PMP Examination Preparation

Project Management
Professional (PMP)
Resource Person
Dr. Muhammad Wasif, PMP
Deputy Director QEC, Deputy Management Rep. (ISO Cell),
Assistant Professor,
Department of Industrial and Manufacturing Engineering,
NED University of Engineering and Technology.

Unit 4
Project Integration
Management
Resource Person
Dr. Muhammad Wasif, PMP
Deputy Director QEC,
Assistant Professor,
Department of Industrial and Manufacturing Engineering,
NED University of Engineering and Technology.

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PMP Examination Preparation

PM Knowledge Areas
The Knowledge Areas are:
1. Project Integration Management,
2. Project Scope Management,
3. Project Schedule Management,
4. Project Cost Management,
5. Project Quality Management,
6. Project Resource Management,
7. Project Communications Management,
8. Project Risk Management,
9. Project Procurement Management and
10. Project Stakeholder Management.
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Project Integration Management

“It includes the processes and activities to identify, define,
combine, unify, and coordinate the various processes and
project management activities within the Project
Management Process Groups.” PMI
 It includes characteristics of unification, consolidation,
communication, and integrative of PM processes.

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Project Integration Management

Monitoring &
Controlling Processes
Planning
Processes

Enter phase/ Initiating Closing Exit phase/

Start project Processes Processes End project

Executing
Processes

Process
Knowledge Area
Initiating Planning Executing Monitoring & Contol Closing

• Develop • Develop Project • Direct and • Monitor and Control • Close

Project Project Management Manage Project Project Work Project or
Integration Charter Plan Execution • Perform Integrated Phase
Management • Manage Project Change Control
Knowledge
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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Project Integration Management

 Integration management is necessary in situations where
individual processes interact.
 For example, a cost estimate needed for a contingency plan
involves integrating the processes in the Project Cost, Time, and
Risk Management Knowledge Areas.
Initating Planning Executing Monitoring and Control Closing
Project Integration Management Integration
Project Scope Management Scope Scope
Project Schedule Management Schedule Schedule
Project Cost Management Cost Cost
Project Quality Management Quality
Project Resource Management Resource
Project Communication Management Communication
Project Risk Management Risk
Project Proceurement Management Procurement
Project Stakeholder Management Stakeholder

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Key Concept: Proj. Integration Mgmt.

 It is responsibility of Project Manager to combine and
integrate all knowledge area planning.

 Project Integration Management is about:

 Ensuring that the deliverable due dates and benefit management plan
 Providing a project management plan
 Creation and the use of the project knowledge
 Performance and changes of the activities
 Integrated decisions regarding key changes
 Monitoring the project’s progress
 Work performance data, information and report
 Closing each phase, contract, and the project
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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Emerging Trends in Integration Management

 Use of automated tools: MS‐Project, Primavera etc.

 Use of visual management tools: Dashboard, KPIs, Schedule

etc.

 Project knowledge management: transferring to others

 Expanding the project manager’s responsibilities

 Hybrid methodologies

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Develop Project Charter

Project Charter
 “The process of developing a document that formally
authorizes the existence of a project and provides the
project manager with the authority to apply
organizational resources to project activities.” PMI
 It provides a direct link between the project and the strategic
objectives of the organization,.
 In case of external projects, a formal contract is typically the
preferred way to establish an agreement.
 It can be also an internal agreements within an organization to
assure proper delivery under the contract.

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Benefit of Project Charter

 Authorizes the existence/establishment of the project,
 Provide the authority to project manager to spend money and
commit corporate resources to the project.
 Provide the objective, high‐level requirements and success
criteria of the project.
 Identifies the constraints and high level risks for the project.
 Includes the assumptions about the project
 A project charter is not considered to be a contract, because
there is no consideration or money promised or exchanged in its
creation.
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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Project Charter

Inputs Tools & Techniques Outputs

1. Business documents 1. Expert judgment

• Business case 2. Data gathering
• Benefits mgmt. plan • Brainstorming
• Focus groups [Link]
2. Agreements • Interviews
charter
3. Interpersonal and
3. Enterprise environmental team skills [Link]
factors • Conflict mgmt. Log
• Facilitation
4. Organizational process • Meeting mgmt.
assets 4. Meetings

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Project Charter: Sponsor Inputs

1. Business Case : Description whether or not the project
is worth the required investment.
 The business need and the cost‐benefit analysis
justify and establish boundaries for the project.
 Analysis is usually completed by a business analyst
using various stakeholder inputs.
2. Benefit Management Plan : The documented
explanation defining the processes for creating,
maximizing, and sustaining the benefits provided by a
project.

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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Project Charter: Sponsor Inputs

2. Agreement : Contracts, MOUs, service level agreements
(SLA), letter of agreements, letters of intent, verbal agreements,
email, or other written agreements.
3. Enterprise Environmental Factors : that can influence the
Project Charter process, it include:
 Government or industry standards
 Legal and regulatory requirements and/or constraints,
 Marketplace conditions,
 Organizational culture and political climate,
 Organizational governance framework and
 Stakeholders’ expectations and risk thresholds.
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Project Charter: Organization Inputs

4. Organizational Process Assets : that can influence the
Develop Project Charter process include:
 Organizational standard policies, processes, and
procedures;
 Portfolio, program, and project governance framework
 Monitoring and reporting methods;
 Templates (e.g., project charter template); and
 Historical information and lessons learned repository

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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Project Charter: Tools & Techniques

1. Expert Judgment : To assess the inputs used to develop the
project charter.
 Expertise : A group or individual with specialized
knowledge or training and is available from many sources.
 Other units within the organization or industry,
 Consultants or professional/technical associations,
 Stakeholders, including customers or sponsors,
 Subject matter experts (SME), and
 Project management office (PMO).
2. Data Gathering: Brainstorming, focus groups and
interviews.
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Project Charter: Tools & Techniques

3. Interpersonal and Team Skills: Conflict Management,
Facilitation and Meeting Management.

4. Meetings

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Project Charter: Output

 Project purpose;  Key stakeholder list;
 Project approval requirements
 Measurable project objectives
(i.e., project success criteria,
and related success criteria;
project successful criteria, signs
 High‐level requirements; off on the project);
 High‐level project description,  Project exit criteria (conditions
boundaries, and key to be met in order to close or to
deliverables; cancel the project or phase);
 Assigned project manager,
 Overall project risk; responsibility, and authority
 Summary milestone schedule; level; and
 Name and authority of the
 Preapproved financial
sponsor or other person(s)
resources;
authorizing the project charter
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Assumption Log: Output

 Lower‐level activity and task assumptions are
generated throughout the project
 such as defining technical specifications, estimates, the
schedule, risks, etc.
 The assumption log is used to record all assumptions
and constraints throughout the project life cycle.

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Project Selection

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Project Selection
The following are two categories of project selection methods Simply know
that these terms relate to project selection:
1. Benefit measurement methods (comparative approach)
 Murder board (a panel of people who try to shoot down a new project idea)
 Peer review
 Scoring models
 Economic models (described next)
2. Constrained optimization methods (mathematical approach)
 Linear programming
 Integer programming
 Dynamic programming
 Multi‐objective programming

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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Project Selection : Economic Method

An organization would likely consider more than one of these
models (along with other factors) when selecting a project.

Present Value: The value today of cash future flow.

FV
PV 
1  r 
n

 What is the present value of $300,000 received three years from

now if we expect the interest rate to be 10 percent? Should the
answer be more or less than $300, 000?
$300,000
PV   $225,394
1  0.1
3

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Project Selection : Economic Method

Net Present Value: the present value of the total benefits
(income or revenue) minus the costs over many time periods.
NPV  Revenue - cost
 An organization has two projects to choose from. Project A will take three years
to complete and has an NPV of $45,000. Project B will take six years to
complete and has an NPV of $85,000. Which one is a better investment?

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Project Selection : Economic Method

Internal Rate of Return:
 An organization has two projects from which to choose: Project A with an IRR
of 21 percent or Project B with an JRR of 15 percent. Which one is a better
option?
 Project A

Payback Period: the length of time it takes for the organization

to recover its investment in the project before it starts
accumulating profit.
 There are two projects from which to choose: Project A with a
payback period of six months or Project B with a payback period of
18 months. Which one should the organization select?
 Project A

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Project Selection : Economic Method

Cost ‐Benefit Analysis: This analysis results in the calculation of
a benefit cost ratio, which can be expressed as a decimal or a ratio.
 What does a benefit cost ratio of 1.7 mean?
• A. The costs are greater than the benefits.
• B. Revenue is 1.7 times the costs.
• C. Profit is 1. 7 times the costs.
• D. Costs are 1. 7 times the profit.

Opportunity Cost : opportunity given up by selecting one project

over another
 An organization has chosen Project A. Project A has an NPV of
$45,000. Project B has an NPV of $85,000. Which one is a better
investment? Answer : $40,000 op. cost
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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Project Selection : Economic Method

Sunk Costs: Sunk costs are expended costs
An organization has a project with an initial budget of $1,000,000.
The project is half complete, and it has spent $2,000,000. Should the
organization consider the fact that it is already $1,000,000 over
budget when determining whether to continue with the project?

Answer No. The money spent is gone.

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Project Selection : Economic Method

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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Question 1
You’re a project manager for a construction project. You’ve just finished
creating a list of all of the people who will be directly affected by the
project. What process group are you in?
A. Initiating
B. Planning
C. Executing
D. Monitoring and control
People who will be directly affected by the project are stakeholders, and when you’re
creating a list of them you’re performing the Identify Stakeholders process. That’s
one of the two processes in the Initiating process group.

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Question 2
Which of these is not an input to Develop Project Charter?
A. Enterprise environmental factors
B. Project Management plan
C. Agreements
D. Project statement of work

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Question 3
You’re managing a graphic design project. One of your team members reports that
there is a serious problem, and you realize that it will cause a delay that could harm the
business of the stakeholders. Even worse, it will take another two days for you to fully
assess the impact—until then, you won’t have the whole story. What is the BEST way
to handle this situation?
A. Create a change request document and submit it to the change control meeting.

B. Pull out the project charter and show them that you have authority to make decisions.

C. Meet with the stakeholders and tell them that there’s a problem, and you need two more
days to get them the information they need.

D. Update the lessons learned and add it to your organizational process assets

When you get a question about communication, look for the answer that provides
the most complete, honest, and up‐front information, even if that information won’t
necessarily solve the problem or make everyone happy.

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Develop Project
Management Plan

Project Management Plan

 “It is the process of defining, preparing, and
coordinating all plan components and consolidating
them into an integrated project management plan.”
PMI
 It is a comprehensive document that defines how the
project is executed, monitored and controlled, and closed.
 Robust to respond to the changes (agile)
 All the plans from knowledge area are consolidated to form
scope, schedule and cost baseline in it.
 Plan can be changed, baseline is approved and cannot be
changed without Change Control Board (CCB).
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Project Management Plan

Inputs Tools & Outputs
Techniques

1. Expert judgment
2. Data gathering
1. Project Charter • Brainstorming
2. Outputs from other • Checklists
processes • Focus groups
Project
4. Enterprise environmental • Interviews
management
factors 3. Interpersonal and
team skills plan
5. Organizational process
Assets • Conflict mgmt.
• Facilitation
• Meeting mgmt.
4. Meetings

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© Dr. Muhammad Wasif, PMP ‐ Asst. Professor (IMD ‐ NED UET)

Project Management Plan

Project Management Plan Project Baseline

1. Integration mgmt. plan Cost Baseline

2. Risk mgmt. plan The approved version of a scope statement,
3. Cost mgmt. plan work breakdown structure (WBS), and its
4. Schedule mgmt. plan associated WBS dictionary, which is used as a
5. Scope mgmt. plan basis for comparison
6. Resources plan
7. Quality mgmt. plan Schedule Baseline
8. Communications mgmt. plan The approved version of the schedule model that is
9. Stakeholder mgmt. plan used as a basis for comparison to the actual results
10. Procurement mgmt. plan
Scope Baseline
 Change mgmt. plan
The approved version of the time‐phased project
 Configuration mgmt. plan
budget that is used as a basis for comparison to the
 Requirement mgmt. plan
actual results
 Process Improvement Plan

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Direct and Manage

Project Work

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Direct and Manage Project Work

 “It is the process of leading and performing the work
defined in the project management plan and
implementing approved changes to achieve the project’s
objectives.” PMI
 Perform activities to accomplish project objectives;
 Create project deliverables to meet the planned project work;
 Provide, train, and manage the team members assigned to the project;
 Obtain, manage, and use resources including materials, tools,
equipment, and facilities; etc.
 Generate work performance data, such as cost, schedule, technical and
quality progress, and status to facilitate forecasting
 Implementation of approved changes
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© Dr. Muhammad Wasif ‐ Asst. Professor (IMD ‐ NED UET) EM/IM 504 ‐ Project Management Frameworks and Tools

Direct and Manage Project Work

Inputs Tools & Techniques Outputs
1. Project management plan
2. Project documents 1. Deliverables
• Change log 2. Work
• Lessons learned register performance
• Milestone list data
• Project communications 3. Change requests
• Project schedule 1. Expert judgment
4. Project
• Requirements traceability 2. Project management
management
matrix information system
• Risk register 3. Meetings plan updates
• Risk report 5. Project
3. Approved change requests documents
4. Enterprise environmental 6. Updates
factors 7. Org. Process
5. Organizational process Asset update
Assets
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Direct and Manage Project Work : Output

1. Deliverables: A deliverable is any unique and verifiable
product, result or capability to perform a service that is
required to be produced to complete a process, phase, or
project.

2. Work Performance Data: are the raw observations and

measurements identified during activities being performed
to carry out the project work.

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© Dr. Muhammad Wasif ‐ Asst. Professor (IMD ‐ NED UET) EM/IM 504 ‐ Project Management Frameworks and Tools

Direct and Manage Project Work : Output

3. Issue Log: project manager will normally face problems,
gaps, inconsistencies, or conflicts that occur unexpectedly
and that require some action so they do not impact the
project performance
• Issue type, who raised, priority, assignee, target date
• Following documents are used
• Issue Management Plan
• Issue Register
• Issue Form

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Direct and Manage Project Work : Output

4. Change Requests: A change request is a formal proposal
to modify any document, deliverable, or baseline.
 Corrective action—An intentional activity that realigns the
performance of the project work with the project management
plan;
 Preventive action—An intentional activity that ensures the
future performance of the project work is aligned with the project
management plan;
 Defect repair—An intentional activity to modify a
nonconforming product or product component; and/or
 Approved change‐ (by change control board (CCB)) may be a
corrective action, a preventative action, or a defect repair.

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© Dr. Muhammad Wasif ‐ Asst. Professor (IMD ‐ NED UET) EM/IM 504 ‐ Project Management Frameworks and Tools

Direct and Manage Project Work : Output

5. Project Management Plan Updates: Elements of the
project management plan that may be updated are all the
plans.

6. Project Documents Updates: Project documents that

may be updated include, but are not limited to:
 Requirements documentation,
 Project logs (issues, assumptions, etc.),
 Risk register, and
 Stakeholder register.
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Manage Project
Knowledge

Manage Project Knowledge

 “It is the is the process of using existing knowledge
and creating new knowledge to achieve the project’s
objectives and contribute to organizational
learning.” PMI
 This process is performed throughout the project
 Explicit knowledge: readily codified using words, pictures,
and numbers
 Tacit knowledge: personal and difficult to express, such as
beliefs, insights, experience, and “know‐how”.
 It is not only documenting but also conveying knowledge.
 Knowledge management is creating an atmosphere of trust so
that people are motivated to share their knowledge.
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Manage Project Knowledge

Inputs Tools & Techniques Outputs

1. Project management plan

• All component
1. Expert judgment
2. Project documents 1. Lessons learned
2. Knowledge mgmt.
• Lessons learned register register
3. Information mgmt.
• Project team assignments 2. Project
4. Interpersonal and
• Resource breakdown management plan
team skills
structure updates
• Active listening
• Source selection criteria • Any component
• Facilitation
• Stakeholder register 4. Organizational
• Leadership
3. Deliverables process assets
• Networking
4. Enterprise environmental Updates
• Political awareness
factors
5. Organizational process
assets

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Manage Project Knowledge

Lesson Learned Register:

 impact, recommendations, and proposed actions

associated with the situation

 record challenges, problems, realized risks and

opportunities, or other content as appropriate

 Knowledge can be documented using videos, pictures,

audios, or other suitable means

 the information is transferred to an organizational process

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Monitor and Control

Project Work

Monitor and Control Project Work

 “Monitor and Control Project Work is the process of
tracking, reviewing, and reporting the progress to meet
the performance objectives defined in the project
management plan.” PMI
 Allows stakeholders to understand the current state of the
project, the steps taken, and budget, schedule, and scope
forecasts. (KPIs)
 Continuous monitoring gives the health of the project and
identifies any areas that may require special attention.
 Control includes determining corrective or preventive actions or
re‐planning and following up on action plans.

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Monitor and Control Project Work

Inputs Tools & Techniques Outputs
1. Project management plan 1. Work
2. Project documents performance
• Assumption log reports
• Basis of estimates
• Cost forecasts
2. Change requests
1. .Expert judgment
• Issue log 2. .Data analysis 3. Proj. mgmt.
• Lessons learned register • Alternatives analysis plan updates
• Milestone list 4. Project
• Cost‐benefit analysis
• Quality reports
• Risk register • Earned value analysis documents
• Risk report • Root cause analysis updates
• Schedule forecasts • Trend analysis • Cost forecasts
3. Work performance • Variance analysis • Issue log
information 1. Decision making
• Lessons learned
4. Agreements 2. Meetings
register
5. Enterprise environmental
• Risk register
factors
6. Org. process assets • Schedule
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Project Management
Information System

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Performance Measurement Baselines

 Comparing actual project performance against the project plan;
 Assessing whether any corrective or preventive actions are indicated, and
then recommending those actions as necessary;
 Checking the status of individual project risks;
 Maintaining an accurate, timely information base concerning the project’s
product(s) and their associated documentation through project completion;
 Providing information to support status reporting, progress measurement,
and forecasting;
 Providing forecasts to update current cost and current schedule
information;
 Monitoring implementation of approved changes as they occur;
 Providing appropriate reporting on project progress and status to program
management when the project is part of an overall program; and
 Ensuring that the project stays aligned with the business needs.
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Perform Integrated
Change Control

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Perform Integrated Change Control

 “It is the process of reviewing all change requests;
approving changes and managing changes to
deliverables, organizational process assets, project
documents, and the project management plan; and
communicating their disposition.” PMI
 It reviews all requests for changes or modifications to
project documents, deliverables, baselines, or the project
management plan and approves or rejects the changes.

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Monitor and Control Project Work

Inputs Tools & Techniques Outputs

1. Approved
change
1. Project management plan 1. Expert judgment requests
2. Project documents
3. Work performance reports 2. Change Control Tools 2. Project
4. Change requests 3. Data Analysis management
5. Enterprise environmental 4. Decision Making plan updates
factors 5. Meetings
6. Organizational process
Assets
3. Project
documents
Updates

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Some Key Terms

 Work Authorization System: This is the project
managerʹs system for authorizing the start of work
packages or activities.
 Work performance reports are the physical or electronic
representation of work performance information compiled
in project documents, intended to generate decisions,
actions, or awareness.
 Change Control Board is a formally chartered group
responsible for reviewing, evaluating, approving,
delaying, or rejecting changes to the project, and for
recording and communicating such decisions.
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© Dr. Muhammad Wasif ‐ Asst. Professor (IMD ‐ NED UET) EM/IM 504 ‐ Project Management Frameworks and Tools

Change Control Process

 CCB may include the project manager, the customer,
experts, the sponsor, functional managers, and others.
1. Prevent the root cause of changes
2. Identify change: discovering a change early will decrease
the impact of the change.
3. Create a change request
4. Perform integrated change control
5. Manage stakeholdersʹ expectations by communicating
the change to stakeholders affected by the change
6. Manage the project to the revised project management
plan and project documents
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Perform integrated change control

a) Assess the change: is change beneficial, within charter etc.
b) Look for options: to decrease threats, increase
opportunities
c) The change is approved or rejected: if change does not
disturbs project management plans, baseline and charter,
than project manager can approve the change, otherwise, it
goes to the CCB.
d) Update the status of the change in the Change Log:
mention status of change and reason to accept or reject
change.
e) Adjust the project management plans, documents and
baselines.
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© Dr. Muhammad Wasif ‐ Asst. Professor (IMD ‐ NED UET) EM/IM 504 ‐ Project Management Frameworks and Tools

Configuration Management
 Configuration control is focused on the specification of
both the deliverables and the processes; while change
control is focused on identifying, documenting, and
approving or rejecting changes to the project
documents, deliverables, or baselines.
 Configuration identification
 Configuration status accounting
 Configuration verification and audit

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PMP Examination Preparation

Close Project or Phase

 “Close Project or Phase is the process of finalizing all
activities across all of the Project Management Process
Groups to formally complete the project or phase.” PMI
 Actions and activities
 necessary to satisfy completion or exit criteria for the phase or
project;
 necessary to transfer the project’s products, services, or results to
the next phase or to production and/or operations; and
 needed to collect project or phase records, audit project success or
failure, gather lessons learned and archive project information
for future use by the organization.

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© Dr. Muhammad Wasif ‐ Asst. Professor (IMD ‐ NED UET) EM/IM 504 ‐ Project Management Frameworks and Tools

Close Project or Phase

Inputs Tools & Techniques Outputs

1. Project charter 1. Final product,

2. Project management plan
service, or
3. Project Documents 1. Expert judgment
4. Accepted Deliverables
result transition
5. Business Documents 2. Organizational
2. Meetings
6. Agreements process
7. Procurement Documents 3. Analytical Techniques assets updates
8. Organizational process 3. Proj. Document
Assets update

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PMP Examination Preparation

Close Project or Phase

 Project files—Documentation resulting from the project’s
activities,
 Project or phase closure documents— consisting of
formal documentation that indicates completion of the
project or phase and the transfer of the completed project or
phase deliverables to others, such as an operations group or
to the next phase.
 Historical information—Historical information and
lessons learned information are transferred to the lessons
learned knowledge base for use by future projects or phases.
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© Dr. Muhammad Wasif ‐ Asst. Professor (IMD ‐ NED UET) EM/IM 504 ‐ Project Management Frameworks and Tools

Close Project or Phase

 Summary level description of the project or phase.
 Scope objectives, the criteria used to evaluate the scope,
and evidence that the completion criteria were met.
 Quality objectives, the criteria used to evaluate the project
and product quality, the verification and actual milestone
delivery dates, and reasons for variances.
 Cost objectives, including the acceptable cost range, actual
costs, and reasons for any variances.
 Summary of the validation information for the final
product, service, or result.

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PMP Examination Preparation

Close Project or Phase

 Schedule objectives including whether results achieved the
benefits that the project was undertaken to address.
 If the benefits are not met at the close of the project, indicate the
degree to which they were achieved and estimate for future
benefits realization.
 Summary of how the final product, service, or result achieved
the business needs identified in the business plan.
 If the business needs are not met at the close of the project,
indicate the degree to which they were achieved and estimate for
when the business needs will be met in the future.
 Summary of any risks or issues encountered on the project and
how they were addressed.

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© Dr. Muhammad Wasif ‐ Asst. Professor (IMD ‐ NED UET) EM/IM 504 ‐ Project Management Frameworks and Tools

References
 PMBOK, 5th Edition, PMI.

 Project Management: Achieving Competitive Advantage,

Jeffrey K. Pinto

 PMP® Project Management Professional Exam Study Guide,

5th Edition

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