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P M P (5th Edition)

Chapter (1)
1- Purpose of the PMBOK guide :-

The PMBOK guide identifies that subset of the P.M body of knowledge that is generally
recognized as good practice.
Generally recognized means the knowledge and practices are applicable to most
projects most of time and there is consensus about their value and usefulness.
Good practice doesnt mean that the knowledge described should always be applied
uniformaly to all projects.

2- What is the project? :- A project is a temporary endeavor undertaken to create a unique product, service
or result.
Temporary:

- The project has a define beginning and end...It refers to the projects engagement and its longevity.
- Temporary doesnt:
a- Mean the duration of the project is short.
b- Apply to the product, service or result created by the project, most
Projects are undertaken to create a lasting outcome (E.X: National
mounment).
- End : the end of the project is reached when :
a- The project objectives have been reached.
b- The project is terminated because:
1- Its objectives can not be met.
2- The need for the project no longer exists.
3- The client wishes to terminate the project.

Unique:
-

The outcome of the project may be tangible or intangible.


The repetitive elements in some projects doesn't change the unique characteristics of the
project , each project remains unique with a different location , different circumstances and
situations, different stakeholders, and so on.

Progressive elaboration:
-

Continuously improving and detailing a plan as more detailed and specific information and more
accurate.

Project
Temporary endeavor
Unique product
Constructing building

Operation
Ongoing endeavor
Repetitive product
Production line

4 A project can create :-

A product can be either a component of another item, an enhancement of an item, or an end


item itself.
A service capability to perform a service (production or distribution).
An improvement in the existing product or service lines. (Six Sigma project undertaken to reduce
defects).
A result such as outcome or document.

5 Examples of projects include:-

Developing a new product, service or result.


Constructing building, industrial plant, or infrastructure.
Developing or acquiring a new or modified information system (Hardware or software).
Effecting a change in the structure, processes, staffing or style of an organization.
Conducting a research effort whose outcome will be aptly recorded.

Example:
If your boss walked into your office and said the system is broken, can you figure out
what is the wrong with it and fix it? would this be a project?

6 What is the project management?:-

It is the application of knowledge, skills, tools and techniques to project activities to meet the
project requirement.
Five process groups :

12345-

Intiating.
Planning.
Executing.
Monitoring and controlling.

Closing.
Knowlegde area: (Intergation, Scope, Time, Cost, Quality, human resource, communications,
risk, procurement management, buget and schedule).
Managing a project include also :

1. Identifying requirements.
2. Expectaion of the stakeholders in planning and executing the project to meet project
requirements and managing, maintaining and carrying out communications and collaborative
among stakeholders.

TheProgressive elaboration throughout the project makes improving details and informations
and more accurate estimates become available and allow a project management team to define
work and manage it to greater level.

7 The relationships among (Portfolios, programs, and projects):- Program Management:


o A program is defined as a group of related projects, subprograms and program activities
managed in a coordinated way to obtain benefits not available from managing them
individually.
o Programs may include elements of related work outside the scope of the discrete projects in the
program (A project may or may not be a part of program but a program will always have
projects).
o Program management is the application of knowledge, skills, tools, and techniques to a program
in order to meet the program requirements and to obtain benefits and control not available by
managing projects individually.
o If the relationship between projects is only that of a shared client, seller, technology, or
resource, the effort should be managed as a portfolio of projects rather than as a program.
o Program management focuses on the project interdependencies and helps to determine the
optimal approach for managing them. Actions related to these interdependencies may include :
1- Resolving resource constraints and conflicts that affect projects within the program.
2- Aligning organizational/strategic direction that affects project and program goals and
objectives.
3- Resolving issues and change management within a shared governance structure.

- Portfolio Management :
o Refers to a collection of projects, programs, subportfolios and operations managed as a group to
achieve that common strategic goal (The programs and projects that make up the portfolio may
not be interdependent or related).

Portfolio
Program
Projects

Projects

Subprogra
m

Sub
portfolio

Projects

Programs

Projects

Subprogram
s

Comparative overview of project, program, and portfolio management

Projects
Scope

Change

Planning

Management

Programs

Portfolios

Projects have defined objectives;


scope is progressively elaborated
throughout the project life cycle.

Programs have a larger scope and


provide more significant benefits.

Portfolios have an organizational


scope that changes with the
strategic objectives of the
organization.

Project managers expect change


and implement process to keep
change managed and controlled.

Program managers expect change


from both inside and outside the
program and prepared to manage
it.

Portfolio managers continously


monitor changes in the broader
internal and external environment.

Project managers progressively


elaborate high-level information
into detailed plans throughout the
project life cycle.

Program managers develop overall


program plan and create high-level
plans to guide detailed planning at
the component level.

Portfolio managers create and


maintain necessary processes and
communication relative to the
aggregate portfolio.

Project managers manage the


project team to meet the project
objectives.

Program managers manage the


program staff and the project
managers; they provide vision and
overall leadership.

Portfolio managers may manage or


coordinate portfolio management
staff, or program and project staff
that may have reporting
responsibilities into the aggregate
portfolio.

Success is measured by

Success is measured by the degree


to which the program satisfies the
needs and benefits for which it was
undertaken.

Success is measured in terms of the


aggregate investment performance
and benefit realization of the
portfolio.

Program managers monitor the


progress of program components
to ensure the overall goals,
schedules, budget and benefits of
the program will be met.

Portfolio managers :

1- Product and project


quality and timeliness

Success
2- Budget compliance.
3- Degree of customer
satisfaction.

Monitoring

Project managers monitor and


control the work of producing the
product, service or result that the
project was undertaken to
produce.

1- Monitor strategic changes.


2- Aggregate resource
allocation.
3- Performance result.
4- Risk of the portfolio.

8 Organizational project management (OPM):- (OPM) is a strategy execution framework utilizing project, program, and portfolio management as well
as organizational enabling practices to consistently and predictably deliver organizational strategy
producing better performance, better results, and a sustainable competitve advantage.
- Portfolio, program, and project management are contributed in different ways to achievement of
strategic goals.
1. Portfolio management aligns with organizational strategy by:
a- Selecting the right programs and projects.
b- Prioritizing the work.
c- Providing the needed resource.
2. Program management align with organizational strategy by:
a- Harmonizing its projects and program components and controls interdependencies in
order to realize specified benefits.
3. Project management align with organizational strategy by:
a- Developing and implementing plans to achieve a specific scope that is driven by the
objectives of the program or portfolio it is subjected to and ultimately to
organizational strategies.
- It advances organizational capability by linking project, program, and portfolio management
principles and practices with organizational enablers to support strategic goals.

9 Projects and strategic planning:Projects are typically authorized as a result of one or more of the following strategic considerations:
1- Market demand.
2- Strategic opportunity/business needs (training company authorizing a project to create a new
course to increase its revenues).
3- Social needs (Governmental needs doing by nongovernmental organizations).
4- Environmental considerations (Reduce pollution).
5- Customer request.
6- Technological advance.
7- Legal requirement.

10 Project management office (PMO):(PMO) is a management structure that standardizes the project related governance processes and
facilitates the sharing resources, methodologies, tools, and techniques.
- The responsibilities of a PMO can range from providing project management support functions
to actually for the direct management of one or more projects.
- There are three several types of PMO structures in organizations :
1- Supportive : Supportive PMOs provide a consultative role to projects by supplying templates,
best practices training, access to information and lessons learned from other projects. This
type of PMO serves as a project repository. The degree of control by the PMO is low.

2- Controlling: Controlling PMOs provide support and require compliance through various
means. Compliance may involve adopting project management frameworks, methodologies,
using specific templates, forms and tools or conformance to governance. The degree of
control by the PMO is moderate.
3- Directive: Directive PMOs take control of the projects by directly managing the projects. The
degree of control provided by PMO is high.
The PMO is the natural liaison between the organization's portfolios, programs, projects and the
corporate measurement systems.
The projects administrated by the PMO may not be related, other than by being managed
together. The PMO structures are dependent upon the needs of the organization.
Is responsible for the result of projects of a certain size, type, or influence are managed by this
office.
The PMO may have the authority to:
1- Act as an integral stakeholder. 2- Key decision maker. 3- Make recommendations.
4- Terminate projects. 5- Selection, management, and deployment of shared project resources.
6- Manage interdependencies between projects. 7- Help gather lesson learned and make them
available to other projects. 8- Provide templates and guidance. 9- Be involved during project
initiation than later in the project.
The ways of PMO to support project management is :
1- Managing shared resources.
2- Identifying project management methodologies, best practices, and standards.
3- Developing and managing project policies, procedures, templates and other standard
documentation.
4- Monitoring compliance with project management standards, policies, procedures and
templates.
5- Coaching, mentoring and oversight.
6- Coordinating communication across projects.
The PMO not improve project performance without the use of proper project management
processes and techniques, so professional project management must be promoted.

Difference between the role of project managers and a PMO:

Project Manager

Project management office (PMO)

Focuses on the specified project objectives.

Manages major program scope changes, which


may be seen as potential opportunities to better
achieve business objectives.

Controls the assigned project resources to best


meet project objectives.

Optimizes the use of shared organizational


resources across all projects.

Manages the constraints (Scope, schedule, cost,


quality, etc.) of the individual projects.

Manages the methodologies, standards, risks,


metrics and interdependencies among projects.

11 Operations management:

Operation management is an area that outside the scope of formal project management and inside the
management concerned with ongoing production of goods and services.
It concerned with managing processes that transform inputs (Materials, components, energy, and labor)
into outputs (Products, goods, services).
- Is responsible for:
1- Overseeing, directing, and controlling business operations.
2- Support the day to day business.
3- Achieving strategic goals of the business.
-Example: (production operations-manufacturing operations-accounting-software supportmaintenance).

Projects require project management activities and skill sets.

Ongoing operations are outside of the scope of the project, but they are intersecting at various
points during the product life cycle:
1- At each closeout phase. 2- When developing a new product, upgrading a product or
expanding outputs. 3- While improving operations or the product development process.
4- Until the end of the product life cycle.
Deliverables and knowledge are transferred between the project and operations: At the projects start: Transfer of operational resource to the project.
At the projects end: Transfer of project resources to operations.
Operations are ongoing endeavors that produce repetitive outputs.

Operations require 1- Business process management. 2- Operation management activities


and skill sets.

Operation stakeholders in project management:-

The needs of stakeholders who perform business operations are important considerations in
projects that will affect their future work and endeavors.
The influence (positive or negative) of the operational stakeholders and their needs should be
addressed as part of the risk management.
Examples of operational stakeholders :
1- Plant operators. 2- Manufacturing line supervisors. 3- Help disk stuff.
4 Production system support analysis. 5- Customer service representative. 6- Salespersons.
7- Maintenance workers. 8- Telephone sales personnel. 9- Call center personnel.
10- Retail workers. 11- Line managers. 12- Training officers.

12 Organizations and project management:-

Organizations use governance to establish strategic direction and performance parameters.


The strategic direction provides the purpose, expectations, goals and actions necessary to guide
business objectives.
When business alignment for a project is constant, the chance for project success increases
because the project remains aligned with the strategic direction of the organization, should
something change, project should change accordingly.

- Project based organizations (PBOs):-

Create temporary systems for carrying out the work, the success of the work is measured by the
final result rather than the position or politics.
PBOs conduct the majority of their work as projects or provide project rather than functional
approaches.

- The link between the project management and organizational governance:-

Projects are undertaken to achieve strategic business outcomes. For which many organizations
now adopt formal organizational governance processes and procedures.
Organizational governance criteria can impose constraints on project-particularly if the project
delivers a service which will be subject to strict organizational governance.
Because project success may be judged on the basis of how will the resultant product or service
supports organizational governance, it is important for the project manager to be
knowledgeable about corporate organizational governance policies and procedures pertaining to
the subject matter of the product or service..
If an organization has adopted policies in support of sustainability practices and the project
involves construction of a new office building, the project manager should be aware of
sustainability requirements related to building construction.

- The relationship between project management and organizational strategy:-

Organizational strategy should provide guidance and direction to project management especially when one considers that projects exist to support organizational strategy.
If the goal of a project are in conflict with an established organizational strategy :-

o The project manager document and identify such conflicts as really as possible in the
project.
o The development of an organizational strategy could be the goal of a project rather than
a guiding principle.
In such a case, it is important for the project to specifically define what constitutes an
appropriate organizational strategy what will sustain the organization.

13 Business value:- (Unique to each organization).


-

Business value is defined as the entire value of the business, the total sum of all tangible and
intangible elements.
o Tangible elements include (monetary assets, fixtures, stockholder equity, and utility).
o Intangible elements include (good will, brand recognition, public benefit, and
trademarks).
Business value scope can be short medium or long term.
While not all organizations are business driven, all organizations conduct business-related
activities. Whether an organization is a government agency or nonprofit organization.
Successful business value realization begins with comprehensive strategic planning and
management, in order to bridge the gap between organizational strategy and successful
business value realization, the use of portfolio, program, and project management techniques is
essential.
Using Portfolio management: aligns component (projects, programs, or operations) to the
organizational strategy, organized into portfolio or sub-portfolios to optimize project or program
objectives, dependencies, costs, timelines, benefits, resources, and risks. This allows
organizations to have an overall view of how the strategic goals are reflected in the portfolio,
institute appropriate governance management, and authorize human, financial, or material
resources to be allocated based on expected performance and benefits.
Using program management: align multiple projects for optimized costs, schedule, and benefits.
Using project management: apply knowledge, processes, skills, tools, and techniques to enhance
of success of projects.
o Project management focus on the successful delivery of products, service, or result.
o Programs management focuses on achieving organizational strategy and objectives.
o Portfolios management focuses on achieving organizational strategy and objectives.
By continuously conducting portfolio strategic alignment and optimization, performing business
impact analyses, and developing robust organizational enablers, organizations can achieve
successful transitions within the portfolio, program, and project domains and attain effective
investment management and business value realization.

14 Role of the project manager:- The project manager: is the person assigned by the performance organization to lead the team
that is responsible for achieving the project objectives.

The role of the project manager is distinct form functional manager or operations manager:

The functional manager is focused on providing management oversight for a business


unit.

The operation managers are responsible for ensuring that business operations are
efficient.

Depending on the organizational structure, a project manager may report to operational


manager, in other case may to program manager or portfolio manager who is responsible for
enterprise-wide projects. In this type of structure, the project manager works closely with the
program or portfolio manager to :
1- Achieve the project objectives.
2- Ensure the project management plan aligns with the overarching program plan.

- The project manager also works closely with business analyst, quality assurance manager.
15 Responsibilities and competencies of the project manager:- The project managers have the responsibility to :
1- Satisfy needs: task needs, team needs, and individual needs.
2- The link between the strategy and the teams.
3- Understanding and applying the knowledge, tools, and techniques.

Projects are :
1- Essential to the growth and survival of organizations.
2- Improved business processes.
3- Development of a new product and service, and make it easier for companies to respond to
changes in the environment, competition, and the marketplace.

The project manager competencies:


1- Knowledge Refers to what the project manager knows about the project management.
2- Performance Refers to what the project manager is able to accomplish.
3- Personal Refers to how the project manager behaves when performing the project.

Personal effectiveness encompasses attitudes, personality characteristics, and


leadership, which provides the ability to guide the project team.

16 Interpersonal skills of a project manager:- The project managers accomplish work through the project team and other stakeholders.
- The important interpersonal skills for the project manager :
1- Leadership.
2- Team building.
3- Motivation.
4- Communication.
5- Influencing.
6- Decision making.
7- Political and culture awareness.
8- Negotiation.
9- Trust building.
10- Conflict management.
11- Coaching.
12- Problem solving.

Email me on: eng_ayman_amer@yahoo.com