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    Project Scope Management

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    What is Project Scope Management?

    Scoperefers to allthe work involved in creating theproducts of the project and the processes used to create

    them.

    A deliverableis a product produced as part of a

    project, such as hardware or software, planning

    documents, or meeting minutes.

    Project scope management includes the processes

    involved in defining and controlling what is or is not

    included in a project.

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    Project Scope Management Processes

    Scope planning:Deciding how the scope will be defined,verified, and controlled.

    Scope definition: Reviewing the project charter and

    preliminary scope statement and adding more information

    as requirements are developed and change requests areapproved.

    Creating the WBS: Subdividing the major project

    deliverables into smaller, more manageable components.

    Scope verification: Formalizing acceptance of the

    project scope.

    Scope control: Controlling changes to project scope.

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    Work Breakdown Structure (WBS)

    A WBSis a deliverable-oriented grouping of the work

    involved in a project that defines the total scope of the

    project.

    A WBS is a foundation document that provides the

    basis for planning and managing project schedules,

    costs, resources, and changes.

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    Product Break down Structure

    A deliverable-oriented WBS defines project work interms of the components (physical or functional) that

    make up the deliverable.

    In this case, the first word in a given WBS element is a

    noun, such as, Module A, Subsystem A, Automobile

    Engine, Antenna, etc.

    This WBS type is called Product Breakdown Structure

    (PBS).

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    Types of Work Breakdown Structures

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    PBS

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    Task Oriented WBS

    A task-oriented WBS defines the deliverable of project

    work in terms of the actions that must be done to

    produce the deliverable. The first word in a given WBS

    element usually is a verb, such as, design, develop,optimize, transfer, test, etc.

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    Types of Work Breakdown Structures

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    Task oriented WBS

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    Time-phased WBS

    Time-phased WBS is one that is used on very long

    projects. It breaks the project into major phases instead

    of tasks.

    In this type, a rolling wave approach is adopted and

    only the near-term phase is planned in detail.

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    Types of Work Breakdown Structures

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    WBS Design Principles

    The 100% Rule

    The 100% Rulestates that the WBS includes 100% of the work defined by the project

    scope and captures all deliverablesinternal, external, interimin terms of the work to

    be completed, including project management. The 100% rule is one of the most important

    principles guiding the development, decomposition and evaluation of the WBS.

    The rule applies at all levels within the hierarchy: the sum of the work at the child level

    must equal 100% of the work represented by the parent and the WBS should not

    include any work that falls outside the actual scope of the project, that is, it cannot

    include more than 100% of the work It is important to remember that the 100% rule

    also applies to the activity level.

    The work represented by the activities in each work package must add up to 100% of the

    work necessary to complete the work package.1

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    http://www.pmhut.com/wbs-typeshttp://www.pmhut.com/wbs-types
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    WBS Design PrinciplesMutually-exclusive Elements

    In addition to the 100% Rule, it is important that there is no

    overlap in scope definition between two elements of a WBS.

    This ambiguity could result in duplicated work or

    miscommunications about responsibility

    Such overlap is likely to cause overlap in scope definition and

    confusion in project cost accounting

    If the WBS between two elements of a element names are

    ambiguous, a WBS dictionary can clarify the distinctions

    between WBS elements11

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    WBS Design PrinciplesPlanned Outcomes

    Action-oriented details in the WBS, will most likely include either too many

    actions or too few actions. Too many actions will exceed 100% of the parent's

    scope and too few will fall short of 100% of the parent's scope.

    The best way to adhere to the 100% Rule is to define WBS elements in terms

    of outcomes or results.

    Work breakdown structures that subdivide work by project phases (e.g.

    Preliminary Design Phase, Critical Design Phase) must ensure that phases areclearly separated by a deliverable (e.g. an approved Preliminary Design

    Review document, or an approved Critical Design Review document).

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    WBS Design Principles

    Second Level is the most Important

    It determines how actual costs and schedule data are grouped for

    future project cost and schedule estimating.

    It is therefore used to capture actuals" from a project for future

    estimating purposes.

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    WBS Design PrinciplesHow Far Down?

    The WBS is decomposed down to the work package level. A work package isthe lowest level in the WBS, and is the point at which the cost and schedule

    for the work can be reliably estimated.

    If WBS terminal elements are defined too broadly, it may not be possible to

    track project performance effectively. If a WBS terminal elements are toogranular, it may become inefficient to keep track of so many terminal

    granularity

    An effective limit of WBS granularity may be reached when it is no longer

    possible to define planned outcomes, and the only details remaining areactions.

    Unless these actions can be defined to adhere to the 100% Rule, the WBS

    should not be further subdivided

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    Rule of ThumbThe 40-Hour Rule of Decomposition

    When a project has been decomposed down to an element that has about 40 hours ofallocated direct labor, there is no need to decompose further.

    The 40 Hour Rule is based on a 40-hour work week.

    Because of this, most WBS diagrams are not symmetrical. Some legs may go down toLevel-4 while others may go down to Level-5

    The 4% Rule of Decomposition

    A WBS is adequately decomposed when the lowest element is about 4% of the total

    project.

    For a 26-week schedule, the lowest element should be about one week.

    For a $2.6M project, the lowest level should be about $104K.

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    Scope Control

    Scope controlinvolves controlling changes to the

    project scope.

    Goalsof scope control are to:

    Influence the factors that cause scope changes.

    Ensure changes are processed according to procedures

    developed as part of integrated change control.

    Manage changes when they occur.

    Varianceis the difference between planned and actual

    performance.

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    Scope Creep

    Scope creep is defined as adding features and functionality (projectscope) without addressing the effects on time, costs, and resources,or without customer approval.

    Poor implementation of change control. Incomplete gathering of requirements before project execution

    begins.

    Insufficient involvement of critical stakeholders (includingcustomer)

    Lack of support from executive sponsor and enforcement powerin project manager

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