Professional Documents
Culture Documents
PMP Preparation
Notes and Terms
This document includes a detailed outline of the essential notes and components
of project management. Notes are based on the Project Management
Institutes Body of Knowledge and my personal experience as a professional
project manager. Also included are practice problems and exercises.
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Bill Lewis
BLT
7/8/2011
Table of Contents
Project Management Flow Charts and Guides ................................................................................................................................. 3
Project Management Steps or Checklist .......................................................................................................................................... 4
Project Management Essentials ....................................................................................................................................................... 5
Section 2 Introduction ................................................................................................................................................................. 5
Section 3 Project Life Cycle and Organization ........................................................................................................................... 5
Section 4 Project Processes and Definitions ............................................................................................................................... 6
Section 5 Managing Scope .......................................................................................................................................................... 7
Section 6 Managing Time............................................................................................................................................................ 8
Section 7 Managing Cost .......................................................................................................................................................... 10
Section 8 Managing Quality...................................................................................................................................................... 11
Section 9 Managing the Project Team ...................................................................................................................................... 12
Section 10 Managing Communications..................................................................................................................................... 13
Section 11 Managing Risk ......................................................................................................................................................... 14
Section 12 Managing Procurement ........................................................................................................................................... 15
Select Sellers Tools & Techniques ............................................................................................................................................ 15
References .................................................................................................................................................................................... 16
Time Management Practice Problems ......................................................................................................................................... 17
Determining the critical path and float or slack .......................................................................................................................... 18
Project Management Knowledge Sheet ........................................................................................................................................ 19
Project Management Tools and Techniques ................................................................................................................................ 21
Project Management Terms ......................................................................................................................................................... 22
The Lewis PMP Study Plan 4 to 8 weeks .................................................................................................................................. 24
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New Project? Is there a valid reason for the project? Does it have a sponsor or champion? Am I authorized to begin
work? If yes, start project managing.
Begin Project Planning
2.
3.
4.
5.
Research the new project. Check records or lessons learned for like projects. What are the basic requirements?
Create or get the Project Charter, Statement of Work and the Business Case. Read and investigate all three.
Identify all the project stakeholders or audience. Create a stakeholder register to track and manage stakeholders.
Finalize the scope statement and begin listing your project activities and creating the work breakdown structure.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
Begin creating your project plan. Communications plan first, then risk, quality and procurement.
Create a resource accountability matrix or a RACI matrix for your human resources.
Complete your network diagram; determine the critical path for your project.
Complete the project plan and definitive cost estimates to a level of -10 to +25% accuracy.
Begin Project Work Project Execution
19. Plan and conduct your project kickoff meeting. Make sure the project sponsor attends.
20. Begin your project work. Follow your project plans and processes.
21. Update all project plans and documents as required.
Monitor and Control Your Project
22.
23.
24.
25.
Begin monitoring cost, quality, risk and schedule using earned value management and quality or risk tools.
Begin executing your communications plan with reporting and updating stakeholders.
Begin documenting lessons learned. All team members should contribute to lessons learned.
Draft team member performance reports as required.
Close Your Project
26.
27.
28.
29.
30.
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Functional
Weak Matrix
Balanced Matrix
Strong Matrix
Projectized
PM authority
Resource Availability
Project Budget
PM Role
Little or None
Little or None
Functional Manager
Part Time
Low to Moderate
Low to Moderate
Mixed
Full Time
Moderate to High
Moderate to High
PM
Full Time
High to Total
High to Total
PM
Full Time
Project Staff
Grouped by
Part Time
Area of
specialization
Request to
departmental
head, then to
other dept. and
back
Silos
Limited
Limited
Functional Manager
Part Time
(Expeditor/coor
dinator)
Part Time
Part Time
mix
Full Time
Full Time
Organized by
project
Within project
Communication
Unique
Two bosses
No home
Functional one clear superior, staff grouped by specialization. The scope of projects is usually limited to boundaries of the
function. Any communication with other functions is done through function leaders.
Projectized- team members are collocated; most of the employees are on projects, Project Manager has a great deal of
independence and authority.
Matrix organization has a blend of functional and projectized characteristics:
Weak maintains many characteristics of the functional organization and the PM role is more of a coordinator or
expediter.
Strong maintains many characteristics of the projectized organization. Can have full time PM with full authority and
a full time staff.
Balanced recognizes PM, but does not give full authority over projects.
PMO The Project Management Office may range from an advisory role or to recommendations of specific policies and
procedures to a formal grant of authority from executive management. PM may report to PMO if it exists.
Section 4 Project Processes and Definitions
Project Management Process Groups according to the Project Management Institute (PMI), they are Initiating, Planning,
Execution, Monitoring & Controlling, and Closing. Another way to group projects is Conceive, Define, Start, Perform,
and Close.
Project Charter the charter is primarily concerned with authorizing the project or phase. It links a project to the ongoing
work of the organization. Approval and funding are handled external to the project boundaries.
Scope Statement contains project and deliverables requirements, product requirements, boundaries of the project, methods
of acceptance and high-level scope control. In a multi-phase project, the process validates the project scope for each
phase.
Rolling Wave Planning progressive detailing of the project management plan is called rolling wave planning, indicating
planning is an interactive and ongoing process. Creates detailed plans for near term activities, less detailed plans for mid
range activities and very general plans for long term activities.
Reasons to start projects Problems, market demands, opportunity, business requirements, customer request, technological
advance, legal requirement, social need.
Project Charter The project charter authorizes a project and gives project manager authority. It is issued by an initiator or
sponsor external to the project organization that has the authority to provide funds. The charter is broad enough that it
does not have to change as the project changes.
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Project Charter Contains: requirements, wants and expectations; business needs; project purpose or justification; assigned
PM and authority level; stakeholder influences; functional organization participation; assumptions & constraints;
business case and return on investment data and a budget summary.
Project Selection Methods
Benefit Measurement Methods (Comparative Approach) include scoring models, benefit contributions, murder board (panel of
people who try to shoot down a new project idea), and a peer review.
Economic Models include benefit cost ratio, cash flow, internal return rate, present value (PV) and net present value (NPV),
opportunity cost, discounted cash flow, and return on investment.
Project Management Plan It defines how the project is executed, monitored and controlled, and closed. The project
management plan can be either summary level or detailed and can be composed of one or more subsidiary plans and other
components. It contains the following management plans:
1. Scope 2.Schedule 3.Cost 4.Quality 5.Risk 6.Communication 7.Procurement 8.Schedule Baseline 9.Process
Improvement Plan 10.Staffing 11.Milestone list 12. Resource Calendar 13.Cost Baseline 14.Quality Baseline 15.Risk
Register 16.Contract 17.Risk Response 18.Change Control
Change Control Board A group of stakeholders responsible for reviewing, approving and rejecting the changes to the
project.
Project Manager has authority to approve some change requests. He is given authority to approve changes in emergency
situations.
Baselines can be established for scope, schedule, cost, quality, resource, or technical performance. Scope baseline includes the
WBS, project scope statement and WBS dictionary. Projects that deviate far from their baselines should have their risk
management process reviewed. Baselines should be changed for all implemented changes. Sometimes, certain
classification of changes gets automatic approval on a project and do not need Change Control Board approval.
Section 5 Managing Scope
Project Scope Management - Processes required defining what work is required and ensuring that the project includes only
that work required to complete the project. It involves managing both product scope and project scope. Scope
management includes the following:
1.
2.
3.
4.
Scope definition: a process to prepare a detailed project scope statement based on preliminary project scope statement.
Create WBS: a process that enables creation of WBS, also establishes how WBS will be maintained and approved.
Scope Verification: how formal verification and acceptance of the completed project deliverables will be obtained.
Scope Control: a process to control changes to the project scope. It is directly linked to integrated change control.
Project Scope Statement: describes in detail the projects deliverables and the work required to create those deliverables.
Provides common understanding of the project scope among all stakeholders and describes the projects major objective.
It also provides the scope baseline.
Scope Statement Contains 1.Project Objectives 2.Product Scope Description 3.Project Requirement 4.Project
Boundaries 5.Project Deliverables 6.Product Acceptance Criteria 7.Constraints 8.Assumptions 9.Initial Project
Organization 10.Initial Identified Risks 11.Schedule Milestones 12.Fund Limitations 13.Cost Estimate 14.Project
Configuration Management Requirements 15.Specifications 16.Approval Requirements
Work Breakdown Structure Is subdividing project deliverables into smaller, more manageable components. It is a
deliverable-oriented grouping of project elements that organizes and defines the total scope of the project. It is a
communication tool and it describes what needs to be done and what skills are required. The WBS is created by the team
(helps to get buy-in) and it is used to make certain that all the work is covered. It provides a basis for estimating the
project and helps to organize the work. Its purpose is to include the total project scope of all the work that must be done
to complete the project.
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The 1st level should be the project life-cycle (not product). The WBS defines the
projects scope baseline. It includes only work needed to create deliverables. The
WBS is then divided further to get work packages.
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Activity Sequencing involves identifying and documenting the logical relationship among the schedule activities.
Precedence Diagram Method (Activity on Arrow): Represents improvement to PERT and Critical Path Method by adding
lag relationships to activities. The most common relationships are Finish to Start (Activity A finishes before B starts)
and Start to Start (Activity A and B start near or at the same time). Work is done during activity. Arrow indicates
dependency.
Dependencies:
Mandatory or Hard logic: Often involve physical or technological limitations (based on the nature of work being
done).
Discretionary: May also be called preferred logic, preferential logic, or soft logic. Soft: desirable and customary
(based on experience). Preferential: preferred or mandated by a customer (also, need of the project sponsor).
Defined by PM team. It is documented so that it can be exploited for schedule compression. All above are based on
past experience.
External: Input needed from another project or source
Bottom Up Estimation Estimation is done for lower level items and then aggregated.
More Tools for Estimating Activity Durations
1. Analogous Estimation is using actual duration of previous similar schedule activity. It is at the project level,
generally given to PM from Management or Sponsor; uses historical information and expert judgment and it is a form
of Top Down estimating.
2.
Parametric Estimation involves using known data or metrics to determine estimates for activities. For example,
using the known rate of work required per square foot or that it cost x dollars per mile to create an estimate.
3.
Three-Point Estimates Program Evaluation and Review Technique (PERT) equals (O + 4M + P)/6 where O is
your Optimistic estimate, M is your Most likely estimate and P is your Pessimistic estimate. Using the formula results
in a weighted average estimate that is more accurate than a simple subjective guess.
4.
Reserve Analysis: Contingency reserve (known unknown) is for remaining risk after risk response planning.
Management reserve (unknown unknown) is any extra amount of funds to be set aside to cover unforeseen risks. Cost
baseline will include the contingency reserve and cost budget will include the management reserve. Contingency
reserve is created as a part of contingency plan and used when identified (residual) risk, as a part of an active
acceptance strategy, occurs.
2.
3.
Critical Path Method Calculates project duration, critical path length, and float. Critical path can have 0 or
negative total float. Uses only one time estimates. Doesnt consider risk as important as cost, so it focuses on
controlling cost and leaving schedule flexible. Uses only PDM (AOA) diagram.
Applying calendars: identifying periods when work is allowed. Project calendar (affects all project activities, like
during snowfall season no work can be planned) and Resource calendar (affects a specific resource or category of
resources, like shift timings or planned vacations).
Schedule Compression Methods occur after activity duration estimating and before finalizing the schedule.
Include Crashing when you are worried about time and not so much about costs. Fast Track activities that are
usually done in sequence are instead done in parallel. Involves increased risk and rework; it is done on discretionary
dependencies. Project managers may consider fast-tracking tasks on the critical path (float = 0) in order to save time.
Re-estimate should be done by reviewing risks.
Float / Slack is free time inside the critical path. A negative slack on the critical path means that the project is behind
schedule. Free Float amount of time a task can be delayed without delaying the early start of its successor. Total
Float is the amount of time that an activity may be delayed from early start without delaying the project finish date.
Schedule Baseline - The original, approved project schedule; should never be changed without an approved change request.
Any approved change should be documented in writing. The baseline should be created at the beginning of the project
and used during the project to gauge (measure) overall project performance, not just schedule.
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Schedule Change Control System Defines procedures for changing the project schedule and includes the documentation,
tracking systems, and approval levels required for authorizing schedule changes; is part of the Integrated Change Control
Process.
Progress Report 50/50, 20/80, 0/100 An activity is considered X percent complete when it begins and gets credit of the
last 100-X percent only when it is completed.
Section 7 Managing Cost
Cost Estimating - Developing an approximation (estimate) of the costs of the resources needed to complete project activities.
Cost Budgeting Aggregating the estimated costs of individual activities or work packages to complete project activities.
Cost Control - Controlling changes to the project budget and influencing the factors that cause cost variance.
Life Cycle Costing Broader view of Project Cost Management, which includes cost of resources needed to complete
schedule activities along with the effect of cost decisions on using, maintaining & supporting the product, service or result
of the project. Life cycle costing together with value engineering can improve decision making and is used to reduce cost
and execution time.
Earned Value Management The process of using actual cost (AC), planned value (PV), and earned value (EV) to determine
both cost or schedule variances using formulas. Planned Budget (PB), Budget at Completion (BAC), and Estimate at
Completion (EAC) are also used in earned value management. The chart shows all six values and the variances in using
sample data.
ROM Accuracy of project estimate will increase as it progresses. The project at
initial stages can have rough order of magnitude (ROM) in the range of 50 to
+100%, later it will narrow to the range of definite estimate, 10 to +15%.
Cost Management Plan Is the action taken by the project manager to track
project costs and all cost variances. Schedule Variance is earned value minus
planned value. Cost Variance is earned value minus actual cost. Schedule
Performance index is earned value divided by planned value. Cost Performance
index is earned value divided by actual cost.
Cost Estimating Tools
Analogous estimating - Also called top-down estimating, means using the actual cost of a previous, similar project. It is given
by management as an expectation. It is less costly and less precise.
Parametric modeling - Mathematical model to predict project costs, for example, per square foot of living space. It uses a
statistical relationship between historical data and other variables to calculate the cost estimate. It can produce higher
levels of accuracy depending on sophistication, resource quantity and cost data.
Bottom-up estimating - Is adding the cost of individual activities or work packages together to get the estimate for a whole
component. It is more accurate and costly.
Reserve Analysis Contingency Reserves are estimates to be used at the discretion of the project manager to deal with
anticipated, but not certain events, called known unknowns. They are managed as a buffer kept at the end of the
network path for that group of activities. As the schedule progresses, reserve is measured by resource consumption by the
schedule activities. Management reserves are there to manage events called unknown unknowns. Since they are not
distributed as budget to the project, they are not used for calculating earned values metrics.
Cost of QualityEquals the cost of quality initiatives in a project like training, audits, etc. The cost of poor quality includes
warranty cost, rework, and claims.
Cost baseline - The cost baseline is a time-phased budget that will be used to measure and monitor cost performance on the
project. It is shown as an S curve. The difference between maximum funding and the end of the cost baseline is
Management Reserve in the S curve.
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Project tasks completion rules 50-50 rule. 50% is considered planned value as soon as the project starts. The other 50%
isnt charged until project completion. Other methods include 0-100 rule (no credit until completion) and 20-80 rule
(20% at start, the other 80% at completion).
Learning Curve - Mathematically models the intuitive notion that the more times we do something, the faster and perhaps
better we will be able to perform
Types of project costs Variable costs rise directly with the size and scope of the project. Fixed costs do not change; nonrecurring (e.g. project setup costs). Direct costs are incurred directly by a specific project, i.e., project training for the
project team. Indirect costs are part of the overall organization's cost of doing business and are shared by all projects.
These costs are usually computed as a percentage of the direct costs. Other indirect costs include general and
administrative costs which are allocated to the project by the project team as a cost of doing business.
Section 8 Managing Quality
Quality Planningidentifying which quality standards are relevant to the project and determining how to satisfy them.
Although it usually occurs during planning phase, it can occur during execution if there is a change.
Quality Assurance - applying the planned, systematic quality activities to ensure that the project employs all processes needed
to meet requirements (e.g. evaluating overall project performance regularly).
Quality Control - monitoring specific project results to determine whether they comply with relevant quality standards and
identifying ways to eliminate causes of unsatisfactory performance.
Project Quality Management - the processes, procedures and policies required and followed to ensure that the project will
satisfy the needs for which it was undertaken.
Quality - the degree to which a set of inherent characteristics fulfills requirements. Quality is planned, designed and built in.
It is not inspected in.
Gradea category assigned to products or services having the same functional use but different technical characteristics (a
limited number of features). Low Grade is not a problem - low quality (many bugs) is a problem.
Precision consistency is a value of repeated measurements. For example, a tight shot group not in the center of the target is
precise. Accuracy is a measure of correctness or on target. For example, shots all in the bulls eye of the target.
Quality Planning - Key inputs are quality policy, rules, government regulations, procedures, scope statement, etc. The project
scope statement provides information on major project deliverables, project objectives, requirements, thresholds and
acceptance criteria. If thresholds are exceeded it will require action from the project management team. Acceptance
criteria include performance requirements and essential conditions that must be achieved before project deliverables are
accepted. The result of deliverables satisfying all acceptance criteria implies that the needs of the customer have been
met and further formal acceptance during scope verification validates that the acceptance criteria have been satisfied.
Tools of Quality Planning
1.
2.
3.
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Flow charts help analyze how problems occur. A flow chart is a diagramming technique that shows how various
elements of a system are interrelated. They include boxes or nodes, arrows indicating flow, and diamonds for decision
points.
Histograms are bar charts showing a distribution of variables. They help identify the cause of problems in a process by
the shape and width of the distribution. Pareto Diagram is a type of histogram in which ordered frequency of occurrence
indicates which item to take corrective on. Used to identify and evaluate non-conformance.
Run charts show the history and pattern of variation. It is a line graph that shows data points plotted in the order in which
they occur (over time). Trend analysis involves using mathematical techniques to forecast future outcomes based on
historical results.
Statistical sampling involves choosing part of a population of interest for inspection. Appropriate sampling can reduce
cost of quality.
Inspections are also called reviews, product reviews, audits, and walkthroughs. It is the examination of a work product to
determine whether it conforms to standards. It is also used to validate defect repairs.
Gold Plating is giving customers extras, performance, or goods beyond the stated scope. It is not recommended.
Six Sigma is a term or value used to indicate levels of quality. Three common levels of sigma are +/-1 which is 68.26%.
+/-2 which is 95%, and +/-3 which is 99.73. 3 sigma represents 2700 defects per million. 6 sigma is a value of
99.99996% and represents a value of 3.4 defects per million.
Section 9 Managing the Project Team
Managing the project team includes selecting or negotiating for team members, developing, and managing team
members. Once team members have been selected, a matrix is used to indicate roles and responsibilities for the
project team. Three basic methods can be used.
1.
2.
3.
RAM or Responsibility Assignment Matrix can be created for phases or different areas of responsibility.
RACI or (Responsible, Accountable, Consult and Inform) matrix shows who does what and what role they play in
various parts of the project. Are they accountable or responsible; do they need to be consulted with, or just kept
informed.
Text oriented may be more detailed. It can include responsibilities, authority, competencies, and qualifications.
Develop Project Team includes observation, training, assigning the right tasks, holding team members accountable,
providing feedback and rewarding performance, all to enhance overall project performance.
Manage Project Team involves tracking team member performance, providing feedback, resolving issues and
coordinating changes to enhance project performance.
Kickoff Meeting is a meeting conducted to officially start a project. Project team and stakeholders should attend. It should
answer the questions: Why am I here? Who are you and what are your expectations of me? What is this team going to
do? How is the team going to do this work? How do I fit into all this?
Components and documents from managing the project team include project organization charts, positions and staff
procedures; ground rules, conflict management techniques and recognitions; procedures for virtual teams, co-location,
training and team building; special skills and competencies of team members discovered.
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Project risks are uncertain events or conditions that, if they occur, have a positive or a
negative effect on a project.
A risk has a cause and, if it occurs, a consequence. Risk identification is an iterative
process. The objective is to decrease the probability and impact of negative events,
while increasing the probability of positive risk. Risk management includes six steps.
1.
2.
3.
4.
5.
6.
Risk Management Planning is deciding on how to approach, plan and execute risk management activities for a project.
Risk Identification is determining which risks can affect the project and documenting their characteristics.
Qualitative Risk Analysis is prioritizing risks for subsequent further analysis or action by assessing and combining their
probability of occurrence and impact.
Quantitative Risk Analysis is numerically analyzing the effect of identified risks on overall project objectives.
Risk Response Planning is developing options and actions to enhance opportunities and reduce threats to project
objectives.
Risk Monitoring and Control is tracking identified risks, monitoring residual risks, identifying new risks, executing risk
response plans and evaluating their effectiveness through the project life cycle.
Risk Types include business risk which can be both gains and losses and pure risks which can only represent a loss.
Risk Matrix a matrix created to establish the levels or metrics used to determine impact or consequences and the likelihood
or probability of a risk happening.
Attitude about Risk should be understood and communicated. Communication about risk should be honest and open. Risk
response reflects an organizations perceived balance between risk taking and risk avoidance. Someone who does not
want to take risks is said to be Risk Averse.
Tolerance and Threshold Tolerances are areas of risk that are acceptable or unacceptable. A threshold is the amount of risk
that is acceptable. You use this information to help assign levels of risk on each work package.
Risk Register should include
1. List of identified risks (including root causes and
assumptions)
2. List of potential responses
3. Root Causes of Risks
4. Updated risk categories
5. Relative ranking or priority list of project risks
6. Risks grouped by categories
7. List of risks requiring response in the near term
8. Watch list of low priority risks
9. Probabilistic analysis of the project: typically
expressed as a cumulative distribution, this is
used with stakeholder risk tolerances to permit
quantification of the cost and time contingency
reserves
10. Probability of achieving cost and time objectives
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Risk Response Planning Techniques include strategies for both negative and positive risks.
Strategies for Negative Risks or Threats
Avoidance includes eliminating the threat posed by an adverse risk. Can be done by changing the project plan or
protecting project objectives from its impact. Also done by relaxing time, cost, scope, and quality or cutting scope.
Mitigation or reducing the expected monetary value (EMV) by reducing probability or impact. Float or slack can be used
to mitigate potential risks. Reduces the probability or impact of an adverse risk. Adopting less complex processes,
conducting more tests, stable supplier.
Transferring risks deflects or shares the risk. It doesnt eliminate a risk, but shifts the negative impact of a threat to a
third party, e.g., insurance, performance bonds, warranties, guarantees, etc.
Weighting SystemAssigning a numeric weight to each criteria; rating and selecting sellers based on total weight
Independent EstimatesCalled Should-Cost, prepared by the procuring organization.
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Contract Administrationensures the seller meets the performance requirements of the contract. Because of legal
considerations many organizations treat contract administration as a separate administrative function from the project
organization. Contract administration includes application of the appropriate project management processes to the
contractual relationships(s) and integration of the outputs from these processes into overall management of the project.
Contract administration also has a financial management component. Payment terms should be defined within the contract and
must involve a specific linkage between seller progress made and seller compensation paid.
Claims Administrationcontested charges (claims, disputes, or appeals) are those where buyer and seller cannot agree. If
both parties do not resolve a claim it is handled according to the resolution procedures established in the contract.
Contract clauses can involve arbitration or litigation and can be invoked prior or after contract closure.
Contract types include Fixed Price, Cost-Reimbursable, Time & Material
References
Cooke, Helen S. and Karen Tate. The McGraw Hill 36-Hour Project Management Course. New York: McGraw-Hill, 2005.
Greer, Michael. The Manager's Pocket Guide to Project Management. Amherst, MA: HRD Press, 1999.
Greer, Michael. The Project Manager's Partner: A Step-by-Step Guide to Project Management. Amherst, MA: HRD Press,
1996.
Phillips, Joseph. CAPM / PMP Project Management Certification Exam Guide. New York: McGraw-Hill, 2007.
Portny, Stanley E. Project Management for Dummies. Hoboken, NJ: Wiley Publishing Inc, 2007.
Project Management Institute. A Guide to the Project Management Body of Knowledge (PMBOK Guide) (4th edition).
Newtown Square, PA: Project Management Institute, 2008.
Project Management Institute. Principles of Project Management. Sylva, NC: Project Management Institute, 1997.
Pritchard, Carl. Risk Management. Arlington, VA: ESI International, 2001.
Tobis, Irene and Michael Tobis. Managing Multiple Projects. New York: McGraw-Hill, 2002.
Ward J. Leroy. Project Management Terms. Arlington, VA: ESI International, 2000.
Whitten, Neal. Neal Whittens No-Nonsense Advice for Successful Projects. Vienna, VA: Management Concepts, 2005.
Whitten, Neal. Lets Talk. Vienna, VA: Management Concepts, 2007.
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Determine the critical path for the diagram and float for each activity.
2.
The critical path is 42 days. A near critical path is 38 days. The other path in the project is 21 days. An
activity in the 21 day path is going to be 10 days late. How does this affect your project?
3.
4.
What is the critical path if both paths on the project are 34 days?
Determine the critical path for the diagram and float for each activity.
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5.
Complete a forward and backward pass to determine the critical path and float for this network diagram?
5d
Stain Cabinets
Float
1d
Install Appliances
Float
7d
Start
Install Cabinets
Float
Finish
4d
Install Drywall
Float
4d
Install Bathroom
Float
3.
4.
5.
Draw nodes with early start, early finish, late start and late finish data. Insure nodes have names or titles and a
duration value.
Complete a forward pass through the network diagram. Start with 0 (zero) and add the duration of the node to
determine the first early finish date. Carry the EF date over to the next node and repeat the process. Use the same
process for all nodes in all paths.
Complete a backward path by using the largest value EF (early finish) date as the LF (late finish) date for each path in
the diagram. Subtract the task duration from the LF date to get the LS (late start) date for each node.
For merging paths use the following rule. Going forward take the largest value as the ES. Going backward take the
smallest value as the LF
To calculate float or slack either subtract the EF from the LF or subtract the ES from the LS. Both result in the float.
Float applies to just one node. It is not cumulative. If float is used then re-calculations must be done.
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Knowledge
Earned Value
Planned Value
Formula /
Explanation
BAC * %complete
Cost Variance
PV = % complete of
where project should be
CV = EV - AC
Schedule Variance
SV = EV - PV
CPI = EV / AC
SPI = EV / PV
Estimate at Completion
Estimate to Complete
EAC = AC / %
complete or BAC / CPI
ETC = EAC - AC
Budget at Completion
Total of all PV
Variance at Completion
Communications Channels
(N (N-1)) / 2
(P + 4ml + O) / 6
Probability * Impact
FV = PV(1 + I)n
Notes
(P - 0) / 6
May need to subtract
cost from total
Money today is worth
more than money
tomorrow
The greater NPV is the
best project to choose
6S = 99.99 3S = 99.73
2S = 95.46 1S = 68.26
LS - ES or LF - EF
I P E M/C C
2 20 8 10 2
I S T C Q HR Cm R P
656 33 4564
ERCPR
Expert, Reward,
Coercive, Positional,
Referent
FSNPA
Forming, Storming,
Norming, Performing,
Adjourning
Maslow
Hierarchy of Need
Herzberg
Hygiene and
Motivation
Theory X and Y
Theory of Needs
McGregor
McClelland
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ES Name EF
LS Float
LF
Used to calculate float
and determine critical
path
PM Process Groups
& #s
PM Knowlwdge
Areas
PM Power Types
Physiological, Safety,
Social, Esteem, Self
Actualization
X is bad Y is good
Achievement,
Ouchi
Theory Z
Expectancy Theory
P D CA
PS F C S W C
Cost of Quality
7 Tools of Quality
Communications Facts
RACI and RAM
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Affiliation, Power,
Idea of lifetime
employment
Vroom
Deming
Pareto Diagrams,
Histograms, Scatter
Diagrams
Non-verbal = 55% of
communications
RAM = Responsibility
Assignment Matrix
Definitive is also
Bottom-up estimate
Organizational Theories
Reserve Analysis
Expert Judgment
RACI Diagram
Brainstorming
Activity on Node
Activity on Arrow
Run Charts
Decomposition
Crashing
Control Charts
Fast Tracking
Pareto Diagrams
Variance Analysis
Schedule Optimization
Histograms
Audits
Scatter Diagrams
Forecasting
Statistical Sampling
Resource Leveling
Prototypes
Checklists
Analogous Estimating
Templates
Interviewing
Parametric Estimating
Negotiation
Delphi Technique
Bottom up Estimating
What if Scenarios
Q-Sorting
Weighted Charts
PERT Estimates
Performance reviews
Focus Groups
Progressive Elaboration
Co-location
Facilitated Workshops
Ground Rules
Criteria Polling
Resource Calendars
Affinity Diagrams
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Affinity Diagrams
Mind Mapping
Code of Accounts
8/80 rule
Activity List
Milestone
Activity Dependencies
Leads and Lags
Project Resources
Precedence relationships
Hard and Soft Logic
Mandatory vs. Discretionary
Estimating Techniques
Analogous
Parametric
Definitive or bottom up
Three Point Estimate
PERT Estimate
Resource Calendars
Schedule Baseline
Forward & Backward Pass
Critical Path
Near Critical Path
Float or Slack
Schedule Optimization
Crashing
Fast Tracking
Critical Chain Method
Resource Leveling
S-Curve
Reserve Analysis
50/50 rule
Fund Limit Reconciliation
Cost of Quality
Quality Tools
Benchmarking
Flowcharting
Cause and Effect Diagram
Checklists
Scatter Diagram
Pareto Diagram
Histogram
Control Charts
Statistical Sampling
Rule of Seven
Point of Instability UCL / LCL
Communications Plan
Communications Model
Communications Channels
Communication 90% Nonverbal 55%
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Issue Log
Privity
Warranty
Breach of Contract
Types of Breaches
Force Majeure
Close Procurements
Negotiated Settlements
Contract Evaluation
Lessons Learned
Closeout Meetings
Celebration / Rewards
HR Theories
Maslow - H of Needs
Herzberg - H & M
McClelland A, A, P
McGregor X & Y
Ouchi - Theory Z
Vrooms Expectancy Theory
Parkinson's law expand to fill
Types of Power
Coercive, Referent.
Expert, Reward, Formal
2.
3.
4.
5.
6.
7.
Read the PMBOK 2-3 hours (must purchase PMBOK 4th edition)
a. Joining PMI will get you an PDF version of the PMBOK
b. Read the Lessons Learned from others who have passed the PMP
c. Read Changes in 4th edition of the PMBOK
d. Read About the PMP Exam
e. Read PDF Tips for the Worried test Taker
f. Read PDF Tips on Passing the Exam
Read and Study (your choice) of PMP Prep guide and other notes 15 hours
a. Rita Mulcahy, PMP Exam Prep 6th edition
b. Phillips CAPM / PMP Certification 2nd edition
c. Head First PMP 2nd edition
d. Answer the questions at the end of each chapter -10 hours
i. Re-take end of chapter tests until you miss less than 4 per 20
e. Read selected notes and study guides 4 hours
i. Project Management Essentials notes V1
ii. PMP Comprehensive Notes
iii. PM Things to Know
iv. Project Management Essentials Chart
Take a 200 question PMP practice pre-test 4 hours (PMP 400 Practice Tests)
a. Take two more 200 question practice test under simulation test conditions 8 hours
b. Take one last 200 question practice test 4 hours
c. Practice test goal is to score 75%-80% or higher on last two tests
Memorize the cost, communications and other formulas 4 hours
a. Use PM Knowledge Sheet
b. Use PM Management Matrix and matrix practice forms as needed
Memorize / learn the 42 process groups and the inputs, tools and outputs to each 4 hours
a. Review PM ITTO Process Order PowerPoint deck
Plan on one week to review problem areas and refresh memorization 8-10 hours
a. Use Project Management Study Questions as needed
b. Use Time Management Problems v2 as needed
c. Re-Read PDF Tips for the Worried test Taker
d. Re-Read PDF Tips on Passing the Exam
Listen to the PMP Audios on each knowledge area 9 hours (not included in PMP kit)
a. Portable PMP Exam Prep (ESI) 4th edition available from Amazon -$150
Bill Lewis
BLT
Email - wlewis55@comcast.net
Web site www.billlewistraining.com
Mobile 913 226 3652
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