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3
Adapting the Project Management Processes
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CERTIFICATION OBJECTIVES
Did you ever have one of those Junior Scientist Chemistry Kits when you were a kid?
These kits had recipes for different reactions, formulas, and experiments. You could
make smoke, sparks, smells, and iridescent colors if you followed the step-by-step
directions. Of course, if you were a “real scientist,” you’d experiment and things
could go haywire. One small change, an uncalculated variable, or a mistaken catalyst
could cause your whole experiment to literally blow up in your face.
Sounds like project management, doesn’t it?
All of the different elements in project management are integrated. The cost, time,
scope, cultural achievability, technical achievability, and more are all related and
interdependent. A small change, delay, or decision (or lack thereof) can amplify into
serious problems further down the project timeline. What you do in one area of the
project has a definite effect on what happens in other areas of the project.
The work of project management is full of processes—4747 of ‘em in fact. There are
logical groupings of these processes: initiating, planning, executing, monitoring
and controlling, and, finally, closing. Of course, for your PMP exam, you’ll want
to be familiar with all of these process groups and all of the activities that happen
in each group. But more importantly (yes, even more important than your PMP exam),
you’ll need to know how to apply these processes to your job out in the real world.
Just because loads of processes are available doesn’t uniformly mean that a project
manager can—or should—complete every project management process in every project.
You do not have to follow every process on every project—use only the processes that
are most appropriate. The project manager, along with the project team, should determine
which processes are needed to complete the project successfully. Just to be clear,
project managers don’t have to use every process on every project, but you can expect
to be tested on every process for your PMP exam.
As a whole, for projects to be successful, you’ll need five things:
The application of the most appropriate project management processes to complete
the project An agreed upon approach to the project management, project execution, and control
therein
A solid plan with careful execution to meet project and product requirements
A method to satisfy stakeholder expectations and requirements
An approach to keep the project’s time, cost, quality, scope, resources, and risk
in balance
Project management, unlike those Junior Scientist Chemistry Kits, doesn’t come with
exact step-by-step directions. It is a fluid endeavor with general guidelines, stakeholder
requirements, and you leading the project team to achieve the customer’s requirements.
In this chapter, we’ll talk about how all of the different parts of a project are
interrelated. Specifically, we’ll discuss the project processes and their interactions,
the ability to customize the project processes, and how all of this business works
toward your current project of passing the PMP examination.
CERTIFICATION OBJECTIVE 3.01
Learning the Project Processes
All projects, from technology to architecture, are composed of processes. Recall that
phases are unique to each project and that the goal of the phase is to conclude with
a specific, desired result. The completion of phases is the end of the project, culminating
in the creation of a unique product, service, or result. Processes are a series of
actions with a common, parent goal to create a result, such as the one reflected in
Figure 3-1. Processes within project management monitor and move the phases along.
FIGURE 3-1 Projects are completed through project processes.
In your organization, you may treat equipment as a true resource. For example, manufacturing
equipment, printing equipment, or even transactions may be treated as resources whose
time is billable to project customers.People perform processes. It may be tempting to say that a piece of equipment, such
as a manufacturing device, a computer, or a bulldozer, completes the process, but
it is technically, for your exam, a person or group of people that complete the process.
Think of the processes within a project you’ve worked on. Know that the processes
are not the individual activities, but the control of individual activities to complete
a project phase.
Identifying the Project Management Process Groups
Following are the five project management process groups and what occurs under each:
Initiating The project or project phase is authorized.
Planning Project objectives are determined, as well as how to reach those objectives with
the identified constraints, project scope, schedule, costs, quality demands, and risks.
Executing The project is executed utilizing acquired resources.
Monitoring and controlling Project performance is monitored and measured to ensure that the project plan is
being implemented to design specifications and requirements.
Closing The project, its phases, and contracts are brought to a formal end.
See the video “Process Group Interactions.”
Project management processes are the processes you’ll want to study. Product-oriented
processes, on the other hand, are unique to the organization creating the product.
Product-oriented processes are unique to the application area and the deliverable
the project focuses on. The project manager and the project team must have some relevant
knowledge of the application area, such as information technology or construction,
to create the deliverable the project aims to provide. Project management processes
are universal to all projects regardless of the application area. You won’t need to
know much about product-oriented processes for the PMP exam.
These process groups are not solo activities. The groups are a collection of activities
that contribute to the control and implementation of the project management life cycle.
The output of one process group will act as input for another process group. For example,
one of the outputs of the initiating process is the project charter. The charter is
thus input for the planning processes, because it authorizes and sanctions the project,
the project manager, and the resources required to complete the project work. Although
there is a logical succession and order to the flow of the processes, process groups
will overlap other groups (as shown in Figure 3-2).
FIGURE 3-2 Process groups may overlap other process groups.
Not only will process groups overlap, but some process groups may be repeated based
on the activities within the project. When you’re managing a multiphase, large project,
you’ll even repeat initiating and closing. Most projects, because of the cyclic nature
of the project management work, will at least repeat planning, monitoring and controlling,
and executing processes throughout the project, as Figure 3-3 demonstrates.
FIGURE 3-3 Processes may be iterative throughout the project.
For example, within a project designed to create a new piece of software, there will
be logical project phases: design, build, test, implement, and so on. Within each
of the phases, project processes can also exist. Each phase of the project has processes
unique to the logical activities within that phase. The closing processes happen at
the end of each project phase and at the end of the project. With that thought, know
that the closing process of a project phase can serve as input for the next phase
within the project.
There’s more than one correct way to manage a project. It’s a project manager’s role
to follow the method for project management that his organization subscribes to—or,
in many instances, it’s the project manager’s role to find the best approach to reach
a successful project conclusion. Every organization has a slightly different approach
to project management. Regardless of the project management approach, however, the
project management processes within project management are always the same: integrative
and interdependent.
Project management does, to some extent, follow W. Edwards Deming’s quality approach
of “Plan-Do-Check-Act” (PDCA), as shown in Figure 3-4. Project management is full of iterations, repetitive work, and constant controlling
and monitoring. The primary difference between Deming’s model and Project Management
Institute’s (PMI) model is that a project will end with the closing process group,
whereas Deming’s quality approach is continuously repeated.
FIGURE 3-4 Deming’s PDCA cycle follows planning, doing, checking, and acting.
CERTIFICATION OBJECTIVE 3.02
Identifying the Initiating Process Group
This process group launches the project or phase and allows the project manager to
have authority over the project. Project initiation, while simple on the surface,
admits that there is some problem that a solution should solve. As a solution is considered,
a level of authority is transferred from senior management to the project manager
to lead the organization to the desired future state.
The project manager and the project team may help write the project charter, but they
don’t approve it. The project charter and the project funding are approved outside
of the project manager’s control.
In most organizations, much of the work of the initiation process group happens outside
of the project manager’s control and sometimes doesn’t even involve this person. This
is one of those “chicken-or-the-egg” scenarios. Many PMP candidates ask, “If a project
manager isn’t identified until the charter is formed, what’s initiation got to do
with the project manager?” Let’s be realistic for a moment: The project manager is
involved with the initiation process group because her input, guidance, and participation
are needed. Sure, sure, the project isn’t official until the charter is signed, but
everyone usually knows who the project manager is going to be.
Identifying Needs
A project is generally initiated to provide a solution to a problem or to take advantage
of an opportunity. The needs of the current state are then answered by the deliverables
of the proposed project. These needs might have to do with the following:
Reducing costs
Increasing revenues
Eliminating waste
Increasing productivity and efficiency
Solving a business or functional problem
Taking advantage of market opportunities
This is just a short list. Countless other needs can be addressed through project
plans.
Business reasons for why a project is created depend on your business objectives.
If you’re pitching a project to management, address the most prevalent business needs
first. So first, from a business perspective, answer the following question: “Why
is this important to my organization?”
Creating a Feasibility Study
A feasibility study is conducted to prove a problem actually exists, document the
opportunities at hand, and then determine whether a project can be created to resolve
the problem or take advantage of the opportunity cited. A feasibility study may also
look at the cost of the solution in relation to the possible rewards gained by its
implementation.
Identifying the Business Needs
The business needs will examine the problem, opportunity, and solution to see how
the potential project and its expected outcome fit within the realm of the business
vision and goals. Recall the organizational pyramid shown in the following illustration?
The business level of an organization asks, “Why is this important?” The focus of
the business level is vision and strategy, so the results of the project must support
that level. Projects must align with the strategy of the organization.
Creating a Product Description
The initial product description will detail what the expected outcome of the project
is to be. This may be a service, a product, or even a description of the desired future
state. The initial product description does not have to be an exact specification
document of what the project will create, though in some instances it may. Typically,
the product description describes the high-level solution or realized opportunity
that the project will accomplish.
There is a difference between the product description and the scope statement. The
product description defines what the customer of the project will receive. The scope
statement describes everything the project will create. For example, your company
may need to purchase equipment to complete the product for the customer. Your company
will retain the purchased equipment while the customer takes the product.
Creating a Project Charter
The project charter authorizes the project, officially naming the project manager
and authorizing the project work. Yes, it’s true that the project manager and the
project management team may write the project charter, but the charter’s approval
and funding are outside the project’s boundaries. In others words, the project charter
should be approved and funded by an individual within the organization who has the
proper authority to approve the project manager, the needed funds, and the resources
that will be utilized within the project work. The charter is usually signed and authorized
by the project sponsor, but it’s possible a project management office (PMO) or project
customer could sign the charter in lieu of the project sponsor.
Project charters authorize. When you think of the project charter, think authority
for the project manager.
The project manager is officially named in the project charter, but the involvement
of the project manager will likely come early on in this process group. The project
manager will need to know the expectations of his role in the type of organizational
structure in which he is participating (functional, matrix, projectized, or composite).
The organizational structure recognition is important, since it will determine the
level of authority and power that the project manager can expect within a project.
The project charter should also reflect the initial scope, the needed resources to
complete the project, and any identified assumptions and constraints. Constraints
such as a preset budget or mandatory project deadline must be identified in the project
charter, as this sets the tempo and immediate expectations for the project’s success.
To create a project charter, the project management team requires the following:
A contract, if the project is being completed for another entity
A business case defining the project purpose to capture an opportunity, solve a
problem, or other reason why the project is authorized
A project statement of work identifying the project’s goals
Enterprise environmental factors, such as the organization’s structure, culture,
and relevant regulations and standards
Organizational process assets, including policies, standard project management forms,
templates, and organizational procedures that affect the project work
Identify the Project Stakeholders
Stakeholders are the people, groups, and organizations that are affected by the project’s
existence and outcome. Stakeholders have varying roles in the project, such as contributing
project information, paying for the project, working on the project, or receiving
and using the project deliverables. Stakeholders’ roles, interest, participation,
and contact information should all be recorded in the stakeholder registry.
Some stakeholders will be happy your project exists and will want your project to
succeed. These are your favorite people, and they’re considered positive stakeholders.
Those pesky, gloomy people who don’t like your project and want your project to fail
are, as you might have guessed, negative stakeholders. A stakeholder management strategy
is needed, as you’ll want to communicate accurately, timely, and effectively with
both positive and negative stakeholders. The stakeholder management strategy is directly
linked to the project communications management.
The process of identifying project stakeholders should happen at the onset of each
project phase in the project life cycle. It’s important that you pause the project
to examine who the project stakeholders are, if new stakeholders have been identified,
and what stakeholders the project manager must communicate with in regard to the succeeding
work. If the project manager rushes onto the next phase of the project without completing
this iterative process, there’s a risk of stakeholder delays, errors in the project
work, and frustration among the stakeholders.
CERTIFICATION OBJECTIVE 3.03
Identifying the Planning Process Group
The planning processes are iterative in nature; a project manager does not complete
the planning processes and then move on to other activities within the project, never
to return. Throughout the project, the project manager and the project team will be
returning to the planning processes as often as needed. Changes to the project scope,
new risks, challenges, and issues all can send the project back to planning. It’s
not a bad thing—it’s supposed to work this way.
Perhaps the most important reason to include customers and users in the project planning
is that they can contribute to the project management plan. These stakeholders know
things that the project team doesn’t; thus, you should use the stakeholders to help
plan the project and to help it succeed.
The project manager should include the stakeholders in the planning processes as much
as possible to obtain buy-in of the project deliverables. Including the project stakeholders
not only accomplishes buy-in, but it also provides shared ownership of the project.
This is important, because shared ownership allows the customer to recognize the value
and intensity of the project work and process. In addition, the project manager should
include stakeholders to ensure that the project deliverables are in alignment with
what the stakeholders and the project team are expecting to receive.
Develop the Project Management Plan
The process of developing the project management plan requires the project manager,
the project management team, the project team to define all of the subsidiary project
plans and then combine these into a comprehensive plan for the project. This process
requires the outputs of other planning processes, but it creates a centralized document
that serves as a guide for project decisions in execution, monitoring and controlling,
and closing the project.
The project management plan, like most documents in the project, will evolve over
the life cycle of the project. This is an example of progressive elaboration—as more
information becomes available, this document will be updated. For example, one component
of the project management plan is the risk response plan. As new risks are identified
and plans are made to respond to these risks, the risk response plan would be updated
and so, too, would the project management plan.
Plan Scope Management
This component of the project management plan defines the project scope definition,
the scope validation, and how the project will control changes to the project scope.
Based on the project charter, enterprise environmental factors, and organizational
process assets, the project manager and project team will meet with customers, users,
subject matter experts, and define this plan. In many organizations, the historical
information from organizational process assets will utilize a scope management plan
from a similar project and adapt it to the current project scope.
The scope management plan defines how the project manager and the project team will
create the project scope statement and the work breakdown structure (WBS), and describe
how the WBS will be approved and maintained when changes enter the project scope.
Changes are also a big component of this plan as the scope change control system must
be defined, communicated, and agreed upon by all stakeholders as early in the project
life cycle as possible.
Collect and Document Project Requirements
As part of planning, the stakeholders’ expectations and requirements must be analyzed.
The stakeholders’ expectations must be documented, prioritized, and balanced between
competing objectives. Managing stakeholders’ expectations is crucial to a project’s
success, so having a complete understanding of their expectations is mandatory. Business
analysts can help the project manager identify and elicit project requirements. It’s
paramount that you have a clear vision of the project’s deliverables to save time
and frustration and to promote accuracy within project planning.
Stakeholder analysis allows the project manager and the project team to determine
the expectations of the customer. If the customer doesn’t know what their expectations
are, the project manager cannot decide for them. The project manager and the customer
must be in agreement with what the project should create before the creation process
begins.
Within large or highly technical projects, planning can also be known as “rolling
wave planning.” Rolling wave planning focuses detailed planning on the immediate activities
of the project rather than on remote, future activities that may be affected by the
outcome of the direct project results. The issues further downstream are addressed
in rolling wave planning, but in high-level detail, rather than focusing on the specifics.
This is an example of progressive elaboration.
Rolling wave planning is an acceptable planning solution for long projects in which
later planned activities in the project schedule are unknown or will be determined
based on the results of early project phases.
Creating the Project Scope
Project managers must create a scope management plan that defines how the project
scope will be defined, what changes will be allowed, and how the scope can be controlled.
The scope management plan also defines the approach to create the work breakdown structure.
The scope statement is a document that describes the work, and only the required work,
necessary to meet the project objectives. It is based on the project charter, identified
requirements, and organizational process assets. The scope statement establishes a
common vision among the project stakeholders to establish the point and purpose of
the project work. It is used as a baseline against which all future project decisions
are made to determine whether proposed changes or work results are aligned with expectations.
The scope statement may, with adequate reason, be updated to reflect changes in the
project work.
The project manager and the project team should create a change management plan that
specifies how the project scope may be changed, the procedure to change the scope,
and the requirements to make a change. On large or high-profile projects, the project
manager may be working with a change control board (CCB) to determine whether changes
should be approved and factored into a project scope.
Creating the Work Breakdown Structure
The WBS is an organized collection of the project-deliverable components to be created
by project work. The project manager cannot complete this activity alone. The input
and guidance of the project team is required, because they are the individuals closest
to the work and will be completing the actual activities within the project phases.
The WBS is not a list of activities—it’s a deliverables-oriented decomposition of
the project. The activity list is based on the identified deliverables within the
WBS.
Along with the WBS, the project team will create a WBS dictionary, a companion document
to the WBS. It defines all of the elements of the WBS and their project attributes,
such as time, cost, quality, and risk. When (and if) the project scope is changed,
the WBS and the WBS dictionary are also changed to reflect the scope updates.
Plan Schedule Management
There are lots of different ways to develop and manage the project schedule, and this
is one of the trickiest parts of any project. This process sets the expectation for
schedule management as part of project planning. The plan schedule management process
defines how the project manager and the project team will develop, manage, execute,
and control the project schedule. By setting expectations and communicating the approach,
this difficult part of the project is completed early in the project life cycle.
The plan schedule management process still relies on expert judgment, most likely
from the project team members who will be doing the actual project work, but it facilitates
the work through meetings and analysis. This approach integrates the planning with
the project team members, helps define the approach for the project schedule, and
sets expectations and agreements among the project team members.
This isn’t to say that once the schedule management plan is created, all the scheduling
work is done. It actually defines how the scheduling work will take place, the stakeholders
needed, and the enterprise environmental factors such as policies and procedures for
the project manager and the project team. As the project advances and more detail
becomes available, the techniques for scheduling are followed according to this process’s
only output: the schedule management plan.
Defining the Project Activities
The activity list, as mentioned, is based on the WBS. The project manager and the
project team will decompose the project scope statement into deliverables in the form
of a WBS. The smallest item in the WBS is called a “work package.” Each work package
is related to an activity or set of activities that will create the deliverables.
The sum of all of the activities will create all the work packages, which in turn
satisfies the project scope. In other words, if your project team completes all of
the project activities on the activity list, they will have created all of the work
packages. When all the work packages are created, the project scope is fulfilled.
This planning process also documents the attributes of each activity in the activity
list. The project team should document any risks, issues, or concerns about the nature
of the activity to prevent problems during project execution. The project manager
and the project management team will also identify the project milestones with the
activity list. A milestone is a timeless event that signals project progress. By identifying
the milestones with the activity list, it is clear which activities will contribute
to the milestone. It’s also useful, as milestones are typically created by the completion
of a project phase. Now the project manager and team can see the work required in
each phase of the project.
Sequence the Project Activities
Once the activity list has been created, the project team can sequence the activities
in the order in which the work should be completed. The network diagram, also called
the project network diagram (PND), illustrates the flow of activities to complete
the project and/or the project phase. It identifies the sequencing of activities noted
within the WBS and determines which activities may be scheduled sequentially versus
in tandem.
You’ll create a plan for your projects, so you ought to create a plan for your PMP
exam preparation. Define what areas you need to work on, how you’ll study, and when
you’ll study. And as with all plans, it’s largely up to the plan’s execution to complete
the project objectives. Work smart and knock this exam out!Estimating Project Activity Resources
Resources are people, equipment, facilities, and materials that are needed to complete
the project activities. You’ll need to know what resources are needed in order to
create accurate time and cost estimates later in planning. The project manager can
rely on the project team for much of the project resource estimating because they’re
closest to the project work, but you can also rely on historical information, expert
judgment, and supporting detail.
It’s at this point in the project planning that a resource calendar should be created,
if one does not already exist within the organization. A resource calendar helps the
project manager identify when resources are available and complete scheduling of the
needed resources. Consider people, meeting rooms, and equipment when you think of
the resource calendar—it’s more than just the project team members you’ll utilize
on the project work.
Estimating Activity Durations
Project managers, sponsors, customers, end users, and even the project team all have
a common question: how long is all this going to take? Before you can reliably answer
that question you need to determine the duration of each activity on the activity
list. Estimating the activity durations requires that you have some insight to the
type of work the project team will accomplish. If you or the project team has never
done the exact type of work required in the current project, determining the activity
duration will be nearly impossible. Expert judgment, such as consultants and industry
groups, can help you with the estimate, but the truth is you’ll never really know
how long a task takes until the task is done.
Activity duration estimates help the project manager plan for when the project team
and other resources will be needed. The duration of an activity will help the project
manager create the schedule and the sequence of activities, identify bottlenecks in
the project schedule, manage risks, and so much more. The prediction of activity completion
takes time and patience. This is a process you and the project team will likely visit
many times throughout the project. As more information becomes available, the project
team and the project manager will be able to define the activities and their duration
more accurately. The project manager doesn’t need to rush through the estimating,
and the project team should be involved with the process, too.
Developing the Project Schedule
The project schedule is dependent on the creation of the WBS, the PND, and the availability
of the resources. Based on when the resources, the project team, and other required
resources such as equipment and facilities are available, the schedule can be determined.
In many instances, the project must be scheduled according to time constraints. Using
the constraint of a deadline on the project, all activities must be scheduled from
the project’s start to its completion, to ensure that the project can finish on time.
The critical path is the chain of activities within the PND that cannot be delayed
without delaying the project end date. There can be more than one critical path, and
it is possible for the critical path to change. The other paths within the PND have
float or slack. Float or slack means these paths may be delayed to a point without delaying the end result of the
project. Figure 3-5 shows a typical project network diagram.
FIGURE 3-5 Project network diagrams illustrate a project’s workflow.
Defining the Cost Management Plan
One of the biggest concerns from managers, customers, and other stakeholders that
you report to as the project manager is the cost of the project. This project management
process defines how you’ll define the cost of the materials, labor, equipment, and
other resources needed in the project. This process also defines how you’ll estimate
the project costs, define the project budget, and then control costs throughout the
project.
The enterprise environmental factors of the organization may also define the cost
management techniques you’re required to use. For example, you may have to define
the return on investment, the time value of management, or earned value management.
By defining the requirements and procedures for cost management as part of project
planning, you’re creating the project’s cost management plan. This plan will be communicated
and agreed upon as early in the project as possible to eliminate any disagreements
or assumptions the stakeholders may have later in the project. The plan also serves
as a guideline for the project manager by setting management expectations for cost
management.
Completing Estimates
Time and cost estimates are completed within the planning process. Time estimates
reflect the amount of time required to complete each activity within the WBS. Once
the estimates are mapped to the PND, an accurate estimate of how long the project
will take to complete may be created.
Cost estimates can be calculated a number of different ways, such as through top-down
estimates, bottom-up estimates, or the dreaded informal “hallway estimates.” All estimates
should identify a range of variance reflective of the degree of confidence of the
estimate, the assumption on which the estimate is based, and how long the estimate
is valid. In other words, if you estimate that you can complete a project by a specific
deadline, several assumptions are tied to the estimate: start date, available resources,
access to the work site, and more. Your cost and time estimates may not be valid if
the customer or decision-maker takes a long time to approve what you’ve proposed.
Determining the Project Budget
The project manager and the project team need to create a cost estimate for the project
work. Cost estimates should include a qualifier, such as +/-10 percent, and the reasoning
and assumptions behind the qualifier.
The project budget includes the cost of the project, cash flow projections, and how
the monies will be spent. The project budget should cover the cost of the team’s time,
facilities, and all foreseeable expenses. Cash flow projections are needed to alert
management as to when monies must be available for the project to continue. Figure 3-6 demonstrates a project with expected capital expenses. This helps an organization
plan for big purchases, cash flow forecasting, and feasibility of the financial planning
in the project.
FIGURE 3-6 Cash flow projections allow an organization to plan for project expenses.
Creating a Quality Management Plan
The quality management plan details how the project will map to the organizational
quality policy—for example, ISO 9000—or Six Sigma–specific actions. The plan will
provide specifics on how the project team will meet the quality expectations of the
organizational quality assurance (QA) program. The quality management plan also sets
the guidelines for how the project will adhere to quality control (QC) mechanisms
and ongoing quality improvement. The following illustration demonstrates how QC fits
within QA.
Planning for Human Resource Needs
The project team completes the project work, while the project manager relies on the
project team to do several tasks, including the following:
Complete the project work
Provide information on the work needed to complete the project scope
Provide the necessary accuracy in project estimating
Report on project progress
The project manager must use human resource and leadership skills to guide and lead
the project team to project completion. The human resource plan will document planning
decisions made about the project resources. In some organizations, the project team
may be assigned to the project, while in other organizations, the project manager
may have the luxury of handpicking the project team members.
Creating a Communications Management Plan
The communications management plan determines who needs what information, how they
need it, and when it will be delivered. The plan specifies team meetings, reports,
expectations for reports, and expectations of communication among team members. The
communications plan must account for all needed communications within the project.
Consider a project manager of a high-profile project called Project XYZ. The project
manager requires that the project team members report their progress on Project XYZ
every Tuesday at the project status meeting. In addition to team members reporting
their status, they will need to update their work electronically through the project
management information system (PMIS). These communication requirements are defined
in the communications management plan.
Communicating equates to a big chunk of project management duties. It has been said
that 90 percent of a project manager’s time is spent communicating.
Completing Risk Management Planning
Risk can be both good and bad. Generally, risk is a perceived threat (or opportunity)
to the completion of the project. Every organization has a different approach and
attitude towards risk. Risk management planning defines the project manager’s obligations
to acknowledge, document, research, and plan for risks within the project. Many organizations
use a predefined risk management plan that all project managers must adhere to.
Identifying Project Risks
The initial risk assessment allows the project manager and the project team to determine
what high-level risks may influence the feasibility, resources, and requirements needed
to complete the project. The initial risk assessment may also steer the project toward
a different solution. Risk assessment is an ongoing, active project management process.
All identified risks and their characteristics, responses, and analysis results are
recorded in the project risk register.
Completing Qualitative and Quantitative Risk Analyses
Risk assessment is an in-depth analysis of the project risks through qualitative and
quantitative analyses. Qualitative risk analysis calls for a probability and impact
matrix. Risks are typically categorized as high, medium, and low. Quantitative risk
analysis is a more in-depth study of the identified risks. This technique calls for
a risk matrix based on probability and impact. Quantitative analysis also uses simulations
and decision tree models.
Completing Risk Response Planning
The risks are analyzed for both positive and negative impacts, entered through a risk
matrix, and then planned for accordingly. Risks may be accepted, avoided, mitigated,
countered, or planned for through contingency. Risks are also assigned to risk owners,
who will monitor thresholds and triggers.
Planning for Project Procurement
Chances are that a project will need to purchase materials and services and hire contractors
to complete the required work. The purchase of a thing or service requires that the
project manager follow the organizational policies and procedures for procurement.
This can include finding qualified vendors, requesting quotes or proposals, and reviewing
those proposals for the best vendor. The procurement management plan will guide the
project manager through the processes of selecting vendors, the appropriate procurement
documents, and contract selection and administration.
Planning for Stakeholder Management
Stakeholders, especially stakeholders that can make decisions for your project, must
be managed. This process requires you to create a stakeholder management plan to define
how you’ll interact, communicate, and influence the stakeholders for the betterment
of the project. In other words, you’re creating a strategy to manage the depth of
stakeholder participation, stakeholder involvement, and the stakeholders’ perceived
threats, concerns, and requirements in the project.
The stakeholder management plan defines the relationships among the project stakeholders,
the communication requirements for the stakeholders as the project progresses, and
the level of influence the stakeholders have over project decisions. Because this
process creates a stakeholder management plan that may contain sensitive information,
it’s best that you take precautions not to offend stakeholders, seem overtly political,
or damage relationships between the project team and the stakeholders the plan addresses.
CERTIFICATION OBJECTIVE 3.04
Managing the Executing Processes
The executing processes allow the project team to perform the project work—the execution
of the project plan, the execution of the vendor management, and the management of
the project implementation. The project manager works closely with the project team
in this process to ensure that the work is being completed and that the work results
are of quality. The project manager also works with vendors to ensure that their procured
work is complete, of quality, and meets the obligations of the agreed-upon contracts.
Variances are the difference between what was planned and what was experienced. Common
variances are time and cost estimates, risk impacts, risks that were not identified
but came into being, and the availability of project resources. Some variances can
spur change requests that will cause the project management plan to be changed, cause
the scope to be broadened or reduced, or, in some situations, cause the project baselines
to be adjusted.
Directing and Managing Project Work
This is the business of getting the project done. The project team executes the work
as defined in the project management plan, and the project manager manages the work.
This also includes the management of the organizational and technical interfaces the
project manager must interact with to ensure that project work flows smoothly and
as planned. The bulk of the project time and budget are consumed during project execution.
A work authorization system is a method that allows work to begin according to schedule
and circumstance. It provides for the verification of predecessor activities and the
permission to begin successor activities. When changes have been approved, the project
management plan is updated, baselines are rebaselined to reflect the changes, and
the changes are, according to the plan, executed into being.
Mapping to Quality Assurance
As the project work continues, the project team and the project manager will need
to verify that the project work results are mapping to the organization’s quality
assurance program as described in the quality management plan. Failure to adhere to
the quality assurance program may result in penalties, project delays, and work that
needs to be redone, as shown in the following illustration. In the illustration, if
the project team had followed the quality plans and done the work properly, they wouldn’t
have needed to redo project work, undo project work, or even scrap what they’ve done
and start over. It’s always more cost effective, time effective, and less stressful
to do the work correctly the first time.
INSIDE THE EXAM
What, in this chapter, must you focus on for your PMP exam? Hmm…. Could it be processes?
Processes are activities that are completed by people, not things. On the exam, you
won’t need to know facts such as which process is the most important, but rather which
activity should the project manager complete next. Just substitute “activity” for
the appropriate process, and you’re on your way.
Focus on the project management processes. Know the five process groups and how the
processes among those groups are interrelated. It will behoove you to know, if not
memorize, all 47 project management processes (shown later in this chapter). If you
want to pass your exam, and I know you do, you need to know which processes happen
in which knowledge area. Create some witty acrostic to memorize the knowledge areas
and the processes within each process group.
Here are a few other key exam tips to take from this chapter:
Larger projects require more detail than smaller projects.
Projects fail at the beginning, not at the end.
The processes may be customized to meet the demands or conditions of the project.
Planning is iterative.
Planning, executing, and controlling are tightly integrated.
Acquiring and Developing the Project Team
A project team is mandatory in order for the project to be completed. Based on the
organizational structure, the project manager will recruit the project team or the
project team will be assigned to the project manager. In some organizations, such
as with a functional structure, the project team will already be assembled. The project
plan will dictate what roles and responsibilities are needed for the project, while
the staffing management plan will guide how human resources, the project manager,
and the project team members interact.
The project team members will be assigned work to complete, while the project manager
oversees and manages the work the project team members undertake. One challenge for
all project managers is the availability of project team members. It’s not much fun
for project managers or project team members when multiple projects create various
demands simultaneously. This happens far too much in matrix structures, where project
team members are likely to work on multiple projects. That’s why, once again, the
reliance of a resource calendar is needed to identify when resources are available
and to reserve resources for your project.
Competition for resources is common. It’s not unusual for some less-than-bright project
managers to hoard resources. For example, I once consulted on a project where a developer
was assigned to a project that lasted 18 months. The developer was needed for only
about 200 hours for the entire project duration, however. He surfed the Web, read
books, and nearly died of boredom because his time was reserved for that project only.
It was a total waste of his time and talent.
The project manager must work with the project team members to ensure that their level
of proficiency is aligned with their obligations on the project. This may involve
classroom learning, shadowing among project team members, or on-the-job training.
The success of the project work is dependent on the project team’s ability and motivation.
Should the team or team members be lagging in required knowledge to complete the project
work, additional education and development will be necessary.
As project team members complete their work, the staffing management plan will be
referenced by the project manager regarding how to complete project team member assessments.
In particular, reward and recognition systems should be documented and followed. Project
team members, just like project managers, appreciate being rewarded for a job well
done.
Managing the Project Team
The project team completes the work, and the project manager ensures that they do
so according to the plan. Team management is limited by the project manager’s authority
over the project team. In any organizational structure, however, the project manager
should evaluate the project team performance and seek methods to improve all team
performance to improve the project deliverables. The outcome of managing the project
team includes the following:
Change requests
Corrective actions
Preventive actions
Project management plan updates
At some point in the project, based on the organizational structure, team members
will be reassigned to new projects. Reassigning project team members is of utmost
importance in a projectized organization, where project team members are with a project
full-time through completion. As the project in a projectized organization nears completion,
project team members may be anxious about their next assignment. In a functional matrix
environment, the project team may fluctuate at phases or milestones as they complete
their assignments and then move on to other activities within the organization.
Manage Communications
Information must be disseminated according to the communications plan. Stakeholders
will need to be kept abreast of the project status. Management may want milestone
reports, variance reports, and status reports, and customers will have specific communications
requirements. All of these demands, from any stakeholder, should be documented within
the communications plan—and then followed through in the execution process. This process
also determines the most appropriate modality for communicating with stakeholders
for both formal and informal communications.
Managing Procurement Activities
In most projects, vendors are involved at some point. Part of the executing process
is to find the best vendors to be involved with the project. Adequate timing is required
for the procurement process to allow the vendors to provide adequate, appropriate
information for the project—and to allow the project manager to make an educated decision
on which vendors should be selected. Procurement includes obtaining quotations, bids,
and proposals for the services or goods to be purchased for the project’s completion.
This part of procurement involves making a decision as to which identified vendor
will be the source of the service or good being procured. Source selection is based
upon the selection criteria determined by the performing organization.
Once a vendor has been selected, procurement involves administering the contracts
between the buyer and the seller. The contract must be fair and legal. The contract
typically is a document that represents the offer and acceptance of both parties.
Some organizations may utilize centralized contracting or a contracting office to
manage all project contracts.
Manage Stakeholder Engagement
Managing stakeholder engagement requires the project manager to communicate with the
project stakeholders to inform them of the project status, news about the project
progress, and information on project costs, schedule, scope, and decisions. This process
aims to maintain a good relationship with the stakeholders to keep their buy-in and
consensus that the project work is progressing as planned—or to offer a plan when
the project is not.
This stakeholder process is really about communicating with the project stakeholders.
The project manager needs to address the stakeholders’ concerns, needs, and perceived
threats about the project. This execution process is somewhat reliant on the stakeholder
management strategy identified earlier in the project. Issues, risks, and changes
are all things that the project manager needs to address directly with stakeholders
to keep the project moving.
CERTIFICATION OBJECTIVE 3.05
Monitoring and Controlling the Project
The monitoring and controlling processes are the activities that ensure the project
goes according to plan and identifies the actions that need to be implemented when
evidence proves the project isn’t going according to plan. Specifically, the controlling
processes verify project work and the response to that work. In addition, the project
manager must work to control the predicted cost and schedule of the project. Variances
to the cost and schedule will affect the project’s success.
At the heart of this process is simply controlling and monitoring the project work.
This means the project manager and the project team actively collect and measure the
project’s performance, risk, time, cost, and scope. Then, based on the collection
of project performance, performance reports, and the project management plan, the
project manager can react to performance to improve the project and to forecast project
performance based on trend analysis.
Monitoring and Controlling Project Work
Once planning is accomplished and the project work begins, this process also launches.
While you, the project manager, would like to believe the project team, the vendors,
and stakeholders will all contribute as planned to the project, you know that’s not
always likely. This process will track all of the assignments, review the results
of the project work, and keep the project moving toward milestone dates and completion.
Monitoring and controlling the project work doesn’t necessarily mean you’ll be inspecting
only the project work, but you’ll also be reviewing slippage in the project schedule,
and costs, scope defects, and other elements of the project. Based on this review,
and often with expert judgment, you’ll make decisions on how to correct the problem
and how the remainder of the project will be completed. This process is tightly integrated
with project execution and happens throughout the project life cycle.
Managing Integrated Change Control
Integration management is the control of the project’s components and how each part
of a project may affect its other parts. For example, a proposed change to the project
scope may affect the project schedule, time, cost, quality, risk, communications,
human resources, and even procurement issues.
Integrated change control is the process of examining change requests, changes, preventive
actions, corrective actions, and defect repairs to see how these issues affect the
remaining portions of the project. The outcome of integrated change control includes
updates to the project management plan and project scope, but also approved or declined
change requests, approved corrective and preventative actions, and validated defect
repair. The ultimate result of integrated change control is the project deliverable.
Providing Scope Validation
Scope validation is the process of verifying that the work results are within the
expectations of the scope. It is typically done at project phase completion, at which
time the customer formally accepts the product of the project work. Should scope validation
fail, corrective actions are generally needed to bring the work results into alignment
with the expectations of the project scope. If the scope has not been met, the project
may be halted, reworked, or delayed during a decision-making process by the customer.
Scope validation is a control process. However, at the end of the project, the scope
must be validated for final acceptance. This process is completed with the project
manager and the key stakeholders. Scope validation is the process of inspecting, touring,
and “taking a walkthrough” of the project deliverables to confirm that the requirements
of the project have been met. Scope validation may happen at different intervals throughout
the project, such as at key milestones or phase completions. Scope validation at the
end of a project may require a formal sign-off from the customer that the project
is complete and satisfies their expectations.
Implementing Scope Change Control
The project manager must follow the change management plan to ensure that inappropriate
changes to the project scope do not occur. This includes scope creep that the project
team may be creating on its own accord—for example, the project team members may be
making additional adjustments to the equipment they are installing in a project, even
through the project scope does not call for the additional adjustments. Scope change
control ensures that the documented procedures to permit changes to the scope are
followed.
Enforcing Schedule Control
Schedule control requires constant monitoring of the project’s progress, approval
of phase deliverables, and task completion. Slippage must be analyzed early in the
project to determine the root cause of the problem. Activities that slip may indicate
inaccurate estimates, hidden work, or a poor WBS. Quality issues can also throw off
the project schedule when the time to redo project activities is taken into consideration,
as shown in the following illustration. Finally, the project manager must also consider
outside influences and their effect on the project—for example, weather, market conditions,
cultural issues, and so on.
Managing Cost Control
Controlling the project’s cost requires accurate estimates and then a check and balance
against those estimates. Procurement management, cash flow, and fundamental accounting
practices are required. Although cost control is dependent on project expenses, it
also hinges on hidden and fluctuating expenses, such as shipping, exchange rates for
international projects, travel, and incidentals. Thus, accurate and thorough record-keeping
is imperative.
Ensuring Quality Control
Quality control (QC) measures work results to determine whether they are in alignment
with quality standards. If the work results are not of quality, QC uses methods to
determine why the results are inadequate and how to eliminate the causes of the quality
deficiencies. QC is inspection-driven and strives to keep mistakes away from the project
customer.
Controlling Project Communication
This process happens throughout the project to communicate the status and conditions
of the project to the appropriate stakeholders, at the appropriate time. This means
the project manager will communicate to internal and external stakeholders following
the correct channels, enterprise environmental factors, and the project’s communication
management plan.
Controlling project communication also focuses on the project manager and the project
team reporting and recording accurate completions of work. Performance reporting stems
from accurate measurement by the project team, proof of work completion, and factual
estimates. The project manager then churns the reported projects through earned value
management, schedule baselines, cost baselines, and milestone targets. The status
reports to management are reflective of where the project has been, where it stands
now, and where it’s heading.
Monitoring and Controlling Project Risks
Risk management requires risk ownership and monitoring by the project team members.
As activities in the project network diagram (PND) are completed, the project manager
and the risk owners must pay special attention to the possible risks and the mitigation
plans that may come into play. Risk responses, should they be acted on, may cause
secondary risks, cost increases, and schedule delays. Risk response must be rapid
and thorough—and their outcomes well documented for historical reference for downstream
activities and other projects.
Risk response may also include risk impact statements that detail project risk, its
possible impact on the project, and its probability. The project manager and management
sign the risk impact statement for each identified risk beyond a predetermined score.
Controlling Project Procurements
Based on the procurement documents, the project contracts, and the performance of
the contracted work, the project manager will administer the project contracts. This
means the project manager and the vendor work together to ensure that both parties
are adhering to the terms and conditions of the contract. This process is also about
fostering relationships with the vendors, clients, and subcontractors. Much of this
process can be linked to project communications and documented expectations.
Controlling Stakeholder Engagement
Because so much of your project depends on the stakeholders’ involvement and continued
buy-in, it makes perfect sense that you’ll want to maintain your relationship with
the stakeholders. This process allows the project manager to adjust the stakeholder
management strategies as conditions change within the project and review the stakeholder
relationships for any changes. This process pays special attention to the stakeholders
who have the power, influence, and desire to influence change on your project. You’ll
work to keep all the stakeholders satisfied, but competing objectives, power plays,
and senior management may help you prioritize the needs, wants, and requirements of
stakeholders.
CERTIFICATION OBJECTIVE 3.06
Closing the Project
Closing a project is a wonderful feeling. Successful project closure requires a final,
complete effort by the project manager, the project team, the project stakeholders,
and management to close the project officially and move on to other opportunities.
The activities in this process are typically associated with the end of a project,
but most may also be completed within project phases.
Closing a Project or Phase
Closing the project or phase consists of some administrative work to allow the project
to continue onto the next phase or to enact final project closure. When the project
or phase is completed, the project manager must finalize all reports, document the
project experience, and provide evidence of customer acceptance. The project manager
will create a final report reflecting the project’s success or its failure. The project
manager will also provide information reflective of the project product and how it
met the project requirements, and will then complete the lessons-learned documentation.
Closing Vendor Contracts
At the completion of a project or project phase, the vendor contracts must be closed
out. Confirmation that vendor invoices and purchase orders have been fulfilled, met,
and paid is needed to complete the vendor closeout process. Closing out vendor contracts
may also require proof of delivery of the goods or services purchased, and vendor
contracts may be audited to confirm that vendor responsibilities have been met.
At project completion, a celebration to thank and reward the project team for their
hard work and dedication to the project is needed. Celebrations are also a good time
to reflect on the work completed and the challenges of the project, and to come back
together as a team before moving on to other projects and opportunities within the
organization.
CERTIFICATION OBJECTIVE 3.07
How Process Groups Interact
Imagine any project, be it building a new house, creating a new service, or deploying
a technology solution. Any of these projects will involve a logical approach from
start to finish. Within project management, and in particular for your PMP exam, the
flow of activities must be documented from initiation to closure. The five process
groups don’t necessarily allow the work to progress—they serve more as a mechanism
to identify and oversee the flow of actions within the project.
Each process has unique activities, as you’ve seen already in this chapter, but each
of these activities contributes to and coincides with the project work. The activities
guide the project work from concept to completion. Specifically, the parts of the
processes are the gears in the “project machine.” The processes allow for a specific,
manageable, and expected outcome of the project. Three components are common to each
process:
Inputs Documented conditions, values, and expectations that start the given process
Tools and techniques The actions to evaluate and act upon the inputs to create the outputs
Outputs The documented results of a process that may serve as an input to another process
These three components are fundamental through all five process groups. Typically,
plans, documented evidence of problems, or documented outcomes of activities are inputs
to a project process. For example, resource planning requires the WBS. The WBS is
an input to resource planning, but it’s also an output of the planning process group.
The tools and techniques used to plan for resources include expert judgment, alternative
identification, and your nifty project management software.
Customizing Process Interactions
The processes discussed in the previous section represent the mainstream, generally
accepted order of operations. You can count on these processes existing and progressing
in the preceding order. However, you can also count on these processes to be flexible
and customized to work in any order that the project demands. Project processes are
made not of stone but of flexible steel.
Following are some general guidelines about customizing project processes:
Projects that are resource-dependent may define roles and responsibilities prior
to scope creation. This is because the scope of the project may be limited by the
availability of the resources to complete the scope.
The processes may be governed by a project constraint. Consider a predetermined
deadline, budget, or project scope. The project constraint, such as a deadline, will
determine the activity sequencing, the need for resources, risk management, and other
processes.
Larger projects require more detail. Remember that projects fail at the beginning,
not at the end.
Subprojects and smaller projects have more flexibility, with the processes based
on the usefulness of the process. For example, a project with a relatively small team
may not benefit from an in-depth communications plan as much as a large project with
35 project team members might.
Plotting the Processes
The first three chapters of this book have focused on the project management endeavor,
the project management context, and the project management processes. Chapters 4 through 13 will focus on the project management knowledge areas. In those chapters, we’ll zoom
in on the processes we’ve identified and break down the topics into exam-specific
information.
You know that there are five process groups—that’s been the thrust of this chapter.
There are also, however, ten knowledge areas:
Project integration management How all of the project knowledge areas and processes work together
Project scope management Defining, executing, and managing the project scope
Project time management Creating and controlling the project schedule
Project cost management Defining and controlling all things financial
Project quality management Defining and adhering to a project quality policy
Project human resources management Managing the people on the project team
Project communications management Communicating the most appropriate information in the best way at the right time
in the project
Project risk management Identifying, analyzing, responding to, and controlling risks within the project
Project procurement management Purchasing the contracted resources the project needs in order to be successful
Project stakeholder management Identifying, managing, and controlling the relationship between the project stakeholders,
the project manager, and the project team
Although the information covered in this chapter is important, it is more of an umbrella
of the ten knowledge areas that you’ll want to focus on for your PMP exam. You’ll
see all of the 47 project management processes in detail in the upcoming chapters.
At the beginning of each chapter, we’ll highlight the processes the knowledge area
deals with. As a quick recap, here’s a breakdown of the 47 processes as you’ve learned
about them in this broad chapter.
Initiating the Project
There are just two processes to know for project initiation:
Develop the project charter.
Identify project stakeholders.
Planning the Project
There are 24 processes to know for project planning:
Develop the project management plan.
Plan scope management.
Collect project requirements.
Define the project scope.
Create the work breakdown structure.
Plan schedule management.
Define the project activities.
Sequence the project activities.
Estimate the activity resources.
Estimate the activity duration.
Develop the project schedule.
Plan cost management.
Estimate the project costs.
Establish the project budget.
Plan quality management.
Plan human resource management.
Plan communications management.
Plan risk management.
Identify the project risks.
Perform qualitative risk analysis.
Perform quantitative risk analysis.
Plan risk responses.
Plan procurement management.
Plan stakeholder management.
Executing the Project
There are eight executing processes:
Direct and manage project work.
Perform quality assurance.
Acquire the project team.
Perform team development.
Manage the project team.
Manage communications.
Conduct procurements.
Manage stakeholder engagement.
Monitoring and Controlling the Project
There are 11 monitoring and controlling processes:
Monitor and control the project work.
Administer integrated change control.
Complete scope validation.
Control the project scope.
Perform schedule control.
Perform cost control.
Administer quality control.
Control communications.
Control project risks.
Control procurements.
Control stakeholder engagements.
Closing the Project
There are just two closing processes:
Close out the project or the project phase.
Close procurements.
Process Group Interactions
Process groups are collections of project processes to bring about a specific result.
Process groups are not project phases. The project may follow a workflow through
the process groups, but the phases of the project are unique to the actual project
work.
Process groups are iterative. You can utilize the sequence of processes throughout
the entire project, in each phase of the project, or both.
CERTIFICATION SUMMARY
Within a project are five process groups and 47 processes. You’ll want to know what
activity happens within each of these groups. Projects start in the initiating process
group, where projects get authorized. From here, the project moves into the planning
process group. Planning is an iterative process and allows the project objectives
to be determined, as well as how the project will achieve those objectives. The project
plan is executed in the executing process group. The monitoring and controlling process
group is where project performance is monitored, measured, and controlled. Finally,
the project is completed and the contracts are completed in the closing process group.
You should know that a project can move between planning, monitoring and controlling,
and executing as conditions change—for example, if a new risk is identified. This
risk is analyzed and then a risk response is created in the planning processes group.
The project work moves on, but the risk management is implemented during the executing
processes. The response to the risk is monitored in the controlling process group.
Should the risk change, the project can revisit the planning processes. Don’t subscribe
to the theory that the project work stops as the project moves back into planning.
Other project activities may continue to operate as the project planning processes
group is revisited.
The project moves along according to the project schedule and the project network
diagram. Activities on the critical path are actively monitored for slippage, while
noncritical path activities are periodically checked for slippage. This is important,
because activities on the critical path have no tolerance for delays, while noncritical
path activities can be delayed as long as they do not delay the project’s completion.
As the project progresses, the project manager must monitor and communicate the project
performance. Stakeholder management is an ongoing process, and internal and external
stakeholders must be kept informed of how the project is progressing. Work results
that are below an accepted level of performance must be adjusted with corrective actions
to bring the project back into alignment with the cost, schedule, and scope baselines.
Communication of the project performance is one of the key elements for successful
project management—and for passing the PMP exam.
KEY TERMS
To pass the PMP exam, you will need to memorize these terms and their definitions.
For maximum value, create your own flashcards based on these definitions and review
them daily.
closing The fifth of five project management process groups. It contains the processes
responsible for closing a project, a project phase, or the procurement relationships.
executing The project management process group that carries out the project management plan
to create the project deliverables.
initiating The start and authorization of the project; the project manager is identified,
the project is authorized through the charter, and the stakeholders are identified.
inputs A component of a project management process that will assist the project manager
and the project team to start a process.
knowledge areas There are ten knowledge areas within project management; each knowledge area is
a specific portion of the project, and all ten project management knowledge areas
are interrelated.
monitoring and controlling The project management process group responsible for ensuring that the project
execution is completed according to the project management plan and expectations.
outputs The result of a project management process; the output of a process may serve as
an input to another project management process.
planning The iterative process group where the intention of the project is determined and
documented in the project management plan.
product-oriented processes Processes that are unique to the application area and the deliverables that are
the focus of the project.
project charter The first project document that authorizes the project, identifies the project
manager, and creates the high-level objectives for the project.
project communications management A project management knowledge area that carries out the directions of the project’s
communication management plan.
project cost management A project management knowledge area that defines cost estimating, cost budgeting,
and cost control.
project human resource management A project management knowledge area that creates the human resource plan, acquires
the project team, develops the project team, and manages the project team.
project integration management A project management knowledge area that coordinates all of the effort of the project’s
initiation, planning, executing, monitoring and controlling, and closing.
project procurement management A project management knowledge area that plans what needs to be procured, procures
the project needs, administers the procurement process, and closes procurement according
to the project terms and the procurement management plan.
project quality management A project management knowledge area that coordinates the quality planning, quality
assurance, and quality control of the project.
project risk management A project management knowledge area that creates the risk management plan, performs
qualitative and quantitative risk analysis, plans risk responses, and monitors and
controls the project risks.
project scope management A project management knowledge area responsible for collecting project requirements,
defining the project scope, creating the WBS, performing scope verification, and controlling
the project scope.
project stakeholder management A project management knowledge area responsible for identifying, managing, and
controlling the relationship between the project stakeholders, the project manager,
and the project team.
project time management A project management knowledge area that defines the project activities, sequences
project work, estimates resources and activity durations, and develops the project
schedule. This knowledge area is also responsible for control of the project schedule.
tools and techniques The activities the project manager and the project team complete in order to complete
a process.
TWO-MINUTE DRILLLearning the Project Processes
Projects comprise processes. People, not things, complete processes. Processes move
the project or phase to completion. Process groups comprise the actions within a project. These five process groups
have sets of actions that move the project forward toward completion. There are five
groups of processes in the project management life cycle:
Initiating
Planning
Executing
Monitoring and controlling
Closing
Just because a process was not completed does not mean it was not needed. A project
manager, however, doesn’t always have to complete every process within each process
group—just those processes that are needed for the project to be successful.
Projects are created to provide a solution for a problem or to take advantage of
an opportunity. They can be created to reduce costs, reduce waste, increase revenue,
increase productivity and efficiency, or produce other results. The project manager
should know why the project is created in order to aim toward the project purpose.
Some projects require a feasibility study to prove that the problem exists or to
conduct root-cause analysis to find the root of a given problem. Feasibility studies
also determine the capability of the project to solve the identified problem for a
reasonable cost and within a reasonable amount of time.
The product description describes the expected outcome of the project. The product
description should define what the project is creating. If the project is solving
a problem, the product description should describe how the organization will perform
without the problem in existence. If the project is seizing a market opportunity,
it should describe the organization after the opportunity is seized. Basically, product
descriptions describe life after a successful project.
Identifying the Initiating Process Group
This process group launches the project or phase and allows the project manager
to have the authority over the project.
The project charter authorizes the project, officially naming the project manager
and authorizing the project work.
Stakeholders are the people, groups, and organizations that are affected by the
project’s existence and outcome.
Identifying the Planning Process Group
Throughout the project, the project manager and the project team will be returning
to the planning processes as often as needed. Changes to the project scope, new risks,
challenges, and issues all can send the project back to planning.
The stakeholders’ expectations must be documented, prioritized, and balanced between
competing objectives. Managing stakeholders’ expectations is crucial to a project’s
success, so having a complete understanding of their expectations is mandatory.
Rolling wave planning focuses detailed planning on the immediate activities of the
project rather than on remote, future activities that may be affected by the outcome
of the direct project results.
Managing the Executing Processes
The executing processes allow the project team to perform the project work. It is
the execution of the project plan, the execution of the vendor management, and the
management of the project implementation.
Variances are the difference between what was planned and what was experienced.
0 A work authorization system is a method that allows work to begin according to schedule
and circumstance.
Managing the stakeholder expectations is an ongoing process that ensures stakeholder
communications, buy-in, and support for the project.
Monitoring and Controlling the Project
Integration management is the control of the project’s components and how each part
of a project may affect its other parts.
Scope validation is the process of validating that the work results are within the
expectations of the scope. It is typically done at project phase completion, where
the customer formally accepts the product of the project work.
Quality control (QC) measures work results to determine whether they are in alignment
with quality standards.
Closing the Project or Phase
At the completion of a project or project phase, the vendor contracts must be closed
out. Confirmation that vendor invoices and purchase orders have been fulfilled, met,
and paid is needed to complete the vendor closeout process.
When the project or phase is completed, the project manager must finalize all reports,
document the project experience, and provide evidence of customer acceptance. The
project manager will create a final report reflecting the project’s success or its
failure.
How Process Groups Interact
The five project management process groups are not linear activities, but are integrated
throughout the project. There are iterations of the process groups throughout the
project and in each phase of a project. The process groups allow the project manager
and the project team to seamlessly shift from one group to another based on the conditions
and needs of the project.
The project management life cycle contains the five project management process groups:
initiating, planning, executing, monitoring and controlling, and closing. These five
process groups are containers of processes, not project phases. Remember, the project
phases are unique to the project life cycle and the project’s process groups are unique
to the project management life cycle.
SELF TEST
1. You are the project manager of the HGB Project for your company. You are working
with the project team to identify the processes that will happen during the project.
Some of the team is confused on processes versus activities. What is a project process?
A. The creation of a product or service
B. The progressive elaboration resulting in a product
C. A series of actions that brings about a result
D. A series of actions that allows the project to move from concept to deliverable
2. Within a project, there are two distinct types of processes. Which of the following
processes is unique to the project?
A. EVM processes
B. Project management planning
C. IPECC
D. A product-oriented process
3. Five project management processes allow projects to move from start to completion.
Which one of the following is not one of the project management process groups?
A. Initiating
B. Planning
C. Communicating
D. Closing
4. As a project manager, you should be familiar with the logical ordering of project
management processes. Of the following, which is the logical order of the project
management processes?
A. Initiating, planning, monitoring and controlling, executing
B. Planning, initiating, monitoring and controlling, executing, closing
C. Initiating, planning, executing, monitoring and controlling, closing
D. Planning, initiating, executing, closing
5. Some processes will happen only once during a project, some processes may not happen
at all, and some processes may happen repeatedly in a single project. Which of the
project management processes is progressively elaborated?
A. Planning
B. Communicating
C. Contract administration
D. Closing
6. Mary is the project manager of a software development project and she’s working
with the project team to develop the project plan. Some of the team members don’t
understand why they’re returning to planning so often. The ongoing process of project
planning is also known as _______________.
A. Constant integration planning
B. Rolling wave planning
C. Continuous planning
D. Phase gates
7. You are the project manager for the AQA Project. You would like to include several
of the customers in the project planning sessions, but your project leader would like
to know why the stakeholders should be involved since your project team will be determining
the best method to reach the project objectives. You explain to the project leader
that the stakeholders should be included because _______________.
A. It generates goodwill between the project team and the stakeholders.
B. It allows the stakeholders to see the project manager as the authority of the
project.
C. It allows the project team to meet the stakeholders and express their concerns
regarding project constraints.
D. It allows the stakeholders to realize the shared ownership of the project.
8. You have requested that several of the stakeholders participate in the different
phases of the project. Why is this important?
A. It prevents scope creep.
B. It allows for scope constraints.
C. It improves the probability of satisfying the customer requirements.
D. It allows for effective communications.
9. The information from the planning phase is input into which of the following processes?
A. Initiating
B. Monitoring and controlling
C. Executing
D. Closing
10. The information from the initiating phase is input into which of the following
processes?
A. Planning
B. Executing
C. Controlling
D. All of the project phases
11. Which process represents an ongoing effort throughout the project?
A. Lessons learned
B. Planning
C. Closing
D. EVM
12. Although processes do not always have to happen in a particular order, there is
some logic to the ordering of project management processes. Which of the following
processes happen in the most logical order?
A. Activity definition, scope planning, activity duration estimating, cost budgeting
B. Scope planning, resource planning, activity duration estimating, activity sequencing
C. Scope definition, scope planning, activity definition, activity sequencing
D. Scope definition, activity definition, quality planning
13. Which of the following processes happens in the closing process group?
A. Activity definition
B. Cost budgeting
C. Quality planning
D. Close procurement
14. Which of the following planning processes is concerned with reporting relationships?
A. Organizational planning
B. Human resource planning
C. Scope planning
D. Activity definition
15. You’re coaching four new project members on project management and the different
processes. Ben, one of the project managers, asks when mitigation happens in a project.
Of the following, which process is most concerned with mitigation?
A. Quality planning
B. Risk response planning
C. Procurement planning
D. Risk identification
16. You are the project manager for the FTG Project. This project will affect several
lines of business, and controversy on the project deliverables already abounds. You
have 45 key stakeholders on this project representing internal customers from all
areas of your organization. With this many stakeholders, what challenge will be the
most difficult for the project’s success?
A. Communication
B. Managing stakeholder expectations
C. Managing scope creep
D. Coordinating communications between the project manager, project team, and the
project stakeholders
17. All projects have assumptions and constraints and it’s important to identify these
as early as possible in the project. Which of the following is representative of a
project constraint?
A. A project that must be finished by year’s end
B. That 45 stakeholders exist on a long-term project
C. The requirement to complete EVM
D. The requirement to produce a new product
18. You are a project manager of a large construction project. Many different stakeholders
are involved in the project, and each has his or her own opinion as to what the project
should create. To maintain communication, set objectives, and document all decisions,
you can say that larger projects generally require _______________.
A. A larger budget
B. More detail
C. Phase gate estimating
D. A large project team
19. Brenda is the project manager for her organization and she’s working with her project
team to create the project’s network diagram. To create a network diagram, the project
manager needs which of the following?
A. Activity sequencing
B. Project sponsor approval of the WBS
C. The WBS dictionary
D. A cost baseline
20. All of the following are processes that happen within the project cost management
knowledge area except for which one?
A. Cost estimating
B. Control cost
C. Determine the project budget
D. Establishing the resource estimates
21. Planning happens throughout the project when situations in the project demand a
return to the planning processes group. Risk management planning is an example of
an iterative planning process. Which of the following is considered an output of risk
management planning?
A. Activity lists
B. WBS
C. The risk management plan
D. The scope management plan
22. Which project management knowledge area coordinates the efforts of the five process
groups?
A. Project integration management
B. Project planning
C. Project management plan creation process
D. Monitoring and controlling
23. Frances is the project manager of the JHG Project. This project is similar to a
recent project she completed for another customer. Which planning process will Frances
need to finish first to ensure the project is completed successfully?
A. Contract planning
B. Scope definition
C. Activity sequencing
D. Quality planning
24. You are the project manager for the BKL Project. This type of project has never
been attempted before by your organization. The stakeholders already have high requirements
for the project deliverables, and you need to create a change control system. This
system should be controlled by which of the following?
A. A formal change control form
B. It should be completed by the team
C. The change control board
D. It is specific to the organizational structure
25. Joan is the project manager of the HBQ Project for her company and she’s working
with her project team and key stakeholders to develop the project management plan.
Some of the stakeholders want to know why it’s taking so long to get the project work
started and why all of this planning is necessary. Based on this information, complete
this statement: Projects fail _______________.
A. At the beginning, not at the end
B. During initiating, not closing
C. Because of inadequate project managers
D. Because of the project manager
SELF TEST ANSWERS
1. You are the project manager of the HGB Project for your company. You are working
with the project team to identify the processes that will happen during the project.
Some of the team is confused on processes versus activities. What is a project process?
A. The creation of a product or service
B. The progressive elaboration resulting in a product
C. A series of actions that brings about a result
D. A series of actions that allows the project to move from concept to deliverable
C. A process is a series of actions bringing about a result. Recall that processes exist
in projects and in project phases.
A is incorrect because this describes the project as a whole. B is incorrect because it also somewhat describes a phase or project as a whole. D is incorrect because it describes the series of processes moving through the project.
2. Within a project, there are two distinct types of processes. Which of the following
processes is unique to the project?
A. EVM processes
B. Project management planning
C. IPECC
D. A product-oriented process
D. Product-orientated processes are unique to the product the project is creating. Remember
that the project processes can create deliverables that the organization retains,
such as the organizational process assets, equipment, software, and hardware. Product
processes are concerned with the deliverable the customer of the project receives.
A is incorrect because EVM processes are part of project performance measurement. B, project management planning, is universal to project management. C, IPECC, is incorrect because it is the acrostic for the five process groups: initiation,
planning, executing, controlling, and closing.
3. Five project management processes allow projects to move from start to completion.
Which one of the following is not one of the project management process groups?
A. Initiating
B. Planning
C. Communicating
D. Closing
C. Communications is an activity that will consume much of the project manager’s time,
but it is not one of the five process groups.
A, B, and D are incorrect answers, because initiating, planning, and closing are three of the
five process groups.
4. As a project manager, you should be familiar with the logical ordering of project
management processes. Of the following, which is the logical order of the project
management processes?
A. Initiating, planning, monitoring and controlling, executing
B. Planning, initiating, monitoring and controlling, executing, closing
C. Initiating, planning, executing, monitoring and controlling, closing
D. Planning, initiating, executing, closing
C. Initiating, planning, executing, monitoring and controlling, and closing is the correct
order of the processes presented. Remember IPECC (like syrup of ipecac) to remember
the logical order of the project management life cycle’s process groups.
A is incorrect because it is not the correct order of the processes. Although A does list all five of the process groups, it does not list them in the correct order.
B and D are incorrect because they do not list the processes in the proper order (or, with
D, in their entirety). Remember on the PMP exam that you will need to choose the answer
that is most correct according to the question presented.
5. Some processes will happen only once during a project, some processes may not happen
at all, and some processes may happen repeatedly in a single project. Which of the
project management processes is progressively elaborated?
A. Planning
B. Communicating
C. Contract administration
D. Closing
A. Planning is an iterative process that is also progressively elaborated. Throughout
the project, the project team and the project manager will revisit the planning processes
to consider, update, and react to conditions and circumstances within the project.
B is incorrect because communicating is not one of the process groups. C is incorrect because contract administration is not a process group. D is incorrect because closing is not an iterative process, but a concluding process.
6. Mary is the project manager of a software development project and she’s working
with the project team to develop the project plan. Some of the team members don’t
understand why they’re returning to planning so often. The ongoing process of project
planning is also known as _______________.
A. Constant integration planning
B. Rolling wave planning
C. Continuous planning
D. Phase gates
B. Rolling wave planning is a description of the planning process in most large projects.
It requires that the project manager and the project team revisit the planning process
to address the next phase, implementation, or piece of the project.
A is incorrect because the planning process is not constant but iterative. C is incorrect because there is some pause to the planning processes. D is incorrect because phase gates are conditions that allow the projects to move from
phase to phase.
7. You are the project manager for the AQA Project. You would like to include several
of the customers in the project planning sessions, but your project leader would like
to know why the stakeholders should be involved since your project team will be determining
the best method to reach the project objectives. You explain to the project leader
that the stakeholders should be included because _______________.
A. It generates goodwill between the project team and the stakeholders.
B. It allows the stakeholders to see the project manager as the authority of the
project.
C. It allows the project team to meet the stakeholders and express their concerns
regarding project constraints.
D. It allows the stakeholders to realize the shared ownership of the project.
D. Involving the stakeholders in the planning processes allows for shared ownership
of the project.
A is incorrect because, although it may generate goodwill between the project team
and the stakeholders, this is not the predominant goal of stakeholder involvement.
B is incorrect because the project charter and the project manager reputation will
establish authority more than stakeholder involvement. C is incorrect because, although the stakeholders may express their concerns regarding
the project constraints, such concerns should be addressed as part of the planning
processes, not in addition to them.
8. You have requested that several of the stakeholders participate in the different
phases of the project. Why is this important?
A. It prevents scope creep.
B. It allows for scope constraints.
C. It improves the probability of satisfying the customer requirements.
D. It allows for effective communications.
C. By involving the stakeholders at different aspects of the project, their requirements
are more likely to be met. Specifically, scope verification ensures that the stakeholders
are seeing that phase deliverables, project progress, quality, and expectations are
being met.
A is incorrect because the untimely introduction of stakeholders can actually increase
scope creep. B is incorrect because scope constraints will be evident early in the project, rather
than during the implementation of the project work. D is incorrect because stakeholder presence does not ensure effective communications.
Effective communications will stem from the project manager and the requirements identified
and documented in the communications management plan.
9. The information from the planning phase is input into which of the following processes?
A. Initiating
B. Monitoring and controlling
C. Executing
D. Closing
C. The outputs of the planning phase are a direct input to the executing processes.
A is incorrect because initiating processes precede planning processes. B is incorrect because conditions in the controlling processes are inputs to the planning
processes, not the reverse. D is incorrect because planning processes do not serve as a direct input to the closing
processes.
10. The information from the initiating phase is input into which of the following
processes?
A. Planning
B. Executing
C. Controlling
D. All of the project phases
A. The initiating processes serve as a direct input to the planning processes.
B, C, and D are incorrect because initiating processes do not directly serve as an input to the
executing, controlling, and closing processes.
11. Which process represents an ongoing effort throughout the project?
A. Lessons learned
B. Planning
C. Closing
D. EVM
B. Planning is the iterative process evident throughout the project.
A is incorrect because lessons learned is not a process group. Closing, answer C, may be evident at the end of project phases and at the end of the project, but it
is not an ongoing effort like the planning process. D, EVM, is not an ongoing process.
12. Although processes do not always have to happen in a particular order, there is
some logic to the ordering of project management processes. Which of the following
processes happen in the most logical order?
A. Activity definition, scope planning, activity duration estimating, cost budgeting
B. Scope planning, resource planning, activity duration estimating, activity sequencing
C. Scope definition, scope planning, activity definition, activity sequencing
D. Scope definition, activity definition, quality planning
D. The correct order is scope definition, activity definition, and then quality planning.
Answers A, B, and C do not show the processes in the correct order.
13. Which of the following processes happens in the closing process group?
A. Activity definition
B. Cost budgeting
C. Resource planning
D. Close procurement
D. Close procurement is the only process that happens during the closing process group.
A is incorrect because activity definition happens during planning. B is incorrect because cost budgeting is also a planning process. C, resource planning, is also a planning process so it, too, is not a correct answer.
14. Which of the following planning processes is concerned with reporting relationships?
A. Organizational planning
B. Human resource planning
C. Scope planning
D. Activity definition
B. Human resource planning is the facilitating planning process that defines roles and
responsibilities—and the reporting structure within the project.
A is incorrect because organizational planning is not a valid term for this question.
C is incorrect because it is the determination of what the project will and will not
do. D is incorrect because activity definition is the definition of the required activities
to complete the project work.
15. You’re coaching four new project members on project management and the different
processes. Ben, one of the project managers, asks when mitigation happens in a project.
Of the following, which process is most concerned with mitigation?
A. Quality planning
B. Risk response planning
C. Procurement planning
D. Risk identification
B. Mitigation is a response to risk.
A, quality planning, is incorrect because it focuses on QA and the enforcement of QC.
C is concerned with procurement management. D is incorrect because the identification of risk does not guarantee, or in some instances
warrant, mitigation.
16. You are the project manager for the FTG Project. This project will affect several
lines of business, and controversy on the project deliverables already abounds. You
have 45 key stakeholders on this project representing internal customers from all
areas of your organization. With this many stakeholders, what challenge will be the
most difficult for the project’s success?
A. Communication
B. Managing stakeholder expectations
C. Managing scope creep
D. Coordinating communications between the project manager, project team, and the
project stakeholders
B. On a project with 45 key stakeholders, the project manager must work hard to manage
stakeholder expectations. Given the impact of the project and the identified controversy,
the project manager will need to proceed with caution to ensure the project deliverables
meet the required expectations of the stakeholders.
A is incorrect; although communication may be the most time-consuming activity for
the project, it is not the most difficult to manage. C is incorrect because managing scope creep can be controlled through an effective
change control system. Scope creep may be an issue, but it is likely not the largest
issue with this number of key stakeholders. D is incorrect because the communication between the project manager, the project team,
and the stakeholders will be governed by the communications management plan.
17. All projects have assumptions and constraints and it’s important to identify these
as early as possible in the project. Which of the following is representative of a
project constraint?
A. A project that must be finished by year’s end
B. That 45 stakeholders exist on a long-term project
C. The requirement to complete EVM
D. The requirement to produce a new product
A is the best answer because it is a time constraint.
Answer B is not a constraint but a project attribute. C is incorrect because it describes a project requirement, not a project constraint.
D is incorrect because the requirement to produce a new product may be the project
itself, not the constraint.
18. You are a project manager of a large construction project. Many different stakeholders
are involved in the project, and each has his or her own opinion as to what the project
should create. To maintain communication, set objectives, and document all decisions,
you can say that larger projects generally require _______________.
A. A larger budget
B. More detail
C. Phase gate estimating
D. A large project team
B. Larger projects require more detail.
A is incorrect because larger projects don’t always require a larger budget; consider
an add/ move/change project to replace a piece of equipment. The project work is shallow,
but the piece of equipment may be expensive. C is incorrect because not all large projects will implement phase gate estimating.
D is incorrect because a large project does not always mandate a large project team;
consider a large project with very few resources available to complete the project
work.
19. Brenda is the project manager for her organization and she’s working with her project
team to create the project’s network diagram. To create a network diagram, the project
manager needs which of the following?
A. Activity sequencing
B. Project sponsor approval of the WBS
C. The WBS dictionary
D. A cost baseline
A. The network diagram illustrates the sequence of events within the project.
B is incorrect because the project sponsor may not approve, or need to approve, the
WBS in all projects. C is incorrect because the WBS dictionary is not needed to create a network diagram.
D is also incorrect because the cost baseline is not necessary to create a network
diagram.
20. All of the following are processes that happen within the project cost management
knowledge area except for which one?
A. Cost estimating
B. Control cost
C. Determine the project budget
D. Establishing the resource estimates
D. Establishing the resource estimates happens during project time management.
A, B, and C are incorrect because the three processes that happen within the cost knowledge area
are cost estimating, cost control, and determining the project budget.
21. Planning happens throughout the project when situations in the project demand a
return to the planning processes group. Risk management planning is an example of
an iterative planning process. Which of the following is considered an output of risk
management planning?
A. Activity lists
B. WBS
C. The risk management plan
D. The scope management plan
C. The risk management plan is the output of the risk management planning process.
A and B, activity lists and the WBS, are incorrect because they are neither inputs nor outputs
of the risk management planning process. D, the scope management plan, is incorrect because it is not an output of the risk management
planning process.
22. Which project management knowledge area coordinates the efforts of the five process
groups?
A. Project integration management
B. Project planning
C. Project management plan creation process
D. Monitoring and controlling
A. The project integration management knowledge area coordinates the activities of the
project’s initiation, planning, executing, monitoring and controlling, and closing.
B is incorrect because project planning is not a project management knowledge area;
it is a process group. C is incorrect because the project management plan creation is a process, not a knowledge
area. D is incorrect because monitoring and controlling is a process group that ensures the
project execution is going according to project plan.
23. Frances is the project manager of the JHG Project. This project is similar to a
recent project she completed for another customer. Which planning process will Frances
need to finish first to ensure the project is completed successfully?
A. Contract planning
B. Scope definition
C. Activity sequencing
D. Quality planning
B. Even though the projects are similar, Frances must still define the project scope.
A is incorrect because not all projects will need procurement. C and D are incorrect because scope definition must precede activity sequencing and quality
planning.
24. You are the project manager for the BKL Project. This type of project has never
been attempted before by your organization. The stakeholders already have high requirements
for the project deliverables, and you need to create a change control system. This
system should be controlled by which of the following?
A. A formal change control form
B. It should be completed by the team
C. The change control board
D. It is specific to the organizational structure
C. A change control board (CCB) will review and approve changes to the project scope.
Due to the high requirements of the stakeholders, a CCB can help fend off unneeded
changes and allow the project manager to focus on the project management activities,
rather than the potential flood of change requests.
A and D, while correct in theory, are incorrect here because they do not answer the question
as fully as answer C does. B is incorrect because the project team should not review and approve changes in this
scenario.
25. Joan is the project manager of the HBQ Project for her company and she’s working
with her project team and key stakeholders to develop the project management plan.
Some of the stakeholders want to know why it’s taking so long to get the project work
started and why all of this planning is necessary. Based on this information, complete
this statement: Projects fail _______________.
A. At the beginning, not at the end
B. During initiating, not closing
C. Because of inadequate project managers
D. Because of the project manager
A. Projects fail at the beginning, not at the end. A poor requirements document, inadequate
needs assessments, unfulfilled planning, and earlier processes can contribute to project
failure. It’s important to remember that projects can, and many do, fail at any time
in the project. Usually it’s because of poor requirements gathering, poor planning,
and then the poor execution. Projects can crumble in execution when there’s no solid
foundation of requirements, project scope, and a clear vision of what the project
will create.
B, C, and D are incorrect answers.
