An example of some (in this version not entirely complete) training handouts about Project Management. Some additions based on contributions from 'slideshare' users have been included!
Ein Beispiel (Auszug) für Teilnehmerunterlagen zu einem Projekt Management Kurs. Diese Version enthält einige neue Folien! Vielen Dank dafür bei den jeweiliegen 'contributors'!
Better Performance In Project Management! The Almost Complete Guide
1. Better Performance
B tt P f
in Project Management (PM)
the almost complete guide…
p g
Axel Böhm
2. Performance Improvement, definition
2
The American Society of Training & Development (ASTD) defines
Performance Improvement as "the process of identifying
the
and analyzing important organizational and individual
performance gaps, planning for future performance
improvement, designing and developing cost-effective and
p , g g p g
ethically justifiable interventions to close performance
gaps, i l
implementing the interventions and evaluating the
ti th i t ti d l ti th
financial and non-financial results."
3. PROJECT MANAGEMENT
MODULE TOPICS
Module 1: What is a project & what is management
Module 2: PMI’s nine project management knowledge areas
Module 3: The triple constraint
Module 4: The project life cycle
Module 5: Project selection
j
Module 6: Project environment , factors, stakeholders and actors
Module 7: Defining scope
Module 8: SMART Objectives
Module 9: Risk management and project assumptions
Module 10: Project charter
Module 11: Responsibilities and work breakdown structures
Module 12: Project scheduling
4. PROJECT MANAGEMENT
MODULE TOPICS
Module 13: Controlling and monitoring
Module 14: Project management software
Module 15: Project close
Module 16: PMI’s project management maturity model
Module 17:
M d l 17 The
Th project team and project structure
j tt d j t t t
Module 18: Project communications
Module 19: Additional interesting information
Module 20: What’s next
Module 21: Bibliography and links to the www
5. Please note:
5
Besides its function as a PowerPoint presentation, this handout is meant
to give participants additional information related to Project
Management.
The sequence of pages (if presented) might change due to the actual flow
of the training.
A copyright note: ‘The content is based on the American Society for
Training and Development (ASTD) and the Project Management Institute
(PMI) training workshop series and is supplemented with material from
Pro Consulting and Training (Pro Consulting and Training).
The copyright for the pictures used is with the respective owner.
7. What is a Project?
7
“A temporary endeavor undertaken
to create a unique product or service.”*
Term M e a n s th a t a P r o je c t
temporary Has a beginning and end
endeavor Involves effort, work
effort
to create Has an intention to produce something
(project "deliverables"
unique One of a kind, rather than a collection of
identical items
product Tangible objects, but could include things like
computer software, film or stage works
service Might include the establishment of a day-care
center,
center for instance, but not its daily
instance
operations.
*2000 PMBOK Guide (p. 4).
8. What is a Project? Some more ‘definitions’
definitions
8
A project is a package of activities in a specific sector, carried out in a set
region, within a limited period of time, by project executing agencies (which
may be supervised by politically answerable institutions and supported by
funding and consultative agencies), with the aim of obtaining certain results,
g g ), g ,
which will lead to an agreed project purpose.
A project may form part of an overall program.
Several projects may be packaged where they cover similar sectoral,
organisational or geographical area.
Programmes may include projects which work in the same sector, sub sector
sub-sector
or region, and which can be put together to make a clearly defined concept.
Such projects may be promoted through the same executing agency.
Certain deliveries of materials and equipment, or other inputs in support of
equipment
sectoral or sub-sectoral objectives, may also be financed as programs.
There is no sharp distinction between projects, packages of projects and
programs.
programs
9. What is Management?
9
Theoretical scope
Th ti l
Mary Parker Follett (1868–1933), who wrote on the topic in the early
twentieth century and defined management as "the art of getting things
done through people".
One can also think of management functionally, as the action of measuring a
quantity on a regular basis and of adjusting some initial plan; or as the
actions taken to reach one's intended goal. This applies even in situations
where planning does not take place.
10. What is Management?
10
From this perspective, Henri Fayol considered management to
consist of five functions:
Planning
Controlling Organizing
Coordinating
g Leading
g
12. Your Turn:
12
What is ‘performance’?
What is a Project & what is Management?
j g
…
…
…
…
13. MODULE 2: PMI’S NINE PROJECT
MANAGEMENT KNOWLEDGE AREAS
- AND WHAT IS PROJECT
MANAGEMENT?
14. PMI’s
Nine P j t M
Ni Project Management Knowledge Areas
tK l d A
14
1. Integration Management
2. Scope Management
p g
3. Time Management
4. Cost Management
5. Quality Management
6. Human Resource Management
7.
7 Communications Management
8. Risk Management
9.
9 Procurement Management
15. #1
#1- Project Integration Management
15
The ’elements’:
Building the Project Plan
Project Execution
Integrated Change Control
Bringing it all together:
Project Management “Nerve Center !
Nerve Center”!
16. #2 - Project Scope Management
16
Staying vigilant in defining and containing scope
throughout the project!
Project Initiation
Scope Planning
S l i
Scope Definition
Scope Verification
Scope Change Control
17. #3 - Project Time Management
17
Determining What Gets Done and When through:
Activity Definition
Activity Sequencing
Activity Duration Estimating
Schedule Development
Schedule Control
18. #4 - Project Cost Management
18
Planning for Resources
Estimating Costs
Creating the Budget
Managing/Controlling
the Budget
24. Your Turn: What We Know Already
24
Look back over your previous experience in project
management!
How many of the nine knowledge areas did you use?
(
(Probably all nine!)
y )
Take a quick inventory and point to your most
successful application and the most difficult one to
manage!
Pick up at least one new tip from others right now!
25. So what is Project Management?
25
The use of resources to accomplish project objectives, which
objectives
includes:
• Applying knowledge, competencies and skills
pp y g g , p
• Defining, planning, scheduling and controlling
• Leadership, communicating and coordinating
• Starting up and dissolving project teams
• Balancing requirements, schedule and resources
• Being sensitive to people
• Managing both deliverables and processes
26. So what is Project Management?
26
A Systematic Process for Managing Project Implementation
1. Understand the project
2. Structure the organization
3. Build the team
4. Analyze the context
5. Refine objectives, scope, and other project parameters
6. Prepare the work breakdown structure (WBS), Responsibility Matrix, and
Master Summary Schedule
7. Plan and schedule with critical path method (CPM)
8.
8 Obtain management approval
9. Design control and reporting systems
(Time, Cost, Resources, Scope, Performance and Quality)
10. Organize p
g procurement
11. Execute and control the work
12. Terminate the project
27. Your Turn:
27
What are the 9 PM Knowledge Areas
…
…
…
…
…
…
…
…
…
29. The Triple Constraint
29
The three constraints that all projects are facing and
that are constantly overlooked /underestimated
Time Cost
Quality/Scope
OR, IN
Fast
ast Cheap
PLAIN
ENGLISH
Good
30. Triple Constraint Trade Offs
Trade-Offs
30
Cost
Quality/Scope
Constraint Required Adjustment Alternatives
Req ired Adj stment Alternati es (One or
Change Combination of Both)
Shorter Time Higher Cost Reduced Quality or Narrowed
Scope
Reduced Cost More Time Reduced Quality or Narrowed
Scope
Higher Quality or More Time Higher Cost
Increased Scope
p
31. Triple Constraint: Setting Priorities
31
Prior ity Matrix
Constraint 1 2 3 Measurement
Time
Cost
Quality/Scope
Q lit /S
•Must be set by customer and sponsor near startup.
•May change over time, but a change is a significant event!
E x a m p l e o f a C o m p l e te d P r i o r i ty M a t i x f r a C o n str u cti o n P r o je ct
t t tr fo t ti j t
Co n s tra i n t 1 2 3 Me a s u re m e n t
Building must be completed by
Time X October 31 of this year to
accommodate corporate move.
Costs for the project must not
Cost X exceed $22.5 million.
Must provide workspace for 120 call
p p
Quality/Scope X center staff.
If these are the established priorities and measurements, what are some of the
implications for the project if the project starts running late or shows signs of
exceeding budget?
32. Your Turn:
32
What are the triple constraints?
…
…
…
34. The Project Life Cycle
34
General Form of a Project Life Cycle
Project
Phase 1
Ph Phase 2
Ph Phase 3
Ph Phase...
Ph Phase " "
Ph "n"
35. Project Life Cycles Are Like Snowflakes!
35
Simple Three-Phase Project Life Cycle
Si l Th Ph P j t Lif C l
Project
Initiation Execution Close Out
Close-Out
Nine-Phase Project Life Cycle
Project
Formulate Concept Evaluate Concept Verify Scope Design Construct Deploy Maintain Close
36. Project Life Cycles Are Like Snowflakes!
36
Program/Project
Identification
Completion &
Evaluation Phase
PCM Model
37. Project Life Cycles Are Like Snowflakes
37
Continuous I
C i Improvement
Lessons
Learned
Project
IInitiation
iti ti Definition
D fi iti Planning
Pl i IImplementation
l t ti Closure
Cl
38. Project Life Cycles Are Like Snowflakes
38
IDENTIFICATION
PREPARATION
APPRAISAL
NEGOTIATION
IMPLEMENTATION
ILO/UN Model
EVALUATION
40. Project Life Cycles Are Like Snowflakes
40
Phase or Identification Preparation Approval Financing Implementation Operations
Stage
Ex Post
Evaluation
Project
Profile
Product or Pre- Prepared
Process or feasi- and
Deliverable bility Budget
Study for
Feasibility
y Project
j Donor Final Cons-
Feasi-
F i
Study/ Proposal Agreement Design truction
bility
Preliminary for included in
Study
Design Project Capital Budget
Financing
Decision 1 2 3 4 5 6 7
maker
Sector Sector Sector Central Financing Sector Sector
Ministry Ministry, Ministry Planning Institution Ministry Ministry
Planning Unit and
Unit and Ministry
y
Ministry of Finance
of Finance
Typical Project Life Cycle for a
Technical Cooperation Country Program/Project
41. Benefits of a Project Life Cycle
41
• Establishes a common framework for developing the project!
• Defines the system for managing projects, including phases and decision
points!
• Provides a common l
P id language f th d
for the development process!
l t !
• Institutionalizes a management system!
• Improves communication, coordination and control!
These points do hold true for any type of project!
ILO/UN
42. The Project Life Cycle we will use…
42
Project Life Cycle Used in this Workshop
Project
Initiation Definition Planning Implementation Closure
Phase Pur po se
Initiation Introduce proje ct to attain approval and cre ate proje ct
charte r
De finition
D fi iti Docume nt proje ct scope , d li rable s, and me th d f
D t j t de live bl d thods for
containing scope .
Planning Cre ate plan docume nting the activitie s re quire d to
comple te the proje ct, along w ith se que nce of activitie s,
re source s assigne d to the activitie s, and re sulting
sche dule and budge ts.
Imple me ntation Exe cute and manage the plan, using artifacts cre ate d in
the planning phase .
Closure Formally re vie w the proje ct, including le ssons le arne d and
turnove r of proje ct docume ntation.
ntation
43. Your Turn:
43
Which ‘steps/sequences’ you will find in a Project Life
Cycle (make sure you get them in the right order) ?
…
…
…
…
45. How Projects Come to Be
Be…
45
Project selection can be a difficult process, especially when there
are a large number of potential projects competing for scarce
money.
Some selection methods are highly intuitive; others try to add
rigor through more scientific selection processes.
46. Sacred Cows and Pressing Needs
g
46
Some selection ‘criteria’ can b
S l i ‘ i i ’ be:
“Sacred Cow” selection—Senior Management wants it!
(it may often turn out well; many visionary projects
start here)!
Business opportunity (make more money)!
Savings potential (save more money)!
Keeping up with competition (example, many e-commerce projects were
in response to competitor’s initiatives)!
p p )
Government or regulatory requirements!
URGENCY!!!
Disaster recovery initiatives!
47. An Important Selection Criterion
47
Sanity Ch k
S it Check:
Does the project fit in with the stated goals of the organization?
Which of the following meet this criterion? Why or why not?
An
A environmental group proposes a project to raise money by selling aerosol cans of
i l j i b lli l f
a powerful new pesticide.
A video store chain proposes to develop a web site for ordering and distributing
deo sto e c a p oposes de e op eb s te o o de g a d d st but g
videos.
A bank offers a free rifle to anyone opening a new savings account.
A restaurant equipment manufacturer decides to introduce a line of high-end
refrigerators for the consumer market.
48. Selection Tools
48
N u m e r i c Me th o d De s c r i p ti o n
Payback Period Determines how quickly a project
recoups its costs
Net Present Value Estimates the current worth of
anticipated cash flows resulting from
the project
Unweighted Selection Scores multiple projects against a set
of selection criteria, with all criteria
being equal
Weighted Selection Scores multiple projects against a set
of selection criteria, with each
criterion assigned a numeric weight
Pairwise Priorities Rank ordering a number of candidate
projects by systematically comparing
one with each of the others
50. Weighted Criteria
(example, using scale of 1-5)
50
Item
Weight
t
Project A Proje ct B Project C
Criteria
4 5 3
Good ROI 3 12 15 9 0 0
2 3 5
CEO Like s It
Lik 5 10 15 25 0 0
5 4 2
Provide
Be tte r 4 20 16 8 0 0
Se rvice
4 4 5
Ma tch Ne w
Initia tives of 3 12 12 15 0 0
Our
Compe tition
Winner!!
(
(hmmmm…)
) 0 0 0 0 0
Total: 54 Total: 58 Total: 57 Total: 0 Total: 0
51. Unweighted Criteria
(example, using scale of 1-5)
51
Item
Project A Project B Project C
Criteria
Good ROI 4 5 3 0 0
CEO Likes It 2 3 5 0 0
Provide Better 5 4 2 0 0
Our Service
Winner!!
Match New
(Still! So the Initiatives of 4 4 5 0 0
boss Competition
was right..)
0 0 0 0 0
Total: 15 Total: 16 Total: 15 Total: 0 Total: 0
52. Forced Pair Comparisons for Priorities
52
Allows individuals or groups to rank order lists of candidate projects (or
All i di id l t k d li t f did t j t (
anything, for that matter!)
Simple
Works well for fewer than 20 items
1 -- 2
1 -- 3 2 -- 3
1 -- 4 2 -- 4 3 -- 4
1 -- 5 2 -- 5 3 -- 5 4 -- 5
1 -- 6 2 -- 6 3 -- 6 4 -- 6 5 -- 6
1 -- 7 2 -- 7 3 -- 7 4 -- 7 5 -- 7 6 -- 7
1 -- 8 2 -- 8 3 -- 8 4 -- 8 5 -- 8 6 -- 8 7 -- 8
1 -- 9 2 -- 9 3 -- 9 4 -- 9 5 -- 9 6 -- 9 7 -- 9 8 -- 9
1 -- 10 2 -- 10 3 -- 10 4 -- 10 5 -- 10 6 -- 10 7 -- 10 8 -- 10 9 -- 10
Item Scores
1 2 3 4 5 6 7 8 9 10
53. How to use the Forced Pair Comparisons
53
Generate list of items.
items
For project selection, this will be the list of candidate projects.
Number the items for identification purposes.
Use the grid to compare each item with the other items on the list, circling the item
g p , g
that is the more preferred of the two. (You must make a choice for each pair!)
Count the number of times each item was circled and enter its score on the bottom
line of the grid.
grid
Rank order the list using the scores you have derived. The item with the highest
score is #1. The item with the second-highest score is #2. ( case of a tie, you may
g (In ,y y
either do a mini-grid for the tied items, or refer to your original preference when
you were circling the items in the grid above.)
Use less than a full grid for fewer than 10 items; expand grid for more items.
items
54. How to Use Forced Pair Comparisons
Example:
54
Seven Books I Have Always Wanted to Read and Haven’t
1. Middlemarch
2. Ulysses
3. Remembrance of Things Past
4. War
W and P
d Peace
5. Moby Dick
6. Anna Karenina
7. Pride and Prejudice
55. How to Use Forced Pair Comparisons
Example (continued):
E l ( ti d)
55
1 -- 2
1 -- 3 2 -- 3
1 -- 4 2 -- 4 3 -- 4
1 -- 5 2 -- 5 3 -- 5 4 -- 5
1 -- 6 2 -- 6 3 -- 6 4 -- 6 5 -- 6
1 -- 7 2 -- 7 3 -- 7 4 -- 7 5 -- 7 6 -- 7
1 -- 8 2 -- 8 3 -- 8 4 -- 8 5 -- 8 6 -- 8 7 -- 8
1 -- 9 2 -- 9 3 -- 9 4 -- 9 5 -- 9 6 -- 9 7 -- 9 8 -- 9
1 -- 10 2 -- 10 3 -- 10 4 -- 10 5 -- 10 6 -- 10 7 -- 10 8 -- 10 9 -- 10
Item Scores
1 2 3 4 5 6 7 8 9 10
2
* 5 1
* 4 2 1 6
* Break ties. In this case, #1 and #6 as well as #3 and #6 were tied.
Ties were broken merely by referring to previous choice made in the grid.
56. How to Use Forced-Pair Comparisons
Example (concluded):
56
Ranked List f the Seven B k I H
R k d Li t of th S Books Have Al
Always W t d t R d and H
Wanted to Read d Haven’t
’t
1. Pride and Prejudice
2. Ulysses
3. War and Peace
4. Middlemarch
Middl h
5. Moby Dick
6. Remembrance of Things Past
7. Anna Karenina
60. Project Environment…
60
Do
D not forget a Project is a System …
tf t P j ti S t
The Environment
The Project
Inputs Processes Outputs
61. Project Environment…
61
…aS t
System in a System…
i S t
The Environment
The Project Organization
Inputs
The Project
Inputs Processes Outputs
Outputs
Customers
or
Beneficiaries
62. Project Environment…
62
Actors and Factors as Inputs and Outputs
The Environment
Inputs Outputs
The Project
O ga at o
Organization
Supplies Facilities Reports School
The
Accounting
A ti Project
P j t
Improved
instruction
Money
Improved
Labor economic
g
growth
Government
agencies
63. Project Environment…
63
Actors (Stakeholders) Outside
and Factors as Environment
(outside of parent organization)
Inputs and Outputs
Actors
• people
• institutions
• ... Actors
A t
Inputs Project Outputs
Factors Factors
• climate
• inflation
• ...
Stakeholders: Actors with an interest in or who could be impacted by the project
64. Project Environment…
64
Project Cycle M
P j C l Management
QUALITY at EX in the 2000s
feedback
XIT
feedback
0
65. Project Environment…
65
Step: Process f E i
St P for Environmental Analysis
t lA l i
1. Scan environment and identify y The Environment
actors/factors; in terms of inputs and
outputs; geopolitically and by sector! The Project
2. Screen in terms of dependency, risk,
Inputs
and power! Processes Outputs
3. Identify problem and beneficial actors
and factors!
4. Develop strategies and act! Boundary
5. Repeat throughout implementation!
p g p
66. Project Environment…
66
Step: Screen A t
St S Actors and Factors
dF t
1. List them
2. Rate them in terms of:
• Dependency: H
D d How i
important?
t t?
• Risk: Likelihood something will go wrong
• Power: Degree of control or influence
Assign High, Low, or Medium rating to each in a matrix/tabel
g g , , g /
67. Project Environment…
67
Actors & Factors Matrix
A F M i
Degree of Degree of Degree of Degree of
dependency risk power problem
Actor 1 medium high high
Actor 2 low medium low
Actor 3 high high low high
Factor 1 low medium low
Factor 2 low high low
Factor 3 high high low
68. Project Environment…
68
Definition of dependency
D fi iti fd d
• How important is the actor or factor to the successful completion
p p
of the project!
Definition of risk
• the chance that something will go wrong (hinder the
completion of the project in a significant way)!
69. Project Environment…
69
Definition of Power: Ability to make something occur; ability to get
someone to do something one wants done!
POWER:
High = control
Medium = influence Control
Low (none) = appreciation
Influence
I fl
Appreciation
70. Project Environment…
70
After your Analysis Develop Strategies and Act
Af A l i D l S i dA
Use general STRATEGIES: Formulate Specific ACTIONS
• Reduce dependency ?
• Reduce risk ?
• Increase power ?
• Capitalize on beneficial ?
actors
acto s and factors
facto s
71. Project Environment…
71
Use Linkages to Increase Influence
Formal Informal
• committees • meetings
• project coordinator • p
plans
• task forces • teambuilding
• incorporation or merger •
p g personality
• rewards
72. Project Environment…
72
Continuously Scan the Project Environment
Scanning is not a one-time event
Circumstances change
Keep current
• list of problem actors and factors,
• Strategies and
• contingency plans!
74. Project Environment…
74
Worksheet 2 Actor F t G id
W k h t 2: A t Factor Grid
Project:
Degree of Degree of Degree of
Degree of risk
dependency power problem
Actors
Factors
H=High
M=Medium
M M di
L=Low
75. Project Environment…
75
Worksheet 3 Managing Problem Actors & Factors
W k h t 3: M i P bl A t F t
Project:
Decreasing Increasing
Decreasing Linkages
degree of degree of
degree of risk Formal/Informal
dependency power
Actors
Factors
76. Project Stakeholders
76
“Individuals
“I di id l and organizations th t are actively
d i ti that ti l
involved in the project, or whose interest may be
pos t e y o egat e y a ected
positively or negatively affected as a result of project
esu t o p oject
execution or project completion.”
2000 PMBOK Guide
Short list
Project benefacto
P oject benefactor
Project requestor
Project manager and team
Those affected by the project
77. Project Stakeholders: Partial List of
Candidates for Stakeholder Roles
77
Project b
P j t benefactor and upper management
f t d t
Project sponsor
Project office/project advisory boards
Executive management
Project
P j t requestor
t
Project manager and team
If a team member has a line manager, he or she is a key stakeholder as well. (They hold the strings
for your team member.)
Internal Consultants
Legal
Audit
Telecommunications
IT infrastructure
Quality assurance
Human Resources Department
External entities affected by the project
Customers
Vendors
Governmental agencies
Other regulatory bodies
78. Identifying Project Stakeholders
y g j
78
Potential Stakeholders
Stakeholders Inside the Team
Stakeholders Within the Organiz ation
Stakeholders Outside the Organiz ation
79. Project Stakeholders
79
Putting even more detail to the stakeholder…
stakeholder
Analyse the characteristics of the group e.g.:
Composition (homogenous or in-homogeneous group in regard to ethnic, social, religious and cultural factors);
Status of the group (informal, formal, social status, legal status, organisational structure, etc.);
Purpose of their existence and main functions;
Needs; Motives and interests, openly expressed or hidden;
Hopes, wishes, expectations - fears, apprehensions, reservations;
Attitudes (opinions, prejudices, taboos, etc.) towards project related factors, e.g. change, progress, work, strangers;
Potentials and deficiencies/Strength and weaknesses of the group (e.g. knowledge, skills, behaviour, commitment,
etc.);
);
Resources (power, possessions, influence, monopolies, connections); What could the group contribute to or withhold
from the project?
Implications for the planning.
planning
PCM
80. Your Turn:
80
Project stakeholders how to identify and
categorizing them?
…
…
…
…
…
…
82. Defining Scope
82
Product S
P d Scope versus P j
Project S
Scope
Product Scope: The sum of the features that make up the
product or service created by the project.
Project Scope: All of the activities and resources required to
produce the target product or service.
83. Preliminary Context Diagrams:
Deconstruction
D t ti
83
Widget
Wid t
World
Manage Sell Manage Maintain Run
Enterprise Widgets Systems Accounts HR
(IT Dept)
Manage Support Sell Support Develop Design Hire Develop Maintain
Sales Sales Product y
Systems y
Systems Websites Staff Courses Employee Records
p y
(Our Context)
• Here we’ve drilled down into the Widget World organization and depicted the major
functions within the company.
company
• Ideally, the top level should encompass the entire organization.
• We have been charged with evaluating a flawed sales support system that provides
automated training and support to the sales staff. The scope of the training product is
therefore the box labeled “Support Sales.”
84. Scope (Context) Diagrams
Defining the E d P d t
D fi i th End Product
84
Login and Lesson
Participation
Usage Statistics
IT Dept
Sales Staff Ad Hoc Product and
Procedures Inquiries
Sales Staff
Information
Ad Hoc Product and and Access
Sales Support Sales Staff Permissions
Sales
Performance Support
Managers
Course Lessons, Training Product
Assessments, and
Learner Sales Staff
Evaluations a t c pat o
Participation
and Progress
Reports
Sales Staff
Participation and
P ti i ti d
Course Progress Reports HR
Development Department
Group Content
Updates
85. Scope (Context) Diagrams
Defining the End Product (continued)
85
Software
The software product, usually drawn as a
Product
rounded-corner square, and always in the
center of the graphic
One rectangle for each class of individual
Individuals Who
(e.g., customer) or organization (e.g., HR)
Interact Wi h
I With that might interact with the software
Software Product solution
One rectangle (
g (with an extra line inside
Systems That the top) for each class of system (e.g.,
Interact With your HR S ystem) that may interact with
Software Product the software product
One arrow for each major class of
information that flows to or from the
software product
86. Scope (Context) Diagrams
(applied to project team charged with delivery of the product)
( li d t j tt h d ith d li f th d t)
86
Request for Infrastructure IT Systems
HR Dept Requirements Support
Approvals/$
Interim Versions
Completed System Project Internal
to Develop Focus Group
Sales Staff Support Recommendations/ Participants
Approvals
Progress Reports System
Template
Designs
Internal Web Sales
Design Managers
Group Content
Rules
87. Scope (Context) Diagram
(applied to project team charged with delivery of the product -
continued)
87
Software
The name of the software development project,
Development usually appearing in the center of the graphic as
Project
a rounded-corner square
Any Individuals or One rectangle for each class of individual (e.g.,
Organizations project sponsor) or organization (e.g., IT
Interacting With Department) that may interact with your
Project Team software development project team in
developing the software product
One rectangle (with an extra line inside the top)
Systems That
for each class of system (e.g., a course module
Interact With Project
Team
library) that be used by the software
development project team in developing the
software product
p
One arrow for each major class of information
that flows to or f
h fl from software d
f development
l
project team
90. Writing SMART Objectives
90
S pecific
Objectives should be stated in terms that include some
quantitative target for the end product.
M easurable
There should be some way of actually testing whether or not that
stated target has been met.
A ttainable
The desired objective must be one that is actually possible to
ac e e
achieve within t e t e a d cost pa a ete s p o ded
t the time and parameters provided.
R elevant
The desired objective should relate directly to the organization's
business
b siness needs and stated mission
mission.
T
The boundaries for completion date of the desired objective
should be either a specific date or time or an "offset" from the
beginning of the project. (For example, must be completed within
five months of project launch.)
ime-Bound
92. Risk Management
92
Project Management Institute (PMI) Definition:
"an uncertain event or condition that, if it occurs, has
a positive or negative effect on a project objective ,
objective”,
requires that both opportunities and threats be
addressed to maximize/minimize these
advantages/disadvantages.
How to handle them:
Risks that may affect the project for better or worse
can be identified and organized into risk categories.
Risk categories should be well defined and should
reflect common sources of risk for the industry or
application area.
93. Risk Management
93
Risk t
Ri k categories include the following:
i i l d th f ll i
• Technical, quality, or performance risks —such as reliance on unproven or
complex technology, unrealistic performance goals, changes to the
technology used or to i d
h l d industry standards d i
d d during the project
h j
• Project-management risks —such as poor allocation of time and
resources, inadequate quality of the p j
, q q y project p
plan, p
, poor use of p j
project
management disciplines
• Organizational risks —such as cost, time, and scope objectives that are
internally inconsistent, lack of prioritization of projects, inadequacy or
y , p p j , q y
interruption of funding, and resource conflicts with other projects in the
organization
• External risks —such as shifting legal or regulatory environment, labor
such
issues, changing owner priorities, country risk, and weather. Force
majeure risks such as earthquakes, floods, and civil unrest generally
require disaster recovery actions rather than risk management.
94. Risk Management
94
A risk breakdown structure (RBS) provides a hierarchical way to organize risks, proceeding
from an overview of risks associated with an entire project to general categories and individual
risks. The method, developed by Project Management Professional Solutions Ltd. Director of
Consultancy David Hillson, mirrors the work breakdown structure.
As part of this first step in the risk management process, an organization might specify the
methods used to actually identify risks. For example, brainstorming sessions might identify
"communication" problems under "management risk while financial models might evaluate
"financial" uncertainties under "commercial risk.''
In the next steps, specific risks are identified within each of the named categories along with
some ranking of their severity and strategies for managing those risks. As these strategies are
successfully mapped, project managers gain a better understanding of the levels of risk
prevalent within alt areas of a project, and they're able to work systematically to reduce those
risks.
Source: D.A. Hillson's "The Risk Breakdown Structure as an Aid to Effective Risk Management," presented in
June at the PMI Europe 2002 Conference, Cannes, France.
96. Risk Management
Risk Identification Worksheet Scenario:
Risk Identification Worksheet
Enter risk scenario (how an event could jeopardize project
outcome).
Rate probability, impact, and degree of control using Probability Impact Control Index
rating scale of:
1 = Low Financial Impact:
2 = Medium
Action to be Taken: Ignore Eliminate Manage
3 = High
g
Mitigations:
Compute risk index using formula:
Probability * Impact
Risk Index =
Control
Contingencies:
If possible, enter financial impact.
Determine actions to take:
Ignore (do nothing) Manager of This Risk:
Eliminate (sidestep) Actions Taken
Manage Action: Date:
For managed risks, indicate mitigations and
contingencies and assign risk manager.
Log actions taken as they occur.
L ti t k th
97. Risk Management
g
97
Giving Risks Priorities
Maintain inventory of all risks identified—updating probabilities, impacts, and controls if changes occur.
Risk Priority Worksheet
Risk ID Risk Scenario Probability Impact Control Index
1 Key stakeholders unavailable during project definition phase 2 3 2 3
2 Vendors late in delivering required software for security system 2 2 1 4
3 Loss of key team member in middle of project 1 3 2 1.5
4 Power failure due to seasonal storms 1 3 1 3
5 Final regulations controlling administration of new system late 2 3 1 6
6 Scope changes require additional tasks and resources 2 3 2 3
Focus attention on the risks with the highest indices!!!
Risk Priority Worksheet
Risk ID Risk Scenario Probability Impact Control Index
5 Final regulations controlling administration of new system late 2 3 1 6
2 Vendors late in delivering required software for security system 2 2 1 4
1 Key stakeholders unavailable during project definition phase 2 3 2 3
4 Power failure due to seasonal storms 1 3 1 3
6 Scope changes require additional tasks and resources 2 3 2 3
3 Loss of key team member in middle of project* 1 3 2 1.5
98. Your Turn: Project Risk Scenarios
j
98
Risk Identification Worksheet
Scenario:
1. Individually identify and jot down
four possible risk scenarios this Probability Impact Control Index
project might face.
Financial Impact:
2. Share these within your group
and create a Risk Priority Action to be Taken: Ignore Eliminate Manage
Worksheet of your pooled risks. Mitigations:
3. Score the risks.
4.
4 For the top two brainstorm at
two,
Contingencies:
least one mitigation and one
contingency. Manager of This Risk:
5.
5 Use the Risk Identification Actions Taken
Worksheet as a guide, but you do Action: Date:
not need to complete one for this
exercise.
99. Project Assumptions PCM
C
99
How d
H does PCM d fi
define, f
formulate and h dl ‚Assumptions‘?
l d handle A i ‘?
Assumption Definition:
A ti D fi iti
Conditions/factors that must exist/are important if the
program/project is to succeed but which are not under the
succeed,
direct control of the project, because they do not have e.g. :
• a mandate for it and or
• did choose not to control it and or
• are outside the projects intervention.
100. Project Assumptions
100
Risk Project Management Assumption PCM Definition:
Institute (PMI) Definition:
"an uncertain event or condition Conditions/factors that must
exist/are important if the
that, if it occurs, has a positive or
, , p program/project is to succeed,
negative effect on a project but which are not under the
direct control of the project,
objective”, requires that both because they do not have e.g. :
y g
opportunities and threats be • a mandate for it and or
addressed to maximize/minimize • did choose not to control it and
these advantages/disadvantages. or
• are outside the projects
intervention.
intervention
101. Project Assumptions PCM
C
101
Where to fi d and h
Wh find d how to word A
d Assumptions?
i ?
• Assumptions can be derived from a variety of analytical tools,
such Stakeholder Analysis Problem/Objective Tree, Analysis of
Analysis, Tree
Alternatives, SWOT, just to name a few.
• Assumptions will be worded as p
p positive conditions (
(i.e. like
‘Results/Outputs’).
• Assumptions will be weighted according to their importance and
probability
• One uses the IF-AND-THEN logic, to make sure that the
Assumption is on the right level: e.g. IF an Activity is done AND
eg
the Assumption comes true, THEN the Result/Output will be
achieved.
103. Project Assumptions
103
Assumptions, continued
A ti ti d
There might be quite a number of potentially important Assumptions, which we have to
make about any Result/Output or even Activity and it is neither useful nor possible to list
them all. What is required is the specification of the most important Assumptions for each
level of the hierarchy.
Generally, the significance of these Assumptions - i.e. the ability of the factor to affect
achievement - rises through the hierarchy. Uncertainty will rise at the ‘Result/Output’ to
hierarchy Result/Output
‘Goal/Purpose’ linkage level and will become very significant at the ‘Goal/Purpose’ to
‘Overall Goal’ linkage level. Uncertainty at this level is high, because the achievement of
the ‘Overall Goal’ depends upon the achievement of one or more complementary inputs.
Some additional remarks
Avoid to many Assumptions in your LogFrame. Those that are important and can be ‘managed’ by the
implementation team have to be at least monitored and they might even become additional Activities,
which have to be carried out!
Sometimes planning teams have a tendency to 'shy-away' from stating Assumptions. Do not fall into that
trap either! Even some manageable Assumptions might turn into Killer Assumptions if they are ignored!
104. Risk Management
104
Finding Risks/Assumptions using a PEST analysis
It is a tool that strategy consultants use to scan the external macro-
environment in which an organisation or company operates. PEST is an acronym
for the following factors:
Political factors
Economic factors
Social factors, and
Technological factors.
PEST factors play an important role in the value creation opportunities of a
strategy. However they are usually beyond the control of the corporation and must
normally be considered as either threats or opportunities Remember macro
opportunities. macro-
economical factors can differ per continent, country or even region, so normally a
PEST analysis should be performed per country. In the table on the following page
y
you find examples of each of these factors.
p
105. Risk Management
105
Example PEST matrix
Political (incl. Legal) Economic Social Technological
factors factors factors factors
Environmental regulations Government research
Economic growth
g Income distribution
and protection spending
Demographics,
Interest rates & Industry focus on
Tax policies Population growth
monetary policies technological effort
rates, Age distribution
International trade
Government New inventions and
regulations and Labour/ social mobility
spending development
restrictions
Contract enforcement law Unemployment Rate of technology
Lifestyle changes
Consumer protection policy transfer
Work/career and Life cycle and speed of
Employment laws Taxation leisure attitudes technological
Entrepreneurial spirit obsolescence
Government organization
Exchange rates Education Energy use and costs
and attitude
(Changes in)
Competition regulation
p g Inflation rates Fashion, hypes
, yp Information
Technology
Health consciousness
Stage of the
Political Stability & welfare, feelings on (Changes in) Internet
business cycle
safety
Consumer (Changes in) Mobile
Safety regulations Living conditions
confidence Technology
106. Risk Management
106
Other f t
Oth ‚factors‘ that can be included…
‘ th t b i l d d
Internal factors External factors
o Design o Government policy
o Procedures + decision making o Economic background
o Finances o Social background
o Physical structure o Framework for external M+E of
o Organizational structure performance
o Manpower
o y
Information system Sustainability factors
o Vision, Mission, Mandate
o Policy support
o Appropriate technology
o Institutional and management capacity
g p y
o Economic and financial viability
o Socio-cultural and gender issues
o Environmental protection
107. Project Assumptions
107
Almost every lesson includes
the reminder “Don’t Assume!!”
Turn that around and make it
“Document Assumptions!”
Don’t expect others to read your mind.
Capture as many assumptions as possible to include
in your initial project charter.
Don t
Don’t be surprised if others do not share all your
assumptions. This is the time to resolve differences—
before the project is underway!
108. Your Turn:
108
What are Risks and Assumptions and how to deal
with them?
…
…
…
…
…
…
110. The Project Charter
110
The
Th project charter i the project’s “li
j h is h j ’ “license to do b i
d business.”
”
It should come from someone outside the project itself with
funding-access, resource-assignment, and decision-making
authority sufficient to support the project.
This person is usually known as the project sponsor.
111. Why Have a Project Charter?
111
Primary purpose: to get approval to proceed with the project and
P i l d i h h j d
obtain sufficient approval for resources to move to the next
phase of the project.
Communicate to stakeholders and other interested parties the
mission and objectives of the project.
i i d bj ti f th j t
Communicate to the project team what they are expected to
accomplish.
112. Project Charter Components
112
Project Mission
Project Scope
Project Objectives
Project Assumptions
Project Constraints
j
Milestones
Project Risks
Stakeholders
Signature Page Granting Authority to Proceed
In some organizations, the project charter is an evolving document. Many of
the components listed will change as the project moves into the project
definition phase.
113. Your Turn: Starting the Charter
113
List at least Three SMART Objectives
Objectives.
Project Assumptions
List at least three Project Assumptions.
Project Constraints
See Project Priority Matrix in Appendix. List any other constrain
Project Phases
P j Ph
Indicate the phases of the proposed project.
Milestones
List major milestones for p oject identified so far. ( c ude at
st ajo esto es o project de t ed a (Include
least five throughout the life of the project.)
Project Risks
Attach Risk Identification Worksheets and Risk Priority
Stakeholders
Attach Potential Stakeholders Worksheet
Worksheet.
Signature Page Granting Authority to Proceed
Obtain signatures of Project Sponsor and Project Manager.
Project Sponsor Signature:
Project Manager Signature:
114. The LogFrame,
a P j t Cycle Management Tool
Project C l M tT l
114
Project Objectively Means of Assumptions
Description Verifiable Verification (MoV)
Indicators (OVI)
Overall Goal Why is it
important for
the country/
society
Project Purpose What are the
needs for the
target group/
beneficiaries
Outputs/ What will be
Results the results
Activities What will the Inputs Costs, etc
project do to
achieve the
results
PCM
115. The LogFrame, what can it be used for?
115
It is an aid to logical thinking and an instrument by which a strategy,
instrument, strategy
product, program, project and implementation process may be
structured and described for planning and analytical purposes.
purposes
It can be used as well for or be the basis for a M+E system or oven a
Management Information S t
M tI f ti System (MIS). One can define with it
(MIS) O d fi ith
services/products, budgets, breakdown of responsibilities and use it for
further operational planning.
planning
If prepared correctly, the LogFrame is a concise document, easy to use
and to apply, and eventually lessening the workload of those responsible
for the various phases of the project cycle. It serves as a ‘project
charter’!
116. Your Turn:
116
What is the Project Charter?
…
…
…
…
…
…
118. Responsibility Matrix (RM)
118
What is it?
A tool for clarifying organizational roles and responsibilities
Every organizational role is clear to members of the team and the co-
co
operating partners!
Each work package has an clearly identified “owner” ,in order that no two
groups think they are responsible for the same work package!
Why is it the RM important?
It promotes discussion and agreement about roles, responsibilities and
organizational relationships!
It clarifies who is responsible for each work package!
It is the source of information for preparing the master summary
schedule and CPM plan!
119. Responsibility Matrix (RM)
119
Why is it the RM important?
It promotes discussion and agreement about roles,
responsibilities and organizational relationships!
It clarifies who i responsible for each work package!
l ifi h is ibl f h k k !
It is the source of information for preparing the master
summary schedule and CPM plan
120. Responsibility Matrix (RM)
120
Organizational unit, example
WBS Project
P oject
element Owner Architect Government Contractor manager
Plan A W C C C
Site A C W A
Code
W = Does work
C = Must be consulted
A = Approve
I = Information only
121. Responsibility Matrix (RM)
121
How to do it…
Draw a matrix (grid)
List WBS elements down the left-hand side column
left hand
List organizational units along the top row
Use codes for level of involvement
Discuss and agree on roles
g
122. Assigning Responsibilities:
Responsibility Matrix
R ibilit M t i
122
Cross-reference of tasks and resources assigned to the project
C f f k d i d h j
(RACI chart), another example.
Project Item Sponsor Project Manager Project Team Project Office
Project Definition A A R I
Risk Management A R R C
Detailed Design A R R C
Weekly Web Bulletin I R R I
etc.
R= Responsible
R ibl
A= Accountable
C= Consulted
I= Informed
f
124. Work Breakdown Structures
124
Work B
W k Breakdown Structures (WBSs) help organize the activities
kd S (WBS ) h l i h i i i
required to meet the objectives of the project.
Focus is on deliverables!
May be organized by:
phase of the project
component
125. Work Breakdown Structures
125
8 Steps to prepare a OP/WBS
1.
1 Step: List major activities
2. Step: Break activities down into manageable tasks
3. Step: Clarify sequence and dependencies
4. Step: Estimate start-up/time, duration and completion of Activities
5. Step: Summarize scheduling of major Activities
6. Step: Define milestones
7. Step: Define expertise/personnel required
p p /p q
8. Step: Allocate tasks/responsibilities among the team
126. Work Breakdown Structures
126
Phase-Based WBS
Ph B d
Partial WBS for Software Project Based on Phase
Customer Relationship Management System
Project Management Requirements Design Build
Planning
g Client Interviews Logical Design
g g Logical Design
g g etc.
Reporting Review of Current Workflows
Process Models Process Models
Administration Business Objectives
Use Cases Use Cases
Meetings Preliminary Test Planning
Logical Data Models Physical Data Models
Documentation Planning Documentation Planning
Training Requirements
127. Work Breakdown Structures
127
Component-Based WBS
C B d
Partial WBS for Luxury Townhouse Complex by Component
IYHTAYCAI* Village Project
(*If you have to ask, you can't affort it)
Project Management Buildings Land Planning Sales and Marketing
Planning Townhouse Units Water and Sewers Advertising
Reporting Clubhouse Roads and Access Lanes Association Declarations
Administration Gatehouses Retention Ponds General Legal
Meetings
M ti Pro Sh
P Shop 18-Hole Golf Course
18 H l G lf C
Documentation Planning Documentation Planning Permits and Inspections
Maintenance Staffing Requirements
Permits and Inspections
128. Work Breakdown Structures
128
Project Management - Level 2
Project Level 3 Level 4
Management Project Start and Finish
Contract Award
Complete Project
WBS element Kick-off meeting
decomposition,
Monthly/Quarterly Project Reviews
Corporate Reviews
Meetings and Reviews In-Process Review
example Close-out Meeting
Action Item Tracking System
Monthly Progress Report
Reports Annual Report
Budget/Financial Status Report
Project Charter
Master Schedule
Plans Project Plan (Current and Future Phases)
Risk M
Ri k Management and Oth Pl
t d Other Plans
Project Financing and Budget
Schedule Tracking
Cost Tracking
Earned Value Management
Controle Variance Analysis
Corrective Action
Work-Arounds
Project Management Office
Administrative Space/Relocation
Correspondence Control System
Procurement/Purchasing
Project S
P j Support Subcontract Management
Contract Management
129. Work Packages
129
Lowest l
L level of WBS i called a Work Package, if further
l f is ll d W k P k f h
deconstruction into activities is possible.
May be assigned as a subproject
May be subordinated into WBS structure for estimating
purposes
Activities t thi l
A ti iti at this level become the basis for time and duration
lb th b i f ti dd ti
estimates.
130. Work Packages
Should the WP be decomposed further?
130
Yes/No
Y /N Is there need t improve the accuracy of costs and duration estimates?
I th d to i th f t dd ti ti t ?
Is there more than one individual responsible for the work contents?
Is there a need to cost-out activities internal to the WP?
Is there a need to know precisely the timing of activities internal to the WP?
Are there any dependencies between the internal activities and or other WP‘s?
Are there any significant time breaks in the execution of the work processes internal to the work
elements?
Do resource requirements within the WP change over time?
Do the
D th pre-requisites differ among the internal deliverables within the work element?
i it diff th i t l d li bl ithi th k l t?
Are there any acceptance criteria applicable before completion of the entire WP?
Can a portion of the work to be performed within the WP be scheduled as a unit?
Are there any specific risks that require focussed attention to a portion of the WP. requiring further
division to separate them?
Is the WP understood clearly and completely to the satisfaction of various stakeholders?
131. The Master Summary Schedule (MSS)
131
What is it?
A schedule of summary activities
(life-cycle sub-phases and process elements)
(lif l b h d l )
Combination of WBS and process structure
It describes work elements (objects) and actions
d ib k l t ( bj t ) d ti
It is written in nouns and verbs
Why is it important?
For CPM planning: It will disaggregate summary
activities into activities for CPM
ti iti i t ti iti f
It is useful for reporting to senior management
132. The Master Summary Schedule (MSS)
132
How does a MSS looks like?
CODE RESP. WEEKS
From WBS
4 8 12 16 20 24
Prepare
10 Plan (A)
20 Site ( )
(C) Prepare Summary
Activities
30 Foundation (C)
Construct
40 Frame (C)
50 Roof (SC) Construct
60 Systems (SC)
Plumbing (P) Construct
Electrical (E)
Telephone (T)
70 Project mgt (PM) Install
I t ll
Continuous activity
133. The Master Summary Schedule (MSS)
133
How to prepare the MSS
Convert WBS into outline and use as labels for left axis
Use unit of time for control period along horizontal axis and draw
timeline
Use terminology from process structure whenever possible to name
summary activities
Identify,
Identify assign duration (time) draw, label and code summary
(time), draw
activities (process sub-phases and process elements) for each work
package.
134. Summary
134
WBS Work breakdown structure Framework for planning budgets,
F kf l i b d t
schedules and control systems
MSS M t summary schedule
Master h d l Draft overall schedule
RM Responsibility matrix Clarify roles and responsibilities
Next step:
Detailed planning and scheduling and assigning resources at
the activity level
136. More Sources of Project Activities:
UsingTemplates
136
Don’t reinvent the wheel!
As you get more projects under
your belt, work with other project teams to develop templates for
WBS’s to use as a starting point.
Remember, no two projects are ever exactly alike (remember the
“unique” in the definition of a project)! The template should be a
starting p
g point—to be tailored to the specific needs of the current
p
project.
Even with the time spent in tailoring, templates can be enormous
time-savers.
137. Your Turn:
137
What is a RM and a WBS and how to manage
them?
…
…
…
…
…
...
139. Project Scheduling
139
The Program (or Project) Evaluation and Review Technique,
commonly abbreviated PERT, is a model for project management
designed to analyze and represent the tasks involved in completing a
given project.