CH2

PROJ MGT FRAMEWORK

MULACHY
 Policies,manageProvide Diff
proj in org;
Methodolo proj to Proj
gies & Train inMgrs &
Proj
Templates Mgt & for
resp
Difference Exists
for ProjProj Mgtresult of
between Swand
Mgt with in those Projs
Operational Work & Org assist in
Project Work specific PM
Roles
Toolsof
TEMPORA
PMO
RY
Endeavour
WHAT IS
PROJECT

Proj Mgt Office (PMO) Deptt

centralising Mgt of Projs
Has UNIQUE Has
Operational work is
PORTFOLIO : Gp of (Un)/related programs
to achieve a single central strategic goal
OUTPUT,
SERVICE or START
ONGOING , project
RESULT Work ENDS
& END
Knowledge As If no value addn, no need to club prog
Process Gp
Follows ( PM
Process of
Framework,
PM(Initiating,
PM Process,
PROGRAM Gp of Coordinated multiple
Professional &
Integ, Scope,
Plg, Exec, Social Resp
Projects.
Time , Cost
Monitoring,
Cont &Quality, HR,
Comn,
Closing) RM,
Proc Mgt)
IPEM&CC
PROJ
MGT Coordinated Efforts generates
values: May invove more
task comared to total
Reduce
Economy
of Scales d Risk
Improved
management task of all projects
 Help Provide If proj is not in line with /doesnot sp corporate
resources obj, it shall loose resource, Assistance & attention
Select
EvalImplement
Obj
unambiguou
periodically
Corrective
Devp PM Plan Process s & realistic actions
Proj Obj: Contained
Obj in
defines how wk will
achieve Objectives. Charter
PMO May
MGT by
OBJECTIVES
Terminate Proj (MBO)

Stake holders
influence & Risk may Objective Met, Proj
affect Obj negatively; Complete
WATCHOUT

Monitor Compliance
with Org Processes
CENTRALITY OF

Obj :Determined in
OBJECTIVES
Help gather Lesson Intiating Process & If Obj cant be met,
es, terminate project
learnt for benefit of refined in Plg
others

Projects require trade Understanding of

off between reqmts & Objective comes over
SAFETY NET FOR PMO FUNCTIONING
Objectives proj Length
Proj
PMO perform
should
PMO
Commit
RM: Enhances
ance
Clearly
take
incumb
ment of oppurtunity
improve , reduce Proj Mgr Role to
defined
one of
ents
Exec threat
ment to Obj Accomplish Obj
PMO PMP achievement
3 roles Mgt only by
ROle Certifie
& not reqd PMP
d
all techniq
ue
Customer Satisfaction
Quaity 4.Addn/deletion
CONSTRAINTS to project will
happen and they
PRACTICING PRINCIPLES OF affect
constraints. To
CONSTRAINTS CONSTRAINTS
Response Scope HELP IN
bal constraints is
Change in length of any arm may EVALUATING
resp of PM.
lead to break in structure (i. 3.Proj Mgr
COMPETING
DEMANDS should always
Project). So to sustain and meet 1.Management
evaluate effect of
prioritises
objectives of project balance all constraints of a
change in
2.Proj Mgr sets constraints on
constraints also need to be project
obj of a proj others and on
managed. keeping proj.
prioritised
Risk
Cost constraints in
mind

Time

STAKEHOLDERS PROJ MGR IDEN & MGT OF STAKE

PPl/Org whose interests may
be +vely/-vely impacted by
Keeps Stakeholders Informed
project. They may also
impact the proj +vely/-vely.
These may incl Indl/Gps like
performing org, PM Team,
PMO, Portfolio Mgr, Program
Mgr, Functional Mgr, Op Mgr,
Sellers etc.
Solicit their inputs
Satisfy their Needs &
expectations
ELSE PROJ MAY FAIL
HOLDERS IS CARRIED OUT IN
COMN MGT
STAKEHOLDERS ARE LIKE ASST
TEAM MEMBERS. HR MGT
CHECKS YOUR
UNDERSTANDING ABOUT
STAKEHOLDERS
o
n
M pj t
ajc f
fi o
t
e r ni D
os e
rci mh p
a
ito on rt
t om
xsn
ht e
eu n
rr t
a
e n al
d
l
d
eb w
pac k
t k.
t ( •tS
, Nr • Stages =Conception > Growth > Maturity >Decline
r
Oo
LifeeHCycle.
n Product Life Cycle >Withdrawl
Og • There can be multiple projects over each stage of life.
q
A progression
uM M
eE) tx
othrough
s different Project Life Cycle •Different Types and diff Coy have different project life cycle.
•It may be called project Methodology also. EXAM -PROJECT LIFE CYCLE
t u(
stages n P of Devp. We
mti o
needol w
v er
to learn two Life Project Mgt Process •5 processes : Initiating > Planning > Executing >
ea and one process
cycle (IPEMCC) Monitor&Cont > Closure
s ss w
i
uig t
pn h
we P
ad M
rf )
do . Two
t r Ba
Methodologies
oo l
t
to
t he M complete
or t
p xProject
p (P
tr o
ho w
ej. e
•Cn r • These five steps can be project Life cycle processes
o s
ml h also but certainly not Proj Mgt Porcesses
na
 UTILISATION & MANAGEMENT OF LESSON LEARNT IN AN ORGANISATION

Lesson Learnt assets of Other Current Projs

org are studied and
Lessons Learnt
Applied to CURRENT
recorded in Org
PROJECT as found
Process Assets (OPA)
Suitable
NEW LESSON LEARNT
on Current Proj are
recorded and sent as
follows
Update Coys Org
Porcess Assets

Lessons Learnt are MUST REQMT as they help in ORG CONTINUOUS IMPROVEMENT

Lessons Learnt are shared as part of Distr Info Process of Comn Mgt
Two Methods of Lesson Learnt Consolidation:-
(a) Created through out proj and consolidated during closing Ph
(b) Created during Each Ph Closing
KEY TO INPUTS :What do I do to Do it Well?What do I need to
begin?
KEY TO OUTPUTS : What will I have when I am done with…?

CH3 : PROJ MGT PROCESS

MULACHY
PM framework (Proj Life Cycle) tells us what we need to complete the proj . PMP tells us how to
manage the Proj
Exec and Mon & Cont Process appear to act simultaneously. YES. But firstfocusses on
management of people & work and Later on Project Performance against BASELINES

Understanding business case (why Proj is being initiated) is important to guide all other
Proj Mgt Activities towards a desired result which may support STRATEGIC OBJ of Coy
 PROJ MGT PROCESS
5.Closing 4.Mon & Cont 3.Exec 2. Plan 1. Initiate

INITIATE PROCESS

Select Proj See

Mgr cultur
PLANNING PROCESS Check Coy
How to plan all Scope
Finalise Reqmt
sub plans Statement
processes & Histo
Info
Determine
Estimate reqmt
Team

Break proj in
Create WBS Create Activity
Unde
Create NW Diag

smaller parts Busine

&WBSD List
 manage Common Collect & Est & Eval Chg, corr
revised Complete Docu Action,
Stake understa PM Plan Manage Team’s preventiv
arising Wk Pkg Lesson
Holder nding of due to Learnt Comn Ch Eff as eAchieve
actions
Expectati Wk Follow Obtain Team & repair
Imple Hold
Cont Wk
ons
Qual Produce activities
Team Grnd needed Remove wk
results
Assuranc Proj
Apprise Building rules at trg for Distr Info Rd Blocks that
Reports team Guide,
Team
Meet
e Actions Mgrs Activities Auth Wk Meet
Mgrs to when Commit mtgs assist ,
Members or Wk
proj help, Util Tech Reqmts
Hold
reaffirm their Manage
Make Pkg
resource resources resources Proj Prog comn, Knowled through Prog R
Create
as peron
Focus Sure Recomm
negotiate ge
Follow Mtgs
for
commitm will be PM Plan team has end chg
, lead, Wk Auth
ents reqd
Sendfor& preventin skill, info to be Org Incr
Sys Performi
PROCESS g Prob & coach process, process ng org
proj
receive Keep all & ReEqpt handled Stop to Determin
EXECUTE
Check Ensured
Info not needed in Integ policy & effective
Imple for
e team
activities continue focused
dealing evaluate see
Procedur ness
recogniti members
process
comply d to to
Business Chg Cont source of who
with complete Process es
chg & try on & Improve
withproc Agreeme complete Case on Solve to Reward could
ment not
ess nt from proj as 43. Wk
severe Prob be
policy& Imple stakehold Obtain prob Review eliminateFacilitate sys est 47. named
procedur ers on per source of cnflict
es approvedPM PlanUse issue charter & seller occuranc bids Expend &need forresolutio during Measure duringPlg
Plan response e Chg Plg Indl TeamProcess
process quotes & Mon n using
logs for for member
Improve procure select funds CR performa
menst sellers Techniqu
ments es nce
docs
 CH4 : PROJECT INTEG PROJ
INTEG :
Balanci
ng all
Mgt

MULCAHY process
es in
Knowle
dge
Area

Sponsor or
Customer
(What do I Want)
PM assists the DIRECT &
MANAGE
Sponsor in iden DEVP PROJ EXEC
stakeholder & PROJ MGT New Chg Request
Proj SoW
documenting
Charter
PLAN
Sponsor signs & Deliverables
Proj Plg
issues Charter
Proj Proj Direct & Wk Performance Info
Coy Culture Sponsor PLAN
& Existing Sys
Mgr
Mgr Approved Chg, manage Imple previously
corrective
action,, Proj Exec approved chgs,
Proj Mgr Devp Preventive
Process Proj Mgt Plan Actions, Defect
corrective actions,
Procedures & (OUTCOME) repair preventive actions,
Historical Defect reports
Info
Update to Proj Mgt
Plan & Proj Docs

EXECUTING PROJECT means MANAGING KAs

 KNOWLEDGE As Spread Over Diff Process Gps PROJ SELECTION APCH(I)
Benefit Measurement Apch
Constrained Optimization
Integ I P E MC C

(Comparative Apch)
Apch (Mathematical
Peer Scori Econo
Apch)
Murde Revie ng mic
r Bd Mode Linear Integer Muti-Obj Dynamic
w Model
I P E MC
P Programming
Comn

ls Programming Programming Programming

r
o
Proc - P E MC C
Net Internal Payback c
Present Present Rate of Benefit Cost
KNOWLEDGE As

Period e
value (PV) Value Return (PbP) sRatio(CBR)
Qual - P E MC (NPV) (IRR) s
I
m
Scope - P - MC

Proj Mgt Plan Incl:- (P) p

THE
Change Mgt Plan Proj Mgt Process used in Proj r
o 4
Mgt
Time - P - MC

Config Mgt Plan Mgt Plans for Scope, Sch, Cost, vC

Pla
e
h
Cost - P - MC Reqmt Mgt Plan Qual, HR, Comn, Risk & Proc m
g
e
ns

Process Improvement Plan Scope, Sch & Cost Base n

Lines
M
- P - MC
gt
PERFORMANCE BASELINES (P)
Risk

t
• Its Scope Its agreed • Its Time
Scope Statement, Sch • Cost
upon Sch incl
- P E

Phased cost
HR

BL WBS & BL
Start & Stop
BL
1. PROCESS
2.
Proj
GpS 4. WBSD
Base Line deviations occur due to incomplete Risk Iden 7 Risk Mgt StrategiesProj Mgr looks for BL
Budget
Proj Reso (I)
Schedule

CONSTITUENTS
Mgr OF 3.Bu PROJ
7. CHARTER deviation happening and initially try to do adjustments if it doesn’t fructify he applies for formal chg
Title 6.& Prod
sine urce
8.
& s Pre during E, MC process gp using Perdorm Integ Chg Cont Process . BL Deviation Entails restudy Risk
5. Req
Auth uct
ss Mea Mgt. Changes are costlier than if they would have been incl at sart. Chgs are to be taken seriously.
Desc
Stak mts 10. Casedesc Assi
sura Chg
assig •Proj Documents Docuused to
ripti
e 9.Pr from ripti gne
ble Cont
nme High Procedu
on
hold oj Staknt Leve on/ d
Obje manage proj but not part of
Confi Mgt Plan
res
er Appr ehol l Deli ctive (Who& Proj Mgt Plan like Proj Charter,
oval ders asse vera Org tool How) Approva
s to track l Level SoW, Contract,S takeholder
Req bles & Cont Authoris register, reqmt documentation,
mts ssed Chg ing Chg
risks change log, issue log, qual
matrix, risk register etc. These •All product & Proj documentation
Change Mgt Plan(P) incl its chg documentation need to
Creatinn docu belongs to Proj Mgr and
Whos g Chg can not beshared with sponsor be cont for correct referencing as
should Cont Bd
attend except, Proj Charter, Contract what version of scope, sch or
Mtg of to
Chg approve or SoW other comp is runnign
Plan for
Change Mgt Plan Managi
hg Chg Cont Sys incl Std •Proj Mgt Plan Formal Approval By
exist for complete ng & forms, reports, processes,
proj as well as for Cont
chg
procedures, & SW to tr & Mgt, Sponsor, stakeholders, Proj Team
each KA Cont Chg. Its Part pf OPA
 req
lat Rol
sta chg
Ti sive
in
DIRECT & MANAGE PROJECT EXECUTION MON&CONT RPOJ WK mtePROJendMGR
& :
req CONTpla CHGces
chg ow
s me ce s to
onl
ha Res
risk ues
& req con
Means Integ Task of all Exec Processes of Ex Process soo
nd p& t, to
d, y
Its Integ Wk in Mon & Cont Ph nes
y to
Cos
re- Co
ter
t
ap
Gp” t
for
do
ap
t
eva nt
mi
Ch
pro
Ris res g
ved
Also involves REQUESTING CHANGES & MANAGING PPL Also incl tasks like analysing & Tr pos
cre prok l
erv Ch
nat
Ch
sibl
ati ve Bus gs
e
Risks, Performing Qual & Cont e
ng
Mg
Cht
es
ine pro gs
completing the work accompanying approved chgs Activities,forecasting,reviewing Ch gs ss j
g cas
Why Ensuring changes for their effectiveness Re e
Ensuring Being of common Means it integrates& balances
qu
Common Service understanding demands from diff KAs to Cont
est
s
Understanding & Being of Use the Proj. Eg Bal Scope & quality,
reqd Sch & Costs
•MAKE SURE •Letting team Not ‘MON & CONT’ Process Gp
•
•Evyone has latest copy members know abt They are Proj Mgr Job OUTPUT OF MON & CONT PROJ WK is:
of Comn Mgt plan & he info that will affect •They decrease time
jnows how to use it them •They reduce Cost Chg Requets,incl corrective,
•They prevent prob preventive actions & Repair Wks
•Stakeholders whose •Asking team & Update to PM Plan & Proj
scope was not incl in Members how Docs
proj understand that they can help
they will not receive removing road DETAILED PROCESS : MK CHG
Prevent root
Iden Chg Chg Cont Bd
cause for chg Due to likely ltd
scope blocks Knowledge/ Expertise,
•Assist team in decision on chgChgis given
•All Functinal Mgr by Bd
have latest copy of sch imple soluns Chk Impact of Create Chg Cont Bd
•Facilitating tech Chg Request Proj Mgr
•Vis sr mgr who have Custome
not commented on Discussion to
r
reports have actually review option Adjust proj Sponsor
Eval Impact Perform Integ
seen it Mgt Plan, Proj
Mk Chg Process(Hi-Level)
Chg Cont
• In Charter/Beneficial/Needed Docs,BLs SMEs
•Team understands
next mth schedule Create Options Manage S/Holder Manage Proj to
Assess Chg CLOSE PROJ
•Deptt know when Expectations by revised PM Wk Done to reqmt
Comn Chg to Plan & proj Complete Proc Closure
proj will affcet their affected S/Holders Docs
Chg Request Approval Gain Product formal accept
Wk
Finish Final Perform Report
Index & Archive Records
Get customer
the function of every Buy-In mon&cont pg is to CONT CHG
process within Update Lesson Learnt D/Bas
Handoff completed Product
Root cause of appearing changes is Improper Plg of Proj Mgr..It can be cont by Proper Pg ONLY Release Resources
SCOPE MGT
 SCOPE: What wk is reqd to be done & ensure only that is done.
SCOPE PLG : To determine , manage and Cont THE SCOPE. Chg of SCOPE as per APPROVED CHG MGT
DEFINE the Scope bsed on I/P from ALL Stakeholders, must be CLEAR… Get it APPROVED Breakdown tasks further as per WBS to find addl SCOPES
While moving to completions all wk must be done but ALL that is MENTIONED in SCOPE
No chg to scope without approved Chg Request Eval every chg to Scope No Gold Plating
Scope Mgt plan is formulated in different stages then iterated and then further improved. Scope changes till the time
Proj Mgt Plan is not complete. Scope and accordingly Scope Mgt can only be completely known while plg for other parts
of proj
Plg PG MC PG
Determin how to plan –All Plans
Finalise Reqmts
Verify

SCOPE MGT
Create Proj Scope Statement
Create WBS & WBSD Scope
Determine Roles & Responsibilities
Iterations
Finalise –How to Exec & Cont Mgt Plans
Devp Final PM Plan& REALISTIC Performance measuremnt BLs
WBS & Cont
Related Request Chgs ? Scope

Collect
Reqmt
SCOPE MGT (Plg Ph)

Cont Define
As a project what product needs to be developed Scope Scope
with what specifications is called Product Scope. To (MC Ph) (Plg Ph)
PRO determine if product scope is complete, this product Plan
from developed scope is compared with product Scope
DUCT reqmts. If sowork
This is the
product,
devpthat
product
scope meets
project reqmt
will do toofdevelop
out coming
the
reqd product forscope
whichisproject
complete
has been iniitiated.
SCOP It includes all plg, coordination and management Verify Create
E activities. These activities are part of scope Scope WBS (Plg
management. Whether project scope meets the (MC Ph) Ph)
PARTS OF
SCOPE MGT

reqmt of Complete Proj Mgt Plan proj scope is

PLAN

deemed complete. Cont Execute

Scope Scope

SCOPE MGT ENCOMPASSES MGT OF PRODUCT SCOPE & PROJECT SCOPE

 PMI way of Scope Mgt
Determine Balance through Create WBS so as
reqmts making needs of Stake to break the Verify scope of Measure Scope
sure all reqmt Holders so as to scope into work planned is performance and
meets the determine smaller only being done do changes if
business needs product & Proj manageable reqd.
as per charter Scope parts
What PMI wants is as a Proj Mgr you should not give way to reqmt which are not the business needs as per charter. BCOZ
Unnecessary scope adds Cost, Time & Risk added to the project..”THE UNACCEPTABLES”
AS A PROJECT MANAGER ONE SHOULD BE ABLE TO PROPERLY PLAN AND PROTECT HIS PROJECT, ANY addn should come
through PROJECT APPROVAL PROCESS. THIS IS PROJ MGR ATTITUDE
SCOPE MGT PROCESS OVER PROJ PHS
PLG Ph MON & CONT Ph
Collect Reqmt Define Scope Create WBSVerify Scope Cont Scope

STEP I SCOPE MGT : COLLECT REQMTS (What Stake Holders Expect from proj/prod)
Incl not boz
somebudy
want it incl Should
HIGH LEVEL Prod/Proj reqmts given in Proj Charter. Deeper Specs here relate to
Related to prob
Proj Mgt solving
/achieving
MOST IMP > As well charac reqmt leads to min time wastage in chg/chg approval Obj
Criterion
Qualifying May incl
To know what Stake holder wants.. Know stakeholders..where..S/Holder Related to
Business
Reqmts requests
about how
register Process to manage
work

Capabilities
Related to expected by
Quality Stakeholder
s
 STEP I SCOPE MGT : COLLECT REQMTS STEP II SCOPE MGT : DEFINE SCOPE
1. Expert
(What Stake Holders Expect from proj/prod)
4. AFFINITY
DIAG : Sorting INPUT: OUTPUT
1. What is/What is not
NTERVIEWIN or grouping of 6. MINDMAPS •Reqmt Docu DEFINE
G of reqmts : Diag of •Charter, SCOPE proj Scope
takeholders generated ideas/notes • Risk info PROCESS 2. What are Deliverables
or Prod/Proj from other to generate , • Proj Assumptions/constraints 3. Proj Scope Statement
Reqmts by parent classify &
mail,phone reqmts. record reqmts W
alls, letters 10.Prototypin Makes devp BS
g : Recursive reqmts
prototyping 9.Observation Pr
til all reqmt of s 2. Fetching 1.Prod Scope oj
stake holders opinion/reqm M2.Deliverables Sc
7.BRAINST are included ts of A3.Prod Acceptance Criteria Sco
ORMING op
with 1. Diff proj/prod J4.What is Not e pe
Stakehold Methods from
Stakeholders/ O5.Addl Risks Sta BL
ers on idea OF Sub Matter R te
I6.Constraints/Assumptions
of 5.DELPHI FETCHING Experts
COLLECT REQMT PROCESS STEPS

me
Scope(REQ TECHNIQUE : REQMTS 3. Reaching (FOCUS GPS) T nt
MT) COMPILING through Y
Finding RFI inputs Reqmt W
consensus moderated
from based on interviews A BS
Anonymous FACILITATED PConstraints/AssumptionsD are I/Ps to project management.
8.NOMINA Experts & WKSP of diff CThey are basically the restrictions
L GP resending to perspective H /assumed freedom
TECHNIQU them for stake holders (which may not be true).
E whereReview until These need to be identified and reviewed by Proj team,
Ranking consensus 11.Questio Sponsors & S/Holders. If constraints change or Assumptions
the reqmts 2. GP DECISIONnaire
by /Surveys are forund not true... Proj Management plg need Chg.
Stakehold MAKING FOR
ers in REQMTS
Brainstorm
ing Session STEP III SCOPE MGT : CREATE WBS
C Porj Mgr know plan, org , manage, cont of big proj
3. REQMT DOCUMENTATION O
N not possible by one pers
S
4. BAL STAKEHOLDERS REQMTS (Ex at Page 155 RMC VVImp) E So break into small pieces proj(WBS)
N
Adjust competing demands(time,cost scope,quality,resource,risk) S
U WBS is delivery oriented.
Prioritisation & Risk Resolution S
Items not in WBS are not deliverables & not wk on
Bal S/holder reqmt outside COLLECT REQMT if beyond obj of Proj A
P Broken down parts are nouns & NOT ACTIONS
Rk Ordering the reqmts C
H Means need to be delivered
5. Resolve Competing 6. Reqmt Mgt Plan AT TOP IS PROJECT TITLE
Requirements complying with: O/P of Collect REQMT broken down in life cycle processes like REQMT
Proj Charter DOC, DESIGN INSTALLATIOn, TESTING, TRG,
O/P oAnalyse, prioritise,
Proj Scope Statement manage & Track the Reqmt TURNOVER
Proj Constratints Chgf Collect REQMT Further broken at next Level/s it project become
Reason of Starting the Proj 7. Reqmt Traceability Matrix manageable
To keep tr of Large no of reqmt Lowest level is Wk Package needing SCHEDULING
 SAMPLE WBS U S U WBS LEVELS Proj
I n y s
IS PROJ
n R D i s e
t e S Installed
S / t r Trained Turn Over
e REQMT DOC Design Doc Test Report
q i HW W& SWB T Staff Docu
r
v g H O a H T e T Tur Control A/C
m SW
i n W
Ds Rp
s W e s e no
Wt
e t e Ds I I/ F e s t s ver
w d gn
gn
Do
T ea n f i P T
t t Re
y
Fix WBS
DO e dHs l r F R R por
R L D c
c
s yWt a o i R R e e t DICTIONAR
e i o t a c eg l e Wk Pkg
p p
eR
p
c ll e sF e p
o s
d ac e il s o WBS
o o CREATION RULES
r t r r r
•Created With Team
t H k d Fi e t t Level I then brk down further
WH H le s t •Finish
•Each Level is smaller detail of level above Activity
WW s •Entire proj lies in highest lev of WBS.
Porj Cont Activities
List

WBS Numbered •WBS has only needed deliverables

Wk PKG •Deliverable not in WBS not part of Proj Risk Mgt NW Diag
WBS
CONT A/C CONT A/C Cost is not estimated down to Wk
Achiev
Pkg. Cost is calculated at Cont A/c level for
es
itself and lower levels Qual Mgt Staffing
WBS DICTIONARY Gives DETAILED Description of
the Wk Pkg Hence Prevents Scope Creep. Its
OUTPUT of CREATE WBS & can be Used for WK Budget Estimate
AUTHORISATION, Info Team member when Sch
there wk will start & SCHEDULING MILESTONES.
It bounds proj(What only is to be done)
WBS DICTIONARY
CONT ID# Wk PKG# Date of Update Resp Org/Indl
Wk Pkg Description
Acceptance Criteria
WK PKG Deliverable which are
•REALISTICALLY AND CONFIDENTLY ESTIMATED Deliverables
•can be COMPLETED QUICKLY Assumptions
• can be COMPLETEDWITHOUT INTERRUPTION
•can be OUTSOURCED/Contracted Resources Assigned
TIME SCHEDULING Wk Pkg are listed and fed in Duration
software to time schedule them i.e. When they are Sch Milestones
supposed to start and when to finish
Cost
Wk Pkg are divided in schedule activities using WBS
Dictionery Due Date
Time & Cost of proj is carried out at Wk Pkg/Activity Interdependencies 1.Before This Wk Pkg ______2.After this Wk Pkg________
level and not the WHOLE project.RISKS are iden at wk Approved By_________________ Date_________
pkg level. Wk Pkg is alloted to indls for working.
 STEP IV SCOPE MGT : VERIFY SCOPE
Gaining formal approval of customer for acceptance of Scope during Mon & Cont Ph
Validat Scope Verify ensures Quality Control
ed
Deliver Complete Deliverables (Direct & Manage Proj Exection)
ables

V e
Scoerify p rovpe Perform Quality Cont Inspection (Validate delivearbles)
pe Ap Sco
d O/P
of
Docu Chan
Upd VERI ges Changes are requested & Corrective Action Completed
Inputs to ated FY
SCO
Requ
ested
Verify PE
Quality Cont Insp Repeated(Validated Deliverables)
al al
Scope
r m
Fo provlier TraReqm
Apf Ear pte ce t Deliv Meet with the Customer(Verify Scope Process Start)
o cce Maity abil erabl
e
A d era tr i x Acce
liv
pted Customer Accepts REQUEST CHANGES
De bles Scope Verify can be done after every Deliverables
Ph just as a assurance of
Remit
correctness
Docu Scope Verify gives formal acceptance of Interim Deliverables like Close
Project gives formal acceptance of Final Deliverables
STEP V SCOPE MGT : CONT SCOPE
Measuring Proj & Prod Scope Performance AND Manageing Scope Baseline Changes
 TIME MGT

Wk Pkgs Define Activity List NW Diag(Proj Sch)

Sequence
Activities Activities
Proj Teams from PM Updaye Proj Doc
Milestones
From May be New Risks
Proj
Charter
 USAGE OF NW DIAG
TIME
Plg PG
MGT PROCESS 1. DEFINE ACTIVITIES Justify Time Estimate
Aid in eff Plg, Org &Cont proj
MC PG Shows activity interdependencies
Wk Pkgs Define Wk Flow available to team for sequence clarity
Determin how to
plan –All Plans Activities Activity List Opportunity of time compression is seen if possible
Proj Teams
ESTIMATE ACTIVITY DURATIONS
WK Pkg from WBS decomposed down further to Pre Requisites of Activity resource Estimation
Create Activity List the level called activities where it can be easily
Take Action to Cont estimated, Sch, mon & Managed.
Proj Milestones can be created by Sponsor (found in
3.OPA

Proj Charter) or the Project Mgr (Listed in

Create NW Diag sequencing Process).

2. SEQUENCE ACTIVITIES
Historical Data & LL about Past such activity

Create resource Measure

SEQUENCE Network Diag
reqmt Performance against
Performance BLs Activities
ACTIVITIES Update proj Doc Past Proj Calender
Determine Critical Milestones May reveal new Risk ESTIMATIONS
Path One Point Estimate based on Jexpert udgement/
Measure Guess Wk/ Historic Info.
Performance against START STOP Analogus Estimates(Top Down) Expert Judgement
Devp Sch other Matices from based on similar historic Info
Proj Mgr NETWORK DIAG Parametric Estimation Calculate projected times of
activity based on Historic Info. Methods used are:-
Determine Roles PRECEDENCE DIAG METHOD/ ACTIVITY ON -Regression Analysis(Scatter Diag)
& Resp NODE : Activities areshown by Nodes & -Learning Curve
Determine variances Arrows Show dependencies
& if theyover
warrant Activity B depends HEURISTICS- Thumb RULE std
Mapping TIME MGT PROCESS PGs Activity A Activity B
Iterations Define Chgs upon A Prog Eval & Review Tech(PERT Estimation) for Time
Activiti & Cost (3 Point ESTIMATE)
Cont es (P) Seque
nce Expected Activity Duration= (P+4M+O)/6
Finalise –How
Sch(Mto 5.Iden Sch Change Cont Process
Activiti (Pessimistic Estimate, O=Optimistic Estimate,
Exec & ContC)Mgt Estimat
es (P)
Plans Influence
e THE M=Most preferred Estimate)
Devp Estima
Devp Final PM te 4.Plg tocausing
FACTORS
Actvity Manage Performance Activity Std Dev σ=(P-O)/6 Variance= σ2
Sch(P) Finish Finish
Plan& REALISTICActivitResour Chgs Sch Variance to to
Range of Estimate= EAD+ σ
Performance y ce(P) 04 More the Range More the Risk
measuremnt
SCHEDULEBLs MGT PLAN3.Iden
Durati ientails Finish Types Start
on(P) Type of Dependencies
Performance Measure
to find Performance Variance(FF)
from Schedule
of (FS)
Reserve Analysis Estimation connected to risk
Analysis and completing RM
Mdatory D:- Inherent in Logical
nature of Wk. May be reqd by
Contract.(Hard Logic) Relatio TRACEBACKS: Proj Teams have defined the
Request Chgs
2. Est Discretionery
Sch Baseline
Performance Measurement
as n or Soft Logi. Can help in
D:- Preferred Ds activities from WkPkg; These Activities along with
Milestones have been used to sequence the Activities.
incr
Scale(Mon & Cont) eff based on sequence.. Decided by Team Network Diag have been prepared showing Nodes &
External D:-BasedStart Start
on needs by outside party dependencies.Post Sequencing when all the activities
LEAD: Next activityto
can be started beforeto
predecessor have been in their place estimation of resource reqmt
1.IdenUse Sch Methodology
actvity finishes causing
Finish a LEAD for successor
Startprocess & Time reqmt has been carried out. Time estimations
& Sch SWLAG: LAG is created when successor process
(SF) (SS) is started are dependent upon 3 Point Estimation. These
Sch Mgt Plan expects Progress after some delay of predecessor process estimains help in risk & Cost reduction. As the things
Cretae
measurements simultaneouslyForecasts have settked Time Mgt process moves towards
So Measures are devp in Adv Scheduling.
DEVELOP SCHEDULE SCH COMPRESSION Done during proj plg to see if a
desired date of completiion can be achieved and
Activity Activity checking what can be done to meet the target.
DurationResource During integ Chg Cont to check sch impact of chg on
EstimatesEstimates
Order of Wk
Resource cost,time ,scope, Risk, resources & customer
(NW Diag)
Caleders (Avl of satisfaction. Obj is to compress the sch. Without
Understanding of Resources) changing proj scope.
Wk Reqd to be Org Calender for Sch Compression -Fast Tracking Activities which
Wk/Non Wk Days were in desries in Critical path are done in parallel.
done, Assumptions,
Constraints,
Milestones Increases risk, reworking nad more commn.
Sch Compression –Crashing Innvolves cost-sch
INPUTs to tradeoffs. It is checked for what min incremental cost
Devp Sch sch can be compressed. While keeping scope
unchanged.
WHEN NO INFO IS GIVEN IN QUESTION REGARDING TO
Complete Data is put in Sch Tool. Proj Mgr calculates ANALYSE WHICH SCH COMPRESSION TO BE APPLIED
sch separately & uses What-if to reach Optimum Sch. ALWAYS FIRST INFORM MANAGEMENT< SPONSORS,
Devp sch is iterative Process. Sch NW anal is carried CUSTOMER KNOW THE IMPACT OF CHG
out. Diff Methods of Sch NW Anal are as:
What If Analysis
1.Critical Monte CarLo Analysis Computer simulation for
Path estimation based on 3 Point Method. Sml tells about
Method probability of Completing a proj at specific time ,
5.Critical 2.Sch cost or an activity being on critical path or oversall
Chain Compressi proj risk
Methodz on Resource Levelling. Used too produce a resource ltd
sch. It amy allow for sch slipping & cost increasing to
deal limite d resources, availability of resources.
Used to level peaks & troughs of resource utilisation.
4.Resource 3.What If Critical Chain Wk backward, perform each act as late
Leveling Anal as possible. Add buffer in balanced ways.

CRITICAL PATH It is longest durationearliest start

latest finish path through NW Diag and determines
shortest time to complet project) CRITICAL PATH
METHOD
1.Method incl finding critical path, Earliest & Latest
activities to START & COMPLETE
Near Crtical Path close in duration to Critical Path.
Due to some problem either Critical path shorten or
Near critical elongation, Near critical crosses to
become critical. This is risk. If Near critical is clo
ser to Critical it is riskier.
FINDING CRITICAL PATH
1.Find all the path from START to FINISH in a NW.
2.Add Time Cost of Activities on these paths
3.Path with highest Time Cost is Critical Path
Float or Slack are assets(Total Float, Free Float, Proj
Float)
Activities on Critical Path have Almost ZERO Float.
Duration of FLOAT is asset to PM and is used for Mgt
activities.
FLOAT= 1.Late Start-Early Start or 2.Late Finish –
Early Finish 1 or 2 is used based on situation arising
REVISE NUMERICAL ON FLOAT FROM BOOK
TIME MGT
COST MGT
Plg PG
Determin how to plan
MC PG ESTIMATE COST DETERMINE BUDGET COST CONT
–All Plans COST involves for wk of proj, quality
Take Action to Cont efforts, risk efforts, Proj Mgr Time,
Estimate Time & Cost Proj PM Activities,Direct costs of proj
Measure Performance like trg,stationery, labor, phy office
space expense, Profits, OHs
Devp Budget against Performance Variable vs Fixed Cost: Effect based
Determine Roles & BLs on vol of wk
Resp Measure Performnce Direct vvs Indirect Cost: Directly or
against Proj Mgr Indirectly attributable costs like
Iterations Matrices team tracvel, wages , material ,
Finalise –How to
Exec Determine variances & recognition orHR taxes, fringe benefits,
Devp&Plans
Cont PM
Final Mgt
if they warrant Chg janitorial service
Plg(Rewa
Risk Register
RM saves
Plan& REALISTIC Proj Schrds, time &Policies Coyonculture &
Money. RM
Performance Influence THE FACTORS affcets time,
qty and
Labor templates,
Costs..Risks Sys affects
LLs, process & Mkt
causing Chg rates; Qty PM
of cost.activities
measuremnt BLs duration of are IP & OP
procedure place
resource& forSkill cost affect cost Costs.
conditions,
which it is estimates These are
Scope level of
BLCosts
paid. commercial
due to Proj
Request Chgs tells may
what resources
affect database
Mgr efforts,
affectChg
costs.
Mgt
to cost
Sch also
Status
INPUTS reports
Cretae Forecasts
TO COST
every thing
costs.
ESTIMATE

Estimate
S

Cost(P)

COST KA & PGs

Interplay
3Parametri
Pt
Cont Analogus
Estimatio c
Costs(MC Determine Bottom
)
Budgets(P) Estimates
One Pt Estimatio
n Up
Estimate n
Estimatio
ESTIMATING
METHODOL n
OGIES
3.Defi
nitive 2.Budg
Estima et
tes 1.Rough Estima
Order
of magnitude :
(+/- Init Ph+/-50% tes :
10% or Plg Ph-
- Esti 10/=2
5/+10 ma 5%
% te
Acc
ura
cy
What
Cost Mgt
manages
QUALITY MGT
QUALITY MGT ACROSS PGs QM HOW @ 1.DiffLevels
Find
PLAN QLTY OBJ of PQP is Iden Qlty OPA &EEF, Proj Product & Proj Mgt
PROCESS Efforts. Result areis QMP, Q Metrics,ChklIsts
1. Find OPA.
How U Find Existing OPAs(Internal Process, procedure, Policies, EEFs(Ext Stds) and
Devp Final plan All Stds(EE Customer Qlty Stds are measures to Keep Qlty under Cont of PM
Quality Fs),
Plan & Std(EEF) Prod 2.Create PQP is determines what wk need to be done to ensure Ext & Int Stds.It
Performanc plans 6.Create Reqmt
e , QMP & QM Addl also ensures chgs to PMP to ensure desired Qlty Stds.
Measurem
ent process( part of How to Proj
Specific
TOOLS USED FOR PQP: 1. Cost Benefit Analysis 2. Cost of Qlty (Proj not
Baseline OPA), PMP spending too much on Qlty) ; Keeping bal between conforming costs
Finalise
How to PLG Metrics
Cretae
Ensure Stds (Qlty Trg, Studies, Svys &Efforts of Ensuring Qlty)& Non conforming
costs(Scrap, Rework, Inventory &Wty Cost & Lost business)
Exec & Process 3 .Cont Charts :-Used to perform Qlty Cont. These are setups to tell
Cont PLAN QLTY Improv
5.Balan PLAN QLTY 3.What
what level of qlty reqd.Imp Terms in Cont Charts are :-
ce other Wk to
Mgt PROCESS(PQP) Plan Constrai meet (a) Limits(U& L):-Acceptable rg of variation.Denoted by PM & S/Holder
Plans nts(KA) 4.Find these on Cont Chartusing 2 dashed lines.
Create Create measur (b) Mean Line in middle of cont chart
Iteratio Role & for Q Stds
ement (c) Specification Limits:- These are dictated by customer. U&L Limits
n resp of Std are stricter andinside Spec Limits
to meet 4.Benchmarking is the process of looking past proj s for Q
Stds improvements in current proj. 5.Design of Experiments to find out
1Reque 1. Use
measur which variables will improve quality 6. Statistical Sampling 7,
st Chg
ement
Flowcharting to see a process and findout likely Q failure Points
RESULTS/OUTCOME OF PQP are • No. of
• Q stds Chgs
2.Impro Q •MetricsNumbe
Follow
Qlty Exec Improve
Continu
5.Share
good Are we ve
QMP
•
to
apply
Resp of
r of
resourc
Chk Li
•
Continu es used
Audits
Perform Qlty
pus Pracs following ous •
Q Mgt
Review • No.of
earlier items
Assurance (PQA) decisio failing
EXEC QLTY •
ns
Q •
Insp
Varianc
3.Do redress •
Follow al Mtgs e of Wt
Cretae 4.Good activity • Q of
Qult Process follow redress aprod
Assuran Practice al by Proj
Improv s? OPA on reports compar
ce Qlty • Q ed to
1Take (Audit)? measur
RESULTS/OUTCOME OF PQA are :- planne
Proj ing d Wt
Chg Request
Metrics
A
incl, corrcetive, preventive
• and
No. ofdefect repair actions
Cont 1. Update Std & Processes bugs
Actions Measur Update Proj Mgt Plan & Proj Docs found
& 7.Update e Qlty 2. Iden
Request Measur
PMP & Improve
PQC : Ensuring desired level of Q in products/services by means of
e Measures using Metrics.Q Cont gen happens in MC Process Gp. QC
Perform Chg
M&C Perform
Proj Docs Are we ments ensures quality is being maint. OUTPUT OF PQC is Measurements,
Qlty Validated Chgs, Updates to PM Plan & Proj Docs, Chg request incl
Cont
ance Mtg Stds preventive , corrective defect repair tasks, LLs & validated Delivearbles
Perform Qlty against 6.Submi THROUGH 3.
metrics Validate ISHIKAWAS DIAG/FISHBONE DIAG/CAUSE & EFFECT DIAG : Its a Effcet
Cont(PQC) t Chg
Request OUT delivera to potential Cause & subcause relation diag to iden root cause of
Influenc bles Qualit failure.
e Find HISTOGRAMS :- Show which problems are worth dealing out of
factors varianc 5. 4.Compl Bar/Column chart.
e asking Update ete PARETO DIAG Is a histogram showing data from most occuring to least
causing chg Chklist
chg LLs occuring. Its help focus attn on most critical issues, prioritise “Causes
of Prob & iden the critical ones.”
Poor Qlty Impacts : 1. Incr Cost 2. Low ISHIKAWAs 7 Tools of QC:-
Morale 3. Low Customer Satisfaction, 1. Cause & Effect Diag 2. Flow Chart 3. Histogram 4. Pareto Chart
4. Incr Risk 5. Re-wk 6. Sch Delays 5. Run Chart 6. Scatter Diag 7. Cont Chart
HRM
 • Methods of record and Comn Roles & resp incl Resp
HRM ACROSS PGs DEVP HRP (PLG PG) Assignment Matrix(RAM: Primary , Secy roles for an activity
1. Find
How U
plan All
Roles & Resp or Wk Pkg),RACI (Assignment of Resp, Accountability,
Consult & Inform tasks to members related to Activity), Org
Breakdown Str & Resource Brk Down Str. Position descriptor
Devp Final
Plan & plans is anaothe rmethod.
Performanc Determi
e ne
Measurem
ent
Baseline
Finalise
PLG
Team
Proj Org Charts
How to
Exec & Devp HRP Create
Cont Role &
•Plan to acquire Staff, resource Calenders, Staff Trg, Staff Release plan, Recog &
Staffing Mgt Paln
Mgt resp
Create Awards, HRP Compliance for staff, Safety of Staff.
Plans •Devp Resource Histograms(No. of resources employed/Time)
Iteratio
n

1Reque
ACQUIRE TEAM(EXEC PG) DEVP TEAM(EXEC PG) MANAGE TEAM(EXEC PG)
Facilitat st Chg Acquire Inputs to Acquire Team Things to Do Things to Do
e Final (1.) Proj Mgt Plan (HRP) (1. Use Soft skills 2. Encourage 3. 1. Good Comn, 2. Wk with other Org 3.
Conflict 2.EEFs()Whoz avl, at what cost, Comn effctively, honestly & Timely Negotiation Skills 4. Leadership skills 5.
Team
Resoln EXEC outsourcing policies, whether they
wk together
4.Est & maint Trust b/w PM, Team Observing the happenings 6. Use Issue
& Stake Holders.5. Make team Logs 7. Keep in touch 8. Complete proj
Use 3.OPAs(Policies of using staff on collaborated good buy-in decisions performance appraisals 9. Make good
Issue
Acquire , Devp Manage proj/ Hiring 6. Capitalise on cultural diff 9. Team decisions 9. Influence Stakeholders 10.
& Manage Ppl building acts from INITIATING to Actively help to resolve conflicts
Logs Team
Eval
What Team Acquiring CLOSURE 7. Gain Trg for Team 8. Est
Recog & Team & involves ground Rules 9. Recg & REwarsd9.
Place team members in asme loc WorstFo(By Re Pe
POWERS of PM

Ex
Best
Re (By
Capb)
Reward Hold Proj Know Preassigned resources & 10. Assess performance Position)
rm wa na pe fer
s Team Perform their avl 11.Motivate 12. Team culture al rd lty rt en
Bldg 1.Negotiate for best resources t
ance (Know proj needs first, express
Activitie Stages of Team Fmn
benefits of resource Mgr from this 1.Forming: Bring PPl together
Facilitating-s
Coaching-
Directing
-Tell others Coord ips of Helps other
Supporting-alloc,Understand Resrc mgrs
Assits on the 2.Storming Ph of disagreemnets in Formal, Reward & Penality are by Posn of
what to do others
to achieve
Consultative-
goals way reqmts, prove ur reqmt, through members PM. Expert power is earned
Consultative Autocratic- negotiation discover resrc mgrs 3.3. Norming Good wk relations
Autocratic-
Decision by –Decide Solicit team
Consensus- futuristic
Prob solving
needs from PM, relatione start bldg. Ppl stat giving space to CONFLICT RESOLUTION TECHNIQUE
in Gp bldg for future use others
based on ip but
self 1.Confronting(Prob Solving)- GOOD
LEADERSHIP STYLES

team ips decision

Delegating- Charismatic-
retained Democratic/ 2.3. Hiring employees or new 4.Performing Efficiency comes & 2.Compromising(bring some degree
Mgr est goals
Bureaucratic-
Follow exact Energize/ resources
Participative- team wk accordingly satisfaction to both parties
& give auth
to team procedures
encourage
Driver-
team toGives
wk
Team owns
the
3.Prepare virtual teams if reqd
decisions 5.Adjouring Task complete. Team 3.Withdrawl(Avoid temporary- BAD CHOICE
Laissez-Faire-
Analytical-
Analyses
Dirns. His
Influenicng-
Team Wk,
disband 4.Smoothening (Accomodating) - GOOD
Allows to act
highly tech
team op for
competitive
attitude
Team bld. 5.Collaborating: Incorporate multiple view
teams
further
decisions.
drives team
win
CONFLICT
Influence Proj
imple MGT : Cause of C BEST SOLN : To be resolved by points for solving - GOOD
1.Nature of Proj trying to address & reqmt those who are in it 2. PM can 6.Forcing: Pushing one view point : BAD
of Stakeholders try if he has got auth on ppl in
2.Ltd Powers of Pm conflict. If not call sponsor/Fn
3.Necessity of resources from Fn Mgrs Mgr. If instance of professional
SOURCES OF CONFLICT & Social resp(brking law,
1. Sch 2. Proj Priorities 3. Resources 4. policy, ethics) Mgr can directt
Tech Opinion act .. Auth /no auth
5. Adm Procedures 6. Cost 7. Personality
(The last & least contributor)
COMN MGT
 COMN MGT PROCESS PG
Iden S/Holder INITIATE
Plan Comn plan Iden S?holder Determine : How to plan All plans Request Chg Take Action to Cont Proj
Distr Info EXEC Devp S/Holder Mgt INITIATE
Determine Roles/Resp Send & receive Info EXECPerofrmance against other metrics of
Measure
Manage S/ Holder EXEC Strategy Plan Comn Hold Mtgs PM
METHODS OF COMN
Go Bk-Iterations Determine variances & if warranting changes
Report Performance M&C Finalise’How to exec & Cont Parts of Plan Influence factors causing chg
Devp Final Mgt Plan’ Request Chg
IDEN SH Create Forecast
Pus
1.Iden S/Holder. First use PC to Pull h Report on Proj Performance
find initial list. Co Co
mn mn
2. These SH shall help to find new
SH over time. Interac
3.Anal S/Holder. Need to find tive
Comn
Sh’s’ impact/influence. Group SHs COMN CONT
using cl tools like power/ Interest Can PM Cont all comn (NO)
Grids, Salience Models based on Should he(YES) Why:
Otherwise it leads to chgs, mis
qualities like auth level,comn, unclear dirn, & Scope
impact/influecne & reqmts.Creep
Prepare Register(SHR) NO of COMN CH : (N*N-1)/2
3.Mgt Strategy (SHMS) SHs can be
What to Comn
managed individually or may be Why
grouped. B/W Whom
PLAN COMN Best Comn Methid
1.Understand EEFs & OPA Resp of Sending
beforehand
2. Keep SHR & SHMS updated & When & How Often
ready TYEP OF
REPORTS
Status
Report
Progress
Report
Trend
Report

3. Stay abreast with Comn Tech,

methods & Models Forcast Variance Earned Val
LL Docs
4. Iden comn & Info needs of SHs
Report

Iden what effective & Efficient

cmode is is reqd for whom ,
when FORMAL
by what method & how
WRITTEN
frequently.
PMPs, Complex FORMANL
Probs, PC, TYPES OF COMN
VERBAL
Memo, Long Dist
Comn Pns & Speeches

INFORMAL INFORMAL
WRITTEN VERBAL
Email, Hand Mtg,
Written notels Conversations
KEY TO INPUTS :What do I do to Do it Well?What do I need to
begin?
KEY TO OUTPUTS : What will I have when I am done with…?

RISK MGT
 Plan Risk
Mgt
Anticip 1.
M & C Risk Prob
Iden Risk ated abilit
Response frequenc RISK y of
PLANNING PG y FACTO it
RS
M&C Gp
Rg
CONTINUOUS PROCESS of Timi
THROUGH OUT Possi ng
Plan Risk QLTV RISK ble of it
Response ANAL outc in
ome Proj
s
QNTV RISK
ANAL
Through Risk Mgt Probability & Impact
of Opportunity is incr while probability
& Impact of threat is decr.
UNCERTAINTY: is the lack of knowledge
about an event that reduces con fidence
in conclusions drawn from data.
Investigation of uncertainty iden Risk.

Tracking Method
o-logy

Reporti
Role &
ng Resp
Formats Outco
me
PLAN
SH RM
Budgeti
Toleran
ce ng

Define
Probabil
Timing
ity &
Impact
Risk cat
PLAN PROC
 PROC PROCESS OVER PROJ PHs
Conduct Mon Administer Close
Plg •Plan Exec • & • Close •
Procureme • Procureme • Procureme
Ph Procurement Ph nt
Cont
nt
Ph
nt
Ph
RISK VARIATION IN CONTRACTS
Pro
Con Pr
Lessons Contra c
trac
t
oc
Learnt cts So
Wk Ke MTer Do
ep
in
ms
ak
e
c
O/P of
Addl Proc
Proc
Proc Mgt g Ap
Docu Plan Co pr
Process Administering
nt ov
ofa Contract ed
Co Ch
Change Proc CONTRACT ntr CHANGE CONT an SYS decides
Requests SoWk ac is reqd inge
how ,if’ change a contract will
Proc t TASK oifsthis Sys is to
get effectuated.
manage initiation, review , approval and
Docs
finding change in cost and time.

Contracts require formality

Proj/Prod reqmt needing proc be mentioned in contract CONTRACT
COMMANDMENTS
Reqmt not avl in contract can be incl using Change Order
Change order need to be approved by both parties
If something exist in contract or approved change order it must be done
Changes be submitted and approved in writing
Contacts are legal bindings ; Both parties to honor
Contarcts are backed by governments; court systems help resolution
CONTRACTS SHOULD DIMINISH RISK
 i
s
O
er Make or Buy •
•
See Economy of Buy/make; Consider cost of Mgt as part of
mtrl/service for make
Buy reduces risk of project however we prefer Make if its
gE
A
n
R
Analysis proprietry proj or want to retain control over process or you
have idele resources like wk force or Plant
sP
vsri
sti
o
kgcf Create Proc Mgt • In place if leasing/buying(proc) is planned
Plan
an • Involves Planning, Exec, Closing and closing
eR
cm
sP
eert • Wk to be done on each proc is Proc SoWk(Must be clear,
sgo concise, complete and descriptive of ALL activities to be
Sc en done by seller). All incl Mtg,Reports & Comn.
op rti
In • Achievd by breaking project Scope Base Line into wk that
Create Proc SoWk
eE A
s team will do and part/service need to be purchased from
Ba xo
s
sel
ine ssef
ti pu •
Seller. For this later part Proc SoWk is created
SoWk to be COMPLETE reqmts. SELLER IS SHARP and you
need to OUTSMART SELLER while creating SoWk. Contract
(W
BS
+d
eI
tP rrti ts- prob are difficult to solve so let SoWk be complete and u
don’t face prob
sgt
n
W
BS
eo
o
cn Pr Select Type of • Type of contracts incl Fixed Price(FP), Time & Mtrl (TM) &Cost
Reimbursement depending upon (a) What to purchase Goods? Service,
Dic
tio
ne
P
kM
o r oc Contract
Completeness of SoWk, level of effort or expertise buyer can devote to
seller, market place/economy or available industry stds
o
ry+
pr
egf
c
en
u r
ur • PD which tells the need from seller is devp after selecting
oj
Sc p
o r e type of Contract and Avl Proc SoWk.PD comes in form of

Create Proc Doc

op e RFP(detailed proposal of how by whom the work will be
n done. Askes for coy resumes, employee experience & Price),
em
Sta
ce
h
n
m Invitation of Bid(Total price to finish Wk) & RFQ(Asking
quotation in terms of rates)
te
me
nt
aet
vc
cal
P
en • PD may also have info for sellers(Proc SoWk & proposed
T&C.
skri t Create Source
• Gives understanding to seller about buyers reqmts whether to bid
or not .Activity carried out during ‘MAKE PROCUREMENT
PROCESS’.Source selection criteria matrix is dependent on type of
eo
so t M proc and more pronounced for services.
Selection Criteria
• Criteria may include Experience yrs, financial stability, life cycle
ej cost, quality and capb for completion, nondisclosure agreement,
n
So
m
n
csI gt PM Capb, teaming agreement, standard conditions/provisions,
special provision etc
u
h
/p
n
en ri
Pr Type of Proc SoWk:- (Depends on Nature of Wk & Type of Industry)
so
cte
d
o
u j oc
r(i
vavl
H
ae
es Performance Aim is contract should perform
irrespective of its design or nature of its build
Functional along with final out put like PERFORMANCE
certain minimum output is expected
Design Tells what is exact work that
need to be performed

n
cd r(li s
Teo
eo l
ed
s
m t
kR
u
Eil
n
sn i
to
sti
kp
w
O il
sm r
ew
agh
St
e
en rl
sel
Fixed Price Contract (FP) Good in case of well defined specs are avl. Mkt has competition. Risk
lies towards Seller if SoWk is clearly & Completely defined. RED FLAGS if Seller doesn’t have
estimates of such type of proj or buyer doesn’t hv expertise to prepare SoWk.
Fixed Price Incentive Fee(FPIF) In addition to contract completion fee financial incentives based
on efficacy in execution and already decided formula.
Fixed Price Award Fee (FPAF) Fixed Price as fee+ Predetermined Award(bonus) based on
performance. Total possible amount (Fee+ Award) is decided in Advance unlike FPIF. A
constituted board helps to make final decision for Award to reduce subjectivity
Fixed Price Economic Price Adjustment (FPEPA) In case of multi year project; Based on expected
change in economic conditions(So price unpredictable iin future)

Purchase Order(PO) Its unilateral. Becomes contract as accepted.

Cost Reimbursable (CR) : When exact scope is uncertain so cost uncertain. Alllows provided
buyer to pay seller allowable incurred costs to extent prescribed. Risk lies with buyer. Ex R&D
Proj, IT SW proj. Types are Cost Contract ( seller receives no fee ;appropriate for wk by non profit
org),Cost Plus Fee(CPF) or Cost Plus Percentage of Cost(CPPC) where buyer pays all cost and
some percentage for fee;bad for buyers, motivation for sellers to wk slow, Cost Plus Fixed
Fee(CPFF)- Payment of actual cost +negotiated fixed fee; fee adjustable as per change in SoWk,
Cost plus Incentive Fee (CPIF)and Cost plus Award Fee(CPAF)
Time & Mtrl(T&M) or Unit Price(UP) Paid as per Hr or Per Day and Per Item basis. Normally for
services. Used when level /length of service isnt avl. Seller profit lies in rate as no incentive for
finishing early. So made for short time works. Buyer Risk is medium compared to FP & Cost
reimbursable contracts.. Best is to put not to exceed clasue which limits total cost
 ADMINISTER : managing relationship b/w buyer & Seller and performance assurance of both as per contract

Contract spending too much time dealing with changes should be re-evaluated &/or renegotiated/ reexecuted : Administering
A constructive change is an adjustment to a project’s scope of work caused by the activity or inactivity of the project owner 1. It is a
situation when a contractor performs work beyond the contract requirements, without a formal order under the changes clause,
either due to an informal order from, or through the fault of, the buyer. They are dangerous and lead to administring

Review Invoices
Insp& Audits Complete Integ Chg Cont
Doc(Recor) everything Phone
Copy of chag to affected call with seller, email, chg
request, chg approved
Manage interface among all
sellers Manage Chg

Correspond with Seller & Auth payments To seller

Others

Auth seller wk to start at

appropriate time ADMINISTERING Interpret Contract
TASKS

Review claimed filed by seller Understand is/not is of

contract

Cont as per reqd quality Resolve Disputes

Understand legal implication

of actions Mon Auth Comn with seller

Mon Cost, Schedule Tech Wk with Proc Mgr for

performance aginst contract requested& Appvd changes
Hold proc performance review
Report performancemeet
 NEGOTIATIONS
Ob
: BREEDER OF WIN WIN SITUATION
tai Str
n ike
Fai Rel
r& ati
Re on
Obj of
as Negotiation
wit
on h
abl Sel
e ler
Val
ue Scope
Win-Win Situation : BREEDER OF SELLER BUYER MOTIVATION
MAIN
Price
ITEMS OF NEGOTIATION
Schedule

Payment
Schedules ITEMS OF Resp

NEGOTIATION

Proj Mgt
Negotiatio Process to Authority
n be Used
Methodol Applicable
ogies Law
Other ITEMS OF NEGOTIATION

TIME /Speed of Ops is most preferred Item for Negotiation Money/Priceof Ops is Seldom preferred Item for Negotiation
 CONTRACT : the legal binding instrument
Define
Role & Need one party
Resp to Offer

Purpose
of
Contract
Need one
Mitigate/ Makes party to
Allocate things Legal Accept
Risk Binding

What a
Ppl making /Accepting Contract
Contract should have legal should have
to be calleda
capacity for same Contract
ADMIN
STRING
CONTR
ACT

Some valuable
thing on stake

Diff in Diff in
Buyer(W Diff in Proc &
k Org Peoj
Complet Culture Mgr
e) &
RelainceSeller of BuyerPerspec
on (Max & Seller tive(Diff Greater
loc ofreliance
report theirbw Proj
for Revenue Wk) Mgr of
existenc) Obj Need
PROJ PROC
MGR
If reqd, Can
MGR
Cont Contract e of of Buyer & Chg
Prob Contr Seller Trac Proc
initiate chg hence no act king edu
change can Chg Sys CC res
in SoWk, but Scope of Cont CS
Conflict occur without Sys Inc
not without (CCCS l
his approval )
approval Disp
ute
ofof PROC resol
utio For
n ms
MGR proc
ess
CONFLICT MANAGEMENT

• Wk complete correct &
Satisfactory
• Product same as desired
Product Verification
PROCUREMENT PROCESS CLOSURE METHODOLOGY
CLOSURE
Negotiated Settlement
• All records complete & visible in Record
Mgt Sys. Record become part of Proc
File
• Negotiation or dispute resolution over
final claims,invoice
Update
records
PROFESSIONAL & SOCIAL
RESPONSIBILITIES
 PROFESSIONAL & SOCIAL RESP : 04 PILLARS
RESPONSIBILITY :
Ownership of decisions &
Actions
1. Decisions based on
interest of Coy, team &
Society
2. Take Own qualification
based assignments RESPECT : Appropriate FAIRNESS : Being
3. If project assigned is treatment of People and Objective & making
beyond qualification, Resources Impartial decisions
3.Imake sure sponsor 1. Maintain attitude of 1. Act impartially; No HONESTY : Understand
knows it mutual cooperation favouratism, Truth and truth based
4.Do what you have 2. Respect cultural nepotism,bribery, actions
committed to do and in differences prejudice. Frequently 1. Try to understand truth
time 3.Donot gossip or say STOP to reaxamine your Be truthful in
5. Ack ur errors things that could damage decisions communication
6.Respect confidentiality, else person’s reputation 2.Continuously look for 3. Make sure info being
protect proprietary data 4. Engage in good faith conflicts of interest and used or being sent is true
and obey Copy Right Laws negotiations disclose.
3. Don’t discriminate 4. Create truth only type
7.Uphold laws 5.Respect others against others of environment in your
8.Report to mgt & 6. Be direct in dealing team
affected party about with conflict 4.Honour your duties of 5. Donot deceive others
awareness/witnessed loayality for ur org/coy
unethical behavior 7. No use of power or 5. Don’t use position for
position to influence pers/business gain.
9. Report violations of others for pers benefit.
PMI Code of Ethics &
Professional conduct if
factual proof exist. If
some one has been
retaliated against for
reporting violations
LEST YOU FORGET
historic info of an -Acts as input to
many Exec and PM Plan incl indl
org Wk Performance plans of all Kas,
Mon&Cont and Information (WPI) Project BLs, Reqmt
-They are inputs few closing
to PM Expert Judgment Used in Mon & MMgt, Change
-Updates to OPA Using knowledge processes. Cont processes. Mgt, Config Mgt,
and experience of -Wk is compared In performing Process
are outputs of against paln for
many processes some one who Direct and 2.Entreprise
improvement Envt
has already done 5.Baselines(BL)
correctness and: Manage Proj Exec Factorsplan.
(EEF)
and are valuable Controls and
Proj timeliness
info Document
for future the things in past
measure the proj
process of -Coy culture
So. PMPU updates
Update Means
proj. which Mgr is abt Executing, WPI and existing sys
all above plans
update on reqmt to do. against PMP. regarding status that proj will have
traceability Valuable asset Time, Cost and of3.Knowledge
deliverablesAsto to deal with or
matrix, scope Kas have Mgt Plan Plg is first
be completed is make use of.
stakeholder Baseline Contd… baselines step in addressing
generated. -Considered as
register, activity Scope Baseline incl Change in PMP as KAs(Scope, Time, input
WBS, WBS Dictionery approved in Cost, Quality,
list, quality list, and Proj Scope Comn, HR, Risk, -Updates to EEFs
risk register, Perform Integ are outputs of
Statement and i/p to proc) mgt
change log, processes like Define Change Cont many processes
Change Request -Quality , HR,
resource calender Activities, Estimate Process changes Comn, Risk & Proc
These are corrective, and provide
and issue log Proj Scope Cost, determine Baseline preventive & defect
have their own valuable historical
StatementBudget, Plg Quality,
risk iden and plg
repair mech. plans data for benefit of
Created during proc. -are o/p of Plg
Scope, Schedule & future projects
process of Plan Cost
Proc, Mgt Plans are
define scopeSchedule Baseline is Exec of Directdevp
& as part of Proj
process i/p to Paln quality Manage Proj Exec, Mgt Plan
Spells out process QA, Manage Proj-All Mgt Plan
deliverables of Baseline is a
Cost team, Manage Stake
become part of
proj. input to Plan Quality Holder expectation
PMP
Used to create AND Mon & Cont
Processes
WBS -Approved Chg are
Its input to time , input to Perform
cost, Quality, Risk Integ chg Cont. Post
& Proc Mgt review at PICC , act
as input to Direct &
Manage Proj Exec