project integration management

Project Integration Management

S. Kenneth Merrill, PMPNovember 21, 2007

Project Management Tutorial Series


Eastern Idaho Chapter - PMI

Scope

Time

Cost

Quality

HumanResource

Communication

Risk

Procurement

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Initiating Planning Executing Monitor & Control

Closeout

Project Life Cycle Process Groups

ProjectSuccess


Eastern Idaho Chapter - PMI 1

Project Integration ManagementDiscussion Outline:

Introduction – Project Integration Management Overview

Discussion – PM Knowledge Areas: Risk Conditionsand Consequent Risk Events

Scaleable Methodology - Project Integration Management



Project Integration Management can be INTIMIDATING

Many new project managers have troubleLooking at the big picture and want to focus on too many details



Introduction – Project Integration ManagementBrief Overview



The Integrative Project Management Process

Within the PMBOK® Guide project management processes are presented as discrete components with well defined interfaceswhile, in practice, they overlap and interact in ways that are not detailed in the guide.

Most experienced PM practitioners know there is no single way to manage a project. They apply their PM knowledge, skills, and processes in different order and degree of rigor as required to successfully complete their project.

Project Management is a iterative process.



“The processes and activities needed to integrate the various elements of project management, which are identified, defined, combined, unified, and coordinated within the Project Management Process Groups.”

What is Project Integration Management

PMBOK® Guide – Third Edition



Process Groups Initiating Planning Executing Monitoring &

Controlling Closing

Integration Develop Project

Charter Develop Project Management Plan

Direct and Manage Project Execution

Monitor & Control Project Work

Close Project

Develop Preliminary Project Scope Statement

Integrated Change Control

Scope Planning Scope

Verification

Scope Definition Scope Control

Scope

Create WBS

Activity Definition Schedule Control Activity

Sequencing

Activity Resource Estimating

Time

Schedule Development

Cost Estimating Cost Control Cost Cost Budgeting

Quality Quality Planning Perform Quality

Assurance Perform Quality Control

Human Resource

Planning Acquire Project Team

Manage Project Team

Human Resources

Develop Project Team

Communication

Planning Information Distribution

Performance Reporting

Communications

Manage Stakeholders

Risk Management

Planning Risk Monitoring

and Controlling

Risk Identification Qualitative Risk

Analysis

Quantitative Risk Analysis

Risk

Risk Response Planning

Plan Purchases

and Acquisitions Request Seller Responses

Contract Administration

Contract Closure

Procurement

Plan Contracting Select Sellers

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PMBOK® Guide Table 3-45 page 70

Mapping• 44 PM processes into• 5 PM process groups &

9 PM Knowledge Areas



PerformanceAssessment

Closeout

ExecuteAuthorized

Work

Planning

Initiate

Project ManagementProcesses

Core Business

BusinessDecision

RiskAssessment

WorkAuthorization

Change Mgmt. &

Reporting

FinancialMgmt. Work

Mgmt. Other ProcessInterfaces

Operations

Product

{Planning Data}{Upgrade}

Authorization& data package



Discussion

PM Knowledge Areas: Risk Conditionand Consequent Risk Events



The need for integration in project management becomes quite evident in situations where individual processes interact.

• The knowledge areas of project ManagementAre all interrelated – hence must be managed collectivelyExample: Scope change involves as a minimum cost, schedule,

human resources and risk management

• Risk management, itMust be allied to all knowledge areas – scope, time, cost, etc.

Discussion – PM Knowledge Areas: Risk Conditionand Consequent Risk Events

The following slides provides examples, but first lets examinethe “risk wheel



Project Risk

Cost

Scope Procurement

HumanResource

Time Communication

Quality

Integration

Life cycle &Environmental variables

RequirementsStandards

Cost ObjectivesRestraints

Time ObjectivesRestraints

ExpectationsFeasibility

AvailabilityProductivity

Ideas, DirectivesData Exchange

Accuracy

Services, PlantMaterials, Performance

Review the Risk Wheel for Relationship Failure



Project Integration Management

• Risk ConditionsInadequate planning, integration or resource allocationLack of clear objectives and key success indicators*Lack of thorough project managementInadequate or lack of life cycle project reviewers

• Consequent Risk EventAbsence or late start of integrated project managementClassic project management failure and chaosAccidentsProject stop work

* Reduces the probability of project success



Scope Management

• Risk ConditionsInadequate requirements assessmentInsufficient planning – lack of lead timePoor definition of scope breakdown and work packagesScope changes without corresponding time and budget changes

• Consequent Risk EventChanges in scope “to make things work”Unbudgeted work and rework

- Leads to serious cost and time overruns -



Time Management

• Risk ConditionsPoor estimating of time or resource requirementsPoor management of critical path, and/or floatExcessive overtime

• Consequent Risk EventSpecific delays: skills or material shortages, workforcewithout motivation, strikesNeed for accelerationEarlier release of competitive productLost competitive advantage and project aborted



Cost Management

• Risk ConditionsEstimating errors/omissionsNo investigation of predictable problemsOver-optimistic productivity assumptionsLack of cost, change or contingency control

• Consequent Risk EventSerious budget overrunsMoney runs out and project aborted



Quality Management

• Risk ConditionsInconsistent, incomplete or unclear definition of qualityrequirementsPoor attitude toward qualitySubstandard design/materials/workmanshipInadequate quality assurance/control program

• Consequent Risk EventRejection of workUncompetitive product qualityProduct performance failure



Human Resource Management

• Risk ConditionsInappropriate organizational structure or allocation ofresponsibilityInferior leadership or vacillating management styleAbsence of motivation and accountabilityConflict not managedIncompetent workers

• Consequent Risk EventGeneral absence of team effortOrganizational failure, terminations, strikes



Communication Management

• Risk ConditionsCarelessness in planning and in communicating plansLack of understanding and improper handling of complexityInadequate consultation with stakeholders - all

• Consequent Risk EventUnreliable or incorrect information leading to wrong actionor inactionFailed stakeholder expectations



Risk Management

• Risk ConditionsIgnoring risk or “assuming it away”Unclear assignment of risk responsibility – internalteam, contractors, and third partiesReluctance to accept risk responsibility ownershipPoor insurance management

• Consequent Risk EventAvoidable risk events occur

- With consequent delays and cost overruns- Damage to quality- Damage to Institutional Brand



Procurement Management

• Risk ConditionsUncompetitive purchasingUnenforceable contract clauses, conditionsFinancial weakness of contracting partiesAdversarial and non-cooperative contractual relationsInappropriate contractual assignment of risk

• Consequent Risk EventClaims litigation, settlementsContractor incapacity, insolvency, failure



Project Integration Management- Scaleable Methodology -



The Integrative Project Management Process

• Develop Project Charter

• Develop Preliminary Project Scope Statement

• Develop Project Management Plan

• Direct and Manage Project Execution

• Monitor and Control Project Work

• Integrated Change Control

• Close Project



Priority

Element

4 Small investment, informal

schedule goals, low organizational priority and visibility.

3 Moderate investment, definite

schedule target, some organizational priority and

visibility.

2 Significant investment, important

schedule goals, medium organizational priority and

visibility.

1 Major investment, critical schedule

goals, substantial organizational priority and visibility, significant

technical and cost risks.

Project Charter

Prepare a one page memo of understanding between the sponsor and the PM outlining project objectives, resources, commitments, and constraints.

Identify quantifiable objectives, cost and schedule targets; outline staffing commitments, funding, and assets.

Define specific performance goals and cost and schedule thresholds; describe PM authority and organizational commitment.

Define PM responsibilities and authority; describe specific objectives and make express commitments of staffing, funds, and assets.

Stakeholder

Identify project stakeholders (customers, sponsors, users, etc.) and bulletize their interests and objectives on one page; review the project plan to ensure stakeholder satisfaction will be achieved.

Map stakeholder interests to specific initiatives to ensure satisfaction; develop, maintain, and post team success metrics; plan proactive stakeholder communications.

Prepare stakeholder management plan, and allocate staff and budget to periodic reassessments and corrective actions; focus specific initiatives to achieve stakeholder satisfaction.

Prepare and update a structured stakeholder analysis supporting a stakeholder management plan; map to the quality plan, risk management plan, and to project reporting initiatives.

Project Plan

Summarize project objectives, approach, time constraints, cost estimates, and staffing plan; ensure these fit together and are realistic and achievable; define milestones; and link tasks to owners and deliverables.

Employ planning process to build team ownership and facilitate peer review; apply systematic methods to assess cost and schedule realism; plan more heavily in risk areas; apply all PM principles in plan.

Prepare a plan that links the requirements, task plans, timelines, cost estimates, staffing, deliverables, and test plan; make sure cost, scope, and time are bounded; define success criteria for milestones.

Produce an integrated family of documents defining all project activities and disciplines; plan for mapping and traceability throughout major documents; systematically address all PMBOK areas.

Project Management Methodology

Apply sound project management principles such as: clearly documented requirements, a realistic plan, project baseline controls, and periodic reviews; maintain a PM notebook.

Include outline of proposed project management methodology in project plan document; identify vital PM systems and procedures.

Document PM approach, including baseline management, reviews, data collection, project metrics, and control responsibilities; monitor and report status of PM implementation.

Prepare project management plan describing methodology, reviews, baseline controls, and organizational roles and responsibilities; establish metrics to track integrity of PM disciplines.

Project Integration Management - Scaleable Methodology

Project Management Scalable Methodology GuideJames R. Chapman


Eastern Idaho Chapter - PMI

Project Integration Management is a key concept and skill that is the hallmark of PMI and the project management professional. It includes the processes that are required to ensure that all the various elements of a project plan are properly coordinated. The key is coordination and integration. Using Project Integration Management, all the pieces of a complex project plan fit together. This is how we balance time, cost and quality. Where do you think we would be without Project Integration Management?

The Elevator Speech