Attention Writing King: Evaluate Changes to Project Risks during the Execution Phase of the Project Life Cycle

pmbok_5th_edition_86-99.pdf

Home >Business & Finance homework help >Operations Management homework help >Attention Writing King: Evaluate Changes to Project Risks during the Execution Phase of the Project Life Cycle

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

Human resource management plan,

Communications management plan,

Risk management plan,

Procurement management plan,

Stakeholder management plan, and

Project baselines.

4.3.3.5 Project Documents Updates

Project documents that may be updated include, but are not limited to:

Requirements documentation,

Project logs (issues, assumptions, etc.),

Risk register, and

Stakeholder register.

4.4 Monitor and Control Project Work

Monitor and Control Project Work is the process of tracking, reviewing, and reporting the progress to meet the

performance objectives defined in the project management plan. The key benefit of this process is that it allows

stakeholders to understand the current state of the project, the steps taken, and budget, schedule, and scope

forecasts. The inputs, tools and techniques, and outputs for this process are depicted in Figure 4-8. Figure 4-9

depicts the data flow diagram of the process.

Inputs Tools & Techniques Outputs

.1 Project management plan

.2 Schedule forecasts

.3 Cost forecasts

.4 Validated changes

.5 Work performance information .6 Enterprise environmental factors .7 Organizational process assets

.1 Expert judgment

.2 Analytical techniques

.3 Project management information system .4 Meetings

.1 Change requests

.2 Work performance reports .3 Project management plan updates .4 Project documents updates

Figure 4-8. Monitor and Control Project Work: Inputs, Tools & Techniques, and Outputs

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

Cost forecasts

4.4 Monitor and

Control Project Work

4.5 Perform

Integrated Change Control

Project Integration Management

9.4 Manage

Project Team

10.2 Manage

Communications

11.6 Control Risks

12.3 Control

Procurements

Project Documents

10.3 Control

Communications

5.6 Control Scope

5.5 Validate Scope

6.7 Control Schedule

7.4 Control Costs

12.3 Control

Procurements

11.6 Control Risks

8.3 Control Quality

13.4 Control

Stakeholder Engagement

Enterprise/ Organization

4.2 Develop Project Management

Plan

Figure 4-9. Monitor and Control Project Work Data Flow Diagram

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

Monitoring is an aspect of project management performed throughout the project. Monitoring includes collecting,

measuring, and distributing performance information, and assessing measurements and trends to effect process

improvements. Continuous monitoring gives the project management team insight into the health of the project and

identifies any areas that may require special attention. Control includes determining corrective or preventive actions

or replanning and following up on action plans to determine whether the actions taken resolved the performance

issue. The Monitor and Control Project Work process is concerned with:

Comparing actual project performance against the project management plan;

Assessing performance to determine whether any corrective or preventive actions are indicated, and

then recommending those actions as necessary;

Identifying new risks and analyzing, tracking, and monitoring existing project risks to make sure the risks

are identified, their status is reported, and that appropriate risk response plans are being executed;

Maintaining an accurate, timely information base concerning the project’s product(s) and their associated

documentation through project completion;

Providing information to support status reporting, progress measurement, and forecasting;

Providing forecasts to update current cost and current schedule information;

Monitoring implementation of approved changes as they occur; and

Providing appropriate reporting on project progress and status to program management when the project

is part of an overall program.

4.4.1 Monitor and Control Project Work: Inputs

4.4.1.1 Project Management Plan

Described in Section 4.2.3.1. Monitoring and controlling project work involves looking at all aspects of the

project. Subsidiary plans within the project management plan form the basis for controlling the project. Subsidiary

plans and baselines include, but are not limited to:

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

Scope management plan (Section 5.1.3.1),

Requirements management plan (Section 5.1.3.2),

Schedule management plan (Section 6.1.3.1),

Cost management plan (Section 7.1.3.1),

Quality management plan (Section 8.1.3.1),

Process improvement plan (Section 8.1.3.2),

Human resource management plan (Section 9.1.3.1),

Communications management plan (Section 10.1.3.1),

Risk management plan (Section 11.1.3.1),

Procurement management plan (Section 12.1.3.1),

Stakeholder management plan (Section 13.2.3.1),

Scope baseline (Section 5.4.3.1),

Schedule baseline (Section 6.6.3.1), and

Cost baseline (Section 7.3.3.1).

4.4.1.2 Schedule Forecasts

Described in Section 6.7.3.2. The schedule forecasts are derived from progress against the schedule baseline

and computed time estimate to complete (ETC). This is typically expressed in terms of schedule variance (SV) and

schedule performance index (SPI). For projects not using earned value management, variances against the planned

finish dates and forecasted finish dates are provided.

The forecast may be used to determine if the project is still within defined tolerance ranges and identify any

necessary change requests.

4.4.1.3 Cost Forecasts

Described in Section 7.4.3.2. The cost forecasts are derived from progress against the cost baseline and computed

estimates to complete (ETC). This is typically expressed in terms of cost variance (CV) and cost performance index

(CPI). An estimate at completion (EAC) can be compared to the budget at completion (BAC) to see if the project is

still within tolerance ranges or if a change request is required. For projects not using earned value management,

variances against the planned versus actual expenditures and forecasted final costs are provided.

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

4.4.1.4 Validated Changes

Described in Section 8.3.3.2. Approved changes that result from the Perform Integrated Change Control process

require validation to ensure that the change was appropriately implemented. A validated change provides the

necessary data to confirm that the change was appropriately executed.

4.4.1.5 Work Performance Information

Work performance information is the performance data collected from various controlling processes, analyzed

in context, and integrated based on relationships across areas. Thus work performance data has been transformed

into work performance information. Data in itself cannot be used in the decision-making process as it has only

out-of-context meaning. Work performance information, however, is correlated and contextualized, and provides a

sound foundation for project decisions.

Work performance information is circulated through communication processes. Examples of performance

information are status of deliverables, implementation status for change requests, and forecasted estimates to

complete.

4.4.1.6 Enterprise Environmental Factors

Described in Section 2.1.5. The enterprise environmental factors that can influence the Monitor and Control

Project Work process include, but are not limited to:

Governmental or industry standards (e.g., regulatory agency regulations, codes of conduct, product

standards, quality standards, and workmanship standards),

Organization work authorization systems,

Stakeholder risk tolerances, and

Project management information system (e.g., an automated tool suite, such as a scheduling software

tool, a configuration management system, an information collection and distribution system, or web

interfaces to other online automated systems).

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

4.4.1.7 Organizational Process Assets

Described in Section 2.1.4. The organizational process assets that can influence the Monitor and Control Project

Work process include, but are not limited to:

Organizational communication requirements;

Financial controls procedures (e.g., time reporting, required expenditure and disbursement reviews,

accounting codes, and standard contract provisions);

Issue and defect management procedures defining issue and defect controls, issue and defect

identification, and resolution and action item tracking;

Change control procedures, including those for scope, schedule, cost, and quality variances;

Risk control procedures including risk categories, probability definition and impact, and probability and

impact matrix;

Process measurement database used to make available measurement data on processes and products;

and

Lessons learned database.

4.4.2 Monitor and Control Project Work: Tools and Techniques

4.4.2.1 Expert Judgment

Expert judgment is used by the project management team to interpret the information provided by the monitor

and control processes. The project manager, in collaboration with the team, determines the actions required to

ensure that project performance matches expectations.

4.4.2.2 Analytical Techniques

Analytical techniques are applied in project management to forecast potential outcomes based on possible

variations of project or environmental variables and their relationships with other variables. Examples of analytical

techniques used in projects are:

Regression analysis,

Grouping methods,

Causal analysis,

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

Root cause analysis,

Forecasting methods (e.g., time series, scenario building, simulation, etc.),

Failure mode and effect analysis (FMEA),

Fault tree analysis (FTA),

Reserve analysis,

Trend analysis,

Earned value management, and

Variance analysis.

4.4.2.3 Project Management Information System

The project management information system, which is part of enterprise environmental factors, provides access

to automated tools, such as scheduling, cost, and resourcing tools, performance indicators, databases, project

records, and financials used during the Monitor and Control Project Work process.

4.4.2.4 Meetings

Described in Section 4.3.2.3. Meetings may be face-to-face, virtual, formal, or informal. They may include

project team members, stakeholders, and others involved in or affected by the project. Types of meetings include,

but are not limited to, user groups and review meetings.

4.4.3 Monitor and Control Project Work: Outputs

4.4.3.1 Change Requests

As a result of comparing planned results to actual results, change requests may be issued to expand, adjust, or

reduce project scope, product scope, or quality requirements and schedule or cost baselines. Change requests may

necessitate the collection and documentation of new requirements. Changes can impact the project management

plan, project documents, or product deliverables. Changes that meet the project’s change control criteria should go

through the integrated change control process established for the project. Changes may include, but are not limited

to, the following:

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

Corrective action—An intentional activity that realigns the performance of the project work with the

project management plan;

Preventive action—An intentional activity that ensures the future performance of the project work is

aligned with the project management plan; and

Defect repair—An intentional activity to modify a nonconforming product or product component.

4.4.3.2 Work Performance Reports

Work performance reports are the physical or electronic representation of work performance information

compiled in project documents, intended to generate decisions, actions, or awareness. Project information may be

communicated verbally from person to person. However, in order to record, store, and sometimes distribute work

performance information, a physical or electronic representation in the form of project documents is required. Work

performance reports are a subset of project documents, which are intended to create awareness and generate

decisions or actions. Specific work performance metrics may be defined at the start of the project and included in

the normal work performance reports provided to key stakeholders.

Examples of work performance reports include status reports, memos, justifications, information notes,

recommendations, and updates.

4.4.3.3 Project Management Plan Updates

Changes identified during the Monitor and Control Project Work process may affect the overall project

management plan. These changes, after being processed through the appropriate change control process can lead

to project management plan updates. Project management plan elements that may be updated include, but are

not limited to:

Scope management plan (Section 5.1.3.1),

Requirements management plan (Section 5.1.3.2),

Schedule management plan (Section 6.1.3.1),

Cost management plan (Section 7.1.3.1),

Quality management plan (Section 8.1.3.1),

Scope baseline (Section 5.4.3.1),

Schedule baseline (Section 6.6.3.1), and

Cost baseline (Section 7.3.3.1).

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

4.4.3.4 Project Documents Updates

Project documents that may be updated include, but are not limited to:

Schedule and cost forecasts,

Work performance reports, and

Issue log.

4.5 Perform Integrated Change Control

Perform Integrated Change Control is the process of reviewing all change requests; approving changes and

managing changes to deliverables, organizational process assets, project documents, and the project management

plan; and communicating their disposition. It reviews all requests for changes or modifications to project documents,

deliverables, baselines, or the project management plan and approves or rejects the changes. The key benefit of

this process is that it allows for documented changes within the project to be considered in an integrated fashion

while reducing project risk, which often arises from changes made without consideration to the overall project

objectives or plans. The inputs, tools and techniques, and outputs of this process are depicted in Figure 4-10. Figure

4-11 depicts the data flow diagram of the process.

Inputs Tools & Techniques Outputs

.1 Project management plan

.2 Work performance reports .3 Change requests .4 Enterprise environmental factors .5 Organizational process assets

.1 Expert judgment

.2 Meetings

.3 Change control tools

.1 Approved change requests .2 Change log .3 Project management plan updates .4 Project documents updates

Figure 4-10. Perform Integrated Change Control: Inputs, Tools & Techniques, and Outputs

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

P C

Project Integration Management

8.3 Control Quality

12.3 Control

Procurements

13.3 Manage

Stakeholder Engagement

Project Documents

8.3 Control Quality

8.2 Perform Quality

Assurance

7.4 Control Costs

6.7 Control Schedule

5.6 Control Scope

5.5 Validate Scope

11.6 Control Risks

12.2 Conduct

Procurements

10.3 Control

Communications

9.4 Manage

Project Team

12.3 Control

Procurements

13.3 Manage

Stakeholder Engagement

13.4 Control

Stakeholder Engagement

12.1 Plan

Procurement Management

Enterprise/ Organization

4.5 Perform

Integrated Change Control

4.4 Monitor and

Control Project Work

4.3 Direct and

Manage Project Work

4.2 Develop Project Management

Plan

Figure 4-11. Perform Integrated Change Control Data Flow Diagram

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

The Perform Integrated Change Control process is conducted from project inception through completion and is

the ultimate responsibility of the project manager. The project management plan, the project scope statement, and

other deliverables are maintained by carefully and continuously managing changes, either by rejecting changes

or by approving changes, thereby assuring that only approved changes are incorporated into a revised baseline.

Changes may be requested by any stakeholder involved with the project. Although changes may be initiated

verbally, they should be recorded in written form and entered into the change management and/or configuration

management system. Change requests are subject to the process specified in the change control and configuration

control systems. Those change request processes may require information on estimated time impacts and estimated

cost impacts.

Every documented change request needs to be either approved or rejected by a responsible individual, usually

the project sponsor or project manager. The responsible individual will be identified in the project management plan

or by organizational procedures. When required, the Perform Integrated Change Control process includes a change

control board (CCB), which is a formally chartered group responsible for reviewing, evaluating, approving, delaying,

or rejecting changes to the project, and for recording and communicating such decisions. Approved change

requests can require new or revised cost estimates, activity sequences, schedule dates, resource requirements,

and analysis of risk response alternatives. These changes can require adjustments to the project management

plan and other project documents. The applied level of change control is dependent upon the application area,

complexity of the specific project, contract requirements, and the context and environment in which the project is

performed. Customer or sponsor approval may be required for certain change requests after CCB approval, unless

they are part of the CCB.

Configuration control is focused on the specification of both the deliverables and the processes; while change

control is focused on identifying, documenting, and approving or rejecting changes to the project documents,

deliverables, or baselines.

Some of the configuration management activities included in the Perform Integrated Change Control process

are as follows:

Configuration identification. Identification and selection of a configuration item to provide the basis for

which the product configuration is defined and verified, products and documents are labeled, changes

are managed, and accountability is maintained.

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

Configuration status accounting. Information is recorded and reported as to when appropriate

data about the configuration item should be provided. This information includes a listing of approved

configuration identification, status of proposed changes to the configuration, and the implementation

status of approved changes.

Configuration verification and audit. Configuration verification and configuration audits ensure the

composition of a project’s configuration items is correct and that corresponding changes are registered,

assessed, approved, tracked, and correctly implemented. This ensures the functional requirements

defined in the configuration documentation have been met.

4.5.1 Perform Integrated Change Control: Inputs

4.5.1.1 Project Management Plan

Described in Section 4.2.3.1. Elements of the project management plan that may be used include, but are not

limited to:

Scope management plan, which contains the procedures for scope changes;

Scope baseline, which provides product definition; and

Change management plan, which provides the direction for managing the change control process and

documents the formal change control board (CCB).

Changes are documented and updated within the project management plan as part of the change and

configuration management processes.

4.5.1.2 Work Performance Reports

Described in Section 4.4.3.2. Work performance reports of particular interest to the Perform Integrated Change

Control process include resource availability, schedule and cost data, and earned value management (EVM) reports,

burnup or burndown charts.

4.5.1.3 Change Requests

All of the Monitoring and Controlling processes and many of the Executing processes produce change requests

as an output. Change requests may include corrective action, preventive action, and defect repairs. However,

corrective and preventive actions do not normally affect the project baselines—only the performance against the

baselines.

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

4.5.1.4 Enterprise Environmental Factors

Described in Section 2.1.5. The following enterprise environmental factor can influence the Perform Integrated

Change Control process: project management information system. The project management information system

may include the scheduling software tool, a configuration management system, an information collection and

distribution system, or web interfaces to other online automated systems.

4.5.1.5 Organizational Process Assets

Described in Section 2.1.4. The organizational process assets that can influence the Perform Integrated Change

Control process include, but are not limited to:

Change control procedures, including the steps by which official organization standards, policies, plans,

and other project documents will be modified, and how any changes will be approved, validated, and

implemented;

Procedures for approving and issuing change authorizations;

Process measurement database used to collect and make available measurement data on processes

and products;

Project documents (e.g., scope, cost, and schedule baselines, project calendars, project schedule network

diagrams, risk registers, planned response actions, and defined risk impact); and

Configuration management knowledge base containing the versions and baselines of all official

organization standards, policies, procedures, and any project documents.

4.5.2 Perform Integrated Change Control: Tools and Techniques

4.5.2.1 Expert Judgment

In addition to the project management team’s expert judgment, stakeholders may be asked to provide their

expertise and may be asked to sit on the change control board (CCB). Such judgment and expertise are applied to

any technical and management details during this process and may be provided by various sources, for example:

4 - P R O J E C T I N T E G R AT I O N M A N A G E M E N T

Consultants,

Stakeholders, including customers or sponsors,

Professional and technical associations,

Industry groups,

Subject matter experts (SMEs), and

Project management office (PMO).

4.5.2.2 Meetings

In this case, these meetings are usually referred to as change control meetings. When needed for the project, a

change control board (CCB) is responsible for meeting and reviewing the change requests and approving, rejecting,

or other disposition of those changes. The CCB may also review configuration management activities. The roles and

responsibilities of these boards are clearly defined and agreed upon by appropriate stakeholders and documented

in the change management plan. CCB decisions are documented and communicated to the stakeholders for

information and follow-up actions.

4.5.2.3 Change Control Tools

In order to facilitate configuration and change management, manual or automated tools may be used. Tool

selection should be based on the needs of the project stakeholders including organizational and environmental

considerations and/or constraints.

Tools are used to manage the change requests and the resulting decisions. Additional considerations should

be made for communication to assist the CCB members in their duties as well as distribute the decisions to the

appropriate stakeholders.

4.5.3 Perform Integrated Change Control: Outputs

4.5.3.1 Approved Change Requests

Change requests are processed according to the change control system by the project manager, CCB, or by an

assigned team member. Approved change requests will be implemented through the Direct and Manage Project

Work process. The disposition of all change requests, approved or not, will be updated in the change log as part of

updates to the project documents.