POM400 Slides
POM400 Slides
POM400
PROJECT MANAGEMENT
NOTE: SLIDE 35 ADDED – NETWORK DIAGRAMS YOUTUBE LINKS
WELCOME TO
THE FUTURE
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We trust you are having a meaningful and positive learning journey with us.
Today we explore some of the areas of knowledge that you need to concentrate
on for a successful outcome in your assignments and examination.
PRESCRIBED TEXTBOOK
PRESCRIBED TEXTBOOK
…and new version
Gido, J., Clements, J. P. and Harinarain, N. (2018),
Successful Project Management. South Africa:
Cengage.
[ISBN: 978-1-473-75129-3]
OR
P – People
P – People
R - Resources
R-
O – Objective Orientated C – Cost
Resources
S - Scope
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WHY
PROJECT
MANAGEMENT????
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DEMAND FOR PM
https://www.pmi.org/-/media/pmi/documents/public/pdf/learning/job-growth-report.pdf?sc_lang_temp=en
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DEMAND FOR PM
https://www.forbes.com/sites/danabrownlee/2019/07/21/4-project-management-trends-on-the-horizonare-yo
u-ready/?sh=31cdc5ff6769
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GENERAL INFORMATION
• Project management is the application of knowledge, skills, tools, and techniques to meet
the project requirements.
• To remain competitive in the world economy, companies are embracing project
management to consistently deliver business value.
• Effective and efficient project management should be considered a strategic competency
within organizations. It enables organizations to:
• Tie project results to business goals,
• Compete more effectively in their markets,
• Sustain the organization, and
• Respond to the impact of business environment changes on projects by appropriately
adjusting project management plans
STUDY UNIT 1:
PROJECT PROPOSALS
HOW
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Contractor Send
Project
creates proposal to
identification
Proposal Client
Decision:
Project respond or Selection
selection not – process
bid/no-bid
Award
Project Send to
contract to
Charter contractors
contractor
Decide to RFP =
Project
outsource or Request for
execution
not Proposal
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• Project identification
• Project selection
• Project Charter
• Specific content and high level milestones
• Different types of projects & documentation
• Internal projects –Project Initiation Document (PID) details the project e.g. new
product development or office move
• Outsourcing the work: Request for Proposal (RFP) is done, e.g. new IT system
• Same information, different formats:
• PID for internal use to capture detail and enable control
• RFP aimed at obtaining the Contractor or service provider Proposals
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QUESTIONS?
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STUDY UNIT 2:
DEFINING SCOPE, QUALITY,
RESPONSIBILITY
AND ACTIVITY SEQUENCE
LEARNING OUTCOMES
Project Activities
Establish Objectives Network Diagram
Planning
• You may be a contractor who won the contract based on an RFP, or you may be a project
manager at an organisation. Once you have got responsibility for a project, you will need
to determine
• the activities that constitute your project (what),
• in which sequence they are to be completed,
• who will complete them, and
• how to determine the quality of the work being completed.
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• Progressive elaboration
• Change control
• A work breakdown structure (WBS) is a key project deliverable that organizes the team's
work into manageable sections. The Project Management Body of Knowledge (PMBOK)
defines the work breakdown structure as a
https://www.pmwares.com/blog/how-to-create-work-breakdown-structure/
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https://www.pmwares.com/blog/how-to-create-work-breakdown-structure/
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Decoration
Level 2 Venue Invitations Lunch Liquor
s
Level 3
End Mile End Mile End Mile
stone stone stone
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• Network Diagram
• Insert
• SmartArt
• Click on Hierarchy
• OK
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• Insert
• SmartArt
• Hierarchy
• OK
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THANK Auntie’s
Birthday
party Riette
YOU
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Venita Cody Sipho
DANKI
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Booking Deposit
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• https://www.youtube.com/watch?v=WVHvsw7rakI
• https://www.youtube.com/watch?v=4oDLMs11Exs
• https://www.youtube.com/watch?v=NDa-Fq5jeuM
Source: https://www.youtube.com/watch?v=NDa-Fq5jeuM
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STUDY UNIT 3:
LEARNING OUTCOMES
• The world – and therefore your project – revolves around money. Any good
manager must be able to keep track of budget, costs and the value of the
work that has been performed. However, merely knowing the numbers is
not enough, as you may quickly lose sight of or forget the ‘big picture’. This
unit will introduce the tools you may use to track the costs and value of your
project. This will allow you to take corrective action if you find yourself
running over budget.
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TODAY
TOTAL ACTUAL
PROJECTMONEY SPENT TOTAL AMOUNT
YOU
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ACTUAL WORK DONE
RE A I
We need to know if the money spent to date is what we planned.
DANKI
Or did we spend too much or too little?
LEBOGA
Is the work done to date the volume that we planned to do, or did
we do more or less work?
E
Will we be able to complete the work to be done with the amount
of money that we have left?
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• How much did we budget in total till the end of the project?
• What is the budgeted amount up to today?
• How much of the budgeted money (till today) have we actually spent to
date?
• How much work did we do?
• So, did we do all the work we thought we would do for the money?
• Are we behind/up to date/ahead with work compared to the money
spent?
• If we keep doing the same rate of work (productivity), will we spend the
same budgeted money or more / less by the end of the project?
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• Schedule
• and cost,
• As per the PMBOK Guide “Planned Value (PV) is the authorized budget
assigned to work to be accomplished for an activity or WBS component. Total
planned value for the project is also known as Budget At Completion (BAC).”
• You have a project to be completed in 12 months and the total cost of the project is
R100,000. Six months have passed and the schedule says that 50% of the work
should be completed. What is the Planned Value (PV)?
• The definition of Planned Value says that Planned Value is the value of the work
that should have been completed so far (as per the schedule). Therefore, in this
case we should have completed 50% of the total work. Hence,
• Planned Value = 50% of value of the total work = 50% of BAC
= (50%) (R100,000)= R50,000.
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•For the next example, assume you have updated your schedule and the actual percentage of
work that was done, is 40%
•The Actual Cost is the total cost incurred for the actual work completed to date; i.e. it is the
amount of money you have actually spent till now.
•As per the PMBOK Guide “Actual Cost (AC) is the total cost actually incurred in accomplishing
work performed for an activity or WBS component.”
•Actual Cost is also known as the Actual Cost of Work Performed (ACWP).
•For the next example, assume you have spent R60,000
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Now we express the amount of work done together with the actual budget that you
spent– how much actual work (value) did you buy with the money you spent?
• The Earned Value (EV) is the value of the work actually completed to date; i.e. it is the
value of the project that you have earned (paid for) so far.
• As per the PMBOK Guide “Earned Value (EV) is the value of work performed
expressed in terms of the approved budget assigned to that work for an activity or
WBS Component. ”
• Earned Value is also known as the Budgeted Cost of Work Performed (BCWP), and
also Cumulative Earned Value (CEV).
• EV or BCWP or CEV = Baselined Cost (BCAC) x % Complete
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You have a project to be completed in 12 months and the total cost of the project is
R100,000.
Six months have passed and R60,000 is spent, but on closer review you find that only
40% of the work is completed so far.
What is the Earned Value (EV)?
The definition of Earned Value says that it is the value of the project that has been
earned. In this case only 40% of the work has been completed. Hence,
• Budgeted cost of work scheduled (BCWS) - the budgeted cost of work scheduled to be
carried out in a given time period – this is also called Planned Value (PV)
• Budgeted cost of work performed (BCWP) or (EV) - the budgeted cost of work actually
performed in a given time period - Earned Value is also known as the Budgeted Cost
of Work Performed (BCWP), OR Cumulative Earned Value (CEV).
• Budgeted cost at completion (BCAC)
• Budgeted quantity at completion (BQAC)
• Actual Quantity of work performed (AQWP)
• Actual cost of work performed (ACWP) - the actual cost of work performed in a given
time period = Actual Cost (AC)
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• But because it is difficult to work with large amounts of money on big projects, and you
need to represent these to executive management, it is much easier to express these
differences in terms of ratios which we call an index.
• The next slides give examples of the most important indeces and how to read them
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• So, now we know exactly where we stand on the project finances, at this moment in
time
• And because we now need to find out if the project by the end of the project, will be
over or under spent, we need to do further calculations
• Forecasted Cost at completion (FCAC) will tell us what the end-of-project spend will be
if we carry on exactly as now with spending and with productivity (cost and value)
• There are two methods to calculate this amount
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•
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THANK NOTE:
AC = ACWP
PV = BCWS
YOU
ENKOS
RE A I
DANKI
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QUESTIONS
STUDY UNIT 4:
MANAGING RISK
Refer to: Gido et al. (2018): Chapter 8 pp. 286–301
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LEARNING OUTCOMES:
• Source: https://www.projectmanager.com/blog/risk-management-process-steps
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RISK IDENTIFICATION
THANK
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DANKI
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ANY QUESTIONS
ABOUT RISKS?
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STUDY UNIT 5:
THE PROJECT MANAGER
LEARNING OUTCOMES:
Planning
Business
Case Manage the
Requirement team Manage Cost
Specifications
Communication
Methodology
Manage Risk
Scope
• A project manager is a person who has the overall responsibility for the successful
initiation, planning, design, execution, monitoring, controlling and closure of a
project.
• Construction, petrochemical, architecture, information technology and many
different industries that produce products and services use this job title.
• The project manager must have a combination of skills including an ability to ask
penetrating questions, detect unstated assumptions and resolve conflicts, as well
as more general management skills.
• Project managers use project management software, such as Microsoft Project, to
organise their tasks and workforce. These software packages allow project
managers to produce reports and charts in a few minutes, compared with the
several hours it can take if they do it by hand.
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THANK
YOU
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RE
Is the light A I
DANKI
going onLEBOGA Do you
for you? E
have
questions?
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STUDYI UNIT 6
THELEBOGA
PROJECT
DANKI TEAM
E
Refer to: Gido et al. (2018): Chapter 11 pp. 356–401
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LEARNING OUTCOMES
• Some more knowledge you should be able to demonstrate upon completion of this Study
Unit:
• contrast ethical and unethical behaviour in a project management environment;
• discuss the sources of conflict during projects and ways in which conflict can be managed;
• appraise the steps that need to be followed when solving a significant problem during the course
of a project;
• evaluate brainstorming as a technique used in problem-solving; and
• appraise the importance of efficient and effective time management in a project management
environment.
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• The most crucial component of any project is the team. Without the team, no work
would begin. No matter how good your planning, strategies, and training are, if you
do not have a team, you will fail. Once you have a team, if you do not nurture them
and help them grow, your team will quickly become disillusioned, lose morale, and
not produce successful work.
• The project team includes the project manager and the group of individuals who
work together on a project to achieve its objectives. It consists of the project
manager, project management staff, and other team members who are maybe not
directly involved with management but carry out the work related to the project. This
team consists of people from different teams with precise subject matter knowledge
or with the required skill set to carry out the work of the project. The structure and
characteristics of a project team usually vary, but the project manager’s role as the
leader of the team remains constant. However, the amount and nature of authority
the project manager has over the members can differ.
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https://www.researchgate.net/figure/Bruce-Tuckmans-Model-of-Team-Development_tbl1_301549649
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QUESTIONS & ANSWERS
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THANK
STUDY
YOU
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RE A ISIMULATION
PROJECT
PART A – PROJECT
DANKI
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MANAGEMENT
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SOFTWARE
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LEARNING OUTCOMES:
• Planning, managing, and keeping track of all project variables would be almost impossible
without computers and software – especially considering the size, scale, complexity, reach,
and internationality of modern projects.
• While there are several software suites that you can use, some of the most-
commonly-used suites are Microsoft (MS) Project, MS Excel, ProjectLibre, and Open
Office.
• Ultimately, the decision of which software you will use depends on a variety of factors as
dictated by the needs of your project.
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THIS IS THE
DANKI GOOD
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END OF E
THE LUCK
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THANK YOU
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