PMP SLIDE BY: مهندس استشارى حسن فرج ENG. HASSAN FARAG EL-SAYED PMP INSTRUCTOR AUS

Projects versus Operations

Projects Performed by people Constrained by limited

resources Planned, executed and

controlled Temporary Unique

Operations Performed by people Constrained by limited

resources Planned, executed and

controlled Ongoing Repetitive

HA

SS

AN

FA

RA

G E

L-S

AY

ED

Triple Contraint

Quality

Scope

Time

Cost

HASSAN FARAG EL-SAYED

Triple Contraint

Increased Scope = increased time + increased cost

Tight Time = increased costs + reduced scope

Tight Budget = increased time + reduced scope.


What is a project?

Temporary Unique Progressive elaboration


What is a project?

Temporary with a beginning and end Creates a unique product, service or result Progressive elaboration Done for a purpose Has interrelated activities


Temporary

Definite beginning and end End is reached when the project objectives

have been achieved Market Demands Ad hoc team


What is project management?

Application of : Knowledge Skills Tools and techniques To project activities to meet or exceed

stakeholders’ expectations while using resources efficiently and effectively


What is a stakeholder? Project manager Customer Performing organization Sponsor Team Internal/external End user Society, citizens


The project management team must:

Identify stakeholders Determine their needs and expectations Manage and influence those expectations


Project Integration Management Processes

Develop the project charter: Work with stakeholders to create the document that formally authorizes a project—the charter.

Develop the preliminary project scope statement: Work with stakeholders, especially users of the project’s products, services, or results, to develop the high-level scope requirements and create a preliminary project scope statement.

Develop the project management plan: Coordinate all planning efforts to create a consistent, coherent document—the project management plan.


Nine Project Management 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 ManagementHASSAN FARAG EL-SAYED

Project Integration Management Processes

Direct and manage project execution: Carry out the project management plan by performing the activities included in it.

Monitor and control the project work: Oversee project work to meet the performance objectives of the project.

Perform integrated change control: Coordinate changes that affect the project’s deliverables and organizational process assets.

Close the project: Finalize all project activities to formally close the project.


Project Integration


Scope Statements

A scope statement is a document used to develop and confirm a common understanding of the project scope.


Contents of Scope Statement

Project objectives Product or service

requirements and characteristics

Project boundaries Deliverables Product acceptance criteria Project assumptions and

constraints Organizational structure for

the project

Initial list of defined risks Summary of schedule

milestones Rough order of magnitude

cost estimate Configuration management

requirements Description of approval

requirements


Project Management Plans

A project management plan is a document used to coordinate all project planning documents and help guide a project’s execution and control.


Project Plans

Just as projects are unique, so are project plans.

Plans should be:

Dynamic

Flexible

Updated as changes occur

Plans should first and foremost guide project execution by helping the project manager lead the project team and assess project status.


Common Elements of a Project Management Plan

Introduction or overview of the project.

Description of how the project is organized.

Management and technical processes used on the project.

Work to be done, schedule, and budget information.


Stakeholder Analysis

A stakeholder analysis documents important (often sensitive) information about stakeholders such as:

Stakeholders’ names and organizations.

Their roles on the project.

Unique facts about each stakeholder.

Their level of influence on and interest in the project.

Suggestions for managing relationships with each stakeholder.


Sample Stakeholder Analysis


Project Execution Project execution involves managing and performing

the work described in the project management plan.

The majority of time and money is usually spent on execution.

The application area of the project directly affects project execution because the products of the project are produced during project execution.


Coordinating Planning and Execution

Those who will do the work should help to plan the work.

Project managers must solicit input from the team to develop realistic plans.


Important Skills for Project Execution

General management skills such as leadership, communication, and political skills.

Product, business, and application area skills and knowledge.

Use of specialized tools and techniques.


Monitoring and Controlling Project Work

Changes are on most projects, so it’s important to develop and follow a process to monitor and control changes.

Monitoring project work includes collecting, measuring, and disseminating performance information.

Two important outputs of monitoring and controlling project work include recommended corrective and preventive actions.


Integrated Change Control

Three main objectives are:

Influence the factors that create changes to ensure that changes are beneficial.

Determine that a change has occurred.

Manage actual changes as they occur.

A baseline is the approved project management plan plus approved changes.


Change Control System

A formal, documented process that describes when and how official project documents and work may be changed.

Describes who is authorized to make changes and how to make them.


Project Agreement vs Problem Statement


Project Management: Project Organization

Chief Executive

First Level Manager(“Front-Line Manager”)

Project Members

Basis of organization:Complicated information and control flow

across hierarchical boundaries

A B

A wants to talk to B: Complicated Information FlowA wants to make sure B does a certain change: Complicated

Control flow

Information FlowControl Flow


Example of Organization:Chief Programmer Team

Chief Programmer

Librarian Administration Tester

Junior Programmer

AssistantChief Programmer

Senior Programmer


Project-Based Project Organization

Project Leader

Coaches

Team Members

Basis of organization:Nonlinear information flow across dynamically formed

units

Subsystem Team

Subsystem Team

Subsystem Team

A B

A wants to talk to B: Communication FlowA wants to make sure B does a certain change: Decision Flow


Assigning Responsibilities To People

“To Do” List for the Project

• Item 1• Item 2• Item 3• Item 4• Item 5• Item 6• Item 7• Item 8• Item 9

Item 1

Item 2

Item 9

Role 1

Item 4Item 5Item 7

Role 2

Item 3Item 6Item 8

Role 3

Person A

Role 1

Role 2

Person B

Role 3

Team A


Activity Graph for Activity “Building a House”


PERT Chart Example for "Building a House"

Start Time

Slack Time

MS Project PERTcy Chart with Duration of

Activities (Pfleeger 2.3)

Duration

Building a House:

START

8/27/94

00

Request Permits

8/27/94

150

Surveying

8/27/94

312

Excavation

9/17/94

100

Legend

8/29/94

00

Buy Material

10/1/94

100

Lay Founda

tion

10/15/94

150

Build Outside

Wall

11/5/94

200

Install Exterior Plumbing

12/3/94

1012

Install Interior Plumbing

12/3/94

120

Install Exterior Electrical

12/17/94

1012

Install Interior

Electrical

12/21/94

150

Install Exterior

Siding

12/31/94

812

Install Wallboard

1/11/95

90

Paint Exterior

1/12/95

512

Install Roofing

1/19/95

912

InstallFlooring

1/22/95

180

Paint Interior

1/22/95

110

Install Interior

Doors

2/8/95

70

Install Exterior

Doors

1/19/95

615

FINISH

2/16/95

00


Slack Time and Critical Path

Slack Time Available Time - Estimated (“Real”) Time for a task or

activity Or: Latest Start Time - Earliest Start Time

Critical Path The path in a project plan for which the slack time at

each task is zero.

The critical path has no margin for error when performing the tasks (activities) along its route.


Project Life Cycle


Initiation Phase

Define the need Return on Investment Analysis Make or Buy Decision Budget Development


Definition Phase

Determine goals, scope and project constraints Identify members and their roles Define communication channels, methods, frequency

and content Risk management planning


Planning Phase

Resource Planning Work Breakdown Structure Project Schedule Development Quality Assurance Plan


Work Breakdown Structure

For defining and organizing the total scope of a project

First two levels - define a set of planned outcomes that collectively and exclusively represent 100% of the project scope.

Subsequent levels - represent 100% of the scope of their parent node


Implementation Phase

Execute project plan and accomplish project goals Training Plan System Build Quality Assurance


Deployment Phase

User Training Production Review Start Using


Closing Phase

Contractual Closeout Post Production Transition Lessons Learned


Project Management Tools

PERT Chart- designed to analyze and represent the tasks involved in completing a given project

• Gantt Chart - popular type of bar chart that illustrates a project schedule


Role of a Project Manager

Process Responsibilities

People Responsibilities

• Project issues • Disseminating project information• Mitigating project risk • Quality • Managing scope • Metrics • Managing the overall work plan

• Implementing standard processes• Establishing leadership skills• Setting expectations• Team building• Communicator skills


Gantt Chart


PERT Chart


Scope Management

Project Scope Management is the process to ensure that the project is inclusive of all the work required, and only the work required, for successful completion.

Primarily it is the definition and control of what IS and IS NOT included in the project.


Issue Management

Issues are restraints to accomplishing the deliverables of the project.

Issues are typically identified throughout the project and logged and tracked through resolution.

In this section of the plan the following processes are depicted: Where issues will be maintained and tracked The process for updating issues regularly The escalation process The vehicle by which team members can access documented issues


Cost Management

This process is required to ensure the project is completed within the approved budget and includes: Resource Planning - The physical resources required

(people, equipment, materials) and what quantities are necessary for the project

Budget Budget estimates Baseline estimates Project Actuals


Cost Terms: Cash flow analysis determines the estimated annual

costs and benefits for a project and the resulting annual cash flow.

Cost budgeting: Allocating the overall cost estimate to individual work items to establish a baseline for measuring performance.

Cost control: Controlling changes to the project budget.

Cost estimating: Developing an approximation or estimate of the costs of the resources needed to complete a project.


Direct costs are costs that can be directly related to producing the products and services of the project.

Indirect costs are costs that are not directly related to the products or services of the project, but are indirectly related to performing the project.

Life cycle costing considers the total cost of ownership, or development plus support costs, for a project.

Profits are revenues minus expenses. A cost management plan is a document that describes

how the organization will manage cost variances on the project.

Cost budgeting involves allocating the project cost estimate to individual work items over time.


2- Cost Estimation:

Total direct cost Total Materials cost Total Labor cost Total Equipment cost Total Sub-contract

Total indirect cost (overhead) Project (job or site) overhead (10 to 20 %) Office (management) overhead (5 to 10 %) Sales tax (3 to 6 %)

.


Risk estimation (for critical activities and resources) (Owner === Change orders === from 0 up to 25%) Total cost = Direct cost + Indirect cost + Risk

estimation Profit (10 to 20 %) For normal projects Price = Total cost + Profit Markup = Office overhead + Profit = (15 to 30 %) Profit = Revenue – Total cost % = Revenue / Total cost


Price policy for construction projects: Price limit = (1.3 to 1.7) Margin Factor = 1.3 to 1.5

Price Estimation Parameters: Price = Total Cost * Weight Factor


1- Project information: Scope and requirements -Location and Utilities HSE (Health-Safety-Environment) requirements Quality requirements Duration, etc.

2- Contractor information: Company strategy or policy Resource availability Available and unused capacity (work load) Overhead ratio Value added ratio Contractor history (CV & Quality manual), etc.


3- Owner information: Owner strategy or policy Contract type Price measurement (LE or $) Payment condition (Cash flow) Bonus/ penalty Future projects Owner history, etc.

4- Market information: Competition level Relationships Environment conditions Limitations and constraints, etc.


Quality Management

Quality Management is the process that insure the project will meet the needs via: Quality Planning, Quality Assurance, and Quality

Control Clearly Defined Quality Performance Standards How those Quality and Performance Standards are

measured and satisfied How Testing and Quality Assurance Processes will ensure

standards are satisfied Continuous ongoing quality control


Communications Management

This process is necessary to ensure timely and appropriate generation, collection, dissemination, and storage of project information using: Communications planning Information Distribution Performance Reporting

Define the schedule for the Project Meetings (Team), Status Meetings and Issues Meetings to be implemented


Risk Management

Risk identification and mitigation strategy When\if new risks arise Risk update and tracking


Change Control Management

Define how changes to the project scope will be executed Formal change control is required for all of the following

1.Scope Change

2.Schedule changes

3.Technical Specification Changes

4.Training Changes

All changes require collaboration and buy in via the project sponsor’s signature prior to implementation of the changes


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Transcript of PMP SLIDE BY: مهندس استشارى حسن فرج ENG. HASSAN FARAG EL-SAYED PMP INSTRUCTOR AUS