This book has been written to help those preparing for the Project Management
Professional Examination. It is intended to cover all of the
material that the Project Management Institute (PMI) considers important
enough to be included in the exam. This book has been revised to
reflect the changes in the Project Management Professional Examination put
into effect as of March 2002 and reflects the Guide to the Project Management
Body of Knowledge, 2000 edition.
What Is the PMP Exam Like?
The Project Management Institute (PMI) has constantly improved the PMP examination since it was ﬁrst given and will continue to improve the exam as time goes on. April 2002 was signiﬁcant because of the culmination of several factors that have had an inﬂuence on the PMP examination. The Project Management Professional (PMP) Role Delineation Study was begun in 1999 to help deﬁne the roles and responsibilities of project management professionals.
The Project Management Institute engaged the Columbia Assessment Service (CAS) to study the PMP examination process. This resulted in changes to the PMP examination. In fact, the exam was revised considerably as a result of the work that was done. CAS began by analyzing the responsibilities of project management professionals (PMPs). Then they speciﬁed a plan for the testing of PMPs, wrote and rewrote questions for the exam, and determined the passing score for the test.
Human Resources Management.
uman resources management is required to make the most efﬁcient use of the project human resources. This includes all of the people involved in the project—the stakeholders, sponsors, customers, other departments, the project team, subcontractors, and all others. Organizational planning involves the organizing of the human resources. These are the roles, responsibilities, and relationships of the people that are on the project team. As in all things in project management, human resources management takes place throughout the project.
Risk management is one of the most important areas of project management that must be considered. Companies that want to compete with one another have adopted project management as a method of managing their companies. They have had to learn how to deﬁne and control project scope, schedule, and cost as baselines, and they have had to learn all of the control elements necessary to make successful projects. But many of these companies have yet to learn to manage the risks involved in managing a project.
Probably the single most important thing in project management is communications. It is said that if good communications exist in a project, the team will be motivated and the project will succeed in spite of problems that might kill another project. It is essential that project managers have a good understanding of communications. It is generally agreed among project managers that communications skills are the most important skills that a project manager can have.
One of the goals of project management is to meet the expectations of the stakeholders of the project. Managing the quality of the project is the function that will allow this to happen. Quality management will include all the work that is necessary to ensure that each of the objectives of the project is met. In the latest edition of the Guide to the Project Management Body of Knowledge, PMI emphasizes that the purpose of the project is to meet the requirements of the stakeholders. In the past, the project goal was to meet or exceed the customer’s...
The Guide to the Project Management Body of Knowledge describes project time management as the process used to ensure the timely completion of the project. The guide goes on to say that there are ﬁve major processes that are required to do proper project time management: Activity deﬁnition. Deﬁning the speciﬁc activities that are necessary to complete the project and produce all of the project deliverables. Activity sequencing. Identifying the sequence in which the activities must be done.
Contract and Procurement Management.
Many times it is the project manager that is on the buying end of the project. Most of the time we think of projects as work that we are doing to produce a set of deliverables that will be delivered to some organizations. However, often the project manager is required to hire another project manager to produce goods and services for his or her organization. When this is done, the roles and responsibilities of the project managers change somewhat. It is necessary to have assurance that the hired project manager and his or her team will...
Chapter 13a: Question about COST MANAGEMENT
1. A project manager wants to make a trip to California by car. The project manager knows how many miles it will be to drive to California, the current price of gasoline, and how many miles the car will go on a gallon of gasoline. From this information he or she can calculate the estimated cost of the gasoline for the trip. This is a form of what kind of estimating technique? a. b. c. d. Deﬁnitive Analogous Parametric Quantitative
2. A project manager wants to make a trip to California by car. The project manager...
Chapter 14a: Question about HUMAN RESOURCES
1. What are the major advantages of the functional type of organization? a. b. c. d. Single point of contact for the customer Stable organizational structure Project orientation Multifunctional teams are easy to form
2. The project manager’s leadership style should be matched to the corresponding developmental level of the project team and should move through successive steps in the following order: a. b. c. d. Disciplinary, autocratic, participative. Projectized, matrix, functional. Team building, team development, responsibility assignment.
Chapter 15a: Question about RISK MANAGEMENT
1. A project manager discovers that there is a part of the project that contains some risk. His strategy with this risk is to subcontract the work to an outside supplier by using a ﬁrm ﬁxed price contract. Which of the following must the project manager do? a. The project manager should make certain that the project team does not reveal the risk to the supplier until the contract is signed. b. The project manager should make every effort to make sure that the supplier is made aware of the risk after the contract is...
Chapter 19a: Question about PROFESSIONAL RESPONSIBILITY
1. You are a project manager working on a project to market a new product. The deliverables of the project have been established, and the project work has begun. A contract to deliver the deliverables has been signed. The customer who has signed the contract has telephoned you to request additional work to be done on the project. This work will affect the budget but not the schedule of the project. This project has a high priority with your company. What should you do next? a. Do what the customer asks you to do and...
Chapter 19b: Answer key about PROFESSIONAL RESPONSIBILITY
1. Answer: c There should be a change procedure in the project to handle changes that might be initiated by customers. The change procedure should include the cost for managing the change and the cost of developing the estimate for the effects of the change. 2. Answer: c Estimating is just that, an estimating process. Perhaps it would have been better for the project manager to have given all the information to the person responsible for the estimate. At this point the best thing to do is to use all of the information available...
Chapter 17a: Question about CONTRACTS AND PROCUREMENT
1. A project manager must make a narrative description of the project. This narrative description covers the items that will be supplied under the contract with the client. It is called: a. b. c. d. The project plan. The statement of work. The exception report. The progress report.
2. A project manager discovers that there is a part of the project that contains some risk. His or her strategy with this risk is to subcontract the work to an outside supplier by using a ﬁrm ﬁxed price contract. Which of the following is true? a....
Chapter 18a: Question about COMMUNICATIONS MANAGEMENT
1. Which of the following media can a communicator use to present information? a. b. c. d. Visual Audio and visual Tactile Visual, audio, and tactile
2. The three principal interests in maintaining good document control are: a. Timely communication, collection of performance appraisal data, and assuring proper disposal of sensitive documents. b. Timely communication, maintaining proper approvals, and communication cost control. c. Effective communication, ability to reconstruct why decisions were made, and historical value. d.
Chapter 18b: Answer key about COMMUNICATIONS MANAGEMENT
1. Answer: d A communicator can use all three media to communicate. 2. Answer: c The project manager has three main reasons for or interests in having good document control: effective communications, making sure that all necessary information is distributed and received by all those who need it; be able to reconstruct why certain decisions were made and the conditions under which they were made; historical value, so that lessons learned can be used in the future on other projects. 3.
APPENDIX: PROBABILITY DISTRIBUTIONS
In the discussion so far, I have tried to sound less like a statistician and more like a project management practitioner. The material I have covered here is mainly practical. But there are a few more things we should discuss if we are going to use any of the many statistical packages that are available for project management. Many of these software packages require making decisions on the type of distributions to use, so it is important to know the differences.
Cost management is the completion of the project management triple constraint of cost, schedule, and scope. Each of these must be completed in order to complete the project on time and on budget and to meet all of the customer’s expectations. In order to meet the cost goals of the project, the project must be completed within the approved budget.
Without a doubt, the most common reason that projects fail is because of poor scope deﬁnition. By that I mean that the expectations of the stakeholders, and especially the client or sponsor, are different than the expectations of the project team. This is a most difﬁcult problem, but it is critical to the success of the project that it is overcome. There are many reasons why a project fails, and understanding them will give us insights to how to avoid them. The relationship between the project team and the customer has to reverse itself at the time of...