10/2/2024

Zagazig University College of Engineering

Department of Industrial Engineering

Project Management
Chapter 4
Defining the Project

Dr. Mansour Abou Gamila

October, 2024 Project Management, Lecture 3 1

Where We Are Now

4–2
October, 2024 Project Management, Lecture 3

1
 10/2/2024

Defining the Project

Step 1: Defining the Project Scope
Step 2: Establishing Project Priorities
Step 3: Creating the Work Breakdown Structure
Step 4: Integrating the WBS with the
Organization
Step 5: Coding the WBS for the Information
System

October, 2024 Project Management, Lecture 3 3

Step 1: Defining the Project Scope

• Project Scope
– A definition of the end result or mission of the
project—a product or service for the
client/customer—in specific, tangible, and
measurable terms.
• Purpose of the Scope Statement
– To clearly define the deliverable(s) for the end user.
– To focus the project on successful completion
of its goals.
– To be used by the project owner and participants
as a planning tool and for measuring project success.

October, 2024 Project Management, Lecture 3 4

2
 10/2/2024

Project Scope Checklist

1. Project objective: Design and produce a
completely portable hazardous waste, thermal treatment
system in 13 months at a cost $13,000,000 at maximum.
Answer questions what, when, how much

2. Deliverables: the expected outputs over the life of the

project. List of specifications deliverables of the first design
phase. Software coding in the second phase .The next is
prototype.
3. Milestones: is the significant event that occur in a project at a point in time .
Testing complete and finish by July 1.
4. Technical requirements: For example, a technical requirement for a personal computer
might be the ability to accept 120-volt alternating current or 240-volt direct current
without any adapters or user switches. Another well-known example is the ability of 911
emergency systems to identify the caller’s phone number and location of the phone

5. Limits and exclusions

6. Reviews with customer Project Management, Lecture 3
October, 2024 5

Example

The National Fenestration Rating Council is committed to advancing continuous improvement

of windows, doors, and skylights, contributing to making buildings more comfortable and
energy efficient.
R-value is a measurement of thermal resistance and measures the ability of heat to transfer
from one2024
October, side of an object to anotherProject Management, Lecture 3 6

3
 10/2/2024

Project Scope: Terms and Definitions

• Scope Statements
– Also called statements of work (SOW)
• Project Charter
– Can contain an expanded version of scope statement
– A document authorizing the project manager to
initiate and lead the project.
• Scope Creep
– The tendency for the project scope to expand over
time due to changing requirements, specifications,
and priorities.

October, 2024 Project Management, Lecture 3 7

Step 2: Establishing Project Priorities

• Causes of Project Trade-offs ‫المقايضات‬

– Shifts in the relative importance of criterions

related to cost, time, and performance parameters
• Budget–Cost
• Schedule–Time
• Performance–Scope
• Managing the Priorities of Project Trade-offs
– Constrain: a parameter is a fixed requirement.
– Enhance: optimizing a criterion over others.
– Accept: reducing (or not meeting) a criterion
requirement.
October, 2024 Project Management, Lecture 3 8

4
 10/2/2024

Project Management Trade-offs

FIGURE 4.1

October, 2024 Project Management, Lecture 3 9

Project Priority Matrix

FIGURE 4.2

October, 2024 Project Management, Lecture 3 10

5
 10/2/2024

Step 3:Creating the Work Breakdown Structure

• Work Breakdown Structure (WBS)

– An hierarchical outline (map) that identifies the
products and work elements involved in a project.
– Defines the relationship of the final deliverable
(the project) to its sub deliverables, and in turn,
their relationships to work packages.
– Best suited for design and build projects that have
tangible outcomes rather than process-oriented
projects.

October, 2024 Project Management, Lecture 3 11

Hierarchical
Breakdown of the
WBS

* This breakdown groups

work packages by type of
work within a deliverable and
allows assignment of
responsibility to an
organizational unit. This extra
step facilitates a system for
monitoring project progress
(discussed in Chapter 13).

FIGURE 4.3:
breakdown structure
October, 2024 Project Management, Lecture 3 12

6
 10/2/2024

How WBS Helps the Project Manager

• WBS
– Facilitates evaluation of cost, time, and technical
performance of the organization on a project.
– Provides management with information appropriate
to each organizational level.
– Helps in the development of the organization
breakdown structure (OBS). which assigns project
responsibilities to organizational units and individuals
– Helps manage plan, schedule, and budget.
– Defines communication channels and assists
in coordinating the various project elements.
October, 2024 Project Management, Lecture 3 13

Work Breakdown Structure

FIGURE 4.4

October, 2024 Project Management, Lecture 3 14

7
 10/2/2024

Work Packages
A work package is the lowest level of the WBS.
– It is output-oriented in that it:
1. Defines work (what).
2. Identifies time to complete a work package (how long).
3. Identifies a time-phased budget to complete
a work package (cost).
4. Identifies resources needed to complete
a work package (how much).
5. Identifies a person responsible for units of work (who).
6. Identifies monitoring points (milestones)
for measuring success.
October, 2024 Project Management, Lecture 3 15

Responsibility Matrices
• Responsibility Matrix (RM)
– Also called a linear responsibility chart.
– Summarizes the tasks to be accomplished and who
is responsible for what on the project.
• Lists project activities and participants.
• Clarifies critical interfaces between units and individuals
that need coordination.
• Provide a means for all participants to view their
responsibilities and agree on their assignments.
• Clarifies the extent or type of authority that can be
exercised by each participant.
October, 2024 Project Management, Lecture 3 16

8
 10/2/2024

Responsibility Matrix for a Market Research Project

FIGURE 4.6

October, 2024 Project Management, Lecture 3 17

Responsibility Matrix for the Conveyor Belt Project

FIGURE 4.7

October, 2024 Project Management, Lecture 3 18

9
 10/2/2024

Identify real life examples of a project that would fit each of

the following priority scenarios:
a. Time-constrain, Scope-enhance, Cost-accept
b. Time-accept, Scope-constrain, Cost-accept
c. Time-constrain, Scope-accept, Cost-enhance

October, 2024 Project Management, Lecture 3 19

10