The APM

Project Fundamentals
Qualification (PFQ) Course
(BoK 7)

User Guide
21/06/2022

Version 1.0

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3
Contents

Contents .................................................................................................................. 4
Foreword ................................................................................................................. 6
Session 1: Introduction .......................................................................................... 7
Session 2: Projects, Programmes and Portfolios................................................. 9
Session 3: Project life cycles ............................................................................... 16
Session 4: Situational Context and Reviews ...................................................... 21
Session 5: Roles and responsibilities ................................................................. 26
Session 6: Stakeholder engagement ................................................................... 29
Session 7: Leadership and Teamwork ................................................................ 34
Session 8: Success, Benefits, and the Business Case ...................................... 39
Session 9: Scope, Config Management and Change Control ............................ 43
Session 10: Estimating ......................................................................................... 49
Session 11: Scheduling ........................................................................................ 53
Session 12: Resourcing ....................................................................................... 58
Session 13: Risk and Issue Management............................................................ 61
Session 14: Quality ............................................................................................... 66
Session 15: Deployment Baseline and Communication .................................... 69
Session 16: Procurement and Reporting ............................................................ 74
Session 17: Foundation Exam Simulator ............................................................ 77

4
5
Foreword

ILX Group is a leading developer and distributor of eLearning training products specialising in the area of project
and programme and service management.

This training course uses the very latest educational techniques to provide a learning environment which is
stimulating, easy-to-use and stress-free.

We hope you enjoy the course and that you find it a useful starting point in your training programme.

6
Session 1: Introduction All organisations such as the APM and PMI are
linked via the International Project Management
Association or IPMA, which is based in the
Netherlands, and is in effect an association of
S1P1: Introduction associations.
Tony: Much of their work is aimed at developing a
Welcome to this eLearning course in the subject of common set of standards and vocabulary for
project management. This eLearning material project managers, on a global basis and in
forms part of a number of training course options synchronising the various professional qualification
provided by ILX Group, all leading to the APM levels.
Project Fundamentals Qualification or PFQ.
Like all areas of specialisation, project
Once you have completed this introductory management has developed its own language and
session you will: conventions, which do differ slightly depending on
• Be familiar with the structure and content your geographic location or industry sector.
of this course Since this course is very specific in its objectives of
• Have familiarised yourself with some of addressing the APM examination, we will be
the relevant qualification bodies following the language used in the APM Body of
• Understand how the qualification for which knowledge.
you are now studying relates to other
project management related qualifications
and S1P3: Professional Qualifications
• Be familiar with the structure of the
examination and understand the approach Tony:
you should take in this blended learning Once you have attained The APM PFQ, we hope
course. that you will be inspired to further develop your
career as a professional project manager.

S1P2: Conventions and Terminologies Obviously, your first priority will be to accumulate
as much practical experience as possible in a
Tony: project management role. However, you will also
The APM is the largest professional body in need to gain further, more advanced qualifications
Europe representing the interests of professional if you are to be considered a true professional in
project managers and promoting project this field.
management as a profession and as a career
choice. Once you have completed The APM PFQ, you can
then go to the APM Project Management
Another organisation that you should be aware of Qualification which reviews the APM PFQ topics,
is the Project Management Institute or PMI, based introduces some new topics and goes into greater
in America. detail.
The PMI do roughly the same job in America as Axelos also offer examinations and professional
the APM do in the UK, in that they administer qualifications in project management, risk and
qualifications, promote standards and publish programme management – PRINCE2, MoR and
material related to project management. MSP respectively. Training in these is delivered via
They do have a presence in the UK, but they are Accredited Training Providers, such as ourselves.
much less prevalent here than the APM.
PMI's main publication is the Project Management S1P4: The Blended Learning Format
Body of Knowledge or PMBOK®.
Tony:
There are no serious incompatibilities between the This eLearning package has been designed to
PMBOK® and the UK-based publications that we provide you with all the information necessary to
have already seen, but being American, some of enable you to study and learn these topics before
the terminology is slightly different. the examination.
The PMI also administer a qualification known as In addition to the course, we have provided you
the PMP®, or Project Management Professional. with a set of notes which can be accessed from
This qualification is based on a mixture of the course resources tab.
examinations, evidence of achievement and
continuing professional development.

7
The course also includes an exam simulator which
contains a range of multiple-choice questions for
you to practice and increase your knowledge.

S1P5: The Examination

Tony:
Before we move on to studying each topic in detail,
it’s worth saying a few words about the
examination.
The examination is a closed book, multiple choice
examination and contains 60 questions and you
have 1 hour to complete the examination.
The pass mark is 60% so you must get 36 correct
answers to pass. If you are taking the exam
online, then you will be told your result immediately
after the examination.
Please note that if you have any special
requirements then please contact either the APM
Qualifications and Accreditation Department, or
ILX. Please allow plenty of time, so that the
appropriate arrangements can be made.
Remember that in some cases a medical
certificate may be required.

S1P6: Summary
Tony:
This concludes this introductory session. We have
explained the structure of the blended learning,
which consists of a mix of eLearning, self-study
and using the student manual.
So, to summarize session 1 we have:
• Familiarized yourself with the structure
and content of the course
• Been introduced to some of the relevant
qualification bodies
• Gained some understanding of how the
qualification for which you are now
studying relates to other project
management related qualifications
• Taken a look at the structure of the
examination.

This concludes this session.

8
Session 2: Projects, Programmes and Tony:
Portfolios So we have Scope, what we have to do, Quality -
the standard we require and the constraints of
Time and Cost.

S2P1: Introduction We also have to consider the Risks.

Tony: Project work is about delivering something new

Welcome to this session on the topic of Projects, and different and therefore will be risky.
Programmes, and Portfolios. It relates to Learning The amount of Risk that we are prepared to accept
Outcome 1, “Understand project management and will be dependent on the relative importance of the
the operating environment”. other objectives of Time, Cost and Quality.
During this session, our discussions will cover As an example, if your project needs to be
these assessment criteria: completed by a certain date, then you would
• Define the term ‘project’ probably want to minimise the threats to the end
date, whilst maximising any opportunities to
• State the difference between a project and
business as usual reduce the timescale.
• Define the term project management These objectives are often shown as a project
• State the purpose of project management pyramid.
and finally,
Why do we do projects?
• Define the terms ‘programme
management’ and ‘portfolio management’ Nita:
and their relationship with project To make things better.
management.
Pete:
Don't we call that the benefits?
We’ll start by considering the key project
objectives. Tony:
That's right. The purpose of the work is to achieve
some form of benefit.
S2P2: The Six Project Objectives Benefits are usually realised post-project after the
Tony: project ends, when the final deliverables have
Let's get started by making a list of the key project been handed to the customer, or client.
objectives. Priya, who realises the benefits?
Just take a few moments to make a few notes on Priya:
the project objectives and, when you’re ready, click The business areas concerned will realise the
the continue button shown on screen, or select benefits, but the Sponsor needs to make sure that
Ctrl, Alt and K on your keyboard. happens.
OK Pete. Start us off with one objective and Tony:
describe it for us. That's right, thank you. We're going to move on
Pete: now to consider the seventh objective of safety.
My first one was Scope.
This describes what the project has to deliver, and S2P3: The Seventh Objective – Safety
all the work involved in doing it.
Tony:
Tony:
We have linked the six objectives together in the
Good. Priya, what did you start with?
pyramid.
Priya:
Nita, why do you think that is?
I put Scope first and then I had Quality.
The Scope is delivered to a stated standard, Nita:
known as Quality, which we could think of as 'how I think it's because if we wanted to increase the
good does it have to be'. project's scope, then more money and time are
likely to be needed.
Nita:
I put those as well and then I added the constraints And, if time is running short, then our options are
of Cost, in other words, the budget, and Time, or to deliver less scope, increase the funds available
the duration of the project. or reduce the standard.
Tony: Typical questions to ask Gillian would be:
That's right. But what about "safety" which isn't tied
Have you got the start date in your diary?
to anything?
Is there anything that might prevent you from
Pete:
starting on this date?
Isn't this because we shouldn't compromise safety
in order to achieve one of the other objectives? Will the specification be available as expected?
Tony: If the answer to these questions is anything other
That's it exactly. than yes, then you have two weeks to resolve it.
Of course, this doesn't mean that everything being Failure to do this could mean that in two weeks’
done on a project is safe - working on a roof isn't a time you are trying to resolve a problem because
safe occupation, but it needs to be undertaken in a perhaps Gillian isn't available.
manner that reduces the risks to an acceptable
level. In health and safety terms, this is known as This approach can be thought of as firefighting, it's
not project management!
'as low as reasonably practicable'.

S2P4: Projects and Project S2P6: Projects Versus BAU - 1

Management Defined Tony:
The definition of a project states that it is a unique
Priya: transient endeavour, in other words it is not
A project is formally defined as: something we do all the time, and it has a
"A unique, transient endeavour undertaken to bring beginning a middle and an end.
about change and to achieve planned objectives" This contrasts with BAU which is a repetitive
And project management is defined as: process that is ongoing.
"The application of processes, methods, Consequently, when we manage projects we focus
knowledge, skills and experience to achieve on the delivery of the scope within the constraints
specific objectives for change" of time, cost and quality using project management
techniques such as risk management, quality
In essence project management is all about management, change control and so forth.
‘making it happen’. In other words, making sure
that the scope is delivered to the right standard, on On the other hand, BAU, uses process
time, on budget, safely and having taken into management techniques to deliver the business
consideration the risks, such that the end result (or objectives in the most efficient manner possible.
output) is capable of being used by the customer A second difference relates to the type of people
to realise the benefits. involved.
In BAU we have people with skills related to the
S2P5: Project Management - Future function, for example, in a restaurant kitchen we
have cooks, waiters and pot washers.
and Beyond
These are usually permanent.
Nita:
It is important to remember that project However, if the kitchen was being refurbished, we
management is about driving a plan forward rather would need a range of specialists such as kitchen
than reporting on the past. fitters, plumbers, electricians and these resources
are employed on a temporary basis for the period
Whilst reviewing what has happened is a key part
of the project.
of managing a project, it can be argued that it is
more important to look to the future, making sure
that the project team have the required information
and resources and are in a position to start S2P7: Projects Versus BAU - 2
upcoming work. Tony:
If not, then with this approach at least you have The third difference we can consider is the
time to do something about it! different way we approach risk.

For example, Gillian, our Systems Developer, is In BAU a risk with a 10% probability will occur,
supposed to be starting work on the system design statistically, every tenth operation and as BAU is
in two weeks’ time and will require the specification repetitive this could be quite often.
as an input. Therefore, we mitigate the risk in BAU.
10
In projects a 10% risk can be viewed as 9 times S2P9: Activity
out of 10 it won't happen and therefore need not
be mitigated. Tony:
An accessible PDF version of this activity can be
In projects, we are risk aware and tend only to found in Course Resources, which can be
mitigate the high priority of red risks. accessed from the Course Menu or by selecting
So BAU tends to be risk averse while projects are Ctrl, Alt and R on your keyboard.
risk aware. For each of the activities listed, use your skill and
Our fourth difference relates to the way we fund judgement to decide whether they apply most to
projects and BAU. Project Management or Business as Usual. Once
you’re happy with your choices, click the submit
Projects are funded from capital which can be button.
equity, or retained profits, or debt, a loan from a
bank or other lending institution. The activities are:

BAU on the other hand is funded from its revenue 1. Risk aware
income, which covers the cost of sale and the 2. Risk adverse
remainder is profit which either tops up the equity 3. Range of skills from different areas of
or repays the debt. specialism
4. Range of skills from one area of
A simple home example would be taking out a loan specialism
to refit the kitchen, which is capital and using our 5. Use all the budget
regular salary to pay for the weekly groceries. 6. Strive for economies
7. Deliver on time
8. Try to save time
S2P8: Projects Versus BAU - 3 9. Aim to meet standards
10. Aim to meet or exceed standards
Tony: 11. Deliver products
The fifth and final difference is the relationship 12. Deliver benefits
between, outputs, outcomes and benefits.
Projects produce outputs, which we also call
deliverables or products.
S2P10: A Programme Defined
Once these are handed to BAU the project is Priya:
complete and it is left to BAU to create outcomes Let’s move on now to consider programmes and
and benefits. programme managements. We’ve seen that
projects exist for a relatively short period of time,
Outcomes are the new way the business operates perhaps up to a couple of years. Once a project
now it has new products, the new operating model becomes extended over longer periods then
or we could say 'an outcome is the new way we do complexity increases such that it may become
things around here'. preferable to break the work down into smaller,
separately managed projects. A collection of these
Because we are doing things differently, benefits
smaller projects that are related, and when looked
accrue.
at as a whole, will enable an organisation to
A simple example would be a company that makes generate ‘benefits’, is known as a programme.
and sells chocolate bars.
The APM BoK definition states that a programme
The project develops a new chocolate bar, which is:
is the output,
“A unique, transient strategic endeavour
The salesforce sell the new bar, which is the undertaken to achieve beneficial change and
outcome, and incorporating a group of related projects and
business-as-usual, or steady-state, activities”.
The company profits increase, which is the benefit.
And programme management is defined as:
It is very important that you remember the
difference between outputs, outcomes and “The coordinated management of projects and
benefits as it is relevant to other parts of the business-as-usual (or steady-state) activities to
syllabus such as Business Case and programme achieve beneficial change.”
versus projects.
The ‘related business as usual’ activities
mentioned in the BoK definition relate to change
management and benefits realisation. This is a key
difference between project and programme
11
management. In the project management session, Programmes can vary in type and complexity.
we stated that benefits are achieved by the
If the focus of the programme is on making and
business using the outputs of the project. We also
delivering, then it is likely to be led by a
noted that this is outside the scope of the project
specification.
which ends when the outputs are handed over to
the customer and that one of the challenges faced It will be output driven and there is a high level of
by an organisation was the need to manage the clarity about the outputs and ambiguity about the
change of the projects’ outputs into everyday use outputs is low.
by the business. This is covered in programme
Any changes to scope are incorporated reactively.
management.
In other words, we would expect the changes in
the scope to be clearly identified by the users, we
S2P11: Programmes and Benefits wouldn't expect the programme team to be actively
looking to change the content of the programme.
Tony:
In the same way that projects are split into phases, Typical examples of this type of programme are
a programme is split into tranches. Let’s consider a construction, engineering and IT programmes,
small programme with three tranches and eight such as building an Olympic stadium, an oil rig or a
projects, named A to H. As each project comes to major database of patient records in the Health
a close, there will be some outputs that will be Service. These types of programmes are also
handed over to the business. The outputs are used known as super projects.
by the business to change the way in which “we do
things around here” and this is known as the
outcome. Benefits accrue as a result of these S2P13: Types of Programme - 2
outcomes.
Nita:
In a programme the task of moving the outputs into Some programmes are focused on organisational
outcomes is known as Change Management and change where the programme has to deliver a
this is the job of someone in the business – change in the way an organisation operates.
probably an operational manager. In the These business re-engineering programmes are
programme team they are known as the Business led by a vision of the future. There is a high focus
Change Manager. Each area that will be using the on benefits and the outcome is relatively clear but
project outputs is likely to have its own Business some ambiguity exists in the outputs. Much like
Change Manager. They are responsible for the the making and delivering programmes we
transition from the old way of doing things to the described previously, business re-engineering
new way. Once the workforce is using the products programmes will also react to change in the scope.
then the outcome will have been achieved,
assuming of course that they were the right A typical example of this type of programme would
products in the first place! It’s from these outcomes be a merger of two companies to produce a more
that the benefits will be realised. streamlined and efficient organisation.

Benefits will not occur naturally; they need to be Finally let's look at a third type of programme, one
identified and measured. Managers must take which deals with external or societal change.
steps to ensure staff are focussed on realising the These types of programme aim to change the way
benefits. in which people think and feel. They are driven by
a vision and the outcome. There is some clarity but
Change Management – going from the old to the also a high level of ambiguity about what can be
new and Benefits Management – actively pursuing achieved. The team will be continually monitoring
the improvements and benefits, are two of the key the scope of the programme, looking to change the
differences between programme and project content in response to events as they unfold.
management.
A typical example of this type of programme is a
neighbourhood regeneration scheme. Such a
programme might involve a number of projects
S2P12: Types of Programme - 1 designed to change the environment, but the
Nita: vision is also focused on changing peoples’
Programmes by their very nature are of a much behaviours. This is where the ambiguity exists,
longer duration than a project. and responsiveness is required.
If a project is typically 18 months to two years in
duration a programme will usually be two to ten
years in duration.

12
S2P14: What is a Portfolio? S2P16: Portfolio Management – Key
Tony: Processes
Let’s move on now to define what we mean by a Tony:
‘portfolio’. Let’s consider how a portfolio may be developed or
According to the APM BoK a portfolio is defined “shaped”. It starts with a strategic plan which
as: states the organisation’s strategy in the short,
medium and longer term.
“A collection of projects and/or programmes used
to structure and manage investments at an In order to achieves these strategic goals, the
organisational or functional level to optimise organisation will need to change and a portfolio of
strategic benefits or operational efficiency.” programmes and projects will be constructed and
prioritised.
Portfolio management as:
As the programmes and projects are delivered,
"The selection, prioritisation and control of an they report into the portfolio and the outputs of the
organisation’s projects and programmes in line review and the overall assessment of the portfolio
with its strategic objectives and capacity to is related back to the strategic plan so that senior
deliver". management can take corrective action if
The key element here is the inclusion of the necessary.
business-as-usual or BAU activities. In a
programme the related BAU activities refer to the
management of change and benefits. Whereas in S2P17: Shaping the Portfolio - 1
portfolio management, the BAU activities relate to Tony:
the day-to-day operations of the business, Shaping the portfolio requires senior managers to
whatever they may be. understand:
• The organisation’s ability to resource the
S2P15: Portfolios whole portfolio
• Any changes to the strategic direction or
Tony: the pace of strategic implementation
Portfolios can be managed at different levels within
the organisation. These are influenced by the organisation’s ability
So, in a large organisation, the ultimate portfolio to take on board changes whilst maintaining the
manager is the Chief Executive or company board. day-to-day operational activities.

However, in most cases this level of management Achieving the optimal prioritisation of a portfolio is
will be more concerned with setting strategic a complex task and involves balancing:
direction and establishing projects and • The relative priority of corporate goals
programmes for others to manage. • Quantitative and qualitative benefits
The portfolio manager has to manage the mix of • Short term gains versus long term gains
programmes, projects and the day-to-day activities • Changing external requirements, such as
as a portfolio. regulatory or technological
• Availability of key resources or the
A manager at a senior level within an organisation
allocation of people
may be tasked with managing his or her
• The risk profile of each programme or
department which includes the day-to-day
management of the business process, projects project.
and programmes.
At a lower level in the organisation, a departmental
manager at an operational level may have to
manage the day-to-day activities of the department
and a number of projects within it.
Both of these are in fact examples of portfolio
management.

13
S2P18: Shaping the Portfolio - 2 5. Introducing a strategic business change
over 5 years
Nita: 6. Building a new aircraft in 3 years and
Any person involved with portfolio management providing operational support to a range of
will be required to undertake a common set of customers at the same time
activities. These are: 7. Building a new office block in 3 years and
• The continual analysis of the projects and providing maintenance services to existing
programmes to ensure that they represent clients at the same time
value for money and together will achieve 8. Building a cricket pavilion in 6 months
the strategic aims of the organisation
• The prioritisation of projects and FEEDBACK
programmes within the portfolio, starting
new and stopping old, in order to reflect Spending 3 months refurbishing a kitchen, 6
the prevailing business and economic months building a cricket pavilion or completing an
conditions office move are distinct pieces of work and fulfil all
the criteria of a project.
They will also be monitoring the portfolio to ensure Building a motorway extension can be considered
it remains valid. as project, although a very large one, as it is
As well as adjusting the mix of projects and relatively well understood. It could however also be
programmes and BAU activities within the portfolio managed as a programme.
to match the current climate. Building and fitting out a new office over a period
They will also have to deal with challenges of two years or introducing a strategic business
associated with scarce or limited resources. change over 5 years are likely to be managed as a
programme with each aspect of the work being a
This may mean recruiting specific skills, but this separate project. The latter is a classic
must be considered against the backdrop of the programme, introducing strategic change, and will
current economic and business environment. require the delivery of a number of initiatives.
The portfolio manager will have to continuously The construction of an aircraft is complex and
balance risk versus return, the timing of projects could be either a large project, or a programme.
and most importantly manage the capacity However, the inclusion of operational support
bottleneck, where many projects will have a activities would indicate that this is a portfolio.
demand on the same resource.
The same could be said of building of an office. It
is likely to have a number of different elements
each managed as a project, but the inclusion of
S2P19: Activity business-as-usual maintenance activities indicates
Tony: that this would be managed as a portfolio.
An accessible PDF version of this activity can be
found in Course Resources, which can be
accessed from the Course Menu or by selecting S2P20: Activity
Ctrl, Alt and R on your keyboard.
Priya:
Here is a list of possible projects, programmes and Let’s try a few multiple-choice questions.
portfolios.
Which of these is best managed using project
The exercise here is to decide whether they would management?
be best managed as a project, programme or
portfolio. Once you are happy with your choices 1. Making car batteries
click the submit button. 2. Developing and introduction of new sales
processes
The possible projects, programmes and portfolios 3. Processing new sales orders
are: 4. Delivering orders
1. Refurbishing a kitchen to be completed
within 3 months
2. Office move to be completed within 6
months
3. Building and fitting out a new office within
2 years
4. Building a motorway extension to be
completed in 4 years
14
S2P21: Activity
Pete: • Define the term ‘project’
Which of these statements best describes a • State the difference between a project and
portfolio? business as usual
• Define the term project management
• State the purpose of project management
1. A collection of projects and finally,
2. A set of related projects and business as • Define the terms ‘programme
usual activities management’ and ‘portfolio management’
3. A set or projects and programmes used to and their relationship with project
manage investment at operational or management.
functional level
4. A group of related programmes This concludes this session.

S2P22: Activity
Priya:
Where there are limited resources, managing the
interdependencies between projects and
programmes is the task of:
1. Portfolio Managers
2. Resource Managers
3. Programme Managers
4. Project Managers

S2P23: Activity
Pete:
Which correctly describes the difference between
outputs, outcomes and benefits?

1. Projects produce outputs, benefits are the

result of changes in the operational
environment, outcomes accrue from
benefits
2. Projects produce outcomes, benefits are
the result of changes in the operational
environment, benefits accrue from outputs
3. Projects produce benefits, outcomes are
the result of changes in the operational
environment, outcomes accrue from
benefits
4. Projects produce outputs, outcomes are
the result of changes in the operational
environment, benefits accrue from
outcomes

S2P24: Summary
Tony:
This brings us to the end of our discussions on
Projects, Programmes and Portfolios. It related to
Learning Outcome 1, “Understand project
management and the operating environment”.
You should now be able to answer questions
related to the following assessment criteria:

15
Session 3: Project life cycles The feasibility of the project is assessed and if
found to be acceptable the project proceeds into
Definition.
S3P1: Introduction The main output of the Concept phase is the
Tony: Business Case.
Welcome to this session on the topic of Project The Business Case will continue to be developed
Life Cycles. It relates to Learning Outcome 2, during Definition.
“Understand project life cycles”.
The requirements of the project are first defined in
During this session, our discussions will cover the Concept phase, as are the success criteria,
these assessment criteria: they are then further refined in the second phase
• State the phases of a typical project life of the life cycle - Definition.
cycle During the Definition phase the preferred solution
• State the phases of a typical iterative life is further evaluated and optimised. This is often an
cycle iterative process and Definition can affect
• Define the term ‘hybrid life cycle’ and requirements and the project’s scope, time, cost
finally, and quality objectives. As part of this phase the
• Define the term 'extended life cycle'. Project Management Plan or PMP as it is known,
is produced and the resources required during the
Deployment phase will be identified.
S3P2: Definition of a Project Life Cycle
Tony:
All projects have a life cycle, at its simplest – a S3P4: The Four Phases of the Project
beginning, a middle and an end. It is likely that you
have a specific project life cycle in your
Life Cycle
organisation. Tony:
Deployment is the third phase of the project life
Perhaps more importantly is the way in which the
cycle. During this phase the Project Management
life cycle can be used when explaining other
Plan, or PMP, is executed, monitored and
aspects of project management. It answers the
controlled. In this phase the design is finalised and
“when” question. For example, requirements are
used to build the project’s deliverables.
gathered in Concept, refined in Definition, products
are tested in Deployment to see if they conform to Transition is the fourth and final phase in the
the requirements. Finally, acceptance testing project life cycle. The final project deliverables are
against the requirements is undertaken in handed over to the Sponsor and users during this
Transition. This approach can be adapted to many phase, after which the project is closed. This
other topics. includes finalising all project matters, carrying out
final project reviews, archiving project information
The Body of Knowledge defines a lifecycle in the
and redeploying the project team.
following way:
• A framework comprising a set of distinct
high-level stages required to transform an S3P5: The Extended Project Life Cycle
idea or concept into reality in an orderly
and efficient manner. Tony:
• Life cycles offer a systematic and The extended project life cycle covers the
organised way to undertake project-based Adoption phase which runs in parallel with the first
work and can be viewed as the structure part of the Benefits Realisation and Operations
underpinning deployment. phases.
During the Adoption phase the new product from
S3P3: The Four Phases of the Project the project will be used by the business as Usual
Life Cycle or BAU staff to create an outcome and hence
benefits.
Tony:
The project life cycle as described in the Body of However, this doesn’t just happen, it requires effort
Knowledge publication has four phases, namely by the BAU management to transform the output
Concept, Definition, Deployment and Transition. of the project into an outcome and hence realise
benefits.
Concept is the first phase of the project life cycle,
and it is here that the need, problem or opportunity This is the objective of the Adoption and Benefits
is confirmed and investigated. Realisation phases.
16
The Operations phase continues until the end of The recommendation from the study will often form
the useful life of the product. During Operations the basis for the Business Case.
the product may well be upgraded, and this may
The initial requirements will be established in this
require a new project to be established.
phase and refined as more is known about the
Finally, the Termination phase is concerned with project in later phases.
decommissioning the product. In some instances,
Having established the requirements in the
this could be as simple as throwing the old system
Concept phase, they will be refined in Definition as
away, or recycling the product (for example,
part of the planning activities.
replacing office furniture). In other cases, this
phase may consist of a programme of projects that The PMP or Project Management Plan is the major
last for many years, such as decommissioning a output of this phase.
nuclear power plant.
The Business Case was established in the
The full life cycle is known as the Product life Concept phase but now much more is known
cycle. about the project, its benefits, costs and
timescales so the Business Case will need to be
updated and refined.
S3P6: Activity S3P8: Deployment
Tony: Tony:
Complete the Product Life Cycle by dragging the As products are built in Deployment, they will be
following phases, name or description to the tested to see that they meet the specified level of
appropriate part of the diagram. quality.
• Project Life Cycle Part of the Project Manager’s responsibilities is to
• Adoption maintain the plan with the latest information during
• Concept the Deployment phase.
• Extended Project Life Cycle
The Project Manager will be assigning work to
• Transition
teams during Deployment.
• Deployment
• Operations Monitoring the progress of the project and taking
• Termination corrective action is a key responsibility of the
• Benefits Realisation Project Manager in the Deployment phase.
• Definition

S3P9: Transition
Once you are happy with your choices click the
‘Submit’ button to check your answers. Tony:
Acceptance testing is a key activity in Transition
where the final product of the project is tested
against the acceptance criteria that were
established in the Concept phase.
Successful acceptance testing leads to sign off by
S3P7: Concept Phase the customer or client in the Transition phase.
Tony: Before this phase ends, the Project Manager
The Business Case is established in the Concept should undertake a Post Project Review, to review
phase and approved by the Sponsor and the the way in which the project was managed.
corporate body.
One of the outputs of a Post Project Review will be
The projects context will be initially defined in the lessons learned information which can be
Concept. applied to other projects.
It will, like most things done in this phase, be
reviewed and refined in later phases.
S3P9: Adoption, Benefits Realisation,
If there is a need to investigate different Operations and Termination
approaches to solve the business problem or
need, a feasibility study will be undertaken in this Tony:
phase. Benefits are normally realised after the project has
finished and the products handed over.

17
If there has been a phased handover of the During this beginning part of the project the plans
products, then it is possible that some benefits will will be developed to fully answer the questions of:
be realised while the project is in Deployment, but What? Why? When? How? and Who?
the product itself is in operational use.
From there the project should progress into the
Outcomes are achieved by the business as staff Deployment phase, where the plans are executed
use the product, these outcomes lead to benefits. and the projects outputs are developed and tested.
A key task of the business, which is represented Finally, at the end of the project there is likely to be
by the Sponsor, is to ensure that benefits are some acceptance testing activities followed by
realised. handover to the customer.
This is partly achieved by ensuring that benefits
reviews are held during the Operations phase to S3P12: Iterative Life Cycles
maintain the focus on benefits.
Tony:
During Operations, it is usual for the product to be The iterative life cycle has six phases.
upgraded as it is used, and opportunities are
identified for improvements. The Pre-project phase ensures that only the right
projects are started, set-up correctly and based on
Once the product has come to the end of its life it a clearly defined project. Checks will be made to
will require decommissioning. ensure the project fits within the organisation's
As the product is no longer in use it will not be strategy.
supported. The Feasibility phase is concerned with ensure the
Decommissioning could simply be recycling the project is both technically feasible and from a
product, or establishing a large decommissioning business perspective is cost-effective. The effort
programme, as in our nuclear power station associated with this phase should be just enough
example. to decide whether further investigation is justified
or whether the project should be stopped.
This is a task in the Termination phase.
Assuming the project passes through the
In the Termination phase a final review of the Feasibility phase, the Foundations phase will
product takes place, to see if anything useful can establish a fundamental, but not detailed:
be learned that can be applied to other projects in
the future. • understanding of the business rationale for
the project
• potential solution that will be created
S3P11: Exercise • way development and delivery will be
managed.
Tony:
Here's a short exercise. Consider your own
working environment. It is important to avoid undertaking analysis at too
low a level, the detail of the requirements is
Take a pen and paper and try listing the phases of intentionally left to the Evolutionary Development
your organisation’s life cycle and the outputs of phase.
each phase.
The aim of the Foundations phase is to understand
If your organisation doesn't have a defined project the scope of work and, in broad terms, how it will
life cycle, then try listing the phases of the APM be undertaken.
BoK life cycle.
We’ll move on now to discuss the remainder of the
When you've completed your notes click on the iterative life cycle.
Feedback button, or select Ctrl, Alt and K on your
keyboard.
S3P13: Iterative Life Cycles
Tony:
FEEDBACK: During the Evolutionary Development phase the
Any life cycle you have described should have a solution will evolve.
distinct start, where the feasibility is established, The teams will use iterative development,
the approach to the delivery is identified and the timeboxing and MoSCoW prioritisation, along with
team formed that will complete the delivery. modelling and facilitated workshops, to converge
A Business Case will be established. over time on a solution that meets the business
needs and is built in the right way.
18
Working with timeboxes the team create solution S3P15: Activity
increments, iteratively exploring the low-level detail
of the requirements and testing continuously as Pete:
they move forward. Let’s try a few multiple-choice questions.

During Deployment a baseline of the evolving Which of these is confirmed in the feasibility phase
solution is brought into operational use. The of an iterative life cycle?
release that is deployed may be the final solution A. Confirmation that the project is cost-
or a subset of the final solution. effective from a business perspective
After the last release the project is closed. B. Confirming the project is technically
feasible
During the Post-project phase checks are C. Identifying a potential solution
undertaken to check how well the expected D. Deciding whether to spend further time
benefits have been met. and effort on the project
Whilst there is a clear progression from one phase
to another the arrows indicate there is a return
path which can be implemented if necessary.
S3P16: Activity
The Iterative Project Life Cycle diagram shows six Priya:
phases: Pre-project phase, Feasibility phase, Which of these activities is undertaken in
Foundations phase, Evolutionary Development Transition?
phase, Deployment phase and Post-Project phase. 1. Redeploying the project team
In the Iterative Life Cycle, phases can be repeated 2. Realising Benefits
before moving onto the next one. To demonstrate 3. Performing a Decision Gate
this, the diagram shows that the life cycle starts 4. Disposing of project records#
with the Pre-project phase and then goes into the
Feasibility phase, which then moves into the S3P17: Activity
Foundations phase. From the Foundations phase
the diagram then shows the Evolutionary Tony:
Development phase off to one side and shows that Project closure normally takes place following the:
from Evolutionary Development, you can move 1. Feasibility phase
back and forth between this phase, the 2. Concept phase
Deployment phase and the Foundations phase. 3. Deployment phase
After the Deployment phase, the project moves 4. Design phase
onto the Post-Project phase.
S3P18: Activity
S3P14: Hybrid Life Cycles Nita:
Which of these best describes the approach to
Tony: adopting a ‘hybrid’ life cycle?
Up to this point we have presented the linear and
iterative life cycles, but in reality, there isn’t a “one 1. A hybrid life cycle uses parts of the linear
size fits all” life cycle. life cycle and concludes with an iterative
approach
It is important to consider the context of the 2. Parts of the linear life cycle use an iterative
project, what the organisation wants to achieve approach
and tailor the life cycle taking the most appropriate 3. The life cycle approach changes in each
parts of both. phase
For example, the use of an iterative approach 4. The correct blend of life cycle will be
could be applied to the Definition phase and during determined after discussion with the
Deployment it is possible to include incremental relevant stakeholders
delivery.
Blending life cycles takes great skill and S3P19: Summary
practitioners of both approaches should be
involved in any discussions relating to a hybrid life Tony:
cycle. This brings us to the end of our discussions of
Project Life Cycles. It related to Learning
Outcome 2, “Understand project life cycles”.

19
You should now be able to answer questions on
the following assessment criteria:
• State the phases of a typical project life
cycle
• State the phases of a typical iterative life
cycle
• Define the term ‘hybrid life cycle’ and
finally,
• Define the term extended life cycle.
This concludes this session.

20
Session 4: Situational Context and Economic, Social, Technical, Legal and
Reviews Environmental.
Under each heading ask yourself and the rest of
the team what affect this subject has on my
S4P1: Learning Objectives project?

Tony: Are there any stakeholders in this area?

Welcome to this session on the topics of What are their views likely to be?
Situational Context and Reviews. It relates to
Learning Outcome 1, “Understand project What are the risks, both threats and opportunities?
management and the operating environment” and Are there any issues?
Learning outcome 8, Understand quality in the
context of a project. What are the constraints?

During this session, our discussions will cover Are there any dependencies in this area?
these assessment criteria: Asking and answering the questions doesn't take
• Describe why PESTLE analysis might be long, reviewing the answers and deciding the next
used by a Project Manager and step will take some time though.
• State the purpose of decision gates, post
project reviews, benefits reviews and
project audits. S4P4: Political, Economic and Social
We’ll start by considering the situational context of Nita:
projects. Let's look at the PESTLE headings in a little more
detail.
Under the Political heading, consider the internal
S4P2: What is the Situational Context politics of the organisation, are there differing
agendas amongst the key internal stakeholders
Tony: and how will this affect the project?
Let’s begin by considering what is meant by the
project’s context. All projects are undertaken in an What about the wider world of local and national
environment, whether it’s within an organisation or government?
in the wider community. The way in which the Is there an election planned and what is the
project is managed will be affected by this likelihood of change in the ruling party and will this
environment, such as the industry sector, affect the project?
geographical considerations, the use of virtual
teams, financial impact and the effects of Will European or International Governments have
technology and so on. This is known as the Project to be considered?
context or environment. Under the Economic heading consider the costs of
The BoK defines it like so: the project.

"A collective term for the societal and/or How will they be funded?
organisational setting of a project, programme or What are the operational costs?
portfolio".
Are grants available for the project?
We need to consider both the internal context of
the project and its stakeholders as well as the Will the type of contract affect the cash flow and
external context within which the project is located. borrowing requirements?

S4P3: PESTLE In the Social Environment, what effect will the

project have on local society?
Tony:
Once the type of project is understood, elements Will it bring employment?
which influence the project should be established. Will there be an influx of workers, and will this
This is undertaken during the Concept phase and affect the local people?
refined in Definition. It is also useful to revisit these
influences throughout the project. If the project is being undertaken in a different
culture how will this affect the way in which the
A useful tool for establishing these influences is a project will be managed?
PESTLE analysis. PESTLE stands for Political,
S4P5: Technical, Legal and Nita:
Environmental We should also identify the major risks and then
we can allow for them in our planning, both for the
Nita: threats and the opportunities.
Continuing our look at the PESTLE headings,
under the Technical heading you might ask Tony:
yourself and the team if the technology being used That's right. Issues may also be generated as will
by the project is standard or breaking new ground? key constraints and dependencies along with any
important assumptions.
If the products under development require new
technology or are in themselves new technology, This information will affect the way in which you
what affect is this likely to have on the costs and plan and manage the project.
the risks? Remember, it is fundamental to your project's
Does your project have to comply with any success.
Legislation, for example regulatory requirements
for aircraft or nuclear power?
S4P7: Exercise
Is a public consultation required?
Nita:
Is the project affected by local by-laws or Under Edge is small country town with a vibrant
European legislation? local community, located in a picturesque part of
What are the Health and Safety regulations for England.
your particular industry sector? It is a regular stopping point for visitors and
Finally, what about the Environmental issues? Will tourists.
you be building on a Site of Special Scientific However, in the last five years the large expansion
Interest? of an industrial park in a town 15 miles away has
What about protected species newts and bats for increased the traffic flow through the town.
example? Under Edge is on the main route between the
What about pollution and waste disposal? industrial park and the motorway.
Are you building on a brownfield site and if so what Queues are now commonplace through the town
are the likely environmental considerations? especially at peak times.
Will your project generate waste and if so how will You have heard that government is considering
it be disposed of safely? which road schemes to fund, and which should be
deferred on a national basis.
A bypass has been proposed and the project is in
S4P6: Benefits of Environmental its early stages.
Analysis The bypass will take some land off the local golf
Tony:Now that we've considered how to do an club and will also pass through the edge of some
environmental analysis, what information do you ancient woodland which is home to several
think it will provide? endangered species of flora and fauna.
Your task here is to undertake a PESTLE analysis
for the project.
Nita: Once you are happy with your efforts, click the
It should help us to establish all the environments Feedback button, or select Ctrl, Alt and K on your
that may affect us and affect the way we manage keyboard to view our sample answer and compare
the project. it with your own.
Pete:
I agree. It should also help us to identify the key FEEDBACK:
stakeholders and then we can find out what they
think about the project. When we considered the Under Edge bypass
scheme, this is our view.
Priya:
That's going to be very important and may affect Let's begin by considering the Political situation.
the structure of our team, if we need to represent
them on the steering group for example.

22
Government support should be checked as it may S4P8: Project Reviews in Context
be a scheme that may be deferred in the light of
government spending cuts. Tony:
Project reviews are held throughout the project life
The Local Council views should be understood. cycle.
It is likely that there would have been pressure for Decision Gates are held at the end of Concept and
a bypass for some time, but inevitably there will be Definition phases and depending on the risk within
some who prefer a different route, or no bypass at the project we might hold these reviews every few
all. months in the Deployment phase.
And what about the Economic factors? Pete, can you pick up from here?
Funding should be considered. Pete:
Will the project be funded nationally, or will there Thanks Tony. Audits, which are undertaken by an
be investment required from the local areas? external body, can be held at any time.

It is likely that the workforce will spend money At the end of the project, we will hold a Post
locally and therefore boost the local economy. Project Review and during Benefits Realisation we
will hold at least one Benefits Review.
However, if traffic is diverted, then it is likely that
passing trade will be lost and several businesses
may object to the proposals. S4P9: Decision Gates
Consider having signs at each end of the bypass Priya:
indicating that local services are available. A Decision Gate is held by the Project Sponsor
The absence of heavy traffic through the town will and with input from the Governance Board, the
be welcomed especially, by parents and local Sponsor will authorise the continued investment in
commuters. the project, or not as the situation dictates.
This stakeholder group is likely to be supportive of It is also a sponsor responsibility and one of the
the project. This is a significant Social factor. benefits of the lifecycle is it gives us the
opportunity to hold Decision Gates.
In terms of the Technical factors, this is a relatively
straightforward project so it's unlikely that there will The Gate happens at the end of a phase and the
be any technical issues. Sponsor will look back to check that the last phase
has completed correctly.
A full survey of the route will be required to ensure
that the underlying land is suitable for a road. Then the Sponsor looks forward to check there is
an achievable plan in place.
And what about the Legal considerations?
The risks, issues and changes will be reviewed to
Well, this will require careful consideration. make sure they are under control and finally, the
Planning applications will be required. Sponsor and Governance Board will check the
Business Case is still valid and the project is on
It is also likely that Public Enquiries will be held as track to deliver the required outputs, outcomes and
well as various consultations. benefits.
These could delay the project and increase costs. Assuming all these aspects are positive then the
Compulsory purchase will be required for the land. Sponsor will give the go ahead to open the gate
and start work on the next phase.
Finally, the Environmental considerations are likely
to give rise to most problems. If there are concerns or for any reason the
business case is invalid the project should be
The route touches the golf club and local farmers stopped, or re-directed.
may object to losing their land.
The benefit of the Decision Gate is “it gives the
The ancient woodland will give rise to many issues Sponsor and Governance Board the opportunity to
related to protected species, conservation and so confirm the continued investment in the project”.
forth.
Remember from an exam perspective when you
This area should be carefully examined to resolve are stating benefits they should always reflect a
these risks and issues. positive. The APM do not consider that avoiding a
negative is a benefit.

23
S4P10: Internal Audits And they can be held at any time?
Pete: Pete:
I’m going to move on to discuss an internal audit. Yes, and it is common to hear people preparing for
an audit.
It is undertaken by someone other than the Project
Manager, such as someone from the project office But in reality, if you are following your processes
or project assurance. that shouldn't be necessary, so if you are
preparing, it either means you aren't following the
This makes sure the review results are seen to be process, and you should change the way you
independent and not biased or influenced by work, or the process doesn't work, in which case it
individuals within the team. should be changed to reflect reality.
It gives assurance or confidence to the Sponsor The benefit of holding an audit is it gives
and governance board that the project is being independent assurance to the senior management
managed properly and is likely to achieve the team that the project is being managed correctly or
desired result. gives them chance to take corrective action if not.
The audit agenda will include:
• A review of progress to date
• A review of risks, issues and changes
S4P12: Post Project Review
• Any problems or concerns Tony:
• A review of the way the project Priya and Pete have given us an excellent review
management processes are being used of Decision Gates and Audits and I’m going to take
• Consideration of stakeholder engagement you through the Post Project and Benefits
activities and Reviews.
• A review of lessons identified and applied A Post Project Review is held at the end of the
to future phases or other projects. project in Transition.
Its purpose is to answer the question 'did we do it
This is the first time we have mentioned lessons, right?’ and from that establish any lessons which
and these can be positive, what went well and we can take forward and apply to other projects.
should be done again,
This means we will go back to the initial baseline
or negative, what didn’t go well and should be of the PMP produced at the end of Definition and
avoided in future. compare it to the current version.
When identifying lessons, it is important to identify It's likely that many things will have changed over
the cause and effect and most importantly the the period and during the review we will look at the
action that should be taken in the future. risk, issue, change and quality registers or logs so
The benefit of holding an internal audit is it gives we can establish how well we managed the
confidence to the senior management team the project.
project is being managed correctly or gives them We will investigate the way we used our project
chance to take corrective action if not. management processes, the performance of
individuals and teams, and answer the question
'was the project as success'?
S4P11: Audits
In other words, did we meet our success criteria.
Priya:
Pete, am I right in thinking that an audit would This review will be undertaken by the Project
have the same agenda as an internal audit? Manager and include key stakeholders.

Pete: On the next page we'll cover Benefits Reviews,

Yes, that's right Priya, but as the auditor will be which answer the question 'did we do the right
external to the project and possibly the thing'? - compared to the Post Project Review
organisation there is the view that the project must which answered the question 'did we do it right'?
pass an audit. The benefit of holding a Post Project Review is it
If the auditor finds a problem or non-conformance, identifies lessons to help improve performance of
they will raise this in their report and the project future projects.
may be stopped until it is rectified, particularly if it a
serious concern.
Priya:
24
S4P13: Benefits Review S4P16: Activity
Tony: Pete:
The Benefits review is undertaken by the Project Environmental constraints should be considered
Sponsor. on:
The aim is to make sure that the users are using 1. All projects
the project's outputs correctly and generating the 2. Complex programmes only
outcomes, which you will remember, are the 3. Commercial projects only
changes to the BAU operation. 4. Information Systems projects only
Because of the outcomes, benefits accrue.
The Sponsor must meet with the users and make S4P17: Activity
sure this is happening. If it isn't then corrective Tony:
action can be taken. Which of these best describes a project’s
The number of benefits reviews will depend on the environment?
size of the change and the timeframe over which 1. The political influences which will affect the
benefits are expected. management of the project.
The benefit associated with these reviews is that 2. The environment within which the project
they provide a focus in the transition of outputs into operates, both internally and externally.
outcome and hence benefits. 3. The external influences on the project’s
management.
They encourage the users to take on board the 4. The environmental aspects relating to
new products enthusiastically. protected species which affect the
project‘s management.

S4P14: Activity
S4P18: Summary
Priya:
Let’s try a few multiple-choice questions. Tony:
This brings us to the end of our discussions of
Which review is used to decide whether to Situational Context and Reviews. It related to
continue the project or not? Learning Outcome 1, “Understand project
1. Post project review management and the operating environment” and
2. Internal audit Learning outcome 8, Understand quality in the
3. Audit context of a project.
4. Decision Gate You should now be able to answer questions
related to the following assessment criteria:
S4P15: Activity • Describe why PESTLE analysis might be
used by a Project Manager and
Priya:
• State the purpose of decision gates, post
Areas covered by a PESTLE analysis are:
project reviews, benefits reviews and
1. Political, Economic, Sociological, project audits.
Technical, Legal, Environmental
2. Personnel, Economic, Safety, Training,
This concludes this session.
Legal, Estimating
3. Political, Ecological, Safety, Technical,
Lifecycle, Environmental
4. Personnel, Ecological, Sociological,
Training, Lifecycle, Estimating

25
Session 5: Roles and responsibilities the plans and strategies for the project as we
discussed in the session about the PMP.
Tony:
S5P1: Introduction Thanks both, I think we have covered Concept and
Definition.
Tony:
Welcome to this session on the topics of Roles Let's move on to Deployment.
and Responsibilities. It relates to Learning
Outcome 3, “Understand the roles and
responsibilities within projects”. S5P3: Project Manager
During this session, our discussions will cover the Tony:
following assessment criterion: During the Deployment phase, the PM will issue
• Outline project management roles and work packages to the teams, review progress
responsibilities, including the Project reports, checking actual progress against the plan,
Sponsor, Project Manager, project and of course taking corrective action if needed.
governance, project team members, end The PM will also report to the Sponsor and
users, product owner and the project Steering Group and hold review meetings as
management office. required.

We’ll start by considering the role of the Project A key aspect of the PM's role is to manage risks,
Manager. issues and change and to lead, build and motivate
the team.
During the final phase of Transition, the PM will
S5P2: Project Manager make sure the project is handed over to the
customer and that all the project closure activities
Tony:
are completed
Let's begin the session with an activity. Using pen
and paper, try making some notes about what you and chair the Post Project Review.
think the Project Manager does during the project.
Let's move on now and consider the activities
Structure your list by life cycle phases. undertake by the Project Sponsor.
When you're ready 'click here' to continue, or
select Ctrl, Alt and K on your keyboard, and listen
to our thoughts.
Pete, can you start with your views about the PM's S5P4: Project Sponsor
jobs during the Concept phase. Tony:
Pete: Sponsorship is defined as an important senior
Yes of course Tony. During the Concept phase the management role.
Project Manager will be working with the Sponsor The Sponsor is accountable for ensuring that the
to prepare the Business Case. work is governed effectively and delivers the
This could include running a feasibility study if one objectives that meet identified needs.
is required. This is perhaps the most important role in any
The PM will definitely need to gather the high-level project and the Sponsor is responsible for the
requirements and identify the key areas of scope. project, its Business Case, budget and the
resulting achievement of benefits.
Along with other activities including undertaking an
analysis of the project environment using PESTLE The Sponsor is the primary risk taker and will chair
and an initial stakeholder analysis. the steering group.

Priya, can you take us through Definition please? Accordingly, a Sponsor is normally a senior
manager within an organisation and must be
Priya: empowered to make decisions by corporate
Yes I can Pete. During the Definition phase the PM management.
will be responsible for working with the team to
create the PMP. It is important that whoever takes the role must
have the capability and the time available to
This is likely to include holding a planning commit to the project.
workshop, discussing estimates with the team,
updating the Business Case and establishing all
The Sponsor should ideally stay with the project select Ctrl, Alt and V on your keyboard for an
throughout its life cycle. accessible version. When you’re ready click
continue, or select Ctrl, Alt and K on your keyboard
Many large projects cross organisational
to move on.
boundaries and as such internal politics can
become an issue for the project. Successful agile teams display five key attributes
shown on screen now.
Therefore, the Sponsor must have sufficient
authority to cross these boundaries and engage Please take a few moments to click onto each
the stakeholders to ensure that they all support the attribute to discover the result of focusing on these
aims of the project. key attributes, or again, select Ctrl, Alt and V on
your keyboard for an accessible version

S5P5: Other Roles

S5P7: Project Office
Tony:
Before we finish let’s consider the three key roles Priya:
within the project, which are the Users, Project Typically, the responsibilities of a project office
Governance which we also call the Steering Group cover five distinct areas shown here.
and the Project Team Members.
Press the button on screen or select Ctrl, Alt and K
The Users define the requirements for the project’s on your keyboard to see these responsibilities
outputs, they will get involved in testing the again, or select Ctrl, Alt and V on your keyboard
products as they are produced and will undertake for an accessible version.
the User Acceptance Testing at the end do the
You may have people who offer some or all of
project.
these services to your projects. In some
Once the project has gone live the Users will use companies the Project Manager has to do all these
the outputs to create outcomes and benefits. tasks as well as manage the project.
Project Governance or the Steering Group on the The benefits of having a support function to
other hand consists of key stakeholders including undertake these activities are:
representatives from the Users, supplier and other
interested parties. It is chaired by the Sponsor and • For administration it is more cost effective
the PM will report to it. as administrators are usually paid less
than Project Managers.
The main responsibility of Project Governance is to • The benefit of a centre of excellence
provide strategic direction for the project and means the Project Manager has access to
resolve any issues. advice and guidance from specialists,
The Project Team Members report to the Project rather than rely on their own, probably
Manager and are responsible for creating the limited, expertise in some or all of these
project’s products. areas.
• Having a group which includes standards
The team take direction from the PM and provide and guidelines means they can help with
progress reports on a regular basis, often weekly. governance and audit and it provides a
A key part of their responsibility is to test the focus for continuous improvement
products as they are building them, and when activities.
appropriate they will involve the Users in the • Having configuration management as part
testing too. of a project office means they can manage
the configuration in the live as well as the
development environment. This helps the
transfer into live operations.
S5P6: Three Agile Roles • Finally, a project office can be the
Tony: functional home of the PM and the benefit
In an agile environment there are three common here is the PM can get functional support,
roles which are: advice and guidance from colleagues.
• Cross functional team members
• Product owner and
• Team facilitator.

Please take a few moments to click onto each role

and review a short description of each role, or
27
S5P8: Activity Sponsor, Project Manager, project
governance, project team members, end
Pete: users, product owner and the project
Let’s try a few multiple-choice questions. management office.
Which project role owns the Business Case?
1. Project Manager This concludes this session.
2. Project Sponsor
3. Project Team
4. Project Manager and Project Sponsor

S5P9: Activity
Nita:
Which statement best describes a responsibility of
the Project Sponsor?
1. Monitoring progress and use of project
resources
2. Analysing the project team’s productivity
3. Ensuring the benefits of the project are
realised
4. Planning project evaluation reviews for
lessons learned

S5P10: Activity
Priya:
Fill in the missing word. A project office can range
from simple support functions for the project
[missing word] to being responsible for linking
corporate strategy to project execution.
1. Assurance
2. Sponsor
3. Manager
4. Member

S5P11: Activity
Tony:
Which role is responsible for obtaining project
funding?
1. Project Manager
2. Project Sponsor
3. Project Team
4. Project Manager and Project Sponsor

S5P12: Summary
Tony:
This brings us to the end of our discussions of
Roles and Responsibilities. It related to Learning
Outcome 3, “Understand the roles and
responsibilities within projects”.
You should now be able to answer questions
related to the following assessment criterion:
• Outline project management roles and
responsibilities, including the Project
28
Session 6: Stakeholder engagement Like many of the topics we have considered the
process for stakeholder engagement divides neatly
into five steps. These are:
S6P1: Learning Objectives • Identifying the stakeholders
• Deciding which project objective they are
Tony:
most interested in
Welcome to this session on the topic of
• Establishing the power and interest of
Stakeholder Engagement. It relates to Learning
each stakeholder and whether they are
Outcome 4, “Understand project management
for, or against the project
planning”.
• Plotting them on a grid to help define the
During this session, our discussions will cover this engagement actions, and finally,
assessment criterion: • Preparing a communications plan based
on the analysis and implementing the
• Explain how a stakeholder analysis
engagement actions
supports effective stakeholder
engagement.
We shall take a look at each step in turn.
We’ll start by considering the role of the Project
Manager.
S6P4: Step 1 - Identifying the
Stakeholders
S6P2: What does Stakeholder
Tony:
engagement mean? Stakeholders are identified in two main ways.
Tony: The most common approach is brainstorming
In any endeavour there will be people who are where the team get together and make a list of all
interested in what we are doing. the stakeholders they can think of.
Some of these can influence what we do, others The other major source of stakeholders is the
are just interested. contextual analysis.
Some will be in favour of the activity; some will be The project's context is established in the Concept
against. phase and one of the key outputs of the analysis
We call these individuals and groups will be a list of stakeholders and their likely
"stakeholders" and there are two schools of concerns.
thought about stakeholders in a project. Like many other aspects of management such as
Some people believe that stakeholders are people requirements, benefits and risk management the
or groups outside the project team. principle "identify in concept, refine in definition
and maintain throughout the project", holds true for
Others believe that the team should be included stakeholders.
when we are considering stakeholders.
When you make a list of stakeholders, include as
As with many things in project management there much information about them as you can, including
is no "right answer", just different opinions. the contact details.
In this session we shall include the project team as Nita:
part of our stakeholder community. Let's illustrate this with an example Pete. How
The APM’s BoK defines stakeholders as about the proposed new train line between
“Individuals or groups who have an interest or role Birmingham and London?
in the project, programme or portfolio, or are Pete:
impacted by it” and stakeholder engagement as Yes, that's a good idea. Let's take a few moments
“The systematic identification, analysis, planning to make a list of stakeholders.
and implementation of actions designed to
influence stakeholders”. When you have made your list, click the button on
screen, or select Ctrl, Alt and K on your keyboard
to continue.
S6P3: The Process Here's a list of possible stakeholders that we've
Tony: identified:
1. Rail infrastructure owner
2. Train operator
 3. Commuters S6P6: Step 3 - Power, Interest, For or
4. General public Against
5. Landowners
6. People who live on the route Tony:
7. Contractors In this step of the process the amount of power
8. Government transport ministry and interest each stakeholder has is evaluated.
9. Government environmental ministry We also consider whether this person or group is
for or against the project, or perhaps undecided.
Nita: There are different ways of grading power and
I think there will be many more in practice but for
interest. We use a scale of low medium or high.
now we can work with these.
Nita:
Let's move on to step 2.
For each stakeholder on our list, make some notes
about your views on the amount of power and
interest the stakeholder has and whether they are
S6P5: Step 2 - The Most Important likely to be for or against the project, or undecided.
Objective
When you have made a list, click the continue
Tony: button shown on the screen, or select Ctrl, Alt and
Now that we've identified the stakeholders we can K on your keyboard.
move onto the next step and identify which of the
Pete:
project's objectives is most important.
OK, I've made my list. You can view this on screen
In every project one of the objectives is more now, or select Ctrl, Alt and V on your keyboard for
important than the others. an accessible version.
Sometimes it's time, like the Olympic stadium Nita:
being ready for the 2012 Games, other times That's very similar to mine. Now we can plot these
quality or cost may be more important. on a grid.
It is likely that stakeholders will have different
views on which is the most important objective.
S6P7: Step 4 - Plotting on a Grid
So, in this step we try to identify the objective they
are most interested in be it time, cost or quality. Tony:
Try to pick just one. Having identified the stakeholders, their key areas
of interest, their power and interest we can plot
Understanding these factors will help us to them on a grid.
communicate with the stakeholders during the
project. The grid is divided into nine areas. In the top right
we have those stakeholders with high power and
Pete: interest, and these will be our partners.
How will this work out in practice Nita?
In this context the term partner does not have any
Nita: contractual implications.
Well, using the list we built in the last step I have
listed the factors I think would be the most It means that these are people who should actively
important to the stakeholder. You can view these contribute towards the project.
on screen now, or select Ctrl, Alt and V on your If any of the stakeholders in this area are negative,
keyboard for an accessible version. they will require careful management. You may
Pete: find it useful to replicate the grid for negative
Of course, in the real world we would have to do stakeholders.
some research and the simplest way would be to Groups in this area are sometimes known as
ask them. active supporters or active blockers.
Nita: To the left of the partners, we have those people
That's right. Let's move onto step 3. who we could involve and engage.
This is an interesting area. People with high power
and low interest are either passive supporters, if
they are positive or passive blockers if negative.
It may be useful to encourage passive supporters
to get more involved in the project and move them
30
towards partner status, in any event they should Nita:
be “kept satisfied”. What about the people that live along the route?
However, passive blockers need to be kept Pete:
satisfied. Well, they will have to be consulted so the project
team will have to establish a number of public
If their interest is roused, they will very quickly
consultations.
move into the active blocker mode.
These will require a significant amount of planning
Those with low to medium power but low interest
and then the results will require analysis.
levels fall into the category of 'keep informed' and
the remaining groups are those stakeholders we Nita:
need to consult with. In conclusion, as well as deciding how to
implement the actions, it will be necessary to plan
These different categories represent the way in
them into the schedule and allocate the
which we will engage with the stakeholders, and
appropriate resources, people and money to
we call them 'engagement actions'.
undertake them.
In all areas careful consideration needs to be given
On most projects this will involve a significant
to the negative stakeholders and actions may be
amount of work that mustn't be overlooked.
required to change their viewpoint.
Finally, we should also consider if we should try to
change a stakeholder's position on the grid and S6P9: Alternative Grid
how this would be achieved.
Tony:
So far, we have based our discussions on a 3 x 3
S6P8: Step 5 - Engagement Actions grid, but the BoK suggests using a 2 x 2 grid.
Nita: This is shown on screen now and you can see that
OK Pete, let's plot our stakeholders on the grid and we have shown the negative side as well as the
then decide what to do with them. positive side.
Pete: The basic engagement actions are similar to those
Good idea. The grid would look like this. You can we have already discussed but you should note
select Ctrl, Alt and V on your keyboard for an that instead of “involve or engage” we have shown
accessible version if required. this as “keep satisfied.”
Pete: Keep satisfied means that we keep these people in
For each stakeholder on the grid make some notes the loop and if necessary, we will take action to
about how you would implement the engagement increase their interest if it is appropriate.
action indicated.
It is important to remember that this grid shows
For instance, how would you partner with Rail eight distinct groups of stakeholders, four groups
Infrastructure Owner? are positive, and four groups are negative.
How would you keep the general public informed? Engagement actions for the negative stakeholders
is very similar to the approach we take for positive
When you've made your notes, click the button on
stakeholders, but we will focus our engagement on
screen, or select Ctrl, Alt and K on your keyboard
their negative concerns.
to continue.
Before moving on please take a few moments to
Nita:
click onto each group in the positive side to review
OK Pete, I think the Infrastructure Owner will be
the types of engagement for each group in more
the customer of this project.
detail, or select Ctrl, Alt and V on your keyboard
They will be providing the funds and be for an accessible version.
responsible for the provision of the track and
infrastructure.
They will have a role to play on the steering S6P10: Engagement Plan
committee and be actively involved in the Tony:
management of the project. The final area we should consider is a stakeholder
Pete: engagement plan which will be derived from our
Yes, and the general public will be informed via analysis.
press releases and internet bulletins. The plan should consider these elements:

31
 • Communications channels, are any in A communications plan is a key document for all
existence or will new ones be required? projects as it will help to avoid the biggest cause of
• Which digital media tools should be used, failure which is poor communication.
for example, social media?
• When is engagement needed?
• What are the cost implications and what S6P12: Activity
budget is available?
Pete:
• Is wider support needed, for example from
Let’s try a few multiple-choice questions.
members of the governance board?
• What is the organisation’s policy in this A key output of stakeholder analysis is?
regard, for example, in the area of
1. A quality plan
consultation, PR and marketing and crisis
2. A stakeholder engagement plan
communications?
3. A Project Management Plan
4. An investment plan
Once completed the plan will form part of the
Project Management Plan or PMP and must, of
course be implemented. S6P13: Activity
Pete:
Which of these statements best describes
S6P11: Communications Plan stakeholder enagagement?
Tony:
1. Identification, analysis and planning
As well as the stakeholder engagement plan, we
communications with, negotiating with and
will be preparing a communication plan, which is
influencing stakeholders
also part of the PMP.
2. Analysis, planning and communicating
The communications plan will answer these with stakeholders
questions, who, what, when, how and where from 3. Identifying and influencing stakeholders
and we will consider it in more detail during the 4. Identification, analysis, and negotiating
session relating to communications. with stakeholders
In response to who, we should list the names and
contact details of all the stakeholders, S6P14: Activity
remembering to include members of the project
team as well. Priya:
In which phase are stakeholders are first
For each person or group on the list we need to identified?
identify what information they will require.
1. Deployment
The needs will be very different, and we can use 2. Feasibility
the information about the key area of interest we 3. Definition
established in step two as a guide under this 4. Concept
heading.
In some cases, we will be able to consult the S6P15: Activity
stakeholder directly.
Tony:
The frequency of the information flow is also
important. Some people will want information each Which one of these is a tool to assist the
week, some monthly and so forth. understanding of stakeholders?
How we transfer the information will be different for 1. Power/Interest diagram
different stakeholders. 2. Boston Grid
3. Probability/Impact Grid
As well as the traditional methods of reports and 4. Table of interests
meetings we also have to consider a wider range
of media such as text messaging, or Facebook or
Twitter for example. S6P16: Summary
Where we get the information from will require Tony:
consideration. This brings us to the end of our discussions on
Stakeholder Engagement. It related to Learning
It's no use promising weekly updates if the source
Outcome 4, “Understand project management
of the information only reports every two weeks.
planning”.
32
You should now be able to answer questions
related to the following assessment criterion:
• Explain how a stakeholder analysis
supports effective stakeholder
engagement.

This concludes this session.

33
Session 7: Leadership and Teamwork prepared to listen to others in the team and take
their views into consideration.

S7P1: Introduction
S7P3: Leadership Attributes
Tony:
Welcome to this session on the topic of Leadership Tony:
and Teamwork. It relates to Learning Outcome 10, The next attribute that characterises a good leader
“Understand leadership and teamwork within a is being prepared to make decisions and provide
project.” direction to the team.
During this session, our discussions will cover this We expect our leaders to make decisions in a
assessment criterion: timely manner and not to spend too long
deliberating and missing the moment.
• Define the term ‘leadership’
• Explain how a project team leader can Leaders must be prepared to trust their judgement
influence team performance and have the courage to use it.
• Outline the challenges to a Project Having made a decision a good leader will stick
Manager when developing and leading a with it until it has had the desired effect.
project team
• Outline how a Project Manager can use However, if it proves to be the wrong decision then
models to assist team development good leaders are prepared to change direction.
including Belbin and Tuckman. Another characteristic of a leader is to have a clear
vision.
We’ll start by considering leadership.
Good leaders know where they are going and how
to get there.

S7P2: What Does Leadership Mean? It is vital in a project that the vision is
communicated effectively to the team.
Tony:
The APM's BoK defines leadership as: 'The ability Once the team understands the vision, they will
to establish vision and direction, to influence and often be motivated to realise it.
align others towards a common purpose, and to It is important not to continually change the vision
empower and inspire people to achieve success'. as this de-motivates and confuses the team if the
We can all think of people who have been direction continually changes.
acclaimed as leaders such as Angela Merkel,
Martin Luther King, Ghandi, Hillary Clinton and
Nelson Mandela. S7P4: Leadership Attributes - 2
There are a number of leadership attributes, and Tony:
we are going to look at six of them. Trusting others is the fourth characteristic we are
considering.
Leaders should be great communicators, decision
makers, set a clear vision, trust others and be A good leader will trust the team members to get
flexible, lead by example and be congruent. things without constant supervision and checking.
Let's have a look at each in a little more detail. This motivates the team, improves their self-
confidence and improves their performance.
Good communications is vital to success in all
endeavours. Showing trust in others also requires the leader to
be flexible and accept that a different approach
As Project Managers we have to communicate
can give the same result.
with our teams, the Project Sponsor and senior
management team and external parties. Being flexible helps the leader to trust the team to
do it their way.
A good leader will tell the truth about the project as
it is, say what is required rather than what is This promotes team and individual development.
desired.
When we think of leaders a common phrase that
It means giving positive and negative feedback comes to mind is "leading by example" and this
and giving credit where it is due. links very closely with the next attribute on our list
which is being congruent.
Don't forget that an important part of
communications is listening, and a good leader is
Congruency means having your thoughts, words Communication breaks down in virtual teams
and actions aligned. without trust and accountability and less
communication equals less trust which breeds
It means doing what you say you want others to
worse communication that leads to even less trust
do.
and so on. It is a vicious cycle that cannot be
In other words, you are leading by example. allowed to get out of control.
This shows that you have faith in your vision and Finally, team size is an important consideration or
decisions and are prepared to invest your time and virtual teams.
effort in them.
Virtual teams that grow and become large are
This in turn inspires the team to trust and follow difficult, or even impossible, to manage. A team
your example. consisting of 13 people or more are less efficient
and have issues maintaining good communication.
Team members tend to reduce their efforts when
S7P5: Leading Virtual Teams they feel less responsible for output. Furthermore,
Tony: inclusive communication devolves from a strength
When our team is not co-located, we call it a virtual to a weakness, as more people increase the time it
team and this presents a number of challenges in takes just to touch base with one another.
terms of management and leadership. Before moving on please take a few moments to
Teams are often spread around the world and click onto each area and review actions you may
different time zones often make coordinating take to improve leadership in these areas, or
conference calls, video or otherwise, a frustrating select Ctrl, Alt and V on your keyboard for an
obstacle. accessible version.

Secondly, we must encourage trust and

communication between the members of the team. S7P7: What Does Teamwork Mean?
The fact that there are few visual clues is a large
Tony:
problem for virtual teams. Without visual or audio
When people come together to work on a project,
inferences, it may be difficult to identify feelings,
they are not necessarily a team.
attitude, and emotions that are being conveyed.
The BoK defines teamwork as 'A group of people
People use body language and word stress to working in collaboration or by cooperation towards
emphasize certain points that do not translate well a common goal'.
into text, so proper communication is integral in
building trust. It is this concept of collaboration that is important.
Effective teams are mutually supportive and
With this in mind, it is important to create clear accountable to each other.
communications guidelines.
The challenge for a team leader is to take a group
It can be difficult to measure individual’s of individuals and build them into a team.
engagement when the team is separated and a
lack of engagement leads to lower productivity, All projects need teams for a number of reasons
which, in turn, creates tension. such as:
A disconnect can easily occur in virtual teams if • identifying potential problems
low engagement is left unchecked. • solving problems
Before moving on please take a few moments to • finding and exploring different ways of
click onto each area and review actions you may undertaking the project
take to improve leadership in these areas, or • preparing plans
select Ctrl, Alt and V on your keyboard for an • and doing the work
accessible version
Different individuals bring different skills and ideas
into the project, but they also have different
S7P6: Leading Virtual Teams - 2 personalities, and it is important that the leader
understands these and the effect they may have
Tony: on team performance.
The fourth area to consider is the need to build
and maintain trust which is more difficult when the
team is not co-located.

35
S7P8: Social Roles Pete:
Well I was a bit nervous. I'd just been sent to join a
Tony: new team to work on a project that was just
In the 1970s Dr Meredith Belbin used business starting.
games to develop a way of describing the team
roles assumed by individuals working together in a I didn't know anyone, and it was a new location as
team environment. well.
Belbin stated that individuals have "A tendency to Nita:
behave, contribute and interrelate with others in a I've put something similar; I didn't know anyone
particular way" and this definition became known either and I was wondering if I'd like the rest of the
as a team role. people and whether they'd like me.
His research identified nine different team roles, Priya:
these are: Shaper, Implementer, Completer I was wondering where I could get a coffee and
/Finisher, Coordinator, Team worker, Resource wondered how we were going to claim our
investigator, Plant, Monitor/Evaluator and expenses.
Specialist. The job was totally new as well and I was nervous
Each team role displays a range of behaviours in case I wasn't able to do it properly.
which Belbin classified as strengths, or positive Pete:
contribution and allowable weaknesses. Me too, the others didn't look any more
Take a few moments to study the strengths and comfortable and no-one said anything.
allowable weaknesses of each team role in the We all looked a little nervous.
social roles model by clicking on each team type,
or select Ctrl, Alt and V on your keyboard for an Tony:
accessible version. This is typical of everyone who is put into this
situation. It is known as the forming stage of a
It may help you to remember the roles if you can team.
associate at least some of them with a friend or
colleague. We're all a little reluctant to speak up in case we're
wrong.
These are the roles we are most comfortable with
although we can if required move into other roles. Although the shapers and plant may not be that
shy!
However, in stressful situations we will tend to
revert to our primary role. At this stage the leader needs to put us at ease,
explain those little things like where the coffee is,
There is no best role although we all have roles we facilities, expenses and so forth as these things
should try to avoid. distract us from our main task.
When building a team some understanding of an We're also looking for clear direction about the
individual's preferred role will be useful. tasks, our role and the roles of others and how we
are expected to work together.

S7P9: Team Development - Forming

Tony: S7P10: Team Development - Storming
I want to move on now to consider team formation. Tony:
I'd like you to make a few notes about how you felt As we get to know each other and get familiar with
when you last joined a new team, either at work, or the task we start to relax, so what happens next?
perhaps when you joined a new club or class Nita:
outside work. Well, we had two or three shapers in our team and
Think about how you felt and what you were in no time at all they were pushing forward but we
thinking about others in the group. did seem to overlook things and there were some
arguments.
When you're ready, click the continue button
shown on screen, or select Ctrl, Alt and K on your I'm a team worker primarily and I found it all a bit
keyboard. uncomfortable.
OK, who wants to start us off?

36
Pete: Tony:
I know what you mean, I'm more of an That's a good example. Moving a team from
implementer shaper and we were soon having forming through storming and norming to this
some very active discussions as some of the team performing stage is a key task for the team leader.
wanted to explore the ins and outs of everything - I
Performing teams are a pleasure to work with and
found it very frustrating.
for the individuals themselves extremely
Priya: motivating, all of which increases the chance of
They'd be the monitor evaluators. project success.
We had a very good leader in our team and she
harnessed that conflict and gave the shapers clear
responsibilities and formed some sub teams. S7P12: Team Development -
Performing
Nita:
That sounds like a good idea, I wish our leader Tony:
had done that. When the team moves from norming to performing
it becomes self-directed.
Tony:
You just described what happens in the next stage In this stage the team is most effective, and the
of development which we call the storming stage. leader is able to delegate the work and leave the
team to decide who will do it and the way in which
In a team with a lot of team workers and no it will be done.
shapers this stage is often missed as team
workers don't like discord in the team. Team members play to each other's strengths and
avoid each other's weaknesses.
It does tend to spend more time forming and
getting to know each other. In other words the team members are mutually
supportive and accountable to each other.
However, if there are a few shapers in the group,
the team will move into this stage very quickly and The leader can now take a supportive role, helping
unless the leader can harness this enthusiasm the out as and when necessary.
team may stay there for some considerable time
When things change, team members leave or new
and little progress will be made. people join, the team's performance may suffer
and move back to the norming stage.

S7P11: Team Development - In extreme cases a performing team may even

Norming/Performing move back to the storming stage, although this is
less likely if the team was performing.
Tony:
Of course, a norming team may well fall back into
As time moves on and the tasks become familiar
the storming stage.
and the team gets to know each other including
their strengths and weaknesses, things begin to
settle down.
S7P13: Team Development -
The team has reached the norming stage and Adjourning or Mourning
many teams stay at this stage.
Tony:
Team members become comfortable with what
The final stage of team development is the
they have to do, they have their own roles and adjourning or mourning stage which comes at the
understand what needs to be done.
end of a project.
However, the team still relies on the leader for What do you think will happen here?
clear direction.
Take a few moments to make a few notes before
So how does the leader move the team from we discuss it in more detail.
norming to performing?
When you're ready, click the continue button
Pete: shown on screen, or select Ctrl, Alt and K on your
She needs to get us involved and participate.
keyboard.
Priya: OK Pete, start us off.
That's right. Our team leader explained the tasks
and asked us how we would go about it. It wasn't Pete:
long before we started taking ownership of the Well the biggest problem we had on our last
tasks and allocating work amongst ourselves. project was people losing interest.

37
Nita: S7P16: Activity
Yes, that was the same with us as well. We were
quite worried if we'd have a job when the project Pete:
finished, and one or two key staff left early for Leadership is about:
other opportunities and that put some pressure on 1. Generating enthusiasm and motivation to
the rest of us. achieve
Priya: 2. Seeing opportunities to the project rather
We must have been lucky. We had some than threats
completer finishers on our team and they were 3. The ability to motivate people for their own
keen to get things competed properly. gain
4. The delegation of work with no clear
And the team leader made sure we all knew what objectives
was happening when the project finished, which
set our minds at ease.
S7P17: Activity
Pete:
A friend of mine was told he'd receive a bonus if he Priya:
stayed until the end. At which level of a project is leadership required?
He's self-employed so the extra money gave him 1. Only at the senior level
enough to live off until he found another contract. 2. Only at the Project Manager and below
3. Only at team level
Tony: 4. At all levels
Thank you. Those are some good examples of the
problems of the final stage of the project and the
possible solutions.
S7P18: Summary
Don't forget to capture the team's experiences in Tony:
this stage. This brings us to the end of our discussions on
Leadership and Teamwork. It related to Learning
They will form a useful basis for the lessons Outcome 10, “Understand leadership and
learned report. teamwork within a project”.
You should now be able to answer questions
related to the following assessment criteria:
S7P14: Activity
• Define the term ‘leadership’
Pete:
• Explain how a project team leader can
Let’s try a few multiple-choice questions.
influence team performance
Which of these may help with team selection? • Outline the challenges to a Project
Manager when developing and leading a
1. Interviews
project team
2. References
• Outline how a Project Manager can use
3. Belbin Analysis
models to assist team development
4. Previous experience
including Belbin and Tuckman.

S7P15: Activity This concludes this session.

Tony:
Work delegated by the Project Manager:
1. Means that the Project Manager would no
longer control the work
2. Must be approved by senior line
management
3. Does not reduce the Project Manager’s
accountability for that work
4. Can be carried out without recourse to
other on-going project work

38
Session 8: Success, Benefits, and the S8P3: Key Performance Indicators
Business Case Priya:
Key Performance Indicators or KPIs are not
targets, they are measurable indicators which are
S8P1: Introduction used to establish trends.
Tony: For example, if one of the success criteria is for
Welcome to this session on the topic of Success, the project to be delivered on budget, we could
Benefits and the Business Case. It relates to measure variance to project cashflow on a weekly
Learning Outcome 4, “Understand project basis.
management planning”.
If everything was going well, the variance would be
During this session, our discussions will cover the zero and if this trend continued then the indication
following assessment criterion: is the project will deliver on budget.
• Define the term ‘benefits management’ If there was a big variation one month this doesn’t
• Explain why establishing success criteria mean the project is going to fail, there could be
is important at the start, during, and at the many reasons for this, and the situation could be
handover of a project corrected.
• Outline the purpose and typical content of The important aspect of KPIs is establishing
a Business Case and finally trends, one off measures do not necessarily give
• Explain the role of a Project Sponsor and an accurate forecast of success, or not.
a Project Manager in relation to
developing a Business Case. Every success criterion should have a KPI
associated with it and they should be clear,
We’ll start by considering success criteria. unambiguous and most importantly straightforward
to measure.
The Project Manager will define and monitor the
S8P2: Success Criteria KPIs and include a report on the KPIs in reports to
Tony: the Project Sponsor.
The success of a project can be judged in two
ways.
S8P4: Benefits
Firstly, we can decide whether a project has been
successful at the end of the Transition phase and Priya:
secondly, we can judge success by the extent to As we discussed at the start of the course, we run
which the benefits have been realised during the projects to deliver benefits which are defined here
Benefits Realisation phase. as ‘a positive and measurable impact of change’.
This is reflected in the definition of success criteria Benefits are derived from outcomes which can be
which is: “The satisfaction of stakeholder needs for considered as the new way we do things around
the deployment of a project. Note this is a different here, in other words, an outcome is the new
performance measure to benefits, which are operational state.
focused on the strategic intent and delivering For example, a project may produce a new
beneficial change.” chocolate bar, which is the output.
Success criteria are stated by the Project Sponsor Once handed over, the salesforce sell the new bar,
in the Concept phase and finalised with the Project which is the outcome and as a result, the company
Manager when the Project Management Plan is makes more profit, which is the benefit.
approved at the end of the Definition phase.
Benefits management is defined as ‘the
Typically, success criteria are associated with the identification, definition, planning, tracking and
delivery of the scope to the required standards of realisation of benefits’.
quality, on budget, and on time.
Let’s move on now to discuss the benefits
During the Deployment phase we will measure the management process.
likely achievement of success criteria by using key
performance indicators, or KPIs, which Priya will
discuss next.
S8P5: Benefits Management Process
Priya: S8P7: Activity
The first step in the process is to identify the Pete:
benefits. This is done through discussions with the Let’s try a few multiple-choice questions.
stakeholders, in particular the Sponsor and the
users. In which phase are success criteria first defined?

Benefits can be tangible or intangible, in other 1. Transition

words, straightforward to measure or more difficult 2. Deployment
to measure. 3. Definition
4. Concept
The benefit requires careful definition stating what
the benefit is, when it will occur, where it will occur,
what will be different and how it will be measured. S8P8: Activity
Planning Benefits Realisation involves Priya:
benchmarking the current state to provide a Who is responsible for creating the outcomes?
baseline against which changes can be assessed.
We should also consider the relationship between 1. The Project Sponsor
outputs and benefits and plan the activities needed 2. The Users
to ensure the users adopt the new outputs and 3. The Project Manager
create outcomes. 4. The Project Governance

Tracking and Realisation involves monitoring the

current performance during the project and then S8P9: Activity
during adoption to ensure the users create the Tony:
outcome. Which role first monitors the KPIs associated with
During the Benefits Realisation phase we repeat the success criteria?
the measures, and the change from the baseline 1. Project Sponsor
should indicate the outcomes and benefits are 2. Project Governance
being created. It may be necessary to take 3. Team leaders
corrective action if this isn’t the case. 4. Project Manager
The Project Sponsor is responsible for ensuring
the benefits are realised and it is the users that will
create the outcomes.
S8P10: Activity
Nita:
In which phase are success criteria used to judge
S8P6: Success and Benefits Summary the success of the project?
Tony: 1. Deployment
Let’s take a moment to summarise success 2. Adoption
criteria, KPIs and Benefits during the life cycle. 3. Transition
4. Benefits Realisation
Success Criteria and benefits are defined in
Concept and then refined in Definition when the
KPIs are defined. S8P11: Business Case Purpose
During Deployment the KPIs are tracked and the Tony:
benefits are benchmarked. The Business Case provides the justification for
doing the project.
In Transition, the Post Project Review will review
the success of the project (or otherwise) and It contains the benefits of doing the project which
determine whether the success criteria were should outweigh its costs and risks.
achieved.
Having prepared the Business Case, it is used at
As the outcomes are achieved in Adoption, the each Decision Gate to justify the continued
benefits are reviewed during Benefits Realisation investment in the project.
to check whether they have been achieved.
When a major change is being considered one of
the elements to discuss is the effect of the change
on the Business Case, in particular the investment
appraisal.

40
It is owned by the Project Sponsor and initially Whilst the table is not fully definitive it does
developed in the Concept phase. describe the key activities which people undertake
when creating the Business Case.
Throughout the project, it is updated with the latest
information, particularly time and cost. Preparing the Business Case might also require
the involvement of others.
Let's move on now and review the contents of the
Business Case. For example, we may get help from our finance
team to help with the investment appraisal.
People with project or quality assurance
S8P12: Business Case Contents responsibilities may be involved with reviewing the
Tony: Business Case and checking that it conforms with
The contents of the Business Case will depend on the organisational requirements.
your organisational standards but as a minimum it Once completed the Project Sponsor will approve
should contain: the Business Case initially, it is almost certain that
• Reason, where we explain the current the Sponsor will present it to the organisation's
situation, the problem we face or the senior management team at programme or
opportunity we want to grasp portfolio level for approval.
• Options, where we examine the possible The Sponsor will continue to obtain approval of the
solutions to the situation discussed under senior management team if there are major
the reason. changes to the Business Case throughout the life
of the project.
This will include the recommended option
complete with the rationale for this choice
S8P14: Activity
• Benefits, which describe the improvements
which will accrue after the project is Tony:
completed. An accessible PDF version of this activity can be
found in Course Resources, which can be
accessed from the Course Menu or by selecting
Ideally, these should be financial, but we may also Control, Alt and R on your keyboard.
include intangible and non-financial benefit
Drag the following statements to the appropriate
• Scope, where we describe the major title and click the submit button when you are
deliverables which the project will produce happy with your choices. You will then hear some
• Major risks to the business that arise feedback.
because of the project
• Costs and timescales of the project, and The statements are:
finally - Statement 1: Do nothing
• The investment appraisal, which provides - Statement 2: Project Sponsor
a financial analysis of the costs and - Statement 3: This group is likely to advise
benefits over the life of the investment on the benefits of adopting the preferred
option
- Statement 4: Gate review or when a major
S8P13: Contributors, Ownership and change is proposed
Approval - Statement 5: The problem the project will
Tony: address is…
Although the Business Case is owned by the - Statement 6: The project will break even in
Project Sponsor it is likely that many people will 18 months
contribute to its preparation. The titles to choose from are:

We've prepared a cross reference table. 1. Owner of the Business Case

2. Reasons
Take a few moments to open, print and review it 3. Options
before moving on to the next page. An accessible 4. Investment Appraisal
PDF version can be found in Course Resources, 5. Users
which can be accessed from the Course Menu or 6. One of the main points when the
by selecting Ctrl, Alt and R on your keyboard. Investment Appraisal is reviewed.

41
S8P15: Summary
Tony:
This brings us to the end of our discussions on
Success, Benefits and the Business Case. It
related to Learning Outcome 4, “Understand
project management planning”.
You should now be able to answer questions
related to the following assessment criteria:
• Define the term ‘benefits management’
• Explain why establishing success criteria
is important at the start, during, and at the
handover of a project
• Outline the purpose and typical content of
a Business Case and finally
• Explain the role of a Project Sponsor and
a Project Manager in relation to
developing a Business Case.

This concludes this session.

42
Session 9: Scope, Config Management Once the products are established then it's
and Change Control possible to establish the work required using a
'Work Breakdown Structure' or WBS.
Now we can establish the skills or resources
S9P1: Introduction required to undertake the work which is known as
an 'Organisation Breakdown Structure' or OBS.
Tony:
Welcome to this session on the topic of Scope, Cross referencing the tasks from the WBS to the
Configuration Management and Change Control. It resources on the OBS results in a 'Responsibility
relates to Learning Outcome 5, “Understand Assignment Matrix' or RAM.
project scope management”. And finally, we can use this information to assigns
During this session, our discussions will cover costs to each element which results in a CBS or
these assessment criteria: 'Cost Breakdown Structure' which we'll discuss in a
separate session.
• Define the term ‘scope management’
• Differentiate between scope management This is a key area of project management, and the
within linear projects and scope course learning outcomes require you to be able to
management within iterative projects describe each structure and its uses.
• Describe how product breakdown
structures and work breakdown structures
are used to illustrate the required scope of S9P3: Exercise - Product Breakdown
work Structures
• Outline how a Project Manager would use
cost breakdown structures, organisational Nita:
breakdown structures and the A product breakdown structure is basically a
responsibility assignment matrix structured list of things to build.
• Define the terms ‘configuration Each item in the list is described by a noun.
management’ and ‘change control’ in the
context of scope management The products can be grouped together for ease of
reference, for example, in an IT project there may
• Explain the relationship between change
be a group for software products and another for
control and configuration management
hardware.
• Outline the stages in a typical change
control process and finally, In a building project, there may be a group for
• Outline the activities in a typical services and another for building works.
configuration management process,
The easiest way to get to grips with this is to have
including planning, identification, control,
a go.
status accounting and verification audit.
So, let's consider a simple project to convert a
single storey building into a public library.
We’ll start by considering scope.
At the moment the building is empty and you have
all the necessary permissions to convert the
S9P2: What is Scope? property into a local library for your area.

Tony: The staff required to run the library already exists

Before we can plan a project we need to so we don't need to worry about them.
understand what we have to build or develop and Make a list of all the things that you will need to
the work involved in doing it. buy or make to transform the property into a
This is known as the project's scope. working library.

The BoK defines Scope as: 'The totality of the Try grouping them into groups or categories of
outputs, outcomes and benefits and the work products.
required to produce them'. When you've made the list click the "reveal button"
And defines Scope management as: 'The process to see our list, or select Ctrl, Alt and K on your
whereby outputs, outcomes and benefits are keyboard.
identified, defined and controlled'. I expect you've got many of the same products that
The first step in the planning process is to we have identified here.
establish 'what' needs to be done which is known We've grouped ours by infrastructure, IT, fixtures
as the 'Product Breakdown Structure' or PBS. and fittings and content.
This is the first step in producing a plan and from
here we can define the work, resources required The way in which I've drawn them implies an
and estimate how long things will take and how order. This is not essential as a WBS is just a
much things will cost. structured list but if you understand the order then
it makes it easier to read.
Nita:
S9P4: Product Breakdown Structure Thanks Pete. Have you got any other examples?
Tony: Pete:
So, we've just built a structured list of the required Yes, Nita, here's an element of the WBS
products, but in practice the hierarchy may be associated with the design.
shown as a mind map or a structured list.
You can select Ctrl, Alt and V on your keyboard for
Here's the Library project shown in a typical PBS an accessible version if required.
format. Please select Ctrl, Alt and V on your
keyboard if you require an accessible version.
You can see that it consists of three levels. S9P6: Organisation Breakdown
If we went to a further level of detail, then it is likely Structure
that we'd get into listing activities. Tony:
This in fact is the next step and we'll look at that in Once we have established the products and
a moment. activities that are required for the project then we
can establish the types or resources that are
The structure goes from Level 0 at the top, down needed to do the work.
to Level 3 at the bottom.
We can identify the resource type such as an IT
We should also add a numbering system which will analyst, electrician or we can identify a specific
flow through the project into the configuration person such as David, John or Glyn.
management system.
As with the PBS and the WBS the Organisation
The configuration is a name given to all the part Breakdown structure, or OBS, is shown as a
that make up the final product and it is maintained hierarchy but in practice a structured list would be
through version control. normal. Please select Ctrl, Alt and V on your
Configuration Management is covered in more keyboard if you require an accessible version.
detail in another syllabus topic.
Different industries have different standards for the S9P7: Responsibility Assignment
numbering system.
Matrix
We have shown a simple numbering system which
Pete:
indicates the principle and this is adequate for the
The Responsibility Assignment Matrix is a
examination.
combination of the WBS and the OBS and
provides a view of "who does what".
S9P5: Work Breakdown Structures By using the acronym RACI we can represent
different elements of the activity, for example:
Pete:
Each product will require someone to complete a • Someone Responsible for doing the work
number of activities to build the product. • Someone else who is Accountable for the
work being done
Nita:
• We may need to Consult other team
Have you got an example Pete?
members as we do the work
Pete: • And finally other team members may have
Yes. Take a look at this PBS for a landscaped to be Informed about the work as it is
garden. If we take the product "Site description" done.
then the activities that are required are:
Nita:
• Go to site
Can you show us an example?
• Measure site
• Draw the plan Pete:
• Write site visit report, and Sure. Here's one that relates to designing a
• Write site description module and issuing and reviewing a tender.

44
Please select Ctrl, Alt and V on your keyboard for The deliverables, or outputs of the project will be
an accessible version if required. identified
You can see that the design work is being done by Costs can be related to 'cost centres'
the Senior Designer, who is Responsible with the
All structures are a great aid to communication
trainee having some input and the Team manager
which will reduce the risks of misunderstandings
is Accountable for the work.
They'll provide a numbering system that flows
In the Contractual activities you can see that the
through into the schedule and the configuration
Contracts Manager is consulted about some of the
management system
activities.
If we do it correctly, we'll list most of the tasks for
Nita:
the plan from the beginning
Yes I see. Thanks Pete.
The PBS and WBS form the basis for activity
networks, and finally
S9P8: Linear and Iterative Life Cycle The structure provides the basis for Earned Value
Vs. Scope Analysis.
Priya:
In a linear life cycle the scope is developed using a
PBS and, or a WBS. The CBS is used to define S9P10: Activity
the costs or all the resources, labour, material, Tony:
infrastructure etc, necessary to complete the work. Let’s try a few multiple-choice questions.
Time, cost and quality is generally fully defined Which of the following is true about breakdown
later in the planning process. structures?
In an iterative life cycle, the scope is structured 1. The lowest level of the Work Breakdown
using prioritisation techniques such as MoSCoW - Structure should comprise tasks with a
Must have, Should have, Could have and Won’t maximum value of £5,000
have. 2. A Cost Breakdown Structure is a Work
The must have requirements are prioritised into Breakdown Structure with costs attached
user stories for example and these are translated 3. A responsibility matrix is formed from the
into a target scope of work. Work Breakdown Structure and
Organisational Breakdown Structure
The target scope of work must be achieved within 4. Product Breakdown Structures and Work
a target time window with defined resources. Breakdown Structures are not used
Subsequent iterations may result in the scope together
being modified based on experience gained, any
insights the team have acquired and the emerging
S9P11: Activity
priorities.
Priya:
Which of the following helps to define the project
S9P9: Configuration Management deliverables?
Tony: 1. Product Breakdown Structure
There are many advantages that can be gained 2. Gantt Chart
from establishing structures. 3. Critical Path Analysis
Firstly, structures help us to engage with the team 4. Work Breakdown Structure
and gets them thinking about the work
Stakeholders can review structures and we can S9P12: Activity
obtain agreement and sign off
Pete:
Structures help us make sure everyone knows Of the following, the first planning issue to be
what they are supposed to do, which in turn will addressed is:
make it easier to allocate the work
1. Bar chart
Risks will be reduced as we are less likely to 2. Resource histogram
overlook something 3. Network
4. Work Breakdown Structure
We'll get a list of all the required work

45
S9P13: Activity S9P15: Configuration Management - 2
Nita: Tony:
A Work Breakdown Structure is:
Identification is concerned with identifying the
1. Based on a network individual component of the final product.
2. A task-oriented family tree
For example, a bicycle may consist of wheels,
3. One of the minor tools of project
frame, traction and accessory items and the wheel
management
is broken down into rim, spokes, hub, tyre and
4. Not suited to functional line management
inner tube.
These are the configuration items and they would
S9P14: Configuration Management - 1 each be given a unique identifier.
Tony: This activity is related to the development of a
Configuration Management is the activity which Product Breakdown Structure.
makes sure that we keep track of all the elements
that make up the final output of our project. Once identified the structure will be baselined as
will the descriptions of each item.
This includes the project documentation.
Control is concerned with preventing unauthorised
The BoK defines configuration as 'the functional change to the items.
and physical characteristics of a product as
defined in its specification'. The change control process is followed and if
agreed the configuration librarian will issue a copy
And states that 'Configuration Management of the product for change.
encompasses the administrative activities
concerned with the creation, maintenance, Once the work is complete, the updated item is
controlled change and quality control of the scope baselined at the next level and previous baseline is
of work'. archived for audit purposes.
Configuration Management consists of five There will also be a history kept of why the change
activities which are: was made.
• Planning
• Identification S9P16: Configuration Management - 3
• Control
• Status accounting Tony:
• Verification and Audit Status Accounting relates to the process of
providing a report from the configuration records.
Let's consider each of these in turn. If the records are kept as a database then the
query could be via any number of keys.
Planning is where the Project Manager and the
team decide at what level to maintain the For example, all the products that are baselined;
configuration. all the products that have been changed.
Typically, this would be the lowest level at which a Status accounts are often requested by the Project
component is replaced, installed or modified. Manager at the end of a stage and the project to
check everything is completed.
The identification scheme is agreed and the
means of storage and security for the Finally, we come to Verification and Audit which is
Configuration Items is defined. the process of checking that what is in use in the
project or operational environment is the same as
It also includes the name of the person or group the system.
who will undertake the configuration management
function. For example, if the drawing list says the services
layout is at revision 'G' we would expect to find the
And we document this in the Configuration service engineers are using revision 'G'.
Management plan or strategy as part of the Project
Management Plan or PMP. If they have a different revision there is a clearly a
problem to resolve.
In addition to a system audit we also undertake a
physical and a functional audit.

46
A physical audit checks that the products looks like Once received the change is entered into the
it is supposed to look and a functional audit checks change log where it receives a reference number.
that the product does what it supposed to do.
Step two is where we analyse the change.
This doesn't mean that the configuration librarian
It is normal to have a quick look at the change and
checks each product.
make sure it is sensible.
It means that the configuration librarian will check
Some changes can be denied after a short
the quality records and ensure that these checks
conversation with the Sponsor because they are
have been done and signed off.
just not practical.
If any problems are found, then corrective action is
Assuming that the change is sensible then the first
taken.
thing to establish is exactly what needs to change
and what else is affected.
S9P17: Change Control - 1 Knowing this the team can establish options to
deal with the change which include doing nothing,
Tony: implementing as requested, or considering an
During the project, it is inevitable that there will be alternative solution to deliver the same result.
some changes.
Each option is evaluated against time, cost,
These are often generated by the users who ask benefits risks, work done and so forth and then a
for additional requirements to be included. recommendation is made to the person or group
Technology may advance and the project may authorising the change, which we could call a
wish to take advantage of it. change authority.

Problems may arise which require the project to be

changed and we may also have to correct some
S9P19: Change Control - 3
errors.
Tony:
The external environment may change and people
The third step in the process is to make a decision.
change and with change come new ideas and
requirements. The change authority, by default is the Project
Sponsor, but authority for smaller changes is often
Finally, changes may arise due to new legislation,
delegated to the Project Manager.
regulations or the way the regulations are
interpreted. Some organisations have a committee or change
control board and the Steering Group is often
Change must be controlled to avoid scope creep,
involved in reviewing major changes.
which is uncontrolled change.
The change authority reviews the analysis of the
Therefore, all projects should have a recognised
change and the recommendation and makes a
change control process so that the baselined
decision.
scope cannot be changed unless the process is
followed.
Let's move on now to discuss the main steps of The decision can be:
change control.
• More information is needed
• Do it later
• No, and
S9P18: Change Control - 2
• Yes
Tony:
The first step in the process is to raise the change Step four implements the decision.
request.
If more information is required, then this is
Any stakeholder can raise a change and this is provided and the steps repeated.
usually done via a form.
If the decision is to do it later the change is put on
The form contains information such as date, the 'pending pile', if it is 'No' the change is closed
author, description of the change and the reason and finally, if the decision is 'Yes' the change is
for it and the benefits it will deliver. implemented.
Additional information related to the cost and time Implementing the change requires the relevant
needed for the change should be included if section of the PMP to be updated such as the
known.

47
Business Case, schedule, WBS and work S9P24: Summary
packages.
Tony:
The Project Manager then instructs the team to This brings us to the end of our discussion of
incorporate the change and don't forget to update Scope, Configuration Management and Change
the log at each step and keep the author informed. Control. It related to Learning Outcome 5,
“Understand project scope management”.

S9P20: Activity You should now be able to answer questions

related to the following assessment criteria:
Priya:
Let’s try a few multiple-choice questions. • Define the term ‘scope management’
• Differentiate between scope management
Complete the sentence. Change Control:
within linear projects and scope
1. Is only applicable to projects with physical management within iterative projects
deliverables • Describe how product breakdown
2. Must be applied on all projects structures and work breakdown structures
3. Is not cost-effective on small projects are used to illustrate the required scope of
4. Is the responsibility of the business work
sponsor • Outline how a Project Manager would use
cost breakdown structures, organisational
breakdown structures and the
S9P21: Activity responsibility assignment matrix
Nita: • Define the terms ‘configuration
Which is an objective of Change Control? management’ and ‘change control’ in the
context of scope management
1. Discourage people outside the project
• Explain the relationship between change
from requesting changes
control and configuration management
2. Ensure profits are maximised through
• Outline the stages in a typical change
variations to the project
control process and finally,
3. Prevent changes to the agreed
specification • Outline the activities in a typical
4. Assess the effects of proposed changes configuration management process,
on the project including planning, identification, control,
status accounting and verification audit.

S9P22: Activity This concludes this session.

Nita:
Which configuration management activity involves
the controlled release of products for change?
1. Identification
2. Verification audit
3. Control
4. Status accounting

S9P23: Activity
Tony:
Which activity of configuration management is
associated with checking that the configuration
records are up to date?
1. Status accounting
2. Verification audit
3. Control
4. Planning

48
Session 10: Estimating Nita:
I've suggested 10 hours, what about you Pete?
Pete:
S10P1: Introduction I've put 22 hours. What yours Priya?
Tony: Priya:
Welcome to this session on the topic of Estimating. 14 for me.
It relates to Learning Outcome 4, “Understand
project management planning”. Tony:
OK, that's three estimates so far. I asked a few
During this session, our discussions will cover this friends earlier and they gave a list of 12, 19, 36, 8,
assessment criteria: 17 and 15 hours.
• State typical estimating methods (including So, looking at the list the lowest is 8 hours and the
analytical, analogous, parametric) and highest is 36.
• Outline the purpose of the estimating
I have no idea what to tell the boss. Any
funnel.
suggestions?
Pete:
S10P2: What is Estimating? I've done Exeter to the Scottish Border and it took
Tony: me 10 hours and I thought that was about half way
The first steps in the planning process are to so I doubled it and added a couple of hours for the
identify the outputs that we want and the work bit between Land's End and Exeter.
required to produce them. We discussed these in Tony:
the previous session on scope management. Good idea - that's called analogous estimating
Now that we know what we have to do we need to where you look at something similar and compare
decide how long the work will take to complete and it to the current question.
how much it will cost. Nita:
This is known as estimating and the BoK has three I found it hard to estimate such a big activity.
related definitions which are: Could we break it into smaller chunks?

An estimate, which is “a forecast of the probable Tony:

time or cost of completing work.” Again another good idea. Let's try that.

And goes on to define estimating as “the use of a

range of tools and techniques to produce forecasts S10P4: Exercise - Estimating - 2
of the probable time or cost of completing work.”
Tony:
And finally, the estimating funnel which is defined
So, let's break the journey into smaller chunks say:
as “a representation of the increasing levels of
estimating accuracy that can be achieved through • Land's End to Bristol
the phases of the life cycle”. • Bristol to Manchester
• Manchester to Glasgow
• Glasgow to Inverness, and
S10P3: Exercise - Estimating - 1 • Inverness to John O'Groats
Tony:
Has anyone done any of those before?
OK, let's see how good you are at estimating.
Write down your estimates for each part of the
I'd like you to estimate, in hours, the time it will
journey and see how they compare with ours.
take to drive from Land's End at the south west tip
of the UK to John O'Groats at the north east tip of When you are ready, click the continue button
the UK. shown on screen, or select Ctrl, Alt and K on your
keyboard.
Let’s take a minute to decide on your estimate and
when you are ready, click the continue button Pete:
shown on screen, or select Ctrl, Alt and K on your Yes. The first part took me 4 hours and then
keyboard. another 3 to get to Manchester.
OK, Nita, let's start with you. Nita:
And I took 4 hours to drive from Manchester to
Can you tell us what your estimate was and then
Glasgow last week.
we'll move around the room?
Tony: Of course, you normally pay for the effort, not the
And I drove up to Inverness from Glasgow and it duration.
took me 3 hours and a friend then went up to John
O'Groats and it took him 4 hours from Inverness.
Priya: S10P6: Estimating - Summary
So, if I've added it all up correctly, we have arrived Tony:
at 18 hours. Let's review what we have done so far.
Pete: First, I asked you for a single estimate and gave
But then we'd need to stop for fuel, food and rest you no more information other than the start and
breaks. end points of our journey.
Tony: You provided me with a 'subjective' estimate.
That's right. Let's assume that we would drive for
about 8 hours a day plus stops. This is based on your understanding of the task
which is at this stage incomplete.
We would need at least one overnight stop, maybe
two. Subjective estimates are often provided at the start
of the Concept phase and give us an idea of
So if we left Land's End on Monday at 8 in the whether we are in the right area or not, and
morning, made an overnight stop north of therefore whether it's worth continuing with the
Manchester, and make another around Inverness project.
we would arrive at John O'Groats about noon on
Wednesday about 52 hours after we started. Then Pete compared a journey which he had
undertaken before and made some assumptions to
Of course, as we get nearer our destination we will come up with his estimate.
be able to provide a more accurate estimate of
time left to go. This is known as 'analogous' estimating.

This is known as the estimating funnel. This type of estimate is also done in the Concept
phase and provides a reasonable degree of
The amount of inaccuracy in the estimate accuracy – say plus or minus 20%.
decreases over time.
Another example would be building a hotel. Our
last hotel project had 200 bedrooms and cost 2
S10P5: Estimating - Effort Vs. Duration million pounds. The new hotel is going to have 300
bedrooms, so we could estimate the cost to be
Tony: around 3 million pounds.
We've seen in that example the difference
between effort - the driving time of 18 hours and
the duration - the elapsed time of 52 hours which S10P7: Parametric Estimating
allows for 34 hours of non-productive time for
sleeping, resting, eating and refuelling. Tony:
Having considered subjective and comparative,
Most jobs we undertake have this differential. Just let's consider 'parametric' estimating.
think about your daily routine. This form of estimating is based on historical data,
• You probably take a couple of coffee which we sometimes call estimating norms.
breaks a day If you consulted a route planner such as your sat-
• The phone rings and you get diverted to nav device it would work out the best route
something else for an hour or so between Land's End and John O'Groats.
• You have to attend meetings
• And deal with other administrative matters. It would also calculate the type of roads, such as
Most organisations allow about 30% of the working motorways and then apply a constant speed to
that mileage to calculate the duration of the
week for these activities and the business model
expects you to be 70 - 80% productive. journey.
For example, 100 miles of motorway may be
This also allows for holidays, training and sick
leave. calculated at an average speed of 60 miles per
hour.
Even if you have staff dedicated to the activities,
100% productivity is unlikely and you should factor The sat-nav would tell you that this would take one
hour and forty minutes.
unproductive time into your estimates.

50
Of course, this will depend on how you set up the S10P9: Re-estimating Over the Life
sat-nav in the first place. Cycle
The speeds may be the legal maximum or you Tony:
may make allowances for delays. When we first prepare the estimates for the
In any event the result of a parametric estimate will project, they are likely to be inaccurate.
be relatively accurate, possibly with 5 to 10%. There are several of reasons for this:
This type of estimate is often used when the plan
• The scope of the project may not be fully
is being prepared for the next stage or phase of
defined
work.
• The project may have a long duration and
It is often used with a technique called 'analytical' estimating costs in the future is difficult
estimating which we will look at next. • Making an allowance for risks is difficult at
the start
• Estimators tend to suffer from optimism
S10P8: Analytical Estimating bias and underestimate both cost and
duration
Tony:
Analytical estimating is sometimes known as As more becomes known about the project over
bottom-up estimating and provides a relatively time, we can review and revise the estimates and
accurate phase or project estimate because it is the inaccuracy will reduce.
derived at work package level, which is usually
well understood. This results in the concept of the estimating funnel.
The Work Breakdown Structure, or WBS, is However, although the accuracy of the estimates
prepared for the phase or project and a parametric improve, they do tend to increase as
or analogous estimate is prepared for each task or underestimation is more common that
work package at the bottom of the structure. overestimation at the start of the project.
The estimates are then added together for each Re-estimating means we can use the revised
branch of the WBS until a final figure is established estimates to feed into the business case
for the project or phase covered by the WBS. investment appraisal and at our decision gates
when we can make an informed decision about
If you are using analytical estimating you must whether to continue with the project or not.
make sure that all the activities are covered,
especially on the branch between one level and Working with improved estimates means the
the next level up. This is less of a problem when a Project Manager can update the schedule and
WBS is used. cashflow and this will make it easier to monitor and
control the project as the base data will be more
If analytical estimating is applied to a Product accurate.
Breakdown Structure or PBS, then the effort
associated with integration must be included. Additionally, recognising that the initial estimates
are likely to be wrong should encourage the
For example, a bicycle wheel may consist of a rim, governance board to allow for potential increases
spokes and a hub and the PBS would look like by ensuring that there are sufficient funds available
this. to cater for possible increases in the estimates.
If we assume each element costs £10, the bottom- These additional funds form part of the
up technique would suggest that the cost of the Management Reserve which is a sum of money
wheel was £30. set aside to allow for increases in cost and time
However, this ignores the costs of assembly which which may not have been foreseen at the start of
may cost a further £10 so the wheel costs £40. the project.
Care is needed to identify these integration or
assembly costs.
It is important to remember that analytical
estimating is only applicable to cost estimates as
some work packages will be undertaken in parallel,
for example, two 4-day work packages running in
parallel will only take 4 days.

51
S10P10: Activity • State typical estimating methods (including
analytical, analogous, parametric) and
Priya: • Outline the purpose of the estimating
Let’s try a few multiple-choice questions. funnel.
Which estimating method uses a detailed Work
Breakdown Structure (or WBS)? This concludes this session.
1. Analogous Estimating
2. Analytical estimating
3. Strategic estimating
4. Parametric estimating

S10P11: Activity
Pete:
Which of the following statements about estimating
is true?
1. Post Project Reviews are a prime source
of estimating data
2. An estimated cost for a project must be
within 10% to be of any use
3. If you cannot estimate a task duration
within 20% there is no point in developing
a schedule
4. The Project Manager should always add
10% to other people’s duration estimates
to allow for natural optimism

S10P12: Activity
Nita:
Parametric estimating is:
1. The top down estimating from the project
life cycle
2. The bottom up estimating from the Work
Breakdown Structure and network
3. Based on comparative costing information
4. Based on statistical models

S10P13: Activity
Tony:
Which of these is an estimating method?
1. Net Present Value
2. Boston Grid
3. Analogous
4. Discounted Cashflow

S10P14: Summary
Tony:
This brings us to the end of our discussion of
Estimating. It related to Learning Outcome 4,
“Understand project management planning”.
You should now be able to answer questions
related to the following assessment criteria:

52
Session 11: Scheduling Yes, I think the products first to establish what
we're doing, then the work breakdown structure
which tells us what we have to do, then I think we
S11P1: Learning Objectives could get straight into something like Microsoft
Project and build a Gantt chart.
Tony:
Welcome to this session on the topic of Tony:
Scheduling. It relates to Learning Outcome 6, Well, you're almost right Priya, but I wouldn't go
“Understand resource, scheduling and optimisation straight into a scheduling tool like MS Project just
in a project”. yet.
During this session, our discussions will cover Have a look at these scheduling steps.
these assessment criteria:
Firstly, we'll establish the products using the
• State the purpose of scheduling Product Breakdown Structure and then identify the
• State the purpose of the critical path tasks using the Work Breakdown Structure.
• State the purpose of milestones and Then we can identify the dependencies and set out
• Define the terms ‘timeboxing’. the tasks in order, which will give us a network
diagram. Estimating comes next to establish the
S11P2: What is Scheduling? durations of the tasks and we also need to factor in
the risks.
Tony:
The schedule is often shown in the form of a bar By adding the durations to the tasks, we will
chart and is often referred to as a Gantt chart, establish the critical path and finally we can add
named after Professor Henry Gantt, who the resources which gives us a schedule.
developed the technique between 1910 and 1915. Of course, this is an iterative activity, like many
The first step in developing a schedule is to things in project management and we will have to
establish the tasks. We do this by developing a run up and down the steps to get the final
WBS as we have already seen and then putting schedule agreed.
them into an order and developing a network. The
network shows the dependencies between the
activities whilst the schedule shows the dates S11P4: Dependency Types
when the activity should start and finish. Tony:
This is known as scheduling and the BoK definition There are three types of relationship between
of a schedule and scheduling are: tasks or activities that we need to consider for this
topic.
"A timetable showing the forecast start and finish
dates for activities or events within a project, We'll have a look at each one in turn.
programme or portfolio". The most common type of dependency is the finish
And scheduling is "the process used to determine to start, and this is the one we shall be using
the overall project duration. This includes throughout this session.
identification of activities and their logical It simply describes the fact that one task can start
dependencies, and estimating activity durations, after another has finished, so Task B can start
taking into account requirements and availability of when Task A has finished.
resources".
An example of this is when the specification is
completed then work can start on the design.
S11P3: Seven Scheduling Steps The next most common type is a start-to-start
Priya: dependency.
So where do we start? In other words when Task A has started then Task
Nita: B can start.
I think it's with the Work Breakdown Structure. An example would be digging a trench and taking
Pete: away the soil or receiving applications and
What about the Product Breakdown Structure first? reviewing the applications.

Nita: Lastly, we come to the finish-to-finish dependency.

OK. This is not as common as the two we have just
considered.
Priya:
In this relationship Task B finishes when A has After A comes B and also C. Task D depends on
finished. B. And E depends on C.
For example, the final inspections can finish when Finally, Task F depends on both D and E being
the last construction activity is finished. completed before it can start.
I think you'll agree that the diagram is much easier
to read than the table. Select Ctrl, Alt and V on
S11P5: Finish to Start with a Lead your keyboard for an accessible version of this
Pete: information.
Quite often when considering the relationship In real projects we often use 'post-it' notes to get
between tasks it is common to find that whilst Task the order correct and they are easy to move
B depends on Task A it can start before Task A around.
has finished.
Once you have agreed the dependencies you can
Priya: draw the network straight into the planning tool
Have you got an example? such as MS Project.
Pete:
How about writing a specification and starting the
design? As long as the bulk of the spec is S11P8: What do the Boxes Mean?
completed the design work can begin.
Tony:
Priya: You'll have noticed that each task is represented in
So, if I said I've only got three days left on the spec a box which we call a node.
you could start the design.
The box has seven sections.
Pete:
The middle section is a free form field that contains
That's it exactly. However, that's quite a complex
the name or number of the activity or task.
dependency to manage so we could split Priya's
specification task down into main specification and We start the evaluation of the network by putting a
optional elements for example and then Pete could zero in the earliest start time box of the first activity
start the design work when the main spec is in the network.
completed.
As there isn't a day or week zero this means we
start at the end of day or week zero, which of
course is the beginning of day or week one.
S11P6: Finish to Start With a Lag
Then we add the duration to the Earliest Start
Tony: Time and put the result into the Earliest Finish
It's very common for there to be a delay between Time box.
one task finishing and the next one starting and
this delay is called a lag. We then pass the number in the Earliest Finish
Time to the Earliest Start Time of the next node or
The danger with a long lag, for example waiting for nodes on the network.
a delivery, is that the relationship gets overlooked,
especially on the Gantt chart. When we get to the last node, we transfer the
figure in the Earliest Finish Time or EFT box into
So, we recommend that you insert an activity to the Latest Finish Time or LFT box.
represent the delay.
Now we work backwards using the sum Latest
It doesn't require any resource but it will help you Finish Time, minus the duration equals the Latest
to remember the link between the two tasks. Start Time.
Finally, we subtract the Earliest Start Time from
S11P7: Network Diagrams the Latest Start Time to get the Total Float.

Tony:
Having set the scene let's get into the process.
Here's a list of six activities, A to F and the table
shows their duration in weeks and the dependency
relationships.
You can see that Task A isn't dependent on
anything.

54
S11P9: Establishing the Critical Path - Now we take the Earliest Start Time from the
Forward Pass Latest Start Time and add the result into the Total
Float Box.
Tony:
Let’s put this into action. So, in Tasks A, B, D and F we have a total float of
zero and in Tasks C and D we have a total float of
We start with a 0 in the Earliest Start Time of Task 5.
A.
0 plus 2 equals 2, which goes in the Earliest Finish
Time of Task A. S11P11: The Critical Path
Now take the 2 forward into the Earliest Start Time Having analysed the network we can see that the
of Tasks B and C. Working with Tasks B and D we critical path is Tasks A, B D and F.
have 2 plus 6 which is 8. The critical path is made up of the tasks in the
Take the 8 forward. 8 plus 4 is 12. network that have zero total float and there may be
more than one critical path in a complex network.
Now we have to go to the bottom row as there will
be a choice of numbers to take forward into Task Priya:
F. So, what does it tell us Pete?
So, we have 2 plus 3 is 5, take the 5 forward Pete:
Good question – why are we doing all this? Well
5 plus 2 is 7. firstly, if any of the tasks on the critical path get
So, what goes in F, 7 or 12? As F can’t start until delayed then the end date will be delayed.
both D and E have finished, we must pass the 12 Priya:
forward. Of course, I hadn’t spotted that. It also tells us
In simple terms the highest wins on the forward what the end date will be as well doesn’t it?
pass. Pete:
So, 12 plus 2 equals 14 and this completes the That’s right. So, if we want the project to finish
forward pass. sooner than the date, we have calculated we’ll
need to put more resources on the critical path.
Priya:
S11P10: Establishing the Critical Path - Thanks Pete. So, in order to manage the project
Backward Pass and make sure it finishes on time we must manage
the tasks on the critical path closely. But what
Tony: about Tasks C and E they have 5 weeks float.
Having got to the end of the network we take the
Earliest Finish Time of F and put It into the Latest Pete:
Finish Time. Yes, that means that they have five weeks to
spare between them. Total Float relates to the
Now we work backwards from Task F. path and any task on the path has access to it.
14 minus 2 is 12.
Take the 12 back into the Latest Finish Time of Priya:
Tasks D and E. In this example C and D happen in the same
Working with Tasks E and C, 12 minus 2 is 10. timeframe as B and D.

Take the 10 back, 10 minus 3 is 7. Pete:

That’s right. B and D take 10 weeks to complete
Now we have to go to the top line to find out what whilst C and E take five weeks so there is a spare
number to take back to Task A so starting with 5 weeks on activities C and E which we call Total
Task D float or Slack.
12 minus 4 is 8. Priya:
Take the 8 back, 8 minus 6 is 2. Thanks Pete, that all makes sense now.

This time the lowest number wins and we transfer

the 2 back.
2 minus 2 is 0.

55
S11P12: Free Float It shows the dependencies very clearly, which is
not always the case on a complex Gantt chart.
Tony:
We have calculated the total float and defined this The Gantt chart is used by the project team to
as the amount of time a task can slip before it check when tasks should be started and to check
affects the end date of the project. progress.
There is another type of float called Free Float. Reports from the team normally contain progress
This is defined as the amount of time a task can information and this can be added to the schedule
slip before it affects the start of the next task. to provide an up-to-date view of the project.
It is calculated by calculating the different between Any variation from the plan will be automatically
the Earliest Finish Time of one task and the reflected on the schedule if it has been constructed
Earliest Start Time of the next task. properly.
So between A and G there is zero free float.
But between G and E there is a free float of 2. S11P15: Milestones
And between E and F there is a free float of 5. Tony:
A milestone is a point in the project where
something significant has been completed.
S11P13: Drawing the Schedule This could be the completion of the specification;
the foundations are completed, or the roof has
Tony:
been put on for example.
Having established the critical path, we can draw a
Gantt chart. Milestones are often used as a basis for a stage
payment schedule as each milestone will relate to
Firstly, draw the chart with the time units across
the end of a particular stage.
the top and the tasks down the left-hand side.
They are often associated with decision points.
Now plot the start and finish times of each task.
One way in which they can be used is to indicate
Remember that the earliest start time on the
how well the project is performing and these are
network describes the end of that day so we
known as milestone charts.
recommend that you add one to the earliest start
time to get the actual start date. Milestone charts are often prepared on a monthly
The end date is correctly shown on the network. basis and sent to the senior management team.
The chart provides an 'at a glance' picture of the
Once the boxes are drawn, shade in the critical
project performance which makes it an ideal tool to
path.
distribute to senior managers.
Then add the total float bars for those activities not
on the critical path.
For those tasks that have free float put an F over S11P16: Time Boxing
the total float bar for the appropriate number of Priya:
units. A timebox is a fixed period of time used in an
Finally, add a key and you have a Gantt chart. iterative life cycle. Typically, it lasts between two
Select Ctrl, Alt and V on your keyboard for an and four weeks and starts with a kick off meeting
accessible version of this information. and this is followed by three distinct steps:

• Investigation, where the requirements and

S11P14: Summary so far deliverables of the timebox are reviewed
and confirmed
Tony: • Refinement, where the bulk of the work
We have now drawn a network from scratch, which takes place and
is an important skill but is unlikely to be examined. • Consolidation, where any loose ends
We then added the durations and calculated the related to evolutionary development are
critical path, total and free floats. tied up, ensuring that all products meet
their acceptance criteria.
The project network is a very valuable tool for the
Project Manager and team mangers. Close-out is where the deliverables from the
timebox are formally accepted, and this is usually

56
followed by a short retrospective to learn any S11P20: Activity
lessons from the timebox.
Pete:
Splitting the schedule into timeboxes is known as If an activity takes longer than expected and uses
‘time boxing’. more float than it has available what will be the
effect on the project?
1. The critical path will be more critical than
S11P17: Activity previously
Priya: 2. The critical path will move and the end
Let’s try a few multiple-choice questions. date of the project will slip
3. The Project Manager will have to spend
What are Bar or Gantt charts primarily used for? more money to recover the situation
1. Showing interdependencies between tasks 4. The team will have to work unpaid
2. Providing an overview of project tasks overtime to recover the situation
against a calendar
3. Showing a network of activities
4. Ensuring resources can be managed S11P21: Summary
Tony:
This brings us to the end of our discussions on
S11P18: Activity Scheduling. It related to Learning Outcome 6,
Tony: “Understand resource, scheduling and optimisation
After the critical path analysis has been completed in a project”.
on a project network, it is clear that the deadline You should now be able to answer questions
cannot be achieved. What should be the first thing related to the following assessment criteria:
a Project Manager considers?
1. Assign more resources to tasks with the
least float • State the purpose of scheduling
2. Increase the amount of parallel activity • State the purpose of the critical path
3. Negotiate an extension to the project • State the purpose of milestones and
4. Define the critical path • Define the terms ‘timeboxing’.

This concludes this session.

S11P19: Activity
Pete:
Which statements about the critical path are true?
A. It is the longest path through the network
B. It is the shortest path through the network
C. It gives the duration of the project
D. It has zero total float

1. Statements A, B and D
2. Statements A, B and C
3. Statements A, C and D
4. Statements B, C and D

57
Session 12: Resourcing When I schedule G and H they will have a float of
1 day and F has 6 days total float.
Nita:
S12P1: Introduction Yes, I'd agree with that but I'm not sure what to do
next.
Tony:
Welcome to this session on the topic of Tony:
Resourcing. It relates to Learning Outcome 6, OK, so far, you're all doing great. Let's assume
“Understand resource, schedule and optimisation for this exercise that each task on the schedule
in a project”. requires one person, or resource, to work on it.
During this session, our discussions will cover this The other assumption I'm making here is that all
assessment criterion: our resources are multi-talented and can do any of
the tasks on the schedule.
• Outline options for resource optimisation,
including resource levelling and resource Nita:
smoothing. I see, so we could get Resource 1 to do all the
tasks on the critical path and we could show it on a
chart like this.
S12P2: What is Resource
Priya:
Management? I can see where this is going. We can then get
Tony: Resource 2 to work on G and H
Resource Management involves allocating Pete:
resources to the tasks on the schedule and then And Resource 3 can work on Task F.
optimising the resources and the schedule so that
the project is resourced efficiently. We'd get a resource chart or histogram that looks
something like this and we'd know that we needed
There are two types of resources. These are: three resources to do the work.
• Reusable resources, such as people, Tony:
machinery and infrastructure, and That's absolutely correct. We call this a Resource
• Replenishable resources. These are Histogram. Select Ctrl, Alt and V on your
resources which we can buy more of when keyboard for an accessible version of this
they run out, such as materials information.
Once we have defined the project network and the
Gantt Chart, we will need to allocate the
resources. We therefore have to take into account
S12P4: Resource Smoothing
their availability and skills. Tony:
So, let's quickly summarize. To do these tasks
Allocating resources and taking account of these
requires three resources but the person doing task
factors is known as Resource Scheduling and
F is only required for a couple of days.
defined in the BoK as: 'A process that ensures that
resources are available when needed and where Before she can begin, I'm going to have to go
possible are not underutilised'. through the work with her and carry out a health
and safety briefing, all of which take time and cost
money.
S12P3: Resource Histogram Just take a few moments to look at the schedule
Priya: and see if you can work out how to do it with just
Tony, have you got an example of Resource two people.
Management? When you're ready, click the continue button
shown on screen, or select Ctrl, Alt and K on your
keyboard.
Tony:
Yes Priya, I have a small example here involving Nita:
eight tasks, A to H. I've got it I think. If we moved Task F across five
days it would start after H and Resource 2 could
Pete: do it.
I can see that the critical path is A, B, C, D and E.
So, I could draw a Gantt chart showing the critical
path.
Tony: This often puts the end date at risk as in this
That's right Nita. So it makes it cheaper because example. Is it possible to still finish on day 19 do
I don't have to do the briefing and induct her into you think?
the team but can you see any disadvantages?
Pete:
Priya: If we got resource 2 to work overtime on G we
Well, yes. In the first case Task F had six days of could get some time back and then all the tasks
float but now it only has one day and that is being would be critical but we would finish on day 19.
shared between G and H as well.
Tony:
Effectively we've changed the network to make G, Yes, that's correct. Select Control, Alt and V on
H and F sequential, so if there are any problems your keyboard if you require an accessible version
with any of them then the start date of Task E will of this information. Let’s move on.
be affected, and the project will be delayed.
Pete:
I agree. It depends whether it is more important to S12P6: Summary so far
reduce the risk and hopefully get it all done by day Tony:
19 in which we'd employ three resources, The effect of resource smoothing is to reduce the
otherwise if day 19 isn't critical we can run with two peaks and troughs of resources coming to work on
resources and hope for the best. the project, as peaks and troughs are often
Tony: inefficient.
Excellent - that's a great answer. What we have For example, if we had a team of four people
just done is known as Resource Smoothing. working on a job for a week, but on Wednesday
We have smoothed the histogram by moving the there was only work available for three of them,
tasks within their float but still maintained the end then we would probably still have to pay for the full
date. team.
Resource smoothing is used to reduce this sort of
non-productive time to a minimum.
S12P5: Resource Levelling
We move tasks within their float but ensure that we
Tony: can still meet the end date.
Now let's consider what would happen if Task F
It is sometimes known as time limited scheduling.
was four days long. The chart would look like
this. When we are limited to a certain number of
resources then we move the tasks within the float
But this time I'm going to limit you to two
first, but as we have seen, on occasions we also
resources.
have to move tasks by more than their available
Take a few moments to work out how you would float, and this causes the end date to move out.
run this project with only two resources and when
We call this resource levelling.
you’re ready, click the continue button shown on
screen, or select Ctrl, Alt and K on your keyboard. This is sometimes called resource limited
scheduling.
Priya:
I can't see how it can be done in 19 days. Normally on a project we have do a mixture of
smoothing and levelling before we can get an
Pete:
agreed schedule.
I don't think it can. We would have to move F by
five days again but it only has four days of float so
that would impact on Task E.
S12P7: Activity
Nita: Nita:
That's right and then the critical path would change Let’s try a few multiple-choice questions.
too. Which two types of resources are used on
Tony: projects?
Well done, this is called 'Resource Levelling' 1. Time and materials
because we have capped the resources at a given 2. Replenishable and re-usable
level, in this case, two. 3. Time and money
4. People and money

59
S12P8: Activity • Outline options for resource optimisation,
including resource levelling and resource
Pete: smoothing.
Resource Levelling is:
1. Re-allocating the resource within the float This concludes this session.
whilst maintaining the end date
2. Re-allocating the resource so that the total
resource available is not exceeded but the
end date might move
3. Re-allocating the resource to make sure
that time is minimised
4. Re-allocating the resource to make sure
that cost is minimised

S12P9: Activity
Priya:
Resource smoothing is:
1. Re-allocating the resource within the float
whilst maintaining the end date
2. Re-allocating the resource so that the total
resources available is not exceeded but
the end date might move
3. Re-allocating the resource to make sure
that time is minimised
4. Re-allocating the resource to make sure
that cost is minimised

S12P10: Activity
Tony:
Which of these statements are true?
A. Resource smoothing and resource
levelling are never used together
B. Infrastructure is an example of a re-usable
resource
C. Materials are an example of replenishable
resources
D. Resource smoothing and resource
levelling both use the available float

1. Statements A, B and D
2. Statements A, B and C
3. Statements A, C and D
4. Statements B, C and D

S12P11: Summary
Tony:
This brings us to the end of our discussions on
Resourcing. It relates to Learning Outcome 6,
“Understand resource, schedule and optimisation
in a project”.
You should now be able to answer questions
relating to the following assessment criterion:

60
Session 13: Risk and Issue S13P3: Risk Management Process
Management Tony:
Let’s start by reviewing the risk management
process and then we’ll consider each part in detail.
S13P1: Introduction
The first step is identification where we identify the
Tony: risks.
Welcome to this session on the topic of Risk and
Issue Management. It relates to Learning One of the most important things to do when
Outcome 7, “Understand project risk and issue identifying risks is to make sure it is clearly defined
management in the context of a project”. in terms of cause, uncertainty and effect.

During this session, our discussions will cover For example, torrential rain, the cause, may cause
these assessment criteria: the river to burst its banks, the uncertainty, and the
housing estate floods, the effect.
• Define the term ‘risk’
Once we have identified the risks, we can analyse
• Explain the purpose of risk management
their probability and impact.
• Outline the stages of a typical risk
management process (including Depending on the severity of the risk we must plan
identification, analysis, response and the appropriate response and implement the
closure response.
• Describe the use of risk registers The final stage is closure, where risks which have
• Define the term ‘issue’ expired, or happened are closed, or at the end of
• Outline the purpose of ‘issue the project any open risks are passed to BAU and
management’ then closed.
• Differentiate between an issue and a risk,
and finally, The steps are repeated throughout the project to
• State the stages of an issue resolution make sure risks are managed appropriately.
process

We’ll start by considering risk. S13P4: Identification - 1

Tony:
There are several different methods available for
S13P2: Definitions risk identification. Pete and Priya, I think you’ve
Tony: researched these, so Priya please can you start us
There are four definitions to consider which are off?
associated with risk.
Let’s start with the definitions of risk and risk Priya:
events. Essentially, a risk is something which No problem, Tony. Lessons learned is a very
might, or might not happen, and if it does it will useful technique which we can use in the Concept
affect one or more of the project’s objectives. phase at the start of the project.
In other words, it has uncertainty and the formal We should review the lessons reports from similar
definition for risk and a risk event are shown on projects to see if there were any similar risks and
screen now. what was done to mitigate them.
Risks can have both negative and positive impacts We should also look for any issues that arose and
and we classify these as threats and opportunities. see if they were due to risks that were missed.
Risk analysis and management is the way we We can also use this technique as we move from
identify, assess and mitigate the risks to minimise phase to phase throughout the project.
threats and maximise opportunities.
Have you used this approach, Pete?
The last definition relates to risk context where we
consider our attitudes to risk. Pete:
Yes Priya, I use that technique quite often.
For example, venture capitalists will be more
comfortable with risky ventures than perhaps we But I've read about another technique we could
would be if we were investing our own money in a use at the beginning of the project; it's called
new project. Select Ctrl, Alt and V on your Assumptions Analysis.
keyboard for an accessible version of this
information.
I think this will be very useful at the Concept phase Pete:
too. I've heard of those, when do you find them most
useful?
Basically, we make a list of assumptions, which
are things we're not sure about but have decided Priya:
to treat as fact. Well, you can use them at all points but we find
them most useful when we're allocating work to
Then we can test their stability against sensitivity.
teams.
In other words, how sure are we that the
We have prepared a list of closed questions and if
assumption is correct?
the answer is 'no' then we ask a number of open
Which is the stability. questions to determine the level of risk.
And if we're wrong about the assumption, what Let's move on and look at an example.
effect does it have on the project, which relates to
the sensitivity.
So, if we have a low stability and high sensitivity S13P6: Identification - 3
we'll raise a risk, if it's high stability and low Priya:
sensitivity then no action is needed, otherwise we'll Let's assume that we're allocating a piece of work
think about it and decide whether or not to raise a to produce a design to our system.
risk.
The first question we ask is 'Are the requirements
agreed in the system specification'?
S13P5: Identification - 2 If the answer is 'yes' then the risks associated with
incomplete requirements are virtually non-existent.
Pete:
Another very popular technique is brainstorming. However, if the answer is 'no' then we can ask
further questions such as 'which requirements are
This is something that often forms part of a not agreed'?
planning workshop, or a specific risk workshop.
If the answer is 'only the requirements associated
Priya: with peripherals are outstanding' then although
Would you need a facilitator? there is some risk associated with the work
Pete: package it is likely that these peripheral
Yes, Priya that does help. requirements will be agreed before they affect the
design.
We use someone from our project office to do that.
However, if the answer is 'the central requirements
We also need some rules, so we avoid anyone are still unclear' then there is a risk that 'due to
taking over and it's also very important that the unstable requirements, the design may have to be
workshop focusses on just identifying risks and not done more than once as requirements come
assessing them which we do later. through, leading to increased costs and time
Priya: overruns'.
You'll need an agenda as well Pete, you could use It may be that if the risk is very severe the work
a prompt list for that. package may be delayed.
Pete: Tony:
That's a good idea. That's a great example, thanks Priya.
We sometimes use a prompt list on its own as There are three more techniques to consider,
well. which are interviews, Delphi and constraints
We have created it from our past experience, and analysis.
it is based on PESTLE with some additions Let's move on and discuss these.
including Operations and Procurement.
You could build one that meets the needs of your
particular industry sector. S13P7: Identification - 4
Priya: Tony:
That sounds really useful Pete, I think I'll have a go Interviews are often used when you want to
at putting one of those together later. identify the risks associated with a particularly
specialist subject such as transporting hazardous
We also use checklists. material.

62
It's necessary to plan carefully for an interview and • Reduce, by changing the plans so the risk
allow plenty of time to explore the subject. is either less likely to happen, or has less
impact if it does
Delphi is a technique which is sometimes used to
identify risks. • Transfer, usually, via the contract in the
form of liquidated damages, or by
Using this technique, a group of experts provide insurance, but this only mitigates the
the facilitator with a list of risks. financial aspects of the risk, and finally
The facilitator reviews the input and issues a • Prepare a fall-back plan, in other words, a
summary report. plan 'B' to be executed if the risk occurred.
This is useful for risks with very low
The experts review the report and give feedback probability and very high impact
and again the facilitator reviews and issues a
report. There are also five responses which can be
This process is repeated until a consensus is considered for opportunities, and these are shown
here, or select Ctrl, Alt and V on your keyboard for
reached, often three times round the loop will be
sufficient. an accessible version

The participants in the process remain anonymous

which means they can express their opinions S13P9: Analysis and Response - 2
freely.
Tony:
The final technique we're going to discuss is Having identified possible mitigating actions we
constraints analysis which is used particularly to must now choose which of them we'll implement.
identify opportunities. There are number of questions we should ask,
The project's main constraints are time, cost and such as:
quality but there may be others. • What effect will the mitigating action have,
A form of value management, this technique in other words what level of risk remains
highlights opportunities by considering the effect of after the action is taken? We call this the
relaxing one or more of the constraints. residual risk
• Do new risks arise if we implement the
For example, if we were to allow a little extra time action and how serious are these? We
would this enable us to build a better solution. call these secondary risks
This technique could be used throughout the life • How much will the mitigating action cost
cycle but could be particularly beneficial in the compared to the cost of the risk if it were
Definition phase when defining the scope and to happen?
schedule for the project. • Do we have the necessary resources to
implement the mitigating action?
S13P8: Analysis and Response - 1 • Is the action practical at this stage in the
Once we have identified the risk and updated the project?
risk register, we must analyse their probability and
impact as per the risk management strategy.
S13P10: Analysis and Response - 3
This will enable us to see which risks we need to
Tony:
mitigate.
Based on the answer to these questions we can
As a general rule risks in the green area can be decide which of the responses we will take, it could
accepted, risks in the red area should be mitigated be one, or many actions.
and those in the amber area could be mitigated if it
The chosen responses are implemented.
is easy to do so, or just accepted and monitored
more frequently. We will assign individuals to take the actions,
called the risk actionees, and make sure the risk
There are five responses which can be considered
owner is specified if we didn't do that earlier.
for threats, and these are:
This is the person best suited to keep an eye on
• Accept, because it's in the green or amber
the circumstances which lead to the risk arising
area and perhaps monitor more often and they can tell us whether the mitigation is
• Avoid, which means changing the plans so having the desired effect.
the risk can never happen, or it will have
no impact. This is often very expensive Any new actions should be included in the
schedule and the project cashflow and resource
charts updated accordingly.
63
Finally, don't forget to update the risk register. Project Manager will implement the corrective
action.
In the event the issue invalidates the Business
S13P11: Closure Case the Sponsor, with the Governance Board will
Tony: instruct the PM to close the project prematurely.
The final stage of the process is closure. At each stage in the process the issue log or
A risk can be closed when the time it would have register is updated with the latest information.
happened has passed, when it occurs and Please take a few moments to review the possible
becomes an issue or when we reach the end of contents of an issue log shown on screen now, or
the project and the risk relates to the live select Ctrl, Alt and V on your keyboard for an
environment, in which case it is closed in the accessible version, before moving on to try a
project and passed into the BAU risk register. sample question.
We’ll move on now to review the benefits of risk
management.
S13P14: Activity
Tony:
S13P12: Issue Management Let’s try a few multiple-choice questions.
Tony: Which is the best definition of a risk?
The BoK defines an issue as: 'a problem that is
now breaching, or is about to breach, delegated 1. Uncertainties that should be assessed
tolerances for work on a project or programme'. against time
Issues require support from the Sponsor to agree 2. Uncertainties that should they occur only
a resolution. have a positive impact
3. Uncertainties that should they occur only
Tolerance is the permissible deviation from a plan, have a negative impact
and it is normally concerned with time and cost. 4. Uncertainties that should they occur could
It is set for the project by the programme, or the have a positive or negative impact
corporate body, the Sponsor sets the tolerance for
a phase or stage, and the Project Manager sets it S13P15: Activity
for the work packages.
Pete:
Issues should have an owner and it is a key part of
When is Risk Management applicable in the
the Sponsor and steering group’s responsibilities
project lifecycle?
to ensure that issues are resolved.
1. Throughout the lifecycle
2. Only at the bid stage
S13P13: Issue Process 3. Only during project execution
4. Only at project close down
Tony:
Once an issue is raised it is recorded in the issue
register or log. S13P16: Activity
And then the Project Manager reviews the Nita:
problem. If it can easily be resolved without If a risk management procedure were to be:
escalation, then the corrective action is Identification, analysis, and closure. Which of the
implemented, and the issue closed. following would be the missing element?
Most issues, however, will require support from the 1. Cost the risk
Sponsor to resolve. 2. Determine the effect on the project
3. Response
In these instances, the PM will consider the effect 4. Rework the Business Case with the
of the issue, analyse possible resolutions and Sponsor
make a recommendation to the Project Sponsor.
The Sponsor, with the Governance Board will
review the analysis and then decide what to do.
Assuming the issue does not invalidate the
Business Case the Sponsor will allocate the funds
and time necessary to resolve the issue and the

64
S13P17: Activity
Priya:
Which of the following best describes a project
issue?
1. A severe problem which must be
escalated.
2. An uncertain event that may or may not
occur
3. An opportunity that occurs through change
control
4. A problem that the Project Manager has to
deal with on a day-to-day basis

S13P18: Summary
Tony:
This brings us to the end of our discussions on
Risk and Issue Management. It related to
Learning Outcome 7, “Understand project risk and
issue management in the context of a project”.
You should now be able to answer questions
related to the following assessment criteria:
• Define the term ‘risk’
• Explain the purpose of risk management
• Outline the stages of a typical risk
management process (including
identification, analysis, response and
closure
• Describe the use of risk registers
• Define the term ‘issue’
• Outline the purpose of ‘issue
management’
• Differentiate between an issue and a risk,
and finally,
• State the stages of an issue resolution
process

This concludes this session.

65
Session 14: Quality During the Deployment phase, we build the
products and test them, which we call quality
control and in the final phase the users will
complete an acceptance test which confirms we
S14P1: Introduction have met the acceptance criteria.
Tony: Throughout the project, we assure the processes
Welcome to this session on the topic of Quality. It and periodically we review the situation and
relates to Learning Outcome 8, “Understand identify lessons which we can apply to future
quality in the context of a project”. phases or projects.
During this session, our discussions will cover this This is known as continuous improvement.
assessment criteria:
Therefore, quality management has four
• Define the term ‘quality’ components which are:
• Outline the purpose of ‘quality
management’ • Quality planning
• Define the term ‘quality planning’ • Quality control
• Describe the term ‘quality control’ and • Quality assurance, and
finally, • Continuous improvement
• Outline the purpose of ‘quality assurance’.
We'll move on now to discuss each of these in
more detail.
S14P2: Definitions
Tony:
Quality is defined as fitness for purpose of either S14P4: Quality Planning
the product or deliverable, or the process that Tony:
creates it. During the Definition phase we will prepare a
It is also one of the three main constraints of a quality plan for the project.
project, the other two being time and cost. This will explain our approach to quality and
In other words, quality describes 'how good includes:
something has to be'. • The acceptance criteria stated by the
All statements about quality must be measurable. users
• The appropriate standards that apply to
For example, we can say a room must be warm, our project, for example the nuclear
but a measurable statement would be something industry has defined performance
like 'the room must be between 18 and 22 degrees standards, and similarly special standards
Celsius'. apply to military aircraft
Quality management is the way we make sure all • Our processes for quality control and
our products and our project management quality assurance
processes are fit for purpose. • The format of the quality documentation
such as the quality log or register
Before moving on please take a few moments to
• Names or job titles of those involved, and
review some more BoK definitions relating to
quality shown on screen now, or select Ctrl, Alt • Any specific quality techniques
and V on your keyboard for an accessible version.
The quality plan forms part of the Project
Management Plan or PMP.
S14P3: Quality Management - Overall As we plan the phase or stage we also plan when
Process we will undertake specific control or assurance
activities.
Tony:
Quality management includes making sure the
users define their acceptance criteria for the S14P5: Quality Control
project in the Concept phase.
Tony:
In the Definition phase we will prepare a quality Quality control is concerned with checking the
plan for the project that will document how we will product against its specification.
make sure we meet the acceptance criteria.
It is usual to check the work as we go.
This makes sure that problems are detected early Auditing the project and making sure the team are
and can be fixed with relatively little cost and time. following the plan is a key activity and this
includes:
For example, if we were digging foundations, it
would be a good idea to check that it's laid out Checking that the quality control activities are
properly before I start digging. being undertaken properly by people with the
appropriate skills and qualifications and of course,
If we make a mistake with the laying out then it is
making sure the documentation is all in place.
cheap to fix.
Let's move on now to consider the last component
If we leave it until we've dug the foundations and
which is continuous improvement.
then find they are in the wrong place the costs will
escalate dramatically!
There are many techniques associated with quality S14P7: Continuous Improvement
control and many are industry specific.
Tony:
Here a few examples: Continuous improvement is a process used in
If we are creating documentation we do a review, business as usual as well as in projects.
typically asking two or three people to review the Essentially it is about reviewing our processes,
document and make a list of any errors or evaluating what works well and what doesn't and
questions. then changing them accordingly to reinforce the
The list is reviewed, and the changes made good and avoid the bad practices.
accordingly. There are a number of techniques available such
We continue this loop until everyone is satisfied as Six Sigma, Lean and Business Process Re-
the document meets its specification. Engineering or BPRE available to assist in these
activities.
In construction we often do inspections, walking
around the site looking at the work and checking It is important to note that in a project the standard
that it is correct. of the outputs are defined and therefore our
continuous improvement activities relate to the
Sampling is often used for products such as processes we follow such as those for risk
concrete. management, stakeholder engagement,
A cube is made to the specification suggested by communications and so forth.
the engineers and then taken to a test facility The various reviews throughout the lifecycle
where it is crushed. provide opportunities to review how well the
The force needed to make it crumble should project is being managed, identify lessons and
exceed the limits set by the engineers. then put these into practice in the next phase.

The results of all these tests are recorded for audit

purposes and retained for review during the S14P8: Activity
operational life of the products.
Pete:
Let’s try a few multiple-choice questions.
Where would a Quality Plan be found?
S14P6: Quality Assurance 1. It would form part of the ISO 9000
documentation
Tony: 2. It would form part of the Project
Quality assurance is a very important aspect of Management Plan
quality management. 3. It would be a stand-alone document
Its purpose is to provide assurance or confidence 4. It would form part of the Risk Management
to the senior managers that the quality processes Plan
and plans are being implemented correctly.
This includes helping to establish the standards for
the project and the quality plan.
Most importantly those responsible for quality
assurance will be independent of the Project
Manager and therefore able to provide an
objective view of achievements.

67
S14P9: Activity
Tony:
The activities which check that work and products
meet specified standards form the process of:
1. Quality Assurance
2. Quality Control
3. Quality Planning
4. Total Quality Management

S14P10: Activity
Priya:
Quality Control
1. Is optional
2. Only required for major projects
3. Should be applied to all deliverables
4. Is the responsibility of the Project Manager

S14P11: Activity
Nita:
The activities which check that the quality
procedures are being followed forms part of:
1. Quality Assurance
2. Quality Control
3. Quality Planning
4. Total Quality Management

S14P12: Summary
Tony:
This brings us to the end of our discussions on
Quality. It related to Learning Outcome 8,
“Understand quality in the context of a project”.
You should now be able to answer questions
related to the following assessment criteria:
• Define the term ‘quality’
• Outline the purpose of ‘quality
management’
• Define the term ‘quality planning’
• Describe the term ‘quality control’ and
finally,
• Outline the purpose of ‘quality assurance’.

This concludes this session.

68
Session 15: Deployment Baseline and Along with the Project Management Plan (PMP) it
Communication forms the basis of monitoring and control
throughout the Deployment phase.
When change requests are raised their effect on
S15P1: Introduction the Deployment Baseline is assessed and this
feeds into the decision making when deciding
Tony: whether to incorporate the change or not.
Welcome to this session on the topics of the
Project Management Plan, or PMP, the
Deployment Baseline and Communication. It
relates to Learning Outcome 4, “Understand S15P3: Deployment Baseline - 2
project management planning” and Learning Tony:
Outcome 9 “Understand communications in the Before the Deployment Baseline is approved the
context of a project”. scope should be re-confirmed, the Business Case
During this session, our discussions will cover this assumptions reviewed and confirmed and finally, if
assessment criteria: using critical chain, the buffers should be reviewed
and confirmed.
• Define the term ‘Deployment Baseline’
Good practice suggests that a project professional
• State how Deployment Baselines differ
should undertake an integrated baseline review.
between linear and iterative life cycles
• Outline the stakeholders of a Project This is a risk-based review and ensures that the
Management Plan baseline is realistic and that the scope of work can
• Define the term ‘communication’ be completed on time and within budget.
• Outline the advantages of different
communication methods (including face to
face, physical and virtual S15P4: Project Management Plan
• Outline the disadvantages of different Contents - 1
communication methods (including face to
face, physical and virtual) Tony:
• Outline the contents of a communication The Project Management Plan or PMP is the
plan, and finally, output of the Definition phase of the project.
• Explain the benefits, to a Project Manager, It is a collection of plans and strategies that
of a communications plan. describe the project's objectives and the way that
the project will be managed to ensure success.
We’ll start by considering the Deployment
Baseline. Based on the Business Case, which is the output
of the Concept phase, the Project Manager and
the team will meet and decide the best way to
deliver the project's products.
S15P2: Deployment Baseline - 1
The PMP covers the 'what', 'why', 'when', 'how',
Tony: 'where', 'who', 'how much' and 'how good' of the
The Deployment Baseline is the culmination of the project.
scheduling process which, in a linear life cycle,
includes: Under the heading 'what' we will describe the
project requirements and scope.
• Requirements capture
• Scope and quality defined A product and work breakdown structure are used
• Creation of fully resourced schedule to identify the scope of work.
• Allowances for risks and Sometimes we include a statement of work and a
• When used the Planned Value curve will WBS dictionary which describes all the work
be understood. packages in the WBS.

When an iterative life cycle is being used the As the project’s Business Case is likely to contain
baseline resources and schedule is defined. commercially sensitive information it is not likely to
be included in the PMP so under the “why”
But the achievement of scope and quality may heading we would just have an outline of why the
vary as this is under the control of the teams. Any project is needed, which is a review of the current
work not achieved within a timebox will be returned situation and the problem faced or the opportunity
to the product backlog. to grasp. The schedule indicates 'when' the
various activities will happen.
This may also include other scheduling information S15P7: Activity
such as the resource requirements, key milestones
and the network diagram. Tony:
Let’s try a few multiple-choice questions.
Which is true of the Project Management Plan?
S15P5: Project Management Plan
1. It is owned by the Project Manager
Contents - 2 2. It is the responsibility of the customer
Tony: 3. It has the same content for all projects in
The 'how' section is possibly the biggest section of the organisation
the PMP as it covers elements such as the 4. It remains unchanged during the
strategies and plans for managing risk, quality, Deployment phase of the project
health and safety, change control, configuration
management, stakeholders, communications and
S15P8: Activity
so forth.
Pete:
Any geographical information will be contained
Which of the following would be associated with
within the 'where' section and the information
the Business Case rather than the Project
relating to the project team will be within the
Management Plan?
section relating to 'who'.
1. Milestones
The 'how much' section documents the budget and
2. Project financing
associated cashflow and finally, the 'how good'
3. Document distribution schedule
section will describe details about the quality
4. Reference to standards
requirements and acceptance criteria for the
project.
Once agreed the PMP should be baselined, and its S15P9: Activity
contents updated through the configuration Priya:
management system as required throughout the Who approves the ‘Project Management Plan’ on
project. behalf of the customer?
1. The Project Manager
2. The Project Sponsor
S15P6: PMP Authorship, Ownership,
3. The Project Governance
Readership 4. The Stakeholders
Tony:
The PMP is written by the team under the
S15P10: Activity
guidance of the Project Manager.
Nita:
Once completed it is agreed by the Project
A Project Management Plan:
Sponsor on behalf of the organisation and by the
Project Manager on behalf of the team. 1. Is owned by the project team
2. Excludes procurement
It now forms the 'contract' between them and it is
3. Includes the ‘What’, ‘Why’, ‘How’, 'When’,
used as a basis for all decisions about the future of
‘How much' and 'Who’ of the project
the project, for example, as an input to the
4. Is developed by the Sponsor
Decision Gate and when major changes are
requested.
The PMP is read by all the stakeholders and forms S15P11: What does Communication
a reference point for all newcomers to the project. Mean?
Finally, it is important to note that the logs and Tony:
registers for risk, issues, change, quality and so Poor communication is the biggest cause of
forth do not form part of the PMP. project failure and something which we tend to
take for granted.
They are working documents and held and
updated separately. Pete, how would you describe communication?
Pete:
Giving people information.
Tony:
OK, Priya, can you add anything to that?
70
Priya: To make sure we communicate effectively with all
Doesn't it include checking that it's been received our stakeholders we must understand the barriers
and understood? to communication.
Tony: Typically, these barriers come under three key
Yes, it does. It's a two-way process. How can you headings:
make sure you staff have understood what they
have to do when you've allocated them some • Our perceptions, which are governed by
work? our education and experience
• Our personality and interests which
Nita: causes us to ignore unfamiliar or boring
I always ask them to repeat it back to me, telling topics, and
me what they are going to do and how. • Our attitudes, emotions or prejudices
I make a point of just checking things out with my which cause very strong emotions and
boss as well when he gives me work to do. fears within us

Tony:
That's a very good idea, I use the same approach S15P13: Specific Barriers to
when I'm getting requirements. Communications
After about fifteen minutes I stop and just check Tony:
my understanding. Let's look at a few specific barriers to
communication.
It prevents a lot of problems because it clears up
any misunderstanding straight away. Firstly, our physical location can be a major
barrier, especially if the other party is overseas.
The BoK definition confirms that and also shows
that we communicate in a number of different In global projects communications is hampered
ways. because we are in different time zones.
It states that communications is: 'the process of Different work ethics or cultures cause people to
exchanging information and confirming there is react badly particularly if they feel the other party
shared understanding.” has an easier life.
This is often seen when people from the public and
private sector work together.
S15P12: How do we Communicate?
Even when we are speaking the same language
Tony: words have different meanings.
We communicate in a number of different ways.
Consider the use of the American 'elevator'
We write reports and letters. We talk to our staff whereas in the UK we would say 'lift'.
and colleagues. We use technology such as
YouTube, email, text, twitter, Facebook and the Different dialects and phrases cause problems
internet. even within the same country.
We also attend presentations and meetings. We often evaluate the messenger before the
message and can ignore what we are told.
Our body language also communicates how we
feel and staying quiet is also communicating. When we're faced with conflicting information we
tend to do as we please.
Making sure we communicate effectively is
essential if we are to avoid misunderstandings and Let's move on to look at how some of these can be
failure in our projects. avoided.
Poor communication de-motivates the team and
leads to poor performance.
S15P14: Overcoming Barriers
We should also consider the needs of our
Tony:
stakeholders when we communicate.
Overcoming barriers can often be achieved by
If we have done our stakeholder analysis properly, seeing the other person face to face, even if that's
we should have identified their need for by a video link.
information and the method of communicating with
We can arrange contacts at times when both
them.
parties are awake by modifying our working hours.

71
We should take the time and trouble to understand S15P16: Communications Plan
the other party's views and avoid comparing work
ethics. Tony:
The communications plan is very important and is
We can say things in different ways that appeal to one of the outputs of the stakeholder analysis
the other party's culture and work ethic. which we undertook at the beginning of the project.
We should check the meaning of unfamiliar words The typical content of the plan covers:
before we start.
• A list of stakeholders and their contact
A little research will identify common phrases. details including name, address, email,
If we don't understand an expression, we shouldn't telephone and mobile numbers
be afraid to say so and find out what it means. • The information each stakeholder requires
and the amount of detail each requires.
If we know we evaluate the person rather than the Some stakeholders such as senior
message we should take time to listen carefully, management may just want a summary,
clarify the message and curb our prejudices. while others such as the Sponsor may
If we receive conflicting information, we should want a detailed view of the project's
seek clarification. finances.

We should establish the format of the information.

Is it a written report, an email, presentations or just
S15P15: Factors Which Affect
a phone call for example? Every stakeholder group
Communication will want information at different times.
Tony: The Project Manager may want weekly updates
When we communicate there are essentially three from the team, the Sponsor may want an update
forms: written words only, spoken words only and every three weeks and the steering group every
face to face. two months.
The richness of the communication varies across The method of communication should be noted.
all three forms.
For example, a web page may be adequate for the
The written word is confined to syntax, language majority of external stakeholders whereas others
and symbols. It is important to make sure that what may want something more personal.
we write is clear and unambiguous.
Finally, we should make sure that there is some
Voice only has the added richness of pitch, pace, feedback mechanism in place so our stakeholders
tone and volume and this can help us express can reply and keep us updated with any changes
ourselves in a more meaningful way. But we can’t and amendments.
provide any symbols or graphics to illustrate our
meaning.
Thirdly, we have face to face. This provides the S15P17: Activity
richest form of communication, and these
Tony:
additional non-verbal clues can help us to
Let’s try a few more multiple-choice questions.
communicate more effectively.
To ensure effective communication the Project
So, it is important that we consider all these
Manager must do what?
aspects when we communicate to make sure the
message is clear and that we check understanding 1. Develop and use formal and informal
by asking for feedback. communication networks
2. Develop formal communications that avoid
Typically, we can ask for the message to be
misunderstanding
repeated back to ensure there hasn’t been any
3. Develop and use informal communications
misunderstanding. If there has it can easily be
to engender a strong team spirit
corrected.
4. Appoint a communications officer to
Alternatively, when people delegate work to us we ensure that the development and delivery
can take the initiative and repeat it back, to check is professionally handled
we have understood correctly.

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S15P18: Activity • Outline the contents of a communication
plan, and finally,
Priya: • Explain the benefits, to a Project Manager,
Which of the following is a significant barrier to of a communications plan.
effective communication?
1. Attitudes, emotions and prejudice
2. Use of body language
3. Use of informal communication channels
4. Formal meetings

S15P19: Activity
Tony:
Which of these correctly defines Communication?
1. Giving, processing and interpretation of
information
2. Giving, receiving, processing and
interpretation of information
3. Giving, receiving, interpretation of
information
4. Receiving, processing and interpretation of
information

S15P20: Activity
Pete:
A key to successful communication is to?
1. Check understanding
2. Say everything twice
3. Write everything down
4. Ignore interruptions

S15P21: Summary
Tony:
This brings us to the end of our discussions on the
Project Management Plan, or PMP, the
Deployment Baseline and Communication. It
related to Learning Outcome 4, “Understand
project management planning” and Learning
Outcome 9 “Understand communications in the
context of a project”.
You should now be able to answer questions
related to the following assessment criteria:
• Define the term ‘Deployment Baseline’
• State how Deployment Baselines differ
between linear and iterative life cycles
• Outline the stakeholders of a Project
Management Plan
• Define the term ‘communication’
• Outline the advantages of different
communication methods (including face to
face, physical and virtual
• Outline the disadvantages of different
communication methods (including face to
face, physical and virtual)

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Session 16: Procurement and As with most strategies it will answer the questions
Reporting of 'what', 'why', 'when', 'how', 'where', 'who', 'how
much', 'what if' and 'how good'?
Using these headings as prompts make a few
S16P1: Introduction notes of what you think may be covered under
each heading.
Tony:
Welcome to this session on the topics of When you’ve finished, click the continue button
Procurement and Reporting. It relates to Learning shown on screen, or select Ctrl, Alt and K on your
Outcome 6, “Understand resource, scheduling and keyboard.
optimisation in a project” and Learning Outcome 4 Nita I'd like you to cover the 'what' and 'why'.
“Understand project management planning”.
Pete can you do the when and how and Priya can
During this session, our discussions will cover cover the 'where' and the 'who', and I'll finish off
these assessment criteria: the other three.
• Define the term ‘procurement strategy’ and OK let's go.
• Outline the purpose and benefits of project
progress reporting Nita:
I thought we'd need a statement of what we
We’ll start by considering procurement. wanted to buy both in terms of people and the
requirements that the project needs to satisfy.
I also think it's very useful to understand why we
S16P2: What does Procurement Mean? need the resources, not why we need to do the
project because that's the Business Case.
Tony:
So, let's start with a simple question. What does For example, we need external help because we
procurement mean? Well put simply, procurement don't have the expertise in that area.
basically means buying things.
Tony:
In any project we will need people, materials and Thanks Nita, that's very good.
services to deliver the products of the project.
This often means we will have to find some
suitable supplier and ask them for a quotation. S16P4: Procurement Strategy - 2
We will normally have to enter into a contract with Tony:
a company or individuals. OK, that's taken care of 'what' and 'why'.
And of course, we'll have to pay them. Pete, take us through 'when' and 'how'.
The way in which we do all this is known as Pete:
procurement and it is defined as: Well, I think it's useful to have a view of when we
we'll need the resources.
‘The process by which products and services are
acquired from an external provider for We may extract some information from the project
incorporation into the project, programme or schedule here.
portfolio’. And how we're going to build the solution is very
important.

S16P3: Procurement Strategy - 1 For example, can we buy a package off the shelf?

Tony: Priya, what about 'where' and 'who'?

Once we have been given the 'go ahead' to start Priya:
planning the project we will enter the Definition We need to know where the work is taking place
phase. as this might have some implications for things
This phase will finish when we have prepared the such as security, permits to work or restrictions on
Project Management Plan, or PMP. access.

The PMP will contain all the strategies we will use And for 'who' I think we need to specify the type of
in managing the project and one of these will be skills we are looking for.
our approach to procurement or the procurement We may even have some particular supplier in
strategy. mind, or a range of suppliers.
We also need to record 'how' we are going to And an update on the status of the budget and the
select a supplier, covering things like invitation to schedule.
tender, selection criteria and so forth.
Tony:
Tony: Thank you, that’s very comprehensive and is
Yes, those are good points and lead me into 'how typical of progress reports from the team to the
much'. We’ll need to have some idea of budget Project Manager or from the Project Manager to
and crucially how are we going to pay the the Sponsor.
suppliers, such as stage payments perhaps, target
Let’s move on now to consider the difference
price, lump sum and so forth.
between knowledge and information.
We’ll also need to consider the type of contract
we’ll use That may be something we cover under
'how'. S16P7: Knowledge Vs. Information
We’ll need to make sure we’ve considered the Tony:
risks involved in the project and whether these Knowledge is information which has been
have an effect on the type of contract or payment analysed and understood. Once knowledge is
mechanisms. gained informed decisions can be made.
And finally, how good does the solution and the In a project the information is reported upwards to
resources need to be. This is something we need the next level of the team. At each level this
to consider when we specify the requirement so information is analysed, and knowledge gained.
perhaps we could add this to the 'what' section. Based on this knowledge, informed decisions are
made.
S16P5: Reports Definition
The process also flows downwards from the
Tony:
governance board to the project team.
Let’s move on now to consider project reporting.
A report is defined as: 'The presentation of
information in an appropriate format', for example S16P8: Activity
a management report
Tony:
or 'a written record or summary, a detailed account
Let’s try a few multiple-choice questions.
or statement, or a verbal account'.
A procurement strategy includes:
Please take a moment to reflect on these
definitions and then move on to the next page. 1. The organisation's quality management
system
2. Defining the members of the project team
S16P6: Introduction to Reports 3. The make or buy decision
4. The Project Management Plan
Tony:
Let's take a brief look at management progress
reports. Priya, what do you think the typical S16P9: Activity
contents would be?
Priya:
Priya: Where will the purchasing team find the
Well I'd start with the reporting period covered and procurement strategy?
then I'd move on to explain what work or products 1. In the office files
had been completed. Nita, do you want to take
2. On the project information server
over? 3. In the Project Management Plan
Nita: 4. In the project quality plan
OK. I would add a few words about any actual or
potential problems. Along with an update on the
risks and issues. Pete, can you think of anything S16P10: Activity
else? Pete:
Pete: All progress reports should be…?
Thanks Nita, I think I can. I would round it off with 1. Written and formal
a view of the work that will be done in the next 2. Electronic
period. 3. Oral and informal
4. In different mediums to suit the needs of
the recipient
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S16P11: Activity
Tony:
Which of the following statements best describes
procurement?
1. The process of negotiating with potential
suppliers of goods and services to put
suitable contracts in place
2. The generic term for placing a contract
with a supplier
3. The generic term for the delivery of
materials to a project site
4. The process by which the resources
(goods and services) required by a project
are acquired

S16P12: Activity
Nita:
In any project…
1. All stakeholders should receive all the
information
2. Different stakeholders need different
information
3. There are never any barriers to
communications
4. Information is best communicated formally

S16P13: Activity
Pete:
When should progress reports be issued?
1. Every month
2. Every week
3. As documented in the communications
strategy
4. In time for the progress review meeting

S16P14: Summary
Tony:
This brings us to the end of our discussions on the
topics of Procurement and Reporting. It related to
Learning Outcome 6, “Understand resource,
scheduling and optimisation in a project” and
Learning Outcome 4 “Understand project
management planning”.
You should now be able to answer questions
related to the following assessment criteria:
• Define the term ‘procurement strategy’ and
• Outline the purpose and benefits of project
progress reporting

This concludes this session.

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Session 17: Foundation Exam
Simulator

S17P1: Exam Introduction - 1

Tony:
Welcome to the Exam simulator.
The exam consists of multiple-choice questions
which are randomly selected from our database.
The pass mark is shown on screen. The
examination is timed, and the exam duration is
shown at the top right of the interface.
Once you begin the exam you will be presented
with a page that looks like this.
You will notice that the bottom portion of the page
contains a question reference matrix.
You can choose to answer the questions in
numerical sequence by clicking the forward and
back buttons, or you can select a question by
clicking its number in the matrix.
You can come back to any question you've
previously answered in the same way. Questions
which have been answered are highlighted in blue.
The APM PFQ Exam simulator has 60 multiple-
choice questions, and the pass mark is 60%, 36
answers correct out of 60. The time limit for the
exam is 60 minutes.

S17P2: Exam Introduction - 2

Tony:
Once you are happy with your answers, you can
submit them for marking by clicking the submit
button - shown here.
At this point you will be given your score. Valuable
feedback on which of your answers were correct or
incorrect is also provided. Again, you can review
your answers by selecting them in the question
reference matrix. Green question numbers indicate
a correct answer and those in red were marked
incorrect.
At the end of the quiz, you will be given an
assessment of your performance.
Having completed the exam you can review your
given answers. You also have the opportunity to
add any question to your Revision Pad, which
stores questions for review at a later date. The
stored questions can be accessed from the
Revision Pad icon in the course’s main menu.
If at any point you exit the quiz before completion,
you will have to restart from the beginning.
Good Luck.
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