2. • Process Groups & Knowledge Areas Mapping
Knowledge Area
Process
Initiating Planning Executing Monitoring & Control Closing
Integration Develop Project
Charter
Develop Project Management Plan Direct and Manage Project
Execution
Monitor and Control Project Work
Perform Integrated Change Control
Close Project
Scope Collect Requirements
Define Scope
Create WBS
Verify Scope
Control Scope
Time Define Activities
Sequence Activities
Estimate Activities Resources
Estimate Activities Duration
Develop Schedule
Control Schedule
Cost Estimate Costs
Determine Budget
Control Costs
Quality Plan Quality Perform Quality Assurance Perform Quality Control
Human
Resource
Develop Human Resources Plan Acquire Project Team
Develop Project Team
Manage Project Team
Communication Identify
Stakeholders
Plan Communications Distribute Information
Manage Stakeholders Expectations
Report Performance
Risk Plan Risk Management
Identify Risk
Perform Qualitative Risk Analysis
Perform Quantitative Risk Analysis
Plan Risk Response
Monitor and Control Risks
Procurement Plan Procurements Conduct Procurements Administer Procurements Close Procurements
3. Project Integration Management
Knowledge
Area
Process
Initiating Planning Executing Monitoring & Contol Closing
integration
• Develop
Project
Charter
• Develop Project
Management
Plan
• Direct and
Manage Project
Execution
• Monitor and Control
Project Work
• Perform Integrated
Change Control
• Close
Project
Enter phase/
Start project
Exit phase/
End project
Initiating
Processes
Closing
Processes
Planning
Processes
Executing
Processes
Monitoring &
Controlling Processes
4. • Budgeting technique that
debates the future value of
money based on inflation,
etc.
• PV = FV/(1 + r)t
• FV = amount of money to
years from now
• r = interest rate (also called
“discount rate”)
• t = time period
Present Value
PVFVyears
50.00050.0000
31.81935.0001
12.39715.0002
Assume a 10% interest (discount rate)
Project selection methods
5. Net Present Value (NPV)
Present Value at
10% interest rate
CostsPresent Value at
10% interest rate
Income or
revenue
Time Period
200200000
9110045501
00831002
002253003
291353Total
NPV =353-291=62
Project with positive & greater NPV value is better
6. Benefit Cost Ratio
– compares the benefits to the costs
of different options
– relates to costing projects and to
determining what work should be
done
– Project with greater benefit-cost
ratio value is better
• If the BCR of project A is 2.3
and BCR
of project B is 1.7 which
project would
you select?
• The answer is A. the project
with the higher BCR
7. -The interest (discount) rate where the
present value of the benefits exactly
equals the costs.
-The higher the rate, the better the
project.
-An IRR of 0.15 means that you
expect the project to return an
average of 15% on your investment
over a given time period (usually a
number of years).
Internal Rate of Return (IRR)
8. Payback Period
The exact length of time needed to recover an initial investment as
calculated from cash inflows.
9. initiating
• Develop Project charter
• The process of developing a document that formally
authorizes a project or a phase
Inputs
• Project statement of
work
• Business case
• Contract
• Enterprise environmental
factors
• Organizational process
assets
Tools &
Techniques
1. Expert judgment
Outputs
1. Project charter
11. Develop Project Management Plan
• The process of documenting the actions necessary to define,
prepare, integrate and coordinate all subsidiary plans.
Inputs
1. Project charter
2. Business case
3. Outputs from planning
processes
4. Enterprise environmental
factors
5. Organizational process
assets
Tools &
Techniques
1. Expert judgment
Outputs
1. Project management
plan
12.
13. Project Management Plan
• The strategy for managing the project and the processes in
each knowledge area
• Covers how you will define, plan, manage, and control the
project.
• Also includes:
– Change management plan
– Configuration management plan
– Requirements management plan
– Process improvement plan
• How to handle a problem on a project?
» look at your management plan to see how you planned to handle
such a problem.
14. Baseline (Performance measurement baseline)
• The project management plan contains scope, schedule, and
cost baselines, against which the project manager will need to
report project performance.
• Baseline created during planning.
– Scope baseline
The project scope statement, work breakdown structure (WBS), and WBS
dictionary
– Schedule baseline
The agreed-upon schedule, including the start and stop times
– Cost baseline
The time-phased cost budget
• Deviations from baselines are often due to incomplete risk
identification and risk management.
15. Change Management Plan
• Describes how changes will be managed and
controlled.
• Covers for the project as whole
• May includes:
– Change control procedures (how and who)
– The approval levels for authorizing changes
– The creation of a change control board (CCB) to approve
changes
– A plan outlining how changes will be managed and
controlled
– Who should attend meetings regarding changes
– Tools to use to track and control changes
16. Configuration Management Plan
• Defines how you will
manage changes
to the deliverables
and the resulting
documentation,
including which
organizational tools
you will use
18. 1-Which of the following document can be used to
guide all the work in both project executing and
project monitoring and controlling phase of a
project?
1.Project Management Plan
2.Project Risk Plan
3.Project QA Plan
4.Project Charter
19. 2-You are a project manager of a company and you have
been assigned to take over managing a project that
should have been 60 percent complete according to
the schedule. After evaluation, you discover that the
project is running far behind schedule, and that the
project will probably take double the time originally
estimated by the previous project manager. However,
the sponsor has been told that the project is on
schedule. What is the BEST course of action you will
take?
1.Add new resource to the project and complete the
project on schedule.
2.Show your evaluation to sponsor.
3.Ask your senior manager to deal with this.
4.Turn the project back to the previous project
manager.
20. 3-Project A requires investment of $500,000. The
project is expected to generate $25K per quarter
for first year and $100K per quarter after that.
What is the payback period?
A- One year
B-Two years
C-Three years
D-Eight year
21. 4-You have four projects from which to choose one.
Project A is being done over a six year period and
has a Net Present
Value (NPV) of US $70,000. Project B is being
done over a three year period and has a NPV of
US $30,000. Project C is being done over a five
year period and has an NPV of US $40,000.
Project D is being done over a one year period
and has an NPV of US $60,000. Which project
would you choose?
A. Project A
B. Project B
C. Project C
D. Project D