Project Management Fundamentals Office of the Senior Associate Vice President for Finance Project Management Institute Project Management Fundamentals  PMI is an aggregation of best practices from thousands of professional project managers  Principles in this training are based on PMI methodologies, there are other methodologies  Organizations typically use these as a basis for developing custom project management processes  For PMPs, this course counts towards PDUs Office of the Senior Associate Vice President for Finance www.pmi.org Page GW MS in Project Management Project Management Fundamentals Office of the Senior Associate Vice President for Finance business.gwu.edu/mspm/ Page Outline Project Management Fundamentals Project Issues Project Characteristics – Definition of a Project – Project vs Operations – Key Elements of Project Management – Project Lifecycle Phases – Project Management Functions Office of the Senior Associate Vice President for Finance Project Participants – – – – Project Stakeholders Project Sponsor & Owner Project Manager Project Team Basic Project Tools – – – – Project Charter Project Management Plan WBS / Schedule Action / Risk / Change Tracking – Document Management Page Project Issues Project Management Fundamentals Office of the Senior Associate Vice President for Finance Page Project Characteristics Project Management Fundamentals Office of the Senior Associate Vice President for Finance Page Definition of a Project Project Management Fundamentals Project - A temporary endeavor undertaken to create a unique product, service, or result Temporary / Not Ongoing - Definite beginning and end - Does not mean a short duration - Does not necessarily apply to product, service, or result created by a project Unique - Outcome is a unique deliverable - Could come in the form of either products, services or results Office of the Senior Associate Vice President for Finance Page Projects vs Operations Project Management Fundamentals Both Projects and Operations are… • • • • Performed by teams of people Achieved by means of work Constrained by limited resources Planned, executed, and controlled The primary differences are… Projects Operations Purpose of the project is to attain its objective and ends Ends with transition to operations Only ends with product, process or service no longer needed Project team comes together at beginning and disbands at end Office of the Senior Associate Vice President for Finance Purpose of an ongoing operation is to sustain the business Team continues to perform tasks Page Key Elements of Project Management Project Management Fundamentals Define Plan Establish clear and achievable objectives Develop the specific project management approach Triple Constraints Communicate Keep stakeholders informed Office of the Senior Associate Vice President for Finance Manage Schedule/time, cost/resource & quality/scope control Page Effect of Stakeholders & Changes Project Management Fundamentals At the start of the project: Towards the end of the project: • • • • • • The level of uncertainty is highest Stakeholders’ influence is highest Risk of failing to achieve the objectives is greatest High Cost of changes increases Stakeholder influence decreases Risk of failing to achieve objectives is reduced Stakeholder Influence Cost of Changes Office of the Senior Associate Vice President for Finance Low Project Time Page 10 Project Management Functions Project Management Fundamentals Scope Management Time Management Cost Management Quality Management HR Management Communications Mgt Risk Management Procurement Mgt Project Integration Office of the Senior Associate Vice President for Finance PMI refers to these as Knowledge Areas These are the actual functions performed within the life cycle phases Page 12 Project Life Cycle Project Management Fundamentals Bridge Team Reunion  Discuss and list examples of where these processes were used in the bridge project Initiating Planning  What additional activities could have been performed? Monitoring & Controlling Executing Closing Office of the Senior Associate Vice President for Finance Page 13 Project Participants Project Management Fundamentals Office of the Senior Associate Vice President for Finance Page 14 Project Stakeholders Project Management Fundamentals Project Stakeholder People or groups positively or negatively affected by the project outcome Vendors Functional Managers Project Sponsors Project Team Business Partners Operations Office of the Senior Associate Vice President for Finance Customers / Users Stakeholders may or may not exert direct influence over the project Page 15 Project Sponsors / Owners Project Management Fundamentals Project Sponsor Champions, charters and funds the project, fosters cross-organizational support, manages escalations, makes key decisions and provides overall direction In Finance, this is divided into two roles… Project Owner Executive Sponsor • Accountable owner of the project objectives and outcome • Provides funding and resources for the project, including the PM • Provides approval for the initiating group to fund the project • Manages the overall timeline (at a high-level) and key deliverables • Fosters support amongst other participating organizations • Provides regular decision making and direction for the project • Manages very high-level direction and escalations • Approves key deliverables and artifacts Office of the Senior Associate Vice President for Finance • Champions the project at the executive level • Approves phase and project completions Page 16 Project Manager Project Management Fundamentals Project Manager Accountable manager of the project, including planning, leading, managing, monitoring, escalating and communicating project status, issues and tasks Time Scope Cost Quality Risk Project Manager Human Resources Communications Procurement Office of the Senior Associate Vice President for Finance Integration Page 17 Project Team Project Management Fundamentals Project Team Team members who carry out the work, including the project manager, project management team and team members with specific expertise to carry out the work Temporary Reporting Matrix Project Management Team ~Coordinate, administer and monitor the project~ Project Leads ~Own deliverables from their areas~ Office of the Senior Associate Vice President for Finance Project managers not have to be the SMEs for a project to be successful Page 18 Basic Project Tools Project Management Fundamentals Office of the Senior Associate Vice President for Finance Page 19 Project Charter Project Management Fundamentals  Authorizes the project  Defines high-level scope, exclusions, objectives, milestones & timeline  Establishes project leadership, including project manager  Authorizes the budget  Outlines assumptions/constraints  Commits general resource availability  Prepared by project owner Office of the Senior Associate Vice President for Finance  Approved by executive sponsor Page 20 Business Requirements Project Management Fundamentals  Defines the “what” for the solution to be delivered  Breaks overall scope into specific actionable deliverables  Allows the team to develop specifications for development of product, process or service  Provides traceability of project team activities to project scope  Prepared by project team in collaboration with customer / users  Approved by project owner Office of the Senior Associate Vice President for Finance Page 21 Project Management Plan Project Management Fundamentals  Establishes the plan for project planning, execution, monitoring and closing  Includes all subsidiary plans  Defines the project phases and deliverables  Establish clear project roles and responsibilities  Prepared by project manager  Approved by functional & project managers Office of the Senior Associate Vice President for Finance Page 22 Work Breakdown Structure Project Management Fundamentals Control Account Level “Software Implementation Project” Planning Package Level Stakeholder Communications WBS1 Postcards / Mailings WBS 1.2 Email WBS1.3 Initial announcement email WBS 1.3.1 Posters WBS 1.1 First reminder email WBS1.3.2 Website Development WBS2 Meetings / Seminars WBS 1.4 Graphics Design WBS2.1 Last reminder email WBS 1.3.3 Work Package Level  Breaks deliverables into manageable work packages Office of the Senior Associate Vice President for Finance  Critical to the ability to determine resources needed, effort levels & cost Page 23 Project Schedule Project Management Fundamentals  Sequences and defines detailed project tasks  Monitors status of project against milestones / baselines  Guides project team in daily work activities  Identifies task and external dependencies  Identifies critical path and areas of required escalation Office of the Senior Associate Vice President for Finance  Manages resource usage Page 24 Action, Risk & Change Tracking Project Management Fundamentals To Do List  Log and track all actions and issues being worked on by the project team – ensure accountability  Identify, log and monitor all risks to the project – a continual process Office of the Senior Associate Vice President for Finance  Log and manage all formal Change Requests – any request to modify the project scope (change request process defined in project management plan) Page 25 Documentation Management Project Management Fundamentals  RASI / RACI Matrix – Responsible, Approve, Support/Consult, Inform  Clearly communicates documentation anticipated as part of project Office of the Senior Associate Vice President for Finance  Clearly communicates roles required to complete documentation Page 26 ... Functions Project Management Fundamentals Scope Management Time Management Cost Management Quality Management HR Management Communications Mgt Risk Management Procurement Mgt Project Integration Office... critical path and areas of required escalation Office of the Senior Associate Vice President for Finance  Manages resource usage Page 24 Action, Risk & Change Tracking Project Management Fundamentals. .. Finance Manage Schedule/time, cost/resource & quality/scope control Page Effect of Stakeholders & Changes Project Management Fundamentals At the start of the project: Towards the end of the project: