Project Planning &

Integration
Management

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The Key to Overall Project Success: Good
Project Integration Management

• Project managers must coordinate all of the other

knowledge areas throughout a project’s life cycle

• Many new project managers have trouble looking at

the “big picture” and want to focus on too many details

• Project integration management is not the same thing

as software integration

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 Project Integration
Management Processes
1. Project Plan Development: taking the results of
other planning processes and putting them into a
consistent, coherent document—the project plan
2. Project Plan Execution: carrying out the project
plan
3. Integrated Change Control: coordinating changes
across the entire project
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 Framework for Project Integration
Management

Focus on pulling everything together to reach project success!

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 Project Plan Development
• A project plan is a document used to coordinate all
project planning documents
• Its main purpose is to guide project execution
• Project plans assist the project manager in leading the
project team and assessing project status
• Project performance should be measured against a
baseline project plan

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Attributes of Project Plans
Just as projects are unique, so are project plans
• Plans should be dynamic
• Plans should be flexible
• Plans should be updated as changes occur
• Plans should first and foremost guide project
execution

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Common Elements of a Project Plan
◦Introduction or overview of the project
◦Description of how the project is organized
◦Management and technical processes used on
the project
◦Work to be done, schedule, and budget
information
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 Sample Outline for a Software Project
Management Plan (SPMP)
Project Management Plan Sections
Introduction Project Managerial Technical Work
Organization Process Process Packages,
Schedule, and
Budget
Section Project Process model; Management Methods, tools, Work
of overview; organizational objectives and and packages;
Topics project structure; priorities; techniques; Dependencies;
deliverables; organizational assumptions, software resource
evolution of boundaries and dependencies, documentation; requirements;
the SPMP; interfaces; and and project budget and
reference project constraints; support resource
materials; responsibilities risk functions allocation;
definitions and management; and schedule
acronyms monitoring
and
controlling
mechanisms;
and staffing
plan
IEEE Std 10581-1987

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Stakeholder Analysis
• A stakeholder analysis documents important (often
sensitive) information about stakeholders such as
• stakeholders’ names and organizations
• roles on the project
• unique facts about stakeholders
• level of influence and interest in the project
• suggestions for managing relationships

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Sample Stakeholder Analysis
Key Stakeholders
Ahmed Susan Erik Mark David
Organization Internal Project team Project team Hardware Project
senior vendor manager for
management other
internal
project
Role on Sponsor of DNA Lead Supplies Competing
project project and sequencing programmer some for company
one of the expert instrument resources
company's hardware
founders
Unique facts Demanding, Very smart, Best Start-up Nice guy,
likes details, Ph.D. in programmer company, he one of oldest
business biology, I know, knows we people at
focus, easy to work weird sense can make company,
Stanford with, has a of humor him rich if has 3 kids in
MBA toddler this works college
Level of Very high Very high High Very high Low to
interest medium
Level of Very high; Subject High; hard Low; other Low to
influence can call the matter to replace vendors medium
shots expert; available
critical to
success
Suggestions Keep Make sure Keep him Give him He knows
on managing informed, let she reviews happy so he enough lead his project
relationship him lead specification stays; time to takes a back
conversation s and leads emphasize deliver seat to this
s ,do as he testing; can stock hardware one, but I
says and do some options; can learn
quickly work from likes from him
home Mexican
food
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Project Plan Execution
• Project plan execution involves managing and
performing the work described in the project plan

• The majority of time and money is usually spent on

execution

• The application area or the project directly affects

project execution because the products of the project are
produced during execution

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Important Skills for Project
Execution

◦General management skills like leadership,

communication, and political skills

◦Product skills and knowledge

◦Use of specialized tools and techniques

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Tools and Techniques for
Project Execution
• Work Authorization System: a method for
ensuring that qualified people do work at the right
time and in the proper sequence
• Status Review Meetings: regularly scheduled
meetings used to exchange project information
• Project Management Software: special software
to assist in managing projects
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Integrated Change Control
• Integrated change control involves identifying, evaluating, and
managing changes throughout the project life cycle (Note:
1996 PMBOK called this process “overall change control”)
• Three main objectives of change control:
• Determine that a change has occurred
• Influence the factors that create changes to ensure they are
beneficial
• Manage actual changes when and as they occur

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Integrated Change Control
Process

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Change Control on Software
Projects
• Former view: The project team should strive to
do exactly what was planned on time and
within budget
• Problem: Stakeholders rarely agreed up-front
on the project scope, and time and cost
estimates were inaccurate
• Modern view: Project management is a
process of constant communication and
negotiation
• Solution: Changes are often beneficial, and the
project team should plan for them
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Change Control System
• A formal, documented process that describes when
and how official project documents and work may be
changed
• Describes who is authorized to make changes and
how to make them
• Often includes a Change Control Board (CCB),
configuration management, and a process for
communicating changes

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 Change Control Boards
(CCBs)
• A formal group of people responsible for approving
or rejecting changes on a project

• Provides guidelines for preparing change requests,

evaluates them, and manages the implementation of
approved changes
• Includes stakeholders from the entire organization

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

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

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Suggestions for Managing Integrated
Change Control
• View project management as a process of constant
communications and negotiations
• Plan for change
• Establish a formal change control system, including a
Change Control Board (CCB)
• Use good configuration management
• Define procedures for making timely decisions on smaller
changes
• Use written and oral performance reports to help identify
and manage change
• Use project management and other software to help manage
and communicate changes

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Project Scope Management

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What is Project Scope Management?
◦ Scope refers to all the work involved in
creating the products of the project and the
processes used to create them
◦ Project scope management includes the
processes involved in defining and controlling
what is or is not included in the project
◦ The project team and stakeholders must have
the same understanding of what products will
be produced as a result of a project and what
processes will be used in producing them

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Project Scope Management Processes
1) Initiation: authorizing the project or phase
2) Scope planning: developing documents to provide
the basis for future project decisions
3) Scope definition: subdividing the major project
deliverables into smaller, more manageable
components
4) Scope verification: formalizing acceptance of the
project scope
5) Scope change control: controlling changes to project
scope
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 Project Initiation: Strategic Planning
and Project Selection
◦ The first step in initiating projects is to look at the
big picture or strategic plan of an organization

◦ Strategic planning involves determining long-term

business objectives

◦ IT projects should support strategic and financial

business objectives

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Identifying Potential Projects
◦Many organizations follow a planning
process for selecting IT projects
◦First develop an IT strategic plan based on
the organization’s overall strategic plan
◦Then perform a business area analysis
◦Then define potential projects
◦Then select IT projects and assign
resources

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Information Technology Planning Process

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Methods for Selecting Projects
◦There are usually more projects than
available time and resources to implement
them
◦It is important to follow a logical process for
selecting IT projects to work on
◦Methods include focusing on broad needs,
categorizing projects, financial methods,
and weighted scoring models

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Focusing on Broad Organizational Needs
◦ It is often difficult to provide strong
justification for many IT projects, but everyone
agrees they have a high value
◦ “It is better to measure gold roughly than to
count pennies precisely”
◦ Three important criteria for projects:
◦ There is a need for the project
◦ There are funds available
◦ There’s a strong will to make the project succeed
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Categorizing IT Projects
◦ One categorization is whether the project addresses
◦ a problem

◦ an opportunity, or

◦ a directive

◦ Another categorization is how long it will take to

do and when it is needed

◦ Another is the overall priority of the project

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Financial Analysis of Projects
◦ Financial considerations are often an important
consideration in selecting projects
◦ Three primary methods for determining the projected
financial value of projects:
◦ Net present value (NPV) analysis
◦ Return on investment (ROI)
◦ Payback analysis

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Net Present Value Analysis
◦ Net present value (NPV) analysis is a method of
calculating the expected net monetary gain or loss
from a project by discounting all expected future cash
inflows and outflows to the present point in time

◦ Projects with a positive NPV should be considered if

financial value is a key criterion

◦ The higher the NPV, the better

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• NPV can be computed using the following
formula

Where:
r= discount rate
t= year
n= analysis horizon (in years)

* The annual percentage rate that an amount of money is discounted to bring it to a present value

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Net present value example

Note that
totals are
equal, but
NPVs are
not because of
the time value
of money.

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Return on Investment

Where r= rate
y=year

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Payback Analysis
◦ Another important financial consideration is payback
analysis
◦ The payback period is the amount of time it will take to
recoup, in the form of net cash inflows, the net dollars
invested in a project
◦ Payback occurs when the cumulative discounted benefits
and costs are greater than zero
◦ Many organizations want IT projects to have a fairly short
payback period
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NPV, ROI, AND PAYBACK ANALYSIS FOR
PROJECT 1

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NPV, ROI, and Payback Analysis for Project 2

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Weighted Scoring Model
◦ A weighted scoring model is a tool that provides a
systematic process for selecting projects based on
many criteria
◦ First identify criteria important to the project
selection process
◦ Then assign weights (percentages) to each
criterion so they add up to 100%
◦ Then assign scores to each criterion for each
project
◦ Multiply the scores by the weights and get the
total weighted scores
◦ The higher the weighted score, the better
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 Since Project 2
has the highest
weighted project
score, it is the
winner!
Project 4

Project 3

Project 2

Project 1

0 10 20 30 40 50 60 70 80 90

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Project Charters
◦After deciding what project to work on, it
is important to formalize projects
◦A project charter is a document that
formally recognizes the existence of a
project and provides direction on the
project’s objectives and management
◦Key project stakeholders should sign a
project charter to acknowledge agreement
on the need and intent of the project

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Scope Planning and the Scope Statement
◦ A scope statement is a document used to develop and
confirm a common understanding of the project
scope. It should include
◦ a project justification

◦ a brief description of the project’s products

◦ a summary of all project deliverables

◦ a statement of what determines project success

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Scope Planning and the Work
Breakdown Structure
◦After completing scope planning, the next
step is to further define the work by breaking
it into manageable pieces
◦Good scope definition
◦helps improve the accuracy of time, cost,
and resource estimates
◦defines a baseline for performance
measurement and project control
◦aids in communicating clear work
responsibilities
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The Work Breakdown Structure
◦ A work breakdown structure (WBS) is an
outcome-oriented analysis of the work involved in
a project that defines the total scope of the project

◦ It is a foundation document in project

management because it provides the basis for
planning and managing project schedules, costs,
and changes
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Sample Intranet WBS Organized by Product

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Intranet Project … Level-2 WBS
1. Website design
1.1. Site map
1.2. graphic design
2. Home page design
2.1. Text
2.2. Images
2.3. Hyperlinks
3. Marketing pages
4. Sales pages
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Sample Intranet WBS Organized by Phase

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Approaches to Developing WBSs
◦ Using guidelines: Some organizations, like the
DoD, provide guidelines for preparing WBSs
◦ The analogy approach: It often helps to review
WBSs of similar projects
◦ The top-down approach: Start with the largest
items of the project and keep breaking them
down
◦ The bottom-up approach: Start with the
detailed tasks and roll them up

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Scope Verification and Scope Change
Control
It is very difficult to create a good scope statement and
WBS for a project
It is even more difficult to verify project scope and
minimize scope changes
Many Software projects suffer from scope creep and
poor scope verification
◦ FoxMeyer Drug filed for bankruptcy after scope creep on a
robotic warehouse
◦ Engineers at Grumman called a system “Naziware” and
refused to use it

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I thank you.

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