AIPM Professional Competency Standards for Project Management - Part D

AIPM
PROFESSIONAL
COMPETENCY STANDARDS
FOR
PROJECT MANAGEMENT

PART D – CERTIFIED PRACTISING PROJECT

DIRECTOR (CPPD)

Jan 2011 Version 1.2

Copyright:
Australian Institute of Project Management

Jan 2011 Version 1.2 Page 1

AIPM Professional Competency Standards for Project Management - Part D

DOCUMENT CONTROL
Document Information
Document title AIPM Professional Competency Standards for Project
Management

Authorising authority Chair of the Professional Development Council

Version Control
Version Date Nature of Change
No
Version 1.0 20 June Initial issue
2008
Amendment 1 11 July Revised numbering system for Elements and
2008 Performance Criteria
Amendment 2 21 Jan Revised draft incorporating multiple changes from
2011 member feedback and review panel
recommendations.

Proposals for Amendment

Proposals for amendments or additions to this document should be sent to:
The Chair of the Professional Development Council
Australian Institute of Project Management
Level 9, 139 Macquarie St
SYDNEY NSW 2000

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AIPM Professional Competency Standards for Project Management - Part D

Table of Contents

Introduction ................................................................................................................... 1
Prerequisite for Entry into the RegPM Program as a Project Director .................. 2
Unit 1 - Plan, Manage, Direct and Review Program Scope ...................................... 3
Unit 2 - Plan, Manage, Direct and Review Program Time ....................................... 6
Unit 3 - Plan, Manage, Direct and Review Program Costs ....................................... 9
Unit 4 - Plan, Manage, Direct and Review Program Quality ................................. 12
Unit 5 - Plan, Manage, Direct and Review Program Human Resources ............... 14
Unit 6 - Plan, Manage, Direct and Review Program Communication ................... 17
Unit 7 - Plan, Manage, Direct and Review Program Risk....................................... 20
Unit 8 - Plan, Manage, Direct and Review Program Procurement ........................ 22
Unit 9 - Plan, Manage, Direct and Review Program Integration ........................... 25

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AIPM Professional Competency Standards for Project Management - Part D

Project Director

Introduction
These Competency Standards provide the basis for the development and assessment of Project Directors
(Program Managers). Applicants and assessors are to be familiar with the introduction to these Standards
contained in Part A.

The Standards have been developed as generic standards with the objective of applicability across a wide
range of industries and enterprises. They may be used by industries/enterprises as they stand or they may be
used as a basis from which each industry or enterprise may contextualise the project management
standards.

The Standards are described in terms of the units of project management. Within each unit, the Standards
detail the elements of competency and associated performance criteria, range indicators, knowledge and
skills, and evidence guides.

The Units are:

 Unit 1 – Plan, Manage, Direct and Review Program Scope

 Unit 2 - Plan, Manage, Direct and Review Program Time
 Unit 3 - Plan, Manage, Direct and Review Program Costs
 Unit 4 - Plan, Manage, Direct and Review Program Quality
 Unit 5 - Plan, Manage, Direct and Review Program Human Resources
 Unit 6 - Plan, Manage, Direct and Review Program Communications
 Unit 7 - Plan, Manage, Direct and Review Program Risk
 Unit 8 - Plan, Manage, Direct and Review Program Procurement
 Unit 9 - Plan, Manage, Direct and Review Program Integration

Work Done at Project Director Level

Work done by the Project Director is generally, but not always, performed under the direction of a senior
executive. It may also rely on support from a Project Management Office (PMO)
At Project Director level the individual’s primary role is program management. A program is a large body
of work consisting of multiple subordinate projects each managed by a project manager under the direction
of the program manager, in order to achieve a higher level benefit to the organisation In their daily work,
Project Directors rely on, extend and understand high level program and project management tools and
methodologies. They ensure the appropriate program and project management methodologies are being
applied and provide control over the management of scope, identification and escalation of issues, risks,
budgets etc. Professionals operating at this level are involved in analysis, diagnosis, design, planning,
execution and evaluation across a broad range of technical project management areas and/or management
functions including the development of new criteria or applications or knowledge or procedures relating to
project management.
The standards at the Project Director level have been mapped to the Australian Qualification Framework
Advanced Diploma level.
Relationship of the Units to Project Management
The discipline of Project Management is covered by these Standards. Each unit is a separate function of
program/ project management, but a trained and experienced Project Director should be able to demonstrate
competence in each of the Units.

Range Indicators

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AIPM Professional Competency Standards for Project Management - Part D

The Standards contain Range Indicators that outline the circumstances within which the Performance
Criteria apply. The Range Indicators:
 frame the boundaries within which the competency unit and its associated criteria apply
 allow for variations in context between industries/enterprises and provide the basis for
contextualisation for the specific industry/enterprise

Range Indicators may include additional information such as:

 relevant methodology and procedures and/or current industry/enterprise practices for program/
project management;
 identification of users, supporters and stakeholders for the program and how they are involved;
 identification of what facilities and resources are available and their characteristics;
 identification of what expertise/advice is available from within and, external to, the organisation;
 identification of the organisational environments, both internal and external, and how they influence
the program; and
 information and communications systems utilised within the organisation.

Higher project authorities may be:

 the client/customer
 Program Sponsor/ Steering Committee
 Portfolio Manager
 other personnel within the project/organisation designated specific authority over certain aspects of
the project
 higher management within the organisation
 external authorities with a direct influence on project outcomes, such as legislative, industrial
relations, environmental, financial and other regulatory bodies

Stakeholders may be from: within the program, subordinate projects affected, the parent organisation, the
client/customer, and other external organisations such as government departments, professional institutions
and public organisations affected by the program

The client is the authority, or are the authorities, for whom the project is being undertaken. The client may
be internal or external to the organisation. The client may be the customer, the owner, the sponsoring
authority in the case of projects where a contract does not exist, or it may be an authority specifically
designated as the client.

Communication advice and assistance may be received from other project/program managers,
departmental heads and/or specialists within the organisation. Advice and assistance may be provided to
program team members, subordinate project managers, section leaders and/or organisation members

The program life cycle starts at the time that a program is conceived and completes when the desired
outcomes have been achieved.

Information to be drawn on may include:

 organisational policy and guidance
 the Project Management Body of Knowledge
 the standards for Program Management
 legislation affecting project management practice
 other legislation related to particular occupations and industries
 international conventions in project or program management best practice

Prerequisite for Entry into the RegPM Program as a Project Director

A prerequisite for entry as a Project Director into the RegPM program is that the applicant must have
managed one or more projects at a competency level equivalent to a Certified Practising Project Manager
(CPPM). There is no requirement for the applicant to be assessed at the Project Manager level, but the
assessor must be satisfied that the applicant has had experience in the management of such projects.

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 1 - Plan, Manage, Direct and Review Program Scope

Definition: The scope of a program/ project comprises a combination of the business planning process
and its outcomes, the end products of the program/project and the work required to deliver the
program/project deliverables required using systems thinking to ensure the definition and delivery of the
required program/ project outcomes. Scope management involves the initial justification of the program/
project through the strategic planning process, the development of the business case, management of the
initial program/ project start-up activity followed up by the ongoing definition of the deliverables within
program/ project objectives and constraints. Program/ project scope forms the foundation of the program/
project plan, the basis from which all other program/ project specific plans are developed and is the focus
for an overall systems approach to program/ project management.

Element Performance Criteria

1.1 Plan Program Scope 1.1.1 Develop and agree program objectives and scope in
conjunction with stakeholders.

1.1.2 Align the scope and objectives of the program with the
appropriate program level benefits and strategic
objective(s)

1.1.3 Define and agree with stakeholders the contribution of

individual projects to the overall program outcomes.

1.1.4 Obtain approval of program scope and subordinate projects

from higher program authority.

1.1.5 Develop and agree the Program Scope Management Plan

with stakeholders and higher project authority.

1.2 Manage Program Scope 1.2.1 Implement agreed scope management procedures and
processes in accordance with the Program Scope
Management Plan

1.2.2 Regularly assess program scope to ensure alignment with

strategic objective(s)

1.2.3 Regularly monitor and document the progress/ achievement

of benefits delivered by the program

1.3 Direct Project Scope 1.3.1 Direct the application of appropriate improvements from
Management scope management lessons learned during the program for
improved project outputs and program outcomes

1.3.2 Authorise the scope of subordinate projects to ensure

alignment with program scope and appropriate lessons
learned are incorporated from previous projects.

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AIPM Professional Competency Standards for Project Management - Part D

Element Performance Criteria

1.4 Review Program Scope 1.4.1 Regularly review the deliverables and outputs of
subordinate projects against program scope to assess their
actual contribution to program outcomes.

1.4.2 Review and recommend proposed subordinate projects to a

higher program authority that are required to achieve
program outcomes.

Range Indicators

Program objectives
Program Objectives are determined at the beginning of the program and are aligned to achieve strategic
business objectives/ goals.

Strategic objective(s)
Strategic objectives are developed by the organisation’s executive management team to guide the direction
of the organisation to achieve long term goals.

Higher program authority

Higher Program Authorities can be any person with the authority to direct action from the program
manager in accordance with the governance framework (such as: Program Sponsor, Steering Committee,
Portfolio Manager etc).

Program Scope management plan covers product/ service requirements, scope definition, the work
breakdown structure, scope verification, scope control processes, scope baseline, project charter, project
scope statement.

Lessons learned
Lessons learned are points that are discovered during the review of a project/ program which if documented
and shared with others may assist the organisation to improve performance on future projects/ programs.

Subordinate projects
Programs consist of multiple subordinate projects which may be created at any stage across the program
lifecycle. The Program Manager is responsible for allocation and direction of the subordinate project
managers to ensure that they are effective in working towards the achievement of the program objectives.

Deliverables and outputs

Deliverables are products from a task within the program which will be passed onto the client. Outputs are
products from a process or project which will be inputs into another task process or project within the
Program.

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AIPM Professional Competency Standards for Project Management - Part D

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 the place of scope management in the context of the program and subordinate project life,
particularly the relationship between scope, performance, time, cost and quality
 the processes of justification and authorisation of project existence
 the importance of scope definition especially during project start-up, and ongoing throughout the
project life cycle
 the importance of, and techniques related to, task definition
 the impact of project resource requirements on overall program and organisational objectives
 the principles of change management and their application
 appropriate scope management methodologies, techniques and tools, their applicability, capabilities
and limitations

Skills
 high level literacy skills to review and amend project plans, to communicate decisions and to write
quality reports
 technology skills to plan and document program scope
 high level communication skills to communicate with program stakeholders
 high level analysis, planning, organising, problem-solving and evaluating skills in relation to project
scope management
 self-management skills to prioritise actions for successful outcomes
 advanced negotiation skills to control proposed changes in scope.

Evidence Guide
The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:

 requirements definition and needs analysis documentation

 project charter/directive
 project manager’s terms of reference
 Program Scope Management Plan
 project definition studies
 established deliverables and measurable outcome criteria for each stage of each subordinate project
 communication with senior stakeholders
 work breakdown, product breakdown and organisation breakdown structures
 records of management of change management system and procedures
 records of scope lessons learned

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 2 - Plan, Manage, Direct and Review Program Time

Definition: Management of program time, through the management of planning and scheduling activities,
relates to the activities associated with development, analysis, monitoring and control of program master
schedules and directing the management of project time management. Meeting program objectives within
the identified time frame is a critical factor in determining program success along with capability, cost and
quality.

Element Performance Criteria

2.1 Plan Program Time 2.1.1 Direct project managers in the use of time management
methodologies, techniques and tools for program
consistency.

2.1.2 Direct the development of project schedules to ensure the

delivery of outputs required for program outcomes.

2.1.3 Determine the sequence, interdependencies and deliverables

of resourced subordinate project plans to form the basis of
the program schedule.

2.1.4 Review and agree program schedule with the guidance of

stakeholders and higher program authority.

2.1.5 Develop and agree the program time management plan

with stakeholders and higher project authority.

2.2 Manage Program Time 2.2.1 Implement, control and modify as necessary mechanisms to
monitor, control, record and report actual progress against the
program schedule.

2.3 Direct Project Time 2.3.1 Direct the application of appropriate improvements from
Management time management lessons learned during the program for
improved project outputs and program outcomes.

2.4 Review Program Time 2.4.1 Conduct ongoing analysis to identify and forecast schedule
variances and trends so that appropriate actions can be taken
to ensure the delivery of the program schedule as planned.

2.4.2 Review progress throughout the program and make necessary

changes to the program schedule to align with approved
changes.

2.4.3 Analyse subordinate projects' schedule performance to

determine the effectiveness of time management.

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Range Indicators

Time management methodologies, techniques and tools may include:

 critical path diagrams
 rolling wave planning
 precedence diagramming method
 dependency determination
 resource levelling
 project schedule network diagrams
 Critical Chain management
 industry standard project management planning and scheduling software tools
 variance analysis
 schedule compression and analysis
 use of personal experience and/or subject matter experts,
 conducting or directing qualitative and/or quantitative time analysis, such as schedule simulation,
decision analysis, contingency planning, alternative strategy development
 collating and using the products of specialist time analysis to make project-wide time management
decisions
 assessing and reporting the potential impact of project time on the organisation
 setting, monitoring and adjusting key milestones
 measurement and analysis of actual progress against planned milestones
 recording, reporting and analysis of major variance and trends
 development and implementation of schedule control trigger mechanisms
 communication with stakeholders, dispute resolution, and modification procedures
 the management of earned schedules, earned value, critical chain and dependencies

The individual may be responsible and accountable for the outcome of time management activities
throughout the program and subordinate project life cycles which may:

 be done independently or by taking the lead in a team environment

 involve consultation with and selective involvement of appropriate project stakeholders
 involve the selection, modification and supervision of the use of appropriate time management
methods, processes, procedures, tools and techniques
 be conducted substantially non-routinely to meet complex, changing circumstances
 take into account the impact of organisational and environmental change on the project and vice
versa

Program schedule is a master schedule of key (often higher level) project activities or milestones as well
as program activities and tasks. This may utilise any type of scheduling tools and software depending on
the needs and requirements of the organisation.

Program Time management plan identifies the scheduling methodology, scheduling tools, the format and
criteria for developing and controlling the project schedule. It also includes: the project schedule and sub-
schedules, important milestones, preferred and alternative schedule management strategies and actions,
formal arrangements, responsibility assignment, contingency plans and assigned schedule management
responsibilities.

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AIPM Professional Competency Standards for Project Management - Part D

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 the principles of time management and their application
 organisational policies, guidance and attitudes to time management
 the relationship between time, cost and resources to the project and program management
framework
 delegation and management of responsibilities for time management
 development of program master schedules
 use of the scheduling as a control mechanism
 appropriate time management and estimating methodologies, techniques and tools, their capabilities
and limitations, applicability and outcomes
 the differences in work content, risk, processes, tools and techniques that apply in the various phases
of the program life cycle

Skills
 high level leadership skills to inspire trust and confidence in all stakeholder groups
 literacy skills to communicate decisions and to write quality reports
 communication and interpersonal skills to convey expectations, negotiate, resolve conflict and
motivate performance
 technology skills to oversee project schedule performance
 planning and organising skills to ensure that time lines are met across projects
 time management skills (of self and others)
 problem-solving skills to address time management issues.

Evidence Guide
The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:

 application of lessons learned from previous project(s) in planning new project

 time management strategies
 time management analysis, forecasts and predictions
 analysis of options to identify variances and the forecast of the impact of changes on the schedule
 project work breakdown structure
 key activity schedule
 application of precedence and dependency principles to task definition and subordinate project
schedules
 records of regular and ad hoc communication of schedules to stakeholders
 application of and modifications to monitoring, review and reporting mechanisms
 application of actual progress against planned progress
 records of corrective actions taken against variances in the program schedule
 records of lessons learned

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 3 - Plan, Manage, Direct and Review Program Costs

Definition: The management of cost, cost estimating and program budgeting includes the processes
required to identify, analyse and refine program costs, billings and cash to produce a program budget and
cost management plan which is then used as the basis upon which to monitor and control program and
subordinate project accounting. Cost management and budgeting are factors critical to the success of the
program, along with capability, time management, planning and scheduling and quality.

Element Performance Criteria

3.1 Plan program cost 3.1.1 Develop the Program Budget.

3.1.2 Develop and agree the Program Cost Management Plan with
stakeholders and higher project authority.

3.2 Manage Program Cost 3.2.1 Ensure cost systems are established to monitor Program costs to
meet requirements of the program.

3.2.2 Utilise Program cost management systems to control and adjust

Program Budget.

3.3 Direct Project Cost 3.3.1 Direct the application of appropriate improvements from cost
Management management lessons learned during the program for improved
project outputs and program outcomes.

3.3.2 Authorise subordinate projects' budgets and project cost

management plans.

3.3.3 Ensure subordinate projects conduct financial closeout

effectively.

3.4 Review Program Costs 3.4.1 Conduct ongoing analysis to identify and forecast cost variances
and trends so that appropriate actions can be taken to ensure the
delivery of the program budget as planned.

3.4.2 Review progress throughout the program and make necessary

changes to the program budget to align with approved changes.

3.4.3 Analyse subordinate projects' cost performance to determine the

effectiveness of cost management.

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AIPM Professional Competency Standards for Project Management - Part D

Range Indicators

Program Budget provides detail of details of all estimated cost breakdown for the program.

Program Cost management plan directs how costs will be controlled, relevant estimate units of measure,
estimating precision, permissible variance thresholds, earned value rules and reporting formats across the
program.

Cost systems include processes and tools used for cost estimating, budgeting and control.

Subordinate projects' budgets and project cost management plans identifies how costs will be
controlled, estimate units of measure, estimating precision, permissible variance thresholds, earned value
rules and reporting formats within a subordinate project.

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 the principles of cost management and their application
 the principles and practice of earned value management
 the principles of planned value, actual costs and forecasting for cost control
 organisational policies, guidance and attitudes to cost management
 the relationship of cost, time and resources to the program management framework
 delegation and management of responsibilities for cost management
 the principles of risk and reward contracts administration
 development of program level budgets
 use of the budget as a control mechanism
 appropriate cost management and estimating methodologies, techniques and tools, their capabilities
and limitations, applicability and outcomes
 the differences in work content, risk, processes, tools and techniques that apply in the various phases
of the program life cycle

Skills
 technology skills to oversee project financial performance
 numeracy skills to develop and interpret project budgets and to provide financial information
 literacy skills to communicate decisions and to write quality reports
 leadership skills to inspire trust and confidence in teams, managers and stakeholders
 communication and interpersonal skills to convey expectations, resolve conflict and motivate
performance
 planning skills to review project resource requirements and to cost estimates
 problem-solving skills to resolve costing issues.

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AIPM Professional Competency Standards for Project Management - Part D

Evidence Guide
The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:
 application of lessons learned from previous project(s) in planning new projects within the program
 cost estimates at cost element and summary levels
 cost management plans, strategies, analysis, forecasts and predictions
 cost breakdown structures
 analysis and evaluation of options for responding to program/ project budget variations
 measures to maintain control over changing program/ project budget and cost objectives
 financial feasibility studies
 program budgets and expenditure forecasts
 cash flow profiles
 financial transition plans
 budget control mechanisms
 records of clearance of program liabilities and disposal of assets
 vendor cost management experience
 documented benefit realisation
 project and program finalisation reports
 records of cost management lessons learned
 financial audit documentation

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 4 - Plan, Manage, Direct and Review Program Quality

Definition: Program quality management comprises the development or adoption of systems to optimise
the effectiveness of the program and subordinate project activities. Quality management applies objective
standards and processes to achieve the largely subjective goal of customer satisfaction through the
continuous application of quality planning, quality control, quality assurance and continuous improvement
throughout the program and subordinate project life cycle.

Element Performance Criteria

4.1 Plan Program Quality 4.1.1 Establish the linkages between the expectations/ requirements of
the program stakeholders and the quality standards.

4.1.2 Develop and agree a Program Quality Management System to

ensure the expectations of stakeholders are met.

4.2 Manage Program 4.2.1 Implement quality control activities to determine Program
Quality performance against agreed quality standards.

4.3 Direct Project Quality 4.3.1 Direct Project Managers to develop and implement Project quality
Management management plans in consultation with project Stakeholders.

4.3.2 Direct the application of appropriate improvements from Quality

Management lessons learned during the program for improved
project outputs and program outcomes.

4.4 Review Program Quality 4.4.1 Identify cause(s) of unsatisfactory Program results and agree and
implement corrective action(s) in consultation with relevant
stakeholders.

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Range Indicators

Program Quality Management System will incorporate how quality policies are to be implemented, it
covers quality control, quality assurance and continuous process improvement approaches across the entire
program.

Quality control activities include the monitoring and recording results of executing the quality activities to
assess performance and recommend necessary changes.

Project quality management plans outline how quality policies are to be implemented, it covers quality
control, quality assurance and continuous process improvement approaches for the project.

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 the principles of quality management and their application
 the need for quality management in the program, subordinate projects and its place in the overall
organisation
 the importance of quality in trade-offs with time, cost and performance
 quality policies and standards applicable in the program management environment
 quality management tools, including their capabilities, limitations, applicability and outcomes
 what are quality outcomes, critical success and failure criteria and quality performance measures
 global quality standards such as ISO 9000 Series, CMMI, COBBIT or SPICE

Skills
 leadership, communication and interpersonal skills to foster compliance with quality benchmarks
 literacy skills to communicate decisions and to write quality reports
 skills in analysing, interpreting and reviewing data to assess performance against quality
benchmarks
 problem-solving skills to address gaps in quality assurance

Evidence Guide
The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:
 lists of project quality stakeholders and quality objectives
 records of selection processes and use of quality tools
 the quality assurance framework for the program/ project
 the review and analysis of quality processes that determine compliance with quality standards
 documented quality requirements in the project plan and processes
 documentation on results of project activities and product performance that identify compliance with
agreed quality standards
 application of quality management and continuous improvement techniques
 documentation of causes of unsatisfactory outcomes that were submitted to a higher authority for
continuous improvement purposes
 quality management plans
 records of inspections, modifications and quality outcomes
 records of selection, management and modifications of quality management system
 quality control, quality assurance and continuous improvement processes
 documentation of quality management lessons learned
 relation of project quality outcomes to the continuous improvement objectives of the organisation’s
overall quality management system

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 5 - Plan, Manage, Direct and Review Program Human Resources

Definition: The process of Human Resource Management (HRM) involves the development of individuals
into a cohesive team with the common purpose of meeting program/ project objectives. HRM includes
determining the resources required to conduct program tasks and manage subordinate projects, both
within the core program team and the broader organisational matrix. Staff recruitment, selection,
performance management, training and development are conducted to accommodate change throughout
the program life cycle.

Element Performance Criteria

5.1 Plan Program HR 5.1.1 Determine program human resource requirements in
consultation with stakeholders and appropriate subject matter
experts.

5.1.2 Establish an appropriate Program organisation structure in

consultation with stakeholders.

5.1.3 Determine any specific HR legislative or regulatory

requirements for the program.

5.1.4 Ensure systems and processes are established to source and

allocate appropriate HR resources to meet requirements of the
program.

5.1.5 Develop and agree the program HR management plan with

stakeholders and higher project authority.

5.2 Manage Program HR 5.2.1 Appoint program personnel and assign specific
responsibilities based on individual competence, knowledge
and experience.

5.2.2 Manage the performance of Program human resources in

accordance with the program HR management plan.

5.3 Direct Project HR 5.3.1 Ensure that appropriate HR management systems are
Management adopted throughout the program.

5.3.2 Direct the application of appropriate improvements from HR

management lessons learned during the program for improved
project outputs and program outcomes

5.4 Review Program HR 5.4.1 Monitor and address any specific HR legislative or
regulatory issues for the program.

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Range Indicators

Program human resource requirements includes planning for acquiring people with specific skills for
the program, developing the project team and maintaining performance.

Program organisation structure is determined as the program is established to ensure that all program
human resources are within a structure suited to the needs of the program to facilitate effective co-
ordination and control of the program and subordinate projects.

HR legislative or regulatory requirements could include the following issues:

 anti-discrimination
 equal employment opportunity
 affirmative action
 occupational health and safety
 work place bargaining
 accepted work practices

Program HR management plan contains staff acquisition strategies, roles and responsibilities, reporting
relationships, staff timetabling, staff release plan, training needs strategies, performance reward and
recognition strategies, employment compliance approaches and OH&S policy and procedures relevant to
the program.

HR management systems include any HRM methods, techniques and tools used in the management of
project staff, such as:
 individual and group competency identification and development
 HRM forecasts, staffing plans and job descriptions
 staff recruitment and reallocation
 performance monitoring, assessment and reporting
 performance appraisals of individual performance against agreed targets and the development of
skills and knowledge
 conflict resolution

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 the importance of HRM in both the project and program management environment
 policies, standards and methods required to achieve HRM outcomes
 the use of HRM selection, assignment, training, performance evaluation and motivation tools,
including their capabilities, limitations, applicability and outcomes
 the conflict and stress issues associated with individuals tasked with project management, especially
within a human resource matrix management environment
 HRM outcomes, critical success and failure criteria and HRM performance measures
 the application of interpersonal skills
 assessment of interpersonal strengths and weaknesses
 application of relevant strategies, e.g. leadership, decision making, group dynamics, change
management, learning/coaching
 issues and strategies associated with stakeholder management at senior executive levels
 the differences in work content, processes and risk that affect HRM requirements in the various
phases of the project life cycle
 demonstrates knowledge of leadership styles and the effect of different leadership approaches
 understands the impact of organisational culture and cultural difference on leadership style
 is able to apply knowledge of team development and team dynamics
 the principles of group behaviour

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 the professional application of ethical leadership

 the professional application of corporate responsibilities

Skills
 planning skills to identify human resource requirements across the program
 literacy skills to communicate decisions and to write quality reports at senior levels
 high level leadership skills to inspire trust and confidence in teams, managers and stakeholders
 communication and interpersonal skills to convey expectations, negotiate, resolve conflict and
motivate performance
 problem-solving skills to address HRM issues across the program
 coaching and mentoring skills.

Evidence Guide
The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:
 current and future requirements for competency within the program team
 assessment of skill levels for program personnel against task requirements
 job descriptions including measures of performance
 program organisation charts
 identification of staff skill sets for staff development and training outcomes
 staff recruitment and selection criteria
 team and individual responsibilities, levels of authority and performance assessment criteria
 responsibility assignment matrix
 HRM system, including performance measurement and reporting and conflict resolution procedures
 HRM plans, including training and development plans
 records of analysis of internal and external influences on HRM performance
 HRM lessons learned.
 the retention of highly skilled individuals within the team
 documented feedback to the project team and contractors on their progress
 staff schedules
 induction programs for new team members
 targets for productivity improvements such as reduced downtime, higher production levels,
decreases in absenteeism
 testimonies on team cohesion from colleagues operating at the same level as the applicant
 successful outcomes of teams working under the applicant

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 6 - Plan, Manage, Direct and Review Program Communication

Definition: Program communications management provides a critical link between people, ideas and
information at all stages in the program life cycle and all subordinate projects. Program communications
management ensures the timely and appropriate generation, collection, dissemination, storage and
disposition of information via formal structures and processes to aid the achievement of program
objectives.

Element Performance Criteria

6.1 Plan program 6.1.1 Identify, document and analyse program and subordinate
communications project information requirements, in consultation with
appropriate stakeholders, and set as a basis for project and
program communications planning.

6.1.2 Plan and implement information systems to provide quality,

validity, timeliness and integrity of information and
communication across the program and within subordinate
projects

6.2 Manage program 6.2.1 Manage stakeholder relationships beyond the delegated
communications responsibility of project managers to ensure clarity of
understanding of objectives and to minimise conflict
throughout the program.

6.2.2 Develop and manage formal and informal communication

networks across the Program.

6.2.3 Direct the generation, gathering, storage, retrieval, analysis and

dissemination of information by program staff and stakeholders
to improve decision making processes and organisational
awareness

6.3 Direct project 6.3.1 Direct the development of communications management

communications plans and associated activities to ensure clarity of
Management understanding and achievement of program and subordinate
project objectives at all levels throughout the life cycle

6.3.2 Direct the development, management and modification of

information validation processes to ensure consistent quality
and accuracy of data across the program and within subordinate
projects.

6.3.3 Direct program and subordinate project finalisation activities to

ensure ownership of, and responsibility for, information
outcomes

6.4 Review Program 6.4.1 Review and analyse program and subordinate project outcomes
Communications to determine the effectiveness of management information and
communications systems

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AIPM Professional Competency Standards for Project Management - Part D

Element Performance Criteria

6.4.2 Direct the application of appropriate improvements from
communications management lessons learned during the
program for improved project outputs and program outcomes

Range Indicators

Information Systems range from complex computer-based systems to simple manual systems. Selection
and modification may be dependent on unique project circumstances that may be influenced by:
 organisational policy
 project complexity
 available/emerging technology
 financial constraints
 legal/ethical constraints
 user capabilities

Project Management Information Systems (PMIS) may include:

 networks structure, processes and procedures for storage and communication of information
 individual and group authority and responsibilities
 hierarchy of decision making responsibility/authority
 limitations and restrictions on subject matter and methods of communication
 types, responsibilities, distribution and regularity of reports, as well as follow-up procedures

Informal communication may be: within the project, across the organisation, with external stakeholders,
with the client and/or with the general public. The individual may communicate directly or monitor and
control communication between project team members and the client and/or stakeholders.

Formal communication may be conducted by the individual on behalf of the project or organisation to:
seek advice, inform, explain, discuss, warn, recommend, praise, summarise, or report to higher project
authorities, project team members, stakeholders, the client or the public, regularly or by exception.

Communications management plan may list which team member is response for particular
communication activities, what stakeholders need what information, when information is communicated
and distributed, the protocols for communicating information and methods of distribution.

Information Validation may be influenced by:

 age of the information
 level of detail of information (too much or too little)
 language (translated or converted data may need special attention)
 changes to standards, regulations or limits since information was compiled
 degree of exposure to misinformation and disinformation
 potential impact of the information on the project outcome
 cost of the validation process

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 the principles of communications management and their application
 the importance of communications at all levels and at all times in the life cycle and its relationship
with other project management functions
 establishment and maintenance of structured communication networks in a rapidly evolving
technological environment involving computer-based, interpersonal and media-based methods of
communication

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AIPM Professional Competency Standards for Project Management - Part D

 appropriate communication management technologies; their capabilities, limitations, applicability

and contribution to program outcomes
 drafting or delegating others to draft, vetting, endorsing and forwarding of reports to higher
authority

Skills
 technology skills to direct the management and flow of project information and communications
 planning skills to identify project and program information requirements
 literacy skills to communicate decisions and to write quality reports
 problem-solving skills to address communication management problems
 interpersonal skills to communicate with customers and to manage customer relationships and
networks
 analytical skills to review and analyse project outcomes.

Evidence Guide
The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:
 communications management plans and strategies
 program management information system
 progress reports upwards and downwards within the program organisation structure
 records of meetings, outcomes and actions
 communications with program stakeholders
 formal briefs, presentations, media releases, newsletters
 records of collection, validation, storage, retrieval, analysis and/or dissemination of information
 validation processes and post-validation modifications
 formal and informal communication networks
 records of communications problems, analysis and solutions
 records of communications management lessons learned

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 7 - Plan, Manage, Direct and Review Program Risk

Definition: Risks are factors that might affect program outcomes. Risk management at Program Level
involves both managing program level risks and ensuring that Project Managers are adequately managing
project level risks. The Risk management process consists of seven steps: communicate and consult;
establish the context; identify risk; analyse risk; evaluate risk; treat risk and monitor and review in order to
maximise opportunity and minimise the consequences of adverse events. The risk management process is
completed through review of the plan and recording of lessons learned.

Element Performance Criteria

7.1 Plan program risk 7.1.1 Identify, document and analyse risk events, in consultation with
program staff and stakeholders to determine the overall impact
on the program.

7.1.2 Identify and select appropriate risk management methods,

techniques and tools to analyse information, evaluate options
and determine preferred risk approaches within the overall
program and subordinate project environments.

7.1.3 Develop and agree the Program Risk Management Plan with
stakeholders and higher program authority.

7.2 Manage Program risk 7.2.1 Review risks for progress, analyse variance and initiate
responses to support program and subordinate project objectives
in changing environments.

7.3 Direct project risk 7.3.1 Direct the development, communication and implementation of
Management project risk management plans and strategies throughout the
program.

7.3.2 Direct the monitoring of risks that have the potential to impact
on the program and initiate remedial actions to achieve project
and program objectives.

7.3.3 Direct the identification and analysis of residual risk on

subordinate Project and Program completion to ensure the
effective transfer and ownership of residual risks by the
organisation.

7.3.4 Direct the application of appropriate improvements from risk

management lessons learned during the program for improved
project outputs and program outcomes.

7.4 Review Program Risk 7.4.1 Review and analyse program outcomes and subordinate project
outputs to assess the effectiveness of the risk management
system.

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AIPM Professional Competency Standards for Project Management - Part D

Range Indicators
Risk analysis;
 risk probability and impact assessment
 probability and impact matrix
 risk data quality assessment
 risk categorization
 risk urgency assessment

Risk Management methods includes the use of any tools and techniques to conduct:
 risk identification
 risk analysis
 risk response development
 risk response control

Risk management plans contain information on; identified risks, methodologies, tools, roles and
responsibilities in regard to risk management, risk categories and priorities, definitions of risk probability
and impact, stakeholder tolerances, risk management strategies and tracking of risk.

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 uncertainty and the means of measurement
 organisational policies, guidance and attitudes to risk management
 personal attitudes to uncertainty and risk, and how they might impact on the program’s and
organisation's approach to risk management
 the place of risk management in the program life cycle and other program management functions
 types of risk, including: OH&S, environmental, fiduciary, governance, boundary management etc
 appropriate risk management methodologies, their capabilities, limitations, applicability and
outcomes e.g.: SW tools, risk management methods,
 the differences in work content, risk, processes, tools and techniques that apply in the various phases
of the life cycle

Skills
 analytical skills to plan and review risk management approaches
 literacy skills to communicate decisions and to write quality reports
 initiative to identify and address risks leading to negative consequences for the program
 problem-solving skills to initiate risk responses in changing environments

Evidence Guide
The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:
 records of risk management lessons learned and application in other programs and projects
 collated lists of potential risk events
 records of identification and prioritisation of risk events
 detailed records of risk analysis, forecasts and predictions and reappraisal
 communication with stakeholders
 risk management plans
 details of development and management of risk management system
 details of modifications to risk management system, plans and procedures
 documentation of formal risk management arrangements e.g. contract
 risk management lessons learned

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 8 - Plan, Manage, Direct and Review Program Procurement

Definition: Program procurement management involves the management of contracting activities from
formation, such as product and contract definition, market analysis through the tendering process up to
contract formation, to contract performance, management and administration after contract award.
Program procurement management concludes with contractual aspects of the program/ project
finalisation processes. Procurement activities are normally defined and planned early and refined
throughout the project lifecycle to ensure changing project objectives are met. Whether involvement in the
procurement process is as the client, the prime contractor, or as a sub-contractor, may influence the
perspective from which the procurement activities are addressed, however similar program management
processes would normally apply.

Element Performance Criteria

8.1 Plan program 8.1.1 Direct, with input from appropriate stakeholders, the identification,
procurement analysis and prioritisation of procurement needs at program and
subordinate project levels, as the basis for developing a Program
Procurement Management Plan.

8.1.2 Secure approval to the Program Procurement Management Plan

from higher program authorities.

8.2 Manage Program 8.2.1 Direct the establishment of program procurement processes,
Procurement procedures, templates and systems appropriate to the needs of the
Program Procurement Management Plan.

8.2.2 Direct program personnel to execute the Program Procurement

Management Plan with involvement from relevant stakeholders.

8.3 Direct Project 8.3.1 Direct program and project personnel to use the purchasing
procurement Management methods as per the approved Procurement Management Plan.

8.3.2 Direct program personnel to protect the achievability of target

program outcomes through appropriate and effective contract
negotiation and consultation with stakeholders.

8.3.3 Direct appropriate program personnel to manage contracts in

accordance with the contract, and legal and organisational
requirements.

8.3.4 Direct appropriate program personnel to ensure contract

requirements and performance criteria are understood by all relevant
stakeholders.

8.4 Review Program 8.4.1 Direct program personnel to ensure that deliverables are in
Procurement accordance with program and procurement requirements as part of
finalisation.

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AIPM Professional Competency Standards for Project Management - Part D

Element Performance Criteria

8.4.2 Direct program personnel to monitor and review the effectiveness of
procurement activities and take appropriate authorised corrective
action to ensure these support Program outcomes.

8.4.3 Direct the application of appropriate improvements from

procurement management lessons learned during the program for
improved project outputs and program outcomes.

Range Indicators

Program Procurement Management Plans outline the types of contracts to be used, contract
administration, contract closure, acquisition criteria, procurement statements of work, selection criteria,
preferred suppliers and it describes how procurement will be managed and executed across the entire
Program.

Procurement management plans may include:

 contract performance plans and an associated performance monitoring processes
 contractor and sub-contractor responsibilities, controls and reporting relationships
 vendor management and outsourcing arrangements
 procurement, test and acceptance procedures and payment schedules
 conflict resolution processes
 explanatory information (e.g. background, restrictions or expectations) relating to special terms and
conditions
 planning for long lead-time items and critical project components
 transition plans

Procurement processes include; processes: planning purchases and acquisitions, planning contracting,
requesting seller responses, selecting sellers, contract administration and contract closure.

Procurement administration tools such as:

 Contract Change Control System
 Buyer-Conducted Performance Reviews
 Inspections and Audits
 Performance Reporting
 Payment System
 Claims Administration
 Records Management System

The individual may be responsible and accountable for the outcome of procurement management
activities throughout the project life cycle that may:
 be done independently or by taking the lead in a team environment
 involve consultation with and selective involvement of appropriate project stakeholders
 involve the selection, modification and supervision of the use of appropriate procurement
management methods, processes, procedures, tools and techniques
 be conducted substantially non-routinely to meet complex, changing circumstances
 take into account the impact of organisational and environmental change on the project and vice
versa
Project personnel may include project managers working on subordinate projects within a program or
team leaders within a project.
Contracts or formal arrangements may require a single contract or several contracts. Project phases may
be treated as separate contracts in their own right, e.g. concept development, project definition study,

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AIPM Professional Competency Standards for Project Management - Part D

prototype development, full scale production and shut-down/finalisation; or there may be a prime contract
integrated with a number of sub-contracts. In some instances, for example, between government
departments, the contract may be in the form of an agreement such as a Memorandum of Understanding, or
possibly an informal undertaking to provide a service or product to another department. Selection of
appropriate formal arrangements and the legal implications of such agreements may require sound
judgement and complex analytical and communication skills.

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 the principles of procurement management and their application
 the principles of contracts and contractual legal requirements from the program management
perspective
 contract types, their capabilities, limitations, applicability and outcomes
 the principles of risk and reward contracts administration
 personal and team oriented contract negotiation skills
 procurement management processes and procedures

Skills
 literacy skills to communicate decisions, to comprehend complex contractual provisions and to write
quality reports
 negotiation skills to set up contracts, to agree prices and terms, and to resolve disputes
 planning and organising skills to ensure procurement processes are properly established and
sequenced
 analytical skills to review program performance and to recommend improvements
 managing expectations of stakeholders and clients

Evidence Guide

The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:
 program procurement management plan, strategies and documented processes
 product specifications
 records of analysis, evaluation of options, procurement strategy development
 communications with stakeholders and suppliers
 contractor identification, evaluation and selection records
 tendering documentation, evaluation criteria and selection processes
 contract negotiation documentation, e.g. contract negotiation strategies, plans, team and individual
directives or working documents
 progress measurement and conflict resolution process records
 records of development and management of contract change procedures
 records of test and acceptance procedures
 records of contract discharge procedures and documentation
 records of procurement management lessons learned and application in other projects

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AIPM Professional Competency Standards for Project Management - Part D

Project Director
Unit 9 - Plan, Manage, Direct and Review Program Integration

Definition: Integration is the management of the overall program and all subordinate projects, within
internally and externally mandated business rules, governance and stakeholder requirements, within
agreed baselines for the achievement of supplier/client requirements. Integration involves the management
of the other eight functions of project management, making trade-offs among competing objectives and
alternatives in order to meet and/or exceed project objectives throughout the life cycle ensuring at all times
that the program/ project is on track to meet desired strategic objectives established within the strategic
business plan.

Element Performance Criteria

9.1 Plan Program Integration 9.1.1 Identify and analyse program stakeholders to determine
their influence and impact on the program.

9.1.2 Develop the program organisation structure to establish

governance and integrate subordinate projects.

9.1.3 Identify organisational change requirements and

opportunities to meet the needs of the program in
consultation with stakeholders.

9.1.4 Develop and agree the Program change management

strategy with higher Program Authority.

9.1.5 Analyse the requirements of all subordinate projects and

identify, rationalise and integrate the interdependencies
across the program.

9.1.6 Develop and agree the Program management plan with

stakeholders and higher project authority.

9.2 Manage Program Integration 9.2.1 Manage the integration of all project management
functions within the program context.

9.2.2 Maintain alignment between program, subordinate projects

and organisational requirements.

9.2.3 Implement the Program change management strategy.

9.3 Direct Project Integration 9.3.1 Direct the project managers to adopt project management
Management systems and methodologies as prescribed in the Program
Management Plan.

9.3.2 Direct project managers to establish and implement

finalisation plans.

9.4 Review Program Integration 9.4.1 Monitor and control program performance against program
baselines.

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AIPM Professional Competency Standards for Project Management - Part D

Element Performance Criteria

9.4.2 Review program progress towards benefit realisation at
agreed program milestones.

9.4.3 Monitor and resolve conflicts between subordinate

projects.

Range Indicators

Program stakeholders have an impact on or are impacted by the program scope. They will include higher
level representatives from the project stakeholders within subordinate projects.

Program organisation structure is determined as the program is established to ensure that all program
human resources are within a structure suited to the needs of the program to facilitate effective co-
ordination and control of the program and subordinate projects.

Governance is the guidance, authorisation, structure and processes that are applied through the
organisation structure of the program and higher organisation to ensure that the program is controlled
legitimately to achieve the organisations’ strategic intent.

Organisational change requirements and opportunities Programs and projects are mainly developed in
response to some organisational need to change an aspect of the organisation currently operates to a new
direction. Work needs to be done to ensure that the requirements and any potential opportunities are
captured to ensure that the need for the program is properly scoped.

Program change management strategy is developed so that change requirements and opportunities are
mapped to program elements (subordinate projects) and communicated to stakeholders to ensure that the
program does have a positive impact upon the organisation in a way that they need.

Program management plan provides guidance on the governance system to be used on the program and
integrates the requirements of the nine functions of project management to be used to ensure appropriate control is
maintained across the entire Program. Each Project may then establish a subordinate Project Management Plan.

Finalisation plans provide the detailed plans to ensure that the program is efficiently and effectively
wound down and closed off without negatively affecting the delivery of benefits to the organisation.
Finalisation activities may include:
 transition of responsibility/ownership of project deliverables/products
 transfer of assets to the client or originating owner
 warranty requirements
 project evaluation
 final audit/reconciliation
 settling of financial liabilities
 finalisation of account codes and other financial documentation
 forwarding finalisation report to higher project authority

Benefit realisation is a clear responsibility within program management as project deliverables are taken
from projects many of them can achieve the required benefits during the life of the program. A benefits
realisation plan would be developed detailing the expected benefits to be realised from a program and how
these benefits are to be achieved.

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AIPM Professional Competency Standards for Project Management - Part D

Underpinning Knowledge and Skills

Detailed knowledge and understanding of:
 the program and project management process, life-cycle and the relationship between project and
programs
 planning and control procedures, resource management and risk management
 a range of suitable methodologies, techniques and tools available to program/ project managers
 the need for and application of leadership and management within a program environment
 internal and external environment factors that may affect the program
 issue resolution process

Skills
 high level leadership skills to gain confidence and trust from people working on all levels
 literacy skills to communicate decisions and to write quality reports
 high level prioritising, planning and organising skills
 innovation skills to develop new and better systems for managing in complex situations
 problem-solving skills to deal with project management issues

Evidence Guide
The following documentation or components of the documentation, completed by the individual, can
provide supporting evidence:
 records of rationalisation/integration processes to determine achievable program and project
objectives
 program management plans and sub-plans covering the nine functions of project management
 maintenance of processes for linking and co-ordination of program control mechanisms
 records of organisational and other environmental impact analysis
 records of co-ordination and implementation of subordinate projects and milestones
 records of establishment, measurement and reporting of progress in relation to baselines
 finalisation plans
 evaluations of completed projects
 lists of integration management lessons learned

Jan 2011 Version 1.2 Page 27