Project Management Professional (PMP) Study Guide[1]

7/27/2019 Project Management Professional (PMP) Study Guide[1]

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Certification Study Guide


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PMI Certification Materials To assist PMI candidates for completing the PMI

certification exam administered by the ProjectManagement Institute

Content is from A Guide To The Project ManagementBody Of Knowledge (PMBOK)

www.pmi.org


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Recurring Themes Historical Records need to collect and use for planning,

estimating and risk

Kickoff meetings are important

Work Breakdown Structures Do not introduce benefits that are not stated in

requirements

Needs of all stakeholders should be taken into account

during all projects Team Members must be involved in project planning

Project Mangers must be pro-active


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Chapter 1

Introduction Project temporary endeavor undertaken to create

a unique product or service

Has a definite beginning and end and interrelatedactivities

Programs adopt new set of objectives and continueto work; projects ceasewhen declared objectives

have been attained


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Chapter 1

Introduction Projects are unique characteristics are progressively

elaborated

Progressively: proceeding in steps

Elaborated: worked with care and detail

Scope of project should remain constant even ascharacteristics are progressively elaborated


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Chapter 1 - Introduction Project Management: the application of

knowledge, skills, tools and techniques to project

activities in order to meet or exceed stakeholderneeds and expectations from a defined project balancing the following:

Scope, time, cost, and quality

Stakeholders expectations Requirements (needs) vs. unidentified requirements

(expectations)


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Chapter 1 - Introduction Programs are groups of projects managed in a

coordinated way to obtain benefits not availablefrom managing the projects individually

Most programs have elements of ongoingoperations Series of repetitive or cyclical undertakings

Projects are often divided into subprojects formore manageability Often contracted out to external organizations


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Chapter 2

Project Management Context Project Phases are marked by the completion of a

deliverable Tangible, verifiable work product

Review of deliverables and approval/denial are phaseexits, stage gates, or kill points

Phases are collected into the Project Life Cycle Set of defined work procedures to establish

management control


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Chapter 2

Project Management Context Project Life Cycle defines:

Technical work performed in each phase

Who is involved in each phase

Project Phases can overlap Fast Tracking Common Characteristics of Project Life Cycles:

Cost and Staffing levels are low at start and move higher towardsthe end

Probability of successfully completing project is low at beginning,higher towards the end as project continues

Stakeholder influence is high at the beginning and progressivelylowers as project continues


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Chapter 2

Project Management Context Stakeholders: individuals and organizations who

are actively involved in the project

Often have conflicting expectations and objectives In general, differences should be resolved in favor of the

customer individual(s) or organization(s) that will usethe outcome of the project

Stakeholder management is a proactive task Project Mangers must determine all stakeholders and incorporate

their needs into the project


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Chapter 2

Project Management Context Stakeholders are:

Project Managers

Customers

Performing Organizations, owners

Sponsor

Team

Internal/External

End User

Society, citizens

Others: owner, funders, supplier, contractor


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Chapter 2

Project Management Context Organizational Systems: Project based vs. Non-Project

Based

Project Based derive revenues from performingprojects for others (consultants,contractors),management by projects

Non-Project Based seldom have management systemsdesigned to support project needs (manufacturing,

financial services)


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Chapter 2

Project Management Context Organizational Cultures and Styles:

Entrepreneurial firms more likely to adopt highlyparticipative Project Manager accept higherrisk/reward

Hierarchical firms less likely to adopt participativeProject Manager take fewer risks


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Chapter 2

Project Management Context Organizational Structures

Functional (classical) marked by identifiable superiors.Staff grouped by specialty . Perceived scope of project

limited by function (Engineering, HR). Typically havepart-time Project Manager

Projectized Organization blend functional andprojectized characteristics. Mix cross-departmentpersonnel with full-time Project Manger


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Chapter 2

Project Management Context Project Management Skills

General Business Management (consistently producing resultsexpected by stakeholders)

Leading (establishing direction, aligning resources, motivating) Communicating (clear, unambiguous, and complete)

Negotiating (conferring with others to reach an agreement)

Problem Solving (definition and decision making)

Distinguish causes and symptoms Identify viable solutions

Influencing Organization (understanding power and politics)


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Chapter 2

Project Management Context Socioeconomic Influences

Standards document approved that provides common,repeated use, rules and guidelines Compliance is not mandatory

Regulations document that identifies products,services or characteristics Compliance is mandatory

Standards often become de facto regulations Internationalization

Cultural Influences


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Chapter 2

Project Management Context Organization Structure Pros and Cons

Projectized Efficient Organization No home

Loyalty Lack of Professionalism Effective Communication Duplication of functions, less

efficient resource usage

Matrix Visible Objectives not cost effective

PM Control More than 1 boss

More support More complex to control

Utilize scarce resources Tough resource allocation

Information distribution Competition of priorities

Coordination Policies & Procedures Home based Potential for conflict


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Chapter 2

Project Management Context Functional Organization

Specialists More emphasis on functions

1 supervisor No career path in PM


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Chapter 3

Project Management Processes Project Management requires active management of

Project Processes

Series of actions that achieve a result

Project Management Processes

Describing and organizing the work

Product-Oriented Processes

Specifying and creating the product


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Chapter 3

Project Management Processes Process Groups:

Initiating processes: recognizing a project or phaseshould begin

Planning processes: devising and maintaining aworkable plan

Executing processes: coordinating resources to executethe plan

Controlling processes: ensuring project objectives aremet; monitoring, correcting and measuring progress

Closing processes: formalized acceptance


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Chapter 3

Project Management Processes Process Groups are linked by the results each

produces Process Groups are overlapping activities with

various levels of intensity Process Group interactions cross phases rolling

wave planning Provides details of work to complete current phase and

provide preliminary description of work for subsequentphases

Individual processes have inputs, tools andtechniques, and outputs (deliverables)


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Chapter 3

Project Management Processes Initiating and Planning Processes Committing the organization to begin

Initiation, High-level planning, Charter

Amount of planning proportional to the scope ofthe project Core Planning Scope Planning written statement Scope Definition subdividing major deliverables into

more manageable units Activity Definition determine specific tasks needed to

produce project deliverables Activity Sequencing plotting dependencies


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Chapter 3

Project Management Processes Core Planning (continued)

Activity Duration Estimating determine amount of work neededto complete the activities

Schedule Development analyze activity sequences, duration, andresource requirements

Resource Planning identify what and how many resources areneeded to perform the activities

Cost Estimating develop resource and total project costs

Cost Budgeting allocating project estimates to individual workitems

Project Plan Development taking results from other planningprocesses into a collective document


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Chapter 3

Project Management Processes Planning/Facilitating Processes manage the

interaction among the planning processes Quality Planning standards that are relevant to the

project and determining how to meet standards Organizational Planning identify, document, and

assigning project roles and responsibilities

Staff Acquisition obtaining the human resources

Communications Planning determining rules andreporting methods to stakeholders


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Chapter 3

Project Management Processes Planning/Facilitating Processes (continued)

Risk Identification determining what is likely to affect theproject and documenting these risks

Risk Quantification evaluating risks and interactions toaccess the possible project outcomes

Risk Response Development defining enhancement stepsand change control measures

Procurement Planning determining what to buy and when

Solicitation Planning documenting product requirementsand identifying possible sources


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Chapter 3

Project Management Processes Planning/Facilitating Processes (continued)

Order of events: Scope Statement Create Project Team Work Breakdown Structure

WBS dictionary Finalize the team Network Diagram Estimate Time and Cost Critical Path Schedule Budget Procurement Plan

Quality Plan Risk Identification, quantification and response development Change Control Plan Communication Plan Management Plan Final Project Plan Project Plan Approval Kick off


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Chapter 3

Project Management Processes Executing Processes

Project Plan Execution performing the activities Complete Tasks/Work Packages

Information Distribution Scope Verification acceptance of project scope Quality Assurance evaluating overall project

performance on a regular basis; meeting standards Team Development developing team and individual

skill sets to enhance the project Progress Meetings


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Chapter 3

Project Management Processes Executing Processes (continued)

Information Distribution making project informationavailable in a timely manner

Solicitation obtaining quotes, bids, proposals asappropriate

Source Selection deciding on appropriate suppliers

Contract Administration managing vendor

relationships


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Chapter 3

Project Management Processes Controlling Processes needed to regularly

measure project performance and to adjust projectplan

Take preventive actions in anticipation of possibleproblems Change Control coordinating changes across the entire

project plan

Scope Change Control controlling scope creep Schedule Control adjusting time and project schedule

of activities


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Chapter 3

Project Management Processes Controlling Processes (continued)

Cost Control managing project budget

Quality Control monitoring standards and specific

project results; eliminating causes of unsatisfactoryperformance

Performance Reporting status, forecasting, andprogress reporting schedule

Risk Response Control responding to changes in riskduring the duration of the project


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Chapter 3

Project Management Processes Closing Processes

Administrative Closure generating necessaryinformation to formally recognize phase or project

completion Contract Close-out completion and delivery of projectdeliverables and resolving open issues Procurement Audits Product Verification Formal Acceptance Lessons Learned Update Records Archive Records Release Team


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Chapter 3

Project Management Processes Overall Processes

Influencing the organization

Leading

Problem Solving

Negotiating

Communicating

Meetings


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Chapter 3

Project Management Processes Project Selection Techniques

Comparative Approach (similar projects)

Benefit measurement method

Constrained Optimization (mathematical approach)

Key aspect of scope verification is customer acceptance

Only 26 % of projects succeed


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Chapter 4 Project Integration

Management Project Integration Management

Ensures that the project processes are properly coordinated Tradeoffs between competing objectives and alternatives in order to meet

stakeholder approval Project Plan Development

Project Plan Execution Overall Change Control

These processes may occur repeatedly over the project duration Historical Records are needed to perform project management well, they are inputs

to continuous improvement Files Lessons Learned Actual Costs Time Estimates WBS Benchmarks Risks


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Management Project Plan Development

Uses outputs from other planning processes to createconsistent document to guide project execution and

control Iterated several times

Documents planning assumptions

Documents planning decisions that are chosen

Facilitates communication Defines key management reviews

Provides a baseline to track progress measurement andproject control


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Management Project Plan Development Inputs

Other planning outputs: primarily the planning processoutputs (WBS, base documents, application area inputs)

Historical information verify assumptions, records ofpast project performance

Organizational policies quality management,personnel administration, Financial controls

Constraints factors that limit performance, contractualprovisions, budget

Assumptions risk factors


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Management Tools & Techniques for Plan Development

Project Planning Methodology any structuredapproach (software, templates, forms, start-up meetings

Stakeholder Skills & Knowledge tap into plandevelopment; use expertise for reasonableness

PMIS Out of the box approach to support all projectaspects through closure


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Management Project Plan Development Outputs

Project Plan is a collection that changes over time as moreinformation about the project becomes available

Baseline will change only in response to approved scope change

Project Plan includes some or all of the following: Project Charter

Project Management approach or strategy

Scope statement

Work Breakdown Structure (WBS)

Budget, schedule, risks Key Staff, Major Milestones

Change Control Plan, Management and Communications Plan


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Management Project Plan Components (continued)

Cost Estimates, scheduled start dates and responsibilityassignments

Performance measurement baselines Major milestones and target dates

Required Staff

Risks, constraints and assumptions

Subsidiary management plans (scope, schedule) Open Issues

Pending Decisions


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Management Supporting Details to the Project Plan

Outputs from planning processes

Technical documentation

Business requirements, specifications, and designs

Relevant standards

Additional information not previously known


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Management Project Plan Execution

Primary process for carrying out the project plan

Most costly aspect of project management

Direction of organizational resources and interfaces


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Management Project Plan Execution Inputs:

Project Plan

Supporting Detail

Organizational Policies

Corrective Action anything to bring expectedperformance in line with the project plan


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Management Tools & Techniques for Plan Execution

General Management Skills

Product Skills and Knowledge defined as part of

planning, provided by staffing Work Authorization System formal procedure for

sanctioning work to ensure completion written orverbal authorization

Status review meetings regular exchanges ofinformation

Project Management Information System

Organizational Procedures


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Management Project Plan Execution Outputs

Work results the outcome of activities performed isfed into the performance reporting process

Change Requests expand/shrink project scope, modifycosts and schedule estimates


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Management Overall Change Control

Influencing factors that create change to ensure beneficial results;ensure that change is beneficial

Determining that change has occurred

Managing actual changes as they occur Evaluate impact of change Meet with team to discuss alternatives Meet with management to present decision

Change control requires Maintaining integrity of performance measurement baselines

(project plan) Ensuring changes to scope are accurately recorded Coordinating changes across knowledge areas (scheduling, risk,

cost, quality, etc.) Determine all factors that control change and pro-actively

preventing the occurrence; evaluate the impact of change


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Management Inputs to Change Control

Project Plan baseline performance

Performance Reports issue tracking, risk management

Change Requests orally or written, externally orinternally initiates, legally mandated or optional


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Management Change Control Tools & Techniques

All Changes must be evaluated before a decision can bereached

Change Control System collection of formalprocedures, paperwork, tracking systems, approvallevels

Change Control Board decision making authority

Configuration Management documented procedure toapply technical and administrative direction ID and document functional and physical characteristics

Control changes to these characteristics

Record and report change and implementation status

Audit items and system to verify requirements


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Management Change Control Tools & Techniques

Performance Measurement earned value, plan varianceanalysis

Additional Planning revised cost estimates, modifyactivity sequences, plan adjustments Project Management Information System Change Control System may have

Change Control Plan

Change Control Board Change Control Procedures, Corrective Action plans Performance Statistics, Reports, Change forms Specification reviews, Demonstrations, Testing, Meetings

Configuration Management


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Management Change Control Outputs

Project Plan Updates

Corrective Actions

Lessons Learned variance causes and reasoningdocumented for historical purposes


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Management Configuration Management

Rigorous Change Management as it relates to scope Subset of the change control system

Work Authorization System

Controls gold plating; defines what task is/is not

Meetings

Most are inefficient; keep minutes Status can be determined without meeting


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Management Lessons Learned

Project is not complete until a Lessons Learned iscompleted

What have we done, how can we do it better Technical Aspects of the project

Project Management (WBS, plans, etc.)

Overall Management (communications, leadership)

Best to have whole team complete and made available Also called Post Mortem


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Management Integration is a result of need for communication

within a project

Primary responsibility to decide what changes arenecessary is Management

Project Managers must pro-actively define and solveproblems before reporting to superiors


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Chapter 5

Project Scope Management Project Scope Management

Processes required to ensure that the project includesall, and only, work required

Defining what is/is not included in the project

Project scope work that must be done measuredagainst project plan

Product scope features and functions included in theproduct or service measured against requirements


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Chapter 5

Project Scope Management Initiation process of formally recognizing that a

new project exists, or an existing project continueto next phase

Involves feasibility study, preliminary plan, orequivalent analysis

Authorized as a result of: Market Demand

Business Need

Customer Request

Technological Advance

Legal Requirement


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Chapter 5

Project Scope Management Initiation Inputs:

Product Description characteristics of theproduct/service that the project was to create Less detail in early phases, more comprehensive in latter

Relationship between product/service and business need

Should support later project planning

Initial product description is usually provided by the buyer

Strategic Plan supportive of the organization's goals


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Chapter 5

Project Scope Management Initiation Inputs (continued)

Project Selection Criteria defined in terms of theproduct and covers range of management concerns

(finance, market) Historical Information results of previous project

decisions and performance should be considered


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Chapter 5

Project Scope Management Tools & Techniques for Initiation

Project Selection Methods: Benefit measurement models comparative approaches, scoring

models, economic models Murder Boards

Peer Review

Scoring Models

Economic Models

Benefits compared to costs

Constrained operation models programming mathematical Linear Programming

Integer Programming

Dynamic Programming

Multi-objective programming


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Chapter 5

Project Scope Management Tools & Techniques for Initiation

Project Selection Methods: Decision models generalized and sophisticated techniques

Expert judgment Business Units with specialized skills

Consultant

Professional and Technical Associations

Industry Groups

Delphi Technique obtain expert opinions on technical issues,scope of work and risks Keep experts identities anonymous

Build consensus


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Chapter 5

Project Scope Management Outputs from Initiation:

Project Charter formally recognizes project, created bysenior manager, includes: Business need/Business Case Product description & title Signed contract Project Manager Identification & Authority level Senior Management approval Projects Goals and Objectives - Constraints factors that limit project management teams

options Assumptions factors that are considered true for planning

purposes. Involve a degree of risk


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Chapter 5

Project Scope Management Scope Planning process of developing a written

statement as basis for future decisions

Criteria to determine if the project or phase is successful

Scope Planning Inputs:

Product description

Project Charter

Constraints Assumptions


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Chapter 5

Project Scope Management Scope Planning Tools & Techniques

Product Analysis - - developing a better understandingof the product of the project

Cost/Benefit Analysis estimating tangible/intangiblecosts and returns of various project alternatives andusing financial measures (R.O.I.) to assess desirability

Alternatives Identification generate different

approaches to the project; brainstorming Expert Judgment


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Chapter 5

Project Scope Management Scope Planning Outputs

Scope Statement documented basis for making projectdecisions and confirming understanding among

stakeholders. Includes: Project justification business need, evaluating future trade-offs

Project Product summary of project description

Project Deliverables list of summary of delivery items markingcompletion of the project

Project Objectives quantifiable criteria met for success.Addresses cost, schedule and metrics unqualified objectivesindicate high risk (customer satisfaction)


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Chapter 5

Project Scope Management Scope Planning Outputs (continued)

Supporting detail includes documentation of allassumptions and constraints

Scope Management Plan how project scope ismanaged, change control procedure, expected stability,change identification and classification Control what is/is not in the project; prevents delivering

extra benefits to the customer that were not

specified/required


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Chapter 5

Project Scope Management Scope Definition subdividing major deliverables

into smaller, manageable components Improve accuracy of cost, time, and resource estimates

Define a baseline for performance measurement Clear responsibility assignments Critical to project success reduces risk of higher cost,

redundancy, time delays, and poor productivity Defines what you are doing; WBS is the tool


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Chapter 5

Project Scope Management Scope Definition Inputs:

Scope Statement

Constraints consider contractual provisions

Assumptions

Other Planning Outputs

Historical Information


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Chapter 5

Project Scope Management Scope Definition Tools & Techniques

Work Breakdown Structure templates from previousprojects

Decomposition subdividing major deliverables intomanageable components: Major elements project deliverables and project management

approach

Decide cost and duration estimates are appropriate at level of

detail Constituent elements tangible verifiable results to enable

performance management, how the work will be accomplished

Verify correctness of decomposition All items necessary and sufficient?

Clearly and completely defined?

Appropriately scheduled, budgeted, assigned?


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Chapter 5

Project Scope Management Scope Definition Outputs

Work Breakdown Structure (WBS) a deliverable-oriented grouping of project assignments that organizes

and defines the scope of the project Each descending level represents further detail; smaller and more

manageable pieces

Each item is assigned a unique identifier collectively known ascode of accounts

Work element descriptions included in a WBS dictionary (work,schedule and planning information)

Other formats: Contractual WBS seller provides the buyer

Organizational (OBS) work elements to specific org. units

Resource (RBS) work elements to individuals

Bill of Materials (BOM) hierarchical view of physical resources


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Chapter 5


Work Breakdown Structure (WBS) First Level is commonly the same at the Project Life Cycle (requirements,

design, coding, testing, conversion and operation)

First level is completed before the project is broken down further

Each level of the WBS is a smaller segment of level above

Work toward the project deliverables

Break down project into tasks that Are realistically and confidently estimable

Cannot be logically divided further Can be completed quickly (under 80 hours rule of thumb)

Have a meaningful conclusion and deliverable

Can be completed without interruption

Provides foundation for all project planning and control


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Chapter 5


Work Breakdown Structure (WBS) - Benefits Prevent work slippage

Project team understands how their tasks fit into the overall project andtheir impact upon the project

Facilitates communication and cooperation between project team andstakeholders

Helps prevent changes

Focuses team experience into what needs to be done results in higher

quality Basis and proof for estimating staff, cost and time

Gets team buy-in, role identification

Graphical picture of the project hierarchy

Identifies all tasks, project foundation


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Chapter 5

Project Scope Management WBS phrases

Graphical hierarchy of the project

Identifies all tasks

Foundation of the project

Very important

Forces thought of all aspects of the project

Can be re-used for other projects


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Chapter 5


Work Breakdown Structure (WBS) Dictionary Designed to control what work is done and when

Also known as a task description Puts boundary on what is included in a task and what is not included


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Chapter 5

Project Scope Management Scope Verification Inputs

Work results partially/completed deliverables, costs todate

Product documentation description available forreview (requirements)

Scope Verification Tools & Techniques Inspection measuring, examining, testing to

determine if results conform to requirements Scope Verification Outputs

Formal acceptance documentation identifying clientand stakeholder approval, customer acceptance ofefforts


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Chapter 5

Project Scope Management Scope Change Control:

Influencing factors to ensure that changes are beneficial

Determining scope change has occurred

Managing changes when they occur

Thoroughly integrated with other control processes


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Chapter 5

Project Scope Management Scope Change Control Inputs:

Work Breakdown Structure

Performance Reports- issues reported

Change Requests expansion/shrink of scope derivedfrom : External events (government regulations)

Scope definition errors of product or project

Value adding change new technology

Scope Management Plan


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Chapter 5

Project Scope Management Scope Change Control Tools & Techniques

Scope Change Control System defines procedures howscope change can occur All paperwork, tracking systems, approval levels Integrated with overall change control procedures

Performance Measurement determine what is causingvariances and corrective actions

Additional Planning


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Chapter 5

Project Scope Management Scope Change Control Outputs:

Scope Changes fed back through planning processes,revised WBS

Corrective Actions Lessons Learned cause and reasoning for variances

documented for historical purposes


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Chapter 5

Project Scope Management Management By Objectives (MBO)

Philosophy that has 3 steps:

Establish unambiguous and realistic objectives

Periodically evaluate if objectives are being met Take corrective action

Project Manager must know that if project is not aligned orsupport corporate objectives, the project is likely to loseresources, assistance and attention.

MBO only works if management supports it


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Chapter 6

Project Time Management Project Time Management

Processes required to ensure timely completion of theproject

No consensus concerning differences between activitiesand tasks

Activities seen as composed of tasks most commonusage

Other disciplines have tasks composed of activities


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Chapter 6

Project Time ManagementActivity Definition: identifying and documenting

specific activities to produce project deliverablesidentified in the WBS

Must be defined to meet the project objectives


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Chapter 6

Project Time ManagementActivity Definition Inputs

WBS primary input

Scope Statement project justification & project

objectives Historical Information

Constraints

Assumptions


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Chapter 6

Project Time ManagementActivity Definition Tools & Techniques

Decomposition outputs are expressed as activitiesrather than deliverables

Templates reuse from previous projects


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Chapter 6

Project Time ManagementActivity Definition Outputs

Activity List all to be performed; extension to the WBSand includes description to ensure team members

understand work to be performed Supporting Detail organized as needed and include all

assumptions and constraints

WBS Updates identify missing deliverables and clarify

deliverable descriptions. WBS updates often calledrefinements; more likely using new technologies inproject


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Chapter 6

Project Time ManagementActivity Sequencing identifying and documenting

interactive dependencies among activities. Supportlater development of a realistic schedule

Project Management software often used


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Chapter 6

Project Time ManagementActivity Sequencing Inputs:

Activity List

Product Description product characteristics often affect activitysequencing

Mandatory Sequencing physical limitations, hard logic,prototypes needed; inherent in nature of work being done

Discretionary Dependencies defined by project managementteam; best practices or unusual aspects of project soft logic,preferred logic, preferential logic

External Dependencies relationship between project activities andnon-project activities (company policies, procurement, etc.)

Constraints

Assumptions


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Chapter 6

Project Time Management Network Diagrams

Shows how the project tasks will f low from beginning to end

Proves how long the project will take to complete

Takes project tasks from low levels of WBS and placing them intotheir order of completion (beginning to end)


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Chapter 6

Project Time ManagementActivity Sequencing Tools & Techniques

Precedence Diagramming Method (PDM) constructing network diagram using nodes to represent

activities and arrows to indicate dependencies; alsocalled Activity On Node (AON)

Most project management software uses

Includes 4 types of dependencies: Finish to Start from activity must finish before to activity can begin; most

commonly used Finish to Finish from activity must finish before the next may finish

Start to Start from activity must start before next to activity can start

Start to Finish task must start before next activity can finish

Use caution with last 3 techniques - logical relationships often notconsistently implemented with project management software


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Chapter 6

Project Time ManagementActivity Sequencing Tools & Techniques (continued)

Arrow Diagramming Method (ADM) uses arrows torepresent activities and connecting at nodes to illustrate

dependencies Also called Activity On Arrow (AOA)

Only uses finish to start dependencies

PERT and CPM only can be drawn using AOA


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Chapter 6


Conditional diagramming methods

GERT (Graphical Evaluation and Review Technique)

System Dynamic Models Allow for non-sequential activities (loops) or conditional

branches not provided by PDM or ADM methods


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Chapter 6


Network Templates standardized networks can beused. Composed of subnets, or fragnets

Subnets are several nearly identical portions of a network(floors on a building, clinical trials, program modules)

Useful for several identical processes (clinical trials,programming modules).


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Chapter 6

Project Time ManagementActivity Sequencing Outputs:

Project Network Diagram schematic display of projectactivities and relationships (dependencies). Should be

accompanied by a summary narrative that describes thediagram approach

Activity List Updates


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Chapter 6

Project Time ManagementActivity Duration Estimating

Involves assessing number of work periods needed tocomplete identified activities

Requires consideration of elapsed time, calendars,weekends, and day of week work starts


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Chapter 6

Project Time ManagementActivity Duration Estimating Inputs:

Activity Lists

Constraints

Assumptions Resource Requirements amount of labor assigned to

activity

Resource Capabilities human and material resources,

expertise Historical Information

Project Files, or records of previous project results

Commercial Duration Estimates useful when durations are notdriven by actual work (approval periods, material resources)

Project Team Knowledge


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Chapter 6

Project Time ManagementActivity Duration Estimating Tools & Techniques

Expert Judgment guided by historical informationshould be used whenever possible; high risk without

expertise avail. Simulation using different sets of assumptions (Monte

Carlo Analysis) to drive multiple durations

Analogous Estimating top down estimating useactual, similar, previous known durations as basis for

future activity duration. Used when limited knowledgeis available. Form of expert judgment


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Chapter 6

Project Time ManagementActivity Duration Outputs:

Activity Duration Estimates quantitative assessmentsof work periods to complete an activity. Should indicate

a range +/- of possible results Basis of Estimates all assumptions should be

documented

Activity List Updates


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Chapter 6

Project Time Management Schedule Development

Determining start and finish dates for project activities

Without realistic dates, project unlikely to be finished as

scheduled Schedule development process often iterates as more

information becomes available (process inputs)


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Chapter 6

Project Time Management Schedule Development Inputs:

Project Network Diagram

Activity Duration Estimates

Resource Requirements

Resource Pool Description availability patterns; sharedresources are highly variable

Calendars define eligible work periods Project Calendars affect all resources

Resource Calendars affect specific resource pools or individuals


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Chapter 6

Project Time Management Schedule Development Inputs (continued):

Constraints Imposed Dates may be required

Key events or milestones are initially requested and becomeexpected during project

Assumptions

Lead and Lag Time dependencies may specify time in

order to satisfy relationship (example 2 weeks toreceive order)


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Chapter 6

Project Time Management Schedule Development Tools & Techniques

Mathematical Analysis calculating theoreticalearly/late finish and start dates without regard for

resource pool limitations; indicate time periods whichactivity should be scheduled given resource limits andother constraints: Critical Path Method (CPM) single early/late start and finish date for all

activities. Based on specified, sequential network and single duration estimate.Calculates float to determine flexibility

Graphical Evaluation and Review Technique (GERT) probabilistic treatment ofnetwork and activity duration estimates

Program Evaluation and Review Technique (PERT)- sequential network andweighted average duration to calculate project duration differs from CPM byusing mean (expected value) instead of most-likely estimate in CPM


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Chapter 6

Project Time Management Schedule Development Tools & Techniques

Critical Path Method: refers to estimating based on one timeestimate per activity One time estimate per task (Most Likely)

Emphasis on controlling cost and leaving schedule flexible Drawn using AOA diagrams

Can have dummy task

PERT (Program Review and Estimating Technique) 3 Time estimates per activity

Optimistic Pessimistic

Most Likely

Emphasis on meeting schedule, flexibility with costs

Drawn on AOA diagrams

Can have dummy tasks


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Chapter 6 Project Time Management

Schedule Development Tools & Techniques Monte Carlo Analysis

Uses a computer with PERT values and network diagram

Tells Probability of completing a project on any specific day

Probability of completing a project for any specific amount of cost

Probability of any task actually being on the critical path

Overall Project Risk

Suggests that Monte Carlo simulation will create a projectduration that is closer to reality than CPM or PERT


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Schedule Development Tools & Techniques(continued)

Duration Compression look to shorten project

schedule without affecting scope Crashing cost and schedule trade-offs to determine greatest

amount of compression for least incremental cost often resultsin higher costs

Fast Tracking performing activities in parallel that normallywould be sequenced often results in re-work and usuallyincreases risk

Simulation


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Schedule Development Tools & Techniques(continued)

Resource Leveling Heuristics leveling resources that

apply to critical path activities a.k.a. resourceconstrained scheduling when limitation on quantityof available resources; sometimes called ResourceBased Method often increases project duration

Project Management Software


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Chapter 6 Project Time Management Schedule Development Tools & Techniques (continued)

Project Mangers role Provide the team with the necessary information to properly estimate

the task

Complete a sanity check of the estimate Formulate a reserve

Project Team should be involved; determine task estimates Historical Records

Guesses

Actual Costs Benchmarks

CPM and PERT


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Chapter 6 Project Time Management Schedule Development Outputs:

Project Schedule includes planned start and finishdates for each activity; remains preliminary untilresources assignments are approved. Usually in

following formats: Project Network Diagrams (with date information added) show

logical and critical path activities Bar or Gantt charts activity start and end dates, expected

durations Milestone Charts identifies key deliverables and interfaces Time-scaled network diagrams blend of project network and

bar charts


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Schedule Development Outputs (continued): Supporting Detail all assumptions and constraints.

May also include:

Resource requirement by time period (resource histogram) Alternative schedules (best/worst case)

Schedule reserve/risk assessments

Schedule Management Plan how updates are managed

Resource requirement updates leveling and activity

impact


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Schedule Control: Influencing factors which create schedule changes to

ensure changes are beneficial

Determining that schedule has changed Managing actual changes as they occur

Inputs to Schedule Control Project Schedule baseline approved, measure against

project performance Performance Reports planned dates met, issues

Change Requests

Schedule Management Plan


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Chapter 6 Project Time Management Schedule Control Tools & Techniques

Schedule Change Control System defines proceduresfor schedule changes, paperwork, approval, trackingsystems

Performance Measurement assess magnitude ofvariations to baseline; determine if corrective action isneeded

Additional Planning

Project Management Software


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Chapter 6 Project Time Management Schedule Control Outputs:

Schedule Updates any modifications, stakeholdernotification Revisions change scheduled start and finish dates generally

in response to scope changes. Re-baselining may be neededin drastic situations

Corrective Action re-align performance with projectplan

Lessons Learned


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Chapter 6 Project Time Management Key knowledge points not in PMBOK

Need to know manual calculations of network diagrams Created after project charter and WBS (task estimates and

dependencies are determined) Mandatory dependencies (Hard Logic) inherent in nature of

work

Discretionary dependencies (Soft Logic) based onexperience, desire or results

External dependencies based on needs and desires of

organizations outside the project


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Methods to draw network diagrams

Activity on Node (AON) or Precedence DiagrammingMethod (PDM)

Boxes represent tasks Arrows show task dependencies

4 types of task relationships

Finish to Start (task must finish before next can start)

Finish to Finish (task must finish before next can finish)

Start to Start (task must start before next can start)

Start to Finish (task must start before the next can finish)

No dummy tasks used


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Methods to draw network diagrams

Activity on Arrow (AOA or Arrow Diagramming Method(ADM) continued:

PERT (Program Evaluation and Review technique) 3 time estimates per activity: Optimistic (O), Most Likely (M),

Pessimistic (P)

Emphasizes meeting schedule, flexibility with cost

Can have dummy tasks


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Chapter 6 Project Time Management Methods to draw network diagrams

PERT (Program Evaluation and Review technique) Estimating based on 3 formulas:

PERT Duration: (P + 4M + O)/6 Standard Task Deviation: (P O)/6 Task Variance:

Total project estimate: Add up all Optimistic, Most Likely and Pessimistic values of the critical path

tasks and apply P + 4M + O/6

Total project variance (+/-): Add up the individual task variances and take the square root of the value. Use

the value as a +/- figure to compute the Optimistic and Pessimistic values. Thetotal project estimate will serve as the basis.

[PO]26


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Monte Carlo Simulation:

Uses a computer with PERT values (P, M, O) and anetwork diagram but does not use the PERT formula

Indicates Probability of completing project on a specific day

Probability of completing project for any specific amount of cost

Probability of any task actually being on critical path

Overall project risk


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Estimating techniques in general:

Should be performed by entire project team Project manager needs to provide information to allow team to

create estimates; sanity check; formulate reserve Estimates are:

Guesses, Historical Records, Actual Costs, Benchmarks, CPM,PERT

Critical paths determines the earliest completion date and identifies

tasks that need monitoring Can be obtained by CPM, PERT and Monte Carlo estimating

techniques


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Key Definitions: Slack (Float): the amount of time a task can be delayed

without delaying the entire project. Tasks on criticalpath have no slack. Slack is calculated by the difference between Early Start and Late

Start of a task Free Slack (Float): the amount of time a task can be delayed without

delaying the early start date of its successor

Total Slack (Float): the amount of time a task can be delayed without

delaying the project completion date Lag: inserted waiting time between tasks


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Chapter 6 Project Time Management General Comments:

Projects can have more than 1 critical path (increases risk) and caninvolve dummy tasks

Negative float indicates that you are behind Resource Leveling involves possibly letting schedule and cost slip Heuristics just means rule of thumb e.g. 80/20 rule Schedules are calendar based makes this different than a time

estimate Bar Chart a.k.a. Gantt chart (track progress, report to entire team

including stakeholders, control tool)

Network Diagram (to show task inter-dependencies, show projectorganization, basis for project control) Milestone chart (report to Senior management, shows major events)


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To shorten project schedule examine the critical path Crashing add more resources to the critical path tasks

Usually results in increased cost Fast Tracking performing tasks in parallel

Can result in re-work and increased risk

Best to select method that has least impact on theproject (is the importance on cost, risk or schedule?)


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Bar (Gantt) Charts Weak Planning Tool, effective progress and reporting tool Does not show interdependencies of tasks Does not help organize the project more effectively

Network Diagrams (PERT, CPM, PDM) Shows task interdependencies Aids in effectively planning and organizing work Provides a basis for project control

Milestone Charts Only shows major events Good for reporting to management and customer

Flow Charts Depicts workflow and not commonly used for project management


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Free Slack (Float) amount of time a task can be delayed without delaying the earlystart date of its successor

Total Slack (Float) amount of time a task can be delayed without delaying theproject completion date

Lag inserted waiting time between tasks Resource Leveling level peaks of resource usage; stable number of resources

allows schedule and cost slip in favor of leveling resources Heuristic rule of thumb (80/20 rule)


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Chapter 7 Project Cost Management Project Cost Management

Estimating should be based on WBS to improve accuracy

Estimating should be done by the person performing the work

Having historical records is key to improving estimates

Costs (schedule, scope, resources) should be managed to estimates A cost (schedule, scope, baseline) should be kept and not changed

Plans should be revised as necessary during completion of work

Corrective action should be taken when cost problems (schedule,scope and resources) occur.


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Chapter 7 Project Cost Management

Resource Planning: Determining what physical resources and quantities are

needed to perform work

Inputs to Resource Planning: Work Breakdown Structure


Scope Statement justification & objectives

Resource Pool Description what resources arepotentially available for resource planning

Organizational Policies staffing, procurement


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Inputs to Resource Planning: Work Breakdown Structure

Network Diagram

Schedule Risks


Scope Statement justification & objectives

Resource Pool Description what resources arepotentially available for resource planning

Organizational Policies staffing, procurement


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Resource Planning Tools & Techniques

Expert Judgment

Alternatives Identification

Resource Planning Outputs: Resource Requirements what type & how many

resources are needed for each activity in the WorkBreakdown Structure


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Cost Estimating:

Develop approximate costs of resources

Distinguish estimating from pricing

Estimating likely amount Pricing business decision

Identify alternatives and consider realigning costs inphases to their expected savings


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Cost Estimating Inputs:


Resource Requirements

Resource Rates (if known) Activity Duration Estimates

Historical Information (project files, commercial costdatabases, team knowledge

Chart Of Accounts coding structure for accounting;general ledger reporting


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Cost Estimating Tools & Techniques Analogous Estimating top down; using actual costs

from previous project as basis for estimate Reliable when previous projects are similar and individuals have

expertise form of expert judgment

Parametric Modeling uses project characteristics inmathematical models to predict costs (e.g.buildinghouses)

Reliable when historical information is accurate, parameters arequantifiable, and model is scalable 2 types: Regression analysis, Learning Curve

Bottom Up Estimating rolling up individual activitiesinto project total smaller work activities have more

accuracy -


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Cost Estimating Tools & Techniques Pros and Cons

Analogous Estimating

Quick - Less Accurate Tasks dont need to be identified Estimates prepared with little

detail and understanding of project

Less costly Requires considerable experience to do well

Gives PM idea of management expectations Infighting at highlevels of organization

Overall project costs are capped Difficult for projects withuncertainty


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Cost Estimating Tools & Techniques Pros and Cons

Bottom Up Estimating

More Accurate Takes time and expense Gains buy-in from the team Tendency for team to pad estimates

Based on detailed analysis of project Requires that project bedefined and understood

Provides a basis for monitoring and control Team infighting toget biggest piece of pie


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Chapter 7 Project Cost Management Outputs from Cost Estimating

Cost estimates quantitative assessments of likely costs of resourcesrequired to complete tasks For all resources of the project (labor, materials, supplies, inflation allowance,

reserve) Expressed in units of currency

Supporting Detail Description of scope (reference to the WBS) Documentation how estimate was developed Indication of range of possible results Assumptions

Cost Management Plan how cost variances will be managed

Cost Risk: associated to seller for Fixed Price; associated to buyer for Timeand Materials budget


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Cost Budgeting Involves allocation of total estimate to individual work

to establish a cost baseline to measure performance

Cost Budgeting Inputs Cost Estimate


Project Schedule includes planned start and finish

dates for items costs are allocated to Needed to assign costs during the time period when the actual

cost will be incurred


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Chapter 7 Project Cost Management Cost Control

Concerned with influencing factors that create changes to the costbaseline that are beneficial

Determining that the cost baseline has changed

Managing actual changes as they occur Monitor cost performance to detect variances

Record all appropriate changes accurately in the cost baseline

Preventing incorrect, unauthorized changes being included in the costbaseline

Informing stakeholders of authorized changes Determine the whys of positive and negative variances

Integrated will all other control processes (scope, change, schedule, quality)


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Chapter 7 Project Cost Management Inputs to Cost Control

Cost Baseline Performance Reports meet, exceed budget

50/50 Rule task is considered 50% complete when it begins and gets credit for remainder50% only when completed

20/80 Rule - task is considered 20% complete when it begins and gets credit for remainder80% only when completed

0/100 Rule task only credited when fully completed

Change Requests Cost Management Plan

Tools & Techniques of Cost Control Cost Change Control System defines the procedures by which the cost baseline may

be changed

Performance Measurement assess magnitude of cost variations (Earned ValueAnalysis) and what is causing the variance Additional Planning examine alternatives Computerized Tools forecast planned costs, track actual costs, forecast effect of

cost changes


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Chapter 7 Project Cost Management Cost Control Outputs

Revised Cost Estimate Modifications to cost information; require stakeholder approval and adjustments

to other project areas

Budget Updates changes to approved cost baseline; revised in response toscope changes

Corrective Action Estimate at completion (EAC) forecast of total expenditures

Actual to date plus remaining budget modified by a factor (cost performanceindex) Current variances are seen to apply to future variances

Actual to date plus new estimate for remaining work

Original estimates are flawed, or no longer relevant Actual to date plus remaining budget

Current variances are typical and similar variances will not occur in the future

Lessons Learned


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Earned Value Analysis Integrates cost, schedule and scope

Better that comparing projected vs. actual because time

and cost are analyzed separately Terms:

BCWS Budgeted Cost of Work Scheduled (how much workshould be done)

BCWP Budgeted Cost of Work Performed a.k.a. Earned Value

(how much work is budgeted, how much did we budget) ACWP Actual Cost of Work Performed (how much did the

completed work cost)


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Chapter 7 Project Cost Management Earned Value Analysis

Terms: BAC Budget at Completion (how much did you budget for

the total job)

EAC Estimate at Completion (what do we expect the totalproject to cost)

ETC Estimate to Completion (how much more do we expectto spend to finish the job)

VAC Variance at Completion (how much over/under budget

do we expect to be)


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Formulas Variance (Plan Actual)

Cost Variance (CV): BCWP ACWP; negative is over budget

Schedule Variance (SV): BCWP BCWS; negative is behindschedule

Cost Performance Index (CPI): BCWP

ACWP

I am only getting x out of every $ BCWPACWP


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Formulas Schedule Performance Index (SPI): BCWP

BCWS

I am only progressing x % of the planned rate

Estimate at Completion (EAC): BACCPI

As of now we expect the total project to cost x$

Estimate to Complete (ETC): EAC ACWP; how much will it costfrom now to completion

Variance at Completion: BAC EAC; when the project is over howmuch more or less did we spend (most common way ofcalculating EVA

BCWP

BCWS

BAC

CPI


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Earned Value Analysis

BCWP comes first in most formulas

If it is a variance, BCWP comes first

If it is an index, BCWP is divided by If the formula relates to cost, use AWCP

If the formula related to schedule, use BWCP

Negative is bad; positive results are good

ETC refers to this point on; EAC refers to when job iscompleted


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Accuracy of Estimates

Order of Magnitude Estimate: -25% - 75%; usually madeduring Initiation Phase

Budget Estimate: -10% - 25%; usually made during thePlanning phase

Definitive Estimate: -5% - 10%; usually made during thePlanning phase


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Chapter 7 Project Cost Management Accounting Standards

Net Present Value: total benefits (income or revenue) less the costs.NPV is the sum of each present value of each income/revenue item

Internal Rate of Return (IRR): company may select project based onhighest IRR

Payback Period: number of time periods it takes to recover theinvestment in the project before generating revenues

Benefit Cost Ratio (BCR): compares costs to the benefits of differentprojects Greater than 1 means benefits are greater than costs Less than 1 means costs are greater than benefits

Opportunity Cost: opportunity given up by selecting one projectover another


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Accounting Standards Depreciation: assets lose value over time

Straight Line depreciation: same amount is taken each year

Accelerated Depreciation: 2 forms Double Declining Balance

Sum of the Years Digits

Life Cycle Costing: includes operations andmaintenance phases

Value Analysis: find a less costly way to do same work


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Chapter 7 Project Cost Management Accounting Standards

Definitive Estimate most precise/accurate estimate fordetermining project costs

Management Reserve over time PM wants no change to reserve;

customers wants $ back Cost and Schedule Data predicts future performance

ROI, Nest Present Value and Discounted Cash Flow all can beused to measure total income vs. total $ expended

Undistributed budget budget that contains approved scopechanges but are not planned yet

Depreciation is not a measurement of profitability

Pay Back Period - # of periods required to recover the initialinvestment

Chapter 8 Project Quality


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Management Project Quality Management

Processes required to ensure that the project will satisfythe needs for which it was designed

Includes all activities of the overall managementfunction that determine the quality policy, objectives,and responsibilities. These are implemented by qualityplanning, quality control, quality assurance, and qualityimprovement



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Management 3 major processes:

Quality Planning identifying quality standards that are relevant tothe project (Plan); Project Manager, Project Owner

Quality Assurance evaluating overall project performance toprovide confidence that project will satisfy relevant quality

standards (Implement or Execution); Project Team Quality Control monitoring specific results to comply with quality

standards and eliminating unsatisfactory performance causes(Check or Control); Project Manager, Project Team Compatible with ISO 9000 and 10000 series Proprietary and non-proprietary approaches (total quality management

Must address the management of the project and the product of theproject



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Management Quality the totality of characteristics of an entity that bear on its

ability to satisfy stated or implied needs Critical aspect is to turn implied needs into stated needs through project

scope management Do not confuse with grade category or rank given to entities having the

same functional use but different requirements for quality Customer satisfaction conformance to specifications (must produce what

is stated) and fitness for use (must satisfy real needs) Prevention avoid mistakes vs. cost of correction Management responsibility requires participation of team; responsibility

of management to provide resources Processes within phases plan-do-check-act cycle

Recognize that the investment in product quality improvements may be borne bythe performing organization since the project may not last long enough to reapreward



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Management Quality Planning

Identify quality standards are relevant and how to satisfy

Inputs to Quality Planning Quality Policy the overall intentions and direction of an

organization with regard to quality as expressed by management Scope Statement

Product Description

Standards and Regulations

Other Process Outputs processes from other knowledge areas

(procurement planning)


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Management

Quality Assurance

All planned and systematic activities implementedwithin the quality system to provide confidence that the

project will satisfy quality standards Inputs to Quality Assurance

Quality Management Plan

Results of quality control measurements (testing)

Operational definitions


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Management Quality Control monitoring specific results to determine

if they comply with quality standards and identifying waysto eliminate causes of unsatisfactory results Includes project (deliverables) and management (cost and schedule

performance) results Awareness of statistical quality control

Prevention (keep errors out of process) and inspection (keep errors fromcustomers)

Attribute sampling (result conforms) and variable sampling

Special Causes (unusual events) and random causes

Tolerances (acceptable range) and control limits (result falls withinrange)


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Management Tools & Techniques for Quality Control

Inspection activities such as testing to determine if results comply withrequirements

Control Charts plot results over time Pareto diagrams frequency of occurrence that identifies type or category

of result (80/20 rule) guides corrective action Statistical sampling select population of interest for inspection Flowcharting Trend Analysis forecast future outcomes based on historical results

Technical performance (# of errors identified; # of errors that remain) Cost and Schedule performance (activities per period with significant variances)


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Management

Tips from the Review Guide Philosophy: definition of quality, avoidance of gold plating

giving customer extras, prevention over inspection

Conformance to requirements, specifications and fitness of use

Quality Management processes required to ensure that the projectwill satisfy the needs for which it was undertaken

Continuous Improvement - small improvements to reduce costsand ensure consistency

Marginal Analysis optimal quality is reached at the point whenrevenue from improvement equals the costs to secure it

Just in Time - decrease amount of inventory/decrease investment

Chapter 8 Project QualityM


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Management

Tips from the Review Guide ISO 9000 or 10000 standards to ensure that

corporations follow their own quality procedures

Total Quality Management continuous improvementin business practices

Normal Distribution most common probability usedto measure variations

Standard deviation (sigma) measure how far away

from the mean (dotted vertical line) 3 or 6 sigma represents level of quality

+/- 1 sigma equal to 68.26%



Chapter 8 Project QualityM


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Management

Tips from the Review Guide

Responsibility to quality entire organization

Ultimate employee

Overall or Primary Project Manager Design and Test Specifications engineer

Prevention over inspection quality must be planned innot inspected in

Chapter 8 Project QualityM t


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Management

Tips from the Review Guide Cost of conformance vs. non-conformance

Quality Training vs. rework

Studies vs. Scrap

Surveys vs. Inventory Costs and warranty costs

Quality Planning (Plan) determine what will bequality on project and how quality will be measured done during Planning Phases

Identifying which standards are relevant to project how tosatisfy them

Benchmarking look at past projects to determine ideas forimprovement

Cost Benefit Analysis

Flowcharts (fishbone)



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Management

Tips from the Review Guide

Quality Assurance (Implement) determine if yourmeasurement of quality is appropriate done duringExecution phases

Process of evaluating overall performance on a regular basis

Quality Audits structured review of quality activities thatidentify lessons learned



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Management Tips from the Review Guide

Quality Control (Check) perform the measurementand compare to the quality plan done during Controlphases Process of monitoring specific project results to determine if

they comply with relevant quality standards and identify waysof eliminating unsatisfactory performance

Performance of the measurement or process, using qualitycontrol tools checking work



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Quality Control Tools

Pareto Diagrams 80/20 rule the chart presents theinformation being examined in its order of priority and helps

focus attention on the most critical issues Fishbone diagram (Cause and Effect)

A creative way to look at the causes or potential causes of aproblem

Helps stimulate thinking, organizes thoughts and generatesdiscussion

Can be used to explore a desired future outcome and thefactors to which it relates


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Quality Control Tools

Out of Control process is out of control when:

A data point falls outside of the upper or lower control limit

Non-random data points are within the upper control andlower control limits

Rule of 7 non-random points outside the mean - processshould be investigated

Assignable Cause data point the requires investigation to

determine the cause of the variation



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Management PMI and Deming

Cost of conformance 85% of costs of quality areresponsibility of Management Quality Training Rework

Studies Scrap Surveys Inventory and Warranty costs

Crosby absolutes of quality Performance standard is zero defects; measurement

system is cost of non-conformanceContinuous Improvement

Japanese (Kaizen)


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Management


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Management Review Guide Tips

Marginal Analysis: optimal quality is reached whenincremental revenue from improvement equals theincremental cost to secure

Standard Deviation: how far away from mean Variable: characteristic you want to measure

Attribute: measurement (subjective or objective)

Ultimate Responsibility Employee

Overall Responsibility PM Design/Test Specifications - Engineer


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Management


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Management Review Guide Tips

Quality objectives are approved in conceptual stage byproject owner

QA auditing function that provides feedback to teamand client about quality of output being produced

If sample size is a constant and acceptance numbersincrease, the producers risk decreases and consumer riskincreases

85% of costs of quality are direct responsibility ofmanagement


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Chapter 9 Human Resource

Management


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Management Project Human Resource Management

1,9 manager = good relationship with team

Project Organization Conflict between PM and Functional Managers

Dual allegiance of team members Complex prioritization of resources

Loss of developed procedures on project dissolution

Compromise = both sides will lose

Delegation Defer the decision

Interpreted as passive

Emphasize task vs. personnel

Can be frequently used

Chapter 9 Human Resource

Management


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Management Project Human Resource Management

If there is a team of experts, PM decisions will promotehigh satisfaction

Functional/Project Managers likely to exercise: Power

Authority

Influence

Traditional organization forms have no single point ofcontact for client/sponsor

Chapter 9 Human ResourceManagement