Project Management Class ( based on PMBOK) - Day 6

Download Project Management Class ( based on PMBOK) - Day 6

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Day 6 - Learn the basics of project management in this 6 day course taught by Joe DiFalco, PMP, PMI-ACP, CSPO, Systems Engineer. This course covers the 5 process groups and the 47 project management processes grouped into 10 knowledge areas: Project Integration Management, Project Scope Management, Project Time Management, Project Cost Management, Project Quality Management, Project Human Resources Management, Project Communications Management, Project Risk Management, Project Procurement Management and Project Stakeholder Management.


<ul><li> 1. Project Management Review of the Project Management Body of Knowledge (PMBOK) 5th edition{Joe DiFalco PMP, PMI-ACP, CSPO, Systems Engineer Owner CVShoutProfile: Contact:</li></ul> <p> 2. Day 6 Agenda Day 5 review Knowledge Areas Ethics Earned value management Procurement ManagementRisk topics Cost topics Scope topics Time topics Tips and tricks for PMP test 3. Ethics Review You are a project manager of a company and your project is currently in execution phase. The customer has requested you for additional work. This work will affect the budget, but not the schedule of the project. What should you do next? A. Add the additional requirements to the project plan. B. Ignore the request. C. Explain the change procedure and ask to submit a request for change. D. Discuss with the project team about the change.C is the correct answer. Explain the change procedure and ask to submit a request for change is the best choice. 4. Project Budget Components un-Known un-KnownsThis is the level of granularity to track measurementKnown un-Knowns 5. Project Budget Components Contingency vs Management reservesReserves 6. Planned Value (PV) The approved budget for the work scheduled to be completed by a specified date. Scheduled work Work for an activity (work breakdown component) Defines the physical work that SHOULD have been accomplished Total of all PV can be referred to as: Total PV is also: budget at completion (BAC)From PMBOK 5th Edition 7. Earned Value (EV) The approved budget for the work actually completed by the specified date Measure of work performed Based on PV (authorized budget) Percent complete of a project EV cannot be greater than PV Monitored: Incrementally for current status Cumulatively performance trendsFrom PMBOK 5th Edition 8. Actual Cost (AC) Realized cost incurred Cost of work performed during a time period Specific to the work that the EV measured Corresponds to what was planned PV Has no upper limit it is what it isFrom PMBOK 5th Edition 9. Earned ValueFrom PMBOK 5th Edition 10. Formulas to memorize Schedule Variance (SV)From PMBOK 5th Edition 11. Formulas to memorize Cost Variance (CV)From PMBOK 5th Edition 12. Earned Value MeasurementFrom PMBOK 5th Edition 13. Earned Value MeasurementFrom PMBOK 5th Edition 14. Earned Value MeasurementFrom PMBOK 5th Edition 15. Earned Value Measurement Accountants Pal Online Budget ad CompletionBAC1200Planned ValuePV240Earned ValueEV230Actual CostAC250Schedule Variance (EV PV)SV230 240 = -10Cost Variance (EV AC)CV230 250 = -20Schedule Performance Index (EV/PV)SPI230/240 = .95Cost Performance Index (EV/AC)CPI230/250 = .92Estimate at Completion BAC/CPI AC + BAC EV AC + [(BAC-EV)/(CPI*SPI]EACEstimate to Complete (EAC AC) or re-EstimateETC1304 250 = 1054To Complete Performance Index (BAC EV) / (BAC AC)TCPI(1200-230)/(1200-250) = 1.02Variance at Completion (BAC EAC)VAC1200 1304 = -1041200/.92 = 1304 250 + 1200 230 = 1220 250+[(1200-230)/(.92*.95) = 1360 16. From PMBOK 5th EditionNote: the numbers in the chart refer to the chapter in the PMBOK 17. Procurement ManagementFrom PMBOK 5th Edition 18. Procurement ManagementFrom PMBOK 5th Edition 19. Procurement Management Agreements Binding contracts Terms and conditions Purchase order Understanding Usually subjected to extensive review/approval Many times involves Legal departmentFrom PMBOK 5th Edition 20. Plan Procurement ManagementFixed-price contracts Firm Fixed Price (FFP) Most common Variance seller Fixed Price Incentive Fee (FPIF) Price ceiling incentives Variance seller Incentive seller Fixed Price with Economic Price Adjustment (FP-EPA) Fixed price Provision for change Variance seller and buyerCost reimbursable contracts Cost Plus Fixed Fee (CPFF) Seller reimbursed for costs Fee is fixed except for scope changes Cost Plus Incentive Fee (CPIF) Seller reimbursed for costs Buyer and seller share cost risk (+ / -) Cost Plus Award Fee (CPAF) Seller reimbursed for costs Fee is subject to buyers evaluation Time and Material (T&amp;M)From PMBOK 5th Edition 21. Plan Procurement ManagementFrom PMBOK 5th Edition 22. Plan Procurement ManagementFrom PMBOK 5th Edition 23. Conduct ProcurementsFrom PMBOK 5th Edition 24. Conduct ProcurementsFrom PMBOK 5th Edition 25. Conduct ProcurementsFrom PMBOK 5th Edition 26. Control ProcurementsFrom PMBOK 5th Edition 27. RiskFrom PMBOK 5th Edition 28. RiskFrom PMBOK 5th Edition 29. RiskFrom PMBOK 5th Edition 30. Risk 31. RiskFrom PMBOK 5th Edition 32. RiskFrom PMBOK 5th Edition 33. Risk 34. Risk 35. RiskFrom PMBOK 5th Edition 36. RiskFrom PMBOK 5th Edition 37. Risk*Sometimes data is not availableFrom PMBOK 5th Edition 38. RiskFrom PMBOK 5th Edition 39. RiskFrom PMBOK 5th Edition 40. RiskFrom PMBOK 5th Edition 41. RiskFrom PMBOK 5th Edition 42. Tips and Tricks PMP exam is NOT a test of PMBOK you cannot rely on real world experience rely on training aligned with PMBOK Make up of exam (probably changed for 5th Edition) Initiating 11% Planning 23% Executing 27% Monitoring/control 21% Closing 9% Ethics 9% 200 multiple choice 175 count (need 106 to pass or 61%) Know how to apply the information About 150 what would you do? questions 8-10 formula related questions 10-12 earned value questions Questions with 2 or more right answers which is most right Questions with extraneous information Questions with made up terms Questions with more than one item in each answer - secret From PMBOK 5th Edition 43. Tips and Tricks Study tips Dont Read every book you can find Study too long Not listen to advice from those who have passed The Magic Three visit a topic 3 times to learn it Take practice exams (take at lease 1 full, 4 hour test) Plan your study program Test yourself with 20 questions in each group Read one of the exam prep books Use flash cards or other tools Form a study group Take a review course Take practice exams until you can get 85%From PMBOK 5th Edition 44. Tips and Tricks Recurring themes Project managers can save the universe The PM puts the best interests of the project first Perspective of a large project (200 people from many countries, takes at least a year, never been done before in the organization with a budget of $100M) PM has the power and perform all PMBOK activities The PM is assigned during initiation The PM understands the process of project management The PM always knows why their project was selected The PM spends time planning, managing, assessing and controlling scope, time, cost, quality, risk, resources and customer satisfaction Your organization has a PMO Your organizations has OPA and EPA A Work Breakdown Structure (WBS) is used on every project) From PMBOK 5th Edition 45. Tips and TricksFrom PMBOK 5th Edition 46. Thank YouFrom PMBOK 5th Edition </p>