A Guide To The Project Management Body of Knowledge (PMBOK) Significant Changes from the 3 rd edition to the 4 th edition

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1 A Guide To The Project Body of Knowledge (PMBOK) Significant Changes from the 3 rd edition to the 4 th edition

2 Major Changes The adoption of the verb-noun format for process names Amplification as to Enterprise Environmental Factors and Organizational Process Assets Clarifications as to the relationships between Corrective Actions, Preventative Actions, Defect Repairs, and Requested changes The elimination, addition, and consolidation of processes to tighten the logic of the process groups A division of the Project Plan documents from Project Documents that was unclear in the 3 rd edition of the PMBOK

3 Major Changes (continued) The establishment of a distinction between the elements of a Project Charter from the Project Scope Statement The elimination of process flow diagrams that were often interpreted as activity diagrams rather than logical flows More emphasis on the logical connections between the processes (where outputs become inputs to follow-on processes) An appendix that is intended to emphasize the need for soft (interpersonal) skills

4 Name Changes PMBOK, 3 rd edition Verb-Noun Titles e.g., Create WBS; Develop Project Plan Noun-Verb Titles e.g., Scope Planning; Cost Control PMBOK, 4 th edition All processes titled in Verb-Noun format

5 Verb-Noun Examples Old PMBOK Activity Definition Activity Sequencing Activity Resource Estimating Activity Duration Estimating Cost Estimating Cost Budgeting New PMBOK Define Activities Sequence Activities Estimate Activity Resources Estimate Activity Durations Estimate Costs Determine Budget

6 Enterprise Environmental Factors The Organization s Enterprise Environmental factors and systems that influence the project s success Culture, structure, processes Government and Industry Standards Infrastructure (existing facilities and equipment) Existing Human Resources (skills, disciplines and knowledge) Personnel Administration Work authorization system Marketplace conditions Stakeholder Risk Tolerance Political climate Established communications channels Commercial databases (e.g., standardized cost estimating data, industry risk study information) PMIS 6

7 Organizational Process Assets Processes and Procedures Processes, policies, standardized guidelines, templates, communication requirements, closure guidelines, financial controls, issue and defect management, risk management, and work authorization procedures Corporate Knowledge Base Databases (process measurement, issues and defects, configuration management, and financial), Project files, historical information 7

8 Change Requests, et al Corrective Actions Preventive Actions Defect Repairs Change Requests Short-term actions Long-term actions

9 Project Integration Inputs and Outputs Project Plan Performance Reports Monitor and Control Project Work PM Plan Updates Project Documentation Updates Change Requests Corrective Actions Preventive Actions Defect Repairs Project Plan Work Performance Information Perform Integrated Change Control Change Request Status Updates Project Man. Plan Updates

10 New Category of Change Request Updates to the contents of plans, documents, etc.

11 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Preliminary Project Scope Statement Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Integrated Change Control Close Project Scope Scope Planning Scope Definition Create WBS Scope Verification Scope Control Time Activity Definition Activity Sequencing Activity Resource Estimating Activity Duration Estimation Schedule Development Schedule Control Cost Cost Estimating Cost Budgeting Cost Control Quality Quality Planning Perform Quality Assurance Perform Quality Control Human Resource Human Resource Planning Acquire Project Team Develop Project Team Manage Project Team Communications Communications Planning Information Distribution Performance Reporting Manage Stakeholders Risk Risk Planning Risk Identification Qualitative Risk Analysis Quantitative Risk Analysis Risk Response Planning Risk Monitoring and Control Procurement Plan Purchases and Acquisitions Plan Contracting Request Seller Responses Select Sellers Contract Administration Contract Closure

12 Processes Changes to the matrix of Processes In addition to the wording changes (verb-noun format)

13 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Preliminary Project Scope Statement Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Integrated Change Control Close Project Scope Scope Planning Scope Definition Create WBS Scope Verification Scope Control Time Activity Definition Activity Sequencing Activity Resource Estimating Activity Duration Estimation Schedule Development Schedule Control Cost Cost Estimating Cost Budgeting Cost Control Quality Quality Planning Perform Quality Assurance Perform Quality Control Human Resource Human Resource Planning Acquire Project Team Develop Project Team Manage Project Team Communications Communications Planning Information Distribution Performance Reporting Manage Stakeholders Risk Risk Planning Risk Identification Qualitative Risk Analysis Quantitative Risk Analysis Risk Response Planning Risk Monitoring and Control Procurement Plan Purchases and Acquisitions Plan Contracting Request Seller Responses Select Sellers Contract Administration Contract Closure 13

14 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Preliminary Project Scope Statement Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Integrated Change Control Close Project Scope Scope Planning Scope Definition Create WBS Scope Verification Scope Control Time Activity Definition Activity Sequencing Activity Resource Estimating Activity Duration Estimation Schedule Development Schedule Control Cost Cost Estimating Cost Budgeting Cost Control Quality Quality Planning Perform Quality Assurance Perform Quality Control Human Resource Human Resource Planning Acquire Project Team Develop Project Team Manage Project Team Communications Communications Planning Information Distribution Performance Reporting Manage Stakeholders Risk Risk Planning Risk Identification Qualitative Risk Analysis Quantitative Risk Analysis Risk Response Planning Risk Monitoring and Control Procurement Plan Purchases and Acquisitions Plan Contracting Request Seller Responses Select Sellers Contract Administration Contract Closure 14

15 Initiating Process: Identify Stakeholders Knowledge Area: Communications The process of identifying all people or organizations impacted by the project, and documenting relevant information regarding their interests, involvement, and impact on project success. -PMBOK 15

16 Identify Stakeholders Inputs Project Charter Procurement Documents Enterprise Environmental Factors Organizational Process Assets 16

17 Inputs: Project Charter Utilize information provided in Charter about sponsors customers team members groups departments that are involved in project 17

18 Inputs: Procurement Documents If the project is: The result of a procurement activity Based on an established contract Parties to that contract are then key project stakeholders 18

19 Identify Stakeholders Tools and Techniques Stakeholder Analysis Expert Judgment 19

20 Tools and Techniques: Stakeholder Analysis Step 1: Identify all potential stakeholders Roles Departments Interests Knowledge levels Expectation Influence levels 20

21 Tools and Techniques: Stakeholder Analysis Step 2: Identify the potential impact or support; classify Power/interest grid Power/influence grid Influence/impact grid Salience model Level of authority power Level of concern interest Active involvement influence Effect changes to planning/execution - impact 21

22 Example: Power/Interest Grid High Keep Satisfied Manage Closely Power Monitor Keep Informed Low Low Interest High 22

23 Identify Stakeholders Outputs Stakeholder Register Stakeholder Strategy 23

24 Outputs: Stakeholder Registry Identification Information Assessment Information Stakeholder Classification Internal/external Supporter/neutral/resistor, etc. 24

25 Outputs: Stakeholder Strategy Includes Key stakeholders Level of participation desired Stakeholder groups and management (as groups) Stakeholder Interest in Project Assessment of Impact Potential Strategies 25

26 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Preliminary Project Scope Statement Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Integrated Change Control Close Project Scope Scope Planning Scope Definition Create WBS Scope Verification Scope Control Time Activity Definition Activity Sequencing Activity Resource Estimating Activity Duration Estimation Schedule Development Schedule Control Cost Cost Estimating Cost Budgeting Cost Control Quality Quality Planning Perform Quality Assurance Perform Quality Control Human Resource Human Resource Planning Acquire Project Team Develop Project Team Manage Project Team Communications Communications Planning Information Distribution Performance Reporting Manage Stakeholders Risk Risk Planning Risk Identification Qualitative Risk Analysis Quantitative Risk Analysis Risk Response Planning Risk Monitoring and Control Procurement Plan Purchases and Acquisitions Plan Contracting Request Seller Responses Select Sellers Contract Administration Contract Closure

27 Planning Process: Collect Requirements Knowledge Area: Scope Scope Planning Collect Requirements is the process of defining stakeholders needs to meet the project objectives. -PMBOK 27

28 Collect Requirements Inputs Project Charter Stakeholder Register 28

29 Collect Requirements Tools and Techniques Interviews Focus Groups Facilitated Workshops Group Creativity Technique Group Decision Making Techniques Questionnaires and Surveys Observations Prototypes 29

30 Collect Requirements Outputs Requirements Documentation Requirements Plan Requirements Traceability Matrix 30

31 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Preliminary Project Scope Statement Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Integrated Change Control Close Project Scope Scope Planning Scope Definition Create WBS Scope Verification Scope Control Time Activity Definition Activity Sequencing Activity Resource Estimating Activity Duration Estimation Schedule Development Schedule Control Cost Cost Estimating Cost Budgeting Cost Control Quality Quality Planning Perform Quality Assurance Perform Quality Control Human Resource Human Resource Planning Acquire Project Team Develop Project Team Manage Project Team Communications Communications Planning Information Distribution Performance Reporting Manage Stakeholders Risk Risk Planning Risk Identification Qualitative Risk Analysis Quantitative Risk Analysis Risk Response Planning Risk Monitoring and Control Procurement Plan Purchases and Acquisitions Plan Contracting Request Seller Responses Select Sellers Contract Administration Contract Closure

32 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Preliminary Project Scope Statement Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Integrated Change Control Close Project Scope Scope Planning Scope Definition Create WBS Scope Verification Scope Control Time Activity Definition Activity Sequencing Activity Resource Estimating Activity Duration Estimation Schedule Development Schedule Control Cost Cost Estimating Cost Budgeting Cost Control Quality Quality Planning Perform Quality Assurance Perform Quality Control Human Resource Human Resource Planning Acquire Project Team Develop Project Team Manage Project Team Communications Communications Planning Information Distribution Performance Reporting Manage Stakeholders Risk Risk Planning Risk Identification Qualitative Risk Analysis Quantitative Risk Analysis Risk Response Planning Risk Monitoring and Control Procurement Plan Purchases and Acquisitions Plan Contracting Request Seller Responses Select Sellers Contract Administration Contract Closure

33 Monitoring & Controlling Process: Manage Stakeholder Expectations Knowledge Area: Communications Manage Stakeholder Expectations The process of communicating and working with stakeholders to meet their needs and addressing issues as they occur. -PMBOK 33

34 Manage Stakeholder Expectations Actively managing expectations Addressing concerns that are not yet issues Clarifying and resolving issues that have been identified 34

35 Manage Stakeholder Expectations Inputs Stakeholder Register* Stakeholder Strategy* Project Plan* Issue Log Change Log Organizational Process Assets* *Already Discussed 35

36 Inputs: Issue Log Or Action Log Used to document monitor issues resolution Facilitates communication Ensures common understanding Owner assigned for each issue 36

37 Inputs: Change Log Document changes during project 37

38 Manage Stakeholder Expectations Tools and Techniques Communication Methods* Interpersonal Skills Skills *Already Discussed 38

39 Tools and Techniques: Interpersonal Skills Includes: Building Trust Resolving Conflict Active Listening Overcoming Resistance to Change 39

40 Tools and Techniques: Skills Includes: Presentation skills Negotiating Writing skills Public speaking 40

41 Outputs Manage Stakeholder Expectations Organizational Process Assets Updates* Change Requests* Project Plan Updates* Project Document Updates *Already Discussed 41

42 Outputs: Project Document Updates Stakeholder Strategy Stakeholder Register Issue Log 42

43 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Preliminary Project Scope Statement Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Integrated Change Control Close Project Scope Scope Planning Scope Definition Create WBS Scope Verification Scope Control Time Activity Definition Activity Sequencing Activity Resource Estimating Activity Duration Estimation Schedule Development Schedule Control Cost Cost Estimating Cost Budgeting Cost Control Quality Quality Planning Perform Quality Assurance Perform Quality Control Human Resource Human Resource Planning Acquire Project Team Develop Project Team Manage Project Team Communications Communications Planning Information Distribution Performance Reporting Manage Stakeholders Risk Risk Planning Risk Identification Qualitative Risk Analysis Quantitative Risk Analysis Risk Response Planning Risk Monitoring and Control Procurement Plan Purchases and Acquisitions Plan Contracting Request Seller Responses Select Sellers Contract Administration Contract Closure

44 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Perform Integrated Change Control Close Project or Phase Scope Collect Requirements Define Scope Create WBS Verify Scope Control Scope Time Define Activities Sequence Activities Estimate Activity Resources Estimate Activity Durations Develop Schedule Control Schedule Cost Estimate Costs Determine Budget Control Costs Quality Plan Quality Perform Quality Assurance Perform Quality Control Human Resource Develop Human Resource Plan Acquire Project Team Develop Project Team Manage Project Team Communications Risk Identify Stakeholders Plan Communications Distribute Information Manage Stakeholder Expectations Plan Risk Identify Risks Perform Qualitative Risk Analysis Perform Quantitative Risk Analysis Plan Risk Response Report Performance Monitor and Control Risks Procurement Plan Procurements Conduct Procurements Administer Procurements Close Procurements

45 Project Plan / Project Documents Content of Old Project Plan 3 Baselines Subsidiary Plans And anything else you could think of Content of New Project Plan 3 Baselines Subsidiary Plans

46 And anything else New category of input/output Project Document

47 Scope Planning Scope Definition The Three Baselines Create WBS Activity Definition Act. Res. Estimating Activity Sequencing Activity Duration Est. Schedule Develop. Cost Estimating Cost Budgeting* 47

48 Collect Require. Define Scope The Three Baselines Create WBS Define Activities Est. Activity Resources Sequence Activities Est. Activity Durations Develop Schedule Estimate Costs Determine Budget 48

49 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Time Cost Quality Human Resource Communications Risk Procurement 49

50 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Requirements Plan - NEW Time Cost Quality Human Resource Communications Risk Procurement 50

51 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Time Schedule Plan Cost Quality Human Resource Communications Risk Procurement 51

52 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Time Cost Cost Plan Quality Human Resource Communications Risk Procurement 52

53 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Time Cost Quality Quality Plan Process Improvement Plan Human Resource Communications Risk Procurement 53

54 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Time Cost Quality Human Resource Human Resource Plan - NEW Communications Risk Procurement 54

55 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Time Cost Quality Human Resource Communications Communications Plan Risk Procurement 55

56 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Time Cost Quality Human Resource Communications Risk Risk Plan Procurement 56

57 Subsidiary Project Plans The 9 Knowledge Areas Integration Scope Time Cost Quality Human Resource Communications Risk Procurement Procurement Plan 57

58 Outputs: Project Charter Specifically: Project purpose or justification Project Objectives High Level Requirements High Level Project Description High Level Risks Summary Milestone Schedule Summary Budget Project Approval Requirements Assigned project manager, responsibility, authority Name and authority of the sponsor 58

59 Other Changes Process Flow Diagrams Logical Connections between Processes Interpersonal Skills

60 Miscellaneous Life Cycle Explanations New Organizational Structure

61 The Project Life Cycle All projects can be mapped to the following life cycle structure: Starting the Project Organizing and Preparing Carrying out the Project Work Closing the Project 61

62 Generic Life Cycle Structure Cost and staffing levels are low at the start, peak as the work is carried out, and drop rapidly as the project draws to a close Stakeholder influences, risk, and uncertainty are greatest at the start of the project and decrease over the life of the project Ability to influence the final characteristics of the project s product without significantly impacting cost is highest at the start of the project and decreases as the project progresses 62

63 Product vs. Project Life Cycle Product life cycle consists generally of sequential and non-overlapping product phases The last Product Life Cycle phase is generally the product s retirement Many possible relationships may exist to a project where the outcome of the project is a product 63

64 Composite Organization Involves all these structures at various levels Sometimes create a special project team to handle a critical project May have many characteristics of a projectized organization May include full-time staff from different functional departments May develop its own set of operating procedures May operate outside the standard, formalized reporting structure 64

65 Composite Organization Project Members Project B Coordination Project A Coordination

66 Initiating Planning Executing Monitoring & Controlling Closing Integration Develop Project Charter Develop Project Plan Direct and Manage Project Execution Monitor and Control Project Work Perform Integrated Change Control Close Project or Phase Scope Collect Requirements Define Scope Create WBS Verify Scope Control Scope Time Define Activities Sequence Activities Estimate Activity Resources Estimate Activity Durations Develop Schedule Control Schedule Cost Estimate Costs Determine Budget Control Costs Quality Plan Quality Perform Quality Assurance Perform Quality Control Human Resource Develop Human Resource Plan Acquire Project Team Develop Project Team Manage Project Team Communications Risk Identify Stakeholders Plan Communications Distribute Information Manage Stakeholder Expectations Plan Risk Identify Risks Perform Qualitative Risk Analysis Perform Quantitative Risk Analysis Plan Risk Response Report Performance Monitor and Control Risks Procurement Plan Procurements Conduct Procurements Administer Procurements Close Procurements

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