Prepared By: Rajesh Thallam Prepared On: Dec 14th, 2012

Version No.: 1.0

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Version # Changed By 1.0 Rajesh Thallam

jesh Thallam ec 14th, 2012

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Change Details Initial version There are multiple spelling mistakes in the notes. This will be fixed in next version of notes

READ QUESTIONS CAREFULLY! T

ONS & OPTIONS LY! TWICE!!

HOW TO USE THIS NOTES? 1. Before using this notes, please read PMBOK or Rita's or any book to get fair idea 2. Before attempting final exam or any mock test, you can use this test for revision 3. In Table of Contents tab, on the left, you will see PMBOK Pg43 which is the main area of this notes. If y that process which explains KEY CONCEPTS, INPUTS, TOOLS & TECHNIQUES and OUTPUTS 4. On each process, there is a HOME button which will bring you back to this page 5. ITTO Consolidated sheet represents ITTO's of all processes in Excel format. This will help you to analyze use variance analysis or which processes have output as Work Performance Measurements etc. 6. I have referred couple of websites to clear my doubts on confused topics whoch are listed in separate t 7. Following topics are "not" covered * Process management framework and types of organization * Ethics and responsibility * Interpersonal Skills (Appendix G in PMBOK) 8. Suggested to read PMBOK or this notes Process Group wise in sequence as well as Knowledge Area wi SOURCES 1. PMBOK 4th Ed 2. Rita - PMP Exam Prep 3. Andy Crowe - How to pass PMP in First Try 4. Kim Heldman - Book in PMI reads 5. Christopher Scordo - Mock Tests 6. Some topics are copied from Rajesh Nair Notes on PMZilla.com

k to get fair idea test for revision hich is the main area of this notes. If you click on any process it will take you to details on HNIQUES and OUTPUTS ack to this page el format. This will help you to analyze. If you want to ask question like which processes ormance Measurements etc. ed topics whoch are listed in separate tab.

equence as well as Knowledge Area wise in sequence

Process Group (5)

Initiating (2)
Knowledge Area (9)

Planning (20) .1 Develop Project Management Plan

Project Integration Management (6)

.1 Develop Project Charter

Project Scope Management (5)

.2 Collect Requirements .3 Define Scope .4 Create WBS .5 Define Activities .6 Sequence Activities .7 Estimate Activity Resources .8 Estimate Activity Durations .9 Develop Schedule .10 Estimate Costs .11 Determine Budget .12 Plan Quality .13 Develop Human Resource Plan

Project Time Management (6)

Project Cost Management (3) Project Quality Management (3) Project Human Resource Management (4) Project Communication Management (5)

.2 Identify Stakeholders

.14 Plan communications

Project Risk Management (6)

.15 Plan Risk Management .16 Identify Risks .17 Plan Qualitative Risk Analysis .18 Plan Quanitative Risk Analysis .19 Plan Risk Responses

Project Procurement Management (4)

.20 Plan Procurements

Executing (8) .1 Direct & Manage Project Execution

Monitoring & Controlling (10) .1 Monitor & Control Project Work .2 Perform Integrated Change Control .3 Verify Scope .4 Control Scope

Closing (2) .1 Close Project or Phase

.5 Control Schedule

.6 Control Costs .2 Perform Quality Assurance .3 Acquire Project Team .4 Develop Project Team .5 Manage Project Team .6 Distribute Information .7 Manage Stakeholders Expectations .7 Perform Quality Control

.8 Report Performance

.9 Monitor & Control Risks

.8 Conduct procurements

.10 Administer Procurements

.2 Close procurements

Important
Project & Process framework There is not much detail about this topic in this notes. Please refer Rita's or PMBOK. Will update shortly Not covered Excel formatted ITTO for easy navigation

Professional Responsibility
ITTO Consolidated

Topics Usually Confused

Mock Up Exam Details

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Project Management Essentials Portfolios, programs, projects and sub-projects

Project - an endeavour to deliver a unique product or service and are meant to meet strategic goals - temporary duration - undergoes progressive eloboration - driven by market demands, customer requests, org requirements or legal changes Operations/Ongoing work - Work that is repetitive and does not have a clearly delineated beginning and end. This type of work supports ongoing activity and is usually managed within organizational functions. Its purpose is to enable an organization to continue operating - repetitive, required for thrive in business smoothly e.g. writing expense reports every month, preparing metrics reports, performance appraisals If youre building cars on an assembly line, thats a process. If youre designing and building a prototype of a specific car model, thats a project Responsibility of project manager - to meet the objects - update the project plans with changes - balance changing demands of project, budgets, scope, schedule and quality - balance stakeholders expectations Stakeholder categories Sponsor Typically, a senior executive of the organization or a management group for which a project is carried out. The sponsor provides financial resources and is the primary risk taker within the project.

Customer The person or organization that purchases or uses the product or service that results from a project.

Organizational influencers Organizational culture The unique nuances of how business is conducted and ways that the organization operates. The shared values, norms, beliefs, expectations, policies, procedures, and views of authority that members of an organization have all make up the organizational culture. How employees' view authority impacts communication between the team and the project manager.

Functional Organizational structure - org is grouped by areas of specialization within different functional areas. Authority is with functional managers. - Advantages - defined roles, simple reporting structures, cohesive teams - Disadvantages - lack of communication and colloboration between functions, slow decision making due to sharing of mgmt role b/w project mngrs and functional mgrs, high level of bureaucracy, competetion of resources, limited project scope Stage 1. Starting the project 2. Organizing and preparing 3. Carrying out the work 4. Closing the project Product life cycle stages 1.product inception and development 2.product introduction 3.product growth 4.product maturity 5.product decline Cost and staffing Low Increases Peaks Decreases Project Life Cycle Uncertainty Cost of changes High Low Decreases Increases Decreases Increases Low High Product Life Cycle

Project Management Essentials Portfolios, programs, projects and sub-projects Portfolio A collection of lower-level portfolios, programs, projects, and ongoing work. The work is grouped to facilitate centralized and effective management, aimed at meeting strategic objectives. The projects and other work types in the portfolio may not be directly related. Program A group of related projects and operational work. It is managed in a coordinated way to achieve benefits and a level of control not possible when managing the work components individually.

Competencies Knowledge based comptency - knowledge on PM areas like integration, procurement, cost, scope, time, quality, risk, human resources, communication Performance based competency - comes with experience and set of skills to manage project Personality based competency - leadership, ability to get things done, negotiation and persuasion skills Stakeholder categories Vendors External organizations that supply goods or services required by a project. Vendors, also known as sellers, are typically suppliers or contractors that provide material or services for the company. Business partners have a special relationship with the organization, often acquired through a certification process. Hidden Stakeholders that may not be immediately apparent. Examples are stakeholders in the physical, cultural, or political environment; future generations; and members of the organization not directly involved in the project but affected by the organization's structure and culture. Organizational influencers Organizational structure How positions and departments are defined, and what the reporting structure is in an organization. An organization may use a functional, projectized, or matrix structure. A matrix structure blends functional and projectized organizations. For example, a company could create a dedicated project team comprised of members from each functional department. The project manager is responsible for the team and its work and has control of project resources.

Projectized Organizational structure - entire company is organised by projects. The PM has control of projects. Perssonal are assinged and report to a PM. Team members only complete the project work and when the project is over, they do not have a department to go back to. - Advantages - freq. collaboration, rapid decision making via single authority, increased organizational focus - Disadvantages - employees working on many projects at a time, idle time, relocating employes after proj is completed Project Life Cycle Uncertainty Cost of changes High Low Decreases Increases Decreases Increases Low High Product Life Cycle

ects Sub-project Smaller portions of an overall project, created to enable easier management. Sub-projects may be called projects, but they're really smaller parts of a whole.

- A project may or may not be part of A program, but A program will always have projects. - Portfolios are organized around business goals and Programs are organized around A shared benefit in managing them together.

Project team The people responsible for conducting a project. The project manager is the person who is authorized to manage a project. Project team members are the people who perform the work of a project.

Organizational process assets Project-related documents or data from previous work that can be used to improve the current project or facilitate project management. They include the plans, policies, procedures, and guidelines that may influence a project's success. They also include knowledge assets. Plans, templates, policies, and "lessons learned" databases can help the project manager complete tasks quickly and improve quality by avoiding mistakes made in the past

Matrix Organizational structure - Team member reports to two bosses, the Project Mgr and the Functional Mgr - Share responsibility and authority between the two. - As compared to functional org, there would be improved Proj Mgr control over the resources and better horizontal & vertical dissemination of information.

- Project life cycle can exist independent of product life cycle - Project life cycle can run concurrently with product life cycle or form part of product life cycle - A single product life cycle can consist of many multiple Project life cycle - A product life cycle can completed during A single-phase Project

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INPUTS .1 Project Statement of Work .2 Business Case .3 Contract .4 Enterprise Environmental Factors .5 Organizational Process Assets

Develop Project Charter (Initiating) TOOLS & TECHNIQUES .1 Expert Judgment

OUTPUTS .1 Project Charter

KEY ASPECTS * Involves developing a document that formally authorizes a project or phase and documenting initial requirements that satisfy stakeholders needs and expectations * Approved project charter formally initiates the project * PM is assigned as early in the project, preferably while project charter is being developed and prior to start of planning * Recommended - PM to participate in the development of project charter as it provides PM authority to apply resources to project activities * Projects are authorized by external to project such as sponsor, PMO, portfolio steering committee * Project sponsor is responsible for creating project charter and sponsor funds the project * Project initiator or sponsor will either create the project charter or delegate to PM. The initiator's signature on the charter authorizes the project. This triggers the creation of needs analysis, business case or situation that the project will address * Involves meeting with stakeholders, define high level objectives, constraints, assumptions and risks to assess feasibility of project within the given constraints * Project Charter does NOT NEED to change as the project progresses. Any change into project charter should raise question whether it should continue? INPUTS .1 Project Statement of Work * SoW is description of products or services to be delivered by the project. It references business need (market demand, tech advance, legal), product description (characteristics of product or service to be delivered), strategic plan (org strategic goals) * Internal projects - SoW is prepared by project sponsor/initiator * External projects - SoW is received from customer/buyer in the form of request for proposal (RFP), request for information (RFI) or as part of contract .2 Business Case * A document that provides details on why project is worth the required investment * Includes cost-benefit analysis to justify the project * For external projects, requesting organization/customer/buyer will write the business case * PM should know why the project was selected and project selections are "not" done by PM. Project Selection Refer Project Selection methods .3 Contract * When the work is done for external org, contract would be input for seller to write project charter with a view to increase revenue or gain additional work from buyer

TOOLS & TECHNIQUES .1 Expert Judgment * Assess the inputs used to develop project charter on technical and management details during the process

OUTPUTS .1 Project Charter Input for ---> Develop Project Management Plan;; Collect Requirements;; Define Scope;; Identify Stakeholders;; * Project Title/Description * Project Manager Assigned & Authority Level (who is given authority to lead the project and can PM determine, manage, and approve changes to budget, schedule, staffing) * Business Case (why this project is being done? With Justification) * Resources pre-assigned (How many or which resources will be provided) * Stakeholders (who will affect or affected by the project) * Stakeholder requirements (req. related to product/project scope) * Product description/deliverables (end results) * Measurable project objectives (summary milestone/summary budget) * Project Approval Requirements (acceptance criteria for project success and who decides success and who signs off the project) * High Level project risks * Name and Signature of the sponsors authorizing the project

PROJECT SELECTION METHODS * PM is typically "not" involved in project selection. But the process used by company to select the project will influence how PM will plan and manage the project * Two categories of project selection methods 1. Benefit Measurement Methods (Comparative Approach/ Decision Models) - Murder board, peer review, economic models, scoring methods 2. Constrained Optimization Methods (Mathematical Methods/Calculation Approach) - Linear programming, non-linear programming, dynamic programming, multi-objective programming * Economic Models * Present Value (PV) - A dollar today is worth more than a dollar tomorrow. e.g. If project is expected to produce $300K in three yrs then the PV is going to be less than $300K. Reason is you wont get your $300K until 3rd yr but if put $300K in bank today and after 3 yrs you would end up more than $300K. Bigger PV makes project attractive PV = FV / (1 + r)n FV= future value, r = interest rate, n = # of time periods * Net Present Value (NPV) - Same as PV except that costs also factor in. E.g. If you constructed building with PV $500K and total cost was $350K then NPV is $500K - $350K = $150K. Bigger NPV makes project attractive * Internal Rate of Return (IRR) - Bigger IRR is better * Payback period - Duration of time it takes for the organization to recover investment in the project before accumulating

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INPUTS .1 Project Charter .2 Outputs from planning processes .3 Enterprise Environmental Factors .4 Organizational Process Assets

Develop Project Management Plan (Planning) TOOLS & TECHNIQUES OUTPUTS .1 Expert Judgment .1 Project Management Plan

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Direct & (E

INPUTS .1 Project Management Plan .2 Approved Change requests .3 Organizational Process Assets .4 Enterprise Environmental Factors

KEY ASPECTS * Process of documenting the actions necessary to define, prepare, integrate and coordinate all subsidiary plans * Proj Mgmt Plan (PMP) defines how project is executed, monitored and controlled, and closed. It varies depending on the application area and complexity of the project. * PMP is developed through a series of integrated processes until project closure. This results in a PMP that is progressively elaborated by updates and controlled and approved through the Perform Integrated Change Control process * It would be approved by * The Project Manager, * The Project Sponsor, * The Functional Manager who are providing resources for the project. (for the exam we will do much better to think of the Project Management Plan as always being DETAILED). * Exam: If the exam asks what to do when a project deviates significantly from established baselines, the correct answer is likely the one about reviewing the projects risk mgmt process. Deviations from baselines are often due to incomplete identification of risks and risk management. * Configuration Management System and Change Control System are part of PMIS i.e. enterprise environmental factors * What to do when you encounter a change. * You always begin dealing with change by consulting the project management plan. * The work authorization system is a part of your companys Enterprise Environmental Factors, and its generally part of INPUTS .1 Project Charter Input from ---> Develop Project Charter .2 Outputs from planning processes * PMP has management plan from every knowledge plan and also following plans Requirement Management Plan: How to identify, analyze and document the requirements and how req. will be managed and controlled throughout the project Change Management Plan: How changes will be managed and controlled, change control procedures, approval levels for authorizing changes, creation of change control board, org tools to track the changes Configuration Management Plan: Defines how to manage changes to deliverables and resulting documentation (version of scope, cost, schedule components) and org tools to used for this effort Process Improvement Plan: Identify existing processes and may create or improve some processes .3 Enterprise Environmental Factors * Govt or industry standards, PMIS, org structure and culture, infrastructure, personnel admin (hire/fire/perf reviews) .4 Organizational Process Assets * Standardized guidelines, work instructions, PMP template, change control procedures, project files past projects

KEY ASPECTS * Process of performing the work defined in the project ma * Activities include * Create project deliverables * Staff, train and manage team members * Obtain, manage and use resources (materials, tools, f * Implement planned methods and standards * Establish and manage communication channels * Generate project data such as cost, schedule, technica * Issue change requests and adapt approved changes * Manage risks and implement risk responses activities * Manage sellers/vendors/suppliers * Collect and document lessons learned and implement * Work performance information * Anothe important output from this process apart from * This information is about completion status of the deli * This info is fed into performance reporting process. INPUTS .1 Project Management Plan Input from ---> Develop Project Management Pla .2 Approved Change Requests Input from ---> Perform Integrated Change Cont * Perform Integrated Change Control process updates c * Approved change requests are the documented, autho policies, procedures, costs/budgets, revise schedules * Approved change requests are scheduled for impleme * They may require implementing preventive or correcti .3 Enterprise Environmental Factors * Org structure, infrastructure, personnel administration scheduling softeware tool, configuration management syst other online automated systems) .4 Organizational Process Assets * Standardized guidelines and work instructions * Communication requirements

TOOLS & TECHNIQUES .1 Expert Judgment * Improve current processes to project needs, develop tech/mgmt details, determine resource and skill levels, level of configuration mgmt, project documents subjected to formal change control process

TOOLS & TECHNIQUES .1 Expert Judgment * Expertise is provided PM and project management tea * Additional expertise like consultants, stakeholders, pro .2 Project Management Information Systems (PMIS * It can include both manual and automated systems us Project Management Plan Process

OUTPUTS .1 Project Management Plan Input for ---> All Executing, Monitoring & Controlling and Closing process groups * PMP is consolidation of subsidiary management plans and baselines from planning processes * PMP contains scope, cost, schedule baselines. Scope baseline is Proj scope stmt + WBS + WBS Dictionary Together these baselines are called Performance Measurement Baseline which are part of PMP and used for keeping track of them as they change. * Once a project management plan is baselined, it may only be changed when a change request is generated and approved through Perform Integrated Change Control process * Performance measurement baseline in PMP is used for eanred value measurements * The SCOPE mgmt plan, the SCHEDULE mgmt plan, the COST mgmt plan, the CHANGE mgmt plan, and the CONFIGURATION mgmt plan are created right here.

OUTPUTS .1 Deliverables * Approved deliverable is any unique and verifiable prod to complete a process/phase/project .2 Work Performance Information * Deliverable status, schedule progress, costs incurred * Your job is to direct the work, but you need to do mor your team performed and thats what the work performanc .3 Change Requests * Requests for a change can be inter/external, direct/ind * These can include corrective actions, preventive action documents) .4 Project Management Plan Updates .5 Project Document Updates * Updates to requirement documents, stakeholder regis

Direct & Manage Execution (Executing) TOOLS & TECHNIQUES .1 Expert Judgment .2 Project Management Information System

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OUTPUTS .1 Deliverables .2 Work Performance Information .3 Change Requests .4 Project Management Plan Updates .5 Project Document Updates

INPUTS .1 Project Management Plan .2 Performance Reports .3 Enterprise Environmental Factors .4 Organizational Process Assets

Monitor & Control Project Work (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Expert Judgment

work defined in the project management plan to achieve project objectives

es team members resources (materials, tools, facilities) hods and standards ommunication channels ch as cost, schedule, technical and quality progress nd adapt approved changes ment risk responses activities suppliers ssons learned and implement approved process improvement activities tion from this process apart from deliverables t completion status of the deliverables and what has been accomplished. ormance reporting process.

KEY ASPECTS * Process of tracking, reviewing and regulating progress to meet the peformance objectives defined in * Monitoring is performed throughout the project which includes collecting, measuring an distributing and assessing measurements and trends to effect prcoess improvements * Control includes determining corrective or preventive actions or replanning and following upon actio actions taken resolved the performance review * Activities include * Compare actual performance against PMP * Assess performance and recommend corrective/preventive actions * Identify, track new risks and monitor existing risks * Provide info to support project status, reporting * Providing forecasts to update current cost and schedule info * Monitoring implementation of approved changes as they occur

an p Project Management Plan ests m Integrated Change Control nge Control process updates change request status as approved or rejected sts are the documented, authorized changes to expand or reduce the scope. They can also modify udgets, revise schedules sts are scheduled for implementation by project team menting preventive or corrective actions tal Factors ture, personnel administration, stakeholder risk tolerances, PMIS (Automated tool suite such as nfiguration management system, information collection and distribution system, web interfaces to ms) Assets and work instructions ments

INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan .2 Performance Reports Input from ---> Report Performance * Performance reports include current status, milestones/major accomplishments, forecast, issues, .3 Enterprise Environmental Factors * Govt or industry standards, company work authorization system, stakeholder risk tolerances, PMI .4 Organizational Process Assets * Organization communication requirements * Financial procedures (time reporting, expenditure and disimbursements) * Issue and defect management procedures * Risk control procedures (risk categories, probability definition and impact, probabaility and impac * Process measurement database * Lessons learned database

and project management team using specialized knowledge/training consultants, stakeholders, professional and technical associations nformation Systems (PMIS) ual and automated systems used together, integrate and disseminate the outputs of the Develop cess

TOOLS & TECHNIQUES .1 Expert Judgment * Project management team provides expertise to interpret information provided by monitor and co * PM, along with team, determines actions to ensure performance is inline with expectations

any unique and verifiable product, result or capability to perform a service that must be produced /project ormation dule progress, costs incurred work, but you need to do more than deliver the results. You also need to keep track of how well ats what the work performance information output is about

OUTPUTS .1 Change Requests .2 Project Management Plan Updates * Management Plans - Schedule, Cost, Scope, Quality * Baselines - Scope, Schedule, Cost Performance .3 Project Document Updates * Forecasts, performance reports, issue log

an be inter/external, direct/indirect, optional/legally mandated ctive actions, preventive actions, defect repairs and updates (changes to fomally controlled

an Updates ates documents, stakeholder register, risk register, project logs (assumption/issues etc.)

ect Work olling) OUTPUTS .1 Change Requests .2 Project Management Plan Updates .3 Project Document Updates

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INPUTS .1 Project Management Plan .2 Work Performance Information .3 Change Requests .4 Organizational Process Assets .5 Enterprise Environmental Factors

Perform Integrated Change Control (Monitoring & Controlling) TOOLS & TECHNIQUES OUTPUTS .1 Expert Judgment .1 Change Request Status Update .2 Change Control Meetings .2 Project Management Plan Update .3 Project Document Update

ormance objectives defined in PMP ng, measuring an distributing performance information s ning and following upon action plans to determine if

mplishments, forecast, issues, scheduled activities

akeholder risk tolerances, PMIS

ents)

mpact, probabaility and impact matrix)

KEY ASPECTS * Process of reviewing all change requests, approving changes and managing changes to deliverables, org process assets, project documents and project management plan * Conducted from project inception to completion * PMP, scope statement, other deliverables are maintained by carefully managing changes (approving/rejecting) thereby only approved changes are incorporated into the revised baseline * Activities include * Influencing factors that bypass integrated change control so that only approved changes are implemented * Reviewing, analyzing, approving change requests promptly * Managing the approved changes * Maintain integrity of baselines by releasing only approved changes * Review, approve, deny recommended corrective and preventive actions * Coordinating changes across the project * Documenting complete impact of change requests * Corrective and Preventive Actions do not normally effect the Project Baselines, only the performance against the baselines. * Project Manager is given authority to approve certain types of change requests. Whenever required, Change Control Board is responsible for reviewing changes and change requests and its level of authority should be spelled out in the Project INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Contains subsidiary plans and the baselines against which actual will be compared (i.e. planned deliverable date deviates from actual, a change request need to be submitted and approved and may lead to updated plan) .2 Work Performance Information Input from ---> Direct & Manage Project Execution * Project deliverable status/schedule progress/cost-to-date and when they are deviated from planned, PM should take corrective action .3 Change Requests Input from ---> Verify Scope;; Control Scope;; Control Costs;; Control Schedule;; Perform Quality Assurance;; Perform Quality Control;; Manage Team;; Monitor & Control Risks;; Administer Procurements;; Manage Stakeholder Expectations;; Report Performance;; Plan Procurements;; Conduct Procurements;; Direct and Manage Project Execution;; Monitor & Control Project Work * Direct and manage project execution - Project team find an efficient way to implement tasks and so recommend changes * Manage and control project work process - Corrective action after analyzing work performance information. Any control processes that may lead to change in quality/cost/time/scope

on provided by monitor and control processes nline with expectations

TOOLS & TECHNIQUES .1 Expert Judgment * In addition to project team's expertise, stakeholders may be asked to provide expertise and sit on Change Control Board .2 Change control meetings * Change control board reviews change requests and gives project manager level of authority (high/low) to approve change requests * Roles & responsibilities of CCB is clearly defined and agreed upon by all stakeholders * All CCB decisions are documented and communicated to stakeholders for info and follow up * Control board approves/rejects/on hold changes depending on feasibility of scope and impact to the scope * Feasible - When project baseline can be adjusted without affecting projects performance beyond tolerable levels * Within Scope - If change request does not impact project performance baselines

OUTPUTS .1 Change Request Status Update * If Change request is not feasible * Reject the change request and ask for additional info * Update change control log, change request status * Change request is feasible and within scope * Update change control log, change request status, subsidiary plan * Change request is feasible and out of scope * Update change control log, change request status, project documents, forecast, performance baselines * Change request status - Approved/Rejected/Pending - will be updated in change request log and approved CRs are implemented during Direct & Manage Projet Execution process .2 Project Management Plan Updates * When change effects scope of a project, PM Plan must updated to reflect the changes in performance baseline and subsidiary plans e.g. Cost overrun due to supplier change will require changes to budget plan and procurement plan * Changes to baseline should show only changes from current time forward. Past performance may not be changed to protect integrity of baselines

Involves Review, Approve and Manage changes to project deliverables, plans and processes How changes be implemented? (Principles of change control process) * Prevent the root cause for changes * Identify method to identify changes early * Daily status from team * Meeting with customer or stakeholder * Online sources for environmental, technical or legal changes * Look at impact of the change * Change control logs or issue logs * Create a change request * Perform Integrated Change Control i. Asess the impact * Understand what led to change - customer demand, legislation change or technical defect so on * Impact of change - Scope, cost, schedule and quality * Should change go ahead? Benefits increase or decrease for project completion? ii. Create options - are created based on crashing, fast tracking, reestimating..etc iii. Get change request approved internally Configuration Management * Configuration management is an overall system of which change control system is a part. * Configuration mgmt provides tools to control project changes. Features * Ensure version control * Product documentation version control * Project management documentation version control * Only approved changes are version controlled Why version control required? * Prevent version related errors How configuration management is helps to implement change control process? (Principles) * Identify characteristics of change * Controlling changes - Track current status to either approve or reject change request

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Close Project/Phase (Closing)

INPUTS .1 Project Management Plan .2 Accepted Deliverables .3 Organizational Process Assets

TOOLS & TECHNIQUES .1 Expert Judgment

OUTPUTS .1 Final Product or Service or Result Transition .2 Organizational Process Asset Updates

KEY CONCEPTS * Involves finalizing all activities across all of the proj mgmt process groups to formally complete the project or phase * Since project scope is measured against project mgmt plan, PM will review that document to ensure completion before project is closed * This process also establishes procedures to investigate and document the reasons for actions taken if a project is terminated before completion * Activities Involved * Acceptance of deliverables - acceptance criteria laid out as by corporate guidelines * Transfer of project's products, services, results to the next phase or to production and/or operations * Administrative closures - Customer sign off, lessons learned (using Expert Judgment technique) * Assessing project success - Compare actual results with the planned results defined in project mgmt plan * To answer questions such as Was project delivered on time and budget? Was the quality acceptable? How well project team performed? How many revisions were there to project? * Performing audits or project post-mortem * Written survey * Closing meetings * Exam: Project closure occurs at the end of each phase of the project in order to properly document project information and INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Compares actual results to the performance baselines outlined in the plan * Performance baselines - scope, schedule (whether delivered on time), budget (project expenses within limits) & risks .2 Accepted Deliverables Input from ---> Verify Scope .3 Organizational Process Assets * Company guidelines for closure, audits, subcomponent validations * Historical information and lessons learned database (project records and documents, project closure information, info about the results of previous project selection decisions, performance information, risk management effort)

TOOLS & TECHNIQUES .1 Expert Judgment * Experts ensure project/phase closure is performed as per standards

OUTPUTS .1 Final Product, Service or Result Transition * Transition of deliverables - Formal sign off, official transfer of product/service to next body/person, notify relevant stakeholders * The final product, service, or result is concerned with obtaining formal acceptance; organizational process assets involves documenting and archiving formal acceptance. * Another function of signoff is that it kicks off the beginning of the warranty period (if applicable) .2 Organizational Process Asset Updates * Project Files - e.g. PM plan, scope/cost/schedule baseline, risk registers, planned risk response actions, project calendars, risk impact assessment * Project or Phase Closure documents * Formal acceptance document, sign offs, transfer phase/project deliverables to Operations * During project/phase closures, PM reviews prior phase documentation, customer acceptance from verify scope process and contract (if applicable) to ensure that all project requirements are complete prior to finalizing the closure of the project * Historical information * Sign off documents * Archived project files and deliverables

ADDITIONAL NOTES * Probability of completing the project is highest during closing and risk is lowest. Majority of the work is completed - if not all of the work - so the probability of not finishing the project is very low. * Stakeholders have the least amount of influence during the Closing processes, while project managers have the greatest amount of influence. Costs are significantly lower during this process because the majority of the project work and spending has already occurred * Weak matrix organizations tend to experience the least amount of stress during the Closing processes. This is because, the functional manager assigns all tasks (projectrelated tasks as well) so the team members have a job to return to once the project is completed and there's no change in reporting structure. * Projects come to an end for several reasons: * They're completed successfully. * They're canceled or killed prior to completion. * They evolve into ongoing operations and no longer exist as projects. * Four formal types of project endings exist * Addition: Projects that evolve into ongoing operations are considered projects that end because of addition; in other words, they become their own ongoing business unit i.e. Operations * Starvation: When resources are cut off from the project or are no longer provided to the project, it's starved prior to * Exam: Remember that product verification, which determines whether all of the work of the project was completed correctly according to the contract or other procurement terms and satisfactory according to stakeholder expectations, is performed during the Closing processes. Product documentation is verified and accepted during the Verify Scope process. One more note: when projects end prematurely, the Verify Scope process is where the level of detail concerning the amount of work completed gets documented.

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Understanding Project Scope

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Collecting Requirements (Planning) TOOLS & TECHNIQUES .1 Interviews .2 Focus Groups .3 Facilitated Workshops .4 Group Creativity Techniques .5 Group Decision Making Techniques .6 Questionnaires and Surveys .7 Observations .8 Prototypes OUTPUTS .1 Requirements Documentation .2 Requirements Management Plan .3 Requirements Traceability Matrix

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Define Scope (Planning) TOOLS & TECHNIQUES .1 Expert Judgment .2 Product Analysis .3 Alternatives Identification .4 Facilitated Workshops OUTPUTS .1 Project Scope Statement .2 Project Document Updates

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Create Work Breakdown Structure (WBS) (Planning) TOOLS & TECHNIQUES .1 Decomposition OUTPUTS .1 WBS .2 WBS Dictionary .3 Scope Baseline .4 Project Document Updates

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Verify Scope (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Inspection OUTPUTS .1 Accepted Deliverables .2 Change Requests .3 Project Document Updates

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Control Scope (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Variance Analysis OUTPUTS .1 Work Performance Measurements .2 Change Requests .3 Organizational Process Assets Updates .4 Project Management Plan Updates .5 Project Document Updates

INPUTS .1 Project Charter .2 Stakeholder Register

INPUTS .1 Project Charter .2 Requirements Documentation .3 Organizational Process Assets

INPUTS .1 Project Scope Statement .2 Requirements Documentation .3 Organizational Process Assets

INPUTS .1 Validated Deliverables .2 Project Management Plan .3 Requirement Documentation .4 Requirement Traceability Matrix

INPUTS .1 Project Management Plan .2 Work Performance Information .3 Requirements Documentation .4 Requirements Traceability Matrix .5 Organizational Process Assets

* Scope is work required to complete deliverables * Scope is like boundary around project - inside boundary is "within scope" and outside boundary is "out of scope" * Project scope is based on product scope and is all of the work that needs to be done to make the product. * Product scope is defined by components, functions and features * Scope changes always have cost/quality/schedule implications * Processes uses to manage scope as well as supporting tools/techniques vary by application area and are usually defines as part of the project life cycle * Scope baseline = Approved project scope statement + WBS + WBS dictionary. This baseline scope is monitored, verified and controlled throughout the lifecycle of the project * Exam: The project scope management plan is a planning tool that documents how the project team will go about defining project scope, how the work breakdown structure will be developed, how changes to scope will be controlled, and how the work of the project will be verified and accepted. Scope management plan is a subsidiary of the project management plan and created during Develop Project Management Plan process. * Exam: Scope management involves managing both product and project scope * Exam: Give priority to the customer * Scope Creep * Scope creep is what happens when scope changes are not detected early enough or managed * Refers to how small, slow and often unpredicted changes can "creep" unnoticed or be ignored because their effort on project scope is not realized * This happens when you think you know the impact of a change so you go ahead, but it turns out that that change leads to another one, and since you are already making the first change, you go with the next. Then another change comes up, and another, and another, until its hard to tell what the scope of the project is. * Causes of scope creep * Unexpected scope related issues: Changes project requirements or raise its complexity * Perfectionism: Adding extra features than required causes change in scope and may end up costing too much time and money * Placating stakeholders * Misunderstandings: Especially careful to avoid ambiguity or unclear statements. * Ramblings from Questions * Scope creep Management will probably not occur if staff change is well managed Project Scope Processes * Collect requirements (Planning Process Group) * Investigate, define, document stakeholders needs and * Expectations about project and about products features and functions * Define Scope * Involves creating project scope statement that defines work required to deliver product and service ( Elaborates on project deliverables, assumptions, constraints for a project (used throughout the project) * Create WBS * WBS subdivides each task into smaller, manageable work packages * Execution stage of project relies heavily on WBS * Control scope * Monitor status of project scope and manage scope changes * Verify scope * Last scope process confirming project has met its objectives as defined in scope statement

KEY ASPECTS * Collect requirements is defining and managing customer expectations * Attributes of the deliverables and clients need determine the requirements of a project * It is vital to define and document requirement in as much detail as possible as * They represent stakeholder expectations * Form basis for WBS and planning (quality/time/cost) * Needed for control processes to make decisions promptly * Completion of project scope is measured against project management plan * Completion of product scope is measured against the product requirements * Requirements care categorized as * Project requirements: business req, project mgmt req, delivery req, political req * Product requirements: technical req, security req, performance req

KEY ASPECTS * Exam: Define scope process occurs in planning phase after project charter is developed and requirements are collected but before project mgmt. plan is created i.e. involves progressive elaboration * Involves defining two types of scope * Product Scope - req. characteristics of product or service or result that project must deliver * Project Scope - refers to all the work required to meet the project deliverables and measures against proj mgmt plan * Assumption - any idea held but not proven to be true * Risks - Any potential circumstance that may affect success of the project * Constraints - Anything that puts limit on what can be achieved * Develop detailed description of project and product i.e. turns all requirements into a more detailed project scope statement.

KEY ASPECTS * Creating WBS involves breaking project into manageable work packages to control the project better * WBS is a deliverable oriented hierarchal decomposition of work to be executed by the project to accomplish the project objectives and create required deliverables * Exam: Planned work is contained within the lowest level WBS components called work packages. A work package can be scheduled, cost estimated, monitored and controlled * WBS structure options are * Phases * Major deliverables or sub-projects * External sub-projects * WBS achieves four goals * Define responsibilities * Better control * Facilitate project scheduling * Facilitate accurate cost estimates * WBS can be structured as an outline, an org chart, a fishbone diagram or other method INPUTS .1 Project Scope Statement Input from ---> Define Scope * Product scope description assist in purpose of breaking down deliverables in WBS * Project deliverables assist in identifying tasks to be included in WBS * Project exclusions identify tasks not to be included in WBS .2 Requirement documentation Input from ---> Collect Requirements * All req. in the requirement documentation must map to specific deliverables in WBS * Helps in identifying priority of req. which structures WBS * WBS should reflect stakeholder expectation of project and its deliverables .3 Organizational Process Assets * Policies and procedures * Existing WBS templates * Previous project files - time schedules, costing sheets, process guides * Lessons learned TOOLS & TECHNIQUES .1 Decomposition * Break down deliverables until lowest level of WBS - work packages * Easier to assign control and performance measures * Estimate cost, time, resources more accurate * Over-decomposition leads to inefficiency in terms of work performance and resource use * Four steps of decomposition 1. Identify main deliverables - project charter and project scope statement Nature/complexity of the project, whether phases of project run concurrently, whether project has interim deliverables 2. Decompose deliverables Nature of the project, experience of the project manager and team (familiar or unfamiliar) 3. Assign identification . Ensures each element can be monitored, tracked and controlled . Enables to connect specific project activities with an organization accounting and management systems 4. Verify WBS OUTPUTS .1 WBS * Finalize WBS by adding control accounts at strategic points to monitor performance (Earned Value Analysis) * Control account is a mgmt control point where scope, costs and schedule are integrated and compared to the earned value for performance measurement * Each control account may include one or more work packages but each work package must be associated with only one control account .2 WBS Dictionary * Contains information not present in WBS and consists of separate form for each WBS item that describes its works and req. in details * Identifies team members responsible for work package, requirements to which it relates, schedule, cost and quality information .3 Scope baseline Input to ---> Develop Project Management Plan;; Define Activities;; Estimate Costs;; Determine Budget;; Plan Quality;; Identify Risks;; Plan Procurements * Complete description of proj req., assumptions, projections, constraints

KEY ASPECTS * Project managers and stakeholders use this process to confirm that project deliverables meets its requirements * The req. document, project scope stmt, scope baseline form become part of project management plan, which is used to manage and control scope throughout the execution of project * Exam: You should perform Verify Scope even if the project is canceled to document the degree to which the project was completed. * Important: Difference between verify scope and perform quality control processes are * Verify scope - Primarily concerned with acceptance of deliverables, ensures products meets requirements, performed by project manager and stakeholders, reviewed against req. doc * Perform quality control - Primarily concerned with correctness of the deliverables and meeting the quality requirement specified for the deliverables. Ensures no defects in product, find ways of improving product, performed by quality assurance, reviewed against predefined quality standards * Quality control is generally performed before scope verification but these two can be performed in parallel. Also Quality control is performed by quality control dept and Verify Scope is done by customer * Verify Scope can be done at the end of each project phase in the project life cycle and at other points throughout the project as part of M&C i.e. Verify Scope is done multiple times in the project INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Project Scope Statement: Contains product scope description, includes project deliverables, defines product user acceptance criteria * WBS: Defines each deliverable and corresponding work packages (after decomposition) * WBS Dictionary: Detailed description of work and technical documentation for each WBS element .2 Requirements Documentation Input from ---> Collect Requirements * Lists all project, product, technical and other types of req along with their acceptance criteria .3 Requirement Traceability Matrix Input from ---> Collect Requirements * To link requirements to their origin and track them throughout the project life cycle .4 Validated Deliverables Input from ---> Perform Quality Control * Validated deliverables have been completed and checked for correctness by the Perform Quality Control process TOOLS & TECHNIQUES .1 Inspection * Also called reviews, product reviews, walkthroughs and audits * Includes activities such as measuring, examining and verifying to determine whether work and deliverables meet requirements and product acceptance criteria

KEY ASPECTS * Helps managing changes to projects scope and keep it on target to meet req. and objectives * Changes can be uncontrolled (scope creep) or controlled (approved changes) * Control scope process ensures only beneficial changes are approved More on Scope Creep * Control scope creep and changes to scope that would have detrimental effect on project * Scope creep is difference between work performance information and the scope baseline * Gold Plating: Sometimes people think of a really great improvement to the product and go ahead and make it without even checking the impact. * Integrated Change Control spans: Control Scope, Control Schedule, Control Cost, Quality Control, Monitor and Control Risk, Administer Procurements * Any modification to the agreedupon WBS is considered a scope change * Changes in product scope require changes to the project scope as well * Important: Always remember to update your stakeholders regarding the changes you're implementing and their impacts. They'll want to know how the changes impact the performance baselines, including the project costs, project schedule, project scope, and quality. INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Scope Baseline: To compare with actual results and determine if a change, corrective or preventive action is necessary * Scope Management Plan: How changes to scope will be managed and controlled * Change Management Plan: How changes will be managed and controlled in the project? * Configuration Management Plan: Defines items, attributes, project documents that must be controlled. These should not be changed without an approved change request. Configurable items are product design documents, products and its components, project documents, results of Quality and stakeholder reviews * Requirement Management Plan: How req will be managed and controlled, how impacts will be analyzed and authorization levels required to approve these changes .2 Work Performance Information Input from ---> Direct and Manage Project Execution * Refers to status of work to complete the deliverables or features/functions of the product * Comes from progress reports, quality control reports, PMI systems TOOLS & TECHNIQUES .1 Variance Analysis * Variance in scope can be quantitative or qualitative. Steps include * Identify the variance * Look for the cause * Asses the impact of the variance * Choose the appropriate response * Triple constraint model: Scope, budget, schedule - in which change in one element forces change in one or both of the others * Stacking resources: If time and money are run out in project, find resources within organization who can be reassigned to sort the problem without incurring extra costs

INPUTS .1 Project Charter Input from ---> Develop Project Charter * It identifies high level requirements, description of a project or product or service to be delivered but not the exact design or implementation plan .2 Stakeholder register Input from ---> Identify Stakeholders * List of stakeholders that need to be consulted for detailed information about projects requirements

INPUTS .1 Project Charter Input from ---> Develop Project Charter * High level project description and product characteristics .2 Requirement documentation Input from ---> Collect Requirements .3 Organizational Process Assets * Polices, procedures, templates for project scope statement * Project files from previous projects * Lessons learned

TOOLS & TECHNIQUES .1 Interviews * Formal/informal approach with stakeholders by talking to them directly * Interviews with stakeholders, SMEs, people with prior experience on similar projects (one-to-one/multiple interviewers/multiple interviewees) .2 Focus groups * Bring together prequalified stakeholders and SMEs to learn about their expectations on the product * Less formal, interactive discussion, find expectation that stakeholders have * A trained moderator guides the group through interactive discussion and designed to be more conversational than a one-to-one interview .3 Facilitated workshop * Bring Cross functional stakeholders together to define cross-functional product req and reconcile their differences (balance expectations of stakeholders with different interests) * Fast way to collect feedback from diverse group of stakeholders * Benefits: Build trust, foster relationships. improved communication among stakeholders and leading to increased consensus, discover and resolve issues quickly OUTPUTS .1 Requirement Documentation Input to ---> Develop Project Management Plan;; Plan Procurements;; Define Scope;; Create WBS;; Verify Scope;; Control Scope * Describes how individual req meet the business need for the project. * Req. may start at high level and then progressively more detailed as more is known * Before base lining: Req. must be measurable, testable, traceable, compete, consistent and acceptable by stakeholders * Direct result of group creativity techniques. However, detail of documentation varies by project * Includes business need/opportunity to be seized, business and project objectives, functional/non-functional req, quality req, acceptance criteria, business rules stating guiding principles of org, impacts to other org areas, impacts to other internal/external entities, support and training req and requirement assumptions and constraints .2 Requirements Management Plan Input to ---> Develop Project Management Plan * How to manage and track requirement changes? * You need to know how many phases project will have?

TOOLS & TECHNIQUES .1 Expert Judgment * Expert judgment required as defining scope involves determining implications of what's in the project charter and req. doc .2 Product Analysis * Determine what attributes and features a project deliverable must have (i.e. product scope) * Techniques like product breakdown, system analysis, req. analysis, systems engineering, value engineering, and value analysis .3 Alternatives Identification * Generate different approaches to execute and perform work of the project * Techniques used: brainstorming, lateral thinking, pair wise comparisons etc. .4 Facilitated workshops * Bring Cross functional stakeholders together to define cross-functional product req and reconcile their differences

Exam: Arrange all of the activities you do to control scope in the right order 1. You figure out that you have to make a change 2. Create a change request 3. Get approval to make the change 4. Compare the change against the baseline 5. Go back and plan for the new work 6. Update the baseline 7. Store the updated baseline in the configuration management system 8. Now the team can change the way they do the work

OUTPUTS .1 Project Scope Statement Input to ---> Create WBS;; Develop Project Management Plan;; Sequence Activities;; Estimate Activity Durations;; Develop Schedule;; Plan Risk Management * Official agreement among all the project stakeholders that lists what will and what will not be included in projects deliverables * Defines work, guides project team, sets baselines (in scope/out of scope), sets stakeholders expectations * Six main components * Product scope description (progressively elaborates product scope described in project charter/req doc) * Product acceptance criteria (defines process and criteria for accepting completed products/services/results) * Project deliverables (comprising product/service of the project, ancillary results such as PM reports) * Project exclusions (out of scope work) * Project constraints (known limitations - limit on resources, budget, schedule & scope) * Project assumptions (any idea held but not proven to be true) .2 Project Document Updates * Stakeholder register, req. documentation, req. traceability matrix

OUTPUTS .1 Accepted Deliverables Input to ---> Close Project or Phase * Deliverables that meet acceptance criteria are formally signed off and approved by customer/sponsor * Formal documentation is forwarded to Close Project/Phase process .2 Change Requests Input to ---> Perform Integrated Change Control * Deliverables that are not accepted are documented with reasons and these may require change request for defect repair * This would be disposed through Perform Integrated Change Control process * Changes in verify scope should be treated with suspicion .3 Project Document Updates * Any documents that define product or report status on product completion

OUTPUTS .1 Work Performance Measurements Input to ---> Report Performance;; Perform Quality Control * Results of comparing actual performance data to planned performance of project baselines - scope, cost and time .2 Organizational Process Assets Updates * Causes of variances, corrective actions taken and reasons, other lessons learned from scope control .3 Change Requests Input to ---> Perform Integrated Change Control * Analysis of scope performance can result in change request to the scope baseline or other component of PMP * Perform integrated change control process approved the changes requests and Control scope process ensures that decisions are properly recorded, archived and communicated to project staff .4 Project Management Plan Updates * Updates to scope baseline, schedule baseline, cost baseline .5 Project Document Updates * Req. documentation and req. traceability matrix

Understanding Time Management Processes

* Where does time management processes fall in the planning activities? 1. Define scope documents 2. Plan resources 3. Plan schedule 4. Plan cost * Triple constraint model can be used to determine what changes need to be made * Schedule management plan is created during Develop Project Management Plan, which selects a scheduling methodology, scheduling tool, sets the format and establishes criteria for developing and controlling the project schedule

Which tool to use? . Depends on complexity of project, unknowns, potential risks, dependencies among the deliverables Small to medium project . Decompose all work packages during planning stage. . Not required on this type of project. . Use standardized template based on similar projects. . No external subject matter experts required. Use project manager and team's own expertise. Medium to large project . Decompose known, low-risk work packages during planning stage. Leave unknown work packages and those with preceding . dependencies to be decomposed later. . Use rolling-wave planning on later-occurring work packages. . Use standardized template based on similar projects. . Use judgment from external experts to understand unknowns, dependencies, unfamiliar aspects of the project. Large project * Define Activities Decomposing the work packages into activities. First you come up with a list of all of the activities that will need to be completed. * Sequence Activities Determining the order the activities need performed in. Next, you figure out which activities need to come before others and put them in the right order. The main output here is a network diagram, a picture of how activities are related. * Estimate Activity Resources Finding out the quantities and types of resources needed for the activities. Estimate the resources youll need to do the job, and create a list of them... * Estimate Activity Durations Determining how long the activities will take. ...and then estimate the time it will take to do each activity. * Develop Schedule Creating the project schedule. Then you build a schedule from all of the estimates, and the resource and activity information youve created. * Control Schedule Monitoring the schedule and influencing the factors that can lead to schedule changes. Finally, you monitor and control changes to the schedule to make sure that it is kept up to date.

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INPUTS .1 Scope Baseline .2 Enterprise Environmental Factors .3 Organizational Process Assets

Define Activities (Planning) TOOLS & TECHNIQUES .1 Decomposition .2 Rolling Wave Planning .3 Templates .4 Expert Judgment

OUTPUTS .1 Activity List .2 Activity Attributes .3 Milestone List

KEY ASPECTS * Closely linked to WBS * It takes work packages defined in WBS and breaks them down to activities so that it is better able to estimate duration, schedule them and monitor and control their progress

INPUTS .1 Scope baseline Input from ---> Define Scope * consists of project scope statement, WBS and WBS dictionary * This has following information that helps in defining activities * Work packages (deliverables) and their activities * Dependencies and relationships between the packages * Project assumptions and constraints .2 Enterprise environmental factors * PMIS .3 Organizational process assets * Formal/Informal activity planning related policies * Lessons learned

TOOLS & TECHNIQUES .1 Decomposition * Decompose work packages (defined in WBS) into activities for estimating purposes and list them in activity list .2 Rolling-wave planning/ progressive elaboration * Decompose WBS in stages based on information needed or available at the time * Work packages to be completed in near time are broken into activities, sequenced and added to schedule while work packages to be completed in future remain temporarily at work package or mile stone level .3 Templates * Standard activity list from previous project is often used as a template for new project * Templates can also be used to identify typical schedule milestones .4 Expert judgment * Important if you do not have prior experience in handling this kind of project (can be internal or external judgments)

OUTPUTS .1 Activity List Input to ---> Sequence Activities;; Estimate Activity Resources;; Estimate Activity Durations;; Develop Schedule * A table that links an activity to work package in WBS and briefly describes work required for the activity * 2 roles - track activities, describe activities .2 Activity Attributes Input to ---> Sequence Activities;; Estimate Activity Resources;; Estimate Activity Durations;; Develop Schedule * Similar to activity list but with additional attributes than defined in activity list. These attributes depend on nature of the project and how project manager feels to describe the activities * Serves two functions - sequencing activities and help team members to carry out the activities * Attributes used in sequencing activities are - predecessor activities, successor activities, logical relationships, leads and lags, imposed dates * Attributes that help team members to carry out activities are resource req., locations, effort, constraints and assumptions .3 Milestone List Input to ---> Sequence Activities

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INPUTS .1 Activity List .2 Activity List Attributes .3 Milestone List .4 Project Scope Statement .5 Organizational Process Assets

Sequencing Activities (Planning) TOOLS & TECHNIQUES .1 Precedence Diagramming Method .2 Dependency Determination .3 Apply Leads and lags .4 Schedule Network Templates

OUTPUTS .1 Project Schedule Network Diagram .2 Project Document Updates

KEY ASPECTS * To identify logical relationship between the activities and develop a realistic schedule * To represent sequence of activities and their dependencies, you create a project schedule network diagram * Sequencing activities involves determining the dependencies and relationships between activities and applying leads and lags * There are two types of Network Diagrams: * Arrow Diagramming Method (ADM) - Creates diagrams known as activity-on-arrow (AOA). This is because ADM diagrams use activities shown on arrows and connected by nodes, usually shown as circles. ADMs drawback is that it can only show finish-to-start (FS) relationships. In order to show relationships between tasks on different node branches, ADM diagrams use dummy activities. * Precedence Diagramming Method (PDM) - Refer below INPUTS .1 Activity list Input from ---> Define Activities .2 Activity attribute list Input from ---> Define Activities * Activity attributes may describe necessary sequence of events or defined predecessor/successor relationships .3 Milestone list Input from ---> Define Activities .4 Project scope statement Input from ---> Define Scope * Product scope description includes product characteristics that may affect activity sequencing * This info is already captured on activity list but is generally reviewed from project scope statement for accuracy .5 Organizational Process Assets * Old schedule network diagrams can be helpful in creating good quality diagrams for the current project * Description of scheduling methodology used and how dependencies were determined TOOLS & TECHNIQUES .1 Precedence diagramming method * Used in critical path methodology (CPM) for constructing project schedule network diagram * Also called Activity-On-Node (AON) - used by most PM software packages * PDM has 4 types of logical relationships or types of dependencies * Start to start - Activity A must start before activity B can start. E.g. without having begun filming on a documentary (A), you would be unable to start the editing process (B). * Start to finish - Activity A must start before activity B can finish. E.g. you can't start running a new operating system on your computer (B) until you stop using your old system (A). This is not commonly used * Finish to start - Activity A must finish before you can begin activity B. E.g. you would have to put together computer hardware (A) before programming software (B). This is the most common type of relationship. * Finish to finish - Activity A must finish before activity B can be completed. E.g., the activity of editing a manuscript can't be finished (B) until all the text has been written (A) .2 Dependency Determination * Types of dependency - mandatory, discretionary, external * Mandatory Predecessors (hard logic) * Discretionary (preferred/preferential/soft logic) - logical or preferred order to the activities. They can create arbitrary

OUTPUTS .1 Project Schedule Network Diagrams Input to ---> Develop Schedule * Allows to create realistic project schedule and monitor this as work proceeds .2 Project Document Updates * Updates to activity list, activity attributes, risk registers based on any new information gathered during the process

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INPUTS .1 Activity List .2 Activity Attributes .3 Resource Calendars .4 Enterprise Environmental Factors .5 Organizational Process Assets

Estimating Activity Resources (Planning) TOOLS & TECHNIQUES .1 Expert Judgment .2 Alternatives analysis .3 Published Estimating Data .4 Bottom-up Estimating .5 Project Management Software

OUTPUTS .1 Activity Resource Requirements .2 Resource Breakdown Structure .3 Project Document Updates

KEY ASPECTS * Determine resources needed to complete project i.e. material, people, equipment and facilities and gathering information needed to create a realistic schedule and budget * Types of resources * Quantity of resources * Required skill sets * Project team roles and availability * Closely coordinated with Estimate Costs Process

INPUTS .1 Activity list Input from ---> Define Activities * Identifies activities which will need resources .2 Activity attributes Input from ---> Define Activities * Contains input for use in estimating resources required for each activity .3 Resource calendar Input from ---> Acquire Project Team;; Conduct Procurements * Human resources, material resources, skill resources calendars * The process of estimating the type and quantities of material, people, equipment, or supplies required to perform each activity. Before you can assign resources to your project, you need to know which ones youre authorized to use on your project. Thats an input, and its called Resource Calendars. * Resource Calendars specify WHEN and HOW LONG identified project resource will be available during the project. .4 Enterprise environmental factors * Resource availability and skills .5 Organizational process assets TOOLS & TECHNIQUES .1 Expert judgment * Any group/person with specialized knowledge in resource planning and estimating can provide such expertise .2 Alternatives analysis * Alternate ways to schedule activities - determine best possible use of resources, different size or type of machines, different tools (hand vs. automated), make-or-buy decisions regarding resource etc. * Quantify what resources are required .3 Published estimated data * Published updated rates and unit costs of resources * This data can give you frame of reference to work from when resources are being quantified .4 Bottom-up estimating * When an activity cannot be estimated with a reasonable degree of confidence the work within the activity is decomposed into more detail. The resource needs are estimated * Used when project is new and there are no previous estimated data * More accurate, slower to carry out, more costly .5 Project management software * To help plan, organize, manage resource pools and develop resource estimates

OUTPUTS .1 Activity Resource Requirements Input to ---> Estimate Activity Durations;; Develop Schedule;; Develop Human Resource Plan;; Plan Procurements * Describes types and quantities of resources needed for each project activity * Contains information - Resource description, number required, resource assumptions, resource availability, resource dependencies, basis of estimates * Recording resource assumptions is important as they can help during different stages of a project - Monitoring & controlling performance, closure * Review assumptions is important to determine whether anything in the project or env changed since the estimates were made * Record resource requirements .2 Resource breakdown structure * Hierarchical representation of resources required in project * Visually simple, breaks resources into categories and resource type * Helps to organize a project schedule and report on utilization information .3 Project Document Updates

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INPUTS .1 Activity List .2 Activity Attributes .3 Activity Resource Requirements .4 Resource Calendars .5 Project Scope Statement .6 Enterprise Environmental Factors .7 Organizational Process Assets

Estimating Activity Durations (Planning) TOOLS & TECHNIQUES .1 Expert Judgment .2 Analogous Estimating .3 Parametric Estimating .4 Three Point Estimates .5 Reserves Analysis

OUTPUTS .1 Activity Duration Estimates .2 Project Document Updates

KEY ASPECTS * Process of estimating number of work periods (activity duration) required to complete individual activities with estimated resources * Uses activity scope of work, resource types, resource quantities and resource calendars * The inputs for activity duration originate from person or group on the project team who is most familiar with the nature of work * Effort = Amount of labor invested in activity. Usually expressed as staff hours, staff days, or staff weeks Duration = How long an activity is expected to take with the available labor. Usually expressed as workdays or workweeks * Activity Durations Estimates show calendar time and not just person-hours INPUTS .1 Activity List Input from ---> Define Activities * Activities for which duration will be estimated. Activities within scope should appear on this list .2 Activity Attributes Input from ---> Define Activities * They describe req. or limitations on specific activities, assumptions & constraints on location and timing of activities. These factors affect duration estimates .3 Activity Resource Requirements Input from ---> Estimate Activity Resources * Resources assigned to the activity and their availability will significantly influence the duration of estimates .4 Resource Calendar Input from ---> Conduct Procurements, Acquire Project Team * Resource availability, capabilities and skills make the difference in estimates .5 Project Scope Statement Input from ---> Define Scope * Specific milestones or limitations imposed by projects customer (including proj deadlines and reporting periods) described TOOLS & TECHNIQUES .1 Expert Judgment * Expert judgment with historical info can provide duration estimate info or recommended max activity durations from prior similar project * Also determines whether to combine methods of estimating and how to reconcile differences b/w them .2 Analogous Estimating * Also known as top-down estimating * Uses parameters such as budget, duration, size, weight and complexity from prev project and relies on actual duration of previous similar projects for estimating duration of current project * Gross value estimating approach, sometimes adjusted for known differences in complexity * Frequently used to estimate project duration when there is limited info about the project (like in early phases) * Less costly and less time consuming and less accurate * Combines expert judgment with historical info from similar projects completed in past * Applies to entire project or segment of a project and used in conjunction with other estimating methods .3 Parametric Estimating * Statistical relationship between historical data and other variables to calculate estimate for activity parameters * Uses mathematical formula takes into account various factors that affect duration - quantity of work to be performed,

OUTPUTS .1 Activity Duration Estimates Input to ---> Develop Schedule;; Identify Risks * Show how much time is required for each activity * Does not include lags/leads * May include range of possible results. E.g: 2 weeks +- 2 days or 15% of probability of exceeding 3 weeks .2 Project Document Updates * May require changes to activity attributes or assumptions made in developing activity duration estimate

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Develop Schedule (Planning) TOOLS & TECHNIQUES .1 Schedule Network Analysis .2 Critical Path Method .3 Critical Chain Method .4 Resource leveling .5 What-if Analysis .6 Applying Leads and Lags .7 Schedule Compression .8 Scheduling Tool

INPUTS .1 Activity List .2 Activity Attributes .3 Project Schedule Network Diagrams .4 Activity Resource Requirements .5 Resource Calendars .6 Activity Duration Estimates .7 Project Scope Statement .8 Organizational Process Assets .9 Enterprise Environmental Factors

KEY ASPECTS * Project schedule co-ordinates activities, * Helps manager optimize use of resources * Provides baseline against project progress can be tracked and * Serves as communication tool * Project schedule consists of activity identifier, activity description, resources, calendar unit, project schedule time frame (duration bars, data date line, precedence arrows)

INPUTS .1 Activity List Input from ---> Define Activities * List of activities to be performed to complete the project .2 Activity Attributes Input from ---> Define Activities * Details how and when activities need to be performed .3 Activity Resource Requirements Input from ---> Estimate Activity Resources . Describes types and quantities of resources required to complete an activity .4 Project Scope Statement Input from ---> Define Scope . Develop project schedule process uses assumptions and constraints listed in scope statement while developing project schedule .5 Resource Calendars Input from ---> Acquire Project Team;; Conduct Procurements . Shows when team members or resources are committed to other project TOOLS & TECHNIQUES .1 Schedule Network Analysis * Employs various analytical techniques - CPM, Critical Chain Method, What-If analysis, resource leveling to calculate early and late start and finish dates for uncompleted portions of project activities CPM... Click here .2 Critical Path Method * Calculates theoretical Early/Late Start and Finish dates of each activity without regard to resource limitations * Longest full path linking activities that must be performed in sequence is known as critical path . Together, estimated durations of activities on this path represent shortest time in which a project can be completed * Critical paths have Zero or negative total float and schedule activities on critical path are called critical activities * A delay in any one of the critical path activities will cause the entire project to be delayed. .3 Critical Chain Method * Modifies project schedule to account for limited resources. After critical path is identified, resource availability is entered and resourced limited schedule result is determined. The resulting schedule often has altered critical path * This resource constrained critical path is known as critical chain * This method adds duration buffers - Project buffers added at the end of critical chain protecting target finish date of the project from slippage. Feeding buffers placed at each point that a chain of dependent tasks not on the critical chain feeds into the chain (converging) protecting from slippage along the feeding chains

OUTPUTS .1 Project Schedule * can be represented in below formats * Milestone charts * Represents only key events of a project * Milestones are identified during define activity process which produces milestone list an output * Each milestone has zero duration and called milestone activity * Detailed information about milestone - activity id, activity description, duration, whether milestone is mandatory/optional * Milestone chart provides quick way to check project progress in term of significant events * Audience for this format is management, customer and project manager for monitoring and reporting purposes * Bar charts | Gantt Charts * Activity is represented by duration bar * Schedule information rolled up to level of main deliverables (level 2) in WBS * Each activity is represented by a horizontal bar and width of bar represents estimated activity duration. Shading on bars shows how much activity is completed * A vertical dotted date line represents as of date for the progress reported in the chart * Critical path can be showed on bar chart using a stepped line running L->R and down to cover duration bar of each Critical Path method * Critical Path: Longest duration path through a network diagram and determines shortest path it could take to complete the project * Near Critical Path: The closer in length near critical path and critical path, more riskier the project is. PM has to manage both the critical paths. * Total Float/Slack: Amount of time an activity can be delayed without delaying the project end date or milestones * Free Float/Slack: Amount of time an activity can be delayed without delaying early start date of its successor Free float = ESsuccessor - ( ESpredecessor + DURATIONpredecessor ) * Project Float/Slack: Amount of time project cen be delayed without delaying externally imposed project completion date by customer/management. * Activities on critical path have ZERO or negative total float * Three steps * Forward pass: Determines early start and early finish dates for all activities * Backward pass: Determines late start and late finish dates for all activities * Float: Difference between early start & late start or early finish & late finish is defined as float Float = LS - ES or Float = LF - EF * Exam: Can there be more than ONE critical path? Yes, can have many critical paths. Though, it is not desirable to have more

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Control Schedule (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Performance Reviews .2 Variance Analysis .3 Resource Leveling .4 What-if Scenario Analysis .5 Applying Leads and Lags .6 Scheduling Compression .7 Project Management Software .8 Scheduling Tools

OUTPUTS .1 Project Schedule .2 Schedule Baseline .3 Schedule Data .4 Project Document Updates

INPUTS .1 Project Management Plan .2 Project Schedule .3 Work Performance Information .4 Organizational Process Assets

rces, calendar unit, project schedule time frame

KEY ASPECTS * Determine current status of the project schedule * Influence the factors that cause changes - being proactive and using preventive measures to avo * Having Monitoring system that alerts project manager whenever a change threatens the schedule * Managing changes by putting them through project's change control system * Control Schedule is component of Perform Integrated Change Control process * Important: Not all schedule variances will impact the schedule. For example, a delay to a noncriti the overall schedule and might not need corrective action. Use caution here, thoughif a delay occ task or its duration is increased for some reason, that task can actually become part of the critical p tasks will always cause delays to the project completion date and require corrective action. Careful schedule INPUTS start and end dates helps you control the total time element of the project.

.1 Project Management Plan Input from ---> Develop Project Management Plan * Two areas - schedule baseline and schedule management plan * Schedule baseline contains baseline start and finish dates and provides basis of measuring and performance * Schedule mgmt plan describes circumstances in which schedule changes are allowed and how made. After scheduled change requests are approved, they become another input of controlling the .2 Project Schedule activity Input from ---> Develop Schedule * Latest version of schedule for updates, completed activities and started activities as of the ind .3 Work Performance Information sted in scope statement while developing project Input from ---> Direct and Manage Project Execution * How much work has been performed? * Provides actual dates and durations of the activities s * Compare with baseline dates and durations ject .4 Organizational Process Assets TOOLS & TECHNIQUES * To bring performance back in line with schedule and change schedule to match with actual perfo What-If analysis, resource leveling to calculate early Monitoring performance es .1 Performance Reviews * Measure and analyze schedule performance i.e. actual start and finish dates, percentage of wo ty without regard to resource limitations * Using schedule network diagrams to assess performance allows to determine whether delays e ce is known as critical path * SV/SPI from EVM are used to assess magnitude of schedule variations rtest time in which a project can be completed * If critical chain scheduling method is used, comparing buffer remaining to the buffer needed t on critical path are called critical activities can help determine schedule status project to be delayed. .2 Variance Analysis * SV and SPI assess magnitude of variation from original schedule baseline cal path is identified, resource availability is entered and * Total float variance is also an essential planning component to evaluate project time peforman ten has altered critical path * Based on variance whether corrective or preventive action needs to be taken Controlling variance d of critical chain protecting target finish date of the * Requires adjustments to baseline to reflect current project realities f dependent tasks not on the critical chain feeds into * Many of the techniques used in developing project schedule are used in controlling variance al .3 Resource Leveling

OUTPUTS .1 Work Performance Measurements * Schedule control activities, like monitoring and measuring performance, may result in updating proj mgmt plan component. To estimate degree of schedule impact and severity of the impact, SPI These need to be calculated and communicated to stakeholders uces milestone list an output .2 Change Requests * Review of variance analysis, performance measures results in change requests to schedule bas on, duration, whether milestone is mandatory/optional using perform integrated change control process rm of significant events * Type of change requests are - changes to start/finish dates, activity durations, project mileston anager for monitoring and reporting purposes * Preventive actions may include recommended changes to reduce the probability of negative sc .3 Project Management Plan Updates * Schedule management plan: To reflect change in the way schedule is managed 2) in WBS * Schedule baseline: In response to change requests related to scope, activity resources or activ epresents estimated activity duration. Shading on bars * Cost baseline: To reflect changes caused by compression or crashing techniques .4 Project Documents Updates eported in the chart * Schedule data: New project schedule network diagrams might be developed to display approv ning L->R and down to cover duration bar of each modifications to the work plan Schedule Variance determines shortest path it could take to complete the Schedule variance = Earned Value - Planned Value SV = EV - PV path, more riskier the project is. PM has to manage Schedule Performance Index Schedule variance = Earned Value / Planned Value delaying the project end date or milestones SV = EV / PV delaying early start date of its successor sor ) delaying externally imposed project completion date by ES EF LS
Activity name (Float)

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e olling) OUTPUTS .1 Work Performance Measurements .2 Change Requests .3 Project Management Plan Updates .4 Project Document Updates .5 Organizational Process Asset Updates

preventive measures to avoid schedule slippage nge threatens the schedule ystem process ample, a delay to a noncritical path task will not delay here, thoughif a delay occurs on a noncritical path become part of the critical path. Delays to critical path e corrective action. Careful watch of the variances in the project.

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Understanding Cost Management Covered in this column * Contents of Cost Management Plan * Types of Costs

Planning Process Group * Estimates Cost * Process of forecasting what each project activity will cost based on resources required to complete it * Determine budget * Process of adding up estimated costs for each activity or work package to get an estimated budget for entire budget Monitoring & Controlling Process Group * Control costs * Process of keeping actual costs and planned budget in line * Involves influencing factors that cause cost variances and manage changes to the budget * Project cost management should consider stakeholder requirements for capturing costs. * Project cost management is primarily concerned with cost of resources needed to complete project activities

* Ability to influence costs is greatest at the early stages of the project, making early scope definition critical * The work involved in performing Project Cost Management knowledge area is preceded by generating Cost Management Plan which part of Develop Project Management Plan * Cost Management Plan sets out format and establishes criteria for planning, structuring, estimating, budgeting and controlling project costs * Cost Management processes and their associated tools and techniques are established during project life cycle

* Cost Management Plan contains * Level of Accuracy: Rounding of data to a prescribed precision based on scope of the activities and magnitude of the project and may include amount of contingencies * Units of Measure: Unit used in measurements is defined for resources (staff hours, days, weeks) * Organizational Procedure Links: WBS provides framework for cost management plan which allows for consistency with estimates, budgets and control of costs. The WBS component used for project cost accounting is called control account which is linked directly to accounting system using unique code identifier * Control Thresholds: Variance thresholds for monitoring cost performance to indicate amount of variation to be allowed before action needs to be taken. Expressed as % deviations from baseline plan * Rules of Performance Measurement: Earned Value Management rules are set. * Define WBS and points at which measurement of control accounts will be performed * Establish EVM techniques (weighted milestones, fixed formula, % complete) * Project EAC and other forecasting methodologies * Reporting formats: frequency and format of cost reports * Process Descriptions: Descriptions f Estimate, Budget and control costs * Types of costs * Direct cost: include dedicated labor, material, supplies, equipment, licenses, fees, training, travel, or professional service fees * Indirect cost: Example, if a color printer is shared by several project teams, its difficult to definitively determine what percentage of costs each should share. * Variable cost: fluctuate and can't be predicted with absolute certainty. For example, travel or transportation costs that can change depending upon the cost of fuel or certain commodities and types of raw materials. * Fixed cost: are static throughout the project or have only a small likelihood of fluctuation. Fixed costs are usually for items such as rents, leases, licenses, salaries, and fixed fees * Factors affecting costs * Risks: During early phases, the greatest risk to budget accuracy is usually that the scope, activity, and constraints arent fully known * Total Cost of Ownership/Life-Cycle: * Cost of Quality: Cost that is incurred to achieve required quality * Marketplace Conditions

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INPUTS .1 Scope Baseline .2 Project Schedule .3 Risk Register .4 Human Resource Plan .5 Enterprise Environmental Factors .6 Organizational Process Assets

KEY ASPECTS * Estimating involves developing of approximation of cost needed to complete project activities i.e. costs of resources like labor, materials, equipments, services, facilities, categories like inflation allowance, contingency costs... * Estimates are prediction based on information known at that point of time * Estimates are expressed in units of currency or units of measure (staff hours) * Accuracy of Estimates: * Rough order of magnitude estimate ROM: This type of estimate is made during initiating process. Typical range is +/-50 percent from actual. These are usually top-down estimates made by expert judgment. * Budget estimate: This type of estimate is made during Planning phase. Typical range is -10 to +25 percent from actual. * Definitive estimate: This type is the most accurate estimate. Later during the project estimates will become more refined, some PMs use the range of -5 to +10 or -/+10. * Benefits * Identifies funding requirements * Establishes cost baseline INPUTS .1 Scope Baseline Input from ---> Create WBS * Work Breakdown Structure (WBS) - Each work package provides basis for cost estimation. WBS is developed progressively using rolling-wave planning, and as a result project's cost estimate baseline is also often refined progressively * WBS Dictionary - this contains work description, milestones, work to be done that are needed to estimate costs like resource req. and dependencies * Scope Statement - This document is aimed at stakeholders and while estimating costs it provides product desc, acceptance criteria, key deliverables, project boundaries, assumptions, constraints. One basic assumption made during estimation is whete estimates will be limited to direct costs only or includes indirect costs. Common constraints are limited budget, required delivery dates, available skilled resources etc. .2 Project Schedule Input from ---> Develop Schedule * Contains planned dates for performing schedule activities and info about what resources are needed and for how long * Helps in estimates costs for staff, material, location, equipment .3 Human Resource Plan Input from ---> Plan Human Resources

Estimate Costs (Planning) TOOLS & TECHNIQUES .1 Expert Judgment .2 Analogous Estimating .3 Parametric Estimating .4 Three-point Estimating (PERT) .5 Reserve Analysis .6 Bottom Up Estimating .7 Cost of Quality .8 Project Management Estimating Software .9 Vendor Bid Analysis

OUTPUTS .1 Activity Cost Estimates .2 Basis of Estimates .3 Project Document Updates

TOOLS & TECHNIQUES .1 Expert Judgment * Estimates are influenced by variables such as labor rates, material costs, infaltion risk factors etc. Expert judgment guided by histroical info provides valuable insight about the env and info from prior similar projects * Also determines whether to combine methods of estimating and how to reconcile differences b/w them .2 Analogous Estimating * Also known as top-down estimating * When you use costs of previous project to forecast costs for current project (when projects are similar) * Based on parameters such as scope, cost, budget, duration, size, weight, complexity from previous similar project is used as basis for estimating for current project * Gross value estimating approach, sometimes adjusted for known differences in complexity * Frequently estimate project duration when there is limited info about the project (like in early phases) * Less costly and less time consuming and less accurate * Combines expert judgment with historical info from similar projects completed in past * Applies to entire project or segment of a project and used in conjunction with other estimating methods .3 Parametric Estimating * Statistical relationship between historical data and other variables to calculate estimate for activity parameters OUTPUTS .1 Activity Cost Estimates Input to ---> Determine budget;; Plan Procurements;; Identify Risks * Quantitative valuations of how much costs required for carrying out a project * Depends on direct costs like material, equipment, labor, services and might include indirect costs * Can be in detail or summarized .2 Basis of Estimates Input to ---> Determine Budget * Detailed explanation of factors on which activity cost estimate is based * Details like activity scope of work, documents how on what basis cost was estimated, assumptions made, constraints, range of possible estimates .3 Project Document Updates * Like risk registers or any documents impacted because of changes in cost

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INPUTS .1 Activity Cost Estimates .2 Basis of Estimates .3 Scope Baseline .4 Project Schedule .5 Resource Calendar .6 Contracts .7 Organizational Process Assets

Determine Budget (Planning) TOOLS & TECHNIQUES .1 Cost Aggregation .2 Reserves Analysis .3 Expert Judgment .4 Historical Relationship .5 Funding Limit Reconciliation

OUTPUTS .1 Cost Performance Baseline .2 Project Funding Requirements .3 Project Document Updates

KEY ASPECTS * Aggregating estimated costs of individual activities or work packages to eastablish authorized cost baseline * Baseline includes all authorized budgets, excludes management reserves * Estimated costs of each activity is converted to realistic cost performance * Larger projects may be divided into multiple Cost Baselines.

INPUTS .1 Activity Cost Estimates Input from ---> Estimate Costs * How much each scheduled activity costs to complete? Includes resource costs like staff, material, equipment * Aggregate cost estimates for each activity within a work package to obtain cost estimate for work package .2 Basis of Estimates Input from ---> Estimate Costs * Document recorded about how you arrived at the cost estimate? E.g: Any basic assumptions like inclusions or exclusions of indirect costs .3 Scope Baseline Input from ---> Create WBS * Scope statement identifies budget limitations (mandated by organization or contract or govt policies) * WBS shows relationship between the project deliverables and components * WBS dictionary lists work that needs to occur in each component to complete the project * All these help in estimating budget more accurately .4 Project Schedule Input from ---> Develop Schedule

TOOLS & TECHNIQUES .1 Cost Aggregation * Cost aggregate means adding together activity cost estimates for each component in WBS Activity Estimates -> Work Package Estimates -> Control Account Estimates -> Project Estimates -> Contingency Reserves -> Cost Baseline -> Mgmt Reserves -> Cost Budget .2 Reserve Analysis * Technique to determine realistic reserves * Contingency Reserves - account of unplanned changes related to risk events that occur in the project i.e. realized risks. These are part of cost performance baseline and total budget * Management Reserves - Unplanned changes to scope and cost. They are not included in cost performance baseline but included in total budget. Project manager has to seek approval before accessing these reserves. These are not included as part of earned value measurement calculations .3 Expert Judgment * Expert knowledge about project activities and associated costs can help to develop accurate budget .4 Historical Relationships * Based on historical relationships, project managers can use parametric estimating to develop mathematical models for predicting total project costs. OUTPUTS .1 Cost Performance Baseline Input to ---> Plan Procurements;; Plan Quality;; Develop Project Management Plan * Authorized time-phased budget at completion developed as a summation of approved budgets by time period * Displayed in form of S-curve * In EVM, this is also referred as Performance Measurement Baseline * Key elements - Work package costs, sub-project costs, total costs, contingency reserves and due dates * Identifies expected cost of all the work, dates when costs apply .2 Project Funding Requirements Input to ---> Control Costs * Periodic funding requirements derived from cost baseline * Cost Baseline = ( Projected expenditures + Risk Response Cost ) + Contingency reserve (known unknowns) * Project Funding Requirements/Cost Budget = Cost baseline + Management reserves (unknowns) * Funding occurs in incremental amounts that are not continuous (appear as steps) .3 Project Document Updates * Risk registers, cost estimates, project schedule

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INPUTS .1 Project Management Plan .2 Project Funding Requirements .3 Work Performance Information .4 Organizational Process Assets

Control Costs (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Earned Vaue Management .2 Forecasts .3 To-Complete Performance Index .4 Performance Reviews .5 Variance Analysis .6 Project Management Software

OUTPUTS .1 Work Performance Information .2 Budget Forecasts .3 Change Requests .4 Organizational Process Asset Updates .5 Project Management Plan Updates .6 Project Document Updates

KEY ASPECTS * Below are the tasks performed in cost control process * Influencing factors that affect costs * Ensuring costs expenditures do not exceed authorized funding, by period and in total * Monitoring work performance againsts funds expended i.e. Actual work (Earned value) vs cost * Analyzing discrepancies * Managing changes * Preventing unapproved changes from being included in the reported costs or resource usage * Communicating with stakeholders * Actual cost performance is compared against cost performance baseline. By looking a comparison, project manager can see how project is performing and when actions may be needed to bring actual and planned costs back in line. * Project funding requirements are another input which project manager compares. They are funds that needs to have available at different times throughout the projects in order to finance the work * Control Costs is component of Perform Integrated Change Control process * Control costs to assure that the project budget isn't exceeded (resulting in cost overruns) * All budget changes should be agreed to and approved by the project sponsor where applicable (the criteria for approvals should be outlined in the change control system documentation) INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Cost Performance Baseline: Time phased estimate of all project costs including contingency reserves. It identifies costs of all activities and when costs are scheduled to be incurred. This is compared with actual results * Cost Management Plan: Describes how costs will be managed and controlled .2 Project Funding Requirements Input from ---> Determine Budget * Total funds required for project at each phase * Project funding req. are total estimated project costs, as established in cost baseline, including contingency reserves * Management contingency reserves are difference between maximum funding and the end of costs baseline .3 Work Performance Information Input from ---> Direct and Manage Project Execution * Status and cost of current and completed project activities * Includes costs of finished & unfinished deliverables, estimates of when scheduled activities will complete, analyses of work progress * Represented in various formats like - bar charts, s curves, histograms, tables, project schedule network diagrams

TOOLS & TECHNIQUES More on EVM... .1 Earned Value Management (EVM) * Determines how project is performing in terms of project scope, costs and schedule as well as comparing actual to planned costs and dates. * It involves comparing what project has earned so far compare (based on work completed) to what it should have earned * Three key dimensions: Planned Value (PV), Actual Cost (AC), Earned Value (EV) * Variances from approved baseline will be monitored: Cost Variance (CV), Schedule Variance (SV) * Efficiency/Performance indices: Schedule Performance Index (SPI), Cost Performance Index (CPI) .2 Forecasting * Some way into the project, the project team foresees future conditions and events, then estimates projects final actual cost. This is known as estimate at completion (EAC) .3 To-Complete Performance Index (TCPI) * Calculated cost performance that must be achieved for remaining work if project has to meet financial goal set by management such as initial budget at completion (BAC) or subsequent estimate at completion (EAC). * TCPI is used by management to decide whether to revise EAC so that project can be completed .4 Performance Reviews * Reviews of project status and progress. Performance is assessed in terms of cost, schedule, technical performance and OUTPUTS .1 Work Performance Measurements * Cost and schedule performance (CV, SV, CPI, SPI) * It's reported to stakeholders and an input to report performance process .2 Budget Forecasts * Calculated EAC or bottom-up estlimated EAC is documented and communicated to stakeholders .3 Change Requests * Review of variance analysis, performance measures results in change requests to schedule baseline which are reviewed using perform integrated change control process .4 Organizational Process Assets Updates * Causes of variances, corrective actions taken and reasons, other lessons learned from cost control .5 Project Management Plan Updates * Cost performance baseline and cost management plan * Schedule or required resources * Might result change in project scope (dramatic though) .6 Project Documents Updates * Updates to cost estimates, basis of estimates

Understanding Project Quality

* Modern quality management complements project management. * Customer Satisfaction: Conformance to requirements and fitness for use * Prevention over Inspection: QUALITY MUST BE PLANNED IN, NOT INSPECTED IN. * Continuous improvement: Plan-do-check-act cycle for quality improvement * Management Responsibility: Along with project team members, management has responsibility to provide resources needed to succeed * Different aspects of project quality are * Defining quality policies * Setting quality objectives * Assigning roles and responsibilities * Implementing a quality management system * Monitoring and improving process effectiveness * Quality: Degree to which a set of inherent characteristics (i.e. project) fulfill requirements. E.g. High Quality - no defects, readable manual. Low Quality - Many defects, poorly organized manual Grade: Category assigned to products having same functional use but different technical characteristics (# of features). E.g. Low grade - limited # of feature, High Grade - numerous features * Quality level that fails to meet requirements is always a problem, low grade may not be. * Three processes associated with quality management are (as per PMBOK) * Plan Quality (Planning process group): Process of identifying quality requirements and standards for the project and product and documenting how the project will demonstrate compliance * Perform Quality Assurance (Executing process group): Process of auditing quality requirements and the results from quality control measurements to ensure appropriate quality standards * Perform Quality Control (Monitoring & Control process group): Process of monitoring and recording results of executing quality activities to assess performance and recommend necessary changes * To understand easily * Plan Quality: Define quality for the project and identify how it will be achieved * Perform Quality Assurance: Ensure team is following the processes as planned to produce deliverables * Perform Quality Control: Examines actual deliverables produced on the project and ensure deliverables are correct and meet the planned level of quality * Failure Mode and Effect Analysis (FMEA) is an analytical procedure in which each potential failure mode in every component of a product is analyzed to determine its effect on the reliability of that component and the reliability of the product or system as a whole. The intent is to minimize the likelihood of failure and the effects of any failure.

* Quality Theorists * Juran: Developed 80/20 principle; Advocated management responsibility; defined quality as "fitness for use" * Deming: Developed 14 points to TQM; Plan-do-check-act cycle for continuous improvement * Crosby: Advocated prevention over inspection; quality as "conformance to requirements"; zero defects * Plan-Do-Check-Act has been defined by Shewhart and modified by Deming * Process impovement models include: Malcolm Baldrige, Organizational Project Management Maturity Model (OPM3), Capability Maturity Model Integrated (CMMI) * Marginal analysis: As we strive for improving products and processes, we don't want to exceed a point beyond (unnecessary quality) which the costs of the improvements aren't offset by the anticipated increase in revenue (sales or profits). * Just In Time (JIT): To reduce expensive cost of holding inventory, many companies decrease inventory close to zero. A company using JIT must have high quality practices. * Gold Plating: is often the teams impression of what is valued by the customer, and the customer might not agree. * Six Sigma: quality management philosophy that sets very high standards for quality. 1s = 68.25% 2s = 95.46% 3s = 99.73% 6s = 99.99966% * Total Quality Management (TQM): Everyone in the company is responsible for quality and is able to make a difference in the ultimate quality of the product. TQM shifts the primary quality focus away from the product that is produced and looks Quality management plan Section A: Quality control - Inspecting compliance to project standards 1. Major deliverables to be tested 2. Standards and criteria 3. Monitoring and controlling activities 4. Quality control schedule Section B: Quality Assurance - Focusing on review and audit processes 1. Processes subject to quality assurance 2. Standards and stakeholders expectations 3. Quality assurance activities 4. Quality assurance schedule Section C: Continuous Improvement 1. Identify approaches to expand and develop later 2. Total Quality Management

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INPUTS .1 Scope Baseline .2 Cost Performance Baseline .3 Schedule Baseline .4 Risk Register .5 Stakeholder register .6 Enterprise Environmental Factors .7 Organizational Process Assets

Plan Quality (Planning) TOOLS & TECHNIQUES .1 Cost Benefits Analysis .2 Cost of Quality (COQ) .3 Control Charts .4 Benchmarking .5 Design of Experiments (DOE) .6 Statistical Sampling .7 Flowcharting .8 Proprietary Quality Management Methodologies .9 Additional Quality Planning Tools

OUTPUTS .1 Quality Management Plan .2 Quality Metrics .3 Quality Checklists .4 Process Improvement Plan .5 Project Document Updates

* Plan Quality * Helps to determine what quality requirements are relevant to the project and product * Helps to determine how to satisfy quality standards and to document the quality control processes to be used * Plan quality is one of the input for developing project management plan * Quality is planned after WBS is created during project scope management * Benefits of planning quality processes * Increases chance of project success * Establishes commitment to improve quality * Helps decrease costs * Exam: Inspection keeps errors in the product from reaching the customer. Prevention keeps errors from occurring in the process.

INPUTS .1 Scope Baseline Input from ---> Create WBS * Used to determine quality metrics * Scope Statement: Provides project description, projects major deliverables and acceptance criteria. Product scope description will contain details of technical issues and other concerns that can affect quality planning. Acceptance criteria can increase or decrease project costs and quality costs. Satisfying all acceptance criteria means needs of the customers have been met * WBS: identifies deliverables, work packages, control counts used for measuring project performance * WBS Dictionary: assists in reading WBS and defining technical info for WBS elements .2 Stakeholder Register Input from ---> Identify Stakeholders * Helps to identify stakeholders that have particular interest or impact on quality .3 Cost Performance Baseline Input from ---> Determine Budget * How much money you can spend on quality related activities .4 Schedule Baseline

TOOLS & TECHNIQUES (Too Long... scroll down) .1 Cost Benefit Analysis * Compares COQ for each quality activity is compared to expected benefit * List and calculate the costs - Direct + Indirect costs * List and calculate the benefits - Tangible + Intangible benefits * Compare the results - Compare whether benefits outweigh costs .2 Cost of Quality (COQ) * Total cost of all efforts (planned/unplanned) related to quality throughout the product life cycle * Project decisions can impact COQ as a result of product returns, warranty claims and recalls so the sponsoring org. may invest in product quality improvement (defect prevention and appraisal) to reduce external COQ. * Classified into two groups * Cost of conformance - Costs incurred to ensure project conforms to required level of quality * Prevention costs - Costs incurred to prevent customers from receiving a poor quality or defective product or service (Training, good equipment, taking time to do work right) * Appraisal costs - Costs incurred to find quality problems and to check product or work processes meet project req. (testing, destructive testing loss, inspections) * Cost of non-conformance - Costs incurred when project fails to meet required level of quality. Failure costs are also OUTPUTS .1 Quality Management Plan * Subsidiary of project management plan and describes how team will implement performing organization's quality policy * Provides input to PMP and includes quality control, quality assurance and continuous process improvement approaches for the project * There are 4 formats of plan depending on type of project - Formal, informal, broadly based, detailed * Informal - For any internal project where team is familiar with the req. * Formal - When customer is formal like large corporations or government agencies * Broadly based - Suitable for service oriented projects and in projects where products need not meet strict quantifiable specs * Detailed - Necessary in projects with exact specs like manufacturing, construction or technical projects .2 Quality Metrics * Operational definition that describes product/project attribute and how quality control process will measure it * Measurement is actual value and tolerance defines allowable variations on the metrics * Quality metrics are used in the quality assurance and quality control processes * E.g: on-time performance, budget control, defect frequency, failure rate, availability, reliability, test coverage .3 Quality Checklists

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INPUTS .1 Project Management Plan .2 Quality Metrics .3 Work Performance Information .4 Quality Control Measurements

Perform Quality Assurance (Executing) TOOLS & TECHNIQUES .1 Plan Quality & Perform Quality Control Tools & Techniques .2 Quality audits .3 Process Analysis

OUTPUTS .1 Change Requests .2 Organizational Process Assets Updates .3 Project Management Plan Updates .4 Product Document Updates

KEY CONCEPTS * Involves executing quality process activities and auditing quality control measures * Are we following procedures and processes as planned? * Can we improve the way we are doing the work? * Purpose is to * Identify flaws in processes and provide recommendations for process improvements via change requests * Ensure appropriate policies and work methods are used to fulfill the project customer's needs * Interacts closely with other processes in the planning process group, executing process group, monitoring & control process group * Perform Quality Assurance is an execution process that uses data from Perform Quality Control * Provides an umbrella for continuous process improvement, which is an iterative means for improving quality of all processes. Continuous improvement reduces waste and eliminates activities that do no add value. This allows processes to operate at increased levels of efficiency and effectiveness * The project team members, the project manager, and the stakeholders are all responsible for the quality assurance of the project. * A separate QA team may be assigned to the project to oversee these processes, in such case, QA team will be provided to the project team INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Quality Management Plan: Contains description of how project management team will implement both quality assurance and quality control for a project * Process Improvement Plan: Criteria for analyzing processes with a view to enhancing their value to project .2 Quality Metrics Input from ---> Plan Quality * Define how quality of project attributes and processes will be measured .3 Work Performance Information Input from ---> Direct and Manage Project Execution * Project performance information is routinely collected as the project progresses * In conjunction with agreed quality metrics work performance information will be basis for quantifying actual project performance in terms of quality * This information includes technical performance measures, project deliverable status, schedule progress, costs incurred .4 Quality Control Measurements Input from ---> Perform Quality Control

TOOLS & TECHNIQUES .1 Plan Quality & Perform Quality Control Tools & Techniques .2 Quality Audits * Stuctured, independent review to determine whether project activities comply with org and project policies, processes and procedures. This method provides following benefits * The product of the project is fit for use and meets safety standards. * Applicable laws and standards are adhered to. * Corrective action is recommended and implemented where necessary. * The quality plan for the project is adhered to. * Quality improvements are identified. * Implementation of approved change requests, corrective/preventive actions or defect repairs are confirmed * Gaps or shortcomings in the process are identified * Increases chance of sponsor/customer acceptance of the project's product * Reduces CoQ to correct any subsequent deficiencies .3 Process Analysis * Aims to identify where improvements can be made to project processes * Uses steps outlined in process improvement plan and determine strategies for improvement OUTPUTS .1 Change Requests Input to ---> Perform Integrated Change Control * Change requests resulting from quality assurance activities propose alterations to policies, procedures or processes to increase effectiveness and efficiency of quality related activities in a project .2 Organizational Process Assets Updates * Policies, procedures, processes often need to be reviewed during a project .3 Project Management Plan Updates * Changes to quality management plan leads to changes to project management plan * Schedule management plan and Cost management plan might also get updated .4 Project Document Updates * Updates to quality audit reports, training plans, process documentation

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INPUTS .1 Project Management Plan .2 Quality Metrics .3 Quality Checklists .4 Work Performance Measurements .5 Approved Change Requests .6 Deliverables .7 Organizational Process Assets

Perform Quality Control (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Cause and Effect Diagrams .2 Control Charts .3 Flowcharting .4 Histogram .5 Pareto Chart .6 Run Chart .7 Scatter Diagram .8 Sampling .9 Inspection .10 Approved Change Requests Review

OUTPUTS .1 Quality Control Measurements .2 Validated Changes .3 Validated Deliverables .4 Change Requests .5 Organization Process Assets Updates .6 Project Management Plan Updates .7 Project Document Updates

KEY CONCEPTS * Perform Quality Control is concerned with project results both from a management perspective, such as schedule and cost performance, and from a product perspective. * Perform Quality Assurance is concerned with assuring that the project is using the correct and most efficient processes to meet the project requirements; Perform Quality Control is concerned with the accuracy of the project results. * Involves measurement, evaluation and documentation of project results to determine whether results meet project quality standards * Helps to determine when changes are necessary and ensure changes are managed * Key concepts to understand for effective control are * Prevention & Inspection * Prevention help ensure that no errors in processes occur. Happens throughout the project but particularly before production starts or processes are implemented * Prevention aligns with quality assurance which analyzes and continuously improves processes * Inspection detects and corrects errors before a product is delivered to customer. Takes place after production activities are complete and processes to develop have been performed * Inspection aligns with quality control, which analyzes work performance results and recommends defect repair or corrective action INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Quality management plan describes how quality control activities are carried out * What quality reviews must occur? What attributes will be checked during reviews? How problems are recorded? Identify deadlines for quality reviews .2 Quality Checklists Input from ---> Plan Quality * Quality checklists guide through quality reviews step by step .3 Quality Metrics Input from ---> Plan Quality * Criteria against which work results are measured during quality reviews .4 Work Performance Measurements Input from ---> Control Scope;; Control Schedule;; Control Cost * Create performance metrics when measuring quality to evaluate actual progress compared to planned progress * Planned vs. actual technical performance, schedule performance, cost performance .5 Approved Change Requests

TOOLS & TECHNIQUES Ishikawa's Seven Basic Tools of Quality (from 1-7 below) .1 Cause and Effect Diagrams * a.k.a. fishbone or Ishikawa diagrams, show relationship between effects of problems and their causes * Also illustrates effect that each proposed solution will have on a problem * After all possible causes are identified, narrow down most likely causes of a problem * Why-Why and How-How diagrams may be used in root cause analysis .2 Control Chart * Illustrates how process behaves over time and when a process is subject to special cause variation * Is the process variance within acceptable limits? * Measures results of project processes over time and against established control limits * The distribution of data points determines process is performing within prescribed limits * When a process is outside acceptable limits, the process should be adjusted * Upper and lower control limit are usually set at +/- 3sigma .3 Flowcharting * Illustrates logical sequence of steps, decision points and handoffs of responsibility in a process * Used for determining whether any process steps are failing and where improvements should be made OUTPUTS .1 Quality Control Measurements Input to ---> Perform Quality Assurance * Documented measures of how actual project work or deliverables compared to the required quality standards (defined during quality planning) .2 Validated Changes * Any changed or repaired items are inspected and will be either accepted or rejected. * Rejected items need reowrk .3 Validated Deliverables Input to ---> Verify Scope * Project results meeting required quality standards * They become input to Verify Scope process (refer Scope tab) .4 Change Requests Input to ---> Perform Integrated Change Control * To address quality problems or defects, change requests may recommend alterations to project/product scope .5 Organizantional Process Assets Updates * Completed quality checklists

Introduction Covered in this column * Motivation Theories * Leadership Theories * Powers of Project Managers * Leadership Styles

* Project sponsor works with project management team, typically assisting matters such as project funding, clarifying scope, monitoring processes and influencing others to benefit the project * Approving project plan, schedule and budget * Verifying progress * Chairing the steering committee * Approving deliverables * Communicating with stakeholders * Project management team responsibilities are * Project management team is subset of project team responsible for project management and leadership activities such as initiating, planning, executingm monitoring and controlling and closing. Also referred as core, executive or leadership team * Providing leadership and management * Influencing the project team: Influencing HR factors that include team env, geo locations of team members, communication among stakeholders, interna;/external politics, culutural issues and other such people factors that may alter project performance * Modeling professional and ethical behavior * Human resource responsibilities of project manager are * Human resource management processes are * Develop human resource plan (Planning process group) * Process of identifying and documenting project roles, responsibilities, required skills, reporting relationships, staffing management plan * Acquire project team (Executing process group) * Confirm availability of human resources, assemble team necessary to complete the project * During the process, project managers hire, recruit, orient project team members * Develop project team (Executing process group) * Process of improving team members competencies, team interaction, overall team environment to enhance project performance * Manage project team (Executing process group) * Process of tracking team members performance and managing it by providing feedback and resolving issues * Involves managing changes to the project team

Motivational Theories Exam * Maslow's hierarchy of needs - Abraham Maslow - Needs must be satisfied in a hierarchical order. * Hygiene Theory - Frederick Herzberg - Work environment (pay, benefits, and working conditions) prevents dissatisfaction. * Expectancy Theory - Victor Vroom - Expectation of positive outcomes drives motivation. * Achievement Theory - David McClelland - People are motivated by achievement, power, and affiliation. Maslow's Hierarchy of needs * Maslow presented a hierarchy of deficiency needs that must be met in order for a person to reach his or her pinnacle. In most cases, each lower need must be met before the next level of satisfaction can be achieved, and previously satisfied needs are no longer motivating factors for the person. * LOWER Needs 1. Physiological Needs: Food, water, air, shelter 2. Security/Safety: Stability (political, environmental, financial), personal safety, health 3. Acceptance/Social: Friendship, community, family, intimacy. HIGHER Needs 4. Esteem: Respect from others, respect of others, self-respect Leadership Theories Exam * Leaders motivate, inspire, and create buyin for the organization's strategic vision. Leaders use power and politics to accomplish the vision. * Managers are task oriented and concerned with satisfying stakeholder needs. * Douglas McGregor's Theory X: Most people don't like work. * Douglas McGregor's Theory Y: People are motivated to perform their best given proper expectations and motivation. * William Ouchi's Theory Z: The implementation of this theory increases employee loyalty and leads to high satisfaction and morale. * Contingency Theory: People are motivated to achieve levels of competency and will continue to be motivated after competency is reached. Douglas McGregor's Theory X and Theory Y Theory X * Managers believe most people do not like work; people have little to no ambition; need constant supervision; won't actually perform the duties of their job unless threatened. * Authoritarian management style Power of the Project Managers http://pmstudycircle.com/2012/01/best-power-of-project-manager Exam * Formal or Legitimate Power: Since you are a project manager meaning you have this power. This power comes with the position itself; therefore, also known as positional power. Team member will obey orders from the project manager because they know that the project manager has the formal power and authority to issue orders. * Reward Power: A Reward is something people desire. Reward power is up-to some extent ties with the formal power of the project manager. The project manager will get the team support since team members think that the project manager is capable of rewarding them if they perform well. Rewards may be monetary (salary increment, bonus and promotion etc.) or non-monetary (recognition, professional development, appreciation letter, day-off and picnic etc.). * Coercive/Penalty/Punishment Power: Nobody wants to get punished. Punishment Power comes with the formal power of the project manager. Here, the project manager will get his teams obedience because the team members afraid that if they dont perform their duties as required by the project manager, they may get punished. * Expert Power: Being a subject matter expert itself is a great influential power. Team members will respect the project manager just for his technical soundness on the subject. They trust him and obey his orders because they think that the project manager is an expert, has special knowledge on the matter, and knows how to handle issues. Expert Power is considered to be a positive power that influences the team members to follow the lead of the project manager. If the project

Leadership Styles * Autocratic/Authoritarian/Directing: Strong style. The PM seeks little or no information from the team, and is the sole decision maker. * Bureaucratic/Persuading/Consultative Autocratic: Input is received from selected team members, but the PM is still the sole decision maker. * Democratic/Participative/Consensus: Consults team for open discussion and information gathering; uses help from team to come up with a decision. * Lassiez-faire/Delegating/Free Reign/Shareholder: (Poor Leadership Style) Little or no information exchange takes place within the project group. Team has ultimate authority on final decision, hands-off attitude. * Transactional: Transactional leadership is really just a way of managing (mangement by exception) rather than a true leadership style as the focus on the short-term tasks. * Transformational: A person with this leadership style is a true leader who inspires his or her team constantly with a shared vision of the future.

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INPUTS .1 Activity Resource Requirements .2 Enterprise Environmental Factors .3 Organizational Process Assets

Develop Human Resource Plan (Planning) TOOLS & TECHNIQUES .1 Organizational Charts and Position Descriptions .2 Networking .3 Organizational Theory

OUTPUTS .1 Human Resource Plan

KEY ASPECTS * Important consideration should be given to availability of scarce or limited human resources. Other projects may be competing for resources with the same competencies or skill sets. With these factors, project costs, risks, quality and other areas may be significantly affected. * Components of Human resource plan are * Roles and responsibilities * Roles & responsibilities of each team member are identified and documented. Additionally, the positions, skills and competencies required are documented and linked to individuals and groups who will work on the project * Reporting relationships between team members are set out * Staffing management plan * How staff will be acquired, managed, trained, released? * Identifies time periods for which each team member will be required and identifies training needs for individuals and groups working on the project, team building strategies, awards and recognitions * Details of impact of staffing management plan

INPUTS .1 Activity Resource Requirements Input from ---> Estimate Activity Resources * Outline the resources, including types and quantities that are required to complete the schedule activities in each work package * Initial human resource and competency requirements are progressively elaborated throughout human resource planning .2 Enterprise Environmental Factors * Existing human resources and personnel administration policies, market place conditions, organizational structure and culture .3 Organizational Process Assets * Historical info on org structures, templates for creating org charts and roles & responsibilities documents

TOOLS & TECHNIQUES .1 Organization Charts and Position Descriptions * Falls into any of three format - hierarchial, marix and text-oriented * Additionally some are located in subsidiary management plans such as risk, quality, communication * Objective is to ensure that each work package has an unambiguous owner and all team members know their roles and responsibilities * Hierarchial Type Charts * Organizational Breakdown Structure(OBS) * Arranged according to org's existing dept with project activities/work packages listed under each dept. e.g. IT dept, Infrastructure dept * Shows positions and reporting relationships for the entire project team at a glance, in a graphic top-down view * Advantage is speed at which it enables team members to find information, as long as they don't require lot of detail * Resource Breakdown Structure * Breakdown by types of resources (e.g. all electricians and electrical equipments) * Helpful in tracking project costs and can be aligned with org's accounting system * Contains resource categories other than human resources * Matrix Based Charts OUTPUTS .1 Human Resource Plan * This plan provides guidance on how project human resources should be defined, staffed, managed, controlled and eventually released * Roles and Responsibilities * Roles - Label describing portion of project for which person is accountable. Defined function such as testing, inspecting, coding to be performed by project team member * Authority - Right to apply project resources, use project funds, make decisions, grant approvals * Responsibility - Work expected to perform as part of completing project activities * Competency - Skills needed to perform project activities * Project Organizational Charts * Shows reporting relationship of project team members * One chart with overview of entire project team or more detailed charts representing different functional groups within a project * Staffing management plan * Timing and methods that will be used to meet HR requirements * Seven components are

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INPUTS .1 Project Management Plan .2 Enterprise Environmental Factors .3 Organizational Process Assets

Acquire Project Team (Executing) TOOLS & TECHNIQUES .1 Pre-assignment .2 Negotiation .3 Acquiring .4 Virtual Teams

OUTPUTS .1 Project Staff Assignments .2 Resource Calendars .3 Project Management Plan Updates

KEY ASPECTS * Process of confirming human resource availability and obtaining team necessary to complete project assignments * Following factors should be considered by project management team while acquiring resources * Effectively negotiate and influence others who provide human resources for the project * Failure to acquire human resources impacts project schedules, budgets, customer satisfaction, quality and risks * Assign alternative resources if planned human resources are not available due to constraints, provided there is no violation of legal, regulatory, mandatory or other criteria * Halo Effect: Halo Effect is the assumption that because the person is good at a technology, he will be good as a project manager.

INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Human Resource Plan: How human resources will be identified, stafeed, managed, controlled and released * Roles and responsibilities defining the position, skills and competencies required * Project organization charts indicating number of people required * Staffing management plan identifies how many resources you need to acquire, skills they must have and period for which they are needed .2 Enterprise Environmental Factors * Include availability, costs, abilities, interests, experience of potential team members * Company location might also affect recruiting processes * Personnel administration policies, organizational structure .3 Organizational Process Assets * Documented policies, guidelines, procedures governing staff assignments * They provide info about departments and processes involved in recruiting, hiring, outsourcing, training, orienting team members * Organizational policies that dictate recruitment practices are constraints.

TOOLS & TECHNIQUES .1 Pre-assignment * Involves selecting project team members in advance * Occurs when specific people were promised as part of the project proposal; project is dependent on expertise of particular persons; staff assignments defined within the project charter .2 Negotiation * Persuade internal function managers or other project managers to assign people for your project team * Need to persuade external org to provide resources on contractual basis. Special consideration should be given to external negotiating policies, practices, processes, guidelines, legal and other such criteria .3 Acquisition * If in-house team lacks skill sets or lacks resources, acquire external resources by hiring consultants or subcontract elements of project work .4 Virtual Teams * Group of team members working primarily off-site and interact via electronic means * Virtual teams can be * Group of people from same org living in different geographic location * Add special expertise to the project team though expert is not in the same region OUTPUTS .1 Project Staff Assignments Input from ---> Develop Project Team;; Manage Project Team * After determining elements such as the roles and responsibilities, reviewing recruitment practices, and negotiating for staff, project team members are assigned to project activities. * A project team directory is published listing the names of all project team members and stakeholders. * Include team member names in project organization charts, RAM charts, and other planning documents if their assignments or names weren't known when those documents were created .2 Resource Calendars Input from ---> Estimate Activity Resources;; Estimate Actviity Durations;; Develop Schedule;; Determine Budget;; Develop Project Team * Resource calendars document time periods when team member can work on the project * Helps in creating reliable schedule by taking account of team member's schedule conflicts, vacation, commitments to other project .3 Project Management Plan Updates * The human resource plan and staffing management plan might require updates to document the project roles and responsibilities of the staff assigned to the project.

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INPUTS .1 Project Staff Assignments .2 Project Management Plan .3 Resource Calendars

Develop Project Team (Executing) TOOLS & TECHNIQUES .1 Interpersonal Skills .2 Training Needs .3 Ground Rules .4 Recognition and Rewards .5 Team Building Activities .6 Co-location

OUTPUTS .1 Team Performance Assessments .2 Enterprise Environmental Factors Updates

KEY ASPECTS * Encouraging trust and agreement among team members * Creating dynamic and unified team that shares knowledge * Improving knowledge and skills of team members individually and as a team * "Project Management Skills, Leadership Styles, Power, Team Building and the Motivation of people are all concepts that fall into this process."

INPUTS .1 Project Staff Assignment * Know who your team members are from project team directory and develop project team .2 Project Management Plan * Human resource plan provides guidance for developing, defining, managing and controlling project's human resources * Inputs from HR plan are roles & responsibilities, skills & abilities, project org chart, training needs and project team development plans * Staffing management plan tells how and when staffing requirements are met .3 Resource Calendars * Based on team availability in resource calendars, team development activities will be planned

TOOLS & TECHNIQUES .1 Interpersonal Skills * Also known as "soft skills" and are important for team development * Soft skills include such things as leadership, influence, negotiation, communications, empathy, and creativity .2 Training * Includes all activities designed to enhance competencies of project team members * Formal/Informal training * Training methods: clasrrom, online, computer-based, on-the-job training from another team member, mentoring and coaching * Unplanned training takes place as result of observation, conversation or project performance appraisals .3 Team Building Activities * Main goals are to promote trust, open communication, and good team leadership. * Helps to bring together a collection of individuals with different needs, backgrounds, and expertise, and transform them into an integrated, effective work unit. * Team building should definitely be applied in these situations: project initiation, when there is conflict, when there is a big change to the project and when a new team member joins * Five stages of team building (Tuckmann ladder of team development/ Tuckman-Jensen Model) OUTPUTS .1 Team Performance Assessments * Team performance assessments involves determining a team's effectiveness. * Must be relevant, objective and based on measurable criteria * Direct measures of performance are based on meeting objectives, finishing on time, and finishing on budget * Indirect measures of performance include job-related and people-related qualities * Job-related * the skills and competencies to complete assignments effectively * the ability to learn quickly and adapt to new work situations * People-related * active listening skills * coaching skills * effective communication skills * low staff turnover rate * strong team cohesiveness * effective group decision making and consensus * With strong indirect measures if team performance a team is better equipped to succeed at direct indicators

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INPUTS .1 Project Staff Assignments .2 Project Management Plan .3 Team Performance Assessments .4 Performance Reports .5 Organizational Process Assets

Manage Project Team (Executing) TOOLS & TECHNIQUES .1 Observation and Conversation .2 Project Performance Appraisals .3 Conflict Management .4 Issue Log .5 Interpersonal Skills

OUTPUTS .1 Enterprise Environmental Factor Updates .2 Organizational Process Assets Updates .3 Change Requests .4 Project Management Plan Updates

KEY ASPECTS * The process involves tracking project teams performance, providing feedback, resolving issues, managing changes * Skills to effectively manage team are - Conflict management, negotiation, leadership, communication * During this process, performance appraisals are prepared and conducted, issues are identified and resolved, and feedback is given to the team members. * The main focus here is on individuals and their performance rather than team performance *

INPUTS .1 Project Staff Assignments * Project manager uses this info to identify who's on the project team and whose contributions must be monitored and evaluated .2 Project Management Plan * Human resource plan (part of Project Management Plan) defines roles, responsibilities, level of authority and required level of competency. It provides a clear indication of what is expected of each person on the team * Also includes Project organization and Staffing management plan .3 Team Performance Assessments * Information gathered as part of team performance assessments enables project manager to identify and resolve problems, reduce conflicts, take steps to improve teamwork. .4 Performance Reports * Performance is measured in areas such as cost, plan and schedule * Enables project managers to identify and resolve performance problems, plan future human resource req., make appropriate updates to staffing management plan .5 Organizational Process Assets * The process assets that effect team management are - company policies and structures related to recognition and reward

TOOLS & TECHNIQUES .1 Observation & Conversation * The project management team needs to stay closely involved in the day-to-day activities of the team in order to monitor progress and get first-hand impressions from the team members. .2 Project Performance Appraisals * Formalized feedback about the individual's team members contributions to the project. * The purpose of appraisals is twofold: 1. The team member needs recognized for what he or she is doing well 2. They need honest and direct feedback on where improvements can be made .3 Conflict Management * Conflict is the incompatibility of goals, which often leads to one party resisting or blocking the other party from attaining their goals * Conflict management is used for improving productivity and foster positive working relationships * Conflict can come from seven main sources, of which the first three account for 50%: 1. Schedules 2. Priorities 3. Manpower/human resource availability 4. Technical opinions 5. Procedural or project administration 6. Costs 7. Personalities * Conflict resolution OUTPUTS .1 Enterprise Environmental Factors Updates * Results of performance appraisals or changes in personnel skills .2 Organizational Process Assets Updates * Results of performance appraisals - record improved techniques of conflict resolution, improved ground rules, reward and recognition strategies, virtual team management, negotiating techniques, team building and training methods * Templates - Improve templates for issue log, performance reports, performance appraisals * Organizational Standard Process .3 Change Requests * CRs can arise due to changes in project team like a staff member joining/leaving a team .4 Project Management Plan Updates * Staffing changes trigger updates to staffing management plan and its components - human resource plan, org chart, resource calendar, training needs

Introduction

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INPUTS .1 Project Charter .2 Procurement Documents .3 Enterprise Environmental Factors .4 Organizational Process Assets

Identifying Stakeholders (Initiating) TOOLS & TECHNIQUES .1 Stakeholder Analysis .2 Expert Judgment

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Plan Communicatio (Planning)

OUTPUTS .1 Stakeholder Register .2 Stakeholder Management Strategy

INPUTS .1 Stakeholder Register .2 Stakeholder Management Strategy .3 Enterprise Environmental Factors .4 Organizational Process Assets

* Managing communication requires particular skills - Listening, questioning & probing, educating, setting expectations, fact KEY ASPECTS finding, summarizing, negotiating, resolving conflict * Project stakeholders are persons/organizations such as customers, sponsors, performing organization and public that are * Project managers spend most of the time in communication actively involved in the project whose interest may be positively or negatively affected by the execution or completion of the project * Stakeholder assessent and corresponding strategy should be periodically reviewed during project execution to adjust for potential changes

* The five process areas of communication management are * Identify stakeholders (Initiating process group) * Describe individuals and organizations that the project might affect * Document information about their interests, involvement, possible impact on project's success * Actual planning of communication strategy starts only once the stakeholders have been identified * Plan communications (Planning process group) * Determine info and communications needs of the projects stakeholders and document it in communication mgmt plan * For each stakeholder, determine the types of info needed, the format of communicating the info, who will prepare the info, and frequency at which info should be distributed * Distribute Information (Executing process group) * Send out relevant info to stakeholders using formats that are described in communication mgmt plan * Formats include status reports, project meetings, review meetings * Manage stakeholder expectations (Executing process group) * Involves communicating with stakeholders, meeting their needs, addressing their concerns and meeting their expectations * By actively managing stakeholders expectations, increases the likelihood of project acceptance * Communication activity has following multiple dimensions * Internal (within the project) and external (customer, other projects, media, public) * Formal (reports, memos, briefings) and informal (emails, ad-hoc, discussions) * Vertical (up and down the org) and horizontal (with peers) * Official (annual report, newsletter) and unofficial (off the record) * Written and oral * Verbal and non-verbal (voice modulations, body language)

KEY ASPECTS * Plan communication is the process of determining the project stakehold i.e. who needs what info, when they will need it, how it will be given, an * Communication plan allows PM to document the apporach to communi stakeholders * Effective communication: Providing information in the right format impact and achieves the planned objectives * Efficient communication: Providing only the information needed * Improper communication planning can lead to delay in message delive audience, lack of communication to some of the required stakeholders * Horizontal communication among peers; Vertical communicatio * Formal written: Complex problems, PM plan, project charter, memos * Formal verbal: presentations, speeches * Informal written: email, handwritten notes, text messages, instant m * Informal verbal: Meetings, conversations INPUTS INPUTS .1 Project Charter .1 Stakeholder Register Input from ---> Develop Project Charter Input from ---> Identify Stakeholders * Can provide info about internal and external parties involved in and affected by the project (sponsors, customers, team * Identifies all the people whose communication needs must be addr members etc.) these needs are * The following sections of project charter help to identify stakeholders - Roles & Responsibilities, Prepared By, Project .2 Stakeholder Management Strategy requirements, Milestones and deliverables Input from ---> Identify Stakeholders .2 Procurement documents * It is a plan for dealing with stakeholders. It often takes format of st Input from ---> Plan Procurements likely level of impact on the project. Those with biggest impact (+ve or * If project is the result of a procurement activity or is based on an established project contract, the parties in that contract * Reveals information needs of stakeholders (what they are intereste are key project stakeholders (other relevant parties such as suppliers are also part of stakeholders list) .3 Enterprise Environmental Factors * These detail projects contractual obligations and stakeholders to whom legal commitments have been made * Vey tightly linked with Organizational structure, existing project ma .3 Enterprise environmental factors physical proximity of stakeholders, aspects of the socio-economic environ * Organizational culture, organizational structure, govt or industry standards .4 Organizational Process Assets .4 Organizational process assets * Historical information about communication decision systems * Stakeholder register templates- Identifies all project stakeholders and their details in tabular format * Lessons learned * Lessons learned TOOLS & TECHNIQUES TOOLS & TECHNIQUES .1 Stakeholder analysis .1 Communication Requirements Analysis * Involves identifying stakeholders and analyzing the effects they may have on a project based on their relative levels of * This technique determines the information needs of the project stak interest, influence and power and relate their interest/expectations to purpose of the project. Knowing all the parties who are * Communication req. are defined by combining the type and format o involved in the project is vital but defining criteria which enable you to differentiate between them is also important * # of communication channels in project with n stakeholder * Stakeholder analysis involves three main steps * Inputs are used for communication requirement analysis 1. Identify stakeholders * Internal info needs, external info needs * Identify key stakeholders and then identify other stakeholders by interviewing identified stakeholders until all * Stakeholder info from stakeholder register and stakeholder mana potential stakeholders are listed * Stakeholder analysis matrix 2. Classify stakeholders * Enterprise environmental factors like - Commercial databases, Co * Classify stakeholders according to their levels of power (authority), influence (involvement), impact (ability to resources, Geographical layout, Government or industry standards, Infra change) and interest (concern) culture, Organizational structure, Personnel administration, Project risk, T * Classify using classification grid - Power/influence grid, power/impact grid, influence/impact grid, salience model .2 Communication Technology (classes of stakeholders based on power - ability to impose their will, urgency - need for immediate attention, legitimacy) * Methods used to transfer info * Power/interest grid -- Power low + interest low => monitor, Power high + interest low => Keep Satisfied, power * Factors that can effect are - urgency of info (immediate needed/freq high + interest high => Manage closely, power low + interest high => Keep informed face/virtual), project duration, expected project staffing (is additional tra 3. Develop Strategy .3 Communication Models OUTPUTS OUTPUTS .1 Stakeholder register .1 Communication Management Plan Input to ---> Plan Communications;; Manage Stakeholders Expectations;; Collect Requirements;; Identify Input to ---> Develop Project Management Plan;; Plan Risk M Risks;; Plan Quality * Detailed guide to the strategies that must be used for transferring th * Identity information - name, org position, location, role, contact * Part of project management plan or subsidiary of it * Assessment information - major req., main expectations, potential influence in the project, phase interested in * Usually provides - stakeholder comm req., freq., responsibility of com * Classification - internal/external, supporter/neutral/resistor etc. technologies used, escalation process, glossary, flow charts or workflows .2 Stakeholder management strategy technology etc.), templates for emails, project status, meetings etc. Input to ---> Plan Communications;; Manage Stakeholders Expectations;; .2 Project Document Updates * Includes key stakeholders who can influence the project, level of participation of each stakeholder desired in the project, * Project schedule stakeholder groups and their management * Stakeholder register * Stakeholder management strategy is represented by Stakeholder Analysis Matrix * Stakeholder management strategy * Stakeholder, Stakeholder Interests in the Project, Assessment of impact, Potential strategies for gaining support or reducing obstacles * Some info might be sensitive and cannot be documented so project manager must exercise judgment while documenting

Plan Communications (Planning) TOOLS & TECHNIQUES OUTPUTS .1 Communication Requirement Analysis .1 Communication Management Plan .2 Communication Technologies .2 Project Document Updates .3 Communication Models .4 Communication Methods

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INPUTS .1 Project Management Plan .2 Performance Reports .3 Organizational Process Assets

Distribute Information (Executing) TOOLS & TECHNIQUES .1 Communication Methods .2 Information Distribution Tools

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OUTPUTS INPUTS .1 Organizational Process Assets Updates .1 Stakeholder Register .2 Stakeholder Management Strategy .3 Project Management Plan .4 Issue Log .5 Change Log .6 Organizational Process Assets

Manage Stakeholder Expectations (Executing) TOOLS & TECHNIQUES .1 Communication Methods .2 Interpersonal Skills .3 Management Skills

KEY ASPECTS KEY ASPECTS on is the process of determining the project stakeholder info needs and defining communication apporach * Involves making the information relevant to project stakeholders available to them, on right time and in the right format . Influencing stakeholders t info, when they will need it, how it will be given, and by whom * Involves executing activities outlined in the communication management plan . Resolving issues and concerns lan allows PM to document the apporach to communicate most effeciently and effectively with * Distributing project information through project status reports, project and review meetings . PMs manage stakeholder expectations to coordinate stakeholder efforts. This enables to keep project within sco * Responding to unexpected or unplanned requests for information schedule, achieve projects objective and vision unication: Providing information in the right format on time. It is effective because it has the desired * Information distribution techniques include . Also ensure expectations align to the reality of what a project is going to achieve so that stakeholders are satisfi s the planned objectives * Sender-receiver models outcomes unication: Providing only the information needed * Choice of media: Oral vs written, formal vs informal, face-to-face vs email nication planning can lead to delay in message delivery, communication of sensitive info to wrong * Meeting Management techniques ommunication to some of the required stakeholders * Presentation techniques munication among peers; Vertical communication up and down the levels of organization * Writing Style : Complex problems, PM plan, project charter, memos, communicating over long distances * Facilitation techniques presentations, speeches * It's a project manager's professional obligation to hold lessons learned meetings en: email, handwritten notes, text messages, instant messaging l: Meetings, conversations INPUTS Inputs egister .1 Project Management Plan . Stakeholder register > Identify Stakeholders Input from ---> Develop Project Management Plan . Identify who the stakeholders are and their roles he people whose communication needs must be addressed during planning. Also sheds some light on what * Communication management plan specifies who must receive what information, when-how-what format . Stakeholder management strategy * Communications requirement matrix - Stakeholders, communication format, frequency, medium, responsible person, . Planned approach for managing stakeholders anagement Strategy purpose . Project management plan > Identify Stakeholders .2 Performance Reports . Communication management plan specifies who must receive what information, when and how and in what dealing with stakeholders. It often takes format of stakeholder analysis matrix and identifies stakeholders Input from ---> Report Performance . Issue Log ct on the project. Those with biggest impact (+ve or -ve) are center of communication strategy * Provide information about projects performance and are outputs of Report Performance process in communication . Document or monitor resolution of issues to facilitate communication and ensure common understanding of mation needs of stakeholders (what they are interested) knowledge area . Issues are categorized based on urgency and potential impact. An owner is assigned an action item for resol ironmental Factors * Status reports and performance reports date for closure. Unresolved issues can be source of conflict and project delays ked with Organizational structure, existing project management information and communication systems, * Forecasts (based on work performance measurements) like EAC, ETC (earned value management) should be available as . Change Log of stakeholders, aspects of the socio-economic environment that affect project risk performance information, any other information which is important for decision making . Document changes that occur during the project l Process Assets .3 Organizational Process Assets . Changes along with impact to project in terms of cost, risk, time are communicated to stakeholders rmation about communication decision systems * Templates for communication methods, policies and procedures, historical information, lessons learned . Organizational process assets ed . Org communication req, issue management procedures, change control procedures, historical info about pro TOOLS & TECHNIQUES .1 Communication Methods * Push communication * Sending information to specific recipients. * This ensures information is distributed but not necessarily understood or received * E.g. letters, memos, reports, mass emails, faxes * Pull communication * Sending information to people who specifically request it * large amount of information accessible to many recipients * Recipients choose their part of information to access * E.g. intranet sites, e-learning, knowledge repositories * Interactive communication * Multi-direction exchange of information. Most Effective. E.g. Meetings, phone calls, video conferencing .2 Information Distribution Tools * Hard copies - Mail/courier * Electronic - emails, instant messaging, fixes, web publishing * Verbal - Voicemail, telephone, video and web conferencing OUTPUTS .1 Organizational Process Assets Updates * Stakeholder notifications: Resolved issues, approved changes, general project status * Project reports: Formal/informal project status reports, lessons learned, issue logs, project closure reports, outputs from other knowedge areas * Project presentations * Feedback from stakeholders * Project records: Correspondence, memos, meeting minutes, * Lessons learned: Causes os issues, reasoning behing corrective action chosen

IQUES n Requirements Analysis determines the information needs of the project stakeholders n req. are defined by combining the type and format of info needed, value of that info nication channels in project with n stakeholders = n(n-1)/2 d for communication requirement analysis o needs, external info needs r info from stakeholder register and stakeholder management strategy r analysis matrix environmental factors like - Commercial databases, Company work authorization systems, Existing human hical layout, Government or industry standards, Infrastructure, Marketplace conditions, Organizational onal structure, Personnel administration, Project risk, Technology n Technology to transfer info n effect are - urgency of info (immediate needed/freq. published status), project env (face-toct duration, expected project staffing (is additional training req.?), availability of technology n Models

n Management Plan Develop Project Management Plan;; Plan Risk Management to the strategies that must be used for transferring the information in a project management plan or subsidiary of it es - stakeholder comm req., freq., responsibility of comm., info to be communicated, methods or escalation process, glossary, flow charts or workflows if info flow, communication constraints (policy, mplates for emails, project status, meetings etc. ment Updates le gister anagement strategy

Tools & Techniques . Communication methods . Push communication and interactive communication are best way to communicate with stakeholders . Pull communication is NOT recommended for managing stakeholders . Interpersonal skills . Covers wide range of attributes - motivational, leadership, group management abilities . They include skills involved in . Building trust . Resolving conflict . Active listening . Overcoming resistance to change . Management skills . Technical skills - Skills related to processes/tasks to complete work. Essential for PM to justify technical scope stakeholders . Conceptual skills - Involved seeing in bigger picture. A PM with good conceptual skills understands role of a p context of the organization and its industry, considering internal and external environmental factors into account. . Presentation, writing, public speaking and negotiating skills Outputs . Change requests . A stakeholder may request for new product feature, call for appropriate corrective or preventive action to re quality problem or set up a new subproject to deal with the issue . Project document updates . When change requests are approved, project document needs to be updated. As part of managing stakehold expectations following documents are updated . Stakeholder management strategy - to be updated when a better way of communication with stakeholde identified . Stakeholder register - when new stakeholders are identified or when existing stakeholders are replaced . Issue log - When existing issues are resolved or new ones are identified . Project management plan updates . Updates to communication management plan . Organizational process assets updates . Causes of issues, reasoning behind corrective actions, lessons learned

older Expectations cuting) OUTPUTS .1 Organizational Process Assets Updates .2 Change Requests .3 Project Management Plan Updates .4 Project Document Updates

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INPUTS .1 Project Management Plan .2 Work Performance Information .3 Work Performance Measurements .4 Budget Forecasts .5 Organizational Process Assets

Report Performance (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Variance Analysis .2 Forecasting Methods .3 Communication Methods .4 Reporting Systems

OUTPUTS .1 Performance Reports .2 Change Requests .3 Organizational Process Assets Updates

lder efforts. This enables to keep project within scope, budget,

ct is going to achieve so that stakeholders are satisfied with the

KEY ASPECTS * Process to collect and distribute performance information of a project * Enables to assess and communicate project progress and performance and forecast project results * Format may vary from simple to elaborated * Simple: Performance information, % complete, status dashboards for scope/schedule/cost/quality * Elaborated: Analysis of past performance, current state of risks/issues, Wok completed, Work to be completed. summary of changes approved, forecasted project completion (time and cost) * Reports are prepared regularly (as defined in communication management plan) or on an exceptional basis (such as on demand by sponsor)

INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Provides information about expected values or baseline for various aspects of the project - scope, cost and schedule, may also include technical and quality parameters * Performance measurement baseline represents planned performance of the project ceive what information, when and how and in what format .2 Work Performance Information Input from ---> Direct and Manage Project Execution mmunication and ensure common understanding of issues * Information is collected about results of activities performed during the project like costs incurred, status of project mpact. An owner is assigned an action item for resolution, target deliverables, schedule progress nd project delays .3 Work Performance Measurements Input from ---> Control Scope;; Control Costs;; Control Schedule * Consists of information that has been analyzed and processed using measurement formulas sk, time are communicated to stakeholders * These formulas create metrics that allow to compare actual progress to planned progress (cost, schedule and technical peformance) change control procedures, historical info about projects .4 Budget Forecasts Input from ---> Control Costs TOOLS & TECHNIQUES .1 Variance Analysis best way to communicate with stakeholders * After-the-fact examination of causes leading to a discrepancy between actual and planned project performance stakeholders * Varies based on application area/industry. Common steps are 1. Verify quality of information collected - complete, consistent with past, credible compared to other project status info p, group management abilities 2. Determine the variances 3. Evaluate the impact on the project (cost, schedule, scope, quality performance adjustments) 4. Find sources and detect trends - optional and should be done if appropriate .2 Forecasting Methods * Techniques for predicting likely future project performance based on actual performance to date * Time Series: Common. Uses past information as basis for predicting future performance e.g. Earned Value i.e. EAC (Estimate at completion), ETC (Estimate to complete), linear prediction, extrapolation, moving plete work. Essential for PM to justify technical scope changes to average, trend analysis/estimation, growth curve * Causal/Economic: Assumes that it is possible to identify the factors influencing the variables that's being forecast. E.g: M with good conceptual skills understands role of a project in the Sale of umbrellas are associated with weather conditions nal and external environmental factors into account. Methods include Regression analysis using linear regression and non-linear regression, autoregressive moving average lls (ARMA) and econometrics OUTPUTS .1 Performance Reports for appropriate corrective or preventive action to resolve a Input to ---> Manage Project Team;; Monitor & Control Risks;; Monitor & Control Project Work;; sue Administer Procurements;; Distribute Information * Common formats are bar charts, histograms, S-curves and tables needs to be updated. As part of managing stakeholders * Variance analysis, earned value analysis and forecast data is generally included in performance reporting * Simple report with % complete or status dashboard or hen a better way of communication with stakeholders is * Elaborate reports - Analysis of past performance, current status of risk and issues, work completed, work to be completed, summary of approved changes, results of variance analysis, forecasts etc. ntified or when existing stakeholders are replaced .2 Organizational Process Asset Updates ones are identified * Includes report formats used, lessons learned documentation including the causes of issues, reason behind corrective actions chosen .3 Change Requests Input to ---> Perform Integrated Change Control ssons learned * The process of analyzing projects performance and reporting on the results often prompts suggestions for changes to the project management plan * Change requests take two forms - recommended corrective action (to bring expected future performance of the project

Introduction

* What is project risk? * Always occurs in future. Surprise or unexpected event * These are events that might happen * If risk event occurs, it has an effect on atleast one project objective (schedule, cost, scope, quality) * Risk may have one or more causes and if it occurs it may have one or more impacts * Cause can be requirement, assumption, constraint, condition that creates possibility of negative/positive outcomes * Negative Risks - Threats. Potential to harm a project and its objectives * Positive Risks - Opportunities. Can benefit a project's objectives * Known risks are those that have been identified and analyzed, making it possible to plan responses for those risks * Specific unknown risks cannot be managed proactively and team should create a contingency plan * A project risk that has occured can also be considered issue * Some of the areas that may be effected by risks are * Budget and schedule * Scope and project requirements * Contracts * Business, environmental and management * Technical and hardware issues * To manage risk successfully - identify as many risks as possible, understand their likelihood, causes and impacts and then plan appropriate responses * The six process areas of risk management knowledge area are * Plan risk management (Planning process group) * Develop risk management plan * Develop strategies for planning and controlling risk throughout the project * Identify risks (Planning process group) * Identifying as many risks as possible and document in risk register * Perform qualitative risk analysis (Planning process group) * Explore the impact and priority of each risk by assessing and combining their probability of occurence and impact * Perform quantitative risk analysis (Planning process group) * Process of numerically analyzing impact of risk (like dollar amount, schedule slippage) * Plan risk responses (Planning process group) * Develop options and actions to enhance opportunities and reduce threats to project objectives * Monitor and control risks (Monitoring & Controlling process group) * Implementing risk response plans, tracking identified risks, monitoring residual risks, identifying new risks, evaluating risk process effectiveness in the project

* Appropriate responses of risks * Increasing the budget * Adjusting the schedule * Stacking resources * Change in scope * Closing the project prematurely * Risk categories * Known unknowns - Risks that can be predicted and therefore mitigated against * Unknown unknowns - Events that no one identified as risks before they happened * Risk management is iterative. As the work proceeds and information becomes available, PM updates risk management documentation - risk management plan and risk register * This ensures continuous risk management improvements

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INPUTS .1 Project Scope Statement .2 Cost Management Plan .3 Schedule Management Plan .4 Communication Management Plan .5 Enterprise Environmental Factors .6 Organizational Process Assets

Plan Risk Management (Planning) TOOLS & TECHNIQUES .1 Planning Meetings & Analysis

OUTPUTS .1 Risk Management Plan

KEY ASPECTS * Defines how to conduct risk management activities for project which is important to ensure that the degree, type and visibility of risk management are in proportion with both the risks and importance of the project * Planning risk management process should begin as a project is conceived and should be completed early during project planning

INPUTS .1 Project scope Statement Input from ---> Define Scope * Contains description of project's deliverables and objectives * First place to look when identifying extent of risk in the project * Because it contains clues about how much overall uncertainty project team will encounter as project is planned and executed * Project constraints and assumptions provide clues for potential risks .2 Cost Management Plan Input from ---> Develop Project Managament Plan * Document that sets out the format and establishes activities and criteria for planning, structuring and controlling costs * How risk budgets, contingencies and management reserves will be reported and accessed .3 Schedule Management Plan Input from ---> Develop Project Managament Plan * Contains directions for reporting and assessing activity duration contingencies * Should incorporate schedule contingencies for the time taken to analyze new risks and develop appropriate risk responses .4 Communications Management Plan

TOOLS & TECHNIQUES .1 Planning Meetings and Analysis * Five types of people should attend meetings - project manager, selected project team members and stakeholders, functional managers, those who are involved, those who have useful information * Risk management cost elements and schedule activities will be developed for inclusion in budget and schedule * Risk contingency reserve application approaches may be established/reviewed * Risk management responsibilities will be assigned * Organizational templates for risk categories, definitions like levels of risk, probability by type of risk, impact by type of objectives, probability and impact matrix will be customized for the project

OUTPUTS .1 Risk Management Plan Input to ---> Develop Project Management Plan;; Identify Risks;; Perform Qualitative Risk Analysis: Perform Quantitative Risk Analysis;; Plan Risk Responses;; 1. Methodology * Methods that team will use during risk identification and analysis, tools and where to find source of risk information * Methods for identifying risks - brainstorming, interviewing SMEs, assumptions analysis, causes of risk using process flow diagrams and impacts by using cause-and-effect diagrams * Methods for analyzing risks - probability and impact matrix, probability distributions and simulations * Strategies for responding to risks - Ranges from avoiding and transferring risks to mitigating and accepting risks. Depends on nature of risk and risk tolerance of stakeholders * Methods for monitoring & controlling risks - Status meetings 2. Roles & responsibilities: Describes people who are responsible for identifying risks, their responses and for activities involved in managing risk 3. Budgeting: Assign resources and estimate the costs of risk management and its methods and establishes protocols for application of contingency reserve 4. Timing: Include when and how often risk management processes will be performed on a project and establishes

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INPUTS .1 Risk Management Plan .2 Activity Cost Estimates .3 Activity Duration Estimates .4 Scope Baseline .5 Stakeholder register .6 Cost Management Plan .7 Schedule Management Plan .8 Quality Management Plan .9 Project Documents .10 Enterprise Environmental Factors .11 Organizational Process Assets KEY ASPECTS

Identify Risks (Planning) TOOLS & TECHNIQUES .1 Documentation Review .2 Information Gathering Techniques .3 Checklists Analysis .4 Assumptions Analysis .5 Diagramming Techniques .6 SWOT Analysis .7 Expert Judgment

OUTPUTS .1 Risk Register

* Determine risks that may affect project positive or negative and documenting characteristics of the risk * Key Pariticipants - Project manager, selected team members,SME's, end users, other PMs, stakeholders. * All project personnel are encouraged to identify risks * Identifying risks is an iterative process because new risks may evolve or become known as project progresses through its life cycle * Format of risk statements should be consistent to ensure ability to compare the relative ffect of one risk event against others in the project * Process should involve project team so they can develop and maintain sense of ownership and responsibility for risks and associated risk response actions

INPUTS .1 Risk Management Plan Input from ---> Plan Risk Management * Key inputs: roles and responsibilities, provision for risk management activities in budget and schedule, categories of risk (RBS) .2 Activity Cost Estimates Input from ---> Estimate Activity Costs * Cost estimates are usually expressed in range. The width of range indicates degree of risk. The cost estimate review may indicate whether estimate is sufficient or insufficient to complete the activity and hence pose risk to the project .3 Activity Duration Estimates Input from ---> Estimate Activity Durations * same as cost estimates but with respect to schedule .4 Scope Baseline Input from ---> Define Scope * Project assumptions in project scope statement will help to identify risks due to uncertainity in assumptions * Reviewing WBS will facilitate understanding of risks at both macro and micro levels and later risks can be categorized at control level or work package level

TOOLS & TECHNIQUES .1 Documentation Review * Review of project documentation like plans, assumptions, prev project files, contracts, other info * Consistency between the plans and project requirements and assumptions can be indicators of risk .2 Information Gathering Techniques * Brainstorming: With SME's or experts outside the team participate in either free-form brainstorm session or structured using mass interviewing techniques (nominal group technqiue). Categories of risk (such as RBS) can be used as a framework. Risks are then identified and categorized by type of risk and their definitions are refined * Delphi Technique: Way to reach a consensus of experts. Project risk experts participate in this technique anonymously. Facilitator uses a questionnaire to solicit ideas about important project risks. The responses are summarized and recirculated. Consensus may be reached in few rounds. This technique helps reduce bias in the the data and keeps any one person from having influence on the outcome * Interviewing: Interview stakeholders, SMEs, team members to identify risks * Root cause analysis: Specific technique to identify a problem, discover the causes that lead to it and develop prevention action .3 Checklists Analysis * Risk identification checklists can be developed using historical info. OUTPUTS .1 Risk Register Input to ---> Perform Qualitative Risk Analysis: Perform Quantitative Risk Analysis;; Plan Risk Responses;; Monitor & Control Risks;; Estimates Costs;; Plan Quality;; Plan Procurements * Ultimately contains outcomes of other risk management processes as they are conducted * Risk register is progressively elaborated with level and type of info contained * List the identified risks: Simple structures such as EVENT may occur causing IMPACT or If CAUSE, EVENT may occur leading to EFFECT. Root causes are fundamental conditions or events that may give rise to one or more identified risks. They should be recorded and used to support risk identification for future projects. * List of potential responses: Potential responses to a risk may sometimes be identified which would be useful as inputs to the Plan Risk Responses process Format * Risk: The name, description, and a unique identifier for the risk. * Risk Owner: The risk owner is the person in charge of monitoring and controlling the risk. * Risk category: The categorization from the risk management plan that the risk falls within. * Root cause: The core factor(s) leading to the risk.

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INPUTS .1 Risk Register .2 Risk Management Plan .3 Project Scope Statement .4 Organization Process Assets

Perform Qualitative Risk Analysis (Planning) TOOLS & TECHNIQUES .1 Risk Probability & Impact Assessment .2 Probability & Impact Matrix .3 Risk Data Quality Assessment .4 Risk Urgency Assessment .5 Risk Categorization .6 Expert Judgment

OUTPUTS .1 Risk Register Updates

KEY ASPECTS * Objective is to prioritize the risks according to their probability and impact and to compare the results against risk tolerance levels. The levels are related to project constraints and time frames * Assesses priority of identified risks using their relative probability or likelihood of occurence, corresponding impact on project objectives if the risks occur, other factors such as timeframe for response, org's risk tolerance associated woth project constraintas of cost, schedule, scope and quality * Establishing definitions of the levels of the probability and impact can reduce the influence of bias * Rapid cost-effective means of establishing priorities for Plan Risk Responses and Perform Quantitative Risk Analysis

INPUTS .1 Risk Register Input from ---> Identify Risks * Provides information about the risks that need to be analyzed * Risk breakdown structure (RBS) links each identified risk to its category within RBS * WBS links each identified risk to one or more work packages within the project's WBS * Description, cause, probability and impact column give additional details about the risks .2 Risk Management Plan Input from ---> Plan Risk Management * Risk management roles & responsibilities - Helps to compile list of attendees to the risk analysis meetings * Risk analysis budget and schedule - To track time and money spent on risk analysis * Risk categories - Enables to determine where project risks are concentrated so that risk responses can be focused in those areas * Definition of probability and impact, probability and impact matrix - Help to minimize bias while prioritizing risks * Revised stakeholder's risk tolerances - helps ensure risks are prioritized appropriately .3 Project Scope Statement Input from ---> Define Scope

TOOLS & TECHNIQUES .1 Risk Probability & Impact Assessment * Investigates likelihood that each specific risk will occur, potential effect on a project objectives (+ve or -ve) * Probabilty and impact are assessed for each identified risk in interviews/meetings. Level of probability for each risk and its impact on objective is evaluated during these meetings * Explanatory detail, including assumptions justifying the levels assigned is also recorded * Risk probabilities and impacts are rated according to the definitions in risk management plan * Risks with low ratings of probability and impact would be included on watchlist for future monitoring .2 Probability and Impact Matrix * Risks are prioritized based on the risk rating which are specified by the organization and customized for the project during Plan Risk Management process * An organization can rate a risk separately for each objective (cost, time and scope) * Risk rating also helps guide risk responses. E.g. Risks that have negative impact on objectives may require priority action and aggressive response strategies. Threats in low risk zone may not require proactive management action but might be put on watchlist or adding a contingency reserve * Probability is usually estimated as a percentage while impact is estimated as a cost, time, or quality measure. * Both estimates are usually quite subjective, and given in ranges. For instance, impact might be given only as "between OUTPUTS .1 Risk Register Updates * After perform qualitative analysis process is completed, risk causes and categories will be updated in risk register * Relative Ranking or priority list of project risks: Probability and impact matrix can be used to classify risks as high/low/moderate. They may be listed separate for cost, schedule and performance depending on org's preference * Risks grouped by categories: Can reveal common root causes of risks or project areas requiring attention. Discovering concentraton of risk may improve the effectiveness of risk responses * Causes of risk or project areas requiring particular attention * List of risks requiring response in near-term: Risks requiring urgent response and those that can be handled at a later date will be put into different groups * List of risks for additional analysis and response: Some risks might warrant more analysis like quantitative risk analysis * Watchlists for low-priority risks * Trends in qualitative risk analysis results: As the analysis is repeated, a trend for particular risks may become apparent and can make risk response more or less urgent/important

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INPUTS .1 Risk Register .2 Risk Management Plan .3 Cost Management Plan .4 Schedule Management Plan .5 Organizational Process Assets

Perform Quantitative Risk Analysis (Planning) TOOLS & TECHNIQUES OUTPUTS .1 Data Gathering & Represenation .1 Risk Register Updates Techniques .2 Quantitative Risk Analysis & Modeling Techniques .3 Expert Judgment

KEY ASPECTS * During qualititative risk analysis, you assess project risks based on their probability and impact. In quantitative risk anlaysis, risks are evaluated in more detail and using more objective methods, rate risks numerically based on how they could affect overall objectives * It is performed on risks that have been prioritized by the Perform Qualitative Risk Analysis process as potentially and substantially impacting project's competing demands * May be used to assign to numerical rating to each individual risk or evaluate aggregate effect of all risks affecting the project * In some cases, Perform Quantitative Risk Analysis may not be required to develop effective risk responses * This process should be repated after Plan risk responses and in Monitor & control risk risks to determine if overall project risk has been satisfactorliy decreased. Trends can indicate for more or less risk management action

INPUTS .1 Risk Register Input from ---> Identify Risks * Provides information about the risks that need to be analyzed. Also identifies risk categories and priorities * Quantitative risk is performed for risks that have been assigned priorities above certain threshold value in risk register during Perform Qualitative Risk Analysis process .2 Risk Management Plan Input from ---> Plan Risk Management * Helps to determine whether quantitative analysis must occur, when it must occur, what form it must take .3 Cost Management Plan Input from ---> Develop Project Management Plan * Establishes criteria and format for planning, structuring, estimating, budgeting and controlling project costs * One way to assess impact of a risk is in terms of how it will effect project costs .4 Schedule Management Plan Input from ---> Develop Project Management Plan * Establishes criteria and format for planning, structuring, estimating, budgeting and controlling project durations * Project risks are related to activity duration estimates and schedule overruns

TOOLS & TECHNIQUES .1 Data Gathering and Representation Techniques * Interviewing * Based on experience and historical data to quantify probabaility and impact of risks on project objectives * Info would be gathered on the optimistics, pessimistic, most likely scenarios * Documenting rationale of risk ranges and assumptions behind them are important components of risk interview as they provide insight on reliability and credibility of analysis * Probability Distributions * Y-axis -> Values of time and cost; X-axis -> relative likelihood * Continous distributions: Used in modeling and simulation technique to represent uncertainity in durations of schedule activities or costs of project components. E.g. beta distribution, triangular distribution * Discrete distributions: Used to represent uncertain events such as outcome of a test or scenarion in decision EMV Analysis diagram * Other distributions: Uniform, normal, lognormal .2 Quantitative Risk Analysis and Modeling Techniques * Includes event-oriented and project-oriented analysis techniques * Sensitivity Analysis OUTPUTS .1 Risk Register Updates * Probabilistic analysis of the project: Expressed as cumulative distribution and used with stakeholder risk tolerances to identify cost and time contingency reserves. * Probability of achieving cost and time objectives: * Prioritized list of identified risks: List of risks that pose greatest threat or present great opportunity, risks that may have greatest effect on contingency and most likely to influence critical path (identified through tornado diagram generated as result of simulation techniques) * Trends in quantitative risk analysis results: As the analysis is repeated, a trend for particular risks may become apparent and can make risk response more or less urgent/important. This report may be linked to risk register

EXPECTED MONETARY VALUE ANALYSIS

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INPUTS .1 Risk Register .2 Risk Management Plan

Plan Risk Responses (Planning) TOOLS & TECHNIQUES .1 Strategies for Negative Risks/Threats .2 Strategies for Positive Risks/Opportunities .3 Contingency Response Plan/Strategy .4 Expert Judgment

OUTPUTS .1 Risk Register Updates .2 Risk related contract decisions .3 Project Management Plan Updates .4 Project Document Updates

KEY ASPECTS * Process of developing options and actions to enhance opportunities and reduce threats to project objectives * Follows Perform Qualitative Risk Analysis and Perform Quantitative Risk Analysis (if used) * Includes identification and assignment of risk owner (one person) to take responsibility for each agreed-to and funded risk response * Risks are addressed by their priority, inserting resources and activities into the budget, schedule and mgmt plan * Risk actions are of 3 types .1 Risk response: The risk response determines the strategy for influencing the probability and impact of the risk before it occurs. For negative risks, its aim is to eliminate the risk or reduce its impact should it occur. For positive risks, the response tries to increase the probability or impact of the risk. .2 Contingent response/contingent plan: it establishes what activities will take place should a specific event or situation occur. A contingency plan aims to influence the impact of a risk that is occurring. The risk response occurs BEFORE the risk and tries to alter the probability and/or impact while the contingency plan only occurs AFTER the trigger (usually the risk event) and focuses only on changing the impact. .3 Fallback Plan: The fallback plan kicks in if the contingency plan fails. It can be looked at as a contingency plan for the contingency plan. The fallback plan spells out steps will be taken to recover if the contingency plan fails INPUTS .1 Risk Register Input from ---> Identify Risks * Refers to identified Risks * Root causes of risks * List of potential responses * Risk owners * Symptoms and warning signs * Relative rating or priority list of project risks * List of risks requiring response in near term * List of risks for additional analysis and response * Trends in qualitative analysis results * Watchlist of low priority risks .2 Risk Management Plan Input from ---> Plan Risk Management * Roles and responsibilities, risk analysis definitions, timing for reviews, risk thresholds (low/moderate/high risks) to identify those risks for which specific responses are needed

TOOLS & TECHNIQUES .1 Strategies for Negative Risks or Threats * Avoidance: Involves eliminating the threat entirely i.e. risk probability or impact to zero. E.g: restructuring the project activities, scope, schedule, or cost to eradicate the root causes leading to the risk. The most radical avoidance strategy is to shut down the project entirely. * Transfer: Shift some or all of the negative impact of threat, along with ownership of response, to a third party. Risk is not eliminated. E.g: Use of insurance, performance bonds, guarantees, warranties. Contracts may be used to transfer liability for specified risks to another party. In many cases, use of cost-plus contract may transfer the cost risk to the buyer while a fixed-price contract may transfer risk to seller * Mitigate: Implies reduction in the probability and/or impact of an adverse risk event within acceptable threshold limits. E.g. Adopting less complex processes, conducting more tests, choosing more stable supplier, prototype development * Accept: Adopted when there is no possibility to eliminate all threats from a project. This means project tea has decided not to change PMP to deal with a risk or is unable to identify response strategy. This strategy can be active or passive acceptance. Passive Acceptance - No action except documenting the strategy and leave project team to deal with the risks as they occur. Active Acceptance - Establish a contingency reserve (time/money/resources) .2 Strategies for Positive Risks or Opportunities * Exploit: Ensure that opportunity is realized i.e. making probability of risk as 1 i.e. eliminate uncertainity by ensuring OUTPUTS .1 Risk Register Updates .2 Risk Related Contract Decisions Input to ---> Plan Procurements * Decisions to transfer risk such as agreements for insurance, services etc. which may happen as a result of mitigating or transferring part of all of the threat or enhancing or sharing or all of the opportunity * These decisions are input to Plan Procurements process .3 Project Management Plan Updates * Schedule Management Plan: Includes changes in tolerance, behavior related to resource loading/leveling, updates to the schedule * Cost Management Plan: Includes changes in tolerance, behavior related to cost accoutning, tracking, reports, updates to the budget, consumption of contingency reserves * Quality Management Plan: Includes changes in tolerance, behavior related to requirements, quality assurance, quality control, updates to requirements documentation * Procurement Management Plan: May include alterations to make-or-buy decision or contract types * Human Resource Management Plan: Reflect changes in project org structure and resource applications driven by the risk responses, behavior related to staff allocation, updates to resource loading

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INPUTS .1 Risk Register .2 Project Management Plan .3 Work Performance Information .4 Performance Reports

Monitor & Control Risks (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Risk Reassessment .2 Risk Audits .3 Variance Analysis .4 Technical Performance Measurements .5 Reserve Analysis .6 Status Meetings

OUTPUTS .1 Risk Register Updates .2 Organizational Process Assets Updates .3 Change Requests .4 Project Management Plan Updates .5 Project Document Updates

* Process of implementing risk response plans, tracking identified risks, monitoring residual risks, identifying new risks and evaluating risk process effectiveness throughout the project * Purpose of monitoring and controlling risks * Evaluating risk response plans that are put into action as a result of risk events * Monitoring the project for risk triggers * Reexamining existing risks to determine if they have changed or should be closed out * Monitoring residual risks * Reassessing project assumptions and determining validity * Ensuring that policies and procedures are followed * Ensuring that risk response plans and contingency plans are put into action appropriately and are effective * Ensuring that contingency reserves are updated according to the updated risk assessment * Evaluating the overall effectiveness of the Risk processes

INPUTS .1 Risk Register Input from ---> Identify Risks * Lists risks, risk owners, planned risk responses, implementation actions, symptoms and warning signs of risk, secondary and residual risks, wathclist of low-priority risks, time and costs contingency reserves .2 Project Management Plan Input from ---> Develop Project Management Plan * Risk Management Plan: Includes risk tolerances, protocols, assignment of people (risk owners), time and other resources .3 Work Performance Information Input from ---> Direct and Manage Project Execution * Deliverable status, costs to date, cost changes, schedule progress to date, schedule changes, and/or scope changes. .4 Performance Reports Input from ---> Report Performance * Provides work performance information like variance analysis, earned value data and forecasting data

TOOLS & TECHNIQUES .1 Risk Reassessment * Monitoring and controlling risks often results in identification of new risks, reassessment of current risks, closing of outdated risks * Reassessment should be regularly scheduled and frequency depends on how project progresses relative to its objectives .2 Risk Audits * Risk audits examine and document the effectiveness of risk responses as well as the effectiveness of the risk management process * Format, frequency of the audits are documented before and project manager is responsible for risk audits .3 Variance and Trend Analysis * Earned value analysis and other methods of project variance and trend analysis may be used for monitoring overall project performance. Outcomes from these analysis may forecast potential devations which may indicate potential impact of threats or opportunities .4 Technical Performance Measurements * Technical performance measures like weight, transaction times, number of delivered defects, storage capacity are analyzed and compared against targets * Any deviations can help to forecast degress of success in achieving projects scope and may expose degree of technical risk OUTPUTS .1 Risk Register Updates * Updated under two conditions 1. When a risk audit or risk reassessment concludes that some element of the original risk information has changed. E.g. Impact or probability scores are updated to reflect new conditions, the priority of the risk has changed, or the response plan has been updated. 2. When the risk needs to be closed. If a risk event occurs, you'll record that in the risk register along with the effectiveness of the response plan. This information becomes an input to the Close Project Process. .2 Organizational Process Asset Updates * Templates of risk management plan, probability and impact matrix and risk register * Risk breakdown structure * Lessons learned from project risk management activities * These documents should be updated at final project closure also .3 Change Requests Input to ---> Perform Integrated Change Control * Implementing contingency plans or work arounds might result in change request which will be submitted to Perform Integrated Change Control process

Introduction

* Includes processes necessary to purchase or acquire products/services/results needed from outside of project team. The org can be either buyer or seller * Includes contract management and change control processes required to develop and administer contracts or purchase orders * Includes administering contracts issued by outisde org (buyer) that is acquiring project from the performing org (seller) and administering contractual obligations * Procurement contracts are legal documents between a buyer and a seller representing a mutual binding agreement that obligates seller to provide product/services and buyer to provide monetary consideration * Contract may also be called an agreement, an understanding, a subcontract, a purchase order * Entering into a contract is one method of allocating the responsibility for managing or sharing potential risks * In case of multiple contracts or subcontracts, each contract life cycle can end during any phase of the project life cycle * Seller - contractor, subcontractor, vendor, service provider, supplier * Buyer (depending on buyer's position in the project acquistion cycle) - client, customer, prime contractor, contractor, acquiring organization, govt agency, service requestor, purchaser * Seller life cycler - first as a bidder, then as selected source and then as contracted supplier or vendor * Project procurement management processes include * Plan Procurements * Documenting project purchasing decisions, specifying the approach, identifying potential sellers * Conduct Procurements * Process of obtaining seller responses, selecting a seller and awarding a contract * Administer Procurements * Managing contract relationships, monitoring contract performance, making changes/corrections as needed * Close Procurements * Process of completing each project procurement

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INPUTS .1 Scope Baseline .2 Requirement Documentation .3 Activity Cost Estimates .4 Cost Performance Baseline .5 Activity Resource Requirements .6 Project Schedule .7 Teaming Agreements .8 Risk Register .9 Risk Related Contract Decisions .10 Enterprise Environmental Factors .11 Organizational Process Assets KEY ASPECTS

Plan Procurements (Planning) TOOLS & TECHNIQUES .1 Make-or-Buy Analysis .2 Contract Types .3 Expert Judgment

OUTPUTS .1 Procurement Management Plan .2 Procurement Statement of Work .3 Procurement Documents .4 Source Selection Criteria .5 Make-or-Buy Decision .6 Change Requests

* Process of documenting project purchasing decisions, specifying the approach, identifying potential sellers * Plan procurements process includes consideration of the risks involved with each make-or-buy decision * Also includes type of contract palnned to be used with respect to mitigating risks, sometimes transferring to the seller

INPUTS .1 Scope Baseline Input from ---> Define Scope * Describes the need, justification, requiremenrs and current boundaries of the project * Scope Statement: Product scope/service/result description, list of deliverables, acceptance criteria, constraints .2 Requirements Documentation Input from ---> Collect Requirements * Info about project requiremenrs that is considered during planning for procurements * Requirements with contractual and legal complications (licenses, safety, etc.) .3 Teaming Agreements * Legal contractual agreements b/w two or more entities to form partnership or joint venture * Agreement defines buyer-seller roles for each party * Whenever new business opportunity ends, the teaming agreements also ends .4 Risk Register Input from ---> Identify Risks * Identified risks, risk owners, risk responses .5 Risk Related Contract Decisions

TOOLS & TECHNIQUES .1 Make-or-Buy Analysis * Used to determine whether to work can be accomplished by project team or mst be purchased from outside * Budget constraints may influence these decisions. If a buy decision is to be made, then a further decision of whether to puchase or lease is also made * Decision should consider both direct costs and indirect support costs .2 Expert Judgment * Expert technical judgment to assess inputs and outputs from this process * Expert purchasing judgment to develop or modify criteria that will be used to evaluate seller proposals * Expert legal judgment to assist with procurement issues Contract Types .3 Contract Types * Risk shared between buyer and seller is determined by the contract type * Three broad categories: Fixed Price (FP), Cost Reimbursible(CR), Time & Material (T&M - hybrid of FP and CR)

OUTPUTS .1 Procurement Management Plan Input to ---> Conduct Procurements;; Develop Project Management Plan * How make-or-buy analysis and decisions are to be made. * What qualified seller lists will be used or how qualified seller lists will be created. * The types of contracts allowed. * The explicit procurement roles and responsibilities and levels of authority those roles have within the project. * Procurement documents to be used, such as any standardized forms, and the formats for statements of work. * The procedures for bid and proposal solicitation. * When and how independent estimates will be gathered. * Identified constraints and assumptions related to procurement processes. * How sellers will be managed, performance monitored, and what reporting and frequency will be required. * What insurance or performance bonds will be required and under what situations. * Milestones that need established in contracts. * What the procedures are for seller payments, vouchers, and reimbursements. * How appropriate coordination between procurement processes and other project management processes (scope, time, cost, quality) will be ensured.

CONTRACT TYPES
FIXED PRICE * Setting a fixed total price for a product/service to be provided. * Firm Fixed Price Contracts (FFP) * Contract = $1Million * Also called lump sum/fixed price contracts * Most commonly used and favored by org because price is set at theoutset and not subject to change unless scope of work changes. * Any cost increase due to adverse performance is responsibility of seller * Buyers must precisely specify the product/services being procured. Change in scope would come at an increase in contract price * Fixed Price Incentive Fee Contracts (FPIF) * Contract = $1Million. For every month early the project is finished additional $50K paid to seller * Allows for deviation from performance with incentive tied to achieving agreed to metrics (i.e. finishing work earlier than scheduled or based on technical performance) * A ceiling price is set and all costs above the ceiling price would be responsibility of seller * Fixed Price with Economic Price Adjustment Contracts (FPEPA) * Contract = $1Million but price increase will be allowed in year two to account for increase in material costs

COST REIMBURSABLE CONTRACTS * Involves payments to the seller for actual cost incurred for completed work plus fee representing seller profit * May include financial incentive clause whenever seller exceeds or falls below defined objectives * Gives flexibility to redirect a seller whenever scope of work cannot be precisely defined at the start and needs to be altered or when high risks may exist in the effort * Cost Plus Fixed Fee Contracts (CPFF) * Contract = Cost + 10% of original costs as fee * Seller is reimbursed for all allowable costs and receives a fixed fee payment (calculated as % of initial estimated prroject costs) * Fee is paid only for work done and does not change based on seller performance. Fee does not change unless scope changes * Cost Plus Incentive Fee Contracts (CPIF) * Contract = Cost + $50K target fee. Buyer/seller to share any cost savings/overruns at prenegotiated share ratio * Seller is reimbursed for all allowable costs and receives a pre-determined incentive fee based on performance objectives set in the contract * If final costs are greater or lesser than original estimated costs, both buyer and seller share costs based on prenegotiated costs share ration (like 80/20 split) TIME & MATERIAL CONTRACTS * Contract = $100 per hour + expenses or materials at cost * Hybrid type of contract containing aspects of both FP and CR contracts * Often used for staff augmentation, acquisition of experts or for any work when precise statement of work cannot be quickly prescribed * The full value of agreement and exact quantity of items to be delivered may not be defined by the buyer. This resembles CR contract. Thus, T&M contracts can increase in contract value. Many orgs require not-to-exceed values and time limits placed to prevent unlimited cost growth * They resemble FP contracts when labor or material rates are preset by buyer and seller such as senior engineer at specified rates per hour

Risk and Contract Type * In CR contract, buyer has more risk because if costs increase, buyer has to pay added costs * In FP contact, seller has more risk because if costs increase, seller pays the costs and makes less profit * Buyers Risk (from highest to lowest) / Sellers Risk (Lowest to Highest) CPFF -> CPAF -> CPIF -> T&M -> FPEPA -> FPIF -> FFP

FORMULA/CALCULATIONS * Price: is the amount seller charges the buyer. * Profit (fee): this is planned into the price the seller provides to buyer. * Ceiling Price: is the highest price buyer will pay to seller. * Point of total assumption (PTA): is the point at which the seller assumes the costs. Only applicable to FPIF contracts.The PTA is when the seller becomes responsible for all costs. The formula uses the ceiling and target prices and the buyer's cost sharing portion. The ceiling price is the most pessimistic cost based on reasonable factors. Anything above the ceiling price is considered to be due to lack of oversight by the seller. PTA = Target Cost + [ (Ceiling Price - Target Price) / Buyer's Percentage Share of Cost ] TF (Target Fee), AF (Actual Fee), TC (Target Cost), AC (Actual Cost), SSR (Seller Share Ratio), CP (Ceiling price), TP (Target Price), BSR (Buyer Share Ratio) TP = TC + TF PTA = TC + [ (CP - CP) / BSR ] AF = TF + {(TC - AC) x SSR} Final price = AC + AF

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INPUTS .1 Project Management Plan .2 Procurement Statement of Work .3 Source Selection Criteria .4 Qualified Seller List .5 Make-or-Buy Decisions .6 Seller Proposals .7 Teaming Agreements .8 Project Documents .9 Organizational Process Assets

Conduct Procurements (Executing) TOOLS & TECHNIQUES .1 Bidder conferences .2 Proposal Evaluation Techniques .3 Independent Estimates .4 Expert Judgment .5 Advertising .6 Search on Internet .7 Procurement Negotiations

OUTPUTS .1 Selected Seller .2 Procument Contract Award .3 Resource Calendars .4 Project Management Plan Updates .5 Project Document Updates .6 Change Requests

KEY ASPECTS * Process of obtaining seller responses, selecting a seller and awarding the contract * Team receives bids/proposals and apply previously defined selection criteria to select one or more sellers * Weighting system can be used to select a single seller that will be asked to sign standard contract or establish a negotiating sequence by ranking all proposals by the weighed evaluation scores * Project Manager may not be the lead negotiator on procurements. Project manager and other members of project management team may be present during negotiations to provide support

INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan;; Plan Procurements * Procurement Management Plan describes process how procurements will be managed from developing procurement documentation through contract closure .2 Procurement Documents Input from ---> Plan Procurements .3 Source Selection Criteria Input from ---> Plan Procurements * Includes info on suppliers required capabilities, capacity, delivery dates, technical expertise, product costs, life cycle cost and approach to the contract .4 Qualified Seller List Input from ---> Enterprise/organization * Pre-screened sellers based on qualification and past experience, procurements are directed to only those sellers .5 Seller Proposals Input from ---> Sellers * Response from sellers to procurement documents (i.e. bids/quoations/proposals)

TOOLS & TECHNIQUES .1 Bidder Conferences * Also called vendor conferences, contractor conferences or pre-bid conferences - meeting between buyers and all prospective sellers prior to submittal of bid or proposal * Used to ensure all sellers have clear and common understanding of the procurement and no bidders receive preferential treatment * Responses to questions are incorporated as procurement document amendments * To be fair, buyers must ensure all sellers hear every question from individual seller and every answer from the buyer .2 Proposal Evaluation Techniques * On complex req, where source selection is made based on seller response to previously defined weighted criteria, a formal evaluation review process will be defined by the procurement policies .3 Independent Estimates * Buyer may compare sellers proposal with an estimate created in-house or with outside assistance * Significant differences in cost estimates can be indication that SOW was deficient, ambiguous and/or prospective sellers either misunderstood or failed to respond fully to the SOW .4 Expert Judgment * Expert judgment from functional disciplines such as legal, contracting, technical, design, engineering etc OUTPUTS .1 Selected Sellers * Sellers selected based on outcome of proposal or bid evaluation who have negotiated a draft contract * Senior management approval needed before awarding the contract .2 Procurement Contract Award Input to ---> Administer Procurement * Can be simple purchase order or detailed document .3 Resource Calendars Input to ---> Estimate Activity Resources;; Estimate Activity Durations;; Develop Schedule;; Determine Budget;; Develop Project Team * Quantity and availability of contractor resources and dates on which specific resources will be active/idle .4 Change Requests Input to ---> Perform Integrated Change Control * Change requests to project management plan and it's subsidiary plans * Change requests are processed for review and disposition through Perform Integrated Change Control process .5 Project Management Plan Updates * Updates to cost baseline, schedule baseline, scope baseline, procurement management plan

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INPUTS .1 Procurement Documents .2 Procurement Management Plan .3 Contract .4 Work Performance Information .5 Performance Reports .6 Approved Change Requests

Administer Procurements (Monitoring & Controlling) TOOLS & TECHNIQUES .1 Contract Change Control System .2 Procurement Peformance Reviews .3 Inspections and Audits .4 Claims Administration .5 Payment Systems .6 Records Management System .7 Performance Reporting

OUTPUTS .1 Procurement Documents .2 Organizational Process Assets Updates .3 Change Requests .4 Project Management Plan Updates

KEY ASPECTS * Managing procurement relationships, monitoring contract performance, making changes and corrections as needed * Both buyer and seller should ensure that both parties meet contractual obligations * Administer procurement process ensures seller's performance meets requirements and buyer performs according to the terms of legal contract * Includes integration with appropriate project management processes * Direct and Manage Project Execution to authorize seller's work at the appropriate time * Report peformance to report monitor contract, scope, cost, schedule and technical performance * Perform Quality Control to inspect and verify seller product * Perform Integrated Change Control to assure changes are properly approved and properly communicated * Monitor and Control Risks to ensure risks are mitigated * Has financial management component to monitor payments to the seller based on seller progress, as defined in the contract * This process reviews and documents seller performance and establishes corrective actions when needed. This review may be later used to measure seller's competency in future for performing similar work * This process manages any early terminations of the contracted work in accordance with the termination clause * In most organizations, a procurement administrator is responsible for ensuring that the procurement relationship is properly managed. He may be on the project team, but typically reports to a supervisor from a different dept INPUTS .1 Procurement Documents Input from ---> Plan Procurements * Includes supporting documents for administering procurements such as procurement contract awards and SOW .2 Procurement Management Plan Input from ---> Plan Procurements * Procurement Management Plan describes process how procurements will be managed from developing procurement documentation through contract closure .3 Contract Input from ---> Conduct Procurements .4 Performance Reports Input from ---> Report Performance * Seller performance related documentation include - seller developed technical documentation, other deliverable info, seller performance reports indicating which deliverables have been completed and which have not .5 Approved Change Requests Input from ---> Perform Integrated Change Control * Includes modifications to SOW, pricing, description of products/services

TOOLS & TECHNIQUES .1 Contract Change Control System * Integrated with Integrated Change Control System, this defines the process by which the procurement can be modified. Includes all paper work, tracking system, apporval process, resolution procedures .2 Procurement Performance Reviews * Review of sellers progress to deliver project scope and quality within cost & schedule as compared to contract, which will allow buyer to quantify seller's ability or inability to perform work * Includes review of seller documentation and buyer inspections, quality audits conducted during sellers execution of work .3 Inspections and Audits * Conducted during execution of work to verify compliance in the seller's work processes or deliverables * Depending on the contract, inspection and audit teams may include buyer .4 Performance Reporting * Report about how effectively seller is acheiving contractual objectives .5 Payment Systems * Payments to the seller after certification of satisfactory work by project team. Payments should be made in stric accordance with the contract .6 Claims Administration OUTPUTS .1 Procurement Documentation Input to ---> Close Procurement * Procurement contract with all supporting schedules, requested unapproved contract changes, approved change requests * Seller developed technical documentation, work performance info such as deliverables, seller performance reports, warranties, payment invoices and records, results of inspections .2 Organizational Process Assets * Correspondence: Written documentation of buyer/seller communications such as warnings of unsatisfactory performance and request for contract changes to clarification * Payment Schedules and requests * Seller performance evaluation documentation: Prepared by buyer with feedback and rating on seller, which would be indicator if seller can work for future projects. Also forms basis for early contract terminations and this rating can be used in qualified seller lists .3 Change Requests Input to ---> Perform Integrated Change Control * Change requests project management plan/subsidiary plans, cost baseline, schedule baseline and procurement mangement plan

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INPUTS .1 Project Management Plan .2 Procurement Documentation

Close Procurements (Closing) TOOLS & TECHNIQUES .1 Procurement Audits .2 Negotiated Settlements .3 Record Mangement System

OUTPUTS .1 Closed Procurements .2 Organizational Process Asset Updates

KEY ASPECTS * There are multiple steps involved in this process * Verify the product * Issue formal acceptance * Conduct procurement audit * Report final contract performance * Document lessons learned * Perform finanincial closure of contract (make payments) * Procurements are closed when: * When contract is closed * When contract is terminated before the work is completed (termination clause of contract defines roles & responsibilities of buyer in such case) * There can be multiple procurement closures but only one project closure * All procurements MUST be CLOSED before the project is closed. Procurement Closure is done only at the completion of each closure. * Each procurement contract is closed separately * In multi-phase projects, Close Procurement process closes procurements applicable to that phase. INPUTS .1 Project Management Plan Input from ---> Develop Project Management Plan * Process to perform contract closure .2 Procurement Documentation Input from ---> Administer Procurements * Info on contract schedule, scope, quality, cost performance, payment records, seller performance reports, inspection reports are all cataloged which can be used as lessons learned and as a basis for evaluation seller for future projects

TOOLS & TECHNIQUES .1 Procurement Audits * Structured review of procurement process to Identify successes/failures .2 Negotiated Settlements * Final equitable settlement of outstanding issues, claims and disputes by negotation * If negotiation does not work, some form of ADR (Alternative Dispute Resolution) such as mediation or arbitration * Litigation in courts is least desirable option .3 Record Management System

OUTPUTS .1 Closed Procurements * Buyer to give formal written notice to seller that contract is completed * Formal process is documented in the contract and also in Procurement Management Plan .2 Organization Process Asset Updates * Procurement File: Indexed contract documentation including buyer's formal written notice on contract completion * Deliverable Acceptance: Written notice that deliverables are accepted/rejected. Acceptance criteria and adressing non confrmance with deliverables is defined in the contract * Lessons Learned

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Knowledge Area

Process Group Initiating Initiating Initiating Initiating Initiating Planning Planning Planning Planning Executing Executing Executing Executing Executing Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Closing Closing Closing Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Planning Planning

Process Name Develop Project Charter Develop Project Charter Develop Project Charter Develop Project Charter Develop Project Charter Develop Project Management Plan Develop Project Management Plan Develop Project Management Plan Develop Project Management Plan Direct and Manage Project Execution Direct and Manage Project Execution Direct and Manage Project Execution Direct and Manage Project Execution Direct and Manage Project Execution Monitor and Control Project Work Monitor and Control Project Work Monitor and Control Project Work Monitor and Control Project Work Perform Integrated Change Control Perform Integrated Change Control Perform Integrated Change Control Perform Integrated Change Control Perform Integrated Change Control Close Project or Phase Close Project or Phase Close Project or Phase Collect Requirements Collect Requirements Collect Requirements Collect Requirements Collect Requirements Collect Requirements Collect Requirements Collect Requirements Define Scope Define Scope Define Scope Define Scope Create WBS Create WBS Create WBS Create WBS Verify Scope Verify Scope Verify Scope Verify Scope Control Scope Control Scope Control Scope Control Scope Control Scope Define Activities Define Activities

Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project

Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Integration Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Scope Management Time Management Time Management

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Controlling Controlling Controlling Controlling Controlling Controlling Controlling Controlling Controlling

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Controlling Controlling Controlling Controlling Controlling Controlling Controlling Controlling Controlling

Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project

Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Time Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management Cost Management

Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Monitoring Monitoring Monitoring

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Controlling Controlling Controlling Controlling Controlling Controlling Controlling Controlling

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Define Activities Define Activities Sequence Activities Sequence Activities Sequence Activities Sequence Activities Sequence Activities Estimate Activity Resources Estimate Activity Resources Estimate Activity Resources Estimate Activity Resources Estimate Activity Resources Estimate Activity durations Estimate Activity durations Estimate Activity durations Estimate Activity durations Estimate Activity durations Estimate Activity durations Estimate Activity durations Develop Schedule Develop Schedule Develop Schedule Develop Schedule Develop Schedule Develop Schedule Develop Schedule Develop Schedule Develop Schedule Control Schedule Control Schedule Control Schedule Control Schedule Control Schedule Control Schedule Control Schedule Control Schedule Estimate Costs Estimate Costs Estimate Costs Estimate Costs Estimate Costs Estimate Costs Estimate Costs Estimate Costs Estimate Costs Determine Budget Determine Budget Determine Budget Determine Budget Determine Budget Determine Budget Determine Budget Control Costs Control Costs Control Costs

Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project

Cost Management Cost Management Cost Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Quality Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Human Resources Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management

Monitoring Monitoring Monitoring Planning Planning Planning Planning Planning Planning Planning Planning Planning Executing Executing Executing Executing Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Planning Planning Planning Executing Executing Executing Executing Executing Executing Executing Executing Executing Executing Executing Executing Executing Executing Executing Initiating Initiating Initiating Initiating Planning Planning Planning Planning Executing Executing Executing

& Controlling & Controlling & Controlling

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Controlling Controlling Controlling Controlling Controlling Controlling Controlling Controlling Controlling Controlling

Control Costs Control Costs Control Costs Plan Quality Plan Quality Plan Quality Plan Quality Plan Quality Plan Quality Plan Quality Plan Quality Plan Quality Perform Quality Assurance Perform Quality Assurance Perform Quality Assurance Perform Quality Assurance Perform Quality Control Perform Quality Control Perform Quality Control Perform Quality Control Perform Quality Control Perform Quality Control Perform Quality Control Perform Quality Control Perform Quality Control Perform Quality Control Develop Human Resource Plan Develop Human Resource Plan Develop Human Resource Plan Acquire Project Team Acquire Project Team Acquire Project Team Acquire Project Team Develop Project Team Develop Project Team Develop Project Team Develop Project Team Develop Project Team Develop Project Team Manage Project Team Manage Project Team Manage Project Team Manage Project Team Manage Project Team Identify Stakeholders Identify Stakeholders Identify Stakeholders Identify Stakeholders Plan Communications Plan Communications Plan Communications Plan Communications Distribute Information Distribute Information Distribute Information

Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project

Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Communications Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Risk Management Procurement Management Procurement Management Procurement Management Procurement Management Procurement Management Procurement Management

Executing Executing Executing Executing Executing Executing Monitoring Monitoring Monitoring Monitoring Monitoring Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Planning Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Planning Planning Planning Planning Planning Planning

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Controlling Controlling Controlling Controlling Controlling

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Controlling Controlling Controlling Controlling Controlling Controlling

Manage Stakeholder Expectations Manage Stakeholder Expectations Manage Stakeholder Expectations Manage Stakeholder Expectations Manage Stakeholder Expectations Manage Stakeholder Expectations Report Performance Report Performance Report Performance Report Performance Report Performance Plan Risk Management Plan Risk Management Plan Risk Management Plan Risk Management Plan Risk Management Plan Risk Management Identify Risks Identify Risks Identify Risks Identify Risks Identify Risks Identify Risks Identify Risks Identify Risks Identify Risks Identify Risks Identify Risks Perform Qualitative Risk Analysis Perform Qualitative Risk Analysis Perform Qualitative Risk Analysis Perform Qualitative Risk Analysis Perform Qualitative Risk Analysis Perform Qualitative Risk Analysis Perform Quantitative Risk Analysis Perform Quantitative Risk Analysis Perform Quantitative Risk Analysis Perform Quantitative Risk Analysis Perform Quantitative Risk Analysis Plan Risk Responses Plan Risk Responses Plan Risk Responses Plan Risk Responses Monitor and Control Risks Monitor and Control Risks Monitor and Control Risks Monitor and Control Risks Monitor and Control Risks Monitor and Control Risks Plan Procurements Plan Procurements Plan Procurements Plan Procurements Plan Procurements Plan Procurements

Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project Project

Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement Procurement

Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management Management

Planning Planning Planning Planning Planning Executing Executing Executing Executing Executing Executing Executing Executing Executing Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Monitoring Closing Closing Closing

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Controlling Controlling Controlling Controlling Controlling Controlling Controlling

Plan Procurements Plan Procurements Plan Procurements Plan Procurements Plan Procurements Conduct Procurements Conduct Procurements Conduct Procurements Conduct Procurements Conduct Procurements Conduct Procurements Conduct Procurements Conduct Procurements Conduct Procurements Administer Procurements Administer Procurements Administer Procurements Administer Procurements Administer Procurements Administer Procurements Administer Procurements Close Procurement Close Procurement Close Procurement

Inputs Project Statement of Work Business Case Contract EEF OPA Project Charter Planning Outputs EEF OPA Project Management Plan Approved Change Requests EEF OPA Project Management Plan Performance Reports EEF OPA Project Management Plan Work Performance Information Change Requests EEF OPA Project Management Plan Accepted Deliverables EEF Project Charter Stakeholder Register

Tools & Techniques Expert Judgment

Expert Judgment

Expert Judgment Information Systems

Expert Judgment

Expert Judgment Change Control Meetings

Expert Judgment

Project Charter Requirements Documentation OPA Project Scope Statement Requirements Documentation OPA Project Management Plan Requirements Documentation Requirements Traceability Matrix Validated deliverables Project Management Plan Requirements Documentation Requirements Traceability Matrix Work Performance Information OPA Scope Baseline EEF

Interviews Focus Groups Facilitated workshops Group Creativity techniques Group decision making techniques Questionnaires and Surveys Observations Prototypes Expert Judgment Product Analysis Alternatives identification Facilitated Workshops Decomposition

Inspection

Variance Analysis

Decomposition Rolling wave planning

OPA Activity List Activity attributes Milestone List Project Scope Statement OPA Activity List Activity attributes Resource calendars EEF OPA Activity List Activity attributes Activity Resource requirements Resource calendars Project Scope Statement EEF OPA Activity List Activity attributes Resource calendars Project Scope Statement Project Schedule network diagrams Activity Resources requirements Activity duration estimates EEF OPA Project Management Plan Project Schedule Work Performance information OPA

Templates Expert Judgment Precedence Diagramming (PDM) Dependency determination Applying leads and lags Schedule network templates Expert Judgment Alternative Analysis Published estimating data Bottom-up estimating Project Management Software Expert Judgment Analogous estimating Parametric estimating Three-point estimates (PERT) Reserve Analysis

Schedule network analysis Critical path method Critical chain method Resource leveling What-if analysis Applying leads and lags Schedule compression Scheduling tool Performance reviews Variance analysis Project Management Software Resource Leveling What-if analysis Adjusting leads and lags Schedule compression Scheduling tool Expert Judgment Analogous estimating Parametric estimating Bottom-up estimating Three-point estimates Reserve analysis Cost of quality Estimating software Vendor bid analysis Cost aggregation Reserve analysis Expert Judgment Historical relationships Funding limit reconciliation

Scope Baseline Project Schedule Human Resource plan Risk register EEF OPA

Activity cost estimates Basis of estimates Scope Baseline Project schedule Resource calendars Contract OPA Project Management Plan Project funding requirements Work performance information

Earned Value Management (EVM) Forecasting To-complete performance index

OPA

Scope Baseline Stakeholder register Cost performance baseline Schedule baseline Risk register EEF OPA

Project Management plan Quality metrics Work performance information Quality control measurements Project Management plan Quality metrics Quality checklists Work performance measurements Approved change requests Deliverables OPA

Performance reviews Variance analysis Project Management software Cost-benefit analysis Cost of quality Control charts Benchmarking Design of experiments Statistical sampling Flowcharting Proprietary QM methodologies Additional quality planning tools Plan Quality & Perform Quality Control Tools & Techniques Quality audits Process analysis Cause and effect diagrams Control charts Flowcharting Histogram Pareto chart Run chart Scatter diagram Statistical sampling Inspection Approved change requests review Organizational Charts and Position Descriptions Networking Organization theory Pre-assignment Negotiation Acquisition Virtual teams Interpersonal skills Training Team building activities Ground rules Co-location Recognition and reward Observation and conversation Project performance appraisals Conflict Management Issue log Interpersonal skills Stakeholder Analysis Expert judgment

Activity resource requirements EEF OPA Project Management plan EEF OPA Project staff assignments Project Management plan Resource calendars

Project staff assignments Project management plan Team performance assessments Performance reports OPA Project charter Procurement documents EEF OPA Stakeholder register Stakeholder Management strategy EEF OPA Project Management plan Performance reports OPA

Communication requirements analysis Communication technology Communication models Communication methods Communication methods Information distribution tools

Stakeholder register Stakeholder Management strategy Project Management plan Issue log Change log OPA Project Management plan Work performance information Work performance measurements Budget forecasts OPA Project scope statement Cost Management plan Schedule Management plan Communication management plan EEF OPA Risk Management plan Activity cost estimates Activity duration estimates Scope baseline Stakeholder register Cost Management plan Schedule Management plan Quality management plan Project documents EEF OPA Risk Register Risk Management plan Project Scope statement OPA

Communication methods Interpersonal skills Management skills

Variance analysis Forecasting methods Communication methods Reporting systems Planning meetings and analysis

Documentation reviews Information gathering techniques Checklist analysis Assumptions analysis Diagramming techniques SWOT analysis Expert judgment

Risk register Risk Management plan Cost Management plan Schedule Management plan OPA Risk register Risk Management plan

Risk probability and impact assessments Probability and Impact matrix Risk data quality assessments Risk categorization Risk urgency assessment Expert judgment Data gathering and representation techniques Quantitative risk analysis and modeling techniques Expert judgment

Risk register Project Management plan Work performance information Performance reports

Scope baseline Requirements documentation Teaming agreements Risk register Risk related contract decisions Activity resource requirements

Strategies for negative risks Strategies for positive risks Contingent response strategies Expert judgment Risk re-assessment Risk audits Variance and trend analysis Technical performance measurement Reserve analysis Status meetings Make or buy analysis Expert judgment Contract types

Project schedule Activity cost estimates Cost performance baseline EEF OPA Project Management plan Procurement documents Source selection criteria Qualified seller list Seller proposals Project documents Make-or-buy decision Teaming agreements OPA Procurement documents Project Management plan Contract Performance reports Approved change requests Work performance information Project Management plan Procurement documentation

Bidder conferences Proposal evaluation techniques Independent estimates Expert judgment Advertising Internet search Procurement negotiations

Contract change control system Procurement performance reviews Inspection and audits Performance reporting Payment systems Claims administration Records Management system Procurement audits Negotiated settlements Records Management system

Outputs Project Charter

INPUT COUNT

TOOLS & TECH COUNT

OUTPUT COUNT

Project Management Plan

Deliverables Work Performance Information Change Requests Project Management Plan updates Project Document Updates Change Requests Project Management Plan updates Project Document Updates Change Request status updates Project Management Plan updates Project Document Updates

Final product or service transition OPA updates Requirements Documentation Requirements Management Plan Requirements Traceability Matrix

Project Scope Statement Project Document updates

WBS WBS Dictionary Scope Baseline Project Document updates Accepted Deliverables Change Requests Project document updates Work performance measurements OPA updates Change Requests Project Management Plan updates Project document updates Activity List Activity attributes

1 1 3 19 33 4 1 19 33 17 3 19 33 0 17 5 19 33 17 8 1 19 33 17 1 19 4 5 0 0 0 0 0 0 4 5 33 0 6 5 33 0 17 5 2 1 17 5 2 8 33 6 19

17 0 0 0 0 17 0 0 0 17 1 0 0 0 17 0 0 0 17 1 0 0 0 17 0 0 1 1 2 1 1 1 1 1 17 1 1 2 1 0 0 0 2 0 0 0 4 0 0 0 0 1 1

1 0 0 0 0 1 0 0 0 1 1 15 15 23 15 15 23 0 1 15 23 0 0 1 13 0 1 1 1 0 0 0 0 0 1 23 0 0 1 1 1 23 1 15 23 0 3 13 15 15 23 1 1

Milestone List Project Schedule network diagrams Project document updates

Activity Resource requirements Resource breakdown structure Project document updates

Activity duration estimates Project document updates

Project schedule Schedule baseline Schedule data Project document updates

Work Performance measurements OPA updates Change Requests Project Management Plan updates Project document updates

Activity cost estimates Basis of estimates Project document updates

Cost performance baseline Project funding requirements Project document updates

Work performance measurements Budget forecasts OPA updates

33 0 4 4 1 6 33 4 4 5 19 33 4 4 2 5 6 19 33 4 4 5 6 1 1 2 19 33 17 4 8 33 0 0 0 0 6 4 1 7 19 33 0 0 0 3 1 6 4 5 3 33 17 1 8

1 17 1 1 2 1 0 2 1 1 2 3 2 2 2 1 4 0 0 1 1 1 1 2 2 2 2 0 2 4 3 1 2 1 2 2 17 2 2 2 1 4 2 1 1 1 4 17 1 1 0 0 1 1 1

1 0 1 23 0 0 0 1 1 23 0 0 1 23 0 0 0 0 0 1 1 1 23 0 0 0 0 0 3 13 15 15 23 0 0 0 1 1 23 0 0 0 0 0 0 1 1 23 0 0 0 0 3 1 13

Change requests Project management plan updates Project document updates Quality management plan Quality metrics Quality checklists Process improvement plan Project document updates

OPA updates Change requests Project Management plan updates Project document updates Quality control measurements Validated changes Validated deliverables OPA updates Change requests Project Management plan updates Project document updates

Human Resource plan

Project staff assignments Resource calendars Project Management plan updates Team performance assessments EEF updates

OPA updates Change requests Project management plan updates EEF updates Stakeholder Register Stakeholder Management strategy

Communication management plan Project document updates

OPA updates

33 0 0 6 5 2 1 7 19 33 0 0 3 2 8 1 17 2 1 2 3 1 33 0 0 0 1 19 33 17 19 33 0 2 17 5 0 0 0 2 3 1 5 33 4 3 19 33 5 2 19 33 3 5 33

2 4 3 1 2 2 1 1 2 2 1 1 1 1 1 0 1 2 2 1 1 1 1 2 2 1 1 1 1 1 1 1 1 3 1 1 1 1 1 1 1 1 1 3 1 17 0 0 1 1 1 4 4 1 0

15 15 23 1 1 1 1 23 0 0 0 0 13 15 15 23 1 1 1 13 15 15 23 0 0 0 1 0 0 1 2 15 0 1 2 0 0 0 0 13 15 15 2 0 1 1 0 0 1 23 0 0 13 0 0

OPA updates Change requests Project Management plan updates Project document updates

Performance reports OPA updates Change requests

Risk Management plan

Risk register

Risk register updates

Risk register updates

Risk register updates Risk related contract decisions Project Management plan updates Project document updates Risk register updates OPA updates Change requests Project Management plan updates Project document updates Procurement management plan Procurement statement of work Make-or-buy decision Procurement documents Source Selection criteria Change requests

5 2 17 1 1 33 17 8 2 1 33 6 1 2 1 19 33 4 3 2 6 5 2 1 1 1 19 33 7 4 6 33 0 0 7 4 2 2 33 7 4 0 0 7 17 8 5 0 0 6 5 2 7 1 2

4 3 1 0 0 0 4 1 4 1 0 1 0 0 0 0 0 1 1 1 1 1 1 17 0 0 0 0 1 1 1 1 1 17 1 1 17 0 0 1 1 1 17 1 1 1 1 4 1 1 17 1 0 0 0

13 15 15 23 0 0 1 13 15 0 0 1 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 4 0 0 0 0 0 4 0 0 0 0 4 1 15 23 4 13 15 15 23 0 1 1 1 1 1 15

Selected sellers Procurement contract award Resource calendars Change requests Project Management plan updates Project document updates

Procurement documentation OPA updates Change requests Project Management plan updates

Closed procurement OPA updates

4 3 2 19 33 17 3 1 1 1 1 1 2 33 3 17 3 5 3 8 0 17 1 0

0 0 0 0 0 1 1 1 17 1 1 1 0 0 1 1 1 1 1 1 2 1 1 2

0 0 0 0 0 1 1 2 15 15 23 0 0 0 1 13 15 15 0 0 0 1 13 0

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Earned Value Management (EVM)

* Used for measuring project performance in terms of its cost and schedule * Can be applied to any project or industry, can be applied any point of time in the project not just completion, can help in making estimations about future performance based on how project performed so far * EVM compares what you've received or produced to what you've spent * EVM is performed on the work packages and the control accounts of the WBS. * Measures and monitors three key performance dimensions for each work package and control account - Earned value (EV), Planned Value (PV) and Actual cost (AC) *

Values

PV = (Total budget for project BAC) * (Scheduled time spent / Total time in project schedule) EV = (Total budget for project BAC) * (Work actually completed till date/ Total work required) AC = Total cost incurred till date or specific time * Variances help in determining current state of the project Schedule Variance (SV) = EV - PV +ve variance means project is ahead of schedule and -ve variance means project is behind the schedule Cost Variance (CV) = EV - AC +ve variance means spending less than what was planned for the work -ve variance means project has earned less than spent * Performance indices help predicting future performance Schedule Performance Index (SPI) = EV / PV > 1 indicates project is ahead of schedule < 1 indicates project is behind the schedule Cost Performance Index (CPI) = EV / AC > 1 indicates cost underrun i.e. spending less than anticipated < 1 indicates cost overrun i.e. spending more than anticipated Forecasting (EAC Estimate At Completion)

* Estimate total cost of completing a project based on its performance so far * EAC estimates (or forecasts) the expected total cost of a work component, a schedule activity, or the project at its completion. * Bottom up EAC: for a project is sum of total costs incurred so far plus project manager bottom up ETC (Estimated Total Cost) of the work packages still to be completed. Time is consuming and expensive EAC = AC + bottomup ETC * EAC forecast for ETC work performed at budgeted rate: Assuming cost variance is unlikely for remainder of the project i.e. work will be done as per the plan (budgeted rate) EAC = AC + BAC - EV * EAC forecast for ETC work performed at the present CPI: Assuming CPI will remain same as it is shown to date EAC = BAC / (Cumulative CPI) * EAC forecast for ETC work considering SPI and CPI: Assumes negative cost performance to date and the project schedules must be met EAC = AC + [ (BAC - EV) / (Cumulative CPI * Cumulative SPI) ] ETC - Estimate to Complete * Bottomup ETC Summation of the costs of the remaining work based on estimates from project team working on the activities * When the future cost variances will be similar to the types of variances seen to date ETC = (BAC cumulative EV) / cumulative CPI * When future cost variances will not be similar to the types of variances seen to date ETC = (BAC cumulative EV)

* To-Complete Performance Index (TCPI) * CPI represents work already done and TCPI represents work still to be done i.e. projected performance level the remaining work of the project must achieve * If TCPI > CPI, then improvement is required * TCPI calculated based on either BAC or EAC, depending on the state of project To Remember: TCPI = Work remaining / Funds Remaining TCPI based on BAC = (BAC - EV) / (BAC - AC) > 1 indicates future performance needs to be greater than planned < 1 indicates future work does not have to be performed as efficiently as past performance * When the BAC is no longer attainable, the project manager should calculate a new EAC and formula for TCPI when EAC is the goal is TCPI based on EAC = (BAC - EV) / (EAC - AC) > 1 indicates future performance needs to be greater than planned < 1 indicates future performance may be less than planned * If cumulative CPI falls below one, all future project work must be performed at the TCPI

Basic Terminology (Kim Heldman)

Planned value * PV is the approved budget assigned to work to be completed during a given time period (for a scheduled activity or WBC component). These budgets are established during the Planning processes. * It includes detailed authorized work plus the budget for authorized work, allocated by phases over the life of project * PV is also called budgeted cost of work scheduled (BCWS) or performance measurement baseline (PMB) Actual cost * Actual cost (AC) is the cost of completing the work component in a given time period. * Actual costs might include direct and indirect costs but must correspond to what was budgeted for the activity. If the budgeted amount did not include indirect costs, do not include them here. * AC is also called actual cost of work performed (ACWP) Earned Value * Earned value (EV) is the value of the work completed to date. EV is typically expressed as a percentage of the work completed compared to the budget. * E.g: If budgeted amount is $1,000 and we have completed 30 percent of the work so far, EV is $300 * Therefore, EV cannot exceed the PV budget for the activity. * EV is also called budgeted cost of work performed (BCWP).

Cumulative CPI * Commonly used calculation to predict project costs at the completion of the project. * First you need to sum the earned value calculations taken to date, or cumulative EV, and the actual costs to date, or cumulative Cumulative CPI = cumulative EV / cumulative AC * The difference between this and the CPI formula is that the CPI formula is used for a single work period whereas the cumulative CPI is calculated using the sum of all the costs of every work component for the project. * Cumulative CPI is also used to calculate the total cost of a work component such as a deliverable, for example. * E.g: Let's say you have a deliverable that has five work packages. You would total the EV and AC at the measurement date for all five work packages to determine the cost performance index for the deliverable. NOTES (from PMBOK) * At the end of project completion (successfully) * SV = 0 because all the planned values would have been earned * CV will be difference of BAC and actual cost spent * SV is best used in conjunction with CPM (Critical Path Methodology) scheduling and risk management * CV is critical because it indicates the relationship of physical performance to the costs * Any negative EVM CV is often non-recoverable to the project * S-curves used to display EV data

Variance at Completion (VAC) * Examines the difference between the performance cost baseline and actual performance VAC = BAC EAC * If the result is a negative number, it means project is not doing well with costs as anticipated and that variance exists

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SOURCE

Topic

Analogous vs parametric Estimating

Configuration Control vs Change Control

Project Schedule vs Schedule Baseline

Enhance vs Exploit

Close Project/Phase vs Close Procurements

Quality Assurance vs Quality Control

Description Analogous Estimating use Expert Judgement (as in the actual experience from a person) to compare a similar project and provides rough estimates. E,g, There's a tall building in front of your house and someone tells you that the building's construction cost was 100 million. Now you are asked to calculate the cost of a similar building, which is half the height of the first building. How much do you think it would cost? Parametric use historical data unrelated to type of project (eg. required labor hours to lay a carpet in a room of xx sqare foot) in addition to current cost of resource (labor hours and carpet cost..). E.g. It costs $10 psf to install floor tiles. Your house has an area of 1000 sq. ft. How much would it cost to install the flooring in your entire house?Control is the activity of managing the product (or project's deliverables) and related documents, * Configuration throughout the lifecycle of the product. * An effective Configuration Control system ensures that: * The latest approved version of the product and its components are used at all times. * No change is made to the product baselines without authorization. * A clear audit trail of all proposed, approved or implemented changes exists. * Change Control is the process of identifying, documenting, approving or rejecting, and controlling changes to the project baselines (including scope baselines, schedule baselines, cost baselines, etc.). In other words, it is used to control changes to all aspects of an approved project plan. An effective Change Control system ensures that: * Proposed changes are reviewed and their impact is analyzed, prior to approving or rejecting them. * All requests and changes are properly documented to provide a clear audit trail. * Configuration Control and Change Control are distinct in the following ways: * Configuration Control addresses the management of the product (or project's deliverables), whereas Change Control addresses the management of the project. * Configuration Control manages changes to the product baseline, whereas Change Control manages changes to the project baseline. * Configuration Control is applied throughout the lifecycle of the product (concept->design->develop/manufacture->service>dispose), whereas Change Control is applied during the lifecycle of the project subsequent to establishing the project Schedule Baseline is an "approved" version of the Project Schedule * Project Schedule is a "living" document, whereas Schedule Baseline is "frozen" * Project Schedule is the "actual", whereas Schedule Baseline is the "plan". * Project Schedule is a Project Document, whereas Schedule Baseline is a part of the Project Management Plan. * Project Schedule is updated as the project is being executed, whereas Schedule Baseline is revised only as a result of an approved change. * Schedule performance is measured by comparing the actual (Project Schedule) vs the baseline (Schedule Baseline). * At the beginning of project execution, the Project Schedule is the same as the Schedule Baseline. * As work is done on the project, the actual progress is updated on the project schedule. * At any given date, the latest version of the actual (project) schedule is referred to as the "Project Schedule". Few more concepts * You don't touch the Schedule Baseline except for approved changes. * Schedule Data includes schedule milestones, schedule activities, activity attributes, resource requirements, assumptions & constraints etc. Enhancing is about increasing the probability of the occurrence of the event. Here, though the measures will be taken to increase the chance of happening of the event, but no surety to realize it. In Enhance Response Strategy, opportunity may or may not be realized. Exploiting is about doing everything to make the event happen; i.e. to make sure that opportunity is realized. Exploit Risk Response strategy takes the opportunity very seriously and develops an approach to increase the chance of happening to 100% to realize it. Enhance - try to realized the opportunity, Exploit - ensure to realize the opportunity. Enhance - try to increase the probability. Exploit - probability increased to 100%. Enhance - it can be assumed as opposite of the Mitigation. Exploit - it can be assumed as opposite to the Avoid.

http://www.deepfriedbrainproject.com; http://pmstudycircle.com

Close Procurement "Close Procurement is the process of completing each project procurement. It supports the Close Project or Phase Process" Close Procurement is also known as Contract Closure. A procurement is said to be closed when contract reaches to its deadline and it ends. A project can have a multiple procurement contracts, or single contract. If the project is having multiple contracts then Close Procurement Process will be performed multiple times with each procurement contract, and if the project has no contract then there will be no Close Procurement Process. Close Project

"Close Project or Phase is the process of finalizing all activities across all of the project management process groups to formally complete the project or phase."
Close Project or Phase Process is performed when project or phase is finally completed and deliverables are accepted. To complete the close project or phase, close procurement process must has been finished otherwise project closure cannot happen; however, this is not the case for Close Procurement where Project Closure is not required in order to complete the Close Procurement. Key Points * Close Procurement must happen before Close Project or Phase. * Close Procurement can occur many times in life-cycle of the project, but the Project Closure will be performed once; i.e. at the end. * Deliverables are accepted in Close Project. * Every project must be gone through the Close Project process even it is terminated. Quality Assurance * Quality Assurance is a method which makes sure that any process developed to generate product is such that the product that comes out from the process must be fit, and conforms to all stated requirements. To develop the process, Quality Assurance takes input from the Quality Control Process. * Quality Assurance is a proactive process, and starts at the very beginning of the project to understands the stated requirements, not stated requirements, expectation, and creates a plan to meet those requirements and expectations. * Quality Audit is an example of Quality Assurance. Other examples are training, process definition, and selection of tools etc. The primary purpose of Quality Assurance is to prevent defects in deliverables at the planning process stage itself to avoid rework. Quality Control * Quality Control is a product based approach and is concerned with the operational activities and techniques those are used to fulfill the requirements of quality. * The Quality Control functions starts once the projects work has begun. It is a reactive approach and helps to find defects in deliverables. Site inspection and testing etc. are examples of the Quality Control Process. * Main purpose of the Quality Control Process is to see if the deliverables are defect free, acceptable as per quality requirements and standards set in the Quality Assurance process. If deliverables are not as per requirements, suitable corrective action will be taken. * Quality Assurance, and Quality Control processes are dependent on each other. The Quality Control receives the input from the Quality Assurance, and in turns gives feedback to the Quality Assurance so that Quality Assurance could validate the process. * For example, if the project team finds any defects while executing the project, it will correct the error by work around and this feedback is sent to Quality Assurance for further investigation to take corrective actions in the process so that this error should never happen again in future. In the same way the Quality Control people will follow the process defined by Quality Assurance so that these defects do not recur.

http://www.scribd.com/doc/92817563/PMP-Exam-Brain-Dump-Sheet-PM-Lessons-Learned-Group

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Important Points
In most cases, project team does not report to PM in the corporate structure. Based on authority level given to PM in the project charter, it can help resolve issues with reporting structure Level of detail in project management plan is based on project complexity and application area Best way to ensure all vendors have same information before bidding is to hold a bidder's conference Project initiator os sponsor external to the project authorizes project charter. Perform Qualitative Risk Analysis is quick and cost-effective when compared to quantitative risk analysis Advertising is good technique to expand existing sellers list The 7 basic tools of quality are cause and effect diagrams, control charts, flowcharting, histograms, pareto charts, run charts and scatter diagrams Fish bone diagram or Cause-and-effect diagram or Ishikawa diagram helps identify potential cause of an issue or problem Crashing is one of the techniques used for compressing schedule without changing project scope but requires additional budget At the end of the project, schedule variance would be ZERO (all of planned values should be earned and thus zero variance) Quantitative risk analysis should be performed only on prioritized risks to minimize impact on project schedule and also it requires more in-depth analysis While estimating activity durations for a project where there is not detailed scope, but similar projects have been completed in the past then analogous estimation is the tool to be used for estimation Scatter diagram is the tool used to show the relationship between two variables to help the project team understand the quality impacts better. The changes to scope (especially in an uncontrolled manner) are called scope creep. In contrast, Progressive elaboration involves building on, or elaborating the output of a previous phase. The project scope statement describes the project's deliverables in details and the work that is required to create those deliverables. During a presentation to management, project schedule is shown in the form of milestone chart where only the key deliverables displayed. All four of these are important to consider when considering someone for a position within the project team: role, authority, responsibility, and competency Statistical sampling reduces the number of quality inspections and thus reduce the cost of quality control for your project. Alternatives Identification concerns itself with identifying techniques to generate different approaches to execute and perform the work of the project. Brainstorming, Lateral thinking and Six Thinking Hats are techniques used to generate ideas for different approaches. The Project scope statement lists and describes the specific project assumptions associated with project scope and the potential impact of those assumptions if they prove to be false The date through which the project has provided actual status and accomplishments is called data date or as-of Date or status Date A hierarchical structure of resources organized by resource type category and resource type used in resource leveling schedules is known as resource breakdown structure The project management team's or project manager's professional responsibilities are not limited to any one of the stakeholders A portfolio refers to a collection of projects of programs that are grouped together to facilitate their effective management. The projects or programs need not be directly related or interdependent i.e. unrelated programs/projects can form portfolio Risk identification checklists are not exhaustive Advantage of preparing an estimate of costs by an outside professional estimator is to serve as a comparison point for incoming estimates Issue Log is the tool used for communicating unresolved issues while working on the project A risk is a "known unknown" - we are aware of the uncertainty and we understand why it matters. An "unknown unknown" is outside the scope of the risk process. While it remains unknown it cannot be managed proactively. If it becomes known before it occurs, then it is a "known unknown" and therefore a risk that can be managed proactively through the risk process. If it occurs and we didn't know about it until it happened, then it is not a risk, it is a problem or issue. And if it never occurs then it is nothing. http://risk.vc.pmi.org/Public/Community/Discussions/tabid/972/aft/2170/Default.aspx Responsibility Assignment Matrix - Who does each activity Project Schedule - When each activity is done Work Authorization Syste - When and in what order work is performed so that work and people may propely interface with other work and other people

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Details

# of Q 409

Type

Rating Excellent Good Good Excellent (Must #13 to #18) Excellent

Rita Mulcahy - PMP Exam Prep - 7th Edition (Knowledge area wise) Andy Crowe - How to pass PMP on first try? - 4th Edition Head First PMP (Questions at end) Christopher Scordo (Lite Mocks + Knowledge Area wise)

200 203 1100 18 Mocks (50Q) 200

Kim Heidman Oliver Lehmann 175 Q Oliver Lehmann 75 Q Andy Crowe - How to pass PMP on first try? - 4th Edition PMP For Sure Simpli Learn PM Study Exam Central PM Zilla 30 Tough

175 Excellent (tough) 75 Excellent (tough) 200 Good 100 Excellent 200 Full Mock Average 200 Full Mock Excellent (Must) 900 Full Mock Good for practice 30 Very Tough (not recommended before exam) 200 Good 200 Full Mock Good (Should be attempted as first mock to gain confidence) 200 Full Mock Very Good 200 Full Mock Good Before Exam (PMBOK review) 262 Full Mock Excellent 1565 Excellent (but expensive) 185 50Q Mock Very Good

PMBOOTCAMP Head First PMP - 200 Q Full paper

TechFaq360 Frank T. Anbari

Farndale Rita's PM Fast Track v7 BrainBoK Total Q

6804

Source

Paid/Free

Source

Textbook Paid Textbook Paid Internet Free http://archive.org/details/Head.First.PMP.2nd.Edition.Aug.2009.pdf Internet Free for PMI Members http://pmi.books24x7.com/toc.aspx?bookid=45515

Internet Internet Internet Textbook Internet Internet Internet Internet Internet

Free for PMI Members http://pmi.books24x7.com/toc.aspx?bookid=32020 Free Free Paid Free Free Free Free Free www.oliverlehmann.com/ www.oliverlehmann.com/ www.pmpforsure.com/ www.simplilearn.com/ www.pmstudy.com/ www.examcentral.net/ www.pmzilla.com

Internet Internet

Free Free

www.pmbootcamp.org/ http://www.headfirstlabs.com/PMP/pmp_exam/v1/quiz.html

Internet Internet

Free www.techfaq360.com/ Free for PMI Members http://pmi.books24x7.com/toc.aspx?bookid=35841

Internet CD Internet

Free Paid Free

http://xa.yimg.com/kq/groups/19564168/1150747748/name/farndales_g uide.pdf

www.brainbok.com/