project management professional (pmp)_general_part ii

8/2/2019 Project Management Professional (PMP)_General_Part II

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Initiating Planning Executing Monitoring&Control. Closing

4.Integration 4.1Develop 4.2DevelopProject 4.3Direct&Manage Project 4.4Monitor&ControlProject 4.6CloseProject or

ProjectManagementProcessGroups

ProjectCharter Management Plan Execution Work

4.5 PerformIntegrated

ChangeControl

Phase

5.Scope 5.1CollectRequirements5.2DefineScope

5.3CreateWBS

5.4VerifyScope

5.5ControlScope

6

5

6.Time 6.1DefineActivities6.2 SequenceActivities

6.3Estimate

Activity

Resources

6.4EstimateActivity

Durations

6.5 DevelopSchedule

6.6ControlSchedule

6

s

7.Cost 7.1EstimateCosts7.2Determine Budget

7.3ControlCosts

8.Quality 8.1PlanQuality 8.2Perform QualityAssurance 8.3Perform QualityControl

9.Human 9.1DevelopHuman 9.2 AcquireProjectTeam

3

edg

eArea

3

Resourcesesources an . eve op ro ec eam

9.4ManageProjectTeam

10.Communication 10.1 IdentifyStakeholders

10.2PlanCommunications 10.3DistributeInformation

10.4ManageStakeholders

Expectations

10.5ReportPerformance

11.Risk 11.1 PlanRisk 11.6 Monitor&ControlRisks

5

4

Knowl

Management11.2IdentifyRisks

11.3PerformQualitative

RiskAnalysis

11.4PerformQuantitative

RiskAnalysis

11.5PlanRiskResponses

6

12. Procurement 12.1PlanProcurements 12.2ConductProcurements 12.3Administer Procurements 12.4CloseProcurements

2

4

20 8 10 2 42


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ProjectRolesandResponsibilitiesTheProjectTeamisthegroupresponsibleforplanningandexecutingtheproject.ItconsistsofaProject

ManagerandavariablenumberofProjectTeammembers,whoarebroughtintodelivertheirtasksaccordingto

.

TheProjectManageristhepersonresponsibleforensuringthattheProjectTeamcompletestheproject.

TheProjectManagerdevelops theProjectPlanwiththeteamandmanagestheteamsperformanceofprojecttasks.ItisalsotheresponsibilityoftheProjectManagertosecureacceptanceandapprovalofdeliverablesfromtheProject

SponsorandStakeholders.TheProjectManagerisresponsibleforcommunication,includingstatusreporting,risk

management,escalationofissuesthatcannotberesolvedintheteam,and,ingeneral,makingsuretheprojectis

deliveredinbudget,onschedule,andwithinscope.

TheProjectTeamMembersareresponsibleforexecutingtasksandproducingdeliverablesasoutlinedin

theProject

Plan

and

directed

by

the

Project

Manager,

at

whatever

level

of

effort

or

participation

has

been

.

Onlargerprojects,someProjectTeammembersmayserveasTeamLeads,providingtaskandtechnical,

leadership,andsometimesmaintainingaportionoftheprojectplan.

TheExecutiveSponsorisamanagerwithdemonstrableinterestintheoutcomeoftheprojectwhoisultimately

respons e

or

secur ng

spen ng

aut or ty

an

resources

or

t e

pro ect.

ea y,

t e

xecut ve

ponsor

s ou

ethehighestrankingmanagerpossible,inproportiontotheprojectsizeandscope.TheExecutiveSponsoractsasa

vocalandvisiblechampion,legitimizestheprojectsgoalsandobjectives,keepsabreastofmajorprojectactivities,

andistheultimatedecisionmakerfortheproject.TheExecutiveSponsorprovidessupportfortheProjectSponsor

and/orProjectDirectorandProjectManagerandhasfinalapprovalofallscopechanges,andsignsoffon

approvalstoproceedtoeachsucceedingprojectphase.TheExecutiveSponsormayelecttodelegatesomeofthe

aboveresponsibilitiestotheProjectSponsorand/orProjectDirector.


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CustomerDecisionMakersarethosemembersoftheCustomercommunitywhohavebeendesignated

tomakeprojectdecisionsonbehalfofmajorbusinessunitsthatwilluse,orwillbeaffectedby,theproductor

servicetheprojectwilldeliver.CustomerDecisionMakersareresponsibleforachievingconsensusoftheir

businessunit

on

project

issues

and

outputs,

and

communicating

it

to

the

Project

Manager.

They

attend

projectmeetingsasrequestedbytheProjectManager,reviewandapproveprocessdeliverables,andprovide

subjectmatterexpertisetotheProjectTeam.OnsomeprojectstheymayalsoserveasCustomer

.

Stakeholdersareallthosegroups,units,individuals,ororganizations,internalorexternaltoourorganization,

which

are

impacted

by,

or

can

impact,

the

outcomes

of

the

project.

This

includes

the

Project

Team,

Sponsors,SteeringCommittee,Customers,andCustomercoworkerswhowillbeaffectedbythechangeinCustomerwork

practicesduetothenewproductorservice;Customermanagersaffectedbymodifiedworkflowsorlogistics;

Customercorrespondentsaffectedbythequantityorqualityofnewlyavailableinformation;andothersimilarly

affectedgroups.

, ,

projectto

fail.

Vendorsarecontractedtoprovideadditionalproductsorservicestheprojectwillrequireandareanothermember

oftheProjectTeam.


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7/32

Thepointoftotalassumption(PTA) isapointonthecostlineoftheProfitcostcurvedeterminedbythecontract

elementsassociatedwithafixedpriceplusincentiveFirmTarget(FPI)contract abovewhichthesellereffectively

bearsallthecostsofacostoverrun.ThesellerbearsallofthecostriskatPTAandbeyond,duetoadollarfordollar

decreaseinprofitbeyondthecostsatthePTA.Inaddition,oncethecostsonanFPIcontractreachPTA,themaximum

amountthebuyerwillpayistheceilingprice.Note,however,thatbetweenthecostatPTAandwhenthecostequals

theceilingprice,thesellerisstillinaprofitableposition;onlyaftercostsexceedtheceilingpriceisthesellerina loss

osition.

AnyFPIcontractspecifiesatargetcost,atargetprofit,atargetprice,aceilingprice,andoneormoreshareratios.The

PTAis

the

difference

between

the

ceiling

and

target

prices,

divided

by

the

buyer's

portion

of

the

share

ratio

for

that

pricerange,plusthetargetcost.


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Progressiveelaborationismostoftenusedwhencreatingtheprojectorproductscope,

developingrequirements,determininghumanresources,scheduling,anddefiningrisks

andtheir

mitigation

plans.

projectmanagementsapp y ng oo s, ec n ques,s s,an now e ge opro ec ac v es o r nga ou

successfulresultsandmeettheprojectrequirements.

Programs arecollections

of

related

projects.

Portfolios consist

of

programs,

projects,

and

.

arenotnecessarilyrelatedordependentoneachother.

Theprojectmanagerandprojectteamareresponsiblefordeterminingwhichprocesses

.

iscalled tailoring.Youshouldconsiderthesizeandcomplexityoftheprojectandthevariousinputsandoutputsofeachoftheprocesseswhendeterminingwhichprocessesto

implementandperform.Small,independentprojectsmightnotrequiretherigorofeach

oftheprocesseswithinaprocessgroup,buteveryprocessshouldbeaddressedandits

levelofimplementationdetermined.Useyourjudgmentwhendecidingwhichprocesses

tofollow,particularlyforsmallprojects.


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Fortheexam,youneedtoknowthreefactsconcerningIRR:

.

IRRassumes

that

cash

inflows

are

reinvested

at

the

IRR

value.

YoushouldchooseprojectswiththehighestIRRvalue.

Rememberthator anizational rocessassetsencom assman elements includin olicies

guidelines,standards,historicalinformation,andsoon,andthattheyredividedinto

twocategories:processesandproceduresandcorporateknowledgebase.

Stakeholderidentification

should

occur

as

early

as

possible

in

the

project

and

continue

throughoutitslife.Likewise,thestakeholderanalysisandstrategyshouldbereviewed

periodicallythroughouttheprojectandupdatedasneeded.

Inpractice,youllfindthatyoullpreparetheprojectmanagementplanafteryouve

progresse

t roug

severa

o

t eot er

ann ng

processes.

t s

cu t

to

create

some

o

thesesubsidiaryplanswithoutperformingtheprocesstheyreassociatedwithfirst.However,

fortheexam,rememberthatDevelopProjectManagementPlanisthefirstprocess

inthePlannin rou anditshouldbe erformedfirst.U datescanandshouldoccurto

theProjectManagementPlanassubsidiaryplansarecreatedorchanged.


10/32

Requirements mustbedocumented,analyzed,andquantifiedinenoughdetailthatthey

.

developingtheWBSandareessentialinestimatingcosts,developingtheprojectschedule,

andqualityplanning.

Theprimarydifferencebetweenfocusgroupsandfacilitatedworkshopsarethatfocus

groupsaregatheringsofprequalifiedsubjectmatterexpertsandstakeholders andfacilitated

workshopsconsistofcrossfunctionalstakeholderswhocandefinecrossfunctional

requirements.Differences

among

stakeholders

can

be

resolved

more

quickly

and

consensus

.

Makecertainyoudocumentthephasetophaserelationshipyoulluseduringtheproject

lifecycleintherequirementsmanagementplan.

Theproject

scope

management

plan

is

aplanning

tool

that

documents

how

the

project

teamwillgoaboutdefiningprojectscope,howtheworkbreakdownstructurewillbe

developed,howchangestoscopewillbecontrolled,andhowtheworkoftheprojectwill

be verified and acce ted. And dont for et the sco e mana ement lan is a subsidiar of

theprojectmanagementplan.


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Definingprojectscopeiscriticaltothesuccessoftheprojectsinceitspellsoutexactly

,mightleadtocostincreases,rework,scheduledelays,andpoormorale.

Forexampurposes,rememberthatproductanalysisisatoolandtechniqueofthe

,

inthisprocess. ProductAnalysis Product

breakdown

Systemsanalysis

Requirementsanalysis

Systemsengineering

Understandthatrollingwaveplanningisaprocessofelaboratingdeliverables,project

phases,or

subprojects

in

the

WBS

to

differing

levels

of

decomposition

depending

on

the

Valueengineering

Valueanalysis

expecteddateofthework.Workintheneartermisdescribedinmoredetailthanworkto

beperformedinthefuture.

Thescopebaselineisdefinedasthedetailedprojectscopestatement,theWBS,andthe

. .

Discretionarydependencieshaveatendencytocreatearbitrarytotalfloatvaluesthatwill

limityouroptionswhenschedulingactivitiesthathavethistypeofdependency.Ifyouare

,

thesedependencies.

Forthe

exam,

remember

that

the

PDM

uses

only

one

time

estimate

to

determine

duration.


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Reservetimealsocalledbuffers,timereserves,orcontingencyreserveinthePMBOK

oruncertainty.

CPMmanagesthetotalfloatofschedulenetworkpaths,whereascriticalchainmanages

bufferactivitydurations.

Resourcelevelingcancausetheoriginalcriticalpathtochange.

TheprojectcostmanagementplanisestablishedusingtheWBSanditsassociated

controlaccounts.

Scopedefinitionisakeycomponentofdeterminingtheestimatedcostsandshouldbe

completedasearlyintheprojectaspossiblebecauseitseasiertoinfluencecostsinthe

beginningphasesoftheproject.Butyoucantinfluencecostsifyoudontunderstand

.

AccordingtothePMBOKGuide,iftheProjectCostManagementKnowledgeAreaincludespredictingthepotentialfinancialperformanceoftheproductoftheproject,oriftheproject

isacapitalfacilitiesproject,youmayalsouseadditionaltoolsandtechniquesintheprocess,

suchasreturnoninvestment,discountedcashflow,andpaybackanalysis.


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Effectivecommunicationreferstoprovidingtheinformationintheright

.

Fortheexam,knowthatthecommunicationsmanagementplan documentshowthe

communicationneedsofthestakeholderswillbemet,includingthetypesofinformation

thatwillbecommunicated,whowillcommunicateit,whoreceivesthecommunication,the

methodsusedtocommunicate,thetimingandfrequency,themethodforupdatingthis

plan

as

the

project

progresses,

the

escalation

process,

and

a

glossary

of

common

terms.Fortheexam,dontforgetthatyoudefineprobabilityandimpactvaluesduringthePlan

RiskManagementprocess.

ThePMBOKGuidenotesthattheprobabilityandimpactmatrixvaluesareusuallysetbythe

organization

and

are

part

of

the

organizational

process

assets.

Fortheexam,rememberthatinterviewingisatoolandtechniqueofthe

PerformQuantitativeRiskAnalysisprocess.Althoughyoucanusethis

ec n que n e en y s sprocess,remem er a spar o e a a

gatheringandrepresentationtechniqueandnotanamedtoolandtechnique

itself.


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Expectedmonetaryvalue(EMV)analysisisastatisticaltechniquethatcalculatesthe, .

theprobability

of

the

risk

by

its

impact

for

two

or

more

potential

outcomes

(for

example,

agoodoutcomeandapooroutcome)andthenaddingtheresultsofthepotentialoutcomes

together.

Simulationtechniquesarerecommendedforpredictingscheduleorcostrisksbecause

theyremorepowerfulthanEMVandlesslikelytobemisused.Fortheexam,remember

thatsimulation

techniques

are

used

to

predict

schedule

or

cost

risks.

TheeconomicadjustmentsectionofanFPEPAcontractshouldbetiedtoaknown

financialindex.

Understandthedifferencebetweenbidand/orquotationandproposalfortheexam.Bids .

areused

when

there

are

considerations

other

than

price.

Fortheexam,understandthekeyenvironmentalfactors(organizationalfactors,existing

humanresourcesandmarketconditions,personnelpolicies,technicalfactors,interpersonal,

locationandlogistics,andpoliticalfactors)andthethreeconstraints(organizational

structures,collectivebargainingagreements,andeconomicconditions)thatcanimpactthe

DevelopHumanResourcePlanprocess.


15/32

Feigenbaum isthefounderofTQMandDemingbelievesqualityisamanagementissue.

SixSigmaisaqualitymanagementapproachthatissimilartoTQMandistypicallyusedinmanufacturingandservicerelatedindustries.SixSigmaisameasurementbasedstrategy

thatfocuses

on

process

improvement

and

variation

reduction,

which

you

can

achieve

by

applyingSixSigmamethodologiestotheproject.TherearetwoSixSigmamethodologies.

, , , ,

todevelopnewprocessesorproductsattheSixSigmalevel.ThesecondiscalledDMAIC

(define,measure,analyze,improve,andcontrol)andisusedtoimproveexistingprocesses

orproducts.

Another

tidbit

you

should

understand

about

Six

Sigma

is

that

it

aims

to

eliminatedefectsandstipulatesthatnomorethan3.4defectspermillionareproduced.Crosby=Zerodefectsandprevention

Juran =Fitnessforuse,conformance.Qualitybydesign.

Deming=Qualityisamanagementproblem.

Feigenbaum =Founder

of

TQM.

Shewhart =PlanDoCheckActcycle.

TQM=Qualitymustbemanagedinandmustbeacontinuousprocess.

SixSigma=SixSigmaisameasurementbasedstrategy;nomorethan3.4defectspermillion

Kaizen=Continuousimprovement;improvequalityofpeoplefirst.

Continuousimprovement=Watchcontinuouslyforwaystoimprovequality.


16/32

Leaders motivate,inspire,andcreatebuyinfortheorganizationsstrategic

vision.Leadersusepowerandpoliticstoaccomplishthevision.

Fortheexam,rememberthatthekeytoDOEisthatitequipsyouwithastatistical

needs.

projectoutcomes

at

once

instead

of

changing

one

variable

at

atime.

QualityMetrics

, ,

andhowitwillbemeasuredduringthePerformQualityControlprocess.

Beawarethatachecklistshowsupasaninput,anoutput,andatoolandtechnique.Quality

checklistsare

an

output

of

the

Plan

Quality

process

and

an

input

to

the

Perform

Quality

Controlprocess,andchecklistanalysisisatoolandtechniqueoftheIdentifyRiskprocess.

Maslows hierarchyofneedsAbrahamMaslow.Needsmustbesatisfiedina

hierarchicalorder.

yg ene eory re er c erz erg. or env ronmen pay, ene s,an wor ng

conditions)preventsdissatisfaction.

ExpectancyTheoryVictorVroom.Expectationofpositiveoutcomesdrivesmotivation.

AchievementTheoryDavidMcClelland.Peoplearemotivatedbyachievement,power,

andaffiliation


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ThemostimportantpointtorememberaboutPerformQualityAssuranceisthat

qualitymanagementprocessesarewhatyouusetomakecertaintheprojectsatisfies

TheoryZTheimplementationofthistheoryincreasesemployeeloyaltyandleadsto

thequalitystandardslaidoutintheprojectmanagementplan.

.

ContingencyTheoryPeoplearemotivatedtoachievelevelsofcompetencyandwill

continuetobemotivatedaftercompetencyisreached.

RewardpowerYourewarddesirablebehaviorwithincentivesorbonuses.

PunishmentpowerYouthreatenteammemberswithconsequencesifexpectationsare

notmet(alsoknownaspenaltypower).ExpertpowerThepersondoingtheinfluencinghassignificantknowledgeorskills

re ardin thesub ect.

LegitimatepowerThisisthepowerofthepositionheldbytheinfluencer(thepresident

orvicepresident,forexample).

ReferentpowerThisispowerthatsinferredtotheinfluencer.

Contracts:

Requirement

Requisition

Solicitation

Award


18/32

PlanProcurements:PreparingtheSOWandprocurementdocumentsanddetermining

ConductProcurements:Obtainingbidsandproposalsfrompotentialvendors,

evaluatingproposalsagainstpredeterminedevaluationcriteria,selectingvendors,

andawardingthecontract

AdministerProcurements:Monitoringvendorperformancetoensurethatcontract

requirementsaremet

Thechange

control

system

and

configuration

management

system

together

identify,

document,andcontrolthechangestotheperformancebaseline.

Aworkaroundisanunplannedresponsetoanegativeriskevent.Itattem tstodealwiththeriskina roductive efficientmanner.

PV:TheapprovedbudgetassignedtoworktobecompletedduringagiventimeperiodAC:Moneythatsactuallybeenexpendedduringagiventimeperiodforcomp e e wor

EV:Thevalueoftheworkcompletedtodatecomparedtothebudget


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TheEACformula

EAC=AC

+bottom

up

ETC

EACusingactualcoststodateandassumingETCusesbudgetedrate

EAC = AC + BAC EV

EACassuming

future

performance

will

behave

like

past

performance

EAC=BAC/cumulativeCPI

EACwhencostperformanceisnegativeandscheduledatesmustbemet

EAC=AC+[(BAC EV)/(cumulativeCPI*cumulativeSPI)]

BottomupETC

Summationofthecostsoftheremainingworkbasedonestimatesfromtheproject

teammembersworkingontheseactivities

ETCwhen

future

cost

variances

will

be

similar

to

past

variances

ETC=(BAC cumulativeEV)/cumulativeCPI

ETCwhenfuturecostvariancesareexpectedtobeatypical

ETC=(BAC cumulativeEV)


20/32

Randomvariancesmightbenormal,dependingontheprocesses

,

implies,atrandom.

Knownor

predictable

variances

are

variances

that

you

know

exist

in

the

process

because

of

particularcharacteristicsoftheproduct,service,orresultyouareprocessing.Theseare

generallyuniquetoaparticularapplication.

VariancesthatarealwayspresentintheprocessTheprocessitselfwillhaveinherent

variabilitythatisperhapscausedbyhumanmistakes,machinevariationsormalfunctions,

theenvironment andsoon whichareknownasvariancesalwa s resentinthe rocess.

Thesevariancesgenerallyexistacrossallapplicationsoftheprocess.

Fortheexam,rememberthatproductverification,whichdetermineswhetherallof

procurementterms

and

satisfactory

according

to

stakeholder

expectations,

is

performed

duringtheClosingprocesses. Productdocumentationisverifiedandacceptedduring

theVerifyScope process.Onemorenote:whenprojectsendprematurely,theVerify

Scopeprocessiswherethelevelofdetailconcerningtheamountofworkcompleted

getsdocumented.


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1.Correctiveaction.Documenteddirectionforexecutingtheprojectworktobringexpectedfuture

performanceoftheprojectworkinlinewiththeprojectmanagementplan.

2.Preventiveaction.Adocumenteddirectiontoperformanactivitythatcanreducetheprobabilityof

negativeconsequences

associated

with

project

risks.

3.Defectrepair.Theformallydocumentedidentificationofadefectinaprojectcomponentwitha

recommendationtoeitherrepairthedefectorcompletelyreplacethecomponent.

4.Updates.Changestoformallycontrolleddocumentation,plans,etc.,toreflectmodifiedoradditional

ideasorcontent.

1.Configurationidentification Selectionandidentificationofaconfigurationitemprovidesthebasisfor

which roductconfi urationisdefinedandverified roductsanddocumentsarelabeled chan esare

managed,andaccountabilityismaintained.

Configurationstatusaccounting Informationisrecordedandreportedastowhenappropriatedata

abouttheconfigurationitemshouldbeprovided.Thisinformationincludesalistingofapproved

confi urationidentification,statusof ro osedchan estotheconfi uration,andtheim lementation

statusof

approved

changes.

Configurationverificationandaudit.Configurationverificationandconfigurationauditsensurethe

compositionofaprojectsconfigurationitemsiscorrectandthatcorrespondingchangesareregistered,

assessed a roved tracked andcorrectl im lemented.Thisensuresthefunctionalre uirements

definedintheconfigurationdocumentationhavebeenmet.


22/32

Beforebeingbaselined,requirementsmustbeunambiguous(measurableandtestable),traceable,complete,

consistent,andacceptabletokeystakeholders.

1.Usingphases oftheprojectlifecycleasthefirstlevelofdecomposition,withtheproductandprojectdeliverables

insertedat

the

second

level

2.Usingmajordeliverablesasthefirstlevelofdecomposition

3.Usingsubprojects whichmaybedevelopedbyorganizationsoutsidetheprojectteam,suchascontractedwork.The

sellerthendevelopsthesupportingcontractworkbreakdownstructureaspartofthecontractedwork.

VerifyScopeistheprocessofformalizingacceptanceofthecompletedprojectdeliverables.

Verifyingscope

includes

reviewing

deliverables

with

the

customer

or

sponsor

to

ensure

that

they

are

completed

sa s ac or yan o a n ng orma accep anceo e vera es y ecus omerorsponsor.

Scopeverificationdiffersfromqualitycontrolinthatscopeverificationisprimarilyconcernedwithacceptanceofthe

deliverables,whilequalitycontrolisprimarilyconcernedwithcorrectnessofthedeliverablesandmeetingthequality

requirementsspecifiedforthedeliverables.

VarianceAnalysis

Project

performance

measurements

are

used

to

assess

the

magnitude

of

variation

from

the

original

scopebaseline.Importantaspectsofprojectscopecontrolincludedeterminingthecauseanddegreeofvariance

relativetothescopebaselineanddecidingwhethercorrectiveorpreventiveactionisrequired.


23/32


24/32

Whichactivitiescanstartinprojectinitiatinganddonotenduntilprojectclosing?

Teambuilding,riskidentification,riskresponseplanningandintegratedchangecontrol

GERT isanetworkdiagramdrawingmethodthatallowsloopsbetweenactivities.Forexamplewhenyouhaveanactivity

to

design

acomponent

and

then

test

it.

After

testing,

it

may

or

may

not

need

to

be

redesigned.

Aheuristicmeansaruleofthumb.

eg ru e a , nqua y,sugges s a percen o qua ypro emsarecause y percen o po en a

sourcesofproblems.

Theresultofparametricestimatescanbecomeheuristics.

MarginalAnalysis

Optimal

quality

is

reached

at

the

point

where

the

incremental

revenue

from

improvement

equa st e ncrementa costtosecure t.

At6sigma,lessthan1.5outof1million.

At3sigma,2,700.

+/1sigma

=68.26%

+/2sigma=95.46%

+/3sigma=99.73%

.


25/32

OrgStructures

threeEEFthatcanconstraintheDevelopHRProcess

CollectiveBargainingAgreements

EconomicConditions

Whatisavalidateddefectrepair?istheresultofreinspection oftheoriginaldefectrepair.

Referstothesumofprobabilityweightedpresentvaluesinarangeofestimatedcashflows,alldiscountedusingthe

sameinterestrateconvention.

SumofprobabilityweightedPresentValuesoffuturecashflows

Competition

Differences

Disagreements

Poorcommunication

ConflictManagement

Principles

Leteachpersonhavetheirsay

Listenhard

Separatetheissuesfrompersonalities


26/32

CPPC

Cost

Plus

Percenta e

ofCostContracttypewhichprovidesforthesellertobereimbursedforallowablecostsofperformingthecontractandreceives

asprofit(afee)anagreeduponpercentageofthecosts.

Formula:Totalprice=Cost+(Fee%*Cost)

os us ncen ve ee

Contracttypewhichprovidesforthesellertobepaidforallowableperformancecostsalongwithapredeterminedfee

andan

incentive

bonus.

If

the

final

costs

are

less

than

the

expected

costs,

both

the

buyer

and

seller

benefit

by

the

cost

savingsbasedonaprenegotiatedsharingformula(shareratio).

Formula:Price=(Actualcost+TargetFee+Incentive),whereIncentive=

ShareRatio%*(TargetCost ActualCost)

FPIF(FixedPricePlusIncentiveFee)

Contracttype

where

the

seller

agrees

to

perform

aservice

or

furnish

supplies

at

the

established

contract

price

plus

a

. ,

savingswillbesharedbythesellerandbuyerbasedonarenegotiatedsharingformula(shareratio).

Formula:Price=Lessor oftheCeilingPriceor(Actualcost+TargetProfit

+Incentive),whereIncentive=ShareRatio%*(TargetCost

ActualCost)

PointofTotalAssumption(PTA)

Thecostatwhichthecontractorassumestotalresponsibilityforeachadditionaldollarofcontractcost.

Formula:PTA=((Ceilingprice Targetprice)/Buyersshare)+Targetcost,

where Tar et rice = Tar et cost + Tar et rofit


27/32

Define:

Chan e

Control

Theproceduresusedtoidentify,document,approve(orreject)andcontrolchangestotheprojectbaselines.

Define:EnterpriseEnvironmentalFactors

Theexternalandinternalfactorsaffectingtheenterprise,includingorganizationalcultureandstructure,existing

resources,mar e con onsan pro ec managemen so ware

Define:Expert

Judgment

Judgmentbaseduponexpertiseappropriatetotheactivity.Itmaybeprovidedbyanygrouporperson,eitherwithin

theorganizationorexternaltoit.

Define:OrganizationalProcessAssets

Anyorallprocessrelatedassets,includingformalandinformalplans,policiesandprocedures,guidelinesandhistorical

knowledgefrom

lessons

learned.

Define:ProgressiveElaboration

Theprogressiveimprovementofaplanasmorespecificanddetailedinformationbecomesavailableduringthecourse

oftheproject.

Define:ProjectManagementInformationSystem(PMIS)

ThePMIS

is

the

information

system

utilized

by

the

organization

to

facilitate

the

implementation

of

techniques,

documentsanddeliverablesforongoingandcompletedprojects.AlthoughPMIScanbemanualorautomated,

automatedsystemsarebecomingmorecommontoday.

Define:ProjectManagementMethodology

Anystructuredapproachusedtoguidetheprojectteamduringthedevelopmentoftheprojectplan.Thismethodology

mayutilize

forms,

templates

and

procedures

standard

to

the

organization.


28/32

Name

3

thin s

An

SOW

enerall

includes1.Thebusinessneedorreasonstheproductorserviceisrequired

2.Thedescriptionoftheproductscopeorproductrequirementswithasmuchdetailaspossibletosupportproject

planningandestimates

3.Thestrategicplanandhowtheprojectsupportstheorganization'sstrategicgoalstofacilitatetheprojectselection

ec s onma ngprocess

Describe2Project

Selection

Methods

1.BenefitMeasurementMethodsarecomparativeapproachessuchasreturnoninvestment(ROI)analysis,scoring

models,economicmodels,peerreviewsandreviewboards(adversarialproceedingstostopaproject).

2.MathematicalModelsusevariousalgorithms,oftenreferredtoasdecisionmodels(decisionmodelsarediscussed

furtherinChapter11onriskmanagement).

Whatis

the

Preliminary

Scope

Statement?

tm g t econs ere a st ra t o t eun erstan ngo pro ectrequ rements. epre m naryscopestatement

provesthattheprojectendsatisfiesthebusinessneed.Thepreliminaryscopestatementwillberevisedandrefined

duringtheplanningprocesses.

List7thingsoutlinedinthepreliminaryscopestatement

1.

Product

and

project

objectives2.Projectboundaries,constraintsandassumptions

3.InitialWBS,preliminarymilestonesandcostestimates

4.Initialhumanresourceplan

.

6.Configurationmanagementrequirements

7.Acceptancecriteria


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DescribethedevelopprojectmanagementplanprocessintheIntegration

Itintegratesallthesubsidiaryplansfromthevariousknowledgeareasintoonecohesivewhole.Thiscomplete,

.

projectteamspendsufficienttimeincreatingtheprojectmanagementplanbecausethisdocumentservestoreduce

projectuncertainty,

improve

the

efficiency

of

work,

provide

abetter

understanding

of

the

project

objectives

and

provideabasisformonitoringandcontrolling.Thiskeydocumentalsoservesasacommunicationandeducationaltool

forstakeholdersontheproject.

What4conceptsofplanningdoesPMIemphasize?

1.Planningbeginsduringtheinitiatingphaseofaproject.

2.Planningdoesnotenduntiltheprojectisfinished.

3.

Planning

is

an

intellectual

process

that

runs

through

all

the

other

processes

of

the

project.4.Plannin isiterative asthe ro ect roceeds the ro ectteammust lan re lan and lana ain.

DescribetheProjectMgmtPlandoc.

Itisacollectionofdocumentsthatidentifytheprojectassumptionsanddecisions.Theprojectmanagementplan

providesbothastandardcommunicationtoolthroughoutthelifetimeoftheprojectandaverificationandagreement

ono ec vesan requ remen s rom es a e o ers. ep an s ocumen e an approve y o ecus omer

andthe

sponsor.

All

baselines

for

tracking,

control,

analysis,

communications

and

integration

elements

are

incorporated

intotheprojectmanagementplan.

Theprojectmanagementplanisakeydocumentthatintegratesoutputsfromalltheotherplanningprocessestoform

aconsistent,comprehensivedocumenttoguidetheexecutionandcontroloftheproject.


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goodchoice.ABCRof1:3,however,isnotagoodchoice.

Leadtimeisalwayshurryuptimeandisnegativetimebecausetheworkismovingclosertothe

.

managerisaddingtimetotheprojectschedule.

Fragnet Arepresentationofaprojectnetworkdiagramthatisoftenusedforoutsourcedportionsofa

ro ect,re etitiveworkwithina ro ect,orasub ro ect.Alsocalledasubnet.

LagtimePositivetimethatmovestwoormoreactivitiesfartherapart.

AnegativeLeadisequivalenttoapositivelag.

LeadtimeNegativetimethatbringstwoormoreactivitiesclosertogether.

ParkinsonsLawAtheorythatstates:Workexpandssoastofillthetimeavailable

foritscompletion.Itisconsideredwithtimeestimating,becausebloatedorpadded

activityestimateswillfilltheamountoftimeallottedtotheactivity.

RefinementAnupdatetotheworkbreakdownstructure.

Therearefourspecificchangecontrolsystemsinprojectmanagement:scopechangecontrolsystem,

schedulechangecontrolsystem,costchangecontrolsystem,andthecontractchangecontrolsystem.


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Anexceptionreportistypicallycompletedwhenvariancesexceedagivenlimit.

Sensitivityanalysisexamineseachrisktodeterminewhichonehasthelargestimpactontheprojects

success.

Residualrisks

(these

are

risks

that

are

expected

to

remain

after

arisk

response)

Secondaryrisks(thesearenewrisksthatarecreatedasaresultofariskresponse)

Becauseofthelegalitiesassociatedwiththecontract,contractadministrationisoftenhandledasan

operationoftheorganizationratherthanaspartofprojectmanagement.

correspondingworkbreakdownstructure(WBS).TheBOMisarrangedinsyncwiththehierarchyofthe

deliverablesintheWBS.

WhatdoesthetermBestpracticeoftenreferto?oAspecificsequenceofwork,describedintermsofSoftlogic.SunkNode

oItisanodeinaNetworklogicdiagramwhichhasmultiplepredecessors.Qualityassuranceispreventiondrivenandisamanagement process.

Qualitycontrolisinspectiondrivenandisaproject process.


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Whichstatementisfalse forConstructivechanges?oConstructive

changes

are

limited

to

the

execution

processes,

when

the

product

of

the

project

is

built.

oTheorderofphasesmustbestrictlyconsecutivewithoutoverlappinginordertoallowforgates.

ame o e eye emen so epro ec managemen p an

1.Theprojectmanagementapproachorstrategytobeusedbythedefinitionoftheselectedprocessesandtoolsand

techniques2.Howprojectworkwillbemanagedandexecuted

3.Howchangeswillbemonitoredandcontrolled

4.Howconfigurationmanagementwillbeperformed

5.Howtheintegrityofperformancebaselineswillbemaintained

6.Howtheprojectwillbeclosed

7.The

selected

project

life

cycle

to

be

used

.

9.Theleveloffrequencyandtechniquesforcommunicatingwithstakeholders

10.Thescheduleormilestonechartofkeymanagementreviewsforprogress,issueresolutionanddecisions

11.Subsidiarymanagementplans

ReserveTime

or

Buffer

or

Contingency

Time:

it

means

adding

aportion

of

time

to

the

activity

to

account

for

schedule

risk.

KeyEnvironmentalFactorsforHumanResourcePlanning:

Or anization Factors Technical Factors Inter ersonal Factors Location & Lo istics and Political Factors.

project management professional (pmp)_general_part ii

Documents