This document summarizes chapter 2 of an SMSVN PMP training course on organizational influences and the project life cycle. It discusses how organizational culture, structure, and processes influence project management. The three main organizational structures covered are functional, projectized, and matrix structures. It then explains that projects pass through defined phases over their life cycle from initiation to closure, and that the relationship between phases can be sequential, overlapping, or iterative.

1. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
REVIEW CHAPTER 1
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 Why formal Project Management?
 What is Project?
 Reasons to start a project?
 Portfolio?
 Program?
 What is Project Management?
 What are 5 Process Groups?
 Triple contraint of project management?
 Contraints of project management?
 Project Sponsor?
 Project Manager?
 Project Coordinator?
 Project Expeditor?
 Project Team?
 Stakeholders?
 PMO?
 EEF?

2. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
CHAPTER 2: ORGANIZATIONAL INFLUENCES AND PROJECT LIFE CYCLE
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LET’S THINK AS A PROJECT MANAGER

3. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT
 Organizational Cultures and Styles
 Shared visions, mission, values, beliefs, expectations
 Regulations, policies, methods, procedures
 Motivation and reward systems
 Risk tolerance
 View of leadership, hierachy, authority relationships
 Code of conduct, work ethic, work hours
 Operating environments
 Organizational Communications
 Enterprise Environmental Factors
 Organizational Process Assets
 Lessons learnt from earlier projects
 Templates, policies, standard operating procedures
 Risk register
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4. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT (CONT’)
 Organizational Structure
 Functional Structure
 Projectized Structure
 Matrix Structure
 Week
 Balanced
 Strong
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5. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT (CONT’)
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 Functional Structure
 Organization is grouped by areas of specialization
 Project generally occur within a single department

6. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT (CONT’)
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 Projectized Structure
 Entire company is organized by projects
 Personnel are assigned and report to a project
manager

7. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT (CONT’)
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 Weak Matrix
 Power rest with the functional manager
 Power of project manager = coordinator or expediter

8. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT (CONT’)
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 Balanced Matrix
 Power is shared between the project manager and
the functional manager

9. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT (CONT’)
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 Strong Matrix
 Power rest with the project manager
 It’s closed to projectized structure

10. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT (CONT’)
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 Composite
It’s rarely

11. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
ORGANIZATIONAL INFLUENCES ON PROJECT MANAGEMENT (CONT’)
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Key project-related characteristics of the major types of
organizational structure

12. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
THE PROJECT LIFE CYCLE
 The project life cycle is the series of phases that a project
passes through from its initiation to its closure
 All projects are divided into phases, and all projects, large or
small, have a similar life cycle structure:
 starting the project ,
 organizing and preparing ,
 carrying out the project work
 closing the project
 Each phase has a defined endpoint
 Example:
 IT Project: Requirement -> Design -> Program -> Test ->
Implement
 Construction: Feasibility -> Planning -> Design -> Production ->
Turnover -> Startup
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13. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
CHARACTERISTICS OF PROJECT LIFE CYCLE
 Cost and staffing levels are low at the
start, peak as the work is carried out, and
drop rapidly as the project draws to a
close.
 Stakeholder influences, risk, and
uncertainty, are greatest at the start of
the project. These factors decrease over
the life of the project.
 Ability to influence the final
characteristics of the project’s product,
without significantly impacting cost, is
highest at the start of the project and
decreases as the project progresses
towards completion.
…or…
The cost of changes and correcting errors
typically increases substantially as the
project approaches completion.
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14. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
PROJECT PHASES AND THE PROJECT LIFE CYCLE
 A project life cycle is a collection of project
phases that defines:
 What work will be performed in each phase
 What deliverables will be produced and when
 Who is involved in each phase
 How management will control and approve work
produced in each phase
 A deliverable is a product or service produced or
provided as part of a project
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15. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
PHASE-TO-PHASE RELATIONSHIPS
 There are three basic types of phase–to–phase
relationships :
 A Sequential relationship : where a phase can only start
once the previous phase is complete
 An Overlapping relationship : where the phase starts
prior to completion of the previous one (Fast tracking).
Overlapping phase may increase risk and can result in
rework .
 An Iterative relationship : where only one phase is
planned at any given time and the planning for the next is
carried out as work progresses on the current phase and
deliverables
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16. SMSVN – PMP Training Course 2013 – Chapter 2 Prepared by Nam Trung - 05/07/2013
REVIEW
 Organizational Influences on project
management?
 Functional Structure?
 Projectized Structure?
 Week Matrix?
 Balanced Matrix?
 Strong Matrix?
 Project Life Cycle?
 Phase to phase Relationship?
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