Organizational Structures and Project Management Concepts, Exams of Advanced Education

Download Organizational Structures and Project Management Concepts and more Exams Advanced Education in PDF only on Docsity! APM PMQ Exam 7th Ed Correct Questions & Answers(GRADED A) (1) Functional Organisation Structure - ANSWER - Functional teams - Primarily BAU/Deparmental Projects - Common for orgs providing std products (e.g. manuf.) (1) Functional Organisation Structure Advantages - ANSWER - Staff gain technical expertise - Good functional problem solving - Peer learning straight forward - Job Security - Clear career progression (1) Functional Organisation Structure Disadvantages - ANSWER - Corporate projects become difficult due to "Siloed" nature - Functions prioritise their own functions work over others - inward looking - Remote from customer (1) Matrix Organisation Structure - ANSWER - Still may have functional teams - but temporary functional teams created for projects - Draw staff from permanent functional postings - Typical for orgs that have frequent change initiatives + BAU (1) Matrix Organisation Structure Advantages - ANSWER - Shared resources between projects - PM is single POC - Consistent methods and rules for project governance - Access to additional SQEP if required (1) Matrix Organisation Structure Disadvantages - ANSWER - Complex Communication - Due reporting lines (PM and Line manager) - Disproportionate of time reporting rather than producing - Resource conflicts and divided loyalties - Overloaded team members - Recourses need to be negotiated - Preference may be ring-fenced, internal (functional) (1) Organisational Breakdown Strucutre (OBS) - ANSWER - Describes the structure of the delivering organisation that can then be matched to work-packages in the WBS - Combining a WBS and OBS can inform a RAM (Responsiblity Asignment Matrix) (1) Responsibility Assignment Martix (RAM) - ANSWER - Defines boundaries of cross- functional teams - Derived from WBS and OBS - May be required, or similar, for RFP, etc response - May be called a RACI matrix (1) Project Manager Responsibilites - ANSWER Manage project to ensure succesful delivery 1. planning what work needs to be done, when and who's going to do it; 2. looking at the risks involved in a particular project and managing these risks; 3. making sure the work is done to the right standard; 4. motivating the team of people involved in the project; 5. co-ordinating work done by different people; 6. making sure the project is running on time and to budget; 7. dealing with changes to the project as and when necessary; 8. making sure the project delivers the expected outcomes and benefits; (1) PM vs Project Sponsor - ANSWER 1. Sponsor owns business case, whereas PM contribute to business case but is mainly responsible for delivery of its stated outputs (which are capable of achieving its stated benefits) 2. Sponsor focussed on realising benefits, whereas project manager focuses on the delivery of the project outputs. 3. Sponsor champions & supports the project, whereas PM responsible for managing the project 4. Sponsor reports to corporate management, whereas PM reports to Sponsor and Project Board (1) Project Sponsor Responsibilities - ANSWER 1. Business leader and decision maker. 2. Primary risk taker. 3. Able to work across functional boundaries. 4. Project champion. 5. Must have, and be prepared to commit time. 6. Enough experience to see that project is managed efficiently. 7. Maintains a continuous dialogue with PM. 8. Capable of addressing stakeholder interests. 9. Responsible for benefits identification and realisation. 10. Owns the business case. 11. Provides the funding. 12. Reports to corporate management (1) Governanace Layers - ANSWER 1. corporate (vision, mission, strategy); 2. BAU (operations); 3. Business Change (projects, programmes). (1) Governanance Benefits - ANSWER 1. Link to strategic direction: for projects/programmes/portfolios 2. Clear ownership & leadership, using RACI. 3. Effective stakeholder engagement, through clear accountability, use of stakeholder analysis. 4. Project & risk management through use of policies & procedures. 5. Consideration of long term value through linking to strategy. 6. Can be audited, giving management team assurance, and ability to correct & improve. 7. standardises methods of working 8. clarifies roles and increases efficiency 9. ensures conformance to standards and policies, facilitates full disclosure and reporting. (1) Project Methodologies - ANSWER - support good governance - provide structure - processes - rules - templates (1) Project Methodologies Benefits - ANSWER - can be audited - standard processes & terminology easier to understand & communicate about - enables training & project champions - selling point (2) Linear Project Lifecycle - ANSWER 1. Concept 2. Definition 3. Deployment 4. Transition Sequential stages: Suitable for more structured projects (2) Extended Projct Lifecycle - ANSWER 1. Concept 2. Definition 3. Deployment 4. Transition 5. Adoption 6. Benefits Realisation These run in parallel with first part of Operations/BAU stage. (2) Iterative Project Lifecycle - ANSWER 1. Pre-project 2. Feasibility & Foundations 3. Evolutionary development 4. Deployment 5. Post-project Life cycles composed of several iterations, which repeat one or more of the phases before proceeding to the next one. Iterative approaches can only proceed when user feedback is available to be used as the basis for initiating new cycles of development, refinement and improvement. Beneficial for evolving objectives or solutions. (2) Hybrid Project Lifecycles - ANSWER Typically fuse together elements to create a new model or approach. For example, utilising iterative or agile methods for early requirements gathering, where the uncertainty is greatest, and following it up with incremental or sequential processes to formalise deployment. (2) Incremental Project Lifecycle - ANSWER A lifecycle where the target state is achieved through a staged series of smaller changes. (2) Evoloutionary Project Lifecycle - ANSWER A lifecycle where deployment entails a number of major transitions, each based on user feedback from the preceding (2) Why are projects structured as phases in a linear life cycle? - ANSWER 1. Appropriate focus on the work which is current. 2. Enables high level planning first, then detailed planning for each stage when more is known. 2. Helps resource allocation across the project. 3. Facilitates management control by reviews of each phase. 4. Enables payment by stages. (2) Project Lifecycle vs Extended - ANSWER A project life cycle contains the phases up to handover and closure, whereas an extended life cycle goes beyond the handover and closure phase encompassing the benefits realisation phase. Within the project life cycle accountability for the output is handed over to the end user or client, whereas in the extended life cycle accountability for adoption of the output stays within the project until the change is fully embedded. (2) Decision Gates - ANSWER 1. Determines whether project should proceed or not; major decision point for senior management; decisions are: approve continuation of the project, refocus the project or cancel it. 2. Funding next stage agreed. By breaking down project into stages, funding commitment is only made in smaller amounts, limits risk 3. Assurance that project is on track and next stage ready to start. (2) Audits - ANSWER Undertaken by group outside the project team, e.g. Project Office, Internal auditors, External auditors 1. Used to provide objective evaluation and assessment of the management of the project 2. provides assurance that project is being managed well, enables corrective action & lessons learned for future projects. (2) Post Project Review - ANSWER Part of handover, before closeout 1. Used to assess "did we do it right?" 2. Evaluate against success criteria; determines what went well, what went badly, what could be done differently, inc. processes and any tools or techniques used, for lessons learned 3. Recognises individual and team performances; and gives the opportunity to celebrate the project's success. (2) Benefits Realisation Review - ANSWER Undertaken some time after the products are in use; perhaps more than one; responsibility of the sponsor 1. Encourages users to engage with outputs and realise expected outcomes 2. Confirms whether the planned benefits & any unexpected benefits been realised; prompts corrective action if not. 3. Identifies any problems caused by the new products; so these may be addressed and lessons learned. (2) Reasons for Early Project Closure - ANSWER 1. Major issues encountered: 2. External environment changed: 3. Funds withdrawn / no longer aligned to business strategy: 4. Business case invalid (3) Projects vs BAU - ANSWER Projects: 1. Temporary, time-bounded, have start & end points. 2. Unique, or have elements of uniqueness. 3. Deliver outputs, which typically bring about change in the organisation or for customers. 4. Capital funded. 5. Project teams are temporary, and typically draw on a range of specialist skills. 6. Risk aware, but mitigate only high priority risks, accept others. BAU: 1. Repetitive operations, not unique. 2. Use process management techniques to maximise efficiency of repetitive tasks. 3. Use the outputs from projects to deliver outcomes and benefits. 4. Revenue funded. 5. Use a limited range of functional skills. 6. Risk averse, aim to minimise risks. Techniques: 3. Collaborative (win-win, principled approach) 4. Competitive (win-lose, positional) negotiation. (4) Negotiation Steps - ANSWER 1. Preparation/planning: - Understand the issue/problem; study relevant material, define own objectives/priorities - Use BATNA and ZOPA for this. - Decide negotiating roles (negotiator, observer, note taker); - Plan strategy inc. opening position & whether can walk away; and anticipate other side's strategy. 2. Discussion. 3. Proposals. Both parties state their ideal position. 4. Bargaining/trading. Each party suggests compromise position, evaluates offers. 5. Agreement. Agreement should be sought on the basis of a win-win if possible. The agreement should be documented. (4) BATNA (Best Alternative to a Negotiated Agreement) - ANSWER This is other alternative approach to problem if no deal reached. (4) ZOPA (Zone of Possible Agreement) - ANSWER Range of acceptable pricing which each party is prepared to accept, if these overlap a deal can be reached. (5) Maslow's Hierarchy of Needs: - ANSWER * Hierarchy - basic physical needs, safety & security, companionship & belonging, achievement & recognition, self actualisation. * Helps leader identify which level of need the team member is seeking to address (5) MacGregor Types of Management Theory - ANSWER Theory X: staff are basically lazy, avoid responsibility and therefore need coercion/control. 'Rational economic man'. Theory Y: staff like working, accept responsibility and need space to develop imagination & ingenuity. 'Self actualising man'. (5) Herzberg's 'Hygiene-Motivation' Theory - ANSWER * Motivators (Intrinsic factors) are Achievement, Recognition, Work content, Responsibility, Advancement, Personal growth; * Hygiene Factors (Extrinsic) are Company policy & administration, Supervision/management, Working conditions, Interpersonal relationships, Salary & status, Job security, Personal life. * A good leader would be able to address both hygiene factors & motivators for the individual. (5) Leadership Qualities - ANSWER - Honesty - Ability to delegate - Ability to communicate - Sense of humour - Confidence - Commitment - Positive Attitude - Creativity - Ability to inspire - Intuition. (5) Reasons to change leadership style - ANSWER 1. Team development 2. Work content 3. New team members 4. New issues. (5) Leadership Styles - ANSWER Important to match style to maturity of follower: Telling/Selling/Participating/Delegating S1 - Telling style - High Task, Low Relationship, links to M1; S2 - Selling style - High Task, High Relationship, links to M2; S3 - Participating style - Low Task, High Relationship, links to M3; S4 - Delegating style - Low Task, Low Relationship, links to M4. (5) Characteristics of effective teams - ANSWER - Clear roles and responsibilities - Trust, open communication. (5) Benefits of teams - ANSWER - Sense of purpose, - Good problem solving, - Increased productivity (5) Leadership Impact with Virtual Teams - ANSWER 1. Building trust can take longer with a virtual team; the leader will need to be aware of this and coordinate activities to help develop the trust. 2. Culture can be different across a virtual team; the leader will need to instil the right behaviours dealing with the various cultures as necessary. 3. Different languages & time zones can present obstacles to communication (5) Belbin Roles - ANSWER - Plant - Resource Investigator - Co-ordinator/Chair - Shaper - Monitor Evaluator - Team Worker - Implementer - Completer/Finisher - Specialist (5) Belbin - ANSWER - Understanding the roles played by each team member helps the leader to decide on the balanced makeup of the team, making it efficient. - There is no 'best' team role; everyone has a 'preferred' team role & a 'secondary' team role they assume when the team requires them to - Everyone has a role (or roles) they should try to avoid. (5) Tuckman - ANSWER - Stages - Forming, Storming, Norming, Performing, Adjourning (Mourning) - By recognising how a project team may take time to mature into a performing team, the leader can accelerate the process by instigating team development activities (5) Margerison McCann - ANSWER The Team Management Profile is a psychometric tool used in personal and team development. Explores how an individual at work prefers to: Relate to others, Gather and use information, Make decisions, Organize themselves and others. Role preferences: 1. Reporter-Adviser - Enjoys giving and gathering information. 2. Creator-Innovator - Likes to come up with new ideas and different approaches to tasks. etc. Similar to Belbin's team roles. The fundamental assumption for both is that certain people prefer certain roles, and a well-balanced team has representation from a variety of preference types. (5) Myers Briggs - ANSWER Four key dimensions that could be used to categorize people: - Introversion vs. Extraversion; - Sensing vs. Intuition; - Thinking vs. Feeling; - Judging vs. Perceiving Each dimensions was described as an either/or choice between two styles of being. Described as a "preference" and proposed that any individual should be able to identify a preferred style on each of the four dimensions. The sum of a person's four preferred styles becomes their personality type. (5) Hackman and Oldham's Job Characteristics Model - ANSWER Theory based on the idea that a task in itself is the key to the employee's motivation. The theory specifies five job characteristics that are predicted to benefit individuals' psychological state and job results. - Skill variety - Task identity NPV is the adjusted value of the cash flow return after this discount. It shows that money received in the future is not worth as much as an equal amount received today. Assumes fixed interest rates. Inflation could also be factored in. Benefits: Easy to use, takes into account value of money across time. Limitations: Assumes fixed interest rates. (6) Internal Rate of Return (IRR) - ANSWER A technique similar to Net Present Value, however it focuses on finding the discount value that will return a Net Present Value of zero. Calculates NPV using range of possible interest rates, to establish rate at which NPV is 0, which is the IRR. The higher this is, the better the project. Organisations set a 'hurdle rate' which IRR must exceed. Benefit: Takes into account value of money across time and allows easy comparison of different projects. Limitations: Assumes fixed interest rates. (6) Information Management - ANSWER Collection, storage, curation, dissemination, archiving, destruction of information sources. (6) Information Types - ANSWER 1. Written, formal & informal; paper & digital 2. Oral, formal& informal 3. Video & images Reports: presenting information in appropriate format; written or verbal. (6) Information Management Steps - ANSWER Steps: 1. Collection 2. Storage (think backups, how long to keep, etc) 3. Curation (version control) 4. Dissemination (turning into knowledge) 5. Archiving (legal reasons to keep, how long, where) 6. Destruction (6) Information Management in Lifecycles - ANSWER 1. Concept: information flow mainly between sponsor, PM, project team, a few key stakeholders (e.g. requirements, success criteria, context, stakeholder map) 2. Definition: Involves same people. Refining documents, compiling project management plan, holding planning & workshops, progress meetings; documenting these. 3. Deployment: involves delivery teams. progress meetings held. Generate statements of work, work packages, contracts. Report to Steering group meetings. Issue and risk reports. 4. Transition: project output reports, acceptance sign off (users), lessons learned, closure reports. (6) Information Flows - ANSWER Sponsor <> PM <> project team <> etc... Communication format must be appropriate e.g. written report / oral. (6) Factors to Report for Successful Projects - ANSWER - Performance against Time, Cost & Quality (iron triangle) are key. - Scope changes - Risks & issues. - Progress against the schedule - Project actual spend against the planned spend - Earned Value (EV) reporting is useful for Time & Cost (6.15). Quality may be reported by test & inspection reports. - Milestones are useful as key times when reports are expected, and decisions need to be made. - Good project communications (6) Information Sources - ANSWER Project team: progress, issues, risks, quality reporting PM: work instructions, progress reports Stakeholders: requirements, risks, issues (6) Progress Reports - ANSWER Team > PM, PM > sponsor/steering group: - Reporting period covered - Work completed - Risks - Issues - Problems - Work to be done in next period - Updated budget & schedule. (6) Project Management Plan (PMP) - ANSWER - Output of definition stage of project (whereas business case is output of concept stage). - Collection of plans & strategies that describe project objectives & how project will be managed. . - Produced by PM and project team; agreed between PM and Sponsor; form their contract & basis for decisions. - Describes project objectives and how project will be managed. (6) Deployment Baseline - ANSWER - Details requirements, scope, quality, resourced schedule, allowances for risks and associated cost and is approved with the project manager. - Used as a baseline for monitoring & control, reviewed when changes requested, a. Linear life cycle: the deployment baseline is developed with a focus on fully developed scope and quality. b. Iterative life cycle: the deployment baseline is developed based on the resources and schedule available to the project. - Before confirmed, review WBS and Business Case assumptions; a project professional may carry out an integrated baseline review. (6) Project Management Plan (PMP) Importance - ANSWER PMP Importance 1. It is shared with stakeholders & communicates expectations for how the project will work. 2. It forms an agreement between the PM and Sponsor for how the project will be delivered. 3. Is used as a basis for decisions about the project. e.g. when changes requested. 4. It forms a basis for monitoring & controlling the project. 5. Reference point for newcomers to project. (6) Project Management Plan Contents - ANSWER What: requirements, scope, PBS, WBS, SOW (statement of work), WBS dictionary Why: Business Case When: Schedule How: strategies & plans to manage risk, quality, health & safety, change control, stakeholders, communication, configuration management. How much: budget plan How good: quality requirements, acceptance criteria Where: locations detailed (6) Estimating - ANSWER Use of tools & techniques to forecast probable time & cost of completing work. (6) Estimating Funnel - ANSWER Represents the increasing level of accuracy which can be achieved through phases of lifecycle. Allow contingency for increases, feed revised estimates into decision-gates. Subjective / ball-park estimates initially in concept phase. (6) Analogous Estimating - ANSWER Use of metrics from previous comparative projects to inform the estimates for the project. (6) Planned Value (PV) - ANSWER What we planned to do = % planned to be complete x project budget (6) Actual Costs (AC) - ANSWER What we have paid for. (6) Earned Value (EV) - ANSWER What we have achieved = % complete x project budget. (6) Cost Variance (CV) - ANSWER EV - AC. When cost variance is negative then the project is spending more than it is earning. (6) Schedule Variance (SV) - ANSWER EV - PV. When CV is negative, the project is behind schedule. (6) Cost Performance Index (CPI) - ANSWER EV/AC. The amount that the budget is over or under-spend, expressed as a percentage of the planned budget. If less than 1, project will be over budget assuming current trends continue. (6) Schedule Performance Index (SPI) - ANSWER EV/PV. The amount that the task is ahead or behind schedule, expressed as a percentage of the task. If less than 1, project will be over time assuming current trends. (6) Budget at Completion (BAC) - ANSWER Total planned budget. (6) Estimated Cost at Completion (EAC) - ANSWER BAC / CPI. Also known as Final Cost. (6) Final Duration - ANSWER Planned Project Duration / SPI. (6) EVM - %age Complete - ANSWER (EV/BAC) *100 (6) CPI/SPI Acceptable Range - ANSWER CPI / SPI variance of 80-120% (6) Commitment - ANSWER Placement of order for work, money removed from the budget to represent the order (6) Accrual - ANSWER Work done for which payment is due but not yet made (6) Actual Expenditure - ANSWER Monies already paid (6) Forecast Outturn Costs - ANSWER Actuals + commitments + accruals + work not yet started (6) Cost Commitment Profile - ANSWER Cumulative cost v cumulative revenue (6) EVM Benefits - ANSWER 1. Provides a baseline for performance measurement. 2. Provides consistent reporting so that, at a senior management level, project progress can be compared across a set of projects. 3. Indicates whether budget spend is producing expected work completed. 4. Supports better forecasting against time and budget. 5. Can be used to derive lessons learned, and to produce realistic estimates of cost & duration for future projects, so long as accurate records are maintained. (6) EVM Cautions - ANSWER - Don't include overheads & management costs, - Compare similar jobs - Don't compare different teams - Review separate tasks not just the aggregated S-curve, projections may change, data must be reported to be valid. (6) Contingency Planning - ANSWER Proactive planning to mitigate the impacts of foreseeable risks. (6) Contingency Plan Requirements - ANSWER Scenarios: Based on project risk management outcomes, focuses on the most devastating and likely scenarios. Triggers: Defines what exactly will cause to put a contingency plan into action. Responses: A brief overview of actions/strategies which will be applied in response to scenarios. Who to Inform: It defines the key stakeholder and communication strategies according to the situation. Key Responsibilities: RAM to define key responsibilities Timeline: Describes the detailed action plan of activities for different possible potential scenarios. (7) Scope - ANSWER Totality of outputs, outcomes & benefits & work to produce them; (7) Scope Management - ANSWER Process to identify, define & control these. (7) Outputs - ANSWER The actual products / deliverables of the project, (7) Outcomes - ANSWER The results of using these outputs (assuming they are adopted) (7) Benefits - ANSWER The financial or other benefits derived by the organisation or users from the outcomes. (7) Product Breakdown Structure - ANSWER Structured list of all items project will build or buy, in groups, hierarchy structure, numbering, cross-referenced in Configuration Management System. Bottom level shows all products. Agreed with sponsor & stakeholders, communicated with project team Used to identify the scope of what will be delivered. (7) Product Log - ANSWER Lidt of products that supports the PBS with associated Product Descriptions that describe individual products in more detail. This enables quality expectations and responsibility for approval to be clearly identified at an early stage in the project life cycle. (7) Work Breakdown Structure (WBS) - ANSWER Used to capture the activities to be completed in order to deliver the project outputs, comprising scope. Structured list of tasks, typically presented as hierarchy, derived from PBS. Bottom level shows all work packages. Communicates scope of work to team who supply schedules, estimates. It represents the project "to do list." Its focus is on "work" not "things." (7) Organisational Breakdown Structure (OBS) - ANSWER List of people needed to complete tasks, derived from WBS. Describes the structure of the delivering organisation that can then be matched to work- packages in the WBS. This is useful particularly when work will be performed by business staff seconded to the project or by specialist teams working on more than one project. (7) Resource Allocation Matrix (RAM) - ANSWER Derived from WBS & OBS, each work package referenced to OBS. May be presented as RACI = Responsible, Accountable, Consult, Inform. (7) Cost Breakdown Structure (CBS) - ANSWER Cost of each item on the WBS and are allocated to a cost centre. Used for decision points and stage payment schedules. Charts can be generated to report to managers how project is performing at a glance, they plot planned time against real time for each milestone, including those now completed and revised forecasts if incomplete. (8) Gantt Chart - ANSWER Provides visualisation of the tasks as bars on a timeline; shows whether tasks are on critical path or not, and the free & total float for each task. Useful to show start times, progress, any variances. The baseline estimates are retained in the chart for comparison. (8) Scheduling - ANSWER Identifies activities (derived from WBS) and dependencies, and estimates durations, taking account of availability of required resources, to create a schedule which forecasts start & finish dates. (8) Scheduling Steps - ANSWER Start from PBS > WBS > Network Diagram > Estimating & Risk > Critical Path > Add Resources > Schedule. (8) Network Diagrams - ANSWER Two main types: arrow or node/precedence diagrams. Node diagrams use box templates to show duration of each tasks, earliest & latest start/finish times, and total float. Shows task dependencies very clearly, so useful for PM & project team. Network analysis using forward & backward path calculations. Critical path is the longest path through the network, which has zero float. There may be more than 1 critical path in a complex network. Non critical paths have a total float = slack. Total float = how long a task / path can slip before it affects end date of project; Free float = how long a task can slip before affects next task. (8) Critical Path - ANSWER Places the emphasis on the activity - Determines the overall duration of the identified work based on estimates and logical dependencies. - The path through the activity network with zero total float. - The purpose of a project manager understanding a project's critical path(s) is to be able to focus effort in managing the activities that lie on it with the knowledge that if all of them complete on time, and if there is no slippage on other activities that exceeds the total float, the whole project will finish on time. (8) Critical Chain - ANSWER Places the emphasis on the resources. It strips the float from each activity and keeps it as a buffer for a chain of activities. - Paths that link into other paths have feeder buffers at the end. - Before the end of the project there is a "Project Buffer" which contains any spare time available to the project. - Resource based approach to scheduling, useful when time is critical. - It is derived from the critical path that protects critical chains of activities with buffers. Attempts to keep resources at a constant utilisation, avoiding common working practices such as: multitasking between activities; not starting planned work at the earliest start date and committing time until it is finished. (8) Theory of Constraints - ANSWER Additional duration is added to the end of the project, rather than against individual tasks in order to mitigate against several typical behaviours - including Parkinson's law (work expands to fill time) and the 'Student's syndrome' (leaving work until the last possible moment it is due). (8) Resource Alocation - ANSWER When resources are needed, how many resources are needed, cost of resource. Considerations: 1. resource smoothing & levelling (8.5), 2. overtime working, 3. checking network logic, 4. staff training to improve efficiency, 5. using alternative resources, 6. making production process improvements (e.g. automation of repeated tasks). (8) Linear Lifecycle Resource Allocation - ANSWER In a linear lifecycle the resources are identified for each activity on the Gantt chart. If the resources are not available when they are needed the activities have to move either within, or outwit, their float. This can cause the end date of the project to be delayed. The assumption is that the scope and quality are fixed and time and cost are variable. Techniques of resource smoothing and levelling are used. (8) Resource Histogram - ANSWER Shows people resources, assigned to tasks, with dates. (8) S-Curve - ANSWER Also known as "Planned cost curve", plots the cumulative use of resources throughout the project. This is the basis of Earned Value - also known as Planned Cost. (8) Iterative Lifecycle Resource Allocation - ANSWER In an iterative lifecycle time and cost re assumed to be fixed and the resources are allocated, ideally full time, to the timebox. If the full scope cannot be completed within the timebox, the requirements are prioritised, and the most important ones dealt with first. Thus, the scope and/or quality are variable & adjusted to suit the resources available. Any outstanding products are added to the product backlog to be dealt with later. If all the scope must be completed to the standard of desired, then additional timeboxes may be required and additional iterations are added to the schedule. (8) Resource Smoothing vs Levelling - ANSWER Resource smoothing assumes that all resources are available whereas resource levelling has a fixed amount of resource available. Resource smoothing protects the end date of the project whereas resource levelling may move the end date. (8) Resource Smoothing - ANSWER Time limited scheduling: Unlimited resources, fixed time. Adjusting tasks to manage resources, using up some free & total float, where the end date is not impacted. By using up some of the float, it does not change the project timescale, but increases the risk that this might be affected if some tasks over-run. It is done to reduce peaks & troughs of resource demand, not bringing in too many extra resources which leads to non-productive time & inefficiencies. (8) Resource Levelling - ANSWER Resource limited scheduling: Limited resources, flexible time. Adjusting tasks to manage resources, where the end date is affected (unless overtime is worked). (10) Risk - ANSWER Potential of an action/event to impact on objectives. (10) Risk Event - ANSWER Uncertain event which if it occurred would affect objectives. (10) Risk Management - ANSWER Process which allows risk to be understood & managed proactively, minimise threats & maximise opportunities. (10) Risk Context - ANSWER Institutional/individual context which affects risk appetite & responses. (10) Risk Process - ANSWER 1. Initiate: Decide how risk will be managed, probability/impact. Decide techniques to identify risks. Create risk register. Summarise in RMP. 2. Identify: potential risk events, cause. 3. Analyse: assess impact & probability; risk proximity or impact window. 4. Response: Justify cost of action vs. inaction. Plan & implement. Assign owners & resources. Update plan, schedule, WBS, cashflow etc; update risk register. 5. Monitor & Control: Is it working? Updates from risk owner. Keep stakeholders up to date. 6. Close: Close risks which have expired, or happened (becoming an issue), or handover to BAU to close at project end. (10) Risk Identification - ANSWER 1. Lessons learned: how risks were managed, issues which had not been identified as risks. 2. Assumptions analysis: identify things we are not user of but have decided to treat as fact. 3. Workshops / Brainstorming: use facilitator, identify but don't try to manage risks in session. 4. Prompt sheet: helps to identify areas of risk. Could be based on PESTLE, plus other specific areas. 5. Checklists: can be used to identify gaps in planning, e.g. asking work package owners whether requirements are clearly specified. 6. Interviews: to explore specialist are of risk, with clear objectives, open questions, documented. 7. Delphi technique: asking opinion of expert panel, each anonymous, collating report which they review and then revisit until get consensus. 8. Constraints analysis: especially during definition phase, identify opportunities which might be realised by loosening constraints e.g. allow more time. (10) Risk Strategies - ANSWER 1. Accept (Tolerate): take no action; a reactive response whereby the risk is accepted with a contingency plan to be implemented should the risk materialise. 2. Avoid (Terminate): a proactive response to terminate the planned action; change to something different which prevents the risk, this may be expensive. 3. Reduce (Treat): modify the plans to reduce likelihood or impact. 4. Transfer: take out insurance or pass risk to contractor, mitigates financial impact but may be other impacts. 5. Fallback: prepare contingency plans. (10) Opportunity Strategies - ANSWER 1. Reject: don't bother 2. Exploit: take advantage 3. Enhance: increase probability or impact 4. Share: share contractually 5. Plan an option: what to do if project develops a certain way. (10) Risk Management Benefits - ANSWER Benefits: 1. improved plans, more chance of success, 2. better contracts, 3. meaningful assessment of contingencies, 4. less chance of accepting unsafe projects, 5. building statistical evidence, 6. objective comparison of possibilities, 7. identified best risk owners. Soft benefits: 8. stakeholder confidence 9. improved team spirit 10. develops staff skills 11. facilitates risk taking 12. Responsible approach to customers 13. Fresh view of personnel issues in a project (10) Issues - ANSWER A problem that is breaching delegated tolerances for a project. i.e. beyond tolerances for time, cost, quality, scope, risk or benefit; which must be resolved; and therefore requires escalation. Work package tolerances are set by PM; PM's tolerances set by Sponsor; Sponsor's tolerances set by corporate/programme management. Not an issue: 1. Risks (still uncertain) 2. Problems/Concerns which can be resolved by the PM. (10) Issue Management Process - ANSWER 1. Issue raised 2. PM records in Issue Log 3. Reviewed by PM: considers effect, analyses options, 4. Escalation: PM escalates to Sponsor / Governance Board, with recommendation 5. Decision: Sponsor & Governance Board review analysis & decide what to do 6. Corrective action taken by PM or designated owner; OR if Business Case invalidated Sponsor & Governance Board instruct PM to close project prematurely. 7. Monitoring by PM at review points, to ensure resolved. 8. Closed / Issue Log updated. Issues are given an owner. Sponsor & Steering Group must ensure resolved. (11) Quality - ANSWER Fitness for purpose, measurable requirements. (11) Quality Planning - ANSWER Setting acceptance criteria to determine whether products meet requirements. Includes: quality objectives/acceptance criteria; quality standards; control & assurance processes; quality documents inc. register; responsibilities; techniques. Plan forms part of the PMP. Enables the team to understand "what good looks like". (11) Acceptance Criteria - ANSWER The requirements/essential conditions a deliverable has to meet before it is accepted. (11) Quality Manaement Components - ANSWER 1. Quality Planning 2. Quality Control 3. Quality Assurance 4. Continuous Improvement (11) Quality Control - ANSWER Based on the Quality Management Plan, involves inspection/testing/control activities for each of the project outputs, led by the project team. Inspection, measurement & testing to ensure products meet acceptance criteria. Inspection detects problems early (cheaper to correct). Includes e.g. documentation reviews by team, site inspections, sampling of products, and documenting findings. (+ see techniques below) (11) Quality Assurance - ANSWER Based on the Quality Management Plan, involves independent review of the project's processes for managing quality. Evaluating quality control processes to ensure they are being implemented as described in the plan; provides confidence that the project will satisfy quality standards. Independent advisors audit the project, checking it has the right people with the right skills, and correct documentation is in place, to provide confidence to managers. Activities can be done earlier in the project life cycle whereas quality control activities need project outputs to assess. (11) Continuous Improvement - ANSWER Involves evaluating processes, identifying what works & what needs to change; using techniques such as Lean, Six Sigma, Business process reengineering (BPRE); improving processes used e.g. risk management, stakeholder engagement & communications; identifying lessons learned for next stage & future projects.