Project Management:
Fundamentals & Workshop
27th. January 2012 Southbank
Project Management
For Volunteer & Charity Organisations
© 2009 IBM Corporation
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Health and Safety
 If the fire alarm sounds, please exit via the main entrance
 Toilets are……
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Project Management: Fundamentals & Workshop
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Ground rules
 please switch your mobile to silent mode
 please join in and participate
 let us know if we use jargon
 we would like to take some photos - is that OK?
 please stay until the end!
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Project Management: Fundamentals & Workshop
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Meeting the challenge
 IBM’s On Demand Community “Project management
for not-for-profits” modules will train you in basic
project management concepts, practices and skills
 These modules do not require expensive project
management tools
 Further workshops can be tailored to meet the needs
of your organization
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Introduction to IBM team
Steve Hodson
Adam Caines
Katy Love
Justin Douglas
Hollie Sherry
Sandeep Kapani
Bronek Carr
Javier Nebot
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Project Management: Fundamentals & Workshop
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Attendees
Organisation
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First name
Last name
Sevenoaks Area Mind
Andrew
AbleChildAfrica
Nicholas
Glad's House Dr Clifford J
Immigration Law Practitioners Association
Philip
RCVS Charitable Trust
Alison
RCVS Charitable Trust
Beccy
Citizens Advice Bureau Bermondsey
Melanie
Citizens Advice Bureau Bermondsey
Damian
Bag Books
Stuart
Greater London Volunteering
Lisa
Greater London Volunteering
Nia
The Signalong Group
Richard
quest4change
Gemma
FOSSBOX
Carlos
Small Charities Coalition
John
Hope for Pakistan
Humaira
Hope for Pakistan
Tehseen
The Peckham Settlement
Ann-Marie
Harborne Parish Lands Charity
Lynda
St.Margaretsbury Recreation Ground Trust
Hilary
10:10
Julika
10:10
Susi
Hogan
McKenzie
Ferguson
Reilly
McClary
Fellows
Robinson
House
Cummings
Robbins
Bellot
Ward
Clark
Ronceros
Barrett
Hasan
Hasan
Yiannis
Bending
Cullen
Niehaus
Owusu
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Today’s agendaDefine Plan  Manage  Close
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exercise
presenter
time
topic
9.30-10.00
Introduction to the day and the presenters and what the attendees want to get from the session
Steve
10.00-10.45
Why use project mgmt- Overview of project and points to bear in mind for a successful project
Adam
10.45-11.15
Defining the project/strategic goals calendar.
11.15-1130
Coffee
11.30-12.15
Creating a Statement of work plus exercise
12.15-12.45
Lunch
12.45-1.30
Project charter
Sandeep
Statement of Work
Katy
Stakeholder management -exercise
Stakeholder management
Bronek
1.30-2.00
Creating a communication plan exercise
creating a comms plan
Adam
2.00-2.30
Creating a Project work plan, defining project deliverables and using a work breakdown plan
2.30-3.00
Create a work breakdown structure for your project-exercise
3.00-3.15
Coffee
3.15-3.45
Risk management overview plus exercise
3.45-4.15
Managing the project budget and using a project control book, Managing the project team
Katy
4.15-4.45
Managing changes to the project and closing a project
Bronek
4.45-5.00
Wrap up and feedback
Steve
Javier
Creating a WBS
Javier
Risk mgmt
Justin
Project Management: Fundamentals & Workshop
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Introduce your neighbour:
name and organisation
brief overview of their project
key objective from today’s session
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
What is Project Management and why should
you use it ?
Project management Workshop
© 2009 IBM Corporation
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“Not-for-profit” organisations need projects to
 Accomplish more with …
– Less funding
– Fewer people
– Less time
 Maintain good relationships with key contacts …
– Donors and sponsors
– Clients
– Volunteers
– Employees
– Public
 Be successful and repeat that success through lessons learned
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Project Management: Fundamentals & Workshop
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What is Project Management?
 a framework
 a recipe
 a toolset
 a methodology to apply knowledge and
skills
 provides confidence in a successful final
result
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Project Management: Fundamentals & Workshop
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The keys to successful projects
 People make the difference
– Skilled Project Managers are a major factor
in determining the success of a project
– Skilled staff are the key to delivering the
“work” of the project
 5 Other critical success factors
1. End user involvement
2. Support from key stakeholders
3. Clear objectives
4. Clear requirements
5. Reliable estimates and budget
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Project Management: Fundamentals & Workshop
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Some benefits of project management:
 there’s a plan!
 expectations can consistently be met
 improved communication
 less crisis management
 risks can be proactively managed
 budgets are more reliable
 changes can be managed rather than endured
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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1. Defining a project – what is a project?
 “A project is a temporary endeavor undertaken to
create a unique product or service.” (Project
Management Institute - PMI)
 A project has a defined beginning and end - “It is like
a good book”
 A project results in the creation of a unique and
identifiable product or service.
Define :
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What’s the Goal?
> Create a Project Charter
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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What is not a project?
 Ongoing or established program or service e.g meals on
wheels
 Maintenance and support e.g recruitment
 A process is a series of actions bringing about a result e.g
applying for a passport
 A program is a collection or organization of projects that
come and go
Define :
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What’s the Goal?
> Create a Project Charter
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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What could be considered a project?
 Launch of a new service
 Fundraising event
 Implementation of a business strategy
 Opening a new office
 Community needs assessment
 Developing a training course
Define :
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What’s the Goal?
> Create a Project Charter
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Project Management… can be a juggling act
Scope – what ?
11 12
10
9
8
1
2
3
7
6
5
4
Budget
Schedule – when ?
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Cost – how much ?
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Project initiation
 A project is started with a Project Charter:
– Why are we doing this?
– What ….are we doing? ….is the budget?
– How will we achieve the aims?
– Who:
a) is the Project Manager?
b) is authorising the project and its
funding?
c) is the end user / client / beneficiary?
– When – what’s the timescale?
– Where is the activity to take place?
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Example project
 The current Under-12’s football kit is worn out and there is an urgent
need to replace this with a new one for the start of next season.
 The Southwark FC Management Committee has agreed to support a
one-off fund-raising event to generate sufficient money to buy the new kit
and if possible obtain a team sponsor. The Management Committee
agreed to allocate £100 of the club’s funds to support the event, however
it is a requirement that the event must break even and return £50 back to
the club.
 The new kit must conform to the club’s colours of blue & white.
 As the manager of the Under-12 team, Steve Smith has been charged
with the overall responsibility and accountability for this fund-raising
activity.
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Example project charter
Title:
Southwark FC Under-12 football kit replacement
Why:
Budget:
– current football kit is worn out
– £100,
of which £50 must be returned
What:
– new kit, in blue and white
– team sponsor
How:
– a fund-raising event
Who:
– Project Manager: Steve Smith
– Authoriser: Southwark FC Management Committee
– Beneficiary: the Under-12 team
When:
– by the start of next season
Where:
– to be determined
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Exercise 1 - Create a charter for your project
Title:
Why:
Budget:
What:
How:
Who:
– Project Manager:
– Authoriser:
– Beneficiary:
When:
Where:
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Agenda
 Defining a Project
 Planning a Project
 Managing a Project
 Closing a Project
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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2. Planning a project – lets understand where we are heading
and how we’ll get there
 What is the work to be done?
 What are the stakeholder
expectations?
 How is the project plan going to be
developed?
 How is the project budget going to
be developed?
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Project plan components
 Statement of Work
The requirements – or what needs to be delivered by the project
 Communication plan
The who, when, how and what about the project communication
 The Project schedule of tasks
When will we do the project - including who does what and the
duration
 Risks
Identify them and then plan to mitigate them
 Budget
Determine the budget needed for the project
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Statement of work (scope statement)
 What are the objectives?
 List the deliverables.
 What assumptions were used in the planning of the
project?
 What dependencies were included in planning the
project?
 What is ‘not’ included in the project?
 When will this project be completed?
 What acceptance criteria will be used?
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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A Sample of Statement of work
Statement Of
Work
Objectives
Description
To raise enough money through a fund raising event and by funding a team sponsor to buy a new
kit for the under 12 team.
Improve and develop links with local businesses and parents.
Deliverables
Fund raising event
Team Sponsor
Buy a new football kit
Press announcement including team picture
Planning
Assumptions
The kit must be purchased in time for the start of the new season that starts on 3 rd September
Planning
Dependencies
All funding must be available to pay for the kit 8 weeks before it is required due to lead time.
Out Of Project Scope
Involvement with businesses sponsors outside of Southwark area.
Cost of a new kit £450 (15 shirts, 1 Goalkeeper shirt, 18 shorts and socks, includes numbers)
Press announcement must happen on or after kit is available and all the team are available.
Sharing event with other teams
Project Completion
Under 12 football team have a new kit.
£50 returned to club funds
Project Acceptance
Criteria
The kit fits & team are happy!
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Exercise 2 - Outline the Statement of Work to be done for your
project
Statement Of Work
Description
Objectives
Deliverables
Planning Assumptions
Planning Dependencies
Out Of Project Scope
Project Completion
Project Acceptance Criteria
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Statement of work (scope statement)
 SCOPE OF WORK
Replace under-12’s football kit with a new one for the start of next
season
One-off fund-raising event to generate sufficient money to buy the
new kit
Obtain a team sponsor
Improve and develop links with local businesses and parents
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Statement of work (scope statement)
 DEFINITIONS
Stakeholder (Southwark FC Management Committee )
Sponsor (TBD)
Customer (Under-12’s football)
Supplier (For the football kit TBD)
Project Manager (Steve Smith)
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Statement of work (scope statement)
 DELIVERABLES
Acquire a sponsor
Acquire a supplier
Purchase of the football kit
Fundraising event and venue
Publicity
Target amount to raise
The kit must conform to the club’s colours of blue & white
Meet with local business
Meet with Parents
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Statement of work (scope statement)
 ASSUMPTIONS
Start of the new season
Cost of the football kit
Size of the team
Items to purchase (shirts, shorts, socks)
Club logo
 SCHEDULE
Start Date
End Date
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Statement of work (scope statement)
 DEPENDENCY
The team size to determine amount to raise
Sponsor to be available by (date)
Supplier to be available by (date)
The football kit purchased by (date)
Fundraising venue by (date)
Fundraising event by (date)
Publicity by (date)
Target amount to raise (£££) and by (date)
Buy the kit by (date)
Meet with local business by (date)
Meet with Parents by (date)
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Statement of work (scope statement)
 OUT of SCOPE
Participation of:
Other FC Management Committee
Other councils
Non team member family
Other colours for the kit
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Statement of work (scope statement)
 COMMUNICATIONS
Carried out through the following designated coordinators
Stakeholder: Name, Title, Address, email, phone
Sponsor: Name, Title, Address, email, phone
Customer: Name, Title, Address, email, phone
Supplier: Name, Title, Address, email, phone
PM: Steve Smith, Title, Address, email, phone
 COMPLIANCE
Venue (parking, care)
Adhere to rules and restrictions
Safety and Security
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Statement of work (scope statement)
 COMPLETION
The new kit purchased on time
The new kit purchased on budget
Refund of half the initial fund to the club
 ACCEPTANCE CRITERIA
Satisfaction all round
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Now what ? …how everything connects ?
 Customer wants to replace football kits
 We have :
SOW, environmental culture, historical information
 PM identifies the stakeholders and prepare the charter
 once charter is approved => ‘Go or No-Go’ decision
 PM develops the plan
Who will do what when?
Milestones, deliverables, break down into smaller pieces, prioritise, dependencies
 Around 50% of time is planning ..Plan is iterative
 Share the plan…btw this plan also needs approval!!
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Southwark FC Under-12 Football kit replacement plan
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Stakeholder’s expectations
 Stakeholders are people who:
– Have an interest or role in the project
– Involved in and/or affected by the outcome of the project
– e.g: Board, Funders, Sponsors, Beneficiaries, Community, Peers, Staff
 Stakeholders have expectations
– Product or service to be delivered
– Length of time to do so
– Project Cost - Installation and ongoing support
– Benefits
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
A Sample of Stakeholders within a project
Stakeholder
Southwark FC Management
Committee
Under 12 Fund Raising Team
Under 12 Players
Under 12 Team Parents
Business Sponsor(s)
Expectations
That we raise enough funds for a new kit and
pay back £50. Positive publicity for the club
That we raise funds for a new kit and also attract
new interest, new supporters and new players to
the club.
That they can have a new Cool Kit for the start
of the season!
Supporting the club and seeing their children
playing in the new kit
Advertising, publicity & local involvement
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Exercise 3 - Who are the Stakeholders for your project?
Stakeholder
Expectations
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Communication – we need to let people know
what’s happening
 Who
 When
 How
 What
 Document roles and responsibilities of the project team
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
A Sample of Communication plan for a Project
Who
Why
When
How
What
Southwark FC
Management
Committee
To oversee the “project” ,
approve expenditure and
ensure correct profile is
maintained.
Monthly
Face to Face
Status, Risks
and Changes
Under 12 Fund Raising
Team
To run the project for the
club and maintain the
communications.
Weekly
Email
Daily
Telephone
Status, Risks
and Changes
Under 12 Players
The “customer” or end
user
Weekly
Team Talk
Status
Under 12 Team Parents Support the club and it’s
activities.
Quarterly
Email
Status
Business Sponsor(s)
Fortnightly
Presentation
Status
Key funding organisation.
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Exercise 4 - Create a communication plan for your project
Who
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Why
When
How
Project Management: Fundamentals & Workshop
What
© 2009 IBM Corporation
Define Plan  Manage  Close
Agenda




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Defining a Project
Planning a Project
Managing a Project
Closing a Project
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Create the Project Schedule
 Identify all the tasks that need to be done
Deliverables (Major things to do/deliver) first level
Tasks second level
 Identify the order in which tasks need to be completed
Sequentially or In parallel
Dependencies
 Assign owners and estimated duration to each task
 Draw it out in a “Dependency diagram” ( or “Work Breakdown Structure”)
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Project deliverables - example
Deliverables
Notes
Fund Raising Event
Local Business Sponsor
Prefer 1 sponsor
Buy New Kit
Press Announcement
Could be to more than one paper
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Project task - example
Deliverables
Fund Raising Event
Task
Decide Event
Book Venue
Print Event Tickets
Get Raffle Prizes
Local Business Sponsor
List of local businesses
Write & Contact Sponsors
Agree sponsorship deal
Obtain money
Buy New Kit
Obtain Kit Catalogues
Select 3 Kit options
Get Team to vote for top kit
Order kit
Press Announcement
Write press release
Arrange team photo, with sponsor if possible
Send press release to local news papers, radio stations and parish council
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Example: Tasks and relationships laid out in a
Dependency diagram
Book
Venue
Decide
Event
Print
Tickets
Run
Event
Raffle
Prizes
Start
Get
Catalogues
Business
Sponsors
Select
Kit
Write &
Contact
Agree
Sponsorship
Order/
Buy Kit
Press
Release
End
Get
Money
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Estimating tips
 Have the right people make the estimate
 Use history and experience as guide
 Bottom-up approach best
 Do not needlessly overestimate the time needed
 Document the assumptions used and your approach
 Try to use two methods and compare e.g.
Bottom up for each task &
Check in historical files or with someone who has done this before
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Example Work breakdown diagram with time estimate
Book
Venue(2)
Decide
Event (1)
Print
Tickets(10)
Sell
Tickets
(20)
Run
Event (1)
Raffle
Prizes(10)
Start
Get
Catalogues
(10)
Business
Sponsors (3)
Order/
Buy Kit
(40)
Select
Kit (2)
Write &
Contact (5)
Agree
Sponsorship
(5)
Press
Release
(5)
End
Get
Money(5)
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
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Document the plan using tools
 Spreadsheet (Excel, 123, etc)
 Word-processing document
 Project planning software e.g Microsoft Project (MSP),
The best tool is the tool the team feels most comfortable with!
But have
something
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Exercise 5 – Write down your project deliverables
(activities and tasks)
Deliverables
Notes
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Exercise 5 – For each deliverable identify key tasks
Deliverables
Tasks
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Exercise 5
 Create the high level goals and tasks associated
with your project.
 Align tasks in dependency order
 Assign resources and duration to each task.
You are creating a Work Breakdown Structure (WBS)
Post-it Pad
Plan
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Risks – things can and will go wrong !
 Risks must be qualified, quantified, and included into your
cost and schedule
– A risk is something that might prevent you from getting the
project done
– May be positive instead of negative
– A Risk has three components:
An Event or trigger
Probability of the occurrence of that event
Impact of that event (or amount at stake)
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Define Plan  Manage  Close
Risk management
 1. Risk Identification
Idea storm to generate a, list known risks
 2. Risk Evaluation
Probability and Impact (High, Med, Low)
 3. Risk Mitigation
Containment or Contingency
 4. Risk Monitoring
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Sample severity matrix
Probability
Impact
Low
Medium
High
High
Medium
High
High
Medium
Low
Med
High
Low
Low
Low
Medium
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Sample severity matrix
Probability
Impact
Low
Medium
High
High
Medium
High
High
Medium
Low
Med
High
Low
Low
Low
Medium
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Project Risk Example
Score
Risk
Probability
Impact
We may not sell enough tickets
leading to lack of funds for kit
M (2)
H (3)
6
The kit may not be ready for the
start of the season leading to
disqualification
H (3)
H (3)
9
We may be short of raffle prizes
leading to low raffle ticket sales
M (2)
L (1)
2
There is a risk that we cannot
find a sponsor leading to
shortage of funds for the kit
H (3)
H (3)
9
We may not be able to find a
venue leading to delays to the
event.
L (1)
L (1)
1
There is a risk that we do not
raise enough money
L (1)
M (2)
2
Mitigation
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Strategies to mitigate risks
 Avoid: choose another option
 Ignore/Accept: willing to accept
 Contain: specific action to minimize
 Contingency: setting aside funds
 Transfer: move some or all of it to another party
 Insure: take out specific insurance to cover the risk
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Project Risk Example
Risk
Probability
Impact
We may not sell enough tickets
leading to lack of funds for kit
M
H
Contingency
Reduce prices
Change Event Date (reserve another date)
The kit may not be ready for the
start of the season leading to
disqualification
H
H
We may be short of raffle prizes
leading to low raffle ticket sales
M
L
Contain
Request club to fund pre-ordering of kit based on
initial ticket sales
Accept
Go with donated prizes
There is a risk that we cannot
find a sponsor leading to
shortage of funds for the kit
H
H
We may not be able to find a
venue leading to delays to the
event.
L
L
There is a risk that we do not
raise enough money
L
M
Mitigation
Contain
Increase team working on sponsorship
Widen catchments area
Offer joint sponsorship
Accept
Approach other venues
Accept
Only buy shirts until more funds available
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Exercise 6 – Identify & evaluate your risks & decide strategies to
manage
Risk
Probability
Impact
Mitigation
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Project budget – how much money do we need ?
 First consider the Project “Development and Implementation”
costs i.e.
– Capital costs
– Labour costs
– Discretionary costs (travel, award, supplies, etc)
– Lease Costs (office facilities, equipment )
– Consider everything e.g Post , mobile phone costs
 Secondly consider what revenue the project may generate
during its lifetime
– Exclude on going revenue created after the project has
completed
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Sample Project Budget
Budget Item
Expense
Income
Comment
Hall Booking – Deposit
£10
Hall Booking – Balance
£30
Raffle Tickets
£20
Buy from Macro
£27
Fixed cost, minimum 50 tickets up to 200
Deposit due 4 weeks before event
10 books of 100 @ £2.00 / book
Quiz Night Tickets
100 Tickets Fixed Fee
Photocopying
News letter will be created by Bob on his PC
News Letter 60 @ £0.05 / copy
£3
Business Sponsorship & Raffle
Prize Letter 40 @ £0.05 / copy
£2
Sundry (Telephone/Post)
£20
Southwark MC Funding
£100
To be paid back to committee
Ticket Income
£300
Breakeven at 25 tickets
60 @ £5 per ticket
Raffle ticket
£150
750 tickets @ £1 for 5 tickets
Totals
Cost Of Kit £450
£112
£550
Funds To Be Generated £438
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Sample Project Budget Review
Budget Item
Expense
Income
Comment
Hall Booking – Deposit
£10
Hall Booking – Balance
£30
Raffle Tickets
£20
Buy from Macro
£27
Fixed cost, minimum 50 tickets up to 200
Deposit due 4 weeks before event
10 books of 100 @ £2.00 / book
Quiz Night Tickets
100 Tickets Fixed Fee
Photocopying
News letter will be created by Bob on his PC
News Letter 60 @ £0.05 / copy
£3
Business Sponsorship & Raffle
Prize Letter 40 @ £0.05 / copy
£2
Sundry (Telephone/Post)
£20
Southwark MC Funding
£50
Ticket Income
£100
£50 To be paid back to committee
£300
Breakeven at 25 tickets
60 @ £5 per ticket
Raffle ticket
£150
750 tickets @ £1 for 5 tickets
Totals
£162
Cost Of Kit £450
£450
Totals
£612
£550
Funds To Be Generated £438
£550
£62 Shortfall + risks/assumptions
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Exercise 7 - Now estimate your project budget, use your WBS, keep
at a high level view
Budget Item
Expense
Income
Comment
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Project Control Book – What is it and why do
need it?
• A Project Control Book or PCB is a tool for storing,
accessing, and managing project management work
products.
 Project Managers Use the PCB to effectively
manage their project documentation and as a
communication vehicle for the team
 Typically every project will have it’s own PCB. A
PCB is essential in a well organised and
controlled project.
 The PCB is an invaluable source of reference
for the Project Manager and the Project Team
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Example Project Control Book
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Example Project Control Book
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Agenda
 Defining a Project
 Planning a Project
 Managing a Project
 Closing a Project
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3. Managing a project – now let’s get on with the hard work
 Forming and Managing a Team
 Managing change during the Project – it’s inevitable
 Tracking Project Status
 Communicating Project Status
Managing: Managing a Team > Change > Tracking Status
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> Communicating Status
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Forming and Managing a Team
 People make the difference
– Skilled Project Managers are a major factor in
determining the success of a project but a skilled team is
the key to delivering the “work” of the project
– Aim is for the team to achieve more as a group then they
would on their own
– This happens when there is a cohesive and effective
team, capitalising on each other's skills, experience and
strengths
– Teams need clear Roles and Responsibilities defined at
the start
– Teams need a healthy environment in which to work
Managing: Managing a Team > Change > Tracking Status
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> Communicating Status
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Five Stages of Team Development
– Forming - High dependence on leader for guidance and direction.
Leader ready to answer lots of questions about purpose, objectives
and external relationships
– Storming - Decisions don't come easily, team members vie for
position and establish themselves within the group. Leader, who
might receive challenges from team members
– Norming - Agreement and consensus is largely formed among team,
facilitated by leader. Roles and responsibilities are clear, big
decisions are made / accepted by group. Leader is supporting by
facilitation
– Performing - Team is strategically aware & knows clearly it’s
objectives and has a shared vision. Little or no participation from the
leader needed. Team focus is on over-achieving
– Adjourning - When a team's work is finished, members may feel a
sense of loss or disillusionment that affects their ability to be effective
in their next assignment
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Team Communications
– Sounds simple but failure to communicate is a common
problem
– Remember it’s not the message that’s sent it’s the
message that’s received
– Communication takes effort, empathy, understanding,
listening, openness, honesty, integrity, and trust
– Open communication begins on a foundation of trust.
Team must know and trust one another to feel
comfortable expressing their opinions and give input.
Managing: Managing a Team > Change > Tracking Status
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> Communicating Status
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Managing change during the project
 Managing change is vital to project success
– Anything that is not in the Statement of Work is out of
scope and therefore a Change
– A small change can have a big impact on many things
e.g. a small change in the work to be done could impact
the Costs, the Schedule, the Resources, other projects
etc
– Changes go through a formal approval process by some
or all of the Stakeholders
– Changes must be documented
Managing: Managing a Team > Change > Tracking Status
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> Communicating Status
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Sample change request
Change
Reason For Change
Impact Of
Change
Comments
(Cost, Time, Scope)
Request an additional
advance of £100 to pay
as a deposit for the new
kit.
Due to the lead time Cost £100
for a new kit (40
days) and to make
sure the kit is
available for the
start of the new
season we would
like to order the kit
early.
Managing: Managing a Team > Change > Tracking Status
76
To be repaid on
top of £50
> Communicating Status
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Exercise 8 - Create a change request for your project
Change
Reason For
Change
Impact Of
Change
Comments
(Cost, Time, Scope)
Managing: Managing a Team > Change > Tracking Status
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> Communicating Status
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Tracking project status – using Project Status reports
 Status of scope/deliverables
Work completed
Work remaining
Changes to the scope of work
 Status of cost/budget
Cost of work completed
Estimated cost of remaining work
Changes to the cost and projected estimate (are we over or under budget?)
 Status of schedule/milestones
Time to do work completed to date
Estimated time required to do work remaining
Changes to the schedule (are we behind/ahead of schedule?)
 Status of Issues and Risks
Are there any issues being managed and what are the next steps?
Have any of the Risks passed ?
Are there new Risks to be considered ?
Managing: Managing a Team > Change > Tracking Status
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> Communicating Status
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Communicating project status
 Status meetings
Topics to Cover
– Status of Scope, Budget, Schedule, Changes, Risks,
Issues and Concerns
– Accomplishments since last reporting period
– What needs to be accomplished in the next 30 days
Audience for status review
– Project team members
– Stakeholders
Customer or end user satisfaction
– Outcomes
Managing: Managing a Team > Change > Tracking Status
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> Communicating Status
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Agenda
 Defining a Project
 Planning a Project
 Managing a Project
 Closing a Project
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Define Plan  Manage  Close
4. Closing the project – phew it’s over
 All the approved work has been completed and the acceptance
criteria has been met and agreed by the stakeholders
 Lessons Learned are documented
 Project team members are “released” from this project
 Project funding is closed out
 Celebrate !
Closing: Acceptance > Lessons Learned
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> Celebrate
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
References
 Project Management Institute
www.pmi.org/info/default.asp
 The Fast Forward MBA in Project Management
by Eric Verzuh
 Incredibly Easy Project Management
by Norman Willoughby
 Project Management for Dummies
by Stanley Portny
 Complete Idiots Guide to Project Management
by Sunny Baker
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Define Plan  Manage  Close
Feedback
 Did we meet your objectives ?
 Please complete a feedback form
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Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Thank You !
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
BACK UP SLIDES
85
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Project Management Fundamentals
THE END
Project Management
For Volunteer & Charity Organisations
© 2009 IBM Corporation
Define Plan  Manage  Close
Statement of work (scope statement)
 Introduction
Technical Services Agreement between Company A and
Company B
This Statement of Work ("SOW") # number adopts and
incorporates by reference the terms and conditions of
Technical Services Agreement # number ("Agreement")
between company A and company B. Transactions
performed under this SOW will be conducted in accordance
with and be subject to the terms and conditions of this SOW
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Statement of work (scope statement)
 SCOPE OF WORK
Phase 1
Migration Planning
Phase 2
Define Education Requirements
Phase 3
Provide advice on Systems Testing procedures
 DEFINITIONS
Buyer
Supplier
Customer
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Statement of work (scope statement)
 DESCRIPTION OF DEVELOPED WORKS AND RELATED
DELIVERABLES AND SERVICES
Phase 1
Supplier will attend all workshops and meetings by
Phase 2
Supplier will document education requirements
Phase 3
Supplier will advice on Systems testing and User testing
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Statement of work (scope statement)
 SCHEDULE
Start Date: 01/12/2011
End Date: 31/12/2012
 PAYMENTS
Type, Method and Interval (fixed price, Invoice and quarterly)
Completion Criteria (the project is complete when ….)
 Taxes, Duties and Fees
Invoices will include applicable taxes
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Statement of work (scope statement)
 COMMUNICATIONS
Carried out through the following designated coordinators
Buyer: Name, Title, Address, email, phone
Supplier: Name, Title, Address, email, phone
Customer: Name, Title, Address, email, phone
 Supplier Personnel On Premises
Compliance
Access to Premises
General Business Activity Restrictions
Safety and Security
Asset Control
Planning: Statement of Work > Identify Stakeholders > Communication Plan > Create a Schedule > Manage Risks > Create a Budget
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Define Plan  Manage  Close
Pitfalls…
Poor Project Definition
Imprecise goals
Undefined limits to scope
Unbalance levels of ambition
Insufficient Support for the project
Not aligned to business
Undefined/poor governance
Poor Planning
Level is uniform
Manage Stakeholders
Organisation
Unwieldy tools
Deliver Business Benefits
Unclear responsibilities
Not inclusive : no buy-in
Predictable Work and Schedule
Key resources not available
Over optimistic (estimates & skills)
Manage Scope
Key resources not motivated
Omits activities
Build Team
Poor communication
Mitigate Risks
Obtaining resource (recruitment rate
too high - unsustainable)
Poor Project Execution
 Complexity in co-ordinating variety of
organisations and resources
 Uncontrolled changes to scope and the plan
 Failure to complete and document stages before
progressing
 Time, Cost, & Quality are out of balance
92
Poor Control
Plan and reporting not linked
Responsibility without authority
Lack of formalised communication
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation
Define Plan  Manage  Close
Why do projects fail… (just a few reasons !)
Poorly managed
Failure of change
management process
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Project Management: Fundamentals & Workshop
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Define Plan  Manage  Close
Behaviours of Project Managers
Inspiring a shared vision
• Envisioning the future
• Enlisting others by appealing to
their values
Challenging the process
• Searching for change, growth, innovation.
• Experimenting, taking risks, and learning
Enabling others to act
• Fostering teamwork with common goals
• Strengthening people by giving power away
Modeling the way
• Setting the example by behaving
consistently
• Achieving small wins to promote
progress
Encouraging the heart
• Recognising individual contribution
• Celebrating team accomplishments
Source: J. Kouzes, B. Posner: Leadership Practices Inventory.
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‘How Should a Top Project Manager Behave?’
Challenge client assumptions
Move them out of comfort zones
Be fast, accurate, creative
Challenging the process
Cause client to see dangers and opportunities
Be clear and open
Communicate common goal to client & team
Include client team in project team's life
Seek opportunities for skills transfer
Make sure client has complete ownership
Enabling others to act
Deliver what you say you will, when you said you would
Take time for the little but important touches
Set high behavioural standards on client site
Build memorable relationship with client
Celebrate the team achievements
Reward performance of the team
95
Inspiring a shared vision
Modeling the way
Encouraging the heart
Project Management: Fundamentals & Workshop
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Published views on improving On-Time Delivery
 Solve the Requirements Paradoxes
– Requirements must be stable for reliable results; however, the requirements always change.
– We don’t want requirements to change; however, because requirements change now is a known risk, we try to
provoke requirements change as early as possible.
 Very short cycles or regular delivery milestones
– Few people take planned dates seriously. As long as the end date of a project is far in the future, we don't feel any
pressure and work leisurely.
How many days before your last exam did you really start working...?
 Rapid and frequent feedback
– At the start of any development there
ACT
What can
we learn
are many uncertainties we have to
4
1
PLAN
What do we
want to know
or to do
explore and change into certainties.
Shewart cycle
– Weekly review of estimation,
planning, and tracking in order to
CHECK
Analyse the
effect
3
2
better predict the future
DO
Carry out
the plan
Demming cycle
PDCA cycle
– Frequent review with stakeholders to optimise requirements and check assumptions
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Define Plan  Manage  Close
Published views on improving On-Time Delivery
 Time Boxing
If the resources and time are fixed, the features are variable.
 Estimation, planning and tracking
If you don’t estimate, you cannot plan and there is nothing to track
If you don’t plan, then estimation and tracking are useless
If you don’t track then why should you estimate or plan?
 Difference between effort and lead-time
Effort, the time needed to do the work
Lead-time, the time until the work is done
 Commitment
Do you still agree that these tasks are the highest priority?
Do you still agree that you should do it?
Do you still agree with the estimates?
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Project Management: Fundamentals & Workshop
PM should ask these
questions; if the
deliverer hesitates
then help to adjust and
gain full commitment
© 2009 IBM Corporation
Define Plan  Manage  Close
Magic Words
 Focus
 Dates
People are easily distracted by many
important or interesting things. Some
things may even be important, however,
not at this moment.
 Priority
 Done
Defining priorities and only working on
the highest priorities so we do the most
important things first.
 Synchronise
To make estimation, planning, and tracking
possible, we must finish tasks completely.
Not 100% done is not done.
 Bug, debug
Every project interfaces to a world
outside the project. Active
synchronisation is needed to make sure
that planned dates can be met.
 Why
Forces us to define the reason why we
should do something, allowing us to
check whether it is the right thing to do. It
helps us to keep focus.
98
Dates are not fluid, dates are sacred and
that means if a date is agreed we stick to it.
Or tell well in advance that we cannot keep
our word.
Not unavoidable, by actively learning from
mistakes, we can avoid many of them.
 Discipline
Not imposed discipline but rather that you,
yourself, know what is best to do. If nobody
watches us, it is quite human to cut
corners, or do something else, even if we
know this is wrong.
Project Management: Fundamentals & Workshop
© 2009 IBM Corporation