Project Management

Session 7
Project Scope Management
Work Breakdown Structure (WBS)

Burke Chapter 7 & 8

Kerzner Ch. 3
PMBOK 5
 Project Phases
& Knowledge Areas
1. Integration
Initiating
2. Scope Management
3. Time Management Planning
4. Cost Management
5. Quality Management
Executing
6. Human Resources Controlling
7. Communication
8. Risk Management
Closing
9. Procurement
Project Management
Processes by Body
of Knowledge area
Project Management
Processes by Body
of Knowledge area
and Project Phase
Project Scope

Scope refers to all the work involved in

creating the products of the project and
the processes used to create them.
 Product scope – the features and functions
that characterize a product or service.
 Project Scope – the work must be done to
deliver a result/product with the specified
features and functions.
Scope Management
The processes required to ensure that
the project includes all the work
required, and only the work required,
to complete the project successfully.
It is primarily concerned with defining
and controlling what is or is not
included in the project.
Scope Management
 Scope Planning – developing a written scope statement as the basis
for future projects.
 Scope Definition – subdividing the major project deliverables into
smaller, more manageable components.
 Create WBS – creating a structure for work division for a project to
show elements.
 Scope Verification – formalizing acceptance of the project scope.
 Scope Change Control – controlling changes to project scope.
 Scope Planning
Scope planning is the process of progressively elaborating
and documenting the project work (scope) that produces
the product.
 Scope Statement
It provides a documented basis for making future project decisions
and for confirming or developing common understanding of project
scope among the stakeholders.
As the project progresses, the scope statement may need to be
revised or refined to reflect approved changes to the scope of the
project. The scope statement includes, either directly or by reference
to other documents :
 Project justification (business need)
 Project’s product
 Requirements or specifications
 Project deliverables
 Project objectives
 Assumptions
 Cost and time estimates
 Constraints
 Scope Definition
Scope definition involves subdividing the major
project deliverables (as identified in scope statement)
into smaller, more manageable components to:
 Improve the accuracy of cost, duration, and resource
estimates.
 Define baseline for performance measurement/control.
 Facilitate clear responsibility assignment.
 Proper scope definition is critical to project success.
 When there is poor scope definition, final project costs
will be higher
Scope Definition
Scope Definition Output (WBS)
 Scope Definition –
Tools and Techniques (Decomposition)
Decomposition involves subdividing the major project
deliverables or sub-deliverables into smaller, more
manageable components until the deliverables are defined in
sufficient detail to support development of project activities
(planning, executing, controlling and closing).
Decomposition involves the following major steps:
1. Identify the major deliverables of the project, including project
management (dependant on the project organization).
2. Decide if adequate cost and duration estimates can be
developed at this level of detail for each deliverable.
3. Identify constituent components of the deliverable. Constituent
components should be described in terms of tangible,
verifiable results to facilitate performance measurement.
Scope Definition –Tools and
Techniques (Decomposition)

4. Verify the correctness of the decomposition:

 Are the lower-level items both necessary and sufficient
for completion of the decomposed item? If not, the
constituent components must be modified (added to,
deleted from, or redefined).
 Is each item clearly and completely defined? If not, the
description must be revised or expanded.
 Can each item be appropriately scheduled? Budgeted?
Assigned to a specific organizational unit who will accept
responsibility for satisfactory completion of the item? If
not, revisions are needed to provide adequate
management control.
Scope Definition –
Tools and Techniques (Decomposition)
 Scope Definition –
Outputs
Work Breakdown Structure (WBS) is a deliverable-
oriented grouping of project elements that organizes and
defines the total work scope of the project. Each
descending level represents an increasingly detailed
definition of the project work.
Work Package. A deliverable at the lowest level pf the
WBS, when that deliverable may be assigned to another
project manager to plan and execute. This may be
accomplished through the use of a subproject where the
work package may be further decomposed into activities.
Scope Definition –
Tools and Techniques (Decomposition)
 Work Breakdown Structure (WBS)
 The total program can be described as a summation of
subdivided elements.
 Planning can be performed.
 Costs and budgets can be established.
 Time, cost, and performance can be tracked.
 Objectives can be linked to company resources in a logical
manner.
 Schedules and status-reporting procedures can be
established.
 Network construction and control planning can be initiated.
 The responsibility assignments for each element can be
established.
In work breakdown structure,

the activities must:

 Have clearly defined start dates
 Have clearly defined end dates
 Must be able to be used as a communicative
tool in which you can communicate the
expected results
 Be estimated on a “total time duration” not
when the individual activities start or end
 Be structured so that a minimum of project
office control and documentation (i.e. forms)
are necessary
Work breakdown structure (WBS)

LEVEL DESCRIPTION
1 Total Program
2 Project(s)
3 Task(s)
4 Subtask(s)
5 Work Package(s)
6 Level of Effort
Most common type: Six-Level Indentured Structure
 The WBS breaks work down into smaller
activities thus reducing the risk that any
major or minor item will be omitted
WBS: Six-level structure

LEVELS RESPONSIBILITY

1 Usually specified by the client and

2 managed the project manager.
3
4 Generated by contractor for in-house
5 control and managed by the
functional manager(s).
6
Planning accuracy is dependent on the WBS level selected.
The lower the level the greater is the planning accuracy but
the higher the management cost.
 WBS Tasks
 Have clearly defined start and end dates
 Be usable as a communications tool in which
results can be compared with expectations
 Be estimate on a “total” time duration, not
when the task must start or end
 Be structured so that a minimum of project
office control and documentation (i.e., forms)
is necessary
DEVELOPING A WORK
BREAKDOWN STRUCTURE (WBS)

UTILITY CAR (1.00.00)

PROTOTYPE ADVANCED PRE- FINAL

DEVELOPMENT DEVELOPMENT PRODUCTION PRODUCTION
(1.1.0) (1.2.0) QUALIFICATION (1.4.0)
(1.3.0)
 WBS Example
WBS LEVELS

1 PROGRAM 1.00.00
1.00.00

2 PROJECT 1.1.0
1.1.0 1.2.0
1.2.0 1.3.0
1.3.0 1.4.0
1.4.0

3 TASK 1.2.1
1.2.1 1.2.2
1.2.2 1.2.3
1.2.3

4 SUBTASK 1.2.2.1
1.2.2.1 1.2.2.2
1.2.2.2 1.2.2.3
1.2.2.3

5 WORK 1.2.2.1.1
1.2.2.1.1 1.2.2.1.2
1.2.2.1.2 1.2.2.1.3
1.2.2.1.3 1.2.2.1.4
1.2.2.1.4
PACKAGE
Scope Definition –
WBS Organized by Product
Scope Definition –
WBS Organized by Phase
Scope Definition -
WBS in Tabular Form
Scope Definition - WBS and
Gantt Chart in MS Project
Scope Definition - WBS and Gantt
Chart Organized by Process Groups
Approaches to Developing WBS

 Using guidelines.
 The analogy approach uses a similar
project‘s WBS as a starting point.
􀂄

 The top-down approach starts with the

largest items of the project and breaks them
into their subordinate items. The process
involves refining the work into greater and
greater levels of detail.
 Advice for Creating a WBS
1. A unit of work should appear at only one place in the WBS.
2. The work content of a WBS item is the sum of the WBS items below it.
3. A WBS item is the responsibility of only one individual, even though many people
may be working on it.
4. The WBS must be consistent with the way in which work is actually performed,
serve the project team first and other purposes if practical.
5. Project team members should be involved in developing the WBS to ensure
consistency and buy-in.
6. Each WBS item must be documented to ensure accurate understanding of the
scope of work included and not included in that item.
7. The WBS must be flexible tool to accommodate inevitable changes while properly
maintaining control of the work content in the project.
 PURPOSE OF WBS

It is to structure an assigned project into

various activities in order that:
 Detailed planning can be performed
 Costs and budgets can be established
 Objectives can be linked to available resources
in a logical manner
 Specific authority and responsibility can be
assigned
 WORK BREAKDOWN STRUCTURE

 Can be developed using a top-down or

bottom-up approach
 Can be hardware-related, function-
related, or a combination
 Depth of WBS must balance out
management effort against planning
accuracy (influences technical and cost
control)
 For accuracy purposes the WBS should be
taken down several levels
 The WBS must be structured for objective
control & evaluation
WBS Interfacing Benefits
 The responsibility assignment matrix
 Network scheduling
 Costing
 Risk analysis
 Organizational structure
 Coordination of objectives
 Control (including contract
administration)
 WBS Controls
DECISION
DECISION
SCHEDULES
SCHEDULES
TREES
TREES

WORK
WORK
MGT.
MGT. ORGANIZ.
ORGANIZ.
BREAKDOWN
BREAKDOWN
COORDIN.
COORDIN. CHARTS
CHARTS
STRUCTURE
STRUCTURE

ACCOUNT-
ACCOUNT-
COSTS
COSTS
ABILITY
ABILITY
 Work Package Control
Point

WBS

FUNCTIONAL WORK

ORGANIZATION PACKAGES
 WBS Work Packages
 Represents units of work at the level where
the work is performed
 Clearly distinguishes one work package from
all others assigned to a single functional group
 Contains clearly defined start and end dates
representative of physical accomplishment
 Target is 80 hours and about two weeks, but depends
on size/nature of the project.
 Specifies a budget in terms of dollars, man-hours, or
other measurable units
 Limits the work to be performed to relatively short
periods of time
 Scope Verification
Scope verification involves formal acceptance of the
project scope by the stakeholders. To receive formal
acceptance of the project scope, the project team must
develop clear documentation of the project‘s products
and procedures for evaluating if they were completed
correctly and satisfactorily.
 Scope Change Control
Scope change control involves controlling changes
to the project scope. In order to minimize scope
change control, it is crucial to do a good job of
verifying project scope.