PMP Introduction PMBOK V4.0

8/10/2019 PMP Introduction PMBOK V4.0

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PMP Workshop | Financial ServicesAll work described was performed by Capgemini or a Capgemini affiliate

2009 Capgemini - All rights reserved 1

Overview

Introduction and Overview of PMI methodology andPMBOK (4thEd.)

Relationships between Project Management, Program

Management and Portfolio management

Project and Operations Management

Project Lifecycle

Differences between Product Management and Project

Management

Organizational Structures


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Certification

PMP: for professionals experiencedin Project Management

Eligibility (Partial List)

PM experience4500 Hours (over last three years)

PM Education35 Hours (this course) Bachelors Degree

For a complete list please visit http://www.pmi.org
http://www.pmi.org/http://www.pmi.org/


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PMBOK, PMI and PMP Special Jargon and New Concepts

Preparing for PMP (or CAPM) certification means

Learning a new set of terms as well as new definitions for

words

Understanding new concepts and approaching problems from

a strictly PMI point-of-view

Mapping these new terms and concepts to your existing PM

experience

Analyze a scenario and explain what is happening

Understand the next steps will be ,or solve an existing

problem (put this in the notes).

PMBOK 4thEdition is the bible; Your Experience is agood supplement


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Project Management Myths

MS-Project plans (and Gantt charts in general) are project plans

Project life cycle is the same as the product management

lifecycle

Project managers are the same as functional managers

Project management is common sense

The Project Manager creates the Project Plan and the team

simply carries out the plan

The above statements are partially true from ProjectManagement perspective


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Project Management Institute (PMI)

The Project Management Institute (PMI) is the

worlds foremost authority for the project

management profession. PMI sets industrystandards, conducts research, and provides

education, certification, and professional exchange

opportunities, designed to strengthen and further

establish the profession.


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PMBOK

is a PMI Standard

PMI Standard is a document

that defines what to measure against a document created by anappropriate diverse group through an open consensus-building process

covering commonly accepted knowledge and/or practices and dealingwith core concepts for the practice of the profession

consistent with PMIs Standards Setting Process and published as aproject management standard


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PMBOK

- and also a Guide

The primary purpose of the PMBOKGuide is to identify

that subset of the Project Management Body of Knowledgethat is generally recognizedas good practice.

Generally recognized means the knowledge and

practices described are applicable to most projects most of

the time, and there is consensus about their value and

usefulness.

Good practice means there is general agreement that the

application of these skills, tools and techniques can enhance

the chances of success over a wide range of Projects.


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PMBOK

- and also a Guide

It describes established norms, methods, processes and practices

It Summarizes processes, inputs, and outputs that are considered goodpractices on most projects most of the time.

Provides and promotes common vocabulary

It is a fundamental project management reference for PMIs

professional development programs and certifications

It has interrelationships to other project management disciplines such

as program management and portfolio management

Please refer to PMIs Code of Ethics and Professional Conduct


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What is a Project? (PMI Definition)

A projectis a temporary endeavor undertaken to create a

unique product, service, or result.

PROJECT

has a beginning and end

creates a unique product, service or result

progressively elaborated

Temporary does not mean short in duration

Progressive Elaboration - Developing in steps and, continuing by increments.

Project Management (PM) -the application of knowledge, skills, tools and

techniques to project activities to meet the project requirements.


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What is a Project? (PMI Definition)

A Project can create

A Product that can be either a component of another item or an enditem in itself

A capability to perform a service

A result such as an outcome or document

End of Project is reached when

Projects objectives have been achieved or

Its objectives will not or can not be met or

Need for the project no longer exists


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Project and Strategic planning

Projects are typically authorized as a result of one or more of

the following strategic considerations

Market demand

Strategic opportunity / business need

Customer request

Technological advance

Legal requirements


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Project Management

Project Management typically includes

Identifying requirements

Addressing the various needs, concerns and expectations

of the stakeholders as the project is carried out

Balancing the competing project constraints


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Progressive Elaboration - Rolling Wave Planning

Developing in steps, and continuing by increments towork out the details.

Early in the project, project scope will be more broadlydefined.

Project scope will become more explicit and detailed as thePM team develops a better and more completeunderstanding of the objectives and deliverables.

Both project specifications and product specifications maybe progressively elaborated.


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Project / Program / Portfolio Management

Program

A Program is defined as a group of related projects managed in a

coordinated way to obtain benefits and control not available from

managing them individually.

Program Management

The centralized coordinated management of a program to achieve the

programs strategic objectives and benefits.


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Portfolio

A portfolio refers to a collection of Projects or programs and other work

that are grouped together to facilitate effective management of that work

to meet strategic business objectives.

Portfolio Management

It refers to the centralized management of one or more portfolios, which

includes identifying, prioritizing, authorizing, managing and controlling

projects, programs, and other related work, to achieve specific business

objectives.


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Project / Program / Portfolio ManagementProjects Programs Portfolios

Scope

Projects have defined objectives.

Scope is progressively elaborated

throughout the project life cycle.

Programs have a large scope and

provide more significant benefits.

Portfolios have a business scope that

changes with the strategic goals of the

organization.

Change

Project Managers expect change and

implement processes to keep change

managed and controlled.

The program manager must expect

change from both inside and outside

the program and be prepared to

manage it.

Portfolio managers continually monitor

changes in the broad environment.

Planning

Project managers progressively

elaborate high-level information into

detailed plans throughout the project

life cycle.

Program managers develop the overall

program plan and create high-level

plans to guide detailed planning at the

component level.

Portfolio managers create and

maintain necessary processes and

communication relative to the

aggregate portfolio.

Management

Project managers manage the project

team to meet the project objectives.

Program managers manage the

program staff and the project

managers; they provide vision and

overall leadership.

Portfolio managers may manage or

coordinate portfolio management staff.

Success

Success is measured by product and

project quality, timeliness, budget

compliance, and degree of customersatisfaction.

Success is measured by the degree to

which the program satisfies the needs

and benefits for which it wasundertaken.

Success is measured in terms of

aggregate performance of portfolio

components.

Monitoring

Project managers monitor and control

the work of producing the products,

services or results that the project was

undertaken to produce.

Program managers monitor the

progress of program components to

ensure the overall goals, schedules,

budget, and benefits of the program will

be met.

Portfolio managers monitor aggregate

performance and value indicators.


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Project Management Office

It is an organizational body or entity assigned various

responsibilities related to the centralized and coordinated

management of those projects under its domain.

The specific form, function and structure of a PMO is

dependent upon the needs of the organization that it

supports.

A primary function of a PMO is to support project managers

in a variety of ways. The responsibilities of a PMO can

range from providing project management support

functions to actually being responsible for the direct

management of the project.


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Projects vs. Operations

Project has a beginning and end; creates a unique

product or serviceOperationis ongoing and repetitive

Common characteristics:

Performed by individuals

Limited by constraints

Planned, executed, monitored and controlled

Performed to achieve organizational objectives or strategic plans


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Project or Operation?

1. Running the year-end W-2 form processing for a companys

employees

2. Upgrading the database containing the employee payroll data from

Oracle 9i to Oracle 10i

3. Running a campaign for political office

4. An oil company rebuilds refineries destroyed by a hurricane

5. The operations team of the I.T. department installs a software patch

sent by the vendor


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Project or Operation? Solution

1. W-2: operation

2. Oracle Upgrade: project

3. Political Campaign: project

4. Rebuild refineries: project

5. Install software patch: can be project or operation


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Sample Question

Which of the following is not a project?A. Buying clothes from the market on a special sale.

B. Planning for your friends wedding.

C. Building a bridge across the Krishna river.

D. Cleaning the office building every day.


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What is Project Life Cycle?

The project life cycles generally define

The phases that connect the beginning of a project to its end.

What technical work to do in each phase

When the deliverable are to be generated

Who is involved in each phase

How to control and approval for each phase


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Project Life Cycle Characteristics

At the start of the project:

Level of uncertainty is highest

Risk of failure to achieve objectives is greatest

Stakeholders influence on the final characteristics of projects

product and final cost is highest

Cost of changes and correcting errors is lowest


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Typical Sequence of Phases in a Project Life Cycle

The completion and approval of one or more deliverables

characterizes a project phase.

Diagram Ref: PMBOK Guide 4thVersion, Page 16 and 17 (Figure 2-1)


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Project phases

An element of the Project life cycle

Divisions within a project where extra control is needed to effectively

manage the completion of a major deliverable

Allows the project to be segmented into logical subsets

Typically completed sequentially, but can overlap

It is not a Project Management Process group

The number of phases, need for phases and the degree of control

applied depend on the size, complexity and potential impact of the

project.


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Project phases - Characteristics

Close of a phase ends with some form of transfer or handoff of the

work product produced as the phase deliverable

The work has a distinct focus that differs from any other phase

The primary deliverable or objective of the phase requires an extra

degree of control to be successfully achieved.

Diagram Ref: PMBOK Guide 4thVersion, Page 19 Figure 2-3

One approach to managing the installation of a Telecommunications Network


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Project Management Process Groups

Initiating: authorizing the project or phase

Planning: defining and refining the objectives; selecting the best

alternative courses of action to attain the objectives of the project(planning the work)

Executing: integrates and coordinates people and other resources tocarry out the project management plan for the project (working the

plan)

Monitoring and Controlling: monitoring the project, measuring progress,reporting status, identifying variances, taking corrective action

Closing: Formalizes the acceptance of the product, service or resultand brings the project or project phase to an end.

Process: a set of interrelated act ion s and act iv i t ies performed to

achieve a speci f ied set of p roducts, resul ts or services


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PM Lifecycle Processes

While the PM processes

are presented (by PMI) as

discreet processes with

well-defined interfaces, in

practice they overlap and

interact.

This interaction is

presented in terms of the

plan-do-check-act cycle (as

described by Shewhart and

Deming).


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Project Lifecycle


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Project Governance

Provides a comprehensive, consistent method of controlling

the project and ensuring its success.Governance approach to be described in project

management plan.

Must fit within the larger context of the program or

organization.

Project manager and project management team determines

Appropriate method of carrying out project

What resources are necessary General approach to completing the work

Specific phased structure for the individual project


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Project Phases

A sequential relationship

An overlapping relationship

An iterative relationship

Potential Approach to building a new factory

Initiating Processes Executing ProcessesPlanning Processes Closing Processes

Monitoring and Controlling Processes

Construction Phase

Initiating Processes Executing ProcessesPlanning Processes Closing Processes

Monitoring and Controlling Processes

Design Phase


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Product Vs Project Life Cycles

Product life cycle

It consists of generally sequential, non overlapping product phasesdetermined by the manufacturing and control need of the organization.

Projects lifecycles occur in one or more phases of a product life cycle

One product may have many projects associated with it


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Major PMI Concepts

The project manager is ultimately responsible for the project (planning,work execution, controlling & monitoring and closing) including the overall

quality of the project.

The project team assists with the planning, executes the work, inspectsand controls the work. Team members are responsible for the quality ofproject deliverables.

Conduct yourself professionally at all times. When in doubt, always take

the r ightpath.

The people who do the work should estimate the work.

The project team should solve its own problems and resolve its own

issues whenever possible.


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Major PMI Concepts

Closing processes should occur at the end of each projectphase, not just at the end of the project.

The success or failure of a project is determined during projectplanning

If you fail to plan, you plan to fail

S Q


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Sample Question

The most important task and skill of a project manager is:

A. Negotiating

B. Communicating

C. Planning

D. Leading

WHY?

P j t t k h ld


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Project stakeholders

Project Stakeholders are individuals and organizations that are actively

involved in the project, or whose interests may be affected as a result

of project execution or project completion.

Stakeholders are those who can affect or are affected by the project

Stakeholders may a have positive or negative influence on a project.

Key stakeholders on every project include:

Customer / User

Sponsor, PMO

Portfolio / Program Managers

Project Manager

Project team

Functional managers / Operations management

Sellers / business partners

P j t t k h ld Id tifi ti


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PMP Workshop | Financial ServicesAll work described was performed by Capgemini or a Capgemini affiliate 2009 Capgemini - All rights reserved 38

Project stakeholders - Identification

Technique of systematically gathering and analyzing quantitative and

qualitative information to determine whose interest should be taken into

account throughout the project.

Steps

Identify all potential project stakeholders and relevant information (roles,

departments, interests, knowledge levels, expectations, and influence level)

Identify other stakeholders by interviewing identified stakeholders Use expert judgment to ensure comprehensive identification and listing of

stakeholders

Identify the potential impact or support each stakeholder could generate and

classify them so as to define an approach strategy. (Refer to figure 10-4

Power / Interest grid) Assess how key stakeholders are likely to react or respond in various

situations, in order to plan how to influence them to enhance their support

and mitigate potential negative impacts.

O i ti l I fl P j t M t


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Organizational Influence on Project Management

Organizational cultures and styles

Organizational structure

Organization

Structure

ProjectCharacteristics

Functional Matrix Projectized

Weak Matrix Balanced Matrix Strong Matrix

Project Managers

Authority

Little or none Limited Low to moderate Moderate to high High to almost

total

Resource availability Little or none Limited Low to moderate Moderate to high High to almost

total

Who controls the

project budget

Functional

manager

Functional

manager

Mixed Project manager Project manager

Project Managers role Part-time Part-time Full-time Full-time Full-time

Project management

Administrative staff

Part-time Part-time Part-time Full-time Full-time

O i ti l St t


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Organizational Structure

Functional Manager:in charge of a functional area, e.g., finance,

human resources, I.T. operations, training, marketing.

Someone with management authorityover an organizational unit

within a functional organization. The manager of any group that

actually makes aproductor performs a service. Sometimes called a

line manager.

Project Manager:The person assigned by theperformingorganizationto achieve theproject objectives. Performing

Organization: The enterprise whose personnel are most directly

involved in doing the work of the project

Project Objectives: The result to be obtained, the product to be

produced or the purpose to be achieved by the project.

F ti l O i ti


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Functional Organization

Picture Ref: PMBOK Guide, 4thVersion, Figure 2-7 Page 29

W k M t i O i ti


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Weak Matrix Organization

Picture Ref: PMBOK Guide, 4thVersion, Page 29

Strong Matri Organi ation


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Strong Matrix Organization

Picture Ref: PMBOK Guide, 4thVersion, Page 30


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Sample Question


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Sample Question

You are the Project Manager of XYZ consultants. The Project team

members are from Finance and HR departments. The team members

report to Finance and HR Managers respectively, and you havelimited control over them. What type of organizational hierarchy does

XYZ consultants follow?

A. Matrix organizationB. Projectized organization

C. Functional organization

D. None of these.

Enterprise Environmental Factors


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Enterprise Environmental Factors

Considered as inputs to most planning processes

Refers to both internal and external environmental factors

that surround or influence a projects success

Comes from any or all of the enterprises involved in the

projectEnhances or constrain project management options

May have a positive or negative influence on the project

outcome

Organizational Process Assets


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Organizational Process Assets

It may be grouped into two categories

Processes and procedures

Corporate knowledge base

It will include

All process related assets, from any or all of the organizations involved in the

project that can be used to influence the projects success

Formal and informal plans, policies, procedures and guidelines

Organizations knowledge base such as lessons learned and historical

information

Completed schedules, risk data, and earned value data

Recap


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Recap

Project

ProgramPMO

Operations

Stakeholders

Organization Structure

Project Lifecycle

Product Lifecycle

Review Questions Time


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Review Questions Time

Review Questions


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Thank You

PMP Introduction PMBOK V4.0

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