INTRODUCTION, CONTEXT,
PROCESSES
1
INTRODUCTION
PMI® (Project Management Institute)

Origin:
founded in '69 as a not-for-profit organization

Mission:
promote the culture of Project Management; it is the professional
organization on project management more widespread in the world,
with headquarters in the USA and members all over the world.

Members:
390.000 (they were 8,500 in '93 and 2.000 in '70), through Nov. 2012

PMP®certified: 482.000 (3.550 in Italy as of jan), through Nov. 2012

Activities:
- Definition of standards
- Certification of project manager (PgMP®, PMP®, CAPM®, PMI-RMP®,
PMI-SP®)
- Organization of seminars and conferences worldwide
- Publication of books, journals, articles, research
- Promotion of training programs
- Communities, Interest Groups
- National Chapters, three in Italy: Northern, Rome, Southern
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INTRODUCTION
PMBOK® GUIDE

A Guide to the Project Management Body Of Knowledge (PMBOK), is PMI’s
most popular publication (nearly 4 million copies in circulation). PMBOK Guide is
a ANSI-PMI 99-001-2008 standard. First version was published in 1987. Last
version: "Fifth edition" in pre-order available from December 2012. There are
also official translations in Italian and eleven other languages.

PMBOK is a book which presents a set of standard terminology and guidelines
for project management. It includes knowledge, skill, methods and techniques
generally accepted as best practices.

Generally accepted means that knowledge and practices are applicable in
most projects and there is a wide consensus on their utility.

This standard contains the fundamental practices that all project managers need
to attain high standards and project excellence.

PMBOK is adopted by CNIPA - Center National for Computer Science in Public
Administration - as best practice / standard on quality of ICT goods and services.
This course is based on PMBOK Guide Fourth Edition – (2008)
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INTRODUCTION
IPMA - THE EYE OF COMPETENCE
3.0 ICB IPMA Competence Baseline
Behavioural
Competences
Technical
Competences
Contextual
Competences
15 Elements of BEHAVIORAL
COMPETENCES
Relationships and
interrelationships between
individuals and groups working
on projects
11 Elements of
CONTEXTUAL
COMPETENCES
20 Elements of
TECHNICAL
COMPETENCES
Interaction of the
project team with the
context in which the
project takes place
Methodologies,
techniques and tools of
Project Management
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46 SKILLS IPMA COMPETENCE ELEMENS
Technical
Competences
Behavioural
Competences
covered in this
course
Contextual
Competences
5
covered in
other business
contexts
INTRODUCTION
INTRODUCTION
WHAT IS A PROJECT?
The word “project” is used with various meanings. For example we say:
 Fashion project
(Commercial proposal)
 Political project
(Ideals, plans to achieve them)
 Project of a building (Specifications)
 He is a person who has many projects (Aspirations)
 God's project for each of us (Purpose, spirit)
 Regional Project for Assistance to the individual, not self-sufficient
(Continuous activity)
 Software Project
(Scope, plan and execution)
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INTRODUCTION
WHAT IS A PROJECT?
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INTRODUCTION
WHAT IS A PROJECT?
PROJECT = Project is a temporary endeavor undertaken to create a unique
product or service or result.
The keywords are:
• Endeavor means resources applied on, a challenge!
• Temporary means with a defined beginning and end (usually timeconstrained, and often constrained by funding or deliverables). Temporary
nature of projects stands in contrast with business as usual (or operations)
which are repetitive
• Unique means that a project is undertaken to create something new,
something that has not been done in this exact way by the organization. It
has characteristics that make it unique to distinguish it from others.
The result can be a product, the ability to provide a service, or a result, in a
broader sense of the word (documents, knowledge, etc....)
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INTRODUCTION
WHAT IS A PROJECT - EXAMPLES
 Building a new home
 Launch a new product
 Replace an application of the information system
 Migrate a group of branches from one bank to another
 Deliver a training course
 Create a website

....



The production of an industrial batch is a project ?
No, because the result (and the work to get it) is not unique
Serving a customer at the desk is a project?
No, because beginning and end are not planned “ad hoc”
Create a new product is a project?
Yes, it is temporary and unique endeavor
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INTRODUCTION
EXAMPLE 1 - (PMI® "Project of the Year" 2007)
"The Fernald closure project": transform an uranium processing
plant (the Fernald Feed Production Center - OHIO) closed in 1988
with the end of the Cold War into a nature reserve of 425 hectares;
 started in 1992, completed in 2007
 actual cost: $ 4,2 billion
Characteristic aspects: hazardous material, attention of the local
population, need to relocate 2.000 workers, contracts with strong
incentives (up to $ 8 million per month in advance).
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INTRODUCTION
EXAMPLE 2
(Real case exposed from the participants to a similar training course)
Start a network of 3 sales (pharma);
 within three months
 to the maximum cost of € 50.000
Characteristic aspects: difficulty in recruiting, training included, sales fully
operational, limited complexity.
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INTRODUCTION
EXAMPLE 4
Design your project (real or unreal)
 Name of the project
 Objectives
 Short description
 Duration (Start – Finish)
 Effort/resources
 Characteristic aspects (uniqueness)
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INTRODUCTION
PROJECTS OR OPERATION?

Projects and Operation have in common
 performed by persons
 with limited resources
 need to be planned and controlled

Projects and Operation differ in:
 project’s uniqueness
 operation’s repetiveness
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INTRODUCTION
VARIABLES AT PLAY
Managing a project means to govern resources against objectives.
The key variables refer to the "project management triangle (triple constraint)":
 TIME
 COST
TIME
COST
 human resources
€
QUALITY
QUALITY ''
 means

RESULT
RESULTS (scope)
(SCOPE)
 produce
 ability to provide services
 other output (intermediate, for support, knowledge and other intangible
assets, project management documentation, knowledge base, etc. ....)
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INTRODUCTION
MANAGING A PROJECT
Project management = Application of knowledge, methods, tools and
techniques to project activities in order to satisfy the requirements and
minimize the risks. It consists of applying the processes described in
the PMBOK® Guide (42 processes, divided into 9 Knowledge Areas
and 5 Process Groups).
Of primary relevance:
TIME
COST
• identify the requirements
• manage needs and expectations
of stakeholders
QUALITY
RESULT
(SCOPE)
• balance the constraints of the
project, in permanent competition
with each other
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INTRODUCTION
PROJECT MANAGEMENT
KNOWLEDGE AREAS
PROFESSIONAL RESPONSIBILITY
RISK
COMMUNICATION
TIME
COST
PROCUREMENT
QUALITY '
HUMAN
RESOURCE
SCOPE
STAKEHOLDERS
INTEGRATION
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INTRODUCTION
PROCESS GROUPS (1 of 2)
PROCESS = Set of actions and activities
coordinated and directed to a specific set of
products, services or results.
input
output
Activities
tools and techniques
The processes are
PROCESS GROUPS .
organized
Source: PMBOK ® Guide Fourth Edition 2008
into
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5
INTRODUCTION
PROCESS GROUPS (2 of 2)
n
INITIATING = Defines and authorizes the project
n
produces the project charter
n
PLANNING = Defines in detail the scope of the project,
the objectives and actions needed to achieve them
n
produces the project management plan
n
EXECUTION = Integrates people and other resources to carry out the planned activities
n
produces results of the project
n
MONITORING AND CONTROL = Observes and measures the progress of the project to
highlight any deviations from the plan and the actions needed
n
produces reporting, change request evaluated, updates to the project
documentation
n
CLOSING = Formalizes acceptance of project results and leads to an ordered conclusion
n
produces the project closure
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INTRODUCTION
PROCESSES WITH RESPECT TO KNOWLEDGE AREAS (1 of 2)
Each process belongs to exactly one process group and exactly one knowledge area .
Source: PMBOK ® Guide Fourth Edition 2008
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INTRODUCTION
PROCESSES WITH RESPECT TO KNOWLEDGE AREAS (2 of 2)
Source: PMBOK ® Guide Fourth Edition 2008
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DECOMPOSITION INTO PHASES (1 of 2)


INTRODUCTION
PHASE = Division of a project, for reasons of management and control
Each stage is marked by the completion of an essential deliverable
(milestone)

Deliverable = Expected and verifiable result (product / ability to provide a
service / other results connected as reports, plans, requirements) needed to
complete the process, phase, or project

Each phase replicates the project life cycle, with all main processes.

At the end of each phase a global review (Phase Review) is performed and
is evaluated whether to continue or terminate the project; these decision
points are called phase gate or decision gate or kill point .
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INTRODUCTION
DECOMPOSITION INTO PHASES (2 of 2)
Phases: a sequential relationship:
or overlapping relationship:
Source: PMBOK ® Guide Fourth Edition 2008
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INTRODUCTION
PRODUCT LIFE CYCLE AND PROJECT LIFE CYCLE
Product life cycle = Steps from concept to disposal of a product / service.
Example: conception - high level design - detailed design - development - testing marketing - production & operation - withdrawal; each step can be mapped as a
separate project or a phase of a project. A project can include multiple steps.
Project life cycle = A project life cycle is a collection of generally sequential and
sometimes overlapping project phases whose name and number are determined by
the management and control needs of the organization or organizations involved in
the project.
The methodology of project management,
i.e. PMBOK® .
Source: PMBOK ® Guide Fourth Edition 2008
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INTRODUCTION
STAKEHOLDERS
Stakeholders are people or external and internal organizations who are
actively involved in the project or whose interests may be positively or
negatively affected by the performance or completion of the project
other projects
other business
functions ....
regulatory bodies
management
end-users
Functional manager
PROJECT
TEAM
competitors
Program/Project manager
Sponsor
shareholders
customers
PMO
other ...
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suppliers
INTRODUCTION
STAKEHOLDERS
 Often have conflicting expectations and objectives
 Differences should be resolved in favor of customer / user
 Stakeholder management is a proactive task
 The project manager must identify all stakeholders and
incorporate their needs into the project
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INTRODUCTION
CONTEXT : THE ORGANIZATION
A key issue is the company organization and its relationship with the project
organization, i.e. how the orientation of the company with respect to projects
is reflected in the business organization.
Functional Organization = Hierarchical, every resource has a clear chief,
structures are specialized on one area, product, territory, etc...; typically the
manager is an expert in the field. The perceived scope of the project is the
functional one and communications between units flow through the structure
hierarchy.
Projectized Organization = Project Manager is the authority in charge who
allocates resources, defines priorities, coordinates and evaluate people;
organization structures match to projects.
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INTRODUCTION
FUNCTIONAL AND
PROJECTIZED ORGANIZATION
FUNCTIONAL ORGANIZATION
PROJECTIZED ORGANIZATION
Source: PMBOK ® Guide Fourth Edition 2008
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INTRODUCTION
MATRIX ORGANIZATION
Between the two extreme organizations exist many intermediate forms. The most
common is "matrix” structure: matrices maintain many of the characteristics of a
functional organization and are temporary, cross-functional teams are created. They
can have full-time project managers with considerable authority and full-time project
administrative staff. While the balanced matrix organization recognizes the need for
a project manager, it does not provide the project manager with the full authority
over the project and project funding


Matrix organization may in be more or less project-oriented. They are divided into:
 weak matrix
 balanced matrix
 strong matrix
In the same company may cohabit different organization forms in different
corporate structures and / or for specific projects; i.e. in a functional structure a
project team may be created to manage a prioritary project, and will operate with
full-time resources and its own procedures.

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INTRODUCTION
WEAK AND BALANCED MATRIX
BALANCED MATRIX
WEAK MATRIX
The project manager is an Expeditor (staff, facilitator, no
decision) or Coordinator (partial authority, report to
higher hierarchical level).
Source: PMBOK ® Guide Fourth Edition 2008
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