PM 101

1

• PM 101
• A Project Management Overview

by Roy T. Uemura, PMP, P.E., MBA Project
Management Consultant Project Professionals, LLC
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What is Project Management?

• The application of knowledge, skills, tools,
  and techniques to project activities to meet
  project requirements
• PMBOK Third Edition

3
Why Interest in Project Management?

• Organizations are in constant state of change
• Global competition
• Restructuring and mergers
• Technology revolutions (internet)
• Demand for shorter term results
• These factors drive the need for
• Organizational change
• NEED TO WORK MORE EFFICIENTLY
• Projects are the means to facilitate change

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Companys Testimony

• Having qualified Project Managers managing
  projects is the single most important factor
  influencing our continued project delivery
  success.
• Our current PM certification process will be
  focused exclusively on external PM programs
  administered by PMI and the Construction
  Management Association of America.
• Director and President of Regional Operations
• Global Operations Project Delivery Leadership Team

5
Why Project Management?

• Disciplined project management provides
• Focal point for effective communications,
  coordination, and control
• A Plan to assess progress
• Emphasis on time and cost performance
• Project management provides the framework for
  methods, processes, monitoring and change control

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Benefits of Project Management

• Balanced competing demands
• Improves monitoring and control providing
  consistent method of tracking tasks and
  milestones
• Expands communications among participants
• Refines projections of resource requirements
• Provides a mechanism for performance measurement

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Benefits of Project Management

• Increases stakeholder trust and confidence
• Continuously improve projects
• Control
• Change management
• Improve project success.
• Identifies problem areas
• Clarifies project goals and project scope
• Quantifies project risk
• Prioritizes projects

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Benefits of Project Managementfor the Individual

• Creates high visibility of project results
• Builds ones reputation and network
• Develop portable skills and experience
• Provides more opportunities within and outside of
  the company
• Potential for higher salaries

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Reasons for project failures

• The major cause of project failure is not the
  specifics of what went wrong but rather the
  lack of procedures, methodologies, and
  standards for managing the project.

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The Gap

• Organizations dont know how to establish and
  implement an effective Project Management System
• Organizations know the importance of project
  management but dont implement it
  knowing-doing gap.

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Why Do Projects Succeed?

• Supported by Senior management
• Project Management training provided
• User input
• Clear objectives
• Adequate funding and resources
• Consistent business priorities
• Valid assumptions
• Effective cross-functional teamwork

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What is a Project Manager?

• The person assigned by the performing
  organization to achieve the project objectives.
• PMBOK Third Edition

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The Adhoc Project Manager

• Good engineer good project manager(?)
• Supervising Engineer
• Subordinate Engineer
• Staff Engineer
• No formal training in project management
• No experience in project management

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The Adhoc Project Manager

• Assigned as Project Manager with no formal
  training in project management
• Isnt fully supported by management nor by the
  functional departments
• Isnt empowered nor given full authority
• Has limited financial project responsibilities
• BUT
• Expected to complete projects on time and within
  the budgeted amount.
• Meet customer expectations

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Project Management Institute (PMI?)

• PMI establishes project management standards and
  advances the body of project management
  knowledge.
• PMIs PMBOK (Project Management Body of
  Knowledge) is regarded as the de facto global
  standard for project management.

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Project Management Institute (PMI?)

• The PMI is the worlds leading not-for-
• profit professional organization for project
• management knowledge, information, and
• professionalism

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Project Management Standards

• PMIs A Guide to the Project Management Body of
  Knowledge (PMBOK? Guide) Third Edition

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PMBOK Guide

• Generally accepted, widely recognized document
  that is repeatable in use, developed by consensus
  and approved by a recognized body, that
  summarizes knowledge or practice in project
  management and is an acknowledged measure of
  comparison for quantitative or qualitative
  evaluation.

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PMBOK Guide Contents

• Project Management Framework
• Project Life Cycle
• Project Stakeholders
• Organizations
• Standards for Project Management of a Project
• Project Management Processes
• Process Interaction
• Project Management Knowledge Areas

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PMBOK Guide - Purpose

• PMBOK is the foundation for professional
• development programs including
• Project Management Professional (PMP)
  Certification
• Project management education and training offered
  by PMI Registered Education Providers (R.E.P.s)
• Accreditation of educational programs in project
  Management
• PMBOK? Third Edition

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Project Management Standards

• PMBOK designated as a standard by the
• American National Standard Institute (ANSI)

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Project Management Certification

• PMIs Project Management Professional (PMP)
  Certification Program

Passed ISO 90012000 renewal audit
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Individual Benefits of PMP Certification

• Provides professional/personal recognition
• Expedites professional develop advancement
• Creates job growth /opportunities within an
  organization
• Provides framework for standardized project
• Increases employees value to the organization
• PMBOK? Third Edition

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Project Life Cycle

• Dividing projects into phases to provide better
  management control.
• The phases are connected from the beginning to
  the end of the project.
• Collectively these phases are known as the
  project life cycle
• PMBOK? Third Edition

25
Project Management Process Groups

• Initiating Process Group
• Planning Process Group
• Executing Process Group
• Monitoring and Controlling Process Group
• Closing Process Group
• PMBOK? Third Edition

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Project Management Process Groups

• Initiating Process Group Defines and
  authorizes the project or project phase
• Planning Process Group Defines and redefines
  objectives and plans the course of action
  required to attain the objectives and scope that
  the project was undertaken to address
• PMBOK? Third Edition

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Project Management Process Groups

• Executing Process Group Integrates people and
  other resources to carry out the project
  management plan for the project.
• Monitoring and Controlling Process Group
  Regularly measures and monitors progress to
  identify variances from the project management
  plan so that corrective action can be taken when
  necessary to meet project objectives.

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Project Management Process Groups

• Closing Process Group Formalizes acceptance of
  the product, service or result and brings the
  project or project phase to an orderly end.

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Project Management Process Groups
Monitoring Controlling Processes
Executing Process
Initiating Process
Planning Process
Closing Process
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Project Management Process Groups

• The Process Groups are NOT project phases.
• PMBOK? Third Edition

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Project Life Cycle Phases

• The transition from one phase to another
  generally involves a deliverable.
• Deliverable from one phase is approved before
  work starts on the next phase.
• The project life cycle goes through a series of
  phases to create the product.
• PMBOK? Third Edition

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Project Life Cycle
The project management process can be deployed
against each phase of the project life cycle

Monitoring Controlling Process
Initiating Process
Planning Process
Executing Process
Closing Process
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PMBOK Guide Knowledge Areas

• Project Integration Management
• Project Scope Management
• Project Time Management
• Project Cost Management
• Project Quality Management
• Project Human Resource Management
• Project Communications Management
• Project Risk Management
• Project Procurement Management
• PMBOK? Third Edition

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Integrated Project Management Processes

• Develop Project Charter
• Develop Preliminary Project Scope Statement
• Develop Project Management Plan
• Direct and Manage Project Execution
• Monitor and Control Project Work
• Integrated Change Control
• Close Project
• PMBOK? Third Edition

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Triple Constraints

• Managing competing project requirements
• Project Scope
• Time
• Cost
• Project quality is affected by balancing
• these three factors
• PMBOK? Third Edition

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Triple Constraints
Time
Cost
Quality
Scope
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Progressive Elaboration

• Developing in steps, and continuing by
  increments.
• Example Project scope will be broadly described
  early in the project and made more explicit and
  detailed as the project team develops a better
  and more complete understanding of the objectives
  and deliverables
• Not to be confused with scope creep.
• PMBOK? Third Edition

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Projects and Strategic Planning

• Projects are authorized as a result of
• the following strategic considerations
• Market demand
• Organizational need
• Customer request
• Technological advance
• Legal requirement
• PMBOK? Third Edition

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Prioritizing Projects

• Rank the projects in the order that
• gives the most value to the Corporate
• Strategic Objectives

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Stakeholder Participation

• Influence on the project and its outcome
• Have skills and knowledge
• Create an environment in which stakeholders can
  contribute appropriately

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Project Stakeholders

• Stakeholders are the people involved in or
  affected by project activities
• Stakeholders include
• the project sponsor and project team
• support staff
• customers
• users
• suppliers
• opponents to the project

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Project Initiation

• Commit the organization to a project
• Sets the overall solution direction
• Defines the high-level project objectives
• Secures necessary approvals and resources
• Validates alignment with organization objectives
• Assigns a project manager

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Project Scope Statement

• Project Objectives
• Product Scope Description
• Project Requirements
• Project Boundaries
• Project Deliverables
• Project Acceptance Criteria
• Project Constraints
• Project Assumptions
• PMBOK? Third Edition

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Project Scope Statement

• Initial Project Organization
• Initial Defined Risks
• Schedule Milestones
• Fund Limitation
• Cost Estimate
• Project Configuration Management
• Project Specifications
• Approval Requirements
• PMBOK? Third Edition

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Planning Process

• A formal, approved document used to
• Guide project execution
• Documents planning assumptions
• Documents planning decisions regarding
  alternatives chosen
• Facilitates communications amongstakeholders
• Define key management reviews
• Provide baseline for progress measurement and
  project control

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Project Plan

• Project Scope Management Plan
• Schedule Management Plan
• Cost Management Plan
• Quality Management Plan
• Process Improvement Plan
• Staffing Management Plan
• Communication Management Plan
• Risk Management Plan
• Procurement Management Plan

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Work Breakdown Structure (WBS)

• Defines the total scope of work by
• subdividing the deliverables and
• project work into smaller, more
• manageable components.

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WBS Purpose

• Prerequisite to
• Schedule
• Resource Planning
• Cost Estimating
• Cost Budgeting
• Risk Identification

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Planning Process
Activity Definition
Activity Sequencing
Schedule Development
Scope Definition
Network Diagram
WBS
List of Activities
Project Schedule
Project Plan
Cost Budget
Resource Planning
Estimating
Resource Requirements
Activity Duration Cost Est.
Cost Baseline
Risk Mgt Plan
Risk Response
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Staffing Plan

• Staffing requirements
• Roles and Responsibility assignments
• Responsibility Assignment Matrix (RAM)
• Staff Management Plan
• Organizational Chart
• Staff acquisition
• Team Development

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Duration Compression

• Shortens project schedule without changing
• project scope.
• Crashing Obtain the greatest compression for
  the least incremental cost (normally adding more
  resources). Often results in increased project
  cost.
• Fast Tracking Doing activities in parallel that
  would normally be done in sequence. Increases
  project risks and often results in rework.

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Cost Estimating Accuracy

• Accuracy increases as project progresses through
  the project life cycle.
• If performing organization does not have formally
  trained project cost estimators, it needs to
  supply both the resources and the expertise to
  perform project cost estimating
• PMBOK? Third Edition

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Accuracy of Cost Estimating

• Accuracy increases as project progresses
• through project life cycle.
• Initiation Phase - Rough Order of Magnitude -
  50 to 100
• Planning Phase Definitive -10 to 15

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Decision Making Process

• Revise Scope of Work
• Cancel project
• Accept cost and proceed

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Project Quality Management

• Quality Planning
• Perform Quality Assurance
• Perform Quality Control
• PMBOK? Third Edition

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Risk Management

• What is Project Risk?
• An uncertain event or condition that, if it
  occurs, has a positive or a negative effect on a
  project objective.

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Project Risk Management Processes

• Risk Management Planning
• Risk Identification
• Qualitative Risk Analysis
• Quantitative Risk Analysis
• Risk Response Planning
• Risk Monitoring Control

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Monitoring and Controlling Process

• To keep the project on track in
• order to achieve its objectives as
• outlined in the Project Plan

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Purpose

• Monitors and reports variances
• Controls scope changes
• Controls schedule changes
• Controls costs
• Controls quality
• Responds to risks

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Tools Techniques

• Status reporting
• Progress reporting
• Forecasting
• Performance Reviews
• Variance Analysis
• Trend Analysis
• Earned Value Analysis
• Information Distribution

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Integrated Change Control

• Maintaining the original project scope and
• performance baselines by continuously
• managing changes, either by
• Rejecting new changes
• Approving changes and incorporating them into a
  revised project baseline

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Cause and Effect

• If workload increases, then quality decreases
• If quality decreases, then cost increases

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Triple Constraints
Time
Cost
Quality
Scope
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Project Closing Process

• Formalizes acceptance of the product,
• service or result and brings the project
• or a project phase to an orderly end.

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Sample Closing Activities

• Lessons Learned
• Acceptance of products or services
• Collecting all project records
• Product specifications met
• Assessing product quality
• Performance appraisals and assist in transfer of
  project team members
• Celebration

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• Interpersonal Skills
• leads to
• Higher Performance Teams

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Develop Project Teams

• Objectives
• Improve skills of team members
• Improve trust and cohesiveness among team members
• High performance team

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Develop Project Teams

• Provide training to enhance their competencies
• Provide expectations of team
• Team building activities
• Co-location
• Recognition and Rewards

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High Performing Management Skills

• Creating synergy among team members
• Fostering the interdependence of team members
• Using high productive team members as mentors for
  other members

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Caution

• Projects fail because of people, not technology
• If team not working well together, take the
  appropriate action
• Just like defects the sooner the solution, the
  less expensive the solution, and the more likely
  it is effective.

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High Performance Team

• Clear and shared vision
• Highly motivated members
• Open to new ideas
• Able to manage change
• Well aware of their environment
• Can assess and adjust priorities
• Constantly getting feedback
• Celebrate others achievements
• Clean and effective communication styles

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Working with People Issues

• Strong leadership helps projects succeed
• Project managers should use
• empowerment
• incentives
• discipline
• negotiation