1. PMP® Prep Introduction Presented by Project Masters Inc.

2. ©2015 Project Masters, Inc. 2 Overview of Project Management Chapter Objectives/Topics Answer to the Question: “What is the “PMBOK®” and what is its purpose?” Define Project and Project Management Relationship between Project Management, Program Management, and Portfolio Management Relationship between Project Management, Operations Management, and Organizational Strategy

3. ©2015 Project Masters, Inc. 3 Overview of Project Management Chapter Objectives/Topics Business Value Role of the Project Manager Discuss the organizational influences on Project Management Define and discuss organizational process assets Define and discuss enterprise environmental factors Define and Discuss Stakeholders Define and Discuss project governance

4. ©2015 Project Masters, Inc. 4 Overview of Project Management Chapter Objectives/Topics Discuss the make up of the project team Define and discuss Project Life Cycle and Some Common Life Cycle Phases Define a process Define and discuss the major project process groups –Initiating process group –Planning process group –Executing process group –Monitoring and Controlling process group –Closing process group

5. ©2015 Project Masters, Inc. 5 The PMBOK® Project Management Body Of Knowledge Guide or “PMBOK®” or “PMBOK® Guide” Identifies the Project Management discipline knowledge, processes, skills, tools, and techniques Establishes good practice guidelines for chances of project success Establishes a standard vocabulary

6. ©2015 Project Masters, Inc. 6 Project A temporary endeavor undertaken to create a unique product, service, or result. (The PMBOK® Guide: Fifth Edition) Temporary means a definite beginning and end. Examples of a unique product, service, or result? –An enterprise wide application rollout – no two are alike –Service - Providing personnel to perform a software upgrade –Result – A new users guide for a new application

7. ©2015 Project Masters, Inc. 7 Portfolios A collection of projects, programs, sub- portfolios, and operations managed as a group strategic objectives. (The PMBOK® Guide: Fifth Edition) Projects and Programs are not necessarily interdependent or directly related –Example: I.T., capitol construction, relocations, strategic initiatives, etc.

8. ©2015 Project Masters, Inc. 8 Programs A Program is a group of related projects, subprograms, and program activities managed in a coordinated way to obtain benefits not available from managing them individually. (The PMBOK® Guide: Fifth Edition) Projects within a Program are all directly related –Program = Military base construction Projects = NCO housing, enlisted housing, officer housing, mess hall, and all other buildings/services.

9. ©2015 Project Masters, Inc. 9 Individual Projects Individual Projects either within or outside of a program are still part of the enterprise portfolio and may or may not be interdependent but are still linked to the enterprise strategic plan.

10. ©2015 Project Masters, Inc. 10 Project Management The application of knowledge, skills, tools, and techniques to project activities to meet the project requirements. (The PMBOK® Guide: Fifth Edition)

11. ©2015 Project Masters, Inc. 11 Project Management The appropriate application and integration of the logically grouped 47 PMBOK processes to successfully complete the 5 Project Process Groups of a project, which are: –Initiating –Planning –Executing –Monitoring and Controlling –Closing

12. ©2015 Project Masters, Inc. 12 Project Management Managing a project normally includes: –Identifying requirements –Addressing the various needs, concerns, and expectations of stakeholders –Establishing clear and achievable objectives –Balancing the competing constraints of cost, time, scope, resources, risk, and quality –Constantly adapting to changing situations given a project’s assumptions and constraints

13. ©2015 Project Masters, Inc. 13 Organizational Project Management (OPM) Relationships Portfolio Management aligns with organizational strategies by selecting the right programs or projects, prioritizing the work, providing the needed resources Program Management harmonizes its project and program components and controls interdependencies in order to realize specified benefits. Project Management develops and implements plans to achieve a specified scope that is driven by the objectives of the program or portfolio it is subjected to, and ultimately, to organizational strategies

14. ©2015 Project Masters, Inc. 14 Projects and Strategic Planning Why do we undertake projects? They are typically undertaken to fulfill strategic needs of organizations such as: –Market demand - New product –Strategic opportunity/business need –Social need –Environmental considerations –Customer request –Technological advance - New wind farm technology –Legal requirement - HIPAA

15. ©2015 Project Masters, Inc. 15 Project Management Office Organizational body or entity assigned various responsibilities related to the centralized and coordinated management of those projects under its domain. Often referred to as a “project office”, “program management office”, or “program office” Could provide project management support functions or directly manage projects Could focus on project/program coordinated planning, prioritization, termination, and execution of projects to meet the enterprise overall business objectives

16. ©2015 Project Masters, Inc. 16 Typical PMO Functions Manage shared resources Develop enterprise wide methodologies, best practices, standards and documentation Develop and implement coaching, mentoring, and training programs Monitor legal, professional responsibility, and policy compliance Assure Project/Program enterprise wide communications

17. ©2015 Project Masters, Inc. 17 Project and Operations Management Projects and operations, even though different, do need each other and intersect often –Closeout of the project or phase –New product development or upgrade –Product development or operations process improvement –Product turnover Some Operational Stakeholders in Project Management –Help desk staff –Customer service representatives –Training staff –Maintenance personnel

18. ©2015 Project Masters, Inc. 18 Project Management Business Value Business Value is defined as the entire value of the business or, the total sum of all of the tangible and intangible elements. –Tangible elements include - monetary assets, fixtures, stockholder equity, and utility –Intangible elements include – good will, brand recognition, public benefit, and trademarks

19. ©2015 Project Masters, Inc. 19 Project Management Business Value It is true that value may be created by the effective management of ongoing operations It is also true that through the effective use of portfolio, program, and project management organizations will possess the ability to employ reliable, established, processes to meet strategic objectives and obtain greater business value from their project investments

20. ©2015 Project Masters, Inc. 20 Project Management Business Value Portfolio management aligns components (projects, programs, or operations) to the organizational strategy –Optimizes the organizations project/program, dependencies, costs, timelines, benefits, resources, and risks Program management allows organizations to align multiple projects for optimized or integrated costs, schedules, effort, and benefits

21. ©2015 Project Masters, Inc. 21 Project Management Business Value Project management produces the ability to apply knowledge, processes, skills tools and techniques to enhance the likelihood of success over a wide range of projects Project management gives the organization the ability to apply knowledge, processes, skills tools and techniques that enhance the likelihood of success over a wide range of projects

22. ©2015 Project Masters, Inc. 22 Project Manager’s Role The person assigned by the performing organization to lead the team that is responsible for achieving the project objectives. (The PMBOK® Guide: Fifth Edition) Differs from the functional manager – Who typically manages/oversees an administrative area Differs from the operations manager – Who typically Manages/oversees some facet of the core business

23. ©2015 Project Masters, Inc. 23 Project Manager’s Characteristics Knowledge - Project Management Knowledge, Knowledge of The PMBOK, and the dictates of the enterprise PMO Performance – Ability to accomplish the project goals while applying the project management knowledge Personal – Effectiveness and behavior while managing the project and related activities, dealing with the constraints, and guiding the team

24. ©2015 Project Masters, Inc. 24 Project Manager’s Interpersonal Skills Leadership Team building Motivation Communication Influencing Decision making Political and cultural awareness Negotiation

25. ©2015 Project Masters, Inc. 25 Organizational Influences on Project Management

26. ©2015 Project Masters, Inc. 26 Organizational Cultures/Styles Cultures and styles are group phenomenon known as cultural norms, which develop over time These norms include – –Established approaches to initiating and planning projects –The means considered acceptable for getting the work done –Recognized authorities who make or influence decisions

27. ©2015 Project Masters, Inc. 27 Organizational Cultures/Styles Organizational Culture is shaped by common experiences over time by practice and common usage. Following are some manifestations –Shared visions, values, beliefs, and expectations –Policies, methods, and procedures –Motivation and reward systems –View of leadership, hierarchy, authority relationships –Work ethic and hours

28. ©2015 Project Masters, Inc. 28 Organizational Communications Effective organizational communication is one of the primary keys to project success Knowledge of this key to success has prompted organizations to put into place some, or all, of the following to aid the project team in communicating with distant and diverse project stakeholders –Computer networks, electronic mail, videoconferencing, all allowing for communications across differing time zones

29. ©2015 Project Masters, Inc. 29 Organizational Structures

30. ©2015 Project Masters, Inc. 30 Organizational Structure Organizational structure determines the following for all projects –Project Managers authority –Resource availability –Who controls the project budget –Project Manager’s role, –Project Team composition

31. ©2015 Project Masters, Inc. 31 Organizational Influences on Projects Full-time Part-time Project Manager’s Role ProjectizedFunctional Full-time Part-time Project Management Administrative Staff Project Manager Mixed Functional Manager Who controls the project budget High to Almost Total Moderate to High Low to Moderate Limited Little or None Resource Availability High to Almost Total Moderate to High Low to Moderate Limited Little or None Project Manager’s Authority Strong Matrix Balanced Matrix Weak Matrix Matrix Organization Structure Project Characteristics

32. ©2015 Project Masters, Inc. 32 Organizational Process Assets Plan, processes, policies, procedure, and knowledge bases that are specific to and used by the performing organization. (The PMBOK® Guide: Fifth Edition) Include any artifact or concept from any or all of the organizations involved in the project that can be used to perform or govern the project.

33. ©2015 Project Masters, Inc. 33 Organizational Process Assets –Examples include formal and informal plans, processes, policies, procedures, and guidelines –Corporate knowledge base ·Lessons learned and historical information

34. ©2015 Project Masters, Inc. 34 Processes and Procedures Definitions/Examples Initiating and Planning –Standard processes – project life cycles, quality policies, checklists –Standardized guidelines, instructions, performance measurement criteria –Specific organizational standards – ethics policy, project management policy, safety and health policy –Templates – WBS, schedule, contract templates

35. ©2015 Project Masters, Inc. 35 Processes and Procedures Definitions/Examples Executing, Monitoring and Controlling –Financial controls/procedures –Issues and defect management procedures –Change control procedures – policies, procedures, forms, authority levels –Organization communications requirements –Risk control procedures – categories, assessment rules for probability and impact –Work authorization policies and rules –Standardized guidelines – proposal evaluation

36. ©2015 Project Masters, Inc. 36 Corporate Knowledge Base Process measurement databases – measurement data Project files – scope, cost, schedule, etc. Historical information and lessons learned knowledge – current and past project records/information Issue and defect management databases - defect status Configuration management – official versions, project documents Financial databases – budgets, labor hours

37. ©2015 Project Masters, Inc. 37 Enterprise Environmental Factors Conditions, not under the immediate control of the team, that influence, constrain, or direct the project, program, or portfolio. (The PMBOK® Guide: Fifth Edition) –These factors could enhance or constrain project management options –These factors may have a positive or negative influence on the project outcome –These factors are also inputs to most Project Planning processes.

38. ©2015 Project Masters, Inc. 38 Enterprise Environmental Factors The List Organizational culture, structure, and processes Government/Industry Standards Infrastructure Existing human Resources Personnel administration Company work authorization systems

39. ©2015 Project Masters, Inc. 39 Enterprise Environmental Factors The List Marketplace conditions Stakeholder risk tolerances Political climate Established communication channels Commercial databases Project Management information systems

40. ©2015 Project Masters, Inc. 40 Project Stakeholders and Governance

41. ©2015 Project Masters, Inc. 41 Project Stakeholders An individual, group, or organization who may affect, be affected by, or perceive itself to be affected by a decision, activity, or outcome of a project. (The PMBOK® Guide: Fifth Edition) – May be actively involved in the project – May be positively or negatively affected by the project – May exert influence over the project, its deliverables, or the project team

42. ©2015 Project Masters, Inc. 42 Project Stakeholders Customers/users: the persons or organizations that will use the project’s product, service, or result. (The PMBOK® Guide: Fifth Edition) Sponsor: a person or group who provides resources and support for the project, program, or portfolio and is accountable for enabling success. (The PMBOK® Guide: Fifth Edition) Sellers and business partners Organizational groups – Internal stakeholders

43. ©2015 Project Masters, Inc. 43 Project Stakeholders Project Management Office (PMO) Project management team Project team Functional managers Operations management Other stakeholders – financial institutions, government regulators, subject matter experts, etc.

44. ©2015 Project Masters, Inc. 44 Project Governance An oversight function that is aligned with the organizations governance model and that encompasses the project life cycle. (The PMBOK® Guide: Fifth Edition) Project governance includes stakeholders as well as documented policy, procedures, and standards.

45. ©2015 Project Masters, Inc. 45 Project Governance Some examples of items included in project governance are – –Project success criteria –Escalation and issue resolution processes –Relationships among the project team and the larger organization –Project organization chart –Communication processes –Project decision making process –Project life cycle approach, etc.

46. ©2015 Project Masters, Inc. 46 The Project Team

47. ©2015 Project Masters, Inc. 47 The Project Team A set of individuals who support the project manager in performing the work of the project to achieve its objectives. (The PMBOK® Guide: Fifth Edition) –The team includes the project manager, project management staff, and other team members –Team members –Project management staff –Supporting experts –Users or customers –Sellers/business partners

48. ©2015 Project Masters, Inc. 48 The Project Team Project team member composition –Dedicated – full time –Part-Time –Partnership –Virtual

49. ©2015 Project Masters, Inc. 49 The Project Life Cycle

50. ©2015 Project Masters, Inc. 50 Project Life Cycle The series of phases that a project passes through from its initiation to its closure. (The PMBOK® Guide: Fifth Edition) –Project phases are generally sequential and, sometimes the name and number are determined by the management and control needs of the organizations involved in the project, the nature of the project itself, and its area of application. –It also provides the basic framework for managing the project.

51. ©2015 Project Masters, Inc. 51 Project Life Cycle Most life cycle concepts borrowed the idea from the field of life systems in biology Life Systems Life Cycle: –BornProject Start –YouthProject Organizing and Planning –AdolescentsProject Organizing and Planning –AdultsProject Work –Cease to existProject Closeout

52. ©2015 Project Masters, Inc. 52 Project Life Cycle Although projects vary by size and complexity all can be mapped to the following life cycle structure –Starting the project –Organizing and preparing –Carrying out the project work –Closing the project

53. ©2015 Project Masters, Inc. 53 Impact of Variables Over Time Project Time Low High Stakeholder Influence, Risk, and Uncertainty Cost of changes

54. ©2015 Project Masters, Inc. 54 Typical Sequence of Phases in a Project/Phase Life Cycle INITIALINTERMEDIATEFINAL Idea Project Management Team Charter Plan Acceptance Scope Statement Baseline Approval ProgressHandover Product Inputs Phases Project Management Outputs Project Deliverable

55. ©2015 Project Masters, Inc. 55 Project Phases Represents a division within a project comprised of the following processes –Initiating –Planning –Executing –Monitoring and Control –Closeout Phases within a project are normally established for greater control and management – e.g. a Deliverable.

56. ©2015 Project Masters, Inc. 56 Process Group Interaction in a Project Level of Process Interaction Initiating Process Group Planning Process Group Executing Process Group Monitoring and Controlling Process Group Closing Process Group TIME StartFinish

57. ©2015 Project Masters, Inc. 57 Phase Relationships Project phases can be sequential or overlapping. This dependency is established normally for degree of control, the product, and/or management team –Sequential – One phase must end before the following starts ·Analysis, Design, Prototype, Production, Roll Out –Overlapping – The following phase can start before the predecessor ends » Write Chapter 1 Edit Chapter 1 »Write Chapter 2 Edit Chapter 2

58. ©2015 Project Masters, Inc. 58 Predictive Life Cycles Predictive – Also known as, plan-driven or waterfall methodologies, are ones in which the project scope, and the time and cost required to deliver that scope, are determined as early in the project life cycle as practically possible. –Projects proceed through a series of sequential or overlapping phases –The work performed in each phase is usually different than the preceding and subsequent phases –Therefore the skills and makeup of the project team may vary

59. ©2015 Project Masters, Inc. 59 Iterative and Incremental Life Cycles Iterative, where only one phase is planned and underway at a time until the that phase’s (iterations) deliverables are completed. First a high level vision is developed, then the detailed scope is developed one iteration at a time, then the planning for the next is developed during as the work progresses. –Phase 1 – planned, and deliverable completed –Phase 2 – starts after Phase 1 is verified and accepted

60. ©2015 Project Masters, Inc. 60 Adaptive Life Cycles Adaptive – Also known as, change-driven or agile methods, are intended to facilitate change and require a high degree of ongoing stakeholder involvement. Methods are iterative and incremental Iterations are very rapid – 2 to 4 weeks Iterations are fixed in time and resources Generally all project management processes are performed in each iteration

61. ©2015 Project Masters, Inc. 61 The Project Management Process

62. ©2015 Project Masters, Inc. 62 A Process Defined A set of interrelated actions and activities performed to achieve a pre-specified product, result, or service. (The PMBOK® Guide: Fifth Edition)

63. ©2015 Project Masters, Inc. 63 Project Management Process Groups Initiating Process Group Planning Process Group Executing Process Group Monitoring and Controlling Process Group Closeout Process Group

64. ©2015 Project Masters, Inc. 64 Initiating Process Group Those processes performed to define a new project or a new phase of an existing project by obtaining authorization to start the project or phase. (The PMBOK® Guide: Fifth Edition) –4.1 Develop Project Charter –13.1 Identify Stakeholders

65. ©2015 Project Masters, Inc. 65 Planning Process Group Those processes required to establish the scope of the project, refine the objectives, and define the course of action required to attain the objectives that the project was undertaken to achieve. (The PMBOK® Guide: Fifth Edition) –4.2 Develop Project Management Plan –5.1 Collect Requirements –5.2 Define Scope –5.3 Create WBS –Note: For a complete list, refer to page 61 in The PMBOK Guide: Fifth Edition

66. ©2015 Project Masters, Inc. 66 Executing Process Group Those processes performed to complete the work defined in the project management plan to satisfy the project specifications. (The PMBOK® Guide: Fifth Edition) –4.3 Direct and Manage Project Execution –8.2 Perform Quality Assurance –9.2 Acquire Project Team –9.3 Develop Project Team –Note: For a complete list, refer to page 61 in The PMBOK Guide: Fifth Edition

67. ©2015 Project Masters, Inc. 67 Monitoring and Controlling Process Group Those processes required to track, review, and regulate the progress and performance of the project; identify any areas in which changes to the plan are required; and initiate the corresponding changes. (The PMBOK® Guide: Fifth Edition) –4.4 Monitor and Control Project Work –4.5 Perform Integrated Change Control –Note: For a complete list, refer to page 61 in The PMBOK Guide: Fifth Edition

68. ©2015 Project Masters, Inc. 68 Closing Process Group Those processes performed to finalize all activities across all process groups to formally close the project or phase. (The PMBOK® Guide: Fifth Edition) –4.6 Close Project or Phase –12.4 Close Procurements

69. ©2015 Project Masters, Inc. 69 The Plan-Do-Check-Act Cycle PlanDo ActCheck

70. ©2015 Project Masters, Inc. 70 Project Management Process Groups Mapped to the Plan-Do-Check-Act Cycle

71. ©2015 Project Masters, Inc. 71 Overview of Project Management Review of Chapter Objectives/Topics Answer to the Question: “What is the “PMBOK” and what is its purpose?” Define Project and Project Management Relationship between Project Management, Program Management, and Portfolio Management Relationship between Project Management, Operations Management, and Organizational Strategy

72. ©2015 Project Masters, Inc. 72 Overview of Project Management Review of Chapter Objectives/Topics Business Value Role of the Project Manager Discuss the organizational influences on Project Management Define and discuss organizational process assets Define and discuss enterprise environmental factors Define and Discuss Stakeholders Define and Discuss project governance

73. ©2015 Project Masters, Inc. 73 Overview of Project Management Review of Chapter Objectives/Topics Discuss the make up of the project team Define and discuss Project Life Cycle and Some Common Life Cycle Phases Define a process Define and discuss the major project process groups –Initiating process group –Planning process group –Executing process group –Monitoring and controlling process group –Closing process group