ILU Project Management Training

1
ILU Project Management Training

• Project Management I
• Project Initiation Planning

2
Agenda - Day One

• Introductions
• Project Management Overview
• Break
• Project Lifecycle
• Lunch
• Five PMI Project Management Processes
• Break
• Nine PMI Project Management Areas of Knowledge
• Break
• Organizational Influences
• Wrap-up

3
Introductions

• Name
• Department
• Number of years at ILICO
• Number of projects you have managed
• Average size of project you have managed
• Course expectations
• Ice breaker

4
Ground Rules

• Level Playing Field (titles left at the door)
• One conversation at a time
• Respect opinions of others
• No beating a dead horse
• Come back from breaks ON TIME
• Have FUN

5
Brain Teaser

• GET IT
• GET IT
• GET IT
• GET IT

6
Brain Teaser

• STROKES!
• Strokes
• Strokes

7
Brain Teaser
heat
heat
heat
heat
8
Course Objectives

• Understand characteristics of a project
• Understand characteristics of a project manager
• Understand the PMI project lifecycle
• Understand the 4 components of PMI project
  management
• Understand the 9 bodies of knowledge of PMI
  project management
• How does project management operate within an
  organizational structure
• How to define a project
• Use Work Breakdown Structures as PM tool

9
Project Management Overview
10
Project Management Track Record

• 50 of all finished projects contain lt 70 of
  original functionality - Center for Project
  Management
• Of the 175,000 projects costing 250 billion each
  year, 52.7 will over run their cost estimates by
  189 - Standish Group
• 31 of all projects were cancelled before they
  ever got completed - Standish Group
• Less than1 of all systems development efforts
  are completed under budget and meeting user
  requirements - T. Capers Jones

11
Ten Causes of Project Busts
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Ten Causes of Project Busts

• Poor problem definition
• Lack of support
• No one in charge
• Project plan lacks structure
• Project plan lacks detail
• Project is under funded
• Insufficient resources
• Poor tracking
• Poor communication
• Project strays from goals
• IS Managers Survey

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Ten Causes of Project Busts

• Poor problem definition
• Lack of support
• No one in charge
• Project plan lacks structure
• Project plan lacks detail
• Project is under funded
• Insufficient resources
• Poor tracking
• Poor communication
• Project strays from goals
• IS Managers Survey
• project initiation and planning will help
  mitigate

14
Project Management Questionnaire
ILICo
15
Why This Course?

• ILICO is serious about adopting and implementing
  proven project management framework
• Course will explain purpose and steps of the
  project management initiation and planning phases

16
Definition of a Project

• As defined by the Project Management Institute,
  in the Project Management Body of Knowledge
  (PMBOK)
• A temporary endeavor undertaken to create a
  unique product or service.
• A project has a definite beginning with a
  definite end. The end is achieved when the
  projects objectives of scope, timing, cost and
  quality have been reached or when these
  objectives cannot be reached and the project is
  terminated.
• A unique product or service implies it has not
  been done before or it is different in some
  distinguishing way from similar products or
  services.

17
Characteristics of a Project

• Brings change to an existing organization
• Is a unique effort - one which is not repeated
  over time
• Resources are allocated for the duration of a
  project only
• Typically involves a temporary organization
  (formal or informal)
• Often causes conflicts with existing operational
  resources
• Usually involves cross functional resources
• Has a defined start and end point, not an ongoing
  effort
• Estimates for timing and cost are mere estimates
• Changes to the scope and objectives can occur
  during the project lifecycle

18
Definition of Project Management

• As defined by the Project Management Institute,
  in the Project Management Body of Knowledge
  (PMBOK)
• Project management is the application of
  knowledge, skills tools and techniques to project
  activities in order to meet or exceed stakeholder
  needs and expectations from a project.
• This involves balancing competing demands among
• Scope, time, cost and quality
• Stakeholders with differing needs and
  expectations
• Identified requirements (needs) and unidentified
  requirements (expectations)
• Program Management is a group of related projects
  managed in a coordinated way. Also synonymous
  with project management in some organizations.

19
Characteristics of a Project Manager

• Communication skills
• Facilitation skills
• Leadership skills
• Organizational skills
• Negotiating skills
• Project Management Technical skills

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Communication Skills

• Excellent verbal skills
• with peers, management customers
• Good writing skills
• memos, status reports, meeting minutes...
• Excellent meetings skills
• agenda preparation, meeting facilitation, issues
  identification...
• Good Listener

21
Facilitation Skills

• Facilitates conflict resolution
• team member to team member
• team member to functional organization
• project to organization
• project to stakeholder

22
Leadership Skills

• Ability to form a team and develop team
  cohesiveness
• Understands how to motivate team and achieve
  results
• Understands how to motivate individuals

23
Organizational Skills

• Good personal time management
• Delegates/evaluates issues
• Ability to multi-task

24
Negotiating Skills

• Contract services
• Purchased goods for the project
• Resources from participating functional
  organizations
• Stakeholder requirements and expectations

25
Project Management Technical Skills

• Understands
• the time management process and numbers
• the cost management process and numbers
• quality and how to meet the requirements
• the scope management process and control
• how to effectively manage different projects
• alternatives to correct deteriorating trends

26
Group Exercise
27
Break Time!
28
Brain Teaser

• 1 3 5 7 9
• WHELMING

29
Brain Teaser

• GOLDEN GATE
• H2O

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Brain Teaser

• JUS 144 TICE

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(No Transcript)
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Project Life Cycle
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Examples of Project Life Cycles
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Indianapolis Lifes Project Life Cycle

• Concept (Initiation, Charter, )
• Define (Planning, Scheduling, Design, )
• Develop (Creation, Testing, )
• Deliver (Implementation, PI Review, )

35
Project Life Cycle
Due to the complexity and uncertainty of
projects, organizations usually divide the
project into phases. These phases collectively
become the project life cycle.

• Characteristics of a Project Life Cycle
• Cost and resources are at lower levels during the
  beginning, peak towards the middle and end, and
  drop-off rapidly near the end.
• Probability of completing the project
  successfully is lowest at the start, hence risk
  and uncertainty is greatest at the beginning.
• The ability of stakeholders to influence the cost
  and outcome of the project is greatest at the
  beginning.

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Project Life Cycle Phases
Due to the complexity and uncertainty of
projects, organizations usually divide the
project into phases. These phases collectively
become the project life cycle.

• Characteristics of a Project Phase
• Completion of one or more deliverables.
• Phases are generally sequential, but may overlap.
• The end of each phase normally involves a review
  of the deliverables.
• These reviews require a decision to either move
  forward to the next phase, perform further work
  in the current phase or terminate the project
  altogether.

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Project Life Cycle
Concept
Define
Develop
Deliver
Scope Time Cost Quality Risk Communications Human
Resources Contract / Procurement
Scope Time Cost Quality Risk Communications Human
Resources Contract / Procurement
Scope Time Cost Quality Risk Communications Human
Resources Contract / Procurement
Scope Time Cost Quality Risk Communications Human
Resources Contract / Procurement
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Project Life Cycle Phases
Concept
Define
Develop
Deliver
TIME

• Set up organization communications
• Motivate Team
• Detail Requirements
• Establish Work Packages and Information Control
  Systems
• Procure goods and services
• Execute Work Packages
• Direct/Monitor/Fore-cast/Control Scope, Quality,
  Time, Cost
• Resolve Problems

• Gather Data
• Identify Project Needs
• Establish Goals, objectives, basic economics,
  feasibility, stakeholders,risk level, strategy,
  potential team
• Estimate Resources
• Present Proposal
• Obtain approval for next phase

• Appoint Key Team members
• Conduct Studies
• Develop Scope Baseline, products, quality
  standards, resources, work tasks
• Establish Master Plan, Budget, Cash Flow, WBS,
  Policies and procedures
• Assess Risks
• Confirm Justification
• Present Project Brief
• Obtain approval to proceed

• Finalize product or services
• Review and accept
• Settle final accounts
• Transfer product or service responsibility
• Evaluate Project
• Document Lessons Learned
• Release/Redirect Resources
• Reassign Project Team

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Project Life Cycle - Concept Phase

• Gather Data
• Identify project needs
• Establish goals, objectives, feasibility,
  stakeholders, risk level, strategy, potential
  team
• Estimate resources
• Present proposal
• Obtain approval for next phase

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Project Life Cycle - Define Phase

• Appoint key team members
• Conduct studies
• Define
• scope baseline - resources
• products - work tasks
• quality standards
• Establish
• master plan - WBS
• budget - policies procedures

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Project Life Cycle - Develop Phase

• Set up organization and communications
• Motivate team
• Detail requirements
• Establish work packages and information control
  systems
• Procure goods and services
• Execute work packages
• Direct, monitor, forecast, control
• scope - time
• quality - cost
• Resolve Problems

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Project Lifecycle - Deliver Phase

• Finalize product or services
• Review and accept
• Settle final accounts
• Transfer product or service responsibility
• Evaluate project
• Document lessons learned
• Release/redirect resources
• Reassign project team

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Project Life Cycle Phases
Influence on Cost
High
Beginning Phases
Intermediate Phases
Final Phases
Cost Expenditure
Ability to Influence Cost
Cost Influence
Low
TIME
44
Project Life Cycle Phases
Resources per Phase
Termination
Concept
Development
Implementation
RESOURCES
TIME
The greatest amount of resource usage normally
occurs during the implementation phase of the
project.
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Break Time!
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Five PMI Project Management Processes
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5 PMI PM Processes
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5 PMI PM Processes - Initiating

• Initiate
• Initiating Processes
• Initiation is the process of formally recognizing
  that a new project exists or that an existing
  project should continue into its next phase.

Tools Techniques
Inputs
Outputs

• Product Description
• Strategic Plan
• Project selection Criteria
• Historical Information

• Project Selection methods
• Expert judgment

• Project Charter
• Project manager identified/ assigned
• Constraints
• Assumptions

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5 PMI PM Processes - Initiating

• Definition
• The process of formally recognizing that a new
  project exists or that a project should proceed
  to the next phase
• Projects are normally identified as the result
  of
• Market demand
• Business needs
• Customer request
• Technology advance
• Legal requirements

50
5 PMI PM Processes - Initiating

• Project Scope Management
• A subset of project management that includes
  the processes required to ensure that the project
  includes all of the work required, and only the
  work required, to complete the project
  successfully.
• The project scope is measured against the plan
  and the product scope is measured against the
  requirements upon completion. These two scope
  management areas need to be integrated to ensure
  successful completion of the project.
• Product scope is the features and functions
  included in a product or service.
• Project scope is the work required to deliver
  the product with its features and functions.

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5 PMI PM Processes - Initiating

• Once a potential project has been identified, the
  following items need to be available or developed
  by a project manager and the senior management
  team
• Product description - documents the
  characteristics of the product or service, it
  also identifies where the need was recognized
  from the previous list. The more detail
  contained in the product description, the better,
  but the product description will normally become
  more detailed as the project progresses.
• Initial high level budget and timing estimates
  with resource requirements
• Strategic goals - all potential projects should
  be in support of the strategic goals of the
  organization
• Project selection criteria - ROI, market share,
  impact on the organization (positive/negative),
  or probability of success
• Historical information - how successful has past
  project selections been, previous project
  performance

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5 PMI PM Processes - Initiating

• A project selection method is applied to the
  previous list of inputs. The project initiation
  method involves a documented process for project
  initiation that includes
• Identified individuals or group of individuals to
  make the decision
• A method of evaluating project selection criteria
  (comparison to other projects, mathematical
  scores, presentations of opinions)
• Expert judgment from consultants, professional
  organizations, educational institutions, industry
  groups)
• Communication plan of the decision
• Forms and standards for submission

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5 PMI PM Processes - Planning

• Planning Process
• Planning is of major importance to a project
  because the project involves doing something
  which has not been done before. However, the
  number of planning processes does not mean that
  project management is primarily planning the
  amount of planning performed should be
  commensurate with the scope of the project and
  the usefulness of the information developed.

Tools Techniques
Inputs
Outputs

• Other planning outputs
• Historical info
• Organizational policies
• Constraints
• Assumptions

• Project planning methodology
• Stakeholder skills and knowledge
• Project management information system (PMIS)

• Project plan
• Supporting details

54
5 PMI PM Processes - Planning

• Scope Planning
• developing a written scope statement as the basis
  for future project decisions (ex. Freshly painted
  blue house with 2 coats of paint)
• Scope Definition
• subdividing the major project deliverables into
  smaller, more manageable components
• Activity Definition
• identifying the specific activities that must be
  performed to produce the various project
  deliverables (ex. Purchase paint, position
  ladders, apply paint)
• Activity Sequencing
• identifying and documenting interactivity
  dependencies (ex. Must purchase before
  application)

55
5 PMI PM Processes - Planning

• Activity Duration Estimating
• estimating the number of work periods which will
  be needed to complete individual activities
• Schedule Development
• analyzing activity sequences, activity duration's
  and resource requirements to create the project
  schedule
• Resource Planning
• determining what resources (people, equipment,
  materials) and what quantities of each should be
  used to perform project activities
• Cost Estimating
• developing an approximation (estimate) of the
  costs of the resources needed to complete project
  activities

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5 PMI PM Processes - Planning

• Cost Budgeting
• allocating the overall cost estimate to
  individual work items
• Project Plan Development
• taking the results of other planning processes
  and putting them into a consistent, coherent
  document

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5 PMI PM Processes - Executing

• Execute
• Executing Processes
• Project execution is the accomplishment of the
  objectives of the project by the performing
  organization.

Tools Techniques
Inputs
Outputs

• Project Plan
• Supporting details
• Organizational policies
• Corrective action

• General mgmt skills
• Product skills knowledge
• Work authorization system
• Status review mtings
• Project mgmt info
• Organizational procedures

• Work results
• Change requests

58
5 PMI PM Processes - Executing

• Project Plan Execution
• carrying out the project plan by performing the
  activities included therein
• Scope Verification
• formalizing acceptance of the project scope
• Quality Assurance
• evaluating overall project performance on a
  regular basis to provide confidence that the
  project will satisfy the relevant quality
  standards
• Team Development
• developing individual and group skills to enhance
  project performance

59
5 PMI PM Processes - Executing

• Information Distribution
• making needed information available to project
  stakeholders in a timely manner
• Solicitation
• obtaining quotations, bids, offers or proposals
  as appropriate
• Source Selection
• choosing from among potential sellers
• Contract Administration
• managing the relationship with the seller

60
5 PMI PM Processes - Controlling

• Controlling Processes
• Project performance must be measured regularly
  to identify variances from the plan. Variances
  are fed into the control processes in the various
  knowledge areas. To the extent that significant
  variances are observed (i.e., those that
  jeopardize the project objectives), adjustments
  to the plan are made by repeating the appropriate
  project planning processes. Controlling also
  includes taking preventative action in
  anticipation of possible problems.

Tools Techniques
Inputs
Outputs

• Project plan
• Performance reports
• Change requests

• Change control system
• Configuration Management
• Performance Management
• Additional Planning
• PMIS

• Project plan updates
• Corrective action
• Lessons learned

61
5 PMI PM Processes - Controlling

• Overall Change Control
• coordinating changes across the entire project
• Scope Change Control
• controlling changes to the project scope
• Schedule Change Control
• controlling changes to the project schedule
• Cost Control
• controlling changes to the project budget
• Quality Control
• Monitoring specific project results to determine
  if they comply with relevant quality standards
  and identifying ways to eliminate causes of
  unsatisfactory performance

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5 PMI PM Processes - Controlling

• Performance Reporting
• collecting and disseminating performance
  information. This includes status reporting,
  progress measurement and forecasting
• Risk Response Control
• responding to changes in risk over the course of
  the project

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5 PMI PM Processes - Closing

• Closing 
• Closing Processes
• Administrative closure generating gathering,
  and disseminating information to formalize phase
  or project completion
• Contract close-out completion and settlement
  of the contract, including resolution of any open
  items

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5 PMI PM Processes
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Lunch Time!
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Nine PMI Areas of Knowledge
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9 PMI PM Knowledge Areas

• Scope Management
• understanding what is to be accomplished, by who
  and when? Ensure everyone focused on the right
  activity at the right time
• Risk Management
• minimizing threats and weakness while optimizing
  opportunities and strengths
• Quality Management
• determining the quality policy of the project and
  then determining the practices to ensure project
  quality
• Human Resource Management
• determining the roles and responsibilities of the
  resources necessary to support the project as
  well as the skills and timing needs
• Communications Management
• determines what will be communicated, Frequency
  of communications and who will receive
  communications

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9 PMI PM Knowledge Areas

• Contract / Procurement Management
• determines how suppliers will be selected and the
  contract types that will be administered
• Time Management
• determines how long each activities takes to
  complete to ensure timely completion of the
  project
• Cost Management
• determines the costs of resources and materials
  to ensure that the project is completed within
  the approved budget
• Integration Management
• Each BOK is integrated with each other at
  differing degrees of application depending on
  where and when you are in the life cycle phase

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9 PMI PM Knowledge Areas - Scope

• Scope Management
• The function of controlling a project in terms
  of its deliverables and objectives through the
  concept, development, implementation and
  termination phases of a project. (PMBOK)
• Key Points
• Establish and document the project deliverables
  and objectives
• Scope statement, items included and not included
  Justification, Overall Timing, Financial Budget,
  Assumptions and Constraints
• Work Breakdown Structure, basis of work
• Resources are defined and they support the
  deliverables, objectives, scope and WBS
• Implementing a change control process on the
  project deliverables, resources, WBS

70
9 PMI PM Knowledge Areas - Risk

• Risk Management
• The formal process of identifying, analyzing and
  responding to risk factors throughout the life of
  a project and in the best interest of its
  objectives. (PMBOK)
• Key Points
• Project risk is the chance of uncertain
  occurrences that will adversely affect project
  activities. (PMBOK)
• Identification of risk - Impact analysis -
  Response system and Response planning
• Goal Reduce the likelihood and impact of a
  negative event or optimize opportunity

71
9 PMI PM Knowledge Areas - Quality

• Quality Management
• Quality itself is the composite of material
  attributes of the product process or service that
  is required to satisfy the need for which the
  project is launched. (PMBOK)
• Key Points
• Proceed through a projects four phases with zero
  deviations from the project specifications/objecti
  ves
• Improve the quality of the project process and
  the quality of the project outcome improves

Q
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9 PMI PM Knowledge Areas - HR

• Human Resource Management
• The function of directing and coordinating human
  resources throughout the life of the project by
  applying the art and science of behavior and
  administrative knowledge to achieve predetermined
  project objectives of scope, cost, time quality
  and participant satisfaction. (PMBOK)
• Key Points
• Identify the necessary skills for the success of
  the project
• Choose the right people for the project (most
  available and qualified for the assignment)
• Set up the right organization (functional,
  matrix, project)
• Communications (how teams communicate inter and
  intra-team
• Team building (team formation and conflict
  resolution)

73
9 PMI PM Knowledge Areas - Communication

• Communications Management
• The proper organization and control of
  information transmitted by whatever means to
  satisfy the needs of the project. It includes
  the processes of transmitting, filtering,
  receiving and interpreting or understanding
  information using appropriate skills according to
  the application in the project environment.
  (PMBOK)
• Key Points
• Communication can be upward, downward, lateral or
  diagonal
• Mediums include oral, verbal, written,
  non-verbal and visual
• Barriers to communication - withholding
  information, hidden agendas or mixed messages

74
9 PMI PM Knowledge Areas - Procurement

• Contract / Procurement Management
• The function through which resources (including
  people, plant, equipment and materials) are
  acquired for the project (usually through some
  form of formal contract) in order to produce the
  end product. (PMBOK)
• Key Points
• Objective - Acquisition - Procurement
• Acquisition Methods, source selection, contract
  type, documents, bidding process,
  evaluation/negotiations award
• Allocation of risk Firm fixed price, cost plus
  fixed fee

Contract for Services
75
9 PMI PM Knowledge Areas - Time

• Time Management
• The function required to maintain appropriate
  allocation of time to the overall conduct of the
  project through the four phases of the project by
  means of the processes of the time planning, time
  estimating, time scheduling and schedule
  control. (PMBOK)

76
9 PMI PM Knowledge Areas - Cost

• Cost Management
• The function required to maintain effective
  financial control of the project through the
  processes of evaluating, estimating, budgeting,
  monitoring, analyzing, forecasting and reporting
  the cost information. (PMBOK)

77
9 PMI PM Knowledge Areas - Integration

• Integration Management
• The processes required to ensure that the
  various elements are properly coordinated. It
  involves making tradeoffs among competing
  objectives and alternatives in order to meet or
  exceed stakeholder needs and expectations.
  (PMBOK)
• Key Points
• Project plan development - taking the results of
  other planning processes and putting them into a
  consistent, coherent document
• Project plan execution - carrying out the project
  plan by performing the activities included
  therein
• Overall change control - coordinating changes
  across the entire project

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Triple Constraint

• As project managers, we are always trying to
  manage the constraints of product, schedule, and
  budget

Product
The Triple Constraint
Schedule
Budget
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Project Life Cycle Wrap-Up
Concept
Define
Develop
Deliver
Scope Time Cost Quality Risk Communications Human
Resources Contract / Procurement
Scope Time Cost Quality Risk Communications Human
Resources Contract / Procurement
Scope Time Cost Quality Risk Communications Human
Resources Contract / Procurement
Scope Time Cost Quality Risk Communications Human
Resources Contract / Procurement
80
Break Time!
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Brain Teaser

• FGHIJKLMNOPQRST
• FGHIJKLMNOPQRST

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Brain Teaser

• VAD ERS

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Brain Teaser

• NOXQQIVIT

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Organizational Influences
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Organizational Influences

• Projects are part of an organization, which will
  influence the project during its life cycle.
• Organizations can be classified as
• Project-Driven Organizations
• operations deal primarily with projects. These
  organizations derive their revenue from
  performing projects for others or the
  organization has adopted management by projects.
• OR
• Non-Project-Driven Organizations
• which derive their primary revenue from
  operations other than projects. Insurance
  companies, financial institutions, manufacturing
  companies and utility companies are normally
  examples of non-project-driven organizations.

86
Organizational Influences
The project management team needs to be aware of
the type of organization they are working within.
The organizational influences will vary
significantly with the degree of operations from
project-driven to non-project-driven. The
structure of the organization has many
variations (1) Functional Organization An
organizational structure in which staff are
grouped hierarchically by specialty.
Project Coordination
87
Organizational Influences
(2) Matrix Organization Any organizational
structure in which the project manager shares
responsibility with the functional managers for
assigning priorities and for directing the work
of individuals assigned to the project. Matrix
organizations can vary from a weak matrix, where
most of the characteristics of a functional
organization exists and the project manager has
limited authority, to a strong matrix
organization, where the project manager has an
equal or greater authority on the project than
the functional organizations.
Project Coordination
88
Organizational Influences
The degree an organization is matrixed on a
project typically relies upon factors such as
Project Size Project Complexity Project
Duration Project Budget Importance to the
Organization Management Philosophy Physical
Location Number of Participating Groups
89
Organizational Influences
(3) Project Organization Any organizational
structure in which the project manager has full
authority to assign priorities and to direct the
work of individuals assigned to the project.
Project Coordination
90
Organizational Influences
Organizational Type
Functional Weak Matrix Strong Matrix
Project
Project Characteristics
Project Mgr.'s Authority
Little/None
Limited
Moderate/High
High/Total
Project Mgr.'s Role
Part-Time
Part-Time
Full-Time
Full-Time
Project Mgmt. Admin. Staff
Part-Time
Part-Time
Full-Time
Full-Time
Secondary/ Integration
Strong System for Projects
Good Project Mgmt. System
Little/None
Little
Percent of Team Assigned Full Time
None
0-25
50-90
80-100
Ability of Project Team to Influence Organizationa
l Process Changes
Little/None
Limited
Moderate/High
High/Total
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Socioeconomic Influences
The project management team needs to recognize
the potential socioeconomic influences on the
project. These influences can be as great or
greater than organizational influences. Some
examples are Regulations - building codes,
Nuclear Regulatory Commission on construction of
a nuclear power plant, government
contracts Standards - EDI, metric vs. U.S
system, wire color International - time zone
differences, holidays, politics,
transportation Cultural - education, religious,
attitudes, beliefs
92
Agenda - Day Two

• Day One Overview
• Project Initiation
• Project Planning
• Break
• Project Charter
• Lunch
• Work Breakdown Structures
• Resource Estimates
• Break
• Project Schedule Development
• Review and Wrap-up

93
Day One Overview

• Project Management Overview
• Project Lifecycle
• Five PMI Project Management Processes
• Nine PMI Project Management Areas of Knowledge
• Organizational Influences

94
Brain Teaser

• EMPLOYMENT
• EMPLOYMENT

95
Brain Teaser

• arrest
• youre

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Brain Teaser
ACCIDENT
97
Project Initiation
98
ILICos Project Initiation Processes
99
(No Transcript)
100
(No Transcript)
101
Group Exercise

• Create Project Initiation Form for the ILICO
  Construction Project
• Review project overview
• Review sample Project Initiation Form
• Break into groups
• Complete Project Initiation Form
• Present results

102
Project Planning
103
Project Stakeholders

• Project Stakeholders are individuals and
  organizations who are actively involved in the
  project, or whose interests may be positively or
  negatively affected as a result of project
  execution or successful project completion.
• The project management team must
• Identify the project stakeholders
• Determine their requirements
• Determine their expectations
• Manage and influence these requirements and
  expectations
• The management of the project stakeholders
  requirements and expectations can be extremely
  difficult. The project management team should
  resolve conflicts in favor of the project
  customer.
• Conflicts may surface, such as
• The customer requires a modernized information
  system with a finite budget and implementation in
  a short period of time, while the Chief
  Information Officer expects the project to
  include state-of-the-art networking technology.

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Project Stakeholders

• Categories of project stakeholders
• Internal
• External
• Owners
• Financiers
• Suppliers
• Contractors
• Team Members
• Customers
• Examples of project stakeholders
• Project Sponsor
• Project Manager
• Customer(s)
• Team Members
• Performing Organizations
• CFO
• Software Supplier
• Operator

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ILICos Project Planning Processes
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Scope Planning (ILICo Project Charter)

• Scope planning is the process of developing a
  written scope statement as the basis for future
  project decisions including, in particular, the
  criteria used to determine if the project or
  phase has been completed successfully.
• Outputs of Scope Planning
• Project justification - the business need that
  the project was undertaken to address. The
  project justification provides the basis for
  evaluating future trade-offs.
• Project product - a brief summary of the product
  description.
• Project deliverables - a list of the summary
  level sub-projects whose full and satisfactory
  delivery marks completion of the project.
• Project objectives - the quantifiable criteria
  that must be met for the project to be considered
  successful. Project objectives must include, at
  least, cost, schedule and quality measures.
  Unquantified objectives entail high risk.

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Break Time!
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Brain Teaser

• END
• N
• D

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Brain Teaser

• NO NO
• CORRECT

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Brain Teaser

• 9ALL5

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ILICos Project Planning Processes
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ILICos Project Charter

• Project charter defines the boundaries of the
  entire project
• Tool that a Project Manager can choose to use on
  medium to large projects
• Components of a project charter include
• project background - project responsibilities
• objectives - delivery criteria
• approach - communication plan
• scope - cost
• risks - scheduling
• assumptions

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Group Exercise

• Create Project Charter for the ILICO Construction
  Project Exercise
• Review project overview
• Review sample Project Charter
• Break into groups
• Complete Project Charter
• Present results

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Lunch Time!
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Scope Definition
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Scope Definition

• Scope definition involves subdividing the major
  project deliverables (as identified in the scope
  statement) into smaller, more manageable
  components in order to
• Improve the accuracy of cost, time, and resource
  estimates
• Define a baseline for performance measurement and
  control
• Facilitate clear responsibility assignments
• Outputs of Scope Definition
• Work breakdown structure - A work breakdown
  structure is a deliverable-oriented grouping of
  project elements that organizes and defines the
  total scope of the project work not in the WBS
  is outside the scope of the project. As with the
  scope statement, the WBS is often used to develop
  or confirm a common understanding of project
  scope.

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ILICos Project Planning Processes
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Work Breakdown Structures

• Work Breakdown Structure (WBS) - A deliverable
  oriented family tree which organizes, defines,
  and graphically displays the total work to be
  accomplished in order to achieve the ultimate
  deliverable of a project. Each descending level
  represents an increasingly detailed definition of
  the project deliverable. (PMBOK)

WBS SCHEMATIC
1.0 Reroof House
1.1 Materials Estimation
1.2 Materials Gathering
1.3 Roof Application
1.1.1 Measure Roof
1.1.2 Calculate Materials
1.2.1 Purchase Materials
1.2.2 Take Delivery
1.3.1 Roof Removal
1.3.2 Roof Application
1.3.1.1 Remove Shingles
1.3.1.2 Remove Nails
1.3.2.1 Apply Shingles
1.3.2.3 Apply Caps
1.3.2.2 Cut Caps
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Work Breakdown Structures

• Purpose of the WBS
• Defines the work to be performed (Scope)
• Basis for cost estimating and collection
• Basis for resource allocation
• Basis for time estimating
• Defines responsibility of the work
• Basis for determining relationships
• Method for systematically decomposing the work
  effort to determine the scope.

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Group Exercise

• Create WBS for construction project

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ILICO Construction Project Exercise

• WBS Schematic

Expansion Project (0)
Office Space (1.0.1)
Conference Rooms (1.0.2)
Conference Rooms (1.1.2)
Office Space (1.1.1)
Architectural Plan (1.2.1)
Vendor Selection (1.2.1.2)
Implementation Plan (1.2.1.1)
Temporary Office Space (1.1.1.1)
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Resource Planning
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Resource Planning

• Resource planning involves determining what
  physical resources (people, equipment, materials)
  and what quantities of each should be used to
  perform project activities.
• Outputs of Resource Planning
• Resource Requirements - The output of resource
  planning process is a description of what types
  of resources are required and in what quantities
  for each element of the work breakdown structure.
  These resources will be obtained either through
  staff acquisition or procurement.
• Resource Estimate Worksheet - The resource
  estimate worksheet may be completed with the
  project initiation form to formulate initial
  thoughts on resource needs. It should be refined
  during the planning process.

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ILICos Project Planning Processes
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Resource Estimate Worksheet
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Break Time!
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Brain Teaser

• PLASMA
• H2O

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Brain Teaser

• cy cy

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Brain Teaser

• U
• S
• T
• I

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Activities and Schedule Development
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Activity Definition

• Activity definition involves identifying and
  documenting the specific activities that must be
  performed in order to produce the deliverables
  and sub-deliverables identified in the work
  breakdown structure. Implicit in this process is
  the need to define the activities such that the
  project objectives will be met.
• Outputs of Activity Definition
• Activity List - The activity list must include
  all activities which will be performed on the
  project. It should be organized as an extension
  to the WBS.
• Supporting Detail - Supporting detail for the
  activity list should be documented and organized
  as needed to facilitate its use by other project
  management processes. Supporting detail should
  always include documentation of all identified
  assumptions and constraints.
• WBS Updates - In using the WBS to identify which
  activities are needed, the project team may
  identify missing deliverables or corrections to
  the WBS.

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Re-Roofing Project Activity List

• Activity
• 1.1.1 Measure Roof
• 1.1.2 Calculate Materials
• 1.2.1 Purchase Materials
• 1.2.2 Take Delivery
• 1.3.1.1 Remove Shingles
• 1.3.1.2 Remove Nails
• 1.3.2.1 Apply Shingles
• 1.3.2.2 Cut Caps
• 1.3.2.3 Apply Caps

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Activity Sequencing

• Activity sequencing involves identifying and
  documenting interactivity dependencies.
  Activities must be sequenced accurately in order
  to support later development of a realistic and
  achievable schedule.
• Outputs of Activity Sequencing
• Project Network Diagram - A project network
  diagram is a schematic display of the projects
  activities and the logical relationships
  (dependencies) among them.
• Activity List Updates - In much the same manner
  that the activity definition process may generate
  updates to the WBS, preparation of the project
  network diagram may reveal instances where an
  activity must be divided or otherwise redefined
  in order to diagram the correct logical
  relationships.

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Re-Roofing Project Network Diagram
1.1.1 Measure Roof
1.1.2 Calculate Materials
1.2.1 Purchase Materials
1.2.2 Take Delivery
1.3.1.1 Remove Shingles
1.3.2.1 Apply Shingles
1.3.1.2 Remove Nails
1.3.2.2 Cut Caps
1.3.2.3 Apply Caps
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Activity Duration Estimating

• Activity duration estimating involves assessing
  the number of work periods likely to be needed to
  complete each identified activity. The person or
  group on the project team who is most familiar
  with the nature of a specific activity should
  make, or at least approve, the estimate.
• This will often require consideration of elapsed
  time as well.
• Outputs of Activity Duration Estimating
• Activity Duration Estimates - Activity duration
  estimates are quantitative assessments of the
  likely number of work periods that will be
  required to complete an activity. They should
  always include some indication of the range of
  possible results (2 weeks /- 2 days, or 8 to 12
  days).
• Basis of Estimates - Assumptions made in
  developing the estimates.
• Activity List Updates - Updates to the activity
  list as discovered.

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Re-Roofing Project Duration Estimates
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Schedule Development

• Schedule development means determining start and
  finish dates for project activities. If the start
  and finish dates are not realistic, the project
  is unlikely to be finished as scheduled. The
  schedule development process must often be
  iterated.
• Outputs of Schedule Development
• Project Schedule - The project schedule includes
  at least planned start and expected finish dates
  for each detail activity. (Note the project
  schedule remains preliminary until resource
  assignments have been confirmed.)
• Supporting Detail - Supporting detail for the
  project schedule includes at least documentation
  of all identified assumptions and constraints.
• Schedule Management Plan - A schedule management
  plan defines how changes to the schedule will be
  managed. It may be formal or informal, highly
  detailed or broadly framed based on the needs of
  the project.
• Resource Requirement Updates - Resource leveling
  and activity list updates may have a significant
  effect on preliminary estimates of resource
  requirements.

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Re-Roofing Project Schedule
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Group Exercise

• Create Project Network Diagram for the ILICO
  Construction Project Exercise
• Activity List
• Project Network Diagram
• Present results

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Project Schedule - GANTT Chart
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Project Plan Development
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Project Plan Development

• Project plan development uses the outputs of the
  other planning processes to create a consistent,
  coherent document that can be used to guide both
  project execution and project control. This
  process is almost always iterated several times.
  The project plan is used to
• Guide project execution
• Document project planning assumptions
• Document project planning decisions regarding
  alternatives chosen
• Facilitate communication among stakeholders
• Define key management reviews as to content,
  extent, and timing
• Provide a baseline for progress measurement and
  project control
• Outputs of Project Plan Development
• Project Plan - The project plan is a formal,
  approved document used to manage and control
  project execution. The final Project Charter with
  project schedule, organization, resources, budget
  and other attachments is ILICos project plan.

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ILICos Project Planning Processes
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Closing Exercise