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Advanced PMP Preparation Course Guide

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0% found this document useful (0 votes)
4 views156 pages

Advanced PMP Preparation Course Guide

Uploaded by

ramelsison06
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Advanced Project Management Practicing

PMP Preparation Course – Fifth Edition 2013/2014


Prepared and presented by:
Hosam Kandeel, PMP, EVP, CRA, PMI‐RMP, PMI‐SP, CIPM, ASCE‐CMP, [Link].
Let’s talk
Photos
Copy righted for Hosam Eid Mohammed (kandeel)
Copy righted for Hosam Eid Mohammed (kandeel)
Copy righted for Hosam Eid Mohammed (kandeel)
Copy righted for Hosam Eid Mohammed (kandeel)
Copy righted for Hosam Eid Mohammed (kandeel)
Copy righted for Hosam Eid Mohammed (kandeel)
Copy righted for Hosam Eid Mohammed (kandeel)
Copy righted for Hosam Eid Mohammed (kandeel)
Project Management Frame work &
Organization Structure
Copy righted for Hosam Eid Mohammed (kandeel)
Project Management Frame work & Organization Structure

Program1
Portfolio
Project2
Project1

Project3

Program

Product Scope:
The Features an functions that characterize a product, service or results

Project Scope:
The work need to be accomplished to deliver a product, service or results with specified
features & functions
Copy righted for Hosam Eid Mohammed (kandeel)
Is a Temporary, Unique , budgeted & time framed
endeavor (event) , that applies the concept of
progressively elaboration to develop an end product
progressively
elaboration
Project concept

Established
By
Unique:
will never be Planning the next part of
repeated the project according to
new available data
Budgeted:
Have a fixed budget Organization Planning the next part of
the project according to
Budgeted & time new available data
framed:
Have a fixed budget & Planning Part of the project according to the
duration available data
progressively elaboration concept
Summary level planning package: are the aggregation of work & budget for far‐term effort
that can be assigned within reporting level WBS elements but not down to the CA level (have
scope, schedule &budget) & reflect dollars, hours & other measurable quantities
Cost

Management Management
Management
reserve reserve
reserve

Summary level SLPP &


planning undistributed
packages & budget
undistributed
budget
Detailed
Budget
Detailed
Detailed
Budget
Budget
Time
Project Management Frame work & Organization Structure
(Cost Impact of Changes in project & Stakeholders influence)
Project Management Frame work & Organization Structure
STH. Impact on the project (Cost Impact of Changes in project & Stakeholders influence)

High Impact – Low Interest High Impact – High Interest


Keep Satisfied Manage closely

Low Impact –High Interest


Low Impact – Low Interest
Keep Informed
Monitor

Stakeholder Impact Matrix for the project STH. Interest in The Project
PMO “Project management office”
Types of PMO
Supportive Controlling Directive
Key Function
Supplying templates, Best
Provide support and Directly managing the
practices, access to information
and lessons learned require compliance (KPIs) projects
Primary Function
Manage shared resources across all projects
Identifying and developing project management methodology
Coaching, mentoring, training and oversight
Monitoring compliance with project management standards
Developing and managing project policies, procedures and templates
Coordinating communication across the project
Project Management Frame work & Organization Structure
(Organization Structure)

Functional Organization Structure (Gov.)


Project Management Frame work & Organization Structure
(Organization Structure)

Projectized Organization Structure


Project Management Frame work & Organization Structure
(Organization Structure)

Weak Matrix Organization Structure


Project Management Frame work & Organization Structure
(Organization Structure)

Balanced Matrix Organization Structure


Project Management Frame work & Organization Structure
(Organization Structure)

Strong Matrix Organization Structure


Program Director
Program Controls manager
G. Engineering
General core PMO manager
G. Accounting manager
G. Procurement
Planning Team Cost Control Team Document Control Team manager
Supervisor + 3planners Supervisor s + 6 Data entry Supervisor s + 3 Data entry

Project Controls manager


Site Project
manager
Cost Control Team Planning Team Document Control Team
Supervisor + 3Data entry 1+1 +Senior & J. planner Supervisor + 2 Data entry Executive Secretary (2+1) Accountants

Site Procurement Site Engineering General construction


QA/QC Manager Site HR Manager
Manager Manager Manager
2+1 Site Civil work Shop Civil work construction 1+1 Site Civil work Time Sheets
drawings Engineer s QA/QC Engineer s data entry
Site Civil work manager
operator s
Procurement 3+1 Site Civil work 1 Site Civil work
Engineer Shop drawings Site Engineers & Materials
Draftsmen Forman inspector Payroll
Site MEP work responsible s
2+1 Site MEP work Shop MEP construction 1+1 Site MEP work Shop
Procurement drawings Engineer s drawings Engineer s
Engineer manager Employees
4+1 Site MEP 1 Site MEP work affairs
Site Finishing work Shop Site Engineers & Materials responsible
work drawings Forman inspector
Procurement Draftsmen
Engineer Finishing construction 1+1 Site Finishing work
2+1 Site Finishing work Shop drawings Engineer s
manager
Shop drawings Engineer s
1 Site Finishing
Site Engineers &
4+1 Site Finishing work Materials
work Shop Forman inspector
drawings
Draftsmen Infrastructure
construction manager

(2+1) Coordinators Site Engineers &


Forman Coordinator
(2+1) Coordinators
General construction Manager
Store Manager
Concrete plant Manager
(if Any)
Transportation Manager

Civil work Finishing Infrastructure


MEP construction
construction construction construction
manager
manager manager manager

Engineering
Coordinators Site Engineers Site Engineers Site Engineers Site Engineers
Procurement (one for 2 Buildings) (one for 1 Buildings) (one for 1 Buildings) 2+2Engineers
Coordinators

Site Forman Site Forman Site Forman Site Forman


(one for 1 Buildings) (one for 1 Buildings) (one for 1 Buildings) (one for 1 Buildings)

Skilled & unskilled labors


Notes:
The default number is written first & the + is additional Number due to the size of the site
The proposed organization is applicable for all the 23 sites
The separate construction organization is the detailed for the global one in slide 1 construction part
Project Management Frame work & Organization Structure
(Organization Structure)
Application of Organization Structures
Project Management Standard Process & Knowledge areas
(The Matrix, the process & The Curves)
process
process

process

process

process
Initiation
Process Group

Develop Project Charter


Management plan
Develop Project
1. Plan Cost management

3. Determine Budget
2. Estimate Cost

4. Estimate Activity Resources


5. Estimate Activities Durations
3. Sequence Activities
6. Develop Schedule
2. Define Activities
1. Plan Quality
1. Plan Schedule management
1. Plan Risk Management
4. Create WBS
2. Identify Risks
3. Define Scope
3. Perform Qualitative Risk Analysis
2. Collect Requirement
4. Perform Quantitative Risk Analysis
1. Plan Scope Management
5. Plan Risk Responses
2. Plan Stakeholder Management
1. Plan Procurement

1. Develop HR Plan
Process Group
Planning
Executing
Process Group
2. Perform Quality
Assurance

4. Manage Project Team

3. Develop Project Team

2. Acquire Project Team

2. Manage
Communication
3. Manage Stakeholder
Engagement
2. Conduct
Procurement

Direct & manage


Project Work
Monitoring 3. Control Procurement
and controlling 4. Control Stakeholder
Engagement
Process Group
1. Develop HR Plan
4. Control Cost
3. Control communication

5. Validate Scope

6. Control Scope
3. Perform Quality
Control
6. Monitor & Control
Risks
Closing Process
Group

6. Close Project or
phase
Project Management Standard Process & Knowledge areas (The Matrix)

Communication
Management

Management
Management

Management

Management

Management

Management

Management
Management
Procurement

Stakeholder
Management

Integration
Quality
scope

Time

Cost

Risk
HR
Initiation

1. Identify 1. Develop Project


Stakeholders Charter

1. Plan Schedule 1. Plan Cost 1. Develop 1. Plan Risk


1. Plan HR Plan Management
management management

1. Plan Procurement
1. Plan Scope Quality 2. Develop Project

Communications

Management
2. Define 2. Identify

Stakeholder
Management 2. Estimate Management plan
Activities Risks
Planning

2. Plan
1. Plan
2. Collect 3. Sequence Cost 3. Perform
Requirement Activities Qualitative
3. Determine Risk Analysis
4. Estimate Activity Budget
3. Define Resources 4. Perform
Scope 5. Estimate Quantitative
Activities Durations Risk Analysis
4. Create
WBS 6. Develop 5. Plan Risk
Schedule Responses

2. Acquire

Communication

Engagement
Stakeholder
Procurement
Executing

2. Perform Project Team 3. Direct & manage

3. Manage
2. Conduct
2. Manage
Quality 3. Develop Project Work
Project Team
Assurance
4. Manage
Project Team

5. Validate 7. Control 4. Control 4. Monitor &


Schedule Cost 6. Monitor &
Control Project

Procurement
Scope
& controlling

communication

Engagement
3. Perform

Stakeholder
Control Risks
Monitoring

3. Control

4. Control
Work
Quality 3. Control
6. Control Control 5. Perform
Scope Integrated Change
Control

Procurement
6. Close Project or
Closing

4. Close
phase
Project Management Standard Process & Knowledge areas
(The process)
Initiation
Planning
Select project manager
Determine company culture and existing system
Det. How you will do planning part of all management plan
Collect processes, procedures and historical information
Finalize Requirement
Divide large project into phases
Create project scope statement
Understand the business case
Determine what to purchase
Uncover initial requirements and risks
Determine team
Create measurable objectives
Create WBS and WBS dictionary
Develop project charter
Create activity list
Identify stake holder
Create network diagram
Develop stake holder management strategy
Estimate resource requirement
Executing Estimate time
Estimate cost
Execute the work according to PM plan Determine critical path
Produce product scope Develop schedule
Request change Develop budget
Implement only approved change Det. Quality standard, process and metrics
Ensure common understanding
Create Process improvement plan
Use work authorization system
Det. All roles and responsibility
Continuously improve
Fallow process Plan communications
Perform QA Risk identification
Perform Quality Audits Risk identification and analysis
Acquire final team Risk response planning
Manage people Go‐back iteration
Evaluate team and project perform Prepare procurement
Hold team building activities Finalize how to execute and control
Give recognition and rewards Define find PM planned performance measurement baseline
Use issue log Formal approval for plan
 Facilitate conflict resolution
Hold kick off meeting
Send and receive information
Hold meeting
Select sellers
Project Management Standard Process & Knowledge areas
(The process)

Monitoring & controlling Closing

Take action to control the project


Confirm work is done to requirement
Measure performance Vs performance baseline
Complete procurement
Measure performance Vs other metrics determine by PM
Gain formal acceptance for the product
Determine variances
Complete final performance reporting
Influence factors cause changes
Index and archive records
Request changes
Update lessons learned
Perform x change control
Hand off complete product
Approve or reject change
Release resource
Inform stakeholders to approved changes
Manage configuration
Create the forecast
Gain acceptance of interim deliverables from customer
Perform QC
Perform risk‐Audit
Manage reserves
Administer procurement
Project Management Standard Process & Knowledge areas
(The Curves)

Process groups Interaction


The Processes Concept
Example Process group – Planning
Knowledge area – Procurement
Planning

Inputs 1. Plan Procurement


Tools & Techniques
Outputs
Make or Buy Analysis
Risk Management Risk Related contract Decision
Procurement management Plan
Contract Types
Risk Management Risk Register
Procurement Statement of work
Expert Judgment
Cost Management Activity Cost Estimates
Make or Buy Decision
Time Management Activity Resource Requirements
Procurement Document
Scope Management Scope Baseline
Source Selection Criteria
Scope Management Requirement Documentation
Change request
Cost Management Cost Performance Baseline

Time Management Project Schedule

EEF & OPA

Teaming Agreement
Question (1)
Question (2)
Question (3)
Project scope Management
Copy righted for Hosam Eid Mohammed (kandeel)
Project scope Management

Why do the
Summary Description
organization need the
of the Project,
project to be
outlines module
established ?

What ever in the


What ever the organization
surrounding environment
use out of it’s own library
of the project & affect the
to establish the project
project (low, organizations,
(template, processes,
resource
lessons learned,…Etc)
characteristic,…etc)
Project scope Management

Scope

Quality
Project scope Management

Planning
Inputs
1. Plan Scope Management
Outputs
Tools & Techniques

Initiation Project Charter Expert Judgment Scope Management Plan


Project management plan
Meetings Requirement Management Plan
EEF and OPA

Project Charter
The Birth Authorization of a project , Signed by the Sponsor & provides a High level project
requirements & high level project description, the Project charter names the Project manager & can
name the high level Roles in the project & the high level vendors & suppliers for special items, the
document includes as well a top level estimating budget for the project

Stakeholder Register

Person or Organization that


An Important Document Listing all the stockholders names
Stakeholder could impact or impacted by
(definitions for organization)
the project
Project scope Management

Planning
Inputs
2. Collect Requirement
Outputs
Tools & Techniques

Project Charter Questioners and surveys


Requirement Documentation
Stakeholder management plan Interviews Observations
Requirement Traceability matrix
Focus Groups Prototypes
Scope Management Plan
Groups creativity Techniques Brainstorming
Requirement Management Plan
Groups Decision Making Nominal group

Unanimity ‐ Delphi Facilitated workshops Idea mind mapping


Majority Context diagram Affinity diagram
Plurality Document analysis Multicriteria decision

Planning
Inputs
3. Define Scope
Outputs
Tools & Techniques

Project Charter Expert Judgment

Product Analysis Project Scope Statement


Scope Management Plan
Alternative Definition
Requirement Documentation Project Documents Update
Feasibility workshops
OPA
Project scope Management
Planning
Inputs
4. Create WBS
Outputs
Tools & Techniques
Project Scope Statement
Decomposition Scope Baseline
Requirement Documentation Expert Judgment
Project Document Update
Scope Management Plan

OPA and EEF


Project Scope Statement

Product Scope definition WBS


Project Deliverables WBS Dictionary
Project Constrains
Acceptance Criteria
Project Assumption

WBS is a hieratical Arrangement of the project components & decomposition of


the project scope into manageable parts that facilitate identifying the activities
& assign the cost, time, Quantities & man‐hours to such activities & aggregating
the totals to the WBS elements Up to the top level of the WBS so that we can
determine the final cost & time for the project & accordingly we track & report
the performance of the project
Project scope Management

Example of a WBS
PROJECT
Level (0 – or Control Account level – Div 03 ) 0

WBS 1 WBS 2 WBS 3 WBS 4 WBS 5


Level (1)
0.1 0.2 0.3 0.4 0.5

WBS 1 WBS 2 WBS 3


Level (2)
0.2.1 0.2.2 0.2.3

WBS 1 WBS 2 WBS 3 WBS 4 WBS 4


Level (3)
[Link] [Link] [Link] [Link] [Link]

End Level (work Package level) after which the WBS 1 WBS 2 WBS 3
Listing of the activities is being developed [Link].1 [Link].2 [Link].3
Project scope Management

The Philosophy of defining & detailing the definition of scope is to try to tend
the project to a manageable form, as we cant use the requirement nor the scope
definition to Manage the project or to achieve the goals of the project

After keep saying & repeating


“Managing, Managing &
Managing” could anyone here
tell me what is the meaning of
managing……?
Project scope Management

Scope
Project scope Management

Monitoring & controlling


Inputs
5. Validate Scope
Outputs
Tools & Techniques

Project Management Plan Inspection Change Requests


Requirement Documentation Accept Deliverables
Requirement Traceability matrix Work Performance Information
Verified Deliverables Project Document Update
Work Performance data

Monitoring & controlling


Inputs
6. Control Scope
Outputs

Tools & Techniques

Project Management Plan Variance Analysis Work Performance information


Requirement Documentation OPA Update
Requirement Traceability matrix Change Requests
Work Performance data PM Plan Update
OPA Project Document Update
Project scope Management
Project scope Management

Resulted in
Being Done upon
release of
4. Validate the finishing of a
payment &
Scope part , phase, stage
official
or sub‐product
approval

There is no
need of
Being Done releasing
5. Control payment, it is
Periodically to just
Scope avoid scope creep monitoring
the
performance
Project Time Management
Copy righted for Hosam Eid Mohammed (kandeel)
Project Time Management
The Concept & the
target
500$

WBS level (1) – Rolling Up for Activities Duration & Logic

Summary Level (work package1) – Rolling Up for Activities Duration & Logic 300$

S Activity (A) – Duration = XX F 100$

100$ Activity (B) ‐ Duration = YY

Activity (C) ‐ Duration = ZZ 100$

200$ Summary Level (work package2) – Rolling Up for Activities Duration & Logic

Activity (B) ‐ Duration = YY 100$


Activity (C) ‐ Duration = ZZ
100$

Any Activity (Duration = XXXVVV)


Resource (1) – Manpower (hours & Dollars) Total Hours = X Total Cost=Y

Resource (2) – Machines (hours & Dollars) Total Hours = X Total Cost=Y

Resource (3) – Materials (Quantity & Dollars) Total Q.= X Total Cost=Y

Resource (4) – Direct money (Dollars) Total Cost=Y


Project Time Management

Planning
Inputs
1. Plan Schedule
management Outputs
Tools & Techniques
Project management plan
Project Charter Expert Judgment
Schedule Management plan
OPA and EEF Analytical techniques
Meetings

Who..? What..? When..? How..? How Much..?

XXXXXXX Management Plan


Project Time Management
Planning
Inputs
2. Define Activities
Outputs
Tools & Techniques

Decomposition
Scope Baseline Activity List
Rolling Wave Planning
Schedule Management plan Activity Attribute
Expert Judgment
Milestones list
OPA and EEF
Planning
Inputs
3. Sequence Activities
Outputs

Activity List Tools & Techniques

Precedence diagram
Schedule Management plan Project Schedule Network
Dependency Determining Diagram
Activity Attribute
Apply Leads & Lags
Project Document Update
Milestones list
Scope Management Project Scope Statement

OPA and EEF

Summary Level – Rolling Up for Activities Duration & Logic

S Activity (A) – Duration = XX F

Activity (B) ‐ Duration = YY


Activity (C) ‐ Duration = ZZ
Project Time Management
Example of CPM‐ Precedence diagram
Project Time Management
Example of CPM‐ Precedence diagram
Project Time Management
Example of CPM‐ Precedence diagram
Project Time Management
Example of CPM‐ Precedence diagram
Project Time Management
Example of CPM‐ Precedence diagram
Project Time Management
Planning
Inputs
4. Estimate Activity Resources
Outputs
Tools & Techniques
Activity List Alternative Analysis
Activity Resource requirements
Activity Attribute Published Estimating Data
Resource breakdown structure
Schedule Management plan PM software Expert Judgment
Project Document Update
Resource Calendar Bottom Up Estimating
EEF & OPA

Planning
Inputs
5. Estimate Activities Durations
Outputs
Tools & Techniques
Activity List Expert Judgment
Activity Attribute Parametric Analysis
Activities Durations Estimates
Schedule Management plan Analogous Estimate
Project Document Update
Resource Calendar 3 – Point Estimate
Activity Resource requirements
Group Decision making techniques
Resource breakdown structure
Reserve Analysis
Project Scope Statement
Risk Register
EEF & OPA
Project Time Management

Planning
Inputs
6. Develop Schedule
Outputs
Activity List Tools & Techniques

Activity Attribute OPA & EEF Schedule Network Analysis


Project Schedule
Schedule Management plan Critical Path / Chain Method
Schedule Baseline
Modeling techniques
Project Schedule Network Diagram Schedule Data
Resource Optimizing techniques
Activity Resource requirements Project Document Update
What – If Scenarios
Activities Durations Estimates PM Plan Update
Applying Leads & Lags
Project Scope Statement
Schedule Tools
Project staff assignment
Schedule Compression
Resource breakdown structure
Risk Register
Project Time Management

Monitoring & controlling


Inputs
7. Control Schedule
Outputs
Tools & Techniques
Project Management Plan

Project Schedule and schedule data Performance review Work Performance Measurements

Work Performance data PM software OPA Updates

Project calendars Resource Optimizing techniques Change Request

OPA Applying Leads & Lags PM Plan Update

Schedule Compression Project Document Update

Schedule tool
Project Cost Management
Copy righted for Hosam Eid Mohammed (kandeel)
Project Cost Management 500$
WBS level (1) – Rolling Up for Activities Duration & Logic
Summary Level (work package1) – Rolling Up for Activities Duration & Logic 300$
Activity (A) – Duration = XX
S F 100$

100$ Activity (B) ‐ Duration = YY

Activity (C) ‐ Duration = ZZ


100$
Summary Level (work package2) – Rolling Up for Activities Duration &
200$ Logic

Activity (B) ‐ Duration = YY 100$ 100$


Activity (C) ‐ Duration = ZZ

Project cash flow


Project Cost Management

Planning
Inputs
1. Plan Cost management
Outputs
Tools & Techniques
Project management plan
Project Charter Expert Judgment
Cost Management plan
OPA and EEF Analytical techniques
Meetings

Who..? What..? When..? How..? How Much..?

XXXXXXX Management Plan


Project Cost Management
Planning
Inputs
2. Estimate Cost
Outputs
Tools & Techniques
Scope Baseline Expert Judgment PM software
Cost Management plan Activity Cost Estimate
Analogous Estimate
Project Schedule Bases of Estimate
3Point Estimate
HR Plan Project Document Update
Bottom Up Estimating
Risk Register Cost Of Quality
EEF & OPA Reserve Analysis

Planning
Inputs
3. Determine Budget
Outputs

Tools & Techniques


Activity Cost Estimate
Expert Judgment
Cost Management plan
Cost Aggregation
Bases of Estimate Cost Performance Baseline
Funding Limits
Resource Calendar Project Funding Requirements
Reserve Analysis
Scope Baseline Project Document Update
Historical relationships
Project Schedule
Agreements
OPA
Project Cost Management

Direct & Indirect costs


Project Cost Management
Monitoring & controlling
Inputs
4. Control Cost
Outputs
Tools & Techniques
Project Management Plan Earned Value Management
Work Performance Information
Project Funding Requirements PM Software Forecasting
Budget Forecast
Work Performance Data To‐complete Performance Index
Change Request
OPA Performance review
Project Document Update
Variance analysis
OPA Updates
PM Plan Update
Project Cost Management

Earned Value Management

Earned Value Management Provides organizations with the methodology needed to


integrate the management of project Scope, Schedule & cost, EVM can play a critical role in
answering management questions that are critical to the success of every project
Are we Ahead or behind schedule..?
If the application of EVM to a
How efficiency are we using our time ..? project reveals that the project is
behind schedule or over budget,
When is the project likely to be completed ..? the project manager can use the
Are we currently under or over our budget..? EVM methodology to help
identify
How efficient are we using our resources..?
What is the remaining work likely to cost..?
Where the problems are
What is the entire project likely to cost..? occurring..?
How much the project will be under or over budget Whether the problems are critical or
at the end ..? not..?
What it will take to get the project
back on track..?
To Complete Performance The Work Remaining BAC EV
TCPI Indicator (Index) The fund remaining BAC AC
Earned Value Management: Formulas & calculations

10

10

10

10

10

10

10

10
Cost of Item (budgeted)

1 2 3 4 5 6 7 8
Terms Item To be Finished

Month 1

Month 2

Month 3

Month 4

Month 5

Month 6

Month 7

Month 8
PV BCWS Budgeted Cost of Work Scheduled 30

EV BCWP Budgeted Cost of Work Performed 20

AC ACWP Actual Cost of Work Performed 40 Planed Time Line (Assigned Baseline)
BAC Total Budget for the Project as Baseline
Actual Time
Line Point of Study & analysis

As Tracking Tool As Forecasting Tool


SV Schedule Variance EV PV What will be the Value of the project at the End.

Case (1) What has happened has happened & we can bring the
Value project on track again

CV Cost Variance EV AC EAC Estimate AT AC BAC EV


Completion

Measured from the real The monitored performance is the best the contractor
work Done Case (2)
(vendor/Supplier) can do
Financial Measurement Estimate AT
EAC AC BAC EV
Completion
EV
We Are on Time On
Budget
0
SPI CPI
PV > 1 ok
Schedule Case (3) The monitored performance is the best the contractor
Performance We Are Ahead of
Schedule Under Budget
>0 (vendor/Supplier) can do & there will be a problem regarding
Indicator
< 1 Not the time As well
EV ok
CPI Estimate AT
We Are Behind of <0 EAC AC BAC EV
Cost
AC Schedule Over Budget Completion
Performance
Indicator CPI SPI
Project Quality Management
Copy righted for Hosam Eid Mohammed (kandeel)
Project Quality Management

Quality
A set of inherent characteristics
implemented to fulfill requirements

Grade
Category assigned to products or service having
the same functional use but different technical
characteristics
Project Quality Management

Quality Important Theories

1. W. E. Deming Theory Plan – Do – Check – Act ( Continues


Improvement)
2. A. R. Crospy Theory Zero defects – Cost of Quality is the cost
on nonconformance
3. Juran Theory
Fitness for Use

4. Ishakawa Theory
Cause & effect Diagram
Project Quality Management
Planning
Inputs
1. Plan Quality
Outputs
Tools & Techniques
Scope Baseline Cost – Benefit An. Flowcharting
Cost Performance baseline Quality Management plan
Design of experiments
Schedule Baseline Quality Matrices
Control Charts Bench marking
Stakeholder Register Processes Improvement plan
Statistical sampling
Risk Register Project Document Update
Cost Of Quality
EEF & OPA Proprietary quality management

Quality Is Not Inspected


planned IN IN

Design of Experiments (DOE)

Used To determine the type of tests & number as


well & their impact on cost of Quality
Project Quality Management

Quality Matrices
Operational definition that describes, in very Specific terms, a project or
product attribute and how the Quality control process will measure it
EX. on‐time Defect
budget control Test Coverage failure rate
performance frequency

Cost Of Quality
Refer to total cost of all effort related to Quality
through out the Product lifecycle

Cost Of
Cost Of Conformance
Nonconformance
Money spent during the Project to avoid failure Money spent during & After the Project Because
of failure
Prevention (Build Quality – error out of the
processes ) Internal Failure Cost

Appraisal (asses the Quality) External Failure Cost


Project Quality Management
Executing
Inputs
2. Perform Quality Assurance
Outputs
Tools & Techniques
Project Management plan
Control Charts Flowcharting
OPA Updates
Quality Matrices Cause & effect Diagram
Change Request
Project documents Histograms Parito Chart
PM Plan Update
Scatter Diagram
Quality Control Measurements Project Document Update
Statistical sampling

Inspection
Approved Chang e Request Review

Quality Audit
Processes Analysis

Inspection

Attribute Inspection Variable Inspection


Actual measurement for Samples of
Yes Or No Inspection
the product

Keeping Errors out of the hands of the customer


Project Quality Management

Monitoring & controlling


Inputs
3. Perform Quality Control
Outputs

Tools & Techniques


Project Management plan
Control Charts
Validated Change
Quality Matrices Cause & effect Diagram
Validated Deliverable
Parito Chart
Quality Check lists
Scatter Diagram Change Request
Work Performance Data
Statistical sampling Quality control
Approved Change request Inspection measurements
Approved Chang e Request OPA Updates
Deliverables Review
Project Document
Histograms Update
OPA
Flowcharting
PM Plan Update
QA/QC Tools & techniques
Control Charts ‐ QA tool

Graphic displays of the results, over time, of a process;


used to assess whether the process is “in control”

Average of the
process data

Rule of Seven ‐ Control Charts


Run of seven points toward upper or lower control
limit may indicate that process is out of control
Project Quality Management
3. Perform Quality Control
Histograms – QA/QC tool
A tool helps identify the cause of problems in a process by the shape and
width of the distribution
Project Quality Management

Precision
Consistency that the Value of repeated measurements
are clustered & have a little scatter

Accuracy
Correctness that the measured value is very close
to the true value
Project Quality Management

Standard Deviation analysis

Standard Deviation analysis is not a planning tool it is a


Principle (1)
Monitoring & controlling tool

Proper standard Deviation analysis requires many readings of


Principle (2) the same product, project item or samples (more than 1000
reading for accuracy)

Principle (3) Standard Deviation analysis in quality is evaluating the


precession & accuracy together

Principle (4) The calculation of the Standard Deviation has many ways &
many equations all are right according to the industry

Principle (5) Standard Deviation has many applications in Quality, Risk &
lessons learned recording
Project Quality Management
Standard Deviation analysis for quality control/Assurance

Application (1):
evaluating the accuracy & the precession of a product of a project item
Statistical sampling ‐ QA/QC tool
Important Formulas Mean (μ) = (Sum of Samples reading) / (Number of Samples) X=the reading
Variance = Sum of squared differences between mean and each value, (x‐ μ)2,
divided by number of samples less one (n‐1)

Standard deviation = Square root of the variance

Readings (X) (µ‐X) (µ‐X)^2 Number Of samples 7


4.5 ‐0.145 0.02102 Sum (x‐ μ)^2
Variance
4.66 0.015 0.00023 (N‐1)
4.74 0.095 0.00903
4.55 ‐0.095 0.00902 Variance 0.01379583

4.55 ‐0.095 0.00902


4.81 0.165 0.02723 Standard deviation √Variance
4.56 ‐0.085 0.00722
Average (µ) 4.645 Sum of (µ‐X)^2 0.082775 Standard deviation 0.117455665
Project Quality Management
Standard Deviation analysis for quality control/Assurance

Application (1):
evaluating the accuracy & the precession of a product of a project item

The average
(the mean)

6 3 2 1 4.645 1 2 3 6
Rang (4)
The range represents the scattering of the readings & the closing to the
Rang (3) target value or the true value
The wider range we ASSUME the higher possibility of having the right
Rang (2) value represents the true location of the target within my readings
Rang (1) The range is also answering the question about what is the rang of my
actual item value
The standard deviation is ultimately calculating the range as previous, &
the value of the STDV itself can judge the process
If your widest range (6STDV) is narrow the process achieved the goal by
99.9999% in a good accuracy & precession
Project Quality Management
3. Perform Quality Control
Statistical sampling ‐ QA/QC tool

12 Standard Deviation (+/‐)6 = 99.9999999%

Standard Deviation analysis:


‐Raise the Quality standard to achieve the STD
‐ For Calculation Analysis for past
measurements to identify a value to use
Project Quality Management
3. Perform Quality Control

Parito Chart – QA/QC tool


Helps focus attention on the most critical issues
Parito low ‐ A relatively small number of causes will typically
produce a large majority of the problems or defects (80/20 Prioritize the potential “causes” of the problem
rule) Separate the critical few from the uncritical many
Project Human Resources
Management Copy righted for Hosam Eid Mohammed (kandeel)
Project Human Resources Management

Your Right As a Human


(1)
You have the right to make genuine
mistakes without feeling guilty

(2)
You have the right to refuse other people’s
excessive demands on your time
Project Human Resources Management
Planning
Inputs
1. Plan HR management
Outputs
Tools & Techniques
Activity Resource requirements

Project management plan

EEF & OPA HR Plan


Organization Chart & position description

Meetings

Expert Judgment
Networking
Org. Hierarchal type
Organization theory
Matrix – Based Resp. Chart
Text Oriented format

RAM : Responsibility
Assignment Matrix
Project Human Resources Management

HR Plan

Role

Authority
Roles & Responsibility
Responsibility

Competency

Project Organization
Chart
Staff Acquisition

Safety

Recognition & rewards


Staffing Management
Staff Release Plan
plan
Training needs

Resource Calendar

Compliance
Project Human Resources Management
Executing
Inputs
2. Acquire Project Team
Outputs
Tools & Techniques

HR Management plan Pre – Assignment

Negotiation Project Staff Assignment


EEF & OPA
Acquisition Resource Calendar

Virtual teams PM Plan Update

Multi‐criteria decision analysis

Executing
Inputs
3. Develop Project Team
Outputs
Tools & Techniques

HR Management plan Training


Project Staff Assignment Team Performance Assessment
Interpersonal Skills
Resource Calendar EEF Update
Ground Rules

Co‐ Location

Recognition & rewards

Personal assessment tools

Team Building Activities

Forming Storming Norming Performing Adjourning


Project Human Resources Management
Human Resources Important Theories

1. Maslow’s Hierarchy of Needs

Self ‐ Actualization
Perquisites Self – Fulfillment, growth, Learning
Some Employees receive special
rewards for their efforts
Esteem
Accomplishment, Respect, Attention, Appreciation
Fringe Benefits
All Employees receive Normal Social
Benefits as Standard Company Love, Affection, Approval, Friends, association
formal benefits

Safety
Security, Stability, Freedom from harm

Physiological Needs
Need for Air, Water, Food, Housing, clothing

2. Expectancy Theory

Employees who believe their effort will lead to effective performance & who expect to be rewarded for their
accomplishments remain productive as rewards meet their expectations
Project Human Resources Management
Human Resources Important Theories
3. Motivation Theory “what do people really want..?”

The best way to gain Motivation is to give rewards


Then we must know what people want
Depend on the interpersonal skills & people analysis

4. McGregor’s
g Theoryy of X&Y
Theory X Theory Y

Managers who accept this theory Managers who accept this theory
believe that people need to be believe that people are willing to
watched every minute, people are
incapable, avoid responsibility &
avoid work whenever possible
y work without supervision, and want
to achieve. People can direct their
own effort

5. David McClelland’s theory of needs (Acquired Needs Theory – ANT)


Need For Achievement Challenging & reachable projects, Recognition
Need For Affiliation Cooperating with others, seeking approval rather than recognition
Need For Power Cooperating with others, seeking approval rather than recognition

6. Herzberg Theory (Hygiene factors & Motivation Agents)


Hygiene factors Personal Motivation Agents
Life
Security Status Recognition Responsibility
Working
Conditions Relationships
Salary Professional Growth Self Actualization
at work
Project Human Resources Management
Executing
Inputs
4. Manage Project Team
Outputs
Tools & Techniques
HR Management plan Observation & conversation
PM Plan Update
Project Performance appraisal
Project Staff Assignment EEF and OPA Update
Conflict management
Change Request
Team Performance Assessment Interpersonal Skills
Project documents update
Work Performance Reports

OPA

Conflict Management

Techniques for Conflict Resolution

Withdrawing & Smothering Confronting


Compromising Forcing Collaborating
Avoiding (Accommodating) (Problem Solving )
Project Human Resources Management

Conflict Resolution = Minimum Stress


Psychologists agree that conflicts have to be dealt with in order to prevent deadlock & recrimination &
restore stability & communication.
1. Flight
Escaping is the same as avoiding. The conflict is not dealt with, the situation
remains the same. It can be assumed that neither side will gain anything.

Lose – Lose 2. Fight


Those who deal with conflict aggressively have only one aim: to
win. But winning alone is not enough, as somebody also has to
lose.

Win – Lose 3. Give up


Those who give up their own position in a conflict solve it by
retreating, i.e. they lose

Win – Lose
Project Human Resources Management

Conflict Resolution = Minimum Stress


4. Evade
Responsibility
Those who feel overwhelmed by a conflict often delegate the decision ‐ & thus
also the confrontation – to another authority, usually a higher one, this authority
solves the conflict for them, but not necessarily wisely

5. Compromise
Compromise is a solution acceptable to both parties. It is often
Lose – Lose – lose felt like that although the solution isn’t ideal, it is reasonable in
the circumstances

Win‐lose / win‐Lose
6. Consensus
A consensus is based on a new solution that has been
developed by both parties. In contrast to a compromise, it is a
Win – Win Situation for both parties,

Win – Win
Project Human Resources Management

Humanism…… How to become a better professional with minimum stress

A task list is not static. A sudden crisis at


work or home can change it & its
priorities

Objectives & goals change over time,


when they do alert, the priority you give
to different tasks must also change

Checking on subordinates in minute detail


1. Facts takes time & probably demoralize them
that must
be Indecision wastes time, but a hasty wrong
decision will cause more stress in the long
accepted term

Telephone interruptions waste time, tell


the callers to ring back

Many meetings are unnecessary


Project Human Resources Management

Your Daily Stress


Cycle
The “Yes – Maybe – No”
The “Eisenhower” Matrix
Role or time management

You need
to Know

The “John Whitmore”


The “Feedback” Model
Model for Right Goal
Your Yearly Stress
Cycle
Project Human Resources Management

Manage your time better


Poor time management can cause a lot of stress. When you’re stretched too thin
and running behind, it’s hard to stay calm and focused. But if you plan ahead and
make sure you don’t overextend yourself, you can alter the amount of stress you’re
under..

The “Eisenhower” The “Yes – Maybe – No”


Matrix Role
Project Human Resources Management

Manage your time better


The “Yes – Maybe – No” Role

Yes Maybe No
Don’t Want To Do
Want To Do & Want To Do But
& Don’t Have to
Have to do Don’t Have to do
do

Have to do But
Don’t want to do

Personal Arrangement for the daily Tasks & Role definitions for the general
organization chart will clearly define the location of each task for each person
in the organization under one of the three categories & drive to an effective
time management & stress decrease
Project Human Resources Management

The “Eisenhower” Matrix

Important, But not urgent Important & urgent


Important

Decide when you will do it Do It Immediately

Not Important & not Not Important But


urgent urgent
Do it later Delegate to Somebody else

Urgent
Project Human Resources Management

The “John Whitmore” Model for Right Goal

The Right Goal

PURE
SMART CLEAR
P Positively stated
S Specific
f C Challenging
g g
U Understood
M Measureable L Legal
g
R Relevant
A Attainable E Environmentally
E Ethical sound
R Realistic
A Agreed
g
T Time Phased
R Recorded
The More Right Goal You have the less stress you will suffer
Project Human Resources Management

Project manager Personality

Adaptive behavior Maladaptive behavior

Seeking support from superiors Taking on more than can be handed

Talking to friends & close colleagues Denying that problems exist

Recognizing limitations Working long & irregular hours

Prioritizing workload Avoiding discussing problems

Less Subjected to stress & can More Subjected to stress & usually
regularly deal with stress unable to deal with stress regularly
Project Communication
Management Copy righted for Hosam Eid Mohammed (kandeel)
Project Communication Management

Successful Communication
Sending the right Information

The Project manager Should


To the right person

In the right format


plan, Do & make sure that the
communication in the project
environment has the 4 lines of
the 4 rights
In the right time
Project Communication Management
Planning
Inputs
1. Plan Communications
Outputs
Tools & Techniques
Project Management plan
Communication requirement Communication Management
Stakeholder Register
Analysis
y Plan
EEF & OPA
Communication technology
Project Document Update
Communication models
Communication Methods
Meetings

Communication
requirements Analysis

Analysis for the communication requirements to determine the type


& nature of information needed with analysis to the value of such
information to the stakeholders
Project Communication Management

Stakeholder Analysis

Techniques of systematically gathering &


analyzing qualitative & quantitative
information to determine whose interests
should be taken into consideration through
the project & determining the position of
every single stakeholder in the stakeholders
managing strategy matrix
Project Communication Management

STH.
Impact on
the project

High Impact – Low Interest


High Impact – High Interest
Keep Satisfied
Manage closely

Low Impact – Low Interest Low Impact –High Interest


Keep Informed
Monitor

stakeholders managing strategy matrix STH. Interest in The Project


Project Communication Management

N(N – 1) (N) : Number of Persons involved in the Communication paths


Communication Channels in a project of the Project

Communication Types Interactive Communication Meetings, Calls & Video conferences

communication
Direction of
Push Communication Mails, memos, letters & faxes

Pull Communication Downloads

Informal Verbal Calls & Video conferences

Communication Formal Verbal Direct Site Instruction


Type of

Informal written Memos, M. O. Meetings


Formal Written Contracts, Purchase orders

Communication models

Communicate Information
Communication Media

Defining information into a


Encode
Noise Decode
Translating the received information
transitional form for seeding into a readable form
Project Communication Management
Relationships between The staff
Project Communication Management
Executing
Inputs
2. Manage Communication
Outputs
Tools & Techniques
Communication Management plan
Communication Methods and models
Work Performance Reports OPA Update
Information management system PM plan Update
OPA and EEF
Performance reporting Project communication
Project document Update

Effective Sender – receiver Model


Stakeholders Notifications
information
Distribution Choice of Media
Project report
techniques
Writing Style
Project Presentation
Meeting Management Techniques
Lessons learned documentation
Presentation Techniques
Project Records
Facilitation Techniques
Feed back from stake holders
Project Communication Management

Control communication
Is the process of monitoring and controlling
the communication throughout the entire
project life cycle to ensure the information
needs of the project stakeholders are met.
The key benefit of this process is that it
ensures an optimal information flow among
all communication participants, at any
moment of time.
Project Communication Management

Monitoring & controlling


Inputs
3. Control communication
Outputs
Tools & Techniques

Project Management plan Information management system


Work performance
Issue log Expert judgment
information
Meetings
Work Performance data
OPA Update
Project communications
Change Request
OPA
PM plan Update

Forecasting Methods Project documents Update

Time Series method : Use historical information for future forecasting (EVM)
Causal / Econometric methods : Use Assumptions (What if – Scenarios)
Judgment Method : Use Expert Judgment as Delphi Technique

Reporting system

Status Reports : Telling where we are (Current Status of the project)


Completion Vs. Actual : Verifying the baseline of the project Vs. The Actual Status

Variance : Analyze the Actual variables of the project to the Targeted

Trends : Comparing the performance to a fixed periods of the project (updating Cycle)
Project Risk Management
Copy righted for Hosam Eid Mohammed (kandeel)
Project Risk Management
Planning
Inputs
1. Plan Risk Management
Outputs
Tools & Techniques
Project Charter Analytical techniques

Project management plan Meeting Analysis Risk Management Plan


Expert judgment
Stakeholder register

EEF & OPA


Planning
Inputs
2. Identify Risks
Outputs
Tools & Techniques
Risk Management Plan
Documentation Review
Activity Cost Estimates
Activity Duration Estimates Information Gathering Tec. Risk Register
Check lists analysis
Scope Baseline
Assumptions Analysis List of Potential Risks
Stakeholder Register
Diagramming Techniques
Cost management plan
List of Potential Responses
SWOT Analysis
Schedule management plan
Expert Judgment
Quality management plan
Project Documents
EEF & OPA
Template Risk Register
Risk

Score
Risk Factors ‐ QL Factors‐ QN Risk Potential

S co re
ID Action Notes
Owner Response
Cause Description effect P I P I Owner
As we don’t have which wil cause a

Multiplication of the 2 quantitative factors


we might hit an
(High, Moderate or Low)

On a small scale (1 to 3)
R_001 the proper existing delay of 10 days &

Quantitative Rank
existing cable Qualitative Rank
utilities drawings penalty of 1000 SR

Score
R_002

R_003

R_00X
Risks Definitions

Possible – Uncertain – Event that may positively or negatively


impact the project
Pure Risk Insurable Risks – Only Risk of loss – Ex. Fires
Type of Risks

Business Risk Risk of gain or loss – Ex. Product that can be lose money or gain money

Analytical technique
Used to understand and define the overall risk management context .

Risk management context


A combination of stakeholder risk attitude and the strategic risk exposure of a
given project based on overall project context

Stakeholder profile Grade and qualify the project


analysis may be To stakeholder risk appetite of
performed tolerance
Project Risk Management

Behavior toward Risk

Organization Behavior toward Risk


‘The umbrella approach’ where you must allow for every possible
1 eventuality by adding a large risk premium to the price

‘The ostrich approach ‘ where you burry your head in the sand and amuse
2 everything will be alright, that somehow you will muddle through

‘the intuitive approach’ that say don’t trust all the fancy analysis, trust your
3 intuition and gut feel

‘The brute force approach’ that focuses on the uncontrollable risk and says
4 we can force things to be controlled, which of course they cannot
We have COP directors in many various fields with
PMI‐AGC does not have a fixed office in Riyadh
high experience & well Educated
We are working in a booming era in the filed of
SWOT Analysis
PMI‐AGC does not have a fixed training Schedule
project management

The market is hungry for project management PMI‐AGC does not have a fixed training place in
Riyadh
We have a well established relations with the
The service of the PMI‐AGC especially in trainings
largest clients & Contractors in many fields
in Riyadh is week
We have well Experienced members of the COP
Providing Practical application in specified
board in the training filed
industries is not strong enough
We know that the most wanted service now ins
Surveys for the market needs (PM) tools are not
trainings
strong enough
PMI‐AGC is an official representative of PMI

The awareness of PMI‐AGC now increasing


Strength Weakness
the PMI certificate became a requirement in
practicing Project management

Opportunities Threats

Hard physical communication with PMI‐AGC


Make use COP experience for indoor awareness &
increasing of members
Loosing the advantages of providing the training
Make Use of the booming in the filed of PM to based on the right processes as PMI‐AGC does not
provide standard practices awareness have a fixed training place
Using the cross relationships to improve
The service of the PMI‐AGC especially in trainings
cooperation with practitioners in the PM filed
in Riyadh is week
Use the members of COP board & other volunteers
Other Practical application in specified industries
experiences in the filed of training services
Will Replace PMI Standard
Enhance & sustain awareness of PMI‐AGC
Loosing the peaks of the market needs In PM filed
Project Risk Management
Planning
Inputs
3. Perform Qualitative Risk Analysis
Outputs
Tools & Techniques
Risk Register
Risk Probability & Impact assessment (project documents ) Risk
Risk Management Plan Probability & Impact Matrix Register Update
OPA and EEF Risk & Quality Assessment
Updated List of Potential Risks
Risk Categorization

Risk Urgency Assessment Updated List of Potential Responses


Expert Judgment

Planning
Inputs
4. Perform Quantitative Risk Analysis
Outputs
Tools & Techniques
Risk Management Plan
Data Gathering & Representing Tec.
Risk Register Information Gathering Tec. (project documents ) Risk
Register Update
Cost management plan Quantitative Risk Analysis Modeling
Techniques
Schedule management plan Updated List of Potential Risks
Expert Judgment

OPA and EEF


Updated List of Potential Responses
Project Risk Management
Templates

As Output of Qualitative Risk Analysis – Lessons learned


Probability Definitions
The Likelihood of having the event on reality, based on
Experience or Lessons learned
Impact
The effect (time or money) as number for Quantitative Analysis or as category (large,
Medium, Low effect) for Qualitative Analysis that the project will suffer if the Event
happened
Risk Score for Each Risk or Activity
Multiply the Probability times Impact to get a value (Qualitatively or Quantitatively) for
the Risks & the Activities (threats are positive Values & Opportunities are negative
values))
Risk Score for Project
The Sum of all the Scores of all the Risks or the Activities in the Project
Risk Ranking
The Arrangement of Risks due to there Scores

Risk Rating
Is A number Between 1 & 10 chosen to evaluate the Probability or Impact of a Risk
Important Single Formula – Risk Factors

Probability Impact Number Related


Factors
Risk

Expected Time of Risk to occurs to the Risk


Frequency of Risk event

Quantitative Amount
Qualitative Score
(Money or Time)

express the Risk category Used to calculate reserves

location of Risk in the Used in Quantitative


Probability & Impact Matrix Simulation

Identify the total Project Risk Identify the total Project Risk
Score & Go/No Go Decision Score & Go/No Go Decision
After every single group of analysis The previewed curve took place Target

Variables (Duration, Cost , Man‐hours, Finish date or Start Date )


Project Risk Management

4. Perform Quantitative Risk Analysis

Sensitivity Analysis
Project Risk Management

4. Perform Quantitative Risk Analysis


Project Risk Management
Planning
Inputs
5. Plan Risk Responses
Outputs
Tools & Techniques
Risk Register
Strategies for Negative Risks – Threats
(project documents ) Risk
Risk Management Plan Strategies for Positive Risks – Opportunities
Register Update
Contingent Responses Strategies
Updated List of Potential Risks
Expert Judgment
Updated List of Potential Responses

PM Plan Update
Exploit Transfer
Avoid
Enhance
Mitigate
Share
Accept
Project Risk Management

Monitoring & controlling


Inputs
6. Monitor & Control Risks
Outputs
Tools & Techniques
Project Management Plan
Risk Assessment
Risk Register (project documents ) Risk
Risk Audit Register Update
Work Performance Data Variance & trend Analysis
Updated List of Potential Risks
Work Performance Report Technical Performance Measurement
Reserve Analysis Updated List of Potential Responses

Status meeting OPA Update

Change Request
PM Plan Update

Project Document Update


To have the ability & Culture to Do Risk Analysis If Not Don’t waste your time & money
If
Yes

Plan Risk Management Who…? Do what…? When…? How..? How much..?

Customer
Risk Team , Risk manager & RAM As out put
All Risk
Engineering Dep. Qualitative scales of Probability
information are
available & Risk Analysis & impacts
Outside Experts

As out put
Evaluated with Probability &
Estimation Dep. acceptable quality impact for Each risk
Choose for
Cost Control Dep. Identify Further Score & ranking
YES
Analysis
Procurement Dep. Risks Watch List
Create Risk
Construction Dep. Quantitative
Breakdown Simulations

out put
structure Risk Analysis

As
HR Dep. Detailed
Risk Register RBS Sub Decisions
Coordinators
Probabilistic Scenarios Management
As out put Plan Risk Contingency &
Top Management
Reserves & Management Responses Fallback Plans

Monitor & control Risks, Through Risk meetings Evaluate Responses Document the New Risks & create lessons
learned Starting From the risk Planning process
Agreed or ..? The Most Important Process of Risk management – if we will do RM – Is to Identify the Risks Processes of RM
Agreed or ..? Most of the Construction risks are linked to the construction schedule Construction Point
of View
Agreed or ..? Most of the Risks In Construction are with high Impact & Controlled Probability

Agreed or ..? Risk as A decision making tool & the Scenario management can be mostly Used in Construction Decide To Do RM &
Agreed or ..? Risk as A decision making tool Can not be done in the Detailed Level of Schedule
RM Planning

Identify Risks
Use a prompt list – List of Risk Categories
Analyze Risk
Review your Own Company’s historical
records and other documentation Score & Ranking for Risks Team
Plan Risk Responses
Brainstorming High Level Risk Analysis for Cost
Executives Simply How we are going
Conduct a ‘’ Pre‐mortem' Imagine the High Level Risk Analysis for Time to deal with risks
project is completed or failed
Matrices & Templates for Risk Categories Complicatedly What is the
Affinity diagrams – Grouping of Identified effect of our responses to
Detailed Level Scenarios Analysis for Time & Cost
Expert interviews the Risks probabilities &
All Time An cost Scenarios outputs Reviewed Impacts
Nominal group technique – Group thinking
Use the New Modified
Delphi technique – Individual Experts Probabilities & Impact To
Cause and effect diagram – Fish bone Re – Simulate the Project
outputs
Failure modes and effects analysis
Exploit Enhance Transfer Avoid Plan Risk Responses
Strengths, weaknesses , opportunities , and
Share Accept Mitigate Categories
threats (SWOT)

Monitor & control Risks, Through Risk meetings Evaluate Responses, Document the New Risks & create lessons learned
Starting From the risk Planning process
Group (C) ‐ Based & depend on the Identified risks & there Probability , Impact & Activity Sensitivity – Using
Risk Register & Qualitative & Quantitative Risk Analysis & Risk Responses
Qualitative Ranked
Identified RISK New Risks

Residual Risks
Pre – Mitigated Risks Data Post – Mitigated Risks Data
Mandatory Data To be
Mandatory Data To be Defined to Defined to Software or
Software or manual analysis manual analysis

Threat or Opportunity & Essay details Threat or Opportunity & Essay details
Cause & Effect ,Title & Description for Risk Cause & Effect ,Title & Description for Risk
Probability as Qualified (Low, Medium, High & Probability as Qualified (Low, Medium, High &
percentage) percentage)
Schedule Impact (Low, Medium, High & Value) Schedule Impact (Low, Medium, High & Value)
Project
Cost Impact (Low, Medium, High (Rank & Value) Cost Impact (Low, Medium, High (Rank & Value)
Cost Impact (Low, Medium, High (Rank & Value) Cost Impact (Low, Medium, High (Rank & Value)
Performance Impact Description Performance Impact Description

Score (calculated) Score (calculated)


Assignment on the Activities (Impacted Assignment on the Activities (Impacted
Activities) Activities)
Special Quantitative Probabilities & Impacts on Special Quantitative Probabilities & Impacts on
the Assigned Activities (cost &/or Schedule the Assigned Activities (cost &/or Schedule
Risk Owner Exploit Enhance Transfer Avoid
Fall Back Plans
Risk Action Owner Share Accept Mitigate
Contingency Plans
Risk Manager
Plan Risk Responses After Mitigation
Project Procurement
Management Copy righted for Hosam Eid Mohammed (kandeel)
Procurement Processes
Planned
Actual Procurement Processes_ Summary
Number of Submittal
Number of
Submittals
Submittals
Materials log Approval

Categorized Awarding & ordering


By Division Submittal & Approval
Manufacturing
Budgeted Actual work
cost for the orders
division issued for Shipping
(all divisions) each division
Delivery on site

Categorized
By Division Awarding & ordering
Actual % of Actual % of
Planned EQ. the EQ. Planned EQ. the EQ.
Weight Weight Weight Weight
based on the based on based on the based on
cost & the contacting cost & the contacting
Categorized By Division & eliminated fixed the fixed the
to only The Items Supplied by Saudi duration Supplying duration Supplying
Oger or Oger Int. & corresponding the Dep. Dep.
Manufacturing & Shipping Time
Schedule with Equivalent weighting
system
Manufacturing Shipping
Actual % of
Planned EQ. the EQ.
Weight Weight
based on the based on
cost & the contacting
Categorized By Division & eliminated only to the Long lead items defined for each division by the fixed the
procurement dep. The ideal approach is to load the quantities on the delivery activities & track by duration Supplying
quantities delivered, the current tracking Approach is to depend on the construction % to roughly Dep.
identify the Delivery % complete

Delivery on site
Project Procurement Management
Planning
Inputs
1. Plan Procurement
Outputs
Tools & Techniques

Project management plan Make or Buy Analysis


Procurement management Plan

Risk Register Market research


Procurement Statement of work
Activity Cost Estimates Expert Judgment
Procurement Document
Activity Resource Requirements Meetings
Source Selection Criteria
Requirement Documentation
Change request
Teaming Agreement
Make or Buy Decision
Project Schedule

Project document update


EEF & OPA
Project Procurement Management

1. Plan Procurement
Source Selection Criteria

Under Standing For Needs

Potential Weigh On as scale identifies in OPA


Over – all life cycle cost

Technical capability

Risk

Management Approaches
Technical Approaches
Warranty Period Summed to a number
compared to other Selected Seller / Vendor
Financial capacity vendors
Production capacity

Business Size & type


Past Performance
References

Intellectual property rights


Price
Project Procurement Management

1. Plan Procurement

Contract Types

Fixed Price Contract Cost Reimbursable contacts Time & Materials Contracts

Firm Fixed Price Contract (FFP) Cost Plus Fixed Fee (CPFF) Experts, Staff & acquisition

Fixed Price Incentive Fee Contract (FPIF) Cost Plus Incentive Fee (CPIF)

Fixed Price With Economic Adjustment


Cost Plus Awarded Fee (CPAF)
Contract (FPEF)

More Risk on More Risk on


the Vendor the Buyer

Procurement management Plan – Includes Guidance for: Procurement Statement of work (SOW)
Types of Contract To be used Identify Requirements for Performance Describes the procurement items in sufficient details to allow
prospective seller to determine if they are capable of providing
Risk Management Issues Procurement Documents Schedule Dates for each contract the product or service

Independent Estimates of Evaluation Criteria Directions to provide sellers


RFI : Request For Information
Activities of Project Management team in Contracting Directions to provide sellers

Activities of Project Management team in Contracting Templates Used in Procurement


RFQ: Request For Quotation
Managing Multiple Supplier Methodologies Identify Prequalified Seller IFB: Invitation for Bid
Coordination with other project’s aspects Procurement Metrics used to
manage contracts & evaluate
Constrains & Assumption Lead time to Purchase sellers
Project Procurement Management
1. Plan Procurement

Contract Types Examples

EX. 01 Target Price = 210000+25000 = 235,000 $

Calculations
Cost Plus Incentive fee Contract Actual @ completion cost = 200,000 $ Final Fee = 25,000 + 2,000 = 27,000 $
Target Cost 210, 000 $
Target Fee 25,000 $ Saving =210,000 ‐ 200,000 $ = 10,000 $ Final Price = 200,000 + 27,000 = 227,000$
Sharing Ration 80/20 Seller Share = 10,000 * 20% = 2,000 $

EX. 02 Target Price = 150,000+30,000 = 180,000 $


Calculations

Fixed Price Incentive fee Contract Final Fee = 30,000 ‐ 24,000 = 6,000 $
Target Cost 150, 000 $ Actual @ completion cost = 210,000 $
Final Price = 210,000 + 6,000 = 216,000$
Target Fee 30,000 $ Overage =150,000 ‐ 210,000 $ = (60,000) $
Sharing Ration 60/40 The seller will only receive = 200,000$
Seller Share = (60,000) * 40% = (24,000) $
Ceiling Price = 200,000 $

EX. 03 Target Price = 9,000,000+ 850,000 = 9,850,000 $


Calculations

Fixed Price Incentive fee Contract


Target Cost 9,000,000 $ Actual @ completion cost = 8,000,000 $
Target Fee 850,000 $ Saving = 9,000,000 ‐ 8,000,000 $ = 1,000,000$
Sharing Ration 70/30
Seller Share = 1,000,000 * 30% = 300,000 $
Ceiling Price = 12,500,000 $
Final Fee = 850,000 + 300,000= 1,150,000 $

Final Price = 8,000,000 + 1,150,000 = 9,150,000 $


Project Procurement Management
Executing
Inputs
2. Conduct Procurement
Outputs

Procurement Management plan Tools & Techniques

Procurement Document Bidder Conference


Selected Seller
Source Selection Criteria Proposal evaluation Criteria
Procurement Contracts Award
Expert Judgment
Seller Proposal PM Plan Update
Project Documents Independent Estimate
Project Documents Update
Advertising
Make or Buy Decision Change request
Analytical techniques
Procurement statement of work
OPA Procurement Negotiation
Project Procurement Management

2. Conduct Procurement
Contract includes
Statement of work ‐ deliverables Fee & retentions
Schedule baseline Penalties
Performance reporting System Incentives
Period of Performance Insurance & performance Bonds
Roles & Responsibilities Subordinates approval
Seller’s place of Performance Subcontractors Approval
Pricing Change requests handling
Payment terms Termination & alternatives
Place of Delivery Alternative Disputes resolution (ADR)
Inspection criteria
Acceptance criteria
Warranty
Product Support
Limitation of Liabilities
Project Procurement Management

Monitoring & controlling


Inputs
3. Control Procurement
Outputs
Tools & Techniques

Project Management plan Contract Change control System


Procurement Document Procurement performance review Procurement documentation
Agreements Inspection & Audit OPA Update
Work Performance report
Performance Report PM Plan Update
Approved Change request Change request
Payment System
Work Performance Data
Claim Administration

Record management system

3. Control Procurement
Application of the appropriate project Management processes to the contractual
relations & integration of the outputs to overall management processes of the
project
Project Procurement Management
Closing
Inputs
4. Close Procurement
Outputs
Tools & Techniques
Project Management plan
Procurement Audit
Procurement documentation Close Procurement
Negotiation settlement
OPA Update
Record management system
Project Stakeholder
Management Copy righted for Hosam Eid Mohammed (kandeel)
Project Stakeholder Management

Successful Communication
Sending the right Information

The Project manager Should


To the right person

In the right format


plan, Do & make sure that the
communication in the project
environment has the 4 lines of
the 4 rights
In the right time
Project Stakeholder Management

Initiation
Inputs
1. Identify Stakeholders
Outputs
Tools & Techniques

Project Charter Stakeholder Analysis


Expert Judgment Stakeholder Register
Procurement Documents

EEF & OPA

Planning

Inputs
2. Plan Stakeholder
Management
Outputs
Tools & Techniques

Project management plan Expert judgment


Stakeholder
Stakeholder Register Analytical techniques
Management plan
EEF & OPA
Project documents
update
Project Stakeholder Management

STH.
Impact on
the project

High Impact – Low Interest


High Impact – High Interest
Keep Satisfied
Manage closely

Low Impact – Low Interest Low Impact –High Interest


Keep Informed
Monitor

stakeholders managing strategy matrix STH. Interest in The Project


Project Stakeholder Management

Executing
Inputs
3. Manage Stakeholder
Engagement Outputs
Tools & Techniques

Stakeholder Management plan Communication methods


Issue log
Communication Management plan Interpersonal skills
Change requests
Change log Management skills
PM plan update
OPA
OPA update

Manage Stakeholder
Engagement

Is the process of communicating and working with stakeholders to


meet their needs/expectations, Address issues as they occur, and
foster appropriate stakeholder engagement in project activities
throughout the project life cycle.
Project Stakeholder Management

Monitoring and
controllingg
Inputs
4. Control Stakeholder
Engagement Outputs
Tools & Techniques

Project Management plan Information management system Work Performance information


Work performance data Expert judgment
Change requests
Project documents Meetings PM plan and project
documents update
OPA update
Control Stakeholder
Engagement
Is the process of monitoring overall project stakeholder relationships
and adjusting strategies and plans for engaging stakeholders. The key
benefit of this process is that it will maintain or increase the efficiency
and effectiveness of stakeholder engagement activities as the project
evolves and its environment changes.
Project Integration
Management Copy righted for Hosam Eid Mohammed (kandeel)
Project Integration Management

We are
looking for
Project Integration Management
Initiation
Inputs
1. Develop Project Charter
Outputs
Tools & Techniques
Project Statement of work
Expert Judgment
Business case Project Charter
Facilitation techniques
Agreements
EEF & OPA Brain storming
Conflict resolution

Business Case Problem solving

Necessary information from a business stand point to determine whither or not


the project worth the required investments
Planning
Inputs
2. Develop Project Management plan
Outputs

Tools & Techniques


Project Charter
Expert Judgment
Outputs from planning Project Management Plan
Processes Facilitation techniques

EEF & OPA


Project Integration Management

Execution
Inputs
3. Direct & Manage Project work
Outputs
Tools & Techniques
Project Management Plan
Expert Judgment Deliverables
Approved Change Requests Project Management Information Work Performance Data
System (PMIS)
EEF & OPA Change Request
Meetings
PM plan & project Documents
Update

Work Performance Data


Are the row observation and measurements identified during activities being
performed to carryout the project work. Data are often viewed as the lowest level
of detail from which information is delivered by other process.

Technical Actual start and


Actual cost &
Work completed KPIs performance finish dates of
durations
measurements the schedule
Project Integration Management

Includes the activities & process needed to identify, define, combine, unify & coordinate various process & Project
management activities with the project management process groups

Project Charter Formally initiate the project

Provide project manager with the authority


to apply resources to project activities

Approved By the sponsor

Project Statement of work


Business needs
(SOW)
Product scope description

Strategic plan

Project Management plan


Life Cycle of the project
Project Management processes used
Level of implementation of each process
Tools & techniques for accomplishing the processes

How work will be executed to accomplish project objectives


Change & configuration Management plan
Techniques for communicating Stakeholders
Key management review for contracts & timing
Project Integration Management
Monitoring & Controlling
Inputs
4. Monitor & Control Project Work
Outputs
Tools & Techniques
Project Management Plan
Expert Judgment Change Request
Schedule forecasts
Project Management Information System work performance report
Cost forecasts (PMIS)
Validated changes Analytical techniques PM plan & project Documents
Update
Work performance information Meetings
EEF & OPA

Work Performance Information


The performance data collected from various controlling processes, analyzed in
context, and integrated based on relationships across areas. Thus work
performance data has been transformed to work performance information.

Implementation
Estimate to Estimated finish
Status of delivery status of change Forecasts
complete cost dates
requests
Project Integration Management
Project Integration Management

Monitoring & Controlling


Inputs
5. Perform Integrated Change Control
Outputs
Tools & Techniques
Project Management Plan
Expert Judgment Approved Change Requests
Work Performance Report
Meetings
Change Requests Change Log
Change control tools
EEF & OPA PM plan & project Documents
Update

Closing
Inputs
6. Close Project or phase
Outputs
Tools & Techniques
Project Management Plan Final Product, service, or
Expert Judgment result transition
Accepted Deliverables
Analytical techniques OPA Update
OPA
Project Integration Management
Direct & Manage Project Execution
Corrective Action
Documented Direction for executing the project work to bring the expected future performance of the
project work in line with the project management plan

Preventive Action
Documented Direction to perform an activity that can reduce the probability of negative
consequences associated with project risks

Defect Repair
The formally documented identification of a defect in a project component with a recommendation to
ether repair the defect or completely replace the component

Perform Integrated Change Control Configuration


Monitor & Control Project Work Management Plan

A system provides a standardized & effective way to centrally manage a proposed change
to the baseline (schedule, Budget or Scope)
Establish an evolutionary method that constantly identify & request changes

Provide opportunities to continuously validate & improve project by considering the inputs of each change

Provide mechanisms for the project management team to consistently communicate all approved &
reflected Change to all stakeholders

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