Lesson 1 - Project Basics Flashcards
Project Life Cycle
- Concept/Delivery Phase
- Initiation Phase
- Planning Phase
- Execution Phase
- Closing Phase
Concept/Delivery Phase
Review ideas for feasibility, pick best one, and request approval.
Initiation Phase
Approval was granted so project can start.
Identify goals, timelines, stakeholders, and contributors.
Assign roles and have a project team meeting.
Planning Phase
Use goals/timeline from initiation to create detailed plans for completion. PM acquires needed resources/removes obstacles, tracks progress.
Execution Phase
Teams completes the work/deliverables. PM helps team stay in sync/productive. By the end, goals from initiation phase should be met.
Closing Phase
Cross T’s/Dot I’s. Checking to make sure project is complete/accurate. Create financial summary, share info w/ stakeholders and then request approval to close.
Key Things to Remember
Expect the unexpected, remain adaptable, communication is key, influence is better than authority. Good PM helps save money & optimize results.
What is a “Business Case”
The business objective for the project that summarizes it, and acts as the proposal.
Who reviews the Business Case
Leaders review the business case and then give approval to start the project.
What phase is the Business Case reviewed?
Business Case is reviewed during the initiation phase.
What components make up the business case?
Business problem and its analysis, followed by potential solutions and their financial impact to assess whether or not project is good investment.
Business Case Components-Executive Summary
Brief synopsis that gives the problem, solution, and expected result (its best to actually write this part last).
Business Case Components-Problem Statement
More detailed but still concise description of the problem and what will change.
Business Case Components-Problem Analysis
Explains why the problem needs to be considered a high enough priority that it needs a whole project.
Business Case Components-Problem Definition
Gives more details about the project itself such as resources needed, timelines etc.
Business Case Components-Financial Overview
Covers economic impacts, costs, where budget will come from, cost-benefit analysis/ROI.
Writing Value-Focused Problem Statements
Need to focus on the actual problem, not the technology needed to help solve it.
Value-Focused Problem Statement Ex.
Need to reduce telephony costs, while increasing customer satisfaction. (Not need to get automated system).
ROI Formulas
ROI= (Net Profit/Cost)x100
ROI= ((Revenue-Cost)/Cost)x100
ROI=(Financial Value-Cost)/Cost x 100
Benefit/Financial Value
Money generated, projected, or saved/not spent due to the project
Cost
All money spent on the project
Net Profit
Benefit-Cost
Financial Assumptions
Reasonable projections based on historical data, industry standards or other ‘norms.’
Financial Risks
Events/obstacles you believe ‘could’ happen i.e hope for the best, plan for the worst. Keep the project from being to optimistic and veering towards unrealistic.
“ESG”
Environmental, Social, and Governance factors to be considered in addition to financial factors.
Project will need to align w/ company’s ESG factors.
Ex. Company mission is to reduce emission, if project will increase emissions, then it will need to be restructured.
Define Operational Work
Routine, predictable, repetitive daily work.
Define project work
Work that seeks to accomplish something new, solves a new problem or is a new approach to solving an old problemt
Organizational Structure Types
Functional
Projectized
Matrix
Functional Organization
Most common, specialized, one leader, then few execs, then department heads, then workers
Projectized Organization
One Leader, several project managers, several project teams, and an HR dept. this is ideal for construction or events since they do their work in projects.
Matrix Organization (DH)
One leader, several department heads, and separate project mgmt teams. This is needed for a large company like DH.
What is the difference between a Weak Matrix and a Strong Matrix Org.?
In Weak Matrix the dept. manager has more control over the project. In Strong Matrix the PM has majority control.
What happens if the ideas are too big for just one project?
The business must create a project program.
Define project Program.
A program combines several project into one large timeline of a project.
Program Manager
The same thing as a PM, just a higher level PM that oversees the entire program and coordinates all of the projects.
How can programs be beneficial?
Sometimes the resources allocated can be best if done in bulk for several projects at once instead of individually. Ex. Using a vendor to produce products in bulk for several projects instead of one at a time.
What is a Supportive PMO (Project Mgmt Office)
A PMO that has department leads/workers doubling as project contributors and only assists when called upon, like a coffee shop.
What is a Controlling PMO
A PMO that has dedicated project mgmt teams and is a little more involved but still do not have authority outside of projects. (DH)
What is a directive PMO
A PMO that heads the company, and acts as authority over all standards and procedures, you would see this in a highly regulated industry.
Define a Stakeholder
Anyone with a vested interest whether negative or positive
Senior Mgmt
Highest level of leadership in the org. and will oftentimes influence the project even if not working on it.
Customers
Internal-employees that benefit from the project
External-true customers
End User
The person that will interact with the projects final output, could be a customer but not always, sometimes could be vendor or employee.
What is a project portfolio?
All the approved projects for a company regardless if they are related or not.
