Starting the Project

Day 2

A. Determine appropriate Project

Methodology/Methods and Practices
B. Plan and Manage Scope
C. Plan and Manage Budget and Resources

Lesson D. Plan and Manage Schedule

E. Plan and Manage Quality of
Objectives Products/Deliverables
F. Integrate Project Planning Activities
G. Plan and Manage Procurement
H. Establish Project Governance Structure
I. Plan and Manage Project/Phase Closure

1
 Topic A : Determine appropriate
Project Methodology/ Methods and
Practices

Enablers
• Assess project needs, complexity and magnitude (ECO 2.13.1)
• Recommend project execution strategy (e.g., contracting, finance) (ECO
2.13.2)
• Recommend a project methodology/approach (i.e., predictive, agile,
hybrid) (ECO 2.13.3)
• Use iterative, incremental practices throughout the project life cycle
(ECO 2.13.4)

2
 Deliverables & Tools
Deliverables Tools

Create survey Expert judgement

Project Business Case / Needs document Meetings
Project Overview Statement Focus groups
Project Implementation Plan Workshops
Agile practice guidelines Create SMART objectives
Knowledge of classic PM and agile practice
Project Integration

Project Methodologies, Methods and

Practices
Agile

• Modern approach where team works collaboratively with the customer to determine the
project needs
• The coordination of the customer and the team drives the project forward

Predictive/Plan Driven

• Traditional approach where the project needs, requirements and constraints are
understood, and plans are developed accordingly
• The plans drive the project forward

Hybrid

• A combined approach that uses a strategy from agile or predictive for a specific need
• Project might switch approaches based on need, changing work requirements or
circumstances

3
 Business Case / Business Needs
Documents
Business Case Business Needs documents
• Documented economic feasibility • Provides the high-level
study deliverables
• Used to establish the benefits of • Written prior to the formal
project components business case
• Provides a basis for authorisation • Describes what needs to be
of further project activities created and what needs to be
performed

Project Implementation Plan

• Deliverables may be delivered all at once at the end of the project or
per iteration
• When delivering outputs, consider asking if the outputs will be:
o Implemented in a new business environment?
o Implemented in an existing business environment?
o Transitioned into a live environment?
o Decommissioning or removing old systems, processes, or materials?
o Ensuring training and knowledge transfer is complete or satisfactory?

4
 Assessment of Project Needs,
Complexity and Magnitude

Iterative

Predictive Incremental

Which
Agile Hybrid
method?

10

Progressive Elaboration

The iterative process of increasing the level of detail in a

project management plan as greater amounts of information
and more accurate estimates become available.

10

5
 Type of Lifecycles

Predictive Adaptive
Iterative
Incremental
Agile

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12

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6
 Hybrid • Includes adaptive and predictive
components
Lifecycle • Shorter, iterative time frames
• High stakeholder involvement
• More in-depth requirements

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13

Activity 2-1 : Determining the

appropriate Project
Methodology

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7
 Topic B : Plan and Manage Scope

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15

Enablers
• Determine and prioritise requirements (ECO 2.8.1)
• Break down scope and define acceptance criteria (definition of done)
(ECO 2.8.2)
• Build work packages/do some work
• Monitor, reprioritise and validate scope (ECO 2.8.3)

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8
 Deliverables & Tools
Deliverables Tools

Requirements Register Agile estimating

Work performance reports Product Backlog
Traceability Matrix Document change requests
Update requirements document
Update product backlog
Update project management plan

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Requirements Management Plan

A component of the project or program

management plan that describes how
requirements will be analysed, documented
and managed.

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9
 Scope Management Plan

A component of the project management

plan or program management plan that
describes how the scope will be defined,
developed, monitored, controlled and
validated.

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19

Expert • Internal and external

judgment experts

Scope
Management Alternatives
• Data analysis method
analysis
Tools and
Techniques
• Team members involved
Meetings in creating the scope
management plan

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10
 Project Requirements

The agreed-upon conditions or

capabilities of a product, service or
outcome that the project is designed to
satisfy.

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Elicitation Techniques

• Document Analysis • Data Representation – Mind

• Focus Groups Mapping, Affinity Diagram
• Questionnaires and Surveys • Observations
• Benchmarking • Facilitated Workshops
• Interviews • Context Diagrams
• Decision Making – Unanimity, • Prototypes
Majority, Plurality, Autocratic • Storyboarding

22

11
 Requirements Documentation
• Business requirements
• Stakeholder requirements
• Solution requirements
• Project requirements
• Transition requirements
• Requirements assumptions, dependencies and constraints

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23

Requirements Traceability Matrix

A grid/matrix that links

product requirements from To justify each requirement
and to link it directly to the
their origin to the
deliverables that satisfy business and project
objectives
them.

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12
 Project Scope Statement
The description of the project scope, major deliverables, assumptions,
constraints and acceptance criteria.

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25

Project Scope Statement

vs.
Project Charter

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13
 Alternatives
Expert judgment analysis

Scope Tools
and Multi-criteria
decision analysis Facilitation

Techniques

Product analysis

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27

Work Breakdown
Structure (WBS)

A hierarchical decomposition of the

total scope of work to be carried out by
the project team to accomplish the
project objectives and create the
required deliverables.

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14
 nts
o ne
o mp
S C
W B

Code of Accounts

Source : www.trulypm.com

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WBS
Sample 1

Source : www.trulypm.com

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15
 WBS
Sample 2

Source : www.trulypm.com

31

WBS Dictionary
A document that provides detailed
deliverable, activity, and scheduling
information about each component in
the work breakdown structure.

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16
 Decomposition
A technique used for dividing and
subdividing the project scope and
project deliverables into smaller, more
manageable parts.

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Scope Baseline
• Project scope statement
• WBS
• Work package
• Planning package
• WBS dictionary

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17
 Product and Iteration Backlogs (1)
• A product backlog is essentially a list of the expected work to deliver the
product.
• Grooming and refining the product backlog is an ongoing exercise,
typically scheduled in weekly or monthly intervals.
• Product backlog items (PBI) drop off when work is completed.
o PBIs are edited and clarified as more becomes known or as product requirements
change.
o PBIs are continually added as necessary when more work must be done.

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Product and Iteration Backlogs (2)

• The iteration backlog includes items from the product backlog that can
conceivably be completed within the time period based on the team’s
capacity.
• Teams must estimate the effort size of the work and understand the
priorities of the business.

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18
 User Stories

• Projects deliver value

• Help teams focus on that value provided
to the user
• Framing the user’s desire as a story
instead of a detailed requirement or
specification

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Tools and Techniques for Verifying the

Scope
Tool and Technique Description
A team's checklist of all the criteria required to be met so that a deliverable can be considered
Definition of Done ready for customer use.
A team's checklist for a user-centric requirement that has all the information the team needs to be
Definition of Ready able to begin working on it.

Acceptance Criteria A set of conditions that is required to be met before deliverables are accepted.

Validate Scope The process of formalising acceptance of the completed project deliverables.
At or near the conclusion of a timeboxed iteration, the project team shares and demonstrates all
Iteration Reviews the work produced during the iteration with the business and other stakeholders.
A technique for determining the cause and degree of difference between the baseline and actual
Variance Analysis performance.
An analytical technique that uses mathematical models to forecast future outcomes based on
Trend Analysis historical results.

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19
 Activity 2-2 : Planning and
Managing Scope

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Topic C : Plan and Manage Budget

and Resources

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20
 Enablers
• Estimate budgetary needs (ECO 2.5.1)
• Anticipate future budget challenges (ECO 2.5.2)
• Monitor budget variations and work with governance process (ECO 2.5.3)
• Plan and manage resources (ECO 2.5.4)

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Deliverables & Tools

Deliverables Tools
Estimating techniques: Three Point, Analogous, Parametric, T-Shirt
Cost baseline
sizing, Planning poker
Management reserve Review organisation data, Meetings
Resource management
Cost Variance, EVM, EAC
plan
Change requests Leverage PMIS

Cost forecasts Understand change control, Features accepted vs feature remaining

Risk analysis Use velocity data and analysis

Throughput analysis

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21
 Cost Estimates

Developing an approximation of the cost for each activity in a project

Cost should include:

Information Contingency
Direct labour Materials Equipment Facilities Services technology reserves Indirect costs

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Cost Estimating Tools and Techniques

Analogous Parametric Bottom-up Three-point Expert

Estimating Estimating Estimating Estimating Judgment

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22
 Common Estimate Types
Accuracy: Accuracy:
(-5% to +10%) (-25% to +75%)
Rough
Order of
Definitive Magnitude
estimate

Phased
estimate

Project Cost
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Activity 2-3 : Estimating Project

Costs

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23
 Budget Estimates
• The process of aggregating the estimated costs of individual activities or
work packages to establish an authorised cost baseline
• This budget contains all the funding needed to complete the project as
defined in the scope baseline and the project schedule
• The project cost performance is then measured against this cost
baseline.

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47

Cost Baseline

The approved version of the time-phased project budget, excluding

any management reserves, which can be changed only through
formal change control procedures and is used as a basis for
comparison to actual results.

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24
 Funding Requirements / S-curve

Copyright figure from A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – 6th Ed., Project Management Institute Inc., 2017, Page 255.
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49

Project Budgeting Components

Copyright figure from A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – 6th Ed., Project Management Institute Inc., 2017, Page 255.
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 Budget Challenges
• New or changed project requirements
• New risks or changes to the probabilities or impacts of existing risks
• Changes to cost estimates resulting from economic factors, procurement
contract modifications, resource costs, etc.
• If the budget remains fixed and additional funds are not available, then
the project must change

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Funding Limit Reconciliation

The process of comparing the planned expenditure of project funds
against any limits on the commitment of funds for the project to
identify any variances between the funding limits and the planned
expenditures.

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52

26
 Activity 2-4 : Estimating the Cost
Baseline

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Activity 2 – 4 : Solution for Question 3

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27
 Activity 2 – 4 : Solution for Question 6
$ (K)

Weeks

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Topic D : Plan and Manage Schedule

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 Enablers
• Estimate project tasks (milestones, dependencies, story points) (ECO
2.6.1)
• Utilise benchmarks and historical data (ECO 2.6.2)
• Prepare schedule based on methodology (ECO 2.6.3)
• Measure ongoing progress based on methodology (ECO 2.6.4)
• Modify schedule, as needed, based on methodology (ECO 2.6.5)
• Coordinate with other projects and other operations (ECO 2.6.6)

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Deliverables
Deliverables

Activity cost estimates Release plan Planning meetings

Activity duration estimates Product Roadmaps Negotiations

Task estimates Earned Value Project schedule

Story estimates Updated schedule Velocity data

Feature estimates Updated release plan Network diagram

Updated documents Updated product backlog Backlog

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29
 Tools
Tools

Top-Down Estimating: Expert,

Affinity estimates Burndown / Burnup charts
Analogous, Parametric
Bottom-Up Estimating: Roll up
PMIS, Meetings Cumulative flow diagrams
WBS packages

T-Shirt sizing Process assets Throughput analysis

Estimating using Fibonacci

Backlog management Velocity analysis
sequences

Story points Release planning Retrospectives

Relative estimating Iteration planning Review work produced

Backlog reprioritisation Scaling projects Procurement negotiations

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Project Schedule

An output of a schedule model

that presents linked activities
with planned dates, durations,
milestones and resources.

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30
 Benchmarks and Historical Data
• Benchmarking is the comparison of a project schedule to a schedule for a
similar product or service produced elsewhere.
• Benchmarks can be useful in the initial stage of scheduling to help assess
the feasibility of a project.
• Historical data can come from other projects completed within an
organisation for which detailed information is available.
• Historical data provides a good “starting point” for how long something
should take prior to detailed analysis.

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Schedule Management Plan

A component of the project or program management plan that

establishes the criteria and the activities for developing, monitoring,
and controlling the schedule.

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31
 Schedule Management Plan – Components
• Project schedule model used
• Accuracy of activity duration estimates
• Units of measure to be used
• Organisational procedure links used with the WBS
• Control thresholds to be used for monitoring schedule performance
• Rules of performance measurements to be used
• Reporting formats to be used
• Process descriptions to explain how schedule management processes are
to be documented throughout the project

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Schedule Management Considerations

for Agile/Adaptive Environments
• Total project timeline may be developed
• Individual activities scheduled iteratively
• Two main iterative approaches:
1. Iterative scheduling with backlog
2. On-demand scheduling

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 Iterative Scheduling with a Backlog
• Progressive elaboration (rolling wave) techniques used to schedule
activities
• Uses a specific time window, often two weeks
• Requirements defined in user stories
• Stories are selected based on priority and time box
• Delivers business value early and incrementally
• Allows changes/adaptations during entire project
• Does not work well when there are complex dependency relationships

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On-Demand Scheduling
• Does not use traditional schedules
• Team members “pull” work from a queue when available
• Based on Kanban and Lean methodologies
• Provides incremental business value
• Levels out work of team members
• Works best when activities can be divided into equal amounts
• Does not work well when there are complex dependency relationships

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33
 Project Activity
A distinct, scheduled portion of work performed during the course of a
project (different from a ‘task’)

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Features
• Used to group related functionality together to deliver business value
• Activities and efforts, such as documentation, bug fixes, testing and
quality/defect repairs
• Delivers the capability that can be estimated, tracked and managed as a
set.
• Progress can be measured based on the features that have been
accepted compared to features remaining

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 Milestones

A significant point or event in a

project, program or portfolio

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Activity 2-5 : Creating an Activity

List and a Milestone List

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 Activity Dependency
Mandatory

• A relationship that is contractually required or inherent in the nature of the work.

Discretionary

• A relationship that is established based on knowledge of best practices within a

particular application area or an aspect of the project where a specific sequence is
desired.

External

• A relationship between project activities and non-project activities.

Internal

• Contingent on inputs within the project team’s control.

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Precedence
Relationships

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 Types of Precedence Relationships

Copyright figure from A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – 6th Ed., Project Management Institute Inc., 2017, Page 190.
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Activity Duration Estimates

• Activity duration estimate : The quantitative assessment of the likely
number of time periods that are required to complete an activity

• Elapsed time : The actual calendar time required for an activity from
start to finish

• Effort : The number of labour units required to complete a scheduled

activity or WBS component, often expressed in hours, days or weeks.
Contrast with duration.

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37
 Schedule Presentation Formats

Gantt Chart Milestone Chart

Project Schedule
Network Diagram
with Dates

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Project Schedule Network Diagram with Dates

• Assigns start and finish dates to activities

• Communicates the project status in terms of activity precedence
relationships
• Assigns Activity Float, Total Float, Free Float
• Used to calculate critical path

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 Project Schedule Network Diagram with Dates
7 Mar 13 Mar 13 Mar 25 Mar 25 Mar 13 Apr
ES EF ES EF ES EF
4.2.3 4.2.4 4.2.5
25 29 29 37 37 50

Activity C Activity D Activity E

LS DU LF LS DU LF LS DU LF
36 4 40 40 8 48 48 13 61

TF = 11 TF = 11 TF = 11
3 Feb 14 Feb 14 Feb 7 Mar 28 Apr 6 May
ES 4.2.1 EF ES 4.2.2 EF ES 4.2.8 EF
0 10 10 25 61 66

Activity A Activity B Activity H

LS DU LF LS DU LF LS DU LF
0 10 10 10 15 25 61 5 66

TF = 0 TF = 0 7 Mar 31 Mar 10 Apr 28 Apr TF = 0

ES EF ES EF
4.2.6 4.2.7
25 41 49 61
FS 8
Activity F Activity G
LS DU LF LS DU LF
25 16 41 49 12 61

TF = 0 TF = 0
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Agile Release Planning

Copyright figure from A Guide to the

Project Management Body of Knowledge
(PMBOK® Guide) – 6th Ed., Project
Management Institute Inc., 2017, Page
216.

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 Ongoing Progress based on Methodology
• Monitoring the status of the project to update the project schedule
• Managing changes to the schedule baseline

In an agile approach, evaluate progress by:

• Compare the total amount of work delivered and accepted to the
estimate of the work to be completed for the current time period
• Review completed work in regular Sprint demos
• Conduct scheduled reviews to record lessons learned (or retrospectives)
• Determine the rate at which deliverables are produced, validated, and
accepted

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Coordination with Other Projects

• If the project is part of a program or a portfolio, the schedule status of
the project should be evaluated for any effect it has on the other
components of the program or portfolio.
• In some situations, a delay (or acceleration) of a project may not impact
other projects.
• However, if the delay or acceleration is caused by activities on the
project’s critical path and that project is critical to the schedule of
other projects, the overall effect can be significant

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 Activity 2-6 : Sequencing Activities

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Topic E : Plan and Manage Quality

of Products and
Deliverables

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41
 Enablers
• Plan quality standard required for project deliverables (ECO 2.7.1 )
• Recommend options for improvement based on quality gaps (ECO 2.7.2)
• Continually survey project deliverable quality (ECO 2.7.3)

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Deliverables & Tools

Deliverables Tools

Quality Management Plan Cost benefits analysis

Define Quality Metrics Cost of Quality
Quality Assurance Benchmarking
Quality Control Quality audit
Process analysis
Measure quality
Validate deliverables
Quality measurement tools
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 Quality
The degree to which a set
of inherent characteristics
fulfill requirements

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Quality Standards and Regulations

• Standard : A document established by an authority, custom, or general
consent as a model or example.
• Regulations : Requirements imposed by a governmental body. These
requirements can establish product, process, or service characteristics,
including applicable administrative provisions that have government-
mandated compliance.
o De facto regulations : Regulations that are widely accepted and adopted through use.
o De jure regulations : Regulations that are mandated by law or have been approved by a
recognised body of experts.
o ISO 9000 Series : A quality system standard that can be applied to any product, service or
process in the world

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 Validated Deliverables
• Products and outputs are measured against
the quality standards/acceptance criteria set
by the project
• When quality standards are neither met nor
within acceptable ranges, corrections and
controls are put into action
• Project team performs the validation and
deliverables are verified by the customer,
which equates to validated deliverables

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Quality Management Plan

A component of the project or program

management plan that describes how applicable
policies, procedures and guidelines will be
implemented to achieve the quality objectives

Documents and defines how the project's

quality requirements will be met and how
the quality aspect of the project will be
managed

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 Cost of Quality

Copyright figure from A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – 6th Ed., Project Management Institute Inc., 2017, Page 283.

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Quality Terms
Quality Metrics

• A description of a project or product attribute and how to measure it

Tolerance

• The quantified description of acceptable variation for a quality requirement

Quality Audit

• A structured, independent process to determine if project activities comply with

organisational and project policies, processes and procedures

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 Quality Measurement Tools

Control Charts and

Variability Pareto Charts

Statistical Statistical
Sampling Sampling Process
(Attribute/Variable)

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Activity 2-7 : Planning and

Managing Quality

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 Topic F : Integrate Project Planning
Activities

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Enablers
• Manage and rectify ground rule violations (ECO 1.12.3)
• Consolidate the project/phase plans (ECO 2.9.1)
• Assess plans for dependencies, gaps, and continued business value (ECO
2.9.2)
• Analyze the data collected (ECO 2.9.3)
• Collect and analyze data to make informed project decisions (ECO 2.9.4)
• Determine critical information requirements (ECO 2.9.5)
• Plan and manage project compliance to business factors

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 Deliverables & Tools
• No specific deliverables and tools

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95

Integration Management

• Many plans are built, maintained and executed throughout a

project
• A holistic, integrated view ties plans together, aligns efforts and
highlights how they depend on each other
• Can identify and correct gaps or conflicts

96

48
 Project
Management The document that describes how the
project will be executed, monitored,
Plan controlled and closed

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Project Management Plan – Components

Copyright figure from A Guide to the Project

Management Body of Knowledge (PMBOK® Guide)
– 6th Ed., Project Management Institute Inc., 2017,
Page 89.

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 Project Management Plan Tools and
Techniques
• Expert judgment • Data gathering
o Determine the appropriate methodology o Brainstorming
approach
o Checklists
o Customise the process to meet project needs
o Focus groups
o Develop technical and management details
o Interviews
o Determine the resources and skills needed
o Define the level of configuration • Interpersonal and team skills
management needed o Conflict management
o Identify the project documents that will be o Facilitation
affected o Meeting management
o Prioritise the work to allocate resources
• Meetings
appropriately

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Project Management Information System

(PMIS)

An information system consisting

of the tools and techniques used
to gather, integrate, and
disseminate the outputs of
project management processes

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50
 Compliance Management Plan

Compliance with:
• Appropriate government regulations, Corporate policies
• Product and project quality, Project risk
• Project Compliance Plan is a sub-plan of the project management plan
Components include:
• Classify compliance categories
• Determine potential threats to compliance
• Analyze the consequences of noncompliance
• Determine necessary approach and action to address compliance needs

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Activity 2-8 : Integrating Project

Planning Activities

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 Topic G : Plan and Manage
Procurement

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103

Enablers
• Define external resource requirements and needs (ECO 2.11.1)
• Communicate external resource requirements (ECO 2.11.2)
• Manage suppliers/contracts (ECO 2.11.3)
• Plan and manage procurement strategy (ECO 2.11.4)
• Develop a delivery solution (ECO 2.11.5)

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 Deliverables & Tools
Deliverables Tools

Statement of Work Make or Buy Analysis, Expert judgment

Procurement Management Plan Market research

Source selection criteria Meetings

Select sellers Monitor work / deliverables

Set up evaluation techniques and bidder

Monitor work and changes
conferences

Negotiations, Prepare agreements

Prepare and process change requests

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Procurement

Acquisition of goods and services from

an external organisation, vendor or
supplier to enable the deliverables of
the project.

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53
 External Resource Requirements and
Needs – Outsourcing
• Moving beyond the organisation to secure services and expertise from
outside sources on a contract or short-term basis
• Used frequently
• Helps businesses to focus more on their core competencies

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Procurement Strategy

Make-or-Buy analysis : The

process of gathering and organising
Make-or-Buy decisions : Decisions
data about product requirements
made regarding the external
and analyzing them against
purchase or internal manufacture
available alternatives including the
of a product.
purchase or internal manufacture
of the product.

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 Procurement SOW

Describes the procurement item in sufficient detail to allow

prospective sellers to determine if they are capable of providing the
products, services or results.

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109

Procurement Management Plan

A component of the project or program management plan that

describes how a project team will acquire goods and services from
outside of the performing organisation.

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 Source Selection Criteria
• A set of attributes desired by the buyer which a seller is required to
meet or exceed to be selected for a contract
Sample source selection criteria:
• Overall or life-cycle cost • Production capacity and interest
• Understanding of need • Business size and type
• Technical capability • Past performance of sellers
• Management approach • References
• Technical approach • Intellectual property rights

• Warranty • Proprietary rights

• Financial capacity
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111

Qualified Vendors

• Vendors approved to deliver products, services or

results based on the procurement requirements
• The list of qualified vendors can be created based
on historical information about different vendors
• If the required resources are new to the
organisation, market research can help identify
qualified resources

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 Meetings conducted by the buyer prior to
submissions of a bid or proposal by the vendors.

The buyer explains the requirements, proposed

terms and conditions and the buyer clarifies the

Bidder
vendors’ queries.

Conferences Buyer ensures all prospective vendors have a clear

and common understanding of the technical and
contractual requirements of the procurement.

Also known as vendor conferences, pre-bid

conferences, pre-proposal conferences and
contractor conferences.

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Suppliers and Contracts

• Contract : A mutually binding agreement that obligates the seller to
provide the specified project or service or result and obligates the buyer
to pay for it
• Customised for each agreement
• Contract types:
o Fixed-price – Firm Fixed Price (FFP), Fixed Price Incentive Fee (FPIF), Fixed Price
with Economic Price Adjustment (FPEPA)
o Cost-reimbursable – Cost Plus Fixed Fee (CPFF), Cost Plus Incentive Fee (CPIF), Cost
Plus Award Fee (CPAF)
o Time-and-material (T&M) – Not-to-Exceed clause

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57
 Contract Components
Description of the work being procured for the project, its deliverables and scope

Delivery date or other schedule information

Identification of authority, where appropriate

Responsibilities of both parties

Management of technical and business aspects

Price and payment terms

Provisions for termination

Applicable guarantees and warranties

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Control Procurements Process

• The process of managing procurement relationships, monitoring contract
performance, making changes and corrections as appropriate and closing
out contracts
• Begin the contract at the right time
• Performance reporting to monitor seller cost, schedule and technical
performance
• Quality/Change control
• Monitor and control the project risks to ensure that the risks are properly
managed

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 Contract Change
Control System
The system used to collect, track,
adjudicate and communicate changes to
a contract, it can be a part of integrated
change control system or a separate
system

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117

Closing Procurements
• A written notice usually provided from the buyer to the seller once the
contract is complete
• Usually documented in the terms and conditions that were specified in
the contract and the procurement management plan
• Procurements can be closed at any time throughout the life of the
project, not necessarily at the end

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 Activity 2-9 : Managing Suppliers
and Contracts

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119

Topic H : Establish Project

Governance Structure

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 Enablers
• Determine appropriate governance for a project (ECO 2.14.1)
• Define escalation paths and thresholds (ECO 2.14.2)

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121

Deliverables & Tools

Deliverables Tools

Create project team Meetings

Identify governance structure Leverage Organisational Process Assets

Project change / configuration control PMIS

Update documents

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 Project
Governance
The framework, functions and
processes that guide project
management activities in order to
create a unique product, service or
result to meet organisational,
strategic and operational goals

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Project Governance Framework

• Project success and deliverable acceptance criteria
• Process to identify, escalate and resolve issues
• Relationship between project team, organisational groups and external stakeholders
• Project organisation chart with project roles
• Communication processes and procedures
• Processes for project decision-making
• Guidelines for aligning project governance and organisational strategy
• Project life cycle approach, process for stage gate or phase reviews
• Process for review and approval of changes above the project manager's authority
• Process to align internal stakeholders with project process requirements

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 A collection of logically related project
activities that culminates in the completion
Project
of one or more deliverables Phase

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Applying Governance to the Project Life

Cycle
• At the beginning of a phase, verify and validate the former assumptions
made to the project, analyze risks and provide detailed explanation of
the phase's deliverables
• After the phase’s key deliverables are produced, a review ensures
completeness and acceptance
• A phase can be closed or the project terminated when huge risks are
involved for the project or when the objectives are no longer required

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 Escalation Paths
• Phase Gate : A review at the end of a phase in which a decision is made
to continue to the next phase, to continue with modification or to end a
project or program
• Can also be called as governance gate, tollgate or kill point

Final Project
Phase 1 G1 Phase 2 G2 Phase 3 G3 Phase 4 G4 Phase 5 G5
Deliverable

Gn = Phase gate

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Phase-to-Phase Relationships
• Sequential relationships contain consecutive phases that start only
when the previous phase is complete. This relationship reduces the level
of uncertainty, which may eliminate the option for shortening a project's
schedule.

• Overlapping relationships contain phases that start prior to the previous

phase ending. This relationship increases the level of risk and may cause
rework if something from the previous phase directly affects the next
phase.

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 Activity 2-10 : Determining
Governance

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Topic I : Plan and Manage

Project/Phase Closure

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 Enablers
• Determine criteria to successfully close the project or phase (ECO
2.17.1)
• Develop transition planning artifacts
• Validate readiness for transition (e.g., to operations team or next phase)
(ECO 2.17.2)
• Conclude activities to close out project or phase (ECO 2.17.3)

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Deliverables & Tools

Deliverables Tools

Definition of Done No specific tools

Validate work

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 Close Project or Phase

The planned work is completed

Project or phase information is archived

Project team resources are released to pursue other endeavours

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Close Project or Phase Criteria

• The project or phase successfully met its completion objectives
• The requirements changed during execution to the point where the project is no longer
feasible
• Adequate funding is no longer available to complete the requirements
• Significant risks are encountered that make the successful completion of the project
impossible
• The organisation no longer needs the project deliverables
• External factors arise that do away with the need for the project
o Change in laws or regulations.
o Merger or acquisition that affects the organisation
o Global or national economic changes

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 Close Procurements
• Procurements are closed when the contract terms of a procurement have
been satisfied by both the buyer and seller
• This occurs throughout the life of the project, not during project closure
• Contracts are not kept open any longer than necessary, to avoid
erroneous or unintentional charges against the contract

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Acceptance

Acceptance Criteria – set of Deliverables that meet these

conditions that is required to be met acceptance criteria are formally
before deliverables are accepted signed off and approved by the
customer or sponsor

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 Payments

Payments made to a supplier or vendor are made in accordance with the

terms of the contract

Unless a contract is closed at the completion of the project or phase,

payment will most likely have been made at the time of contract closure

It should not be delayed until project or phase closure (unless specified in

the contract), to avoid the potential for accidental charges to the contract

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Transition Planning Artifacts

• Coordination and strategy about how to best deliver and transition the
product and other deliverables is needed
• Releasing and deploying deliverables in the most suitable manner
ensures end-user awareness and increases the proper usages and
adoption of outputs
• Preparation of artifacts includes:
o Training
o Documentation
o Communication
o Support

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 Transition Readiness
• Releasing, delivering and deploying the project’s work into an environment that
is not ready may negate its value
• Project teams must examine the readiness of all parties and prepare them for
delivery, including:
o End users
o The business
o The physical resources
o The project team
• Most critical in situations where there is an upgrade or improvement to an
existing product or service
• Capture lessons learned for the next release or project

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Lessons-learned Register
• A project document used to record knowledge gained during a project so
that it can be used in the current project and entered into the lessons-
learned repository
o Scheduling lessons learned
o Conflict management lessons learned
o Sellers lessons learned
o Customer lessons learned
o Strategic lessons learned
o Tactical lessons learned
o Any other aspects of lessons learned

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 Knowledge
Management
Lessons-learned repository – a store of
historical information about lessons
learned in projects

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Close-Out Meetings

Sessions held at end of Involve: May include stakeholders,

project or phase Discussing the work team members, project
resources and customers
Reviewing lessons learned
Solicit future projects/
businesses

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 Retrospective
• The close-out meeting in an agile project is called a retrospective
• Includes the agile team, Product Owner and key stakeholders
• Encourages participants to review:
o What went well
o What could have been done better
• This assessment includes the work on the product and:
o Processes
o Level of collaboration inside and outside the agile team
o Other areas that influence the effectiveness of product delivery

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Activity 2-11 : Closing a Project or

Phase

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 Day 2 – Wrap Up
ü Assess project needs, complexity, and magnitude to determine the appropriate project
methodology/methods and practices
ü Plan and manage the scope
ü Plan and manage the budget and resources
ü Plan, prepare, modify, and manage the project schedule based on methodology
ü Plan and manage the quality of products and deliverables
ü Integrate project planning activities
ü Plan and manage procurement strategy
ü Establish the project governance structure
ü Plan and manage project/phase closure

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