1.

Scope Management

Definition: Scope management involves defining and controlling what is included and what is
not included in the project.

Key Processes:

 Planning Scope Management: Documenting how the project scope will be defined,
validated, and controlled.
 Collecting Requirements: Determining, documenting, and managing stakeholder needs
and requirements.
 Defining Scope: Developing a detailed project and product description.
 Creating WBS (Work Breakdown Structure): Subdividing project deliverables into
smaller, manageable components.
 Validating Scope: Formalizing acceptance of the completed project deliverables.
 Controlling Scope: Monitoring the status of the project and product scope and managing
changes to the scope baseline.

2. Schedule Management

Definition: Schedule management involves planning and controlling the timelines of the project.

Key Processes:

 Planning Schedule Management: Establishing policies, procedures, and documentation

for planning, developing, managing, executing, and controlling the project schedule.
 Defining Activities: Identifying specific actions to be performed to produce project
deliverables.
 Sequencing Activities: Identifying and documenting relationships among project
activities.
 Estimating Activity Durations: Estimating the number of work periods needed to
complete individual activities.
 Developing Schedule: Analyzing activity sequences, durations, resource requirements,
and schedule constraints to create the project schedule.
 Controlling Schedule: Monitoring the status of project activities to update project
progress and manage changes to the schedule baseline.

3. Cost Management

Definition: Cost management involves planning and controlling the budget of the project.

Key Processes:

 Planning Cost Management: Establishing policies, procedures, and documentation for

planning, managing, expending, and controlling project costs.
 Estimating Costs: Developing an approximation of the monetary resources needed to
complete project activities.
  Determining Budget: Aggregating the estimated costs of individual activities or work
packages to establish an authorized cost baseline.
 Controlling Costs: Monitoring the status of the project to update the project costs and
managing changes to the cost baseline.

4. Risk Management

Definition: Risk management involves identifying, analyzing, and responding to project risks.

Key Processes:

 Planning Risk Management: Defining how to conduct risk management activities for a
project.
 Identifying Risks: Determining which risks might affect the project and documenting
their characteristics.
 Performing Qualitative Risk Analysis: Prioritizing risks for further analysis or action
by assessing and combining their probability of occurrence and impact.
 Performing Quantitative Risk Analysis: Numerically analyzing the effect of identified
risks on overall project objectives.
 Planning Risk Responses: Developing options and actions to enhance opportunities and
reduce threats to project objectives.
 Implementing Risk Responses: Executing risk response plans.
 Monitoring Risks: Tracking identified risks, monitoring residual risks, identifying new
risks, and evaluating risk process effectiveness throughout the project.

5. Project Management Context

Definition: Understanding the environment in which a project operates, including both the
internal and external factors that influence it.

Key Components:

 Project Life Cycle: Phases that a project goes through from initiation to closure.
 Organizational Structure: The way an organization is structured which can influence
project management (e.g., functional, matrix, projectized).
 Enterprise Environmental Factors: Conditions not under the immediate control of the
project team that influence, constrain, or direct the project.
 Organizational Process Assets: Plans, processes, policies, procedures, and knowledge
bases specific to and used by the performing organization.

6. Project Management Processes Group

Definition: The five process groups that represent the project management lifecycle.

Process Groups:

 Initiating: Defining and authorizing the project or a project phase.

  Planning: Establishing the scope, objectives, and course of action to achieve the project
goals.
 Executing: Completing the work defined in the project management plan to satisfy
project specifications.
 Monitoring and Controlling: Tracking, reviewing, and regulating the progress and
performance of the project and identifying any areas that require changes to the plan.
 Closing: Finalizing all activities to formally close the project or phase.

7. Stakeholders Management

Definition: Stakeholder management involves identifying, analyzing, and managing the

expectations and influence of stakeholders.

Key Processes:

 Identifying Stakeholders: Identifying all people or organizations impacted by the

project and documenting relevant information regarding their interests, involvement, and
impact on project success.
 Planning Stakeholder Engagement: Developing strategies to effectively engage
stakeholders throughout the project lifecycle.
 Managing Stakeholder Engagement: Communicating and working with stakeholders to
meet their needs and expectations, addressing issues as they occur.
 Monitoring Stakeholder Engagement: Monitoring stakeholder relationships and
adjusting strategies and plans for engaging stakeholders.

8. Project Selection and Evaluation Process

Definition: The project selection and evaluation process involves evaluating various project
opportunities and selecting the one that best aligns with the organization's strategic goals and
provides the highest potential for success.

Key Methods and Formulas:

1. Benefit-Cost Ratio (BCR)

Definition: BCR compares the benefits of a project to its costs, indicating the project's
profitability.

Formula:

 Decision Rule: Select projects with a BCR greater than 1.

2. Net Present Value (NPV)

Definition: NPV calculates the difference between the present value of cash inflows and
outflows over a project's lifetime.

3. Internal Rate of Return (IRR)

Definition: IRR is the discount rate that makes the NPV of all cash flows from a project equal to
zero.

 Decision Rule: Select projects with an IRR greater than the required rate of return.

4. Payback Period

Definition: The payback period is the time required to recover the initial investment of the
project.

 Decision Rule: Select projects with the shortest payback period.

5. Return on Investment (ROI)

Definition: ROI measures the gain or loss generated on an investment relative to its cost.

 Decision Rule: Select projects with a higher ROI.

6. Economic Value Added (EVA)

Definition: EVA measures a project's financial performance based on residual wealth, calculated
by deducting the cost of capital from the operating profit.

Where:

 NOPAT = Net Operating Profit After Tax

 WACC = Weighted Average Cost of Capital
 Capital = Amount of capital invested
 Decision Rule: Select projects with a positive EVA.

7. Scoring Models

Definition: Scoring models use a set of criteria to evaluate and compare project proposals by
assigning scores to various factors.

Steps:

1. Identify selection criteria (e.g., strategic alignment, risk, financial return, etc.).
2. Assign weights to each criterion based on importance.
3. Rate each project against the criteria.
4. Calculate a weighted score for each project.
5. Select projects with the highest scores.
Example Application

Scenario: An organization has three potential projects and needs to select the best one using
NPV and IRR.

Projects Data:

 Project A: Initial Investment = $100,000, Yearly Cash Inflows = $30,000 for 5 years,
Discount Rate = 10%
 Project B: Initial Investment = $150,000, Yearly Cash Inflows = $45,000 for 5 years,
Discount Rate = 10%
 Project C: Initial Investment = $200,000, Yearly Cash Inflows = $60,000 for 5 years,
Discount Rate = 10%

Decision:

 Compare NPVs: Select the project with the highest NPV.

 Compare IRRs: Select the project with the highest IRR (if above required rate of return).

9. Scheduling Critical Path: Left-Hand and Right-Hand Methods

Critical Path Method (CPM): A project management tool that determines the sequence of tasks
that are critical for project completion.

Left-Hand Method (Forward Pass)

Definition: Calculates the earliest start and finish times for each activity.

Steps:
 1. Start at the project's beginning and move forward through each activity.
2. For each activity, calculate:
o Earliest Start (ES): The maximum of the earliest finish times of all its
predecessors.
o Earliest Finish (EF): EF=ES+Duration

Right-Hand Method (Backward Pass)

Definition: Calculates the latest start and finish times for each activity.
Example:

Activities Data:

 Activity A: Duration = 3 days, Predecessor = None

 Activity B: Duration = 4 days, Predecessor = A
 Activity C: Duration = 2 days, Predecessor = A
 Activity D: Duration = 5 days, Predecessor = B, C

This structured approach ensures that all aspects of project management, from scope and
schedule to cost and risk, are thoroughly covered, with practical tools and methods for selecting
and evaluating projects as well as managing schedules effectively.

various types of project management methodologies:

1. Waterfall (Traditional): Sequential phases with clear milestones. Best for stable
requirements and predictable projects.
 2. Agile: Iterative and incremental delivery. Ideal for fast-changing requirements and
customer collaboration.
3. Lean: Focuses on efficiency, waste reduction, and continuous improvement. Suitable for
minimizing resources while maximizing value.
4. Iterative: Repetitive cycles of planning, executing, and refining. Flexible for projects
with evolving requirements.
5. Incremental: Divides projects into smaller parts delivered sequentially. Allows for early
delivery and feedback.
6. Critical Chain: Manages resource dependencies to minimize delays. Focuses on
efficient resource utilization.
7. PRINCE2: Structured framework with defined processes and roles. Emphasizes
governance, control, and business justification.

Choosing the right methodology depends on project specifics like scope clarity, stakeholder
involvement, and the need for adaptability or control.

Effective schedule management is crucial for ensuring that a project is completed on time and
within scope. Here are some key techniques for managing project schedules:

1. Define Activities

 Activity List: Develop a comprehensive list of all tasks or activities required to complete
the project.
 Work Breakdown Structure (WBS): Break down the project into smaller, manageable
components or work packages.

2. Sequence Activities

 Precedence Diagramming Method (PDM): Use PDM (also known as Activity on

Node, AON) to visually map the sequence of activities.
 Dependency Determination: Identify dependencies between activities, such as Finish-
to-Start (FS), Start-to-Start (SS), Finish-to-Finish (FF), and Start-to-Finish (SF).

3. Estimate Activity Durations

 Expert Judgment: Rely on the expertise of team members or subject matter experts to
estimate durations.
 Analogous Estimating: Use historical data from similar projects to estimate durations.
 Parametric Estimating: Use statistical relationships between historical data and other
variables to estimate durations.
 Three-Point Estimating: Calculate optimistic (O), pessimistic (P), and most likely (M)
duration estimates, and use a weighted average to determine the expected duration (E)
using the formula: E=(O+4M+P) / 6.

4. Develop the Schedule

  Gantt Chart: Create a visual timeline of the project schedule using a Gantt chart,
showing start and finish dates for each activity.
 Critical Path Method (CPM): Identify the longest path through the project (critical
path) and the minimum project duration. Monitor the critical path closely as any delays
here will affect the project completion date.
 Program Evaluation and Review Technique (PERT): Use PERT for projects with
high uncertainty to estimate durations more accurately by analyzing multiple scenarios.

5. Resource Optimization

 Resource Levelling: Adjust the project schedule to address resource constraints,

ensuring that resources are not over-allocated.
 Resource Smoothing: Adjust activities so that resource usage remains within specified
limits without extending the project duration.

6. Schedule Compression

 Crashing: Shorten the project schedule by adding more resources to critical path
activities, potentially increasing costs.
 Fast Tracking: Perform activities in parallel that were originally planned to be done
sequentially, increasing risks but potentially reducing schedule duration.

7. Control Schedule

 Baseline Comparison: Regularly compare actual progress to the schedule baseline to

identify variances.
 Performance Metrics: Use metrics like Schedule Variance (SV) and Schedule
Performance Index (SPI) to assess schedule performance:
o SV = EV - PV (Earned Value - Planned Value)
o SPI = EV / PV (Earned Value / Planned Value)
 Milestone Tracking: Monitor key milestones to ensure critical points in the project are
reached on time.
 Schedule Forecasting: Use techniques like Earned Schedule to predict future schedule
performance and potential delays.

8. Communication and Reporting

 Regular Updates: Schedule regular status meetings and updates to keep all stakeholders
informed of progress.
 Project Management Software: Utilize project management tools and software (e.g.,
Microsoft Project, Primavera, Trello) to track and communicate schedule status
effectively.

9. Risk Management

 Identify Schedule Risks: Proactively identify risks that could impact the schedule and
develop mitigation plans.
  Contingency Planning: Include contingency buffers in the schedule to account for
uncertainties and risks.

10. Agile and Iterative Approaches

 Sprint Planning: In Agile projects, use sprint planning sessions to define the work to be
completed in each iteration.
 Daily Standups: Conduct daily standup meetings to discuss progress, obstacles, and
plans for the day.

11. Documentation and Lessons Learned

 Schedule Documentation: Maintain detailed documentation of the schedule, including

assumptions, constraints, and changes.
 Lessons Learned: Document lessons learned during the project to improve future
schedule management practices.

By applying these schedule management techniques, project managers can enhance their ability
to deliver projects on time, while managing resources effectively and minimizing risks.

Here are some techniques for managing stakeholders:

1. Stakeholder Identification and Analysis

 Identify Stakeholders: Use tools like stakeholder registers or lists to identify all
potential stakeholders.
 Stakeholder Mapping: Use stakeholder maps or matrices to categorize stakeholders
based on their interest and influence.
 Analysis Techniques: Use tools like SWOT (Strengths, Weaknesses, Opportunities,
Threats) analysis or PESTLE (Political, Economic, Social, Technological, Legal,
Environmental) analysis to understand stakeholders' perspectives and potential impact on
the project.

2. Stakeholder Mapping and Prioritization

 Power/Interest Grid: Categorize stakeholders based on their power (influence) and

interest in the project.
 Influence/Impact Matrix: Similar to the power/interest grid, but focuses on the impact
of the project on stakeholders and their ability to influence project outcomes.

3. Engagement Strategies

 Communication Plan: Develop a detailed communication plan outlining how and when
you will communicate with stakeholders.
  Engagement Levels: Define engagement levels such as inform, consult, involve,
collaborate, and empower, and tailor your strategies accordingly.
 Regular Updates: Schedule regular updates and meetings to keep stakeholders informed
and engaged.

4. Managing Expectations

 Setting Clear Objectives: Ensure that stakeholders have a clear understanding of the
project goals, scope, and constraints.
 Negotiation and Compromise: Be prepared to negotiate and find compromises to
address conflicting interests.
 Transparency: Maintain transparency in all communications and decisions to build trust
and credibility.

5. Conflict Resolution

 Conflict Management Techniques: Use techniques such as mediation, arbitration, or

negotiation to resolve conflicts.
 Issue Logs: Maintain an issue log to track conflicts and their resolutions.

6. Feedback Mechanisms

 Surveys and Questionnaires: Use surveys to gather feedback from stakeholders.

 Focus Groups: Conduct focus group sessions to gain deeper insights into stakeholders'
concerns and suggestions.
 Workshops and Meetings: Organize workshops or meetings to discuss feedback and
collaboratively find solutions.

7. Monitoring and Evaluation

 Performance Metrics: Develop metrics to evaluate the effectiveness of stakeholder

engagement strategies.
 Stakeholder Satisfaction Surveys: Regularly measure stakeholder satisfaction to
identify areas for improvement.
 Continuous Improvement: Use feedback and evaluation results to continuously
improve stakeholder management practices.

8. Risk Management

 Identify Risks: Identify risks related to stakeholder engagement and develop mitigation
strategies.
 Contingency Planning: Develop contingency plans for potential stakeholder-related
issues.

9. Documentation and Reporting

  Stakeholder Register: Maintain a comprehensive stakeholder register with details of
each stakeholder, their interests, and engagement history.
 Progress Reports: Include stakeholder engagement updates in regular progress reports.

Tools and Techniques:

 RACI Matrix: Helps clarify roles and responsibilities among stakeholders (Responsible,
Accountable, Consulted, Informed).
 Mind Mapping: A visual tool to brainstorm and organize stakeholder information.
 Communication Management Systems: Use software tools for managing and
automating communications with stakeholders.

Effective stakeholder management requires a proactive approach, clear communication, and the
ability to adapt strategies as the project progresses. By applying these techniques, project
managers can better align stakeholder expectations with project goals, thereby enhancing the
likelihood of project success.