationships, monitoring contract performance, and making changes and corrections to contracts as appropriate. • 12.4 Close Procurements - The process of completing each procurement.
- 139. PROJECT PROCUREMENT MANAGEMENT - OVERVIEW Key terms to remember • Seller – Contractor, Sub-Contractor, Vendor, Service Provider, Supplier • Buyer – Client, Customer, Acquiring organization, service requestor, purchaser • RFI – Request for Information • RFP – Request for Proposal, Tender, bid • Fixed Price Contracts – Setting a total fixed price for a product, service or result to be provided • Firm Fixed Price Contracts, Fixed Price Incentive Fee Contracts, Fixed Price with Economic Price Adjustment Contracts • Cost Reimbursable Contracts – Payments, Cost Reimbursements to the seller for all legitimate costs incurred for completed work, plus a fee • Time and Material Contracts – a hybrid between fixed price and cost reimbursable contracts. Usually open ended and used for staff augmentation, hiring of experts etc. • Make or Buy Analysis – A technique used to determine whether a particular work can be accomplished by the project team or needs to be purchased from outside sources.
- 140. PROJECT PROCUREMENT MANAGEMENT - OVERVIEW Process Group Process 12.1 Plan Procurement Management Planning 12.2 Conduct Procurements Executing 12.3 Control Procurements Monitoring and Controlling 12.4 Close Procurements Closing Procurement Processes
- 141. PROJECT PROCUREMENT MANAGEMENT - OVERVIEW
- 142. XIII - PROJECT STAKEHOLDER MANAGEMENT
- 143. PROJECT STAKEHOLDER MANAGEMENT - OVERVIEW Project Stakeholder Management includes the processes required to identify the people, groups, or organizations that could impact or be impacted by the project, to analyze stakeholder expectations and their impact on the project, and to develop appropriate management strategies for effectively engaging stakeholders in project decisions and execution. Stakeholder management also focuses on continuous communication with stakeholders to understand their needs and expectations, addressing issues as they occur, managing conflicting interests and fostering appropriate stakeholder engagement in project decisions and activities. Stakeholder satisfaction should be managed as a key project objective.
- 144. PROJECT STAKEHOLDER MANAGEMENT - OVERVIEW Summary • The Project Manager identifies the appropriate focus for each stakeholder or group of stakeholders • Provides a clear, actionable plan to interact with project stakeholders to support the project's interests • Allows the project manager to increase support and minimize resistance from stakeholders, significantly increasing the chances to achieve project success. • Maintain or increases the efficiency and effectiveness of stakeholder engagement activities as the project evolves and its environment changes.
- 145. PROJECT STAKEHOLDER MANAGEMENT - OVERVIEW • 13.1 Identify Stakeholders - The process of identifying the people, groups, or organizations that could impact or be impacted by a decision, activity, or outcome of the project, analyzing and documenting relevant information regarding their interests, involvement, interdependencies, influence, and potential impact on project success. • 13.2 Plan Stakeholder Management - The process of developing appropriate management strategies to effectively engage stakeholders throughout the project life cycle, based on the analysis of their needs, interests, and potential impact on project success. • 13.3 Manage Stakeholder Engagement - The process of communicating and working with stakeholders to meet their needs/expectations, address issues as they occur, and foster appropriate stakeholder engagement in project activities throughout the project life cycle. • 13.4 Control Stakeholder Engagement - The process of monitoring overall project stakeholder relationships and adjusting strategies and plans for engaging stakeholders.
- 146. PROJECT STAKEHOLDER MANAGEMENT - OVERVIEW Key Terms to remember • Stakeholder - An individual, group, or organization who may affect, be affected by, or perceive itself to be affected by a decision, activity, or outcome of a project. • Stakeholder Analysis – A technique of systematically gathering and analyzing qualitative and quantitative information to determine whose interests should be taken into account . • Power / Interest Grid – Grouping the stakeholders based on their level of authority (Power) and their level of concern (Interest) • Stakeholder Register – A document containing stakeholder information needed to plan appropriate ways to engage stakeholders • Stakeholder Engagement Levels: - Unaware, Resistant, Neutral, Supportive, Leading • Stakeholder Management Plan - A component of the Project Management Plan that describes management strategies to appropriately engage stakeholders • Interpersonal skills examples – Building Trust, Resolving Conflicts, Active Listening
- 147. PROJECT STAKEHOLDER MANAGEMENT - OVERVIEW
- 148. PROJECT STAKEHOLDER MANAGEMENT - OVERVIEW
- 151. PROJECT MANAGEMENT ESSENTIALS Recap of Day 2 • Project Management Knowledge Areas • Project Integration Management • Project Scope Management • Project Time Management • Project Cost Management • Project Quality Management • Project Human Resource Management • Project Communications Management • Project Risk Management • Project Procurement Management • Project Stakeholder Management.
- 152. ORGANISATIONAL INFLUENCES AND THE PROJECT LIFECYCLEOverview
- 153. PROJECT MANAGEMENT ESSENTIALS • Day 3 Agenda • Part I • Organizational Influences on Project Management • Project stakeholders and Governance • Project team • Project Life cycles • Part II • Details on PMP, CAPM exams • Test
- 154. PROJECT MANAGEMENT ESSENTIALS Organisational influences Organisational Structure • The organizational culture, style and structure influences how projects are managed • Code of Conduct • Risk Appetite • Regulations and Policies • Leadership styles & hierarchies • Working Hours • The Project Managers authority is guided by the above factors • The organization type will influence the project greatly Projectized Strong Matrix Balanced Matrix Weak Matrix Functional Project Manager Authority
- 163. ORGANIZATIONAL PROCESS ASSETS ENTERPRISE ENVIRONMENTAL FACTORS
- 164. ORGANIZATIONAL PROCESS ASSETS • They include • plans, • processes, • procedures, • lessons learned • knowledge bases etc. that can be used to manage or govern the project Key to most planning processes • Examples • Initiating and Planning – Guidelines, policies (organizational, product, project), IM, checklists etc. • Monitoring & Controlling – Change Control Procedures, Financial procedures, Issue logging and resolution, Risk Control procedures etc. • Closing – Project closure guidelines, sign offs, lessons learned, audit reports etc.
- 165. ENTERPRISE ENVIRONMENTAL FACTORS • Conditions that influence, control or guide the project • Inputs to most planning processes • Examples: - • Organisational Culture, structure and governance • Regulatory / Government Norms • Infrastructure • Existing Human Resources (skills, discipline, knowledge etc) • Authority Matrices • Political and Economic climate • Project Management Information Systems
- 166. PROJECT STAKEHOLDERS AND GOVERNANCE
- 167. PROJECT STAKEHOLDERS
- 168. PROJECT STAKEHOLDERS • Stakeholders include but are not limited to: - • Sponsors • Project Team • Customers or Users • Sellers • Business Partners / Advisors / Consultants • Organisations • Functional Managers • Financial Institutions, Investors • Regulators etc.
- 169. PROJECT GOVERNANCE • An oversight function aligned with the organisations processes • Provides a framework for • decision making, • roles and responsibilities • Accountabilities • Escalations etc. • Encompasses the project lifecycle • Provides the tools, structure, processes, authorities and tools to manage the project • Project Governance is separate from corporate governance
- 170. PROJECT LIFECYCLE
- 171. PREDICTIVE LIFECYCLE
- 172. ITERATIVE AND INCREMENTAL LIFECYCLE
- 173. End of Part I
- 174. PMP • Prerequisites • Secondary degree (high school diploma, associate’s degree or the global equivalent) • 7,500 hours leading and directing projects • 35 hours of project management education • OR • Four-year degree • 4,500 hours leading and directing projects • 35 hours of project management education • Price • Member: US$405.00 • Non-member: US$555.00 • Exam • The certification exam has 200 multiple-choice questions, and you have four hours to complete it. • To maintain your PMP, you must earn 60 professional development units (PDUs) every three years.
- 175. CAPM • Prerequisites • Secondary degree (high school diploma, associate’s degree or the global equivalent) • 1,500 hours of project experience • OR • 23 hours of project management education completed by the time you sit for the exam • Price • Member: US$225.00 • Non-member: US$300.00 • Exam • The certification exam has 150 multiple choice questions, and you have three hours to complete it. • To maintain your CAPM, you must retake the exam every five years.
- 176. • Other Certifications • PgMP – Program Management Professional • PMI – ACP – Agile Certified Professional • PMI – PBA – Project Business Analysis
- 177. TEST