Project Integration Management

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 Learning objective:
At the end of the session students will able to:
know how project integration management is affect and affected by other

knowledge areas.
 understand how project integration management coordinates all aspects of the

project.
Understand the essence of PI management for successful execution of the

project.
Describe the project plan development and performing stakeholder analysis to

help manage r/ships.

Explain project plan execution, its r/ship to project planning, the factors related

to successful results, and tools and techniques to assist in project plan execution.

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 The Key to Overall Project Success:
Good Project Integration Management
Project managers must coordinate all of the other knowledge
areas throughout a project’s life cycle
Many new project managers have trouble looking at the “big
picture” and want to focus on too many details
Project integration management is not the same thing as
software integration
Project management integration includes process and
activities to identify, define, combine, unify and coordinate the
various processes and project management activities with in
the project management process groups.
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Project Integration Management Processes
Develop the project charter: :/project brief/ project initiation

document: Project definition document that describes the project

essential information like project name, location, project objective,
project vision and project stakeholders etc.
 working with stakeholders to create the document that formally
authorizes a project—the charter. A project can’t begin without a project
charter. It is an official document that authorize the project formally.
 By developing project charter you will be able to establish a direct link
b/n the organization objective and the undertaken project.
 The inputs for project charter development are business documents,
agreements, enterprise environmental factors and organizational
process assets.

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Continued…
Develop the project management plan: coordinating all planning efforts
to create a consistent, coherent document—the project management
plan. It creates a guideline for project management system.
The input for PMP are project charter, output from other process,
enterprise environmental factors & organization process assets.
 Direct and manage project execution: carrying out the project
management plan by performing the activities included in it.
 managing of the execution of the project work.
 Managing the project work involves managing deliverables, directing the
project team, managing procurement activities.
 The outputs of this process are deliverables, work performance
information, change requests, project management plan updates, and
project documents updates.

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Continued…
Manage project knowledge: involves using the knowledge of the team
and creating additional knowledge to complete the project successfully.
Transferring the gained knowledge to the organization is very important
for future projects.
Out put is lessons learned, PMP updates, organization process asset
updates.
Monitor and control the project work: overseeing project work to
meet the performance objectives of the project.
Involves work performance reporting and comparing the actual and
planned values to insure that the project is on track.
It all about controlling the scope, quality, schedule and stakeholder
engagement to the project.
The outputs of this process are change requests, project management
plan updates, and project documents updates.

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Continued
Perform integrated change control: coordinating changes that affect the
project’s deliverables and organizational process assets.
Insure that any change requests evaluate and either accepted or rejected
according to projects agreed up on goals and the organizations objective.
 The outputs of this process include change request status updates, project
management plan updates, and project documents updates.
Close the project or phase: finalizing all project activities to formally close
the project or phase
Conduct a post project review to document the successes and failures of
the project and talk about how you can make integration better next time .
Outputs of this process include final product, service, or result transition
and organizational process assets updates.

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Project Integration Management
Summary

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Continued…
Many people consider project integration management the
key to overall project success.
Someone must take responsibility for coordinating all of the
people, plans, and work required to complete a project.
Someone must focus on the big picture of the project and
steer the project team toward successful completion.
Someone must make the final decisions when conflicts occur
among project goals or people.
Someone must communicate key project information to top
management.
These responsibilities belong to the project manager, whose
chief means for accomplishing all these tasks is project
integration management.
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Continued…
Good project integration management is critical for providing
stakeholder satisfaction.
Project integration management includes interface
management, which involves
identifying and
managing the points of interaction between various
elements of a project.
The number of interfaces can increase exponentially as the
number of people involved in a project increases.
Thus, one of the most important jobs of a project manager is
to establish and maintain good communication and
relationships across organizational interfaces.

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Continued…
The project manager must communicate well with all project
stakeholders, including
customers,
the project team,
top management,
other project managers, and
opponents of the project.
Project integration management must occur within the
context of the entire organization, not just within a particular
project.
The project manager must integrate the work of the project
with the ongoing operations of the organization.

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Continued…
Following a standard process for managing projects can help

prevent some of the typical problems new and experienced

project managers face, including
communicating with and

managing stakeholders.

Before organizations begin projects, however, they should go

through a formal process to decide what projects to pursue.

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Strategic Planning and Project Selection
Strategic planning involves determining long-term objectives,
predicting future trends, and projecting the need for new
products and services
Organizations often perform a SWOT analysis
Analyzing Strengths, Weaknesses, Opportunities, and Threats
As part of strategic planning, organizations:
Identify potential projects
Use realistic methods to select which projects to work on
Formalize project initiation by issuing a project charter

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Information Technology Planning
Process

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Methods for Selecting Projects
 The outputs of this process are change requests, project
management plan updates, and project documents updates.
 However, organizations need to narrow down the list of
potential projects to the ones that will be of most benefit.
 There are usually more projects than available time and
resources to implement them
 Methods for selecting projects include:
 Focusing on broad organizational needs
 Categorizing information technology projects
 Performing net present value or other financial analyses
 Using a weighted scoring model
 Implementing a balanced scorecard

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Focusing on Broad Organizational Needs
It is often difficult to provide strong justification for many IT
projects, but everyone agrees they have a high value
“It is better to measure gold roughly than to count pennies
precisely”
For example, estimating the financial value of such projects is
often impossible, but everyone agrees that they have a high
value.
Three important criteria for projects:
There is a need for the project
There are funds available
There’s a strong will to make the project succeed

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Categorizing Projects
One categorization is whether the project addresses:
1. A problem: Problems are undesirable situations that prevent an
organization from achieving its goals. These problems can be current
or anticipated.
2. An opportunity, that are chances to improve the organization.
or
3. directive : new requirements imposed by management,
government, or some external influence.
 Strong requests or orders typically issued by a decision-maker in a business or
organization.
4. Another categorization is how long it will take to do and
when it is needed( time window)
5. Another is the overall priority of the project
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Financial Analysis of Projects
Financial considerations are often an important consideration
in selecting projects
Three primary methods for determining the projected
financial value of projects:
Net present value (NPV) analysis
Return on investment (ROI)
Payback analysis

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Net Present Value Analysis
Net present value (NPV) analysis is a method of calculating
the expected net monetary gain or loss from a project by
discounting all expected future cash inflows and outflows to
the present point in time
Projects with a positive NPV should be considered if financial
value is a key criterion
The higher the NPV, the better

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Net Present Value Example

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JWD Consulting NPV Example

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NPV Calculations
Determine estimated costs and benefits for the life of the
project and the products it produces
Determine the discount rate (check with your organization on
what to use)
Calculate the NPV (see text for details)
Notes: Some organizations consider the investment year as
year 0, while others start in year 1; some people enter costs
as negative numbers, while others do not
Check with your organization for their preferences

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Return on Investment
 Return on investment (ROI) is calculated by subtracting the
project costs from the benefits and then dividing by the
costs
ROI = (total discounted benefits - total discounted costs) /
discounted costs
 The higher the ROI, the better
 Many organizations have a required rate of return or
minimum acceptable rate of return on investment for
projects
 Internal rate of return (IRR) can by calculated by finding the
discount rate that makes the NPV equal to zero

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Payback Analysis
Another important financial consideration is payback analysis
The payback period is the amount of time it will take to
recoup, in the form of net cash inflows, the total dollars
invested in a project
Payback occurs when the net cumulative discounted benefits
equals the costs
Many organizations want IT projects to have a fairly short
payback period

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Charting the Payback Period

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Weighted Scoring Model
 A weighted scoring model is a tool that provides a systematic
process for selecting projects based on many criteria
 Identify criteria important to the project selection process
 Assign weights (percentages) to each criterion so they add up to
100%
 Assign scores to each criterion for each project
 Multiply the scores by the weights and get the total weighted scores
 The higher the weighted score, the better

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Sample Weighted Scoring Model for
Project Selection

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Implementing a Balanced Scorecard
Drs. Robert Kaplan and David Norton developed this
approach to help select and manage projects that align with
business strategy
A balanced scorecard:
Is a methodology that converts an organization’s value drivers,
such as customer service, innovation, operational efficiency, and
financial performance, to a series of defined metrics
See www.balancedscorecard.org for more information

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Balanced Scorecard Example

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Project Charters
After deciding what project to work on, it is important to let
the rest of the organization know
A project charter is a document that formally recognizes the
existence of a project and provides direction on the project’s
objectives and management
Key project stakeholders should sign a project charter to
acknowledge agreement on the need and intent of the
project; a signed charter is a key output of project integration
management

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Project Charters inputs
The following inputs are helpful in developing a project
charter:
1. A project statement of work:
• A statement of work is a document that describes the products
or services to be created by the project team.
• It usually includes a description of the business need for the
project, a summary of the requirements and characteristics of
the products or services, and organizational information, such as
appropriate parts of the strategic plan, showing the alignment of
the project with strategic goals.

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Project Charters inputs
2. A business case
Many projects require a business case to justify their investment.
Information in the business case, such as the project objective, high-
level requirements, and time and cost goals, is included in the project
charter.
3. Agreements:
If you are working on a project under contract for an external
customer, the contract or agreement should include much of the
information needed for creating a good project charter.
Some people might use a contractor agreement in place of a charter;
however, many contracts are difficult to read and can often change, so
it is still a good idea to create a project charter.

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Project Charters inputs
4. Enterprise environmental factors:
These factors include relevant government or industry
standards, the organization’s infrastructure, and marketplace
conditions. Managers should review these factors when
developing a project charter.
5. Organizational process assets:
Organizational process assets include formal and informal
plans, policies, procedures, guidelines, information systems,
financial systems, management systems, lessons learned, and
historical information that can influence a project’s success.

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 Project Charters development tools and
techniques
The main tools and techniques for developing a project
charter are expert judgment and facilitation techniques, such
as brainstorming and meeting management.
Experts from inside and outside the organization should be
consulted when creating a project charter to make sure it is
useful and realistic.
The output of the project charter development is project
charter and assumptions log (i.e., assumptions made
considerations made in developing the project charter.)

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Project Charter Format
Although the format of project charters can vary tremendously, they
should include at least the following basic information:
1. The project’s title and date of authorization
2. A summary schedule, including the planned start and finish dates;
if a summary milestone schedule is available, it should also be
included or referenced
3. A summary of the project’s budget or reference to budgetary documents
4. The project manager’s name and contact information
5. A brief description of the project objectives, including the business need
or other justification for authorizing the project
6. Project success criteria, including project approval requirements and
who signs off on the project

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Project Charter Format…
7. A summary of the planned approach for managing the
project, which should describe stakeholder needs and
expectations, important assumptions, and constraints, and
should refer to related documents, such as a communications
management plan, as available
8. A roles and responsibilities matrix
9. A sign-off section for signatures of key project stakeholders
10. A comments section in which stakeholders can provide
important comments related to the project.

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Project Charter for the DNA-Sequencing
Instrument Completion Project

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Charter (continued)

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Project Management Plans
A project management plan is a document used to coordinate all
project planning documents and help guide a project’s execution and
control
Plans created in the other knowledge areas are subsidiary parts of the
overall project management plan
Project management plans also document project planning assumptions
and decisions regarding choices, facilitate communication among
stakeholders, define the content, extent, and timing of key
management reviews, and provide a baseline for progress
measurement and project control.

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Project Management Plans
 Project management plans should be dynamic, flexible, and
subject to change when the environment or project changes.
These plans should greatly assist the project manager in leading
the project team and assessing project status.
PMP Inputs
 The main inputs for developing a project management plan
include the project charter, outputs from planning processes,
enterprise environment factors, and organizational process assets.
PMP Tools and Techniques
 The main tool and technique is expert judgment, data gathering,
interpersonal and team skills, and meetings.
 The output is a project management plan.

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Common Elements of Project
Management Plan
Introduction or overview of the project
History of the Business
Description of the Business’s current facilities
The descriptions of the problems that triggered the project
Description of how the project is organized
Management and technical processes used on the project
Work to be done, Schedule, and Budget Information

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Elements of PMP(1)
 The introduction or overview of the project should include the
following information at a minimum:

1. The project name: Every project should have a unique name,

which helps distinguish each project and avoids confusion
among related projects.
2. A brief description of the project and the need it addresses: This
description should clearly outline the goals of the project and
reason for it. The description should be written in layperson’s
terms, avoid technical jargon, and include a rough time and cost
estimate.
3. The sponsor’s name: Every project needs a sponsor. Include the
name, title, and contact information of the sponsor in the
introduction.

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Introduction or overview of the project …
4. The names of the project manager and key team members:
The project manager should always be the contact for project
information. Depending on the size and nature of the project,
names of key team members may also be included.
5. Deliverables of the project: This section should briefly list and
describe the products that will be created as part of the project.
Software packages, pieces of hardware, technical reports, and
training materials are examples of deliverables.

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Introduction or overview of the project…
6. A list of important reference materials: Many projects
have a history that precedes them. Listing important
documents or meetings related to a project helps project
stakeholders understand that history.
This section should reference the plans produced for
other knowledge areas.
 Project management plan should reference and
summarize important parts of the scope management,
schedule management, cost management, quality
management, human resource management,
communications management, risk management,
procurement management, and stakeholder management
plans. 45
Introduction or overview of the project…
7. A list of definitions and acronyms, if appropriate:
Many projects, especially IT projects, involve terminology
that is unique to a particular industry or technology.
Providing a list of definitions and acronyms will help
avoid confusion.

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Elements of a PMP(2)…
The description of how the project is organized should
include the following information:
1. Organizational charts: The description should include
an organizational chart for the company sponsoring the
project and for the customer’s company, if the project
is for an external customer.
 Also should also include a project organizational chart
to show the lines of authority, responsibilities, and
communication for the project.

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Description of how the project is organized…
2. Project responsibilities: This section of the project plan
should describe the major project functions and activities
and identify the people responsible for them. A
responsibility assignment matrix is often used to display
this information.
3. Other organizational or process-related information:
Depending on the nature of the project, the team might
need to document major processes they follow on the
project.
For example, if the project involves releasing a major
software upgrade, team members might benefit from
having a diagram or timeline of the major steps involved in
the process. 48
Elements of a PMP(3)…
The section of the project management plan that
describes management and technical approaches
should include the following information:
Management objectives: It is important to understand
top management’s view of the project, the priorities
for the project, and any major assumptions or
constraints.
Project controls: This section describes how to monitor
project progress and handle changes. The section tries
to answer questions such as, Will there be monthly
status reviews and quarterly progress reviews?
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Management and technical processes used…
Risk management: This section briefly addresses how
the project team will identify, manage, and control
risks. This section should refer to the risk management
plan, if one is required for the project.
Project staffing: This section describes the number and
types of people required for the project. It should refer
to the human resource plan, if one is required for the
project.
Technical processes: This section describes specific
methodologies a project might use and explains how to
document information.
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Elements of a PMP(4)…
 The next section of the project management plan should describe
the work needed to perform and reference the scope
management plan. It should include the following:
 Major work packages: A project manager usually organizes the
project work into several work packages using a work breakdown
structure (WBS), and produces a scope statement to describe the
work in more detail. This section should briefly summarize the
main work packages for the project and refer to appropriate
sections of the scope management plan.
 Key deliverables: This section lists and describes the key products
created as part of the project. It should also describe the quality
expectations for the product deliverables.
 Other work-related information: This section highlights key
information related to the work performed on the project.
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Elements of a PMP(5)…
 The project schedule information section should include the following:
 Summary schedule: It is helpful to have a one-page summary of the overall
project schedule. Depending on the project’s size and complexity, the
summary schedule might list only key deliverables and their planned
completion dates. For smaller projects, it might include all of the work and
associated dates for the entire project in a Gantt chart.
 Detailed schedule: This section provides more detailed information about the
project schedule. It should reference the schedule management plan and
discuss dependencies among project activities that could affect the project
schedule. For example, this section might explain that a major part of the
work cannot start until an external agency provides funding. A network
diagram can show these dependencies (see Project Time Management part of
the module).
 Other schedule-related information: Many assumptions are often made when
preparing project schedules. This section should document major assumptions
and highlight other important information related to the project schedule.

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Elements of a PMP(6)…
 The budget section of the project management plan should include the following:
 Summary budget: The summary budget includes the total estimate of the overall
project’s budget. It could also include the budget estimate for each month or year
by certain budget categories. It is important to provide some explanation of what
these numbers mean. For example, is the total budget estimate a firm number
that cannot change, or is it a rough estimate based on projected costs over the
next three years?
 Detailed budget: This section summarizes the contents of the cost management
plan and includes more detailed budget information. For example, what are the
fixed and recurring cost estimates for the project each year? What are the
projected financial benefits of the project? What types of people are needed to do
the work, and how are the labor costs calculated? (See Project Cost Management
chapter, for more information on creating cost estimates and budgets.)
 Other budget-related information: This section documents major assumptions and
highlights other important information related to financial aspects of the project.

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Sample Contents for a Software Project
Management Plan (SPMP)

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Directing And Managing Project Work
It is under the Project Execution of project management
process group.
Project plan execution involves managing and performing
the work described in the project plan
The inputs include PMP, approved change requests,
enterprise environmental factors, and organizational
process assets, project document.
The majority of time and money is usually spent on
execution
The application area or the project directly affects project
execution because the products of the project are produced
during execution
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Important Skills for Project Execution
General management skills like leadership,

communication, and political skills

Product, business, and application area skills and
knowledge
Use of specialized tools and techniques

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Project Execution Tools and Techniques
the tools and techniques used in directing and managing project
includes:
Expert judgment: experts can help project managers and their
teams make many decisions related to project execution
Project management information systems: there are hundreds
of project management software products available on the
market today, and many organizations are moving toward
powerful enterprise project management systems that are
accessible via the Internet
Meetings
The output of this phase includes deliverables, work
performance data, issue log, change requests, PMP updates,
project document updates, organization process assets updates

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Manage Project Knowledge
This is also in project execution phase.
Management of the project knowledge is crucial for
achieving the promised project objectives and further
contributing to future learning and references.
It’s primarily done by using historical existing
organizational data and creating new knowledge.
This mainly it helps in leveraging the organizational
knowledge and improve the project results.
The input includes PMP, project documents,
deliverables, environmental factors and
organizational process assets.
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Manage Project Knowledge…
The tools used expert judgment, knowledge
management, interpersonal and team skill, information
management.
The output of this phase includes lessons learned
register, PMP updates, organizational process assets.

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Monitoring and Controlling Project Work
Changes are inevitable on most projects, so it’s important to
develop and follow a process to monitor and control changes
Monitoring project work includes collecting, measuring, and
disseminating performance information
This process is performed throughout the project lifecycle
and acts as a guide for a PM to insure that the project is on
schedule.
A baseline is the approved project management plan plus
approved changes

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Monitoring and Controlling Project Work
The inputs include PMP, project document, work
performance information, agreement, enterprise
environmental factors, organization process assets.
Tools and techniques
Tools used including expert judgement, data analysis,
decision making, meeting.
The output includes work performance report, change
request, PMP updates and project document updates.

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Integrated Change Control
Integrated change control involves identifying, evaluating,
and managing changes throughout the project life cycle
All the change requests, approved changes, modification of
final deliverables, project documents, PMP, are reviewed
Three main objectives of change control:
Influence the factors that create changes to ensure they are
beneficial
Determine that a change has occurred
Manage actual changes as they occur

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Integrated Change Control…
The inputs include PMP, project document, work
performance reports, change requests, enterprise
environmental factors and organization process assets
Tools used are expert judgment, change control tools,
decision making, meetings, and data analysis.
The output will be PMP updates, approved change
requests, project document updates.

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Change Control on Projects
 Former view: The project team should strive to do exactly what

was planned on time and within budget- Rigid

 Problem: Stakeholders rarely agreed up-front on the project

scope, and time and cost estimates (were inaccurate)

 Modern view: Project management is a process of constant

communication and negotiation- necessitates change

 Solution: Changes are often beneficial, and the project team

should plan for them

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Change Control System
A formal, documented process that describes when and
how official project documents and work may be changed
Describes who is authorized to make changes and how to
make them
Often includes a change control board (CCB), configuration
management, and a process for communicating changes

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Change Control Board (CCB)
A formal group of people responsible for approving or
rejecting changes on a project
Provides guidelines for preparing change requests,
evaluates them, and manages the implementation of
approved changes
Includes stakeholders from the entire organization

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Making Timely Changes
Some CCBs only meet occasionally, so it may take too long for
changes to occur
Some organizations have policies in place for time-sensitive
changes
“48 hour policy” allowed project team members to make
decisions, then they had 48 hours reverse the decision pending
senior management approval
Delegate changes to the lowest level possible, but keep
everyone informed of changes

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Configuration Management
Ensures that the products and their descriptions are correct
and complete
Concentrates on the management of technology by
identifying and controlling the functional and physical design
characteristics of products
Configuration management specialists identify and
document configuration requirements, control changes,
record and report changes, and audit the products to verify
conformance to requirements
See www.icmhq.com for more information

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Suggestions for Performing Integrated
Change Control

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Closing Projects and Phases
To close a project or phase, you must finalize all activities and
transfer the completed or cancelled work to the appropriate
people
Inputs include project charter, PMP, project document and
accepted deliverables.
Other inputs include business documents, agreements,
procurement document and organization process assets.
Tools involved including expert judgement, data analysis and
meetings.
Main outputs include:
Final product, service, or result transition
Organizational process asset updates, final result

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Chapter Summary
Project integration management involves coordinating all
of the other knowledge areas throughout a project’s life
cycle
Main processes include:
Develop project charter
Develop project management plan
Direct and manage project execution
Monitor and control project work
Perform integrated change control
Close the project or phase

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I THANK YOU!

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