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Transcript of 1 PM 101 A Project Management Overview by Roy T. Uemura, PMP, P.E., MBA Project Management...
1
PM 101
A Project Management Overview
byRoy T. Uemura, PMP, P.E., MBA Project Management Consultant
Project Professionals, LLC
2
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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Company’s 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
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Why Project Management? Disciplined project management provides
Focal point for effective communications, coordination, and control
A Plan to assess progressEmphasis 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
ControlChange managementImprove 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 one’s 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 don’t know how to establish and implement an effective Project Management System
Organizations know the importance of project management but don’t 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
13
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 Isn’t fully supported by management nor by
the functional departments Isn’t 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.
PMI’s 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 world’s leading not-for-
profit professional organization for project
management knowledge, information, and
professionalism
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PMI’s A Guide to the Project Management Body of Knowledge (PMBOK Guide) – Third Edition
Project Management StandardsProject Management Standards
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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 ProjectProject Management ProcessesProcess Interaction
Project Management Knowledge Areas
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PMBOK Guide - PurposePMBOK 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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PMBOK designated as a standard by the American National Standard Institute (ANSI)
Project Management StandardsProject Management Standards
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PMI’s Project Management Professional (PMP®) Certification Program
PMP®
Project Management CertificationProject Management Certification
Passed ISO 9001:2000 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 employee’s value to the
organization
PMBOK Third Edition
24
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
InitiatingProcess
PlanningProcess
ExecutingProcess
ClosingProcess
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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
32
Project Life Cycle
Plan Design Procure
The project management
process can be deployed against each phase of the project life cycle Initiating
ProcessPlanningProcess
ExecutingProcess
ClosingProcess
Monitoring & Controlling Process
Construct
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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
34
Integrated Project Management Processes
1. Develop Project Charter2. Develop Preliminary Project Scope Statement3. Develop Project Management Plan4. Direct and Manage Project Execution5. Monitor and Control Project Work6. Integrated Change Control7. Close Project
PMBOK Third Edition
35
Triple Constraints
Managing competing project requirements:1. Project Scope2. Time3. Cost
Project quality is affected by balancingthese three factors
PMBOK Third Edition
36
Triple Constraints
Quality
Time
Scope
Cost
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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 ofthe following strategic considerations Market demand Organizational need Customer request Technological advance Legal requirement
PMBOK Third Edition
39
Prioritizing Projects
Rank the projects in the order that
gives the most value to the Corporate
Strategic Objectives
40
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
42
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
43
Project Scope Statement
1. Project Objectives2. Product Scope Description3. Project Requirements4. Project Boundaries5. Project Deliverables6. Project Acceptance Criteria7. Project Constraints8. Project Assumptions
PMBOK Third Edition
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Project Scope Statement9. Initial Project Organization10. Initial Defined Risks11. Schedule Milestones12. Fund Limitation13. Cost Estimate14. Project Configuration Management15. Project Specifications16. Approval Requirements
PMBOK Third Edition
45
Planning Process
A formal, approved document used to Guide project execution Documents planning assumptions Documents planning decisions regarding
alternatives chosen Facilitates communications among
stakeholders 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
47
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
49
Planning Process
WBS
Scope
Definition
Cost Budget
Project Plan
Risk MgtPlan
ActivityDefinition
ActivitySequencing
ScheduleDevelopment
ResourcePlanning
Estimating
List of Activities Network Diagram Project Schedule
Resource Requirements
Activity Duration & Cost Est.
Cost Baseline
Risk Response
50
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 CompressionShortens 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.
52
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
53
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
55
Project Quality Management
Quality Planning Perform Quality Assurance Perform Quality Control
PMBOK Third Edition
56
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.
57
Project Risk Management Processes
1. Risk Management Planning2. Risk Identification3. Qualitative Risk Analysis4. Quantitative Risk Analysis5. Risk Response Planning6. Risk Monitoring & Control
58
Monitoring and Controlling Process
“To keep the project on track in
order to achieve its objectives as
outlined in the Project Plan”
59
Purpose
Monitors and reports variances Controls scope changes Controls schedule changes Controls costs Controls quality Responds to risks
60
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
1. Rejecting new changes
2. Approving changes and incorporating them into a revised project baseline
62
Cause and Effect
If workload increases, then quality decreases
If quality decreases, then cost increases
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Triple Constraints
Quality
Time
Scope
Cost
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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
66
Interpersonal Skills
leads to
Higher Performance Teams
67
Develop Project Teams
Objectives: Improve skills of team members Improve trust and cohesiveness
among team members High performance team
68
Develop Project Teams
Provide training to enhance their competencies
Provide expectations of team Team building activities Co-location Recognition and Rewards
69
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
70
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.
71
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
72
Working with People Issues
Strong leadership helps projects succeed
Project managers should use empowerment incentives discipline negotiation