Initiating/Defining the Project

Project Definition
The Objectives

– Why Project Definition is needed?

– How to define goals which are specific, measurable,
attainable, realistic and time constrained (SMART)?

– How to list Project Stakeholders to deliver against the

customer’s requirements?

– How the most important document of the Project Life

Cycle, i.e., Project Charter/Project Initiation Document can
be produced?
 The need for Project Definition
process
What is the difference between project Start-up
and Project Definition?
Data Gathering
For Instance

For Building a House on some land already bought, U

require?

Consequences of poorly founded house?

Same is true of a Project

Project Charter is the summary doc that contains

the Foundation Design for your project, which is
supported by various other docs as appropriate to the
 The need for Projective Definition
Process - II

Failure to give adequate time to Project

Definition phase?

Consequences!

A clear Definition of your project is critical to its success: a

large number of projects (approx. 75%) fail cos of poor or
unclear objectives!
 PROJECT DEFINITION - PROCESS
REQUIREMENTS
What is necessary to Define a Project?

Apart from the Business Case/Project Charter, Five+One

essential docs are required to define a project:
– A Project Charter;

– A Stakeholders List;

–A Statement of Requirements;

– A Scope of Work Statement;

– A Risk Assessment;

–Work Breakdown Structure.

All these docs must be completed and approved
before initiating the Planning Phase!
 Stakeholders list

Who has an interest in your project, now or in

future?
Stakeholders!

There are key stakeholders:

 the customer;

 the end users;

 the sponsor;

 the line managers of the core team members.

Try to identify who has now or in future will

have an interest in your project?
 Stakeholders list - continued

The list could also include:

 The Finance department;

 The Sales & Marketing department;
 Consultants;
 Suppliers;
 Other divisions or sites;
 The Public;
 Other agencies or statutory bodies.
 Stakeholders list - continued

Derive a complete list of Project stakeholders &

Record them on the Project Stakeholder List
as one in Fig. 4.1.
All stakeholders need to be consulted for their input to:

 have a better understanding of project NEEDS &

REQUIREMENTS;
 know what is realistically achievable in the timescale
demanded.

Keep on updating this list during the course of the project at the
team meetings, or project progress meetings.
 PROJECT STAKEHOLDER LIST
TITLE OF PROJECT: ISSUE: 0
Fig. 4.1 PROJECT NUMBER: PROJECT MANAGER:
Serial TEL
CODE STAKEHOLDER NAME INT EXT HIGH MEDIUM LOW
NO NO
1
2
3
4
5
LIST ALL IDENTIFIED
6 STAKEHOLDERS BY
7 NAME.
ASSIGN CODE NO IF
8 REQUIRED
9
10 RECORD
LOCATION
11 TEL NO.
12
13
TICK IMPORTANT
14 COLUMN TO INDICATE
15 WHETHER INTERNAL OR
EXTERNAL TO
16 ORGANISATION
17
18 USE THESE COLUMNS TO
INDICATE RESPECTIVE
19 IMPORTANCE TO THE
20 PROJECT. INSERT
INITIALS OF TEAM
21 MEMBER ASSIGNED
22 RESPONSIBILITY FOR
MANAGING IN RELEVANT
23 COLUMN.
24

PREPARED BY: Date Revision Initial

DATE:

MAINTAIN RECORD OF REVISIONS

& REISSUES
 Which of the two, Project Charter & Project
Initiation Document, should be developed?

A PID is a highly detailed document which forces a PM

to spend time upfront in seriously thinking about the
deliverables, processes and governance required,
before it even starts.

A Project Charter is far less detailed and hence requires

much less from a PM. It is essentially a quick way for
work to get underway fast.

Both documents have a similar feel and endeavour to

fulfil the function of enabling effective initiation. But as
you will have already seen, both definitely put the
emphasis in different areas.
 The Project Charter
The single most important piece of documentation you will produce at
this stage, and probably during the course of the entire project, is a
Project Charter

A suggested template will include:

 Executive Summary
 General Information
 Project Stakeholders
 Project Purpose
 Business Issues;
 Business Objectives;
 Project Overview
 Project Description;
 Project Scope;
 Assumptions;
 Constraints;
 Project Requirements & Deliverables
 The Project Charter-continued

 Project Management Milestones

 Project Budget & Costs
 Personnel and other resources
 Project Risks
 Project Organisation
 Project Organisation Chart;
 Roles & Responsibilities;
 Associated Documents
 Other Information
 Approval Signatures
 The Project Charter-continued

Links on Project Charter

http://project-charter-template.casual.pm/
http://www.pmdocuments.com/project-charte
r-document/
http://vnzgames.com/project-charter-templat
e/
 The Project Initiation Document
The single most important piece of documentation you will produce at
this stage, and probably during the course of the entire project, is a
Project Initiation Document (PID) or a Project Brief.

A suggested template will include:

 Project Title;
 Overall objective of the Project;
 Project Manager & Project Sponsor;
 Planned Start Date;
 Required Finished Date;
 Project Deliverables (apply SMART test!);
 Project Benefits;
 Project Strategy;
 Project Skills requirement;
 Relationship with other active projects.
 Project Cost;
 Risk Management.
The Project Initiation Documentation should cover the
following topics:
•Project Definition
•Project Approach
•Business Case
•Project Management Team Structure
•Role Descriptions
•Quality Management Strategy
•Configuration Management Strategy
•Risk Management Strategy
•Communication Management Strategy
•Project Plan
•Project Controls
•Tailoring of PRINCE2
 COMPLETE INFORMAT ION
REQUESTED
Fig. 4.2
PROJECT BRIEF Issue: 0
TITLE OF PROJECT:
PROJECT MANAGER:
PR O J E C T S P O N S O R :
BACKGROUND
GIVE CONCISE SUMMARY OF BACKGROUND
TO YOUR PROJECT – INCLUDE A STATEMENT
OF NEED/OPPORTUNITY

OVERALL OBJECTIVES WRITE AN OVERALL STATE THE EXPECTED START

OBJECTIVE STATEMENT DATE AND ANY IMPOSED
(POS) COMPLETION DATE REQUIRED

PLANNED START DATE: REQUIRED FINISH DATE:

DELIVERABLES: EXPECTED DATE
1
2 IDNETIFY THE PROMARY PROJECT
DELEVERABLES & THEIR
3 EXPECTED/REQUIRED DELIVERY
4 DATE

5
BENEFITS: (Indicate time, output, cost space etc.) AMOUNT E XP EC T E D D A TE
1
2 LIST THE PROJECT BENEFITS,
PREFREFABLY QUANTIFIED
3 FINANCIALLY, AND THE EXPECTED
YIELD DATES
4
5
STRATEGY/APPROACH: INDICATE ANY KEY ELEMENTS OF YOUR IF COST KNOWN –
APPROACH RELEVANT TO THE AN APPROVED
APPROVAL DECISION BUDGET EXISTS –
GIVE TOTAL HERE

RESOURCE SKILLS REQUIRED: LIST OUT ANY SPECIAL COST (if known)
SKILLS REQUIRED FOR
YOUR PROJECT – HIGHLIGHT CONFIRM THESE
ANY SHORTAGES DOCUMENTS ARE
ATTACHED – if not,
Project risk log why not?
attached?
Relationship to other active Projects:
YES NO
Risk management forms
attached?
YES NO

PREPARED BY: Date Revision Initial

ACCEPTANCE RECORDS RECORD ANY CHANGES TO

PROJECT SPONSOR: DATE: THE PROJECT BRIEF WITH
PROJECT CUSTO MER: DATE: DATE AND DATE & REISSUE
TO THE KEY STAKEHOLDERS
PROJECT MANAGER: DATE: AND THE PORJECT FILE

ENSSURE THESE ARE

SIGNED WHEN APROVAL
TO PROCEED IS GIVEN
 Project Scope

Definition: Project scope is a definition of the end result

or mission of your project, a product or service for your
client/customer.

•The primary purpose is to define as clearly as possible the

deliverable(s) for the end user and to focus project plans
(Gobeli & Larson).

•Approximately 50 percent of the planning problems relate to

unclear definition of scope and goals .
 Project SCOPE Checklist

• Project Objective

• Deliverables

• Milestones

• Technical Requirements

• Limits & Exclusions

• Review with Customers

 Scope of Work Statement
A narrative description of the project objectives in some more
detail – with each deliverable & benefit identified.

SOW also records all the constraints identified earlier, & any
assumptions made.

An applicable specifications list is recorded:

 Internal product specifications;

 Mandatory standards imposed by legislation;
 Process specs;
 Customer specs;
 SOPs;
 Purchasing Procedures;
 Quality Standards;
 Testing Specs & Procedures;
 Sub Contract terms & Conditions imposed on third parties.
 Project Management Trade-Offs
Figure 4.3
Performance

Quality

Cost Time
 Project Priority Matrix
Figure 4.4

Time Performance Cost

Constrain

Enhance

Accept
 Hierarchical Breakdown of the WBS
Figure 4.5
Level Hierarchical breakdown Description

Complete project
1 Project

2 Deliverable Major deliverables

Sub deliverable Supporting deliverables

3

4 Lowest management
Lowest sub deliverable responsibility level
Grouping of work packages
5
Cost account* for monitoring progress and
responsibility

Work package Identifiable work activities

*This breakdown groups work packages by type of work within a deliverable and allows assignment of
responsibility to l an organizational unit. This extra step facilities a system for monitoring project
progress
 Work Breakdown Structure
Figure 4.6
Level Personal computer
1
prototype
More
items
Vendor, Mouse, Disk Microprocessor
2
software, keyboard, storage unit
applications voice units
~ ~
3 Floppy Optical Hard Internal BIOS (basic
~ ~ memory input/output
unit system)

4 ROM RAM I/O File Utilities

~ ~ ~ ~ ~

Lowest manageable
5 sub deliverables Motor Circuit Chassis Read/write
board frame head

WP-1M WP-1 CB WP-1 CF WP-1 RWH

WP-2 CB WP-2 CF WP-2 RWH
WP-3 CB WP-3 CF WP-3 RWH
WP-4 CB WP-4 RWH Work packages
WP-5 CB WP-5 RWH
WP-6 CB
WP-7 CB
 WBS-Continued

Each work package in the WBS

• Defines work (what).

• Identifies time to complete a work package (how long).

• Identifies a time-phased budget to complete a work

package (cost).

• Identifies resources needed to complete a work package

(how much).
 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.
4–26
 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.

4–27
 Step 4: Integrating the WBS
with the Organization

• Organizational Breakdown Structure (OBS)

– Depicts how the firm is organized to discharge its work
responsibility for a project.
• Provides a framework to summarize
organization work unit performance.
• Identifies organization units responsible
for work packages.
• Ties the organizational units
to cost control accounts.

4–28
 Step 5: Coding the WBS for
the Information System

• WBS Coding System

– Defines:
• Levels and elements of the WBS
• Organization elements
• Work packages
• Budget and cost information
– Allows reports to be consolidated at any
level in the organization structure

4–29
 Project Communication Plan

• What information needs to be collected

and when?
• Who will receive the information?
• What methods will be used to gather
and store information?
• What are the limits, if any, on who has access to certain
kinds of information?
• When will the information be communicated?
• How will it be communicated?

4–30
 Information Needs

• Project status reports

• Deliverable issues
• Changes in scope
• Team status meetings
• Gating decisions
• Accepted request changes
• Action items
• Milestone reports

4–31