PMBOK guide

- project lifecycle definition

-5 project management process groups
-10 knowledge areas

stakeholders of project - management, clients, can be internal or external. can

positively or negatively impact your project.
64% of projects fail!!! - mostly because they went over budget or time. even by a
little bit, its still considered a fail.
Projects
- Temporary, unique
Operations
- Repetitive, ongoing
Both are performed by people, constrained by resources, and
planned/executed/controlled.

Why do we start projects?

- market demand - our computers are all win7, but newest version is win 13. we
need to update all our companys devices.
- organizational need
- customer request
- technological advance - similar to windows example
- legal requirement - investor has invested in company and forces court to
implement the project they promised.

Management by objectives (MBO)

1) establish unambiguous and realistic objectives
2) have periodic evaluations
3) implement corrective actions
- each project must support corporate objectives

Project Objectives
- objectives are contained within the Project Charter
- PMP REQUIRES ALL PROJECTS TO HAVE A PROJECT LEADER TO
PREPARE A PROJECT CHARTER
- sets times, dates, goals, members, etc
- project is completed only when objectives are met (thats the goal of the Proj
Manager)
- once youve made the project charter, you cant make any changes to it
-SMART
- specific
- measurable
- achievable
- realistic
- timely

strategic objective vs stretch goal

- strategic objective - win the race. do you need speed? endurance? both?

project constraints
- cost, time, scope, quality, risk, customer satisfaction

Application Area knowledge

- understanding of technical or industry knowledge (inventory management,
marketing, legal)
- standards - established by consensus or governing body that provides rules and
guidelines for activities or results aimed at achievement of the optimum degree
- regulations

Project Environment Knowledge

- understanding of cultural, social knowledge

- international/political environment
- physical environment
- who are stakeholders
- strategic plan of the performing organization
General Management Knowledge
- financial management
- accounting
- sales and marketing
- contracts or commercial
- law manufacturing
- distribution
- supply chain
- procurement schedules
- IT
- organizational structure
Interpersonal skill knowledge
- effective communication
- influencing the organization and stakeholders (get more funding, etc)
- leadership
- motivation (when team is stressed, etc)
- negotiation (with management, customer, suppliers, etc)
- conflict management
- problem solving

Portfolio - collection of programs or projects to facilitate management of that

work to meet strategic business objectives. Portfolio is larger scale.
Projects can be divided into smaller, more manageable components called
subprojects
Program is group of related projects managed in coordinated way to obtain
benefits/control not available if managed individually. Smaller scale usually.

Project Management Office - responsibilities

- department that centralizes the management of project
- should be very strong
- manage interdependencies between project (ie. a coder from another project
who is important)
- help provide resources
- terminate projects if its failure
- help gather lessons and feedback from other projects and share with others
- provide template/guidance
- PMO might just regulate, or just advise.

Project Lifecycle
- Progression through a series of differing stages of development
- product lifecycle
covers phases from conceptualization of product to its withdrawal
- initial -> intermediate -> final
- waterfall model - you cannot go backward, only downward.
- project lifecycle
this is a subset of product lifecycle

Phases of a Project Lifestyle

- projects are divided into lifestyle phases because
- stronger mangement control
- to provide appropriate links to ongoing operations of performing
organization
- fixed by performing organizations
- connect project from beginning to end
- phase end reviews are called kill pointsor phase exits, or stage gates
- project lifestyle phases =/= project management process groups
- these phases have a technical handoff/approvals of deliverables from
previous phase

- if these phases overlap, its a schedule compression technique called fast

tracking
cost/staffing level over a project lifecycle is low in the beginning, peaks in the
middle, then drops as project comes to a close
- risk is highest at the beginning of the project - only a few people involved, but
potentially many negative impactors or doubters
- as project continues, the risk is mitigated more and more. everything starts to
come together
uncertainty of a project lifecycle
- stakeholder influence (hence risk of failure) is highest at the start, then falls
- cost of changes increases as project continues (sunk costs, etc)

organizational factors that influence a project

- systems, cultures, styles
- the role of the PMO
- Project management system
PROJECT based organizations
- organizations that derive revenue primarily from doing projects for others under
contract
- organizations that have adopted management by projects
FUNCTIONAL organization
- sometimes, teams are TOO soloed
- staff members are grouped by specialty (silo working)
- each staff member has 1 superior
- i.e. 1 VP who has 3 functional managers, who each have 3 staffers.
- lengthy comm channels, very hierachal
- low project focus, so they can hire a separate project coordinator
PROJECTIZED organzation
- VP has 3 project managers, who each have their own staff members
- shorter comm channel

WEAK MATRIX organization

- blend of functional and projected
- project manager is more of a project coordinator - no real staff. he himself is
just a staff member.
BALANCED MATRIX organization
- project manager has limited authority over project and funding
- it recognizes the need for a full time project manager though
STRONG MATRIX ORGANIZATION
- project manager has strong authority
- close to projected organization
- there are managers of project managers now, rather than reporting to functional
managers. also some staff members in project activities.
COMPOSITE organization
- functional org may create a special project team to handle a critical project
- theres a project manager team, and staff members from other functional
departments.

Project Management System

- set of tools, resources, methodologies, techniques used to manage a project
- typically managed by the PMO

THE 5 PM PROCESS GROUPS

1) Initiating
- defines and authorizes the project/project phase starting
- identifies stakeholders
- entry points: business need, new project phase is beginning, business
reevaluation of failed project

2) Planning
- defines and refines objectives
- plans course of action required to attain these objectives
- attain the scope of project
- entry points: initiating group is done, approved actions require planning, or
approved changes require changing
- rolling wave planning- work packages gain more detail as they get closer to the
current activities
3) Executing
- integrates people and resources to carry out the project plan
4) Monitoring and Controlling
- identifies variances from the plan and recommends corrections if needed
- most hated team, but necessary
5) Closing
- formalizes the acceptance of the product or result
- brings project to an end (also for termination)
- preparing closing documents and signing
- the project is officially finished after closing process group performs their actions
(getting formal sign and customer satisfaction is most important). last action is
releasing resources.
- most neglected part of project management

PDCA Cycle
- Plan (What resources? Limits?) -> Do (do and collect data) -> Check (did
everything happens according to plan?) -> Act (how to improve for next time)

10 KNOWLEDGE AREAS OF PROJECT MANAGEMENT

- Project Integration
- Project Scope Management
- Project Time Management
- Project Cost Management

- Project Quality Management

- Project Human Resources
- Communications Management Project
- Risk Management
- Project Procurement Management
- Project Stakeholder Management.

INTEGRATION MANAGEMENT (think of these as aligning to the 5 process

groups in order)
- Develop project charter (formally authorizes project and gives authority to PM.
usually issued by sponsor or someone externally). links project to ongoing work
of organization.
- Develop the preliminary project scope statement (work with stakeholders to
develop high level scope requirement and prelim scope statement)
- Develop PMPlan (coordinate all planning efforts to create a consistent
document, the pmp)
- Direct and Manage execution (carry out the plan)
- Monitor and Control Project work + Perform Integrated Change (oversee and
coordinate)
-M&C
- comparing project performance against management plan
- determine whether corrective or preventative actions are
necessary
- monitor identified risks and ensure risk response plans are
executed
- provide forecasts to update current cost and schedule information
- earned value technique is important
- the output is project estimates, corrective/preventative action
- integrated change control
- formed to review change requests
- PM must be proactive in looking from deviations from project plan
- PM needs to evaluate effectiveness of corrective action and
measure performance of corrective action
- when a change request is received, we must perform integrated
change control

THE 7 RS OF CHANGE
- Raised (who raised this change)
- Reason
- Result (what is this result of this change)
- Risk
- Resources
- Responsibility
- Relationship
- Close project or phase (finalize all activities to formally close the project)
- part of the closing process group
- includes the creation of 2 procedures
- contract closure procedure - closing the contracts associated with
the project
- adminstrative closing process - closing the actual project or phase
itself. transferring deliverables to production/operations, validation of
exit (thank your team members, close the email and ID cards, etc
Project Charter
- project title, description
- assigned PM and his authority
- business need
- project justification and ROI
- stakeholders and influences
- assumptions and constraints
- milestone schedule
- budget (schedule)
- organizations
SOW - statement of work
RFP - request for proposal
RFB - request for bid
EEF - Enterprise environmental factors (Always negative) - market conditions,
infrastructure, culture
Organizational process assets - org policies, standards, guidelines, templates

Tools and Techniques for the PMP

- PM Information System
- Configuration management system
- Change control system
- Work Authorization System
- used for larger projects with geographically dispersed teams
- auto notifications for authorizing work
- companywide workflow system
- Baseline

SCOPE MANAGEMENT
- the management of the process that ensures project includes only the work
necessary to completing the project. whats in and not in the scope of this project.
what are our limitations and boundaries.
- scope is the detailed set of deliverables of features of a project. these are
derived from the project requirements. it is the decision of what work will be
completed during the project lifecycle. also includes what will not be counted in
development.
- this is also where you define the needs of project - 1st step of making a project
timeline
- understand project objectives.
5.1 plan scope management
- inputs: project management plan, project charter, enterprise environmental
factors, organizational process assets
T&T - expert judgment, meetings
Outputs: scope management plan, requirements
5.2 collect requirements
- documenting stakeholder needs with intention of meeting project objectives
- in-depth list of project requirements, reduces any surprises
outputs: requirements documentation, requirements management plan,
requirements traceability matrix

5.3 define scope

T&T- product analysis, stakeholder analysis, alternatives id
5.4 create WBS
work breakdown structure - breaksdown the scope into smaller, more
manageable work packages - IMPORTANT - TELLS YOU HOW PROJECT IS
MOVING AHEAD
deliverable, hierarchal decomposition of the work being accomplished by team
organizes total scope of project
divides work into smaller sections
comm tool that describes whats to be done, what skills needed
office move > new office and old office -> furniture, computers, lockers, etc
t&t - templates decomposition (dividing work into small work packages - 80
hrs/work per work package is golden rule)
outputs: project scope statement, updates WBS, WBS dictionary
- contains code of account identifier,
= output is a scope baseline and project scope management plan
5.5 validate scope
5.6 control scope - monitoring of the status of project and managing of the scope
changes
T&T - variance analysis
- focuses on customer acceptance
- its when the project customer accepts all the project deliverables
- end of each phase is known as a phase exit, kill point, etc
- product verification
- normally done with QA
- defining the scope:
identify
- project objectives

- goals
- subphases
- tasks
- resources
- budget
- schedule
once these are established, the limitations and parameters of project need to be
clarified. this will make the scope clear to shareholders, management, team
members/
3 types of scope
1) project - completion is measured against PMP
2) product - completion is measured against product requirements
3) design - contains detailed project requirements

SCHEDULE MANAGEMENT
LEAST FLEXIBLE
group of processes required to ensure completion of project. development of
processes and tools that increase efficiency and productivity,
planning:22
6.2 define activities
6.3 sequence activities
6.4 estimate activity resources
6.5 estimate activity duration
6.6 develop schedule
monitoring and controlling:
6.7 xcontrol schedule

SCHEDULE MANAGEMENT
establishing policies, procedures, documentation for executing and managing
project schedule.
schedule management plan is formal or informal, highly detailed or broad,
depending on project needs
input: pmplan, project charter, EEF, organizational process
T&T: decomposition, rolling wave planning, expert judgment
outputs: activity list, activity attributes, milestone list
activity
definition - identifying deliverables at the lowest level in the WBS. defining
schedule activities that must be performed to meet project objectives
T&T:
decompisition: breaking down work packages into more manageable
components called scheduled activities
template: activity list from previous project or activity list
rolling wave planning: slow, progressive elaboration planning where the work to
be accomplished in near term is planned in detail at low level in the WBS
control account: management control point placed at selected points within WBS
above work package level. used as basis for planning when associated work
packages havent been planned. all work is documented within control account
plan.
planning package: WBS component below control account, above work package

sequence activities
identifies and documents relationships between activities
uses logical relationships
applying leads and lags

inputs are precedence diagramming method, dependency determination, leads

and lags
precedence diagramming method:
used in the critical path methodology for constructing the project schedule
network diagram
reflects dependencies and logical relationships that exist between the activities
precedence relations:
FINISH TO START - must dig hole to plant the tree
START TO START - can do both at the same time
FINISH TO FINISH - testing -> then documentation
3 major dependencies:
1) mandatory dependency: hard logic. required as per contract or inherent in the
work - physical limitations usually. determined during activity sequencing
2) discretionary - soft logic. dont start detailed design work until someone has
signed off on analysis.
3) external - relationship between activity and non project activities (depending
on external resources in deliveries)

output is a schedule network diagram

estimating activity resources/costs:

estimating type and quantity of resources (INCLUDES WEEKENDS FOR
WORKERS)
closely coordinated with cost estimating process
T&T:
expert judgment, alternative analysis, published estimating data, bottom up
estimating, project management software
alternative analysis
activits have alternative ways of completion

bottom up estimating
resource of each lower more detailed piece of work is estimated,
these estimates are aggregated into a total quantity for each schedule
activitys resources
outputs:
activity resource requirements
resource breakdown structure
project document updates

estimating activity duration

estimating work periods and resources needed to complete each
uses information on activity scope of work, required resource types, estimated
quantities. part of project planning phase.
T&T:
analogous estimating
also called top down estimating. uses parameters from previous, similar
project as basis for current project
uses historical information and expert judgment
less costly and time consuming that other techniques
parametric estimating
estimating basis for activity durations which can be quantitively determined
by multiplying quantity of work by productivity rate
contingency
time reserves, buffers that can be added to activity durations
3 point estimating (3 types of estimates)
Most Likely
Optimistic
Pessimistic
output:

activity duration estimates

develop schedule
creates project schedule by calculating theoretical early late start and finish dates
Critical Path Method
used to determine flexibility in scheduling logical network paths
determines minimum duration of project
3 types of float/slack
1) total float - total amount of time activity can be delayed w/o actually
delaying the project
2) free float - amount of time activity can be delayed w/o delaying earliest
start date of successor
3) project float - amount of time activity can be delayed w/o delaying
externally set project completion date

schedule compression
shortens project schedule without changing the scope
crashing
reduces time

control schedule
determining the current status of the project schedule influencing factors
that cause schedule change
determining that the schedule has changed, managing the changes as
they occur
schedule control process is part of project controlling phase

pROJECT COST MANAGEMENT

project cost management

group of processes required to ensure the project is committed within the
approved budget
plan cost management
establishes policies, procedures, documentation for controlling project
costs
resource cost rates
based on unit cost rates, like staffing per hour and bulk materials
reserve analysis,
contingency costs

determining budget
cost aggregation
costs are aggregated in work packages with the WBS

project cost control

influencing the factors that create changes to the cost baseline
ensuring requested changes are agreed upon managing changes
when they occur
recording all changes against the cost baseline
performance measurement analysis
assessment of the magnitude of any variation, cost of variance, and the
corrective action needed
project performance reviews
performance reviews compare cost performance over time, schedule
activities or work packages overrunning or underrunning budget

chart of accounts
any numbering system used to monitor project costs by category.
cost of quality
cost of keeping things up to quality - cost of audits, reviews, etc.
lifecycle costing
cost of including acquisition, operation, disposal costs. also known as
whole life costing
value analysis
cost reduction tool that involves careful analysis of each item to identify
costs nd functions of each

PROJECT QUALITY MANAGEMENT

all of the processes and activities needed to determine project quality.
meeting needs of customers.
3 quality management concepts as a pm:
customer satisfaction - key measure of quality
prevention over inspetion - cost of preventing mistakes is less than
resolving them
continuous improvement - ongonig effort to improve products.
plan quality
identifying quality requirements for the project and product and documenting how
project can meet them
cost of quality
total cost of all quality effort - prevention, appraisal, QA, failure
cause and effect diagram (ishikawa diagram/fishbone)

HUMAN RESOURCE MANAGEMENT

part of project execution phase)
group of processes used to make the most effective use of the people
involved in the project
develop human resources plan
acquire team
T&T - preassignment, negotiation, virtual teams
develop project team
enhancing the ability of stakeholders to contribute as individuals
and team
manage project team
tracking team member performance, providing feedback, resolving I
ssues
resource histogram
number of hours a person will be needed across project duration
(week/month)

RAM - responsibility assignment matrix

defines who does what.
team conflicts
caused by following reasons in order;
schedule
project
priorities
resources
technical
conflict resolution
problem solving or confrontation - win/win
compromising - lose/lose
withdrawal or avoidance

smoothing
forcing - win/lose
project managers project type
formal or legitimate - due to his position
referent people wanna be like you
expert/technical - PM is respected for his knowledge
penalty or coercive - team is afraid of PM
organizational theories
expectancy
mcgregor
herzberg
maslows hierarchy of needs
basic physiological -> safety -> social -> esteem -> self
actualization

PROJECT COMMUNICATION MANAGEMENT

handling the development, storage, collection of project communication
identify stakeholders
plan communications
determining information and comm. needs of the stakeholders.
identifying who needs it, what info, when they need, how theyll get it
manage communication
creating, collecting, distributing ,storing project information in
according to the project comm plan
enables an effective communications flow between stakeholders
ensures stakeholder information is being properly generated,
received, and understood

distribute communication
monitoring and controlling comms through the project to ensure
stakeholders are receiving and understanding the proper information
ensures optimal information flow among all participants, at any
moment in time
manage stakeholder expectations
report performance
channels of communication:
upward comm
downward
lateral

communication blockers:
noise
distance
improper encoding of messages
saying thats a bad idea
language

comm methods:
formal verbal
non verbal (body language, vocal tones, etc)
formal written (plan, charter, etc)
informal written
management concepts
effective listening
filtering
noise
paralingual
pitch and tone of your voice

PROJECT RISK MANAGEMENT

the systematic process of identifying ,analyzing, and responding to project risk.
maximizing probability of positive events, vice versa
why risk managemnet
its objective is to add maximum sustainable value to all activities of the
organization
marshals the understanding of the potential upside/downsides of factors
that can affect the organization
roots of uncertainty
objectives, variety of resources, organizations, scope, cost, time, delivery,
tech ,envionrment, regulators
6 processes
1) plan risk management
how to approach risk management for a project
2) identify risk
determining what risks would affect the project
iterative process
output is risk register
list of all identified risks
potential responses
root causes of risks
3) perform qualitative risk management
assessing impact of identified risks
4) perform quantitative risk management
analyzes numerically probability of each risk
5) plan risk response
process of developing options to enhance opportunities
strategies for negative risks: avoid, mitigate (shift risk to insurance),
transfer

positive risks: exploit, share (sharing risk with 3rd party like a
partner, team), enhance (modifies size of opportunity by increasing positives)
monte carlo analysis - schedule risk assessment technique that
performs a project simulation many times in order to calculate results
6) control risk
risk reassessment
risk audits
a risk is a uncertain event that may impact the project negatively
project negative risks are called threats
risk factors
probability of occurrence
impact at stake
expected timing
anticipated frequency
type of risks attitudes
risk averse
risk seeker
risk neutral
non critical risks should be documented
deflection
act of transferring all or part of a risk to another party

risk management plan

documents procedures that will manage risk throughout the project

1) make risk part of your project

2) identify risk early

3) communicate about risk

4) consider all threats and opportunities
5) clarify ownership issues
6) prioritize risk
7) analyze risk
8) analyze risk response
9) register project risk
10) track risk and associated tasks involved with it

PROJECT PROCUREMENT MANAGEMENT

a group of processes required to purchase or acquire products, services, or
results needed from outside the project
procurement management process
1) plan procurements
consideration or what, when, how, how much to acquire
2) conduct procurements
updating seller responses, selecting a seller, and awarding a contract
output:
selcted sellers procurement
contract awards
3) administer/control procurements
managing contract and relationship between buyer and seller
ensures both parties are meeting contractual obligations, legal parties are
protected
review and document how the seller is performing
establish corrective actions
provide basis for future relationship with seller
4) close procurements
process of completing and settling the contract
address each contract applicable to the project

procurement documents
documents utizlied in bid and proposal activities, which include invitation
for bid, invitation for negotiations, request for quotation, etc
contract management plan
contract statement of work
contract work breakdown structure
portion of WBS for the project developed and maintained by a seller

STAKEHOLDER MANAGEMENT
all the processes required to identify the people, groups, orgs that can be
impacted by a project
to analyze stakeholder expectations and their impact on the project
to develop and appropriate management strategy for effectively engaging
stakeholders in project decision and execution
1) identify stakeholders

plan stakeholder management

- process of developing appropriate management strategies to effectively engage
stakeholders through project lifecycle
- benefit is to provide clear, actionable plan to interact with stakeholders
manage stakeholder engagement
- process of communicating and working with stakeholders to meet their needs
and expectations as they occur
- PM responsibility
- increases support and minimizing resistance from stakeholders

- engaging stakeholders at appropriate project stages, confirm continued

commitment to success of project, addressing issues, clarifying issues

BIGGEST MISTAKES
1) PM DOESNT UNDERSTAND PROJECT
2) NOT HAVING A PLAN
3) WHEN PM DOES NOT BREAK DOWN PROJECT INTO MANAGEABLE
PIECES
4) THINKING ABOUT PROBLEMS, NOT PREVENTING THEM
5) REQUIREMENTS NOT CLEARLY SET
6) REQUIREMENTS THEY MUST HAVE, LIKE TO HAVE, WOULD BE NICE
TO HAVE BUT CAN ALIVE WITHOUT

200 QUESTIONS
25 ON PROFESSIONAL ETHICS - DONT COUNT AS POINTS
AIM FOR 135/140 CORRECT QUESTIONS
13% INTIATIING
24% PLANNING
31% EXECUTION
25% MONITORING AND CONTROLLING
7% CLOSING
WORDS TO LOOKOUT FOR
FIRST, LAST, NEXT, BEST, NEVER, ALWAYS, EXCEPT