What is a Work Breakdown Structure?
Breaking work into smaller tasks is a common productivity technique used to make the work
more manageable and approachable. For projects, the Work Breakdown Structure (WBS) is
the tool that utilizes this technique and is one of the most important project management
documents. It singlehandedly integrates scope, cost and schedule baselines ensuring that project
plans are in alignment.
The Project Management Institute (PMI) Project Management Book of Knowledge (PMBOK)
defines the Work Breakdown Structure as a “deliverable oriented hierarchical decomposition of
the work to be executed by the project team.” There are two types of WBS: 1) Deliverable-
Based and 2) Phase-Based. The most common and preferred approach is the Deliverable-Based
approach. The main difference between the two approaches are the Elements identified in the
first Level of the WBS.
Deliverable-Based Work Breakdown Structure
A Deliverable-Based Work Breakdown Structure clearly demonstrates the relationship between
the project deliverables (i.e., products, services or results) and the scope (i.e., work to be
executed). Figure 1 is an example of a Deliverable-Based WBS for building a house. Figure 2 is
an example of a Phase-Based WBS for the same project.
FIGURE 1 – DELIVERABLE BASED WORK BREAKDOWN STRUCTURE
In Figure 1, the Level 1 Elements are summary deliverable descriptions. The Level 2 Elements in
each Leg of the WBS are all the unique deliverables required to create the respective Level 1
deliverable.
Phase-Based Work Breakdown Structure
In Figure 2, a Phase-Based WBS, the Level 1 has five Elements. Each of these Elements are
typical phases of a project. The Level 2 Elements are the unique deliverables in each phase.
Regardless of the type of WBS, the lower Level Elements are all deliverables. Notice that
Elements in different Legs have the same name. A Phase-Based WBS requires work associated
with multiple elements be divided into the work unique to each Level 1 Element. A WBS
Dictionary is created to describe the work in each Element.
FIGURE 2 - PHASE BASED WORK BREAKDOWN STRUCTURE
A good WBS is simply one that makes the project more manageable. Every project is different;
every project manager is different and every WBS is different. So, the right WBS is the one that
best answers the question, “What structure makes the project more manageable?”.
Case study
1. Project Title
Development of an Online Shopping System
2. Background of the Project
ABC Pvt. Ltd. decided to develop an online shopping website to sell products such as
electronics, clothes, and groceries. The goal was to allow customers to browse products, place
orders, make online payments, and track deliveries easily.
3. Project Objective
To develop a user-friendly online shopping platform
To provide secure payment options
To improve customer reach and sales
To complete the project within 6 months and approved budget
4. Project Stakeholders
Project Sponsor – Company Director
Project Manager – Responsible for planning and execution
Development Team – Software developers, testers
Customers – End users of the website
Vendors – Payment gateway and delivery partners
5. Project Scope
In-Scope:
User registration and login
Product catalog and search
Shopping cart and checkout
Online payment integration
Order tracking
Out of Scope:
Mobile app development
International delivery
6. Project Life Cycle Phases
a) Initiation Phase
Business need identified
Feasibility study conducted
Project charter approved
b) Planning Phase
Scope definition
Work Breakdown Structure (WBS) prepared
Schedule and cost estimation
Risk management plan created
c) Execution Phase
Website design and development
Database creation
Payment gateway integration
Content uploading
d) Monitoring & Controlling Phase
Progress tracking
Quality testing
Risk monitoring
Cost and schedule control
e) Closing Phase
Final testing and deployment
User training
Project documentation
Client approval
7. Work Breakdown Structure (WBS)
1. Project Management
2. Requirement Analysis
3. Website Design
4. Backend Development
5. Payment Integration
6. Testing
7. Deployment
8. Risks Involved
Payment gateway failure
Data security issues
Delay in development
Budget overrun
Risk Mitigation:
Use secure payment APIs
Regular testing
Proper planning and monitoring
9. Quality Management
Functional testing
Security testing
User acceptance testing (UAT)
10. Outcome of the Project
The online shopping system was successfully delivered on time. The company achieved higher
customer satisfaction, increased sales, and improved market presence.
11. Conclusion
This case study shows how project management processes and PMBOK knowledge areas
help in successfully planning, executing, and delivering an online shopping project.