Project Management Framework

Demand for effective project management

Global demand for project management talent is rising faster than supply

Keeping the pipeline filled will be challenging

Understanding of the project

environment

What is PM Body of Knowledge ?

Application areaKnowledge, standards &regulations

General Mgmt Knowledge &

Practice

Project ManagerBody of

Knowledge

Interpersonal Skills

Project/Program/Portfolio Interactions

Comparison

Project Life Cycle Phases

Initiate Control Executive Plan Close

Milestones at every critical stage or logical completion stage of the Project

Overlap of Process Groups

Time

Eff

ort

Product FinishProduct Start

Control

Planning

InitiationClosing

Execution

Project Processes

Closure Processes

Initiation Processes

Controlling Processes

Executing Processes

Planning Processes

Project Process Groups

Initiating

Initiating

Closing

Project Phase (Design)

Project Phase (Feasibility)

Plan

Act Check

DoPlanning

Monitoring & Control

Executing

Monitoring & Control

PMBOK Knowledge areas Framework

QualityManagement

CostManagement

CommunicationManagement

TimeManagement

Human ResourceManagement

ProcurementManagement

RiskManagement

IntegrationManagement

ScopeManagement

Project Management Framework*

Planning Process Group

Planning Process: Risk AnalysisDraw a Risk Table to Summarize

Wonderful Management Tool/Report

Prob.Impact

High

Medium

Low

HighMediumLow

3. Lack of skilled staff, organization slow to hire adequate staff; may delay implementation.

2. Time estimate and funds inadequate for the scope of this project; may be late and over budget.

1. Lack of commitment. Headquarters may have to assume more responsibility; will result in project delay, cost overruns.

6. Cannot get office space for staff; may cause communication problems, delaying the execution phase.

5. Expecting major scope changes from clients; may cause delay and cost escalation.

4. Not enough time spent planning, lack of understanding of problem; may take longer/cost more than anticipated.

Projects Artifacts: WBS - Typical Tasks

Detailed WBS Example for procuring an

Equipment System

Projects Artifacts: Costed WBS

ID Task Name Account Fixed Cost Total Cost Payment

36 Final Submission $0.00 $33,000.00 $0.00

37 Final Design Work C14 $5,000.00 $25,000.00 $0.00

38 Final Plan C14 $0.00 $8,000.00 $0.00

39 TB Submission $0.00 $0.00 $0.00

40 EPA $0.00 $0.00 $40,000.00

41 Software (Subcontract 50-B) $0.00 $133,000.00 $0.00

42 SW Design $12,000.00 $62,000.00 $0.00

43 Do Prelim SW design S21 $0.00 $20,000.00 $0.00

44 PDR $0.00 $0.00 $0.00

45 Do Final SW design S22 $0.00 $30,000.00 $0.00

46 CDR $0.00 $0.00 $70,000.00

47 SW Construction $12,000.00 $71,000.00 $0.00

48 Code CSC A S31 $0.00 $6,000.00 $0.00

49 Code CSC B S31 $0.00 $8,000.00 $0.00

50 Integrate&Tst CSCI 1 S32 $0.00 $20,000.00 $0.00

Use Software to roll costs up the WBS

Executing Process Group

Monitoring & Controlling Process Group

Closing Process Group

Tools: Gantt Chart

Gantt with Resource Histogram

Ordering the Activities: PERT Chart

Arrow Diagramming Method (ADM)

Tools: PERT Chart

1

2

3

4 5

6

A

C

E

B

D

F

G

7d3d

4d

6d

3d

10d 5d

• The critical path are the tasks that have the longest path.

• Tasks are performed in parallel or one task is completed before the next one can begin.

• This graph shows why if one task is not completed on time can impact or cause delays to the schedule. Could cause a major problem to the outcome of the project.

Tools: Critical Path Method (CPM)

Start Finish

A

B

D

C

F

E

wk1 wk2 wk3 wk4 wk5 wk6 wk7

A

B

C

D

E

F

This diagram shows six tasks in the project schedule. Tasks A, C, and F are on the critical path, which means if one of these tasks takes longer than expected, the project will not meet the deadline.

Tools: Critical Path Method (CPM)

This diagram shows how Task A took longer than expected, which affected when Tasks C & F could start and added 1.5 weeks to the original schedule.

Start Finish

A

B

D

C

F

E

wk1 wk2 wk3 wk4 wk5 wk6 wk7

A

B

C

D

E

F

Tools: Critical Path Method (CPM)

• Organizational Project Management Maturity Model (OPM3®)  helps organizations understand their project management processes, ensures that their projects are tied to the organization's larger strategy, and measures and guides their capabilities for improvement.

Organizational Project Management Maturity Model

OPM3 Elements

Best Practices: What the Winners Do*

• Recent research findings show that companies that excel in project delivery capability:– Build an integrated project management toolbox (use

standard/advanced PM tools, lots of templates)– Grow competent project leaders, emphasizing business and

soft skills– Develop streamlined, consistent project delivery processes– Install a sound but comprehensive set of project

performance metrics

*Milosevic, Dragan, Portland State University, “Delivering Projects:What the Winners Do,” PMI Conference Proceedings, November 2001

Findings From 5-Year Study on Quantifying the Value of PM*

1. Companies with more mature project management practices have better project performance (on time and budget vs. 40% over time and 20% over cost targets)

2. Project management maturity is strongly correlated with more predictable project schedule and cost performance (i.e. .08 schedule performance index variation vs. .16)

3. Good project management companies have lower direct costs than poor project management companies (6-7% vs. 11-20%)

*Ibbs, William and Justin Reginato, Quantifying the Value of Project Management (2002)

PM ROI Example*

• Company initially has PMM of 2.3, CPI of .71, profit margin of 5% ,

$10 M projected annual revenues

• Company improves PMM to 3.1, CPI to .94, profit margin to 6.6% at

a cost of $400,000

• PM ROI = (6.6%-5.0%)X$10,000,000 = 40%

$400,000

*Ibbs, William, “Managing Chaotic Projects: Improving your PM/ROI”http://www.ce.berkeley.edu/pmroi/PMROI%20PMI%20Presentation%20Feb2001.pdf

19982001

20072011

2012

Scrum 1996DSDM 1994XP 1996& others

Lean (Kanban) Software2002

Agile Alliance formed 2000

Scrum/XP transition strengthens

IT industry becomes Agile, then business

Scrum gains worldwide prominence

Trends in Agile Project Management

Communities of Practice (COP)

Agile Ethics in Project Management

Global Diversity Leadership in PM

Organizational Project Management Project Risk Management

Service and Outsourcing Troubled Projects

Earned Value Management E-Business

Financial Services Industry Global Sustainability

Human Resource Project Management Information Systems

International Development New Practitioners

PMI Legal Project Management Program Management Office

Project Management Quality PM Marketing and Sales

Scheduling Innovation and New Product Development

Learning Education and Development (LEAD)

PMI Certifications

• CAPM

• PMP

• PgMP

• PMI-ACP

• RMP

• SMP

Certified Associate in Project Management (CAPM)

• For a person holding a minimum of a high school diploma, associate's degree or the global equivalent AND

• Work Experience : Minimum of 1500 hours of team project management experience OR

• Formal Education : Minimum 23 contact hours of project management education.

• Fees: • PMI member $225• Nonmember $300

• Validity: 5 years

• 135 questions, 3 hours

Globally Recognized Standards

Contact Information

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