Module 6: Planning Processes

Glossary

Looped – having, formed in, or characterized by loops

Procurement 0- The act of obtaining or buying goods and

services. The process includes the preparation and
processing of a demand as well as the end receipt and
approval of payment.

Scarce – Deficient in quality or number compared with the

demand: not plentiful or abundant.

Staffing – selecting and training individuals for specific job

functions, and charging them with the associated
responsibilities.

What is Project Plan?

 The project plan is an “approved document to manage project

execution” (PMBOK)

 Can and will change over time as the environment, output

scope, inputs, and resources change.

 A good project plan will help the project manager and the
project organization respond to changes with the least
delivery (time, cost) risk

Critical Planning Elements

1. Time

 Time is always short. “Time needed” tends to expand

towards “time available.” Hence needed to keep buffers
low

 Project timeline. Initially agreed final delivery date

is expanded to show the delivery dates of the phases
and sub phases

 Critical path. Flow and timing/completion of

prerequisite activities will determine the critical
path in terms of time
  Buffers. Project leaders provide buffers between
activities to cover unexpected external events
(resources getting sick, “acts of God” (typhoons,
floods)

2. A resource is always scarce; the most scarce resource is

generally people.

 Project plans help visualize realistic assignment of

scarce resources across multiple activities (and
projects)

 Resource plans surface potential contention for

resources up front than face the later problem or
unrealistic deadlines due to lack of resources

3. Cost

 Money is always not enough (generally). But between

time and resources (people), money is often easier to
get

 One can get more money but a project cannot normally

be hurried by mere throwing bodies into it.

 In global projects, resource costs account for the

bulk of project budgets.

Core Planning Processes

1. Planning processes that must be done for all projects

2. Answer the questions:

o What output must be delivered: scope plan (scope

definition, work breakdown)

o What activities to produce it and how long: activity

plan (activity definition, activity sequencing,
activity, and total duration)

o Who will do the activities: resource plan (resource

requirements, resource-activity scheduling)

o How much will it cost: cost plan (cost estimation)

 Facilitating Planning Processes

 Planning processes that are not performed all the time

but well-managed projects have them

 Answer the questions:

o Who manages the project, who reports to whom:

organization plan(reporting lines, project roles,
and responsibilities)

o What resources (staff)need to be hired or

contracted and by when: staffing plan (also
called “ recruitment plan”)

o Which quality standards to follow: quality plan

(standards, measures, transparency)

o How will risk be identified, and managed: risk

management plan

o What will be communicated, to whom, how by whom:

communications plan

o What services, goods, and materials need to be

bought and when: procurement plan (what to buy,
when from which potential sources, estimated of
how much

PARTS OF THE PROJECT PLAN

A good project plan will help the project manager and the
members respond to changes with the least delivery (time, cost)
risk.

Common Parts:

1. Project charter. High-level description of objectives, who

approved it, start and finish requirement dates, cost, and
benefit.

2. Scope plan. Detailed definition of scope, and deliverables.

Scope Plan includes:

 Project Description – describe what the project will
accomplish
  Deliverables – a detailed list of deliverables
 Product Acceptance Criteria –describes what
requirements must be met in order for the project to
be accepted as complete.
 Project exclusions or boundaries – description of work
that is not included in the project and outside of the
scope.
 Project constraints – lists limits on resources for
time, money, manpower, or equipment (capital).
 Project Assumptions – describes the list of
assumptions the project team and stakeholders are
working under to complete the project.

3. Project organization. Project manager, individual leads,

roles and responsibilities.

4. Resource Plan

 Required staff skills, hiring or contracting plan, by

when, where to hire/contract, estimated cost.

 Required equipment, tools, facilities, by when, where

to purchase, cost.

5. Activity Plan

- These are activities required for the completion of the

project. Activity plan includes the following:

 Work Breakdown Structure (intermediate and final

deliverables)

 Definition of activities to produce the WBS Elements

 Activity Sequencing, start and finish dates

 Resource-activity assignment

A Gantt chart is a commonly used graphical depiction

of a project schedule. It's a type of bar chart
showing the start and finish dates of a project's
elements such as resources, planning, and
dependencies.

Example:
Source: https://www.productplan.com/glossary/gantt-chart/

6. Cost Plan

 This is to ensure that the money involved all

throughout the project development will be
managed efficiently and effectively.

7. Risk Management Plan

 It enables project managers to see ahead to

potential risks and reduce their negative impact.
A new project welcomes in new opportunities but
also potential risks so a risk management plan is
a must for risk project managers.

8. Test Plan

 Identification of independent test lead, test

team

 Statement of how scope/functions will be reviewed

and by whom, how detailed design testing will be
reviewed and validated.

9. Communication Plan.

 Flow of project information throughout the project

  Communication lead, communication elements, timing

10. Implementation Plan

 Implementation lead, implementation strategy (big-bang

or incremental, pilot or in phases)

(Additional note: The phrases ‘big bang’ and ‘phased’ are used to
describe ERP implementation strategies for introducing new systems into an
organisation. A ‘big bang’ ERP implementation is typically used to describe
a go-live or cutover scenario where a business switches from their old ERP
system to their new system at a single point in time. In contrast, a ‘phased’
approach describes a scenario where elements or modules of the ERP
system are introduced in a planned sequence, replacing the old systems
gradually.)

11. Quality Plan.

 Involves identifying which quality standards are

relevant to the project and determining how to satisfy
them.