1. Certificate IV in Project Management Week 3 – Scope Management Course Number Qualification Code BSB41507

2. In Class Example
Throughout the semester we will work on an example Project together:
We have recently started a boutique travel agency and we need to put together a new type of small group trip overseas.
It will be a small guided group, with 1 guide and no more than 12 participants. No children as allowed.
The expected duration is 3 weeks.
The idea is to make it a premium experience with no expense spared.
Options being considered are - Skiing in USA, Gourmet tour of Southern France, Wine and food experience in New Zealand including a flight around Mount Cook
We need to produce a holiday package including a decision on which holiday to go with, then contracts with suppliers, marketing and an estimate of the profit per trip.
Adapated from PMBOK 4th Edition

3. Definition of Project Scope
What is project scope?
Why is it important?
Adapated from PMBOK 4th Edition

4. Definition of Project Scope
Project Scope is –
the work that must be performed to deliver a product, service or result as per the specifications or requirements
concerned with what is included in the project and what is excluded from the project
determined at a high level during the project initiation phase and expanded in the planning phase
generally determined by the Project Sponsor, expanded by the Project Manager and then reconfirmed with the Project Sponsor
defined by the boundaries or range for the project including constraints, assumptions and dependencies
related to the objectives, outcomes, requirements
Adapated from PMBOK 4th Edition

5. Importance of Project Scope
Why is it important?
Gives the Project Manager concrete goals
Ensures the objectives of the Project Sponsor are met
Provides the basis for expectation management, monitoring and reporting
Determines the baseline against which project success can be measured

6. What is a Project Sponsor?
The Project Sponsor is critical during the development of project scope and has a key role to play during project execution.
They are the person for whom the project is being undertaken and they will directly benefit from the deliverables and outcomes of the project.
The Project Manager needs to ensure that the Project Sponsor has approved the Project Scope so that there are no misunderstandings about the breadth and outcomes of the project.
The Project Sponsor is often a senior manager, customer or external client.

7. Characteristics of Project Scope
Poor control over project scope is one of the common reasons for project failure
Projects that never seem to finish are normally suffering from a failure to control scope
Project scope is defined at a high level during the early stages of the project and then progressively refined
Assumptions
often
required
High level
becoming
detailed
Measures
project
success
Refined
during
the project
Constraints
will be
applied
Changes
need to be
monitored

8. Project Scope Interrelationships
Scope is related to Project Time, Project Cost and project Quality
Sometimes referred to as the ‘triple constraint’
Scope expansion and contraction has flow on impacts to Time, Cost and Quality
Trade offs between all four relationships are possible
Cost
Scope
Time
Quality

9. Project Scope Interrelationships
Increased Cost
Scope Increases
when
Time Fixed
leads to
and/or
Additional Resources
If the project scope is increased when the project timeframe must remain fixed then normally the overall cost will need to increase as more resources are added in order to complete the additional work

10. Project Scope Interrelationships
Extra Time
Scope Increases
when
Cost Fixed
leads to
and/or
Reduced Quality
If the project scope is increased and the project cost must remain fixed then normally the overall timeframe will need to be extended to allow extra time for the additional work to be undertaken (this assumes that there is no cost involved in extending the resources for a longer period). It may also be possible to compromise on quality in order to speed up execution so that no additional time is required, thereby reducing pressure on the budget.

11. Project Scope Interrelationships
Reduced Time
Scope Decreases
lead to
and/or
Reduced Cost
When scope is decreased then it may be possible to reduce both the project cost and timeframe. Scope reduction is a common reaction to overall budget cuts within an organisation.

12. Project Scope Processes - Part 1
PMBOK Project Scope Management Processes -
5.1 Collect Requirements
5.2 Define Scope
5.3 Create Work Breakdown Structure
5.4 Verify Scope
5.5 Control Scope
Related processes from Project Integration Management –
4.1 Develop Project Charter
4.2 Develop Project Management Plan
4.5 Perform Integrated Change Control
PMBOK 4th Edition

13. 4.1 Develop Project Charter
The process of developing a document that formally defines and authorises a project by documenting the initial requirements that will satisfy the needs of the Project Sponsor and stakeholder
The high level Project Scope is formulated during this process
The Project Charter establishes a partnership between the Project Sponsor or client and the Project Manager
Occurs during the Initiation Phase
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

14. 4.1 Develop Project Charter
Inputs into the Project Charter -
Business need or rationale
Product and project description
Strategic Plan
Business Case
Regulations and standards
Contractual requirements
Methodologies, policies and procedures
Adapted from PMBOK 4th Edition

15. 4.1 Develop Project Charter
Common contents of a Project Charter –
Project purpose or justification
Project objectives – should be measurable
Project description
High level requirements
High level risks or overall risk analysis
Preferred timeframe
Estimated high level budget
High level project structure – Project Sponsor, Project Manager
Authorisation or Governance processes
PMBOK 4th Edition

16. Types of Project Charters
You may know a Project Charter by a different name as they can vary depending on your industry or the particular methodology being applied
Some common names for Project Charters include –
Project Brief
Concept Paper
High Level Plan
Statement of Work
Sample Project Charter templates are available to download from the links as you enter the Learning Programme for the Course Site – check which bit!!!

17. Project Objectives
It is critical that the project objectives and success criteria and measurable, otherwise progress and success are difficult to achieve
The recommended method is SMART
Make sure all your objectives are –
S pecific
M easurable
A chievable
R ealistic, and
T ime Bound
An example?

18. Project Charter
There are templates of Project Charters on the Scope Site.
We will look at the Project Charter Basic template for our project.

19. 4.2 Develop Project Management Plan
This is the process of defining and documenting the actions necessary to prepare and integrate all subsidiary plans for each of the 8 key knowledge areas of project management.
Good practice dictates that the Project Management Plan is baselined at the end of the Planning Phase, particularly in the areas of scope, cost and time
It is progressively updated during project execution via the Perform Integrated Change Control process (PMBOK 4.5)
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

20. 4.2 Develop Project Management Plan
The planning processes for all project management key knowledge areas are normally performed at the same time this process, or expanded upon shortly afterwards
The relationship to Scope, Time and Cost is slightly different to the other areas of Communication, Risk, Human Resources, Quality and Procurement
There are no stand alone Scope, Time or Cost Planning processes, they contained within the Develop Project Management Plan process
The other key knowledge areas have discrete processes for planning that are defined in their process groups
Adapted from PMBOK 4th Edition

21. 4.2 Develop Project Management Plan
The Project Management Plan –
can be composed of subsidiary plans for each of the 8 key knowledge areas or these planning elements can be included into one integrated end product
can be either high level or detailed depending on the characteristics of the project and the project management methodology that is being applied
Can only be changed via a Change Request once it has been baselined
defines how all aspects of the project are to be undertaken through the Execution Phase
establishes the mechanisms and processes to Monitor and Control the project
defines how the project is to be Closed
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

22. 4.2 Develop Project Management Plan
Inputs into the Project Management Plan –
Project Charter
Subsidiary plans developed in other planning processes
Industry standards and regulations
Organisational policies and procedures
Project management methodology
Project management tools
Planning templates
Knowledge from past projects
Expert judgement and advice
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

23. 4.2 Develop Project Management Plan
Common inclusions in the Project Management Plan –
Project lifecycle and project management processes
Selected tools and techniques
Project objectives and how these will be achieved
Change Management Plan
Baselines for Scope, Time and Cost
Performance measurement and status reporting processes
Governance structure
Team structure
Subsidiary plans if required
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

24. Scope Management Plan
The Scope Management Plan is a critical output of this process and is critically connected to the process to Define Scope (5.2)
Good practice is to assemble the different scope definition and planning outputs into one integrated document
Common inclusions in the Scope Management Plan –
Project scope statement
Scope baseline
Processes to Monitor and Control scope
Configuration management (advanced concept, often applied to Information Technology projects)
Change Control process
Assumptions, dependencies and constraints
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

25. How do we know what to put into a Project Management Plan?
5.1 Collect Requirements
How do we know what to put into a Project Management Plan?
The process of defining and documenting the needs of stakeholders
Encompasses the requirements related to the specific characteristics of any end products being delivered by the project
Large projects will often define the requirements at a high level during this process and then allow for a more detailed requirements definition process at the beginning of project execution
Relates to project success measures
Occurs during Planning
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

26. 5.1 Collect Requirements Inputs to Collect Requirements
Project Charter
Stakeholder needs and expectations
Rough specifications
Tools and techniques to Collect Requirements
Ranking
Questionaries
Brainstorming
Focus
groups
Interviews
Surveys
Observation
Mind
Mapping
Prototype
Workshops
Research
Adapted from PMBOK 4th Edition

27. 5.1 Collect Requirements Common requirements documentation includes –
Objectives and success measures
Functional requirements – how an end product must perform
Non functional requirements – not related to product performance, could include optional characteristics, cosmetic details and other organisational requirements
Quality requirements
Acceptance criteria
Support and training requirements
Assumptions and constraints
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

28. 5.1 Collect Requirements Outputs of this process include –
Requirements documentation as per previous slide
Requirements Management Plan (advanced concept, often applied to large Information Technology, Defence and Engineering projects)
Detailed plan of how the requirements will be planned, tracked and reported
Especially important where the project is large enough to have a Requirements Workstream or Sub-Project
Requirements Traceability Matrix (advanced concept, often applied to large Information Technology, Defence and Engineering projects)
Links requirements to their origin in order to trace them through the project lifecycle
Can be linked to objectives, high level requirements, testing
Adapted from PMBOK 4th Edition

29. 5.2 Define Scope
The process of developing a detailed description of the project and end products
A detailed scope statement is critical to project success
Refines high level deliverables and dependencies
Clarifies and resolves assumptions and constraints documented during the Initiation phase
Good practice dictates that the detailed scope must be signed off by the Project Sponsor and key stakeholders
Undertaken during Planning
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition

30. 5.2 Define Scope The inputs into Define Scope are –
Project Charter
Requirements Documentation
The outputs from Define Scope are –
Project Scope Statement
Product scope description
Product acceptance criteria
Project deliverables and exclusions
Project assumptions and constraints
Project dependencies
Initiation
Planning
Execution
Close
Monitor
Control
Adapted from PMBOK 4th Edition