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Project Management Framework

Instructor: Phùng Thanh Cường Msc, PMP

Copyright & Disclaimer


• This work is subject to copyright. All rights are reserved by the PMA
Vietnam, whether the whole or part of the material is concerned,
specifically the rights of reprinting, broadcasting, reproduction, and
transmission or information storage and retrieval, electronic adaptation,
computer software, or by similar or dissimilar methodology now known or
hereafter developed.

• PMI, PMP, and PMBOK are registered trademarks of Project Management


Institute, Inc. in the United States and/or other countries. All other
trademarks are the property of their respective owners.

• While the advice and information in this book are believed to be true and
accurate at the date of publication, neither the authors nor the editors can
accept any legal responsibility for any errors or omissions that may be
made.

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Project Management Framework Summary

• Project phase • PMI’s Project Management Process


• Phase gate Groups
• Project Lifecycle • Project Management Processes
• Predictive lifecycle Interactions
• Agile lifecycle • Apply Project Management processes
to Project lifecycle
• Hybrid lifecycle
– Small project
• Characteristics of Project Lifecycle
– Large Project
• Project Lifecycle vs Project
Management Processes
Product lifecycle vs Project lifecycle

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1. Project phase

What is it?
• A collection of logically related project activities that culminates in the completion
of one or more deliverables
• The transition from one phase to another within a project's lifecycle generally
involves some form of technical transfer or handoff. These are also called as phase
gate

Construction: Feasibility-> Planning -> Design -> Production -> Turnover -> Maintenance

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Phase gate

What is it?
• A review at the end of a phase in which a decision is made to continue to the next
phase, to continue with modification, or to end a project or program.
• Maybe reffered to by other terms: Phase review, stage gate, kill point, phase
entrance or phase exit.
• Decison made maybe: Go, Hold, Kill, Recycle...

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2. Project Lifecycle

What is it?
• The series of phases that a project passes through from its initiation to its closure
• There are many different types of project life cycles, depending on the industry ,
or on the organization’s preferences.

• IT Project: Requirement -> Design • Construction: Feasibility->


-> Program -> Test -> Implement Planning -> Design -> Production -
> Turnover -> Startup

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Characteristics of Project Lifecycle
• All projects, large or small, have a similar characteristics

Generic model of project lifecycle

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Complexity Matrix by Stacey

• Simple: cause and effect linkages can


be clear
• Complicated: cause and effect
requires analysis or expertise; there is
a range of right answers.
• Complex: Cause and effect can only
be deduced in retrospect. There are
no right answers.
• Anarchy: Cause and effect are
unclear
• The art of management is having an
array of approaches and being aware
of when to use which approach.

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Cynefin framework by Dan Snowden

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Predictive vs Agile

Predictive

Agile/adaptive

Predictive

Agile/ adaptive

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Agile/adaptive lifecycles
Iteration-based lifecycle (Iterative)

Feature-based lifecycle (Incremental)

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Hybrid Lifecycles As Fit-for-purpose

Predictive Agile/adaptive
Process-based Principle-based
Definable work High-uncertainty work
Plan-driven Value-driven
Prescriptive Descriptive

• The goal of project management is to produce business value in the best


possible way given the current environment. It does not matter if that way
is agile or predictive. The question to ask is: “How can we be most
successful?”

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Hybrid lifecycles

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3. Process

A systematic series of activities directed towards causing an end result such that one
or more inputs will be acted upon to create one or more outputs

Input Tools and Techniques Outputs

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4. PMI’s Project Management Process Groups

Monitoring
Initiating Planning Executing and Closing
Controlling

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Project Management Processes Interactions

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Project Lifecycle vs Project Management Processes

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Apply Project Management processes to Project lifecycle

• Small project

IT Project: Requirement -> Design -> Program -> Test -> Implement

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53
Apply Project Management processes to Project lifecycle

• Large Project

Construction: Feasibility-> Planning -> Design -> Production -> Turnover

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54

Project Managment Knowledge Areas

4. Integration
5. Scope
6. Schedule
Scope 7. Cost
8. Quality
9. Resource
Quality
10. Communication
11. Risk
12. Procurement
Cost Time
13. Stakeholder

Integration

Resources Communication Risk Procurement

Stakeholders

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Process Groups vs Knowledge Areas

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9. Product Lifecycle
• Product lifecyle is the series of phases that represent the evolution of a product,
from concept through delivery, growth, maturity and to retirement

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58

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Initiating Process Group


Instructor: Phùng Thanh Cường Msc, PMP
Pre-Project Work

Project Business Documents

Need Business Project


Assessment case Charter

Benefit
Management
Pre-Project Work Plan Starting the Project

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Pre-Project Work: Need Assessment

1. Need assessment
• The needs assessment involves understanding business goals and objectives,
issues, and opportunities and recommending proposals to address them.
• The results of the needs assessment may be summarized in the business case
document.
Technological
advance
Customer Legal
request requirements

Organizational
need Social need

Market Business ...


demand
Needs

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Pre-Project Work: Project Selection

Short-list selection Investment Appraisal


• Feasibility analysis • Payback period/Breakeven analysis
• Murder board (shoot down a new • Present value (PV)
project idea) • PV = FV/(1 + r)n
• Peer review – PV: Present value
• Scoring models – FV: Future value
Benefit Cost analysis – r: interest rate
• Benefit Cost Ratio (BCR) – n: number of time periods
• Opportunity Cost • Net present value (NPV)
• Sunk Costs • NPV = PV of Income – PV of Cost
• Internal Rate of Return (IRR)
• Return on Investment (ROI)

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Pre-Project Work: Project Business Documents

1. Project business case


• Economic feasibility study used to
validate of the benefits of a project
• The business case lists
– the objectives
– and reasons for project initiation.
• Project Business Case used as a basis:
– for the authorization of further
project management activities.
– to measure success and progress
throughout the project life cycle
by comparing the results with
the objectives and the identified
success criteria.

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Pre-Project Work: Project Business Documents

2. Project benefits
management plan
• The document that describes how
and when the benefits of the project
will be delivered
• And describes how the benefits will
be measured
• In some organizations, the business
case and benefits management plan
are maintained at the program level.

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4.1 Develop Project Charter

What?
The document that:
1. Formally recognizes the existence of
the project. (This means that a
project does not exist without a
project charter.)
2. Gives the authority to Project
Manager to apply organizational
resources to project activities
When?
• Take place on a project/or phase
before it becomes official
Who?
• Project Sponsor and Project Manager,
in collaboration with initiating entity

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Why we need a project charter?

Do you really understand? Who you think you are?

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4.1 Develop Project Charter

How?
• Validate project alignment with • The Project Charter is issued by a
organizational strategy and expected sponsor, not the project manager
business value.
• A Project Manager is identified and
• Identify key deliverables, initial
milestones, based on the business assigned as early as in the project as
requirements is feasible, and always prior to the
• Identify high level risks, assumptions, start of planning.
and constraints
• Evaluation of the feasibility of new
products or services within the given
assumptions and/or constraints.
• Propose an implementation strategy
• Obtain project charter approval from
the sponsor
• Inform stakeholders of the approved
project charter

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4.1 Develop Project Charter

• Project success should be measured


with consideration toward
achievement of the project
objectives.
• Project objectives should be
documented and agreed upon by the
key stakeholders and the project
manager.
• Project managers needs to be able
to:
– Clearly document the project
objectives (S.M.A.R.T objectives)
– Resolve competing objectives,
balance the demands
– Prioritize project objectives

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4.1 Develop Project Charter: Tools & Techniques

1. Expert Judgment 2. Meetings


Who have training, specialized Meetings are held with relevant
knowledge, or skills in the areas you’re stakeholders in order to:
assessing and is available from various • Manage stakeholder expectations and
sources including : direct the achievement of project
• Consultants goals.
• Subject Master Experts • Ensure common understanding of the
• Professional and technical key deliverables, milestones, and their
associations roles and responsibilities.
• Industry groups
• PMO

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4.1 Develop Project Charter: Tools & Techniques

3. Data Gathering Brainstorming:


• Interview • Go for quantity, not quality
• Brainstorming • No criticise
• Focus group: meeting with targeted
stakeholder group
4. Interpersonal and team skills
• Conflict resolution
• Facilitation
• Meeting management

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4.1 Develop Project Charter: Outputs

1. Project Charter
• Documents the business need or
demand that the project was initiated
to address and the project
justification
• Provides the description, high-level
requirements of the product, service
or key deliverables of the project.
• Formalize the authority assigned to
the project manager.
• Broad enough so it does not NEED to
change as the project changes
2. Assumption log
• High-level strategic and operational
assumptions and constraints

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4.1 Develop Project Charter: Inputs

1. Business Documents
1A. Business Case
• Describe why project is worth doing.
(Project benefits)
• Typically, business case is justified by
business need or cost-benefit analysis
1B. Benefits management
plan
• How desired benefits will be
delivered, and measured

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4.1 Develop Project Charter: Inputs

2. Agreements
• A contract is an input to this process,
if the project is being done for an
external customer
• Memorandums of understanding
(MOUs)
• Service level agreements (SLA)
• Letter of agreements
• Letters of intent,
• Verbal agreements, email, or other
written agreements.

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4.1 Develop Project Charter: Inputs

3. Enterprise Environmental 4. Organizational Process


Factor Assets
• Organizational or company culture • Policies, guidelines, templates,
and structure
• Procedures, plans, approaches, or
• Governmental or industry standards standards for conducting work,
• Existing Human Resources including project work.
• Personnel Administration
• Historical Information, lessons
• Company work authorization system
• Marketplace conditions learned etc
• Stakeholder risk tolerances
• Commercial databases
• Project Management Information
Systems

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4.1 Develop Project Charter


Inputs Tools & Techniques Outputs
1. Business Documents 1. Expert judgment 1. Project charter
• Business case 2. Meeting 2. Assumption log
2. Agreements 3. Data gathering
3. Enterprise 4. Interpersonal and team
environmental factors skills
4. Organizational process
assets

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Who are stakeholders?
• Any 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.

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13.1 Identify Stakeholders

What?
• It this process, Project Manager and
Project Team identify all people or
organizations impacted by the project
Why?
• An un-identified key stakeholder can
potentially turn high risk to project.
• Identify the appropriate focus for
engagement of each stakeholder or
group of stakeholders.
When?
• As early as possible, preferably during
initiation and definitely prior to
starting of planning.
• Periodically throughout the project
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13.1 Identify Stakeholders

1. Identify potential project stakeholders


• Identify all stakeholders, not just a Customer

limited set Manage


Regulator ment
• Directions of influence (Upward,
downward, outward, sideward)
• Stakeholder wheel: Customer,
Suppliers, Management, Project Competit
or Project Partners
Team …
2. Analyze Stakeholder
• Determine all of their major
Employee Owner
requirements, expectations,
interests, level of influence, Suppliers
knowledge, role, Etc.
• Key stakeholders: decision-makers
Stakeholder wheel
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13.1 Identify Stakeholders

3. Classify Stakeholders
• Prioritize the key stakeholders to
ensure the efficient use of effort to
communicate and manage their
expectations.
• There are multiple classification
models
4. Define Management Strategy
• How you will communicate with them

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13.1 Identify Stakeholders : Outputs

1. Stakeholder Register
• Identification information : Name,
organizational position, location, role
in the project, contact information
• Assessment Information : Major
requirements, main expectations,
potential influence in the project,
phase in the life cycle with the most
interest
• Stakeholder Classification :
internal/external,
supporter/neutral/resistor, etc

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13.1 Identify Stakeholders : Outputs

2. Change requests 3. Project management plan


• During the first iteration of updates
identifying stakeholders, there will • Stakeholder engagement plan.
not be any change requests.
• Communications management plan.
• As stakeholder identification
• Requirements management plan.
continues throughout the project,
new stakeholders, or new • Risk management plan.
information about stakeholders, may 4. Project documents updates
result in a change request to the
• Assumption log
product, project management plan,
or project documents. • Issue log
• Risk register

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13.1 Identify Stakeholders : Inputs

1. Project Charter 3. Project documents


• Key stakeholders: Project sponsor, • Change log
Customer, Pre-assigned team member • Issue log
2. Project management plan • Requirement documentation
• The project management plan is not • Groups, organizations, etc.
available when initially identifying 4. Business Documents
stakeholders; however, once it has
been developed, project • Beneficiairies of the outcomes of the
project
management plan components
include but are not limited to: 5. Agreement
• Stakeholder Engagement Plan • Supplier, subcontractor
• Communication Management Plan • Addititional stakeholders
6. Enterprise Environmental Factors
7. Organizational Process Assets

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13.1 Identify Stakeholders


Inputs Tools & Techniques Outputs
1. Project Charter 1. Stakeholder analysis 1. Stakeholder Register
2. Project management 2. Power/ Interest Grid 2. Change requests
plan 3. Salience model 3. Project management
3. Project documents 4. Stakeholder cube plan updates
4. Business Documents 5. Expert Judgment 4. Project documents
5. Agreements 6. Meeting updates
6. Enterprise 7. Brainstorming
environmental factor
7. Organizational process
assets

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