Project Management Traditional (Predictive) Project Management Syllabus

What is a scope baseline composed of?

The scope baseline consists of the approved Project Scope Statement, the Work Breakdown Structure (WBS), and the WBS Dictionary.

Define a Work Breakdown Structure (WBS).

A WBS is a hierarchical (deliverable-oriented) decomposition of the total scope of work to be carried out by the project team to accomplish objectives and create the required deliverables.

What is a work package in a WBS?

A work package is the lowest level of the WBS; it is the point at which cost and duration can be reliably estimated and managed. Work is decomposed no further than this level.

State the 100% rule of the WBS.

The 100% rule states that the WBS must include 100% of the work defined by the project scope and capture all deliverables (internal, external, interim). The sum of work at each 'child' level must equal 100% of the work of the 'parent.' No work should fall outside the WBS.

What is the WBS Dictionary, and what information does it provide?

The WBS Dictionary is a companion document that provides detailed information about each WBS component, such as a code of account identifier, description of work, responsible organization, milestones, associated activities, resources, cost estimates, and acceptance criteria.

What is a control account in relation to the WBS?

A control account is a management control point placed at selected WBS components (above the work-package level) where scope, budget, and schedule are integrated and compared to earned value for performance measurement.

Compare the 'Validate Scope' and 'Control Scope' processes.

Validate Scope is the process of formalizing acceptance of completed deliverables by the customer/sponsor (focus on acceptance). Control Scope is the process of monitoring the status of project/product scope and managing changes to the scope baseline (focus on preventing scope creep).

How does Validate Scope differ from Control Quality, and in what order do they usually occur?

Control Quality checks the correctness of deliverables against quality requirements (internal, done first); Validate Scope obtains formal acceptance of those deliverables from the customer (external, done after). Quality-verified deliverables become an input to Validate Scope.

Define scope creep and gold plating.

Scope creep is the uncontrolled expansion of product or project scope without adjustments to time, cost, and resources. Gold plating is when the team adds extra features or work beyond what was requested, without authorization.

What is the difference between the 'Define Activities' and 'Sequence Activities' processes?

Define Activities identifies and documents the specific actions (activities) to produce project deliverables by decomposing work packages. Sequence Activities identifies and documents the logical relationships (dependencies) among those activities.

What is the relationship between work packages, activities, and the activity list?

Work packages (lowest WBS level) are decomposed into activities—the smaller actions required to complete them. These activities are compiled into the activity list, which is an input to scheduling.

In the Precedence Diagramming Method (PDM), what are the four types of logical relationships?

Finish-to-Start (FS), Finish-to-Finish (FF), Start-to-Start (SS), and Start-to-Finish (SF). FS is the most commonly used; SF is the least common.

Distinguish between mandatory, discretionary, external, and internal dependencies.

Mandatory (hard logic) dependencies are legally or contractually required or inherent in the work. Discretionary (soft/preferred logic) dependencies are based on best practices or preference. External dependencies involve non-project (outside) relationships; internal dependencies are within the project team's control.

Define lead and lag in activity sequencing.

A lead is an acceleration that allows a successor activity to start before its predecessor finishes (e.g., FS with a 2-day lead). A lag is a delay that causes a successor to start later than it otherwise would (e.g., FS with a 3-day lag, such as curing time).

What is the Critical Path in a network diagram?

The critical path is the longest sequence of dependent activities through the network and thus the shortest possible project duration. Activities on it have zero total float; any delay to a critical activity delays the whole project.

Define total float (slack) and give its forward/backward-pass formula.

Total float is the amount of time an activity can be delayed without delaying the project finish. $$TF = LS - ES = LF - EF$$ where ES/EF are early start/finish and LS/LF are late start/finish.

Name three commonly used duration-estimating techniques.

Analogous estimating (top-down, based on similar past projects), parametric estimating (using statistical relationships/rates), and three-point estimating (PERT). Bottom-up estimating aggregates lower-level estimates.

Write the triangular and PERT (beta) three-point estimate formulas for expected duration.

Triangular: $$t_E = \frac{O + M + P}{3}$$ PERT (beta): $$t_E = \frac{O + 4M + P}{6}$$ where $O$ = optimistic, $M$ = most likely, $P$ = pessimistic.

In PERT, what are the formulas for the standard deviation and variance of an activity's duration?

Standard deviation: $$\sigma = \frac{P - O}{6}$$ Variance: $$\sigma^{2} = \left(\frac{P - O}{6}\right)^{2}$$

What is the difference between the Critical Path Method (CPM) and Critical Chain Method (CCM)?

CPM determines schedule flexibility and the longest path using deterministic durations and float. CCM modifies the schedule to account for limited resources and adds buffers (project buffer, feeding buffers) to protect the target completion date against uncertainty.

Compare schedule crashing and fast tracking as schedule-compression techniques.

Crashing adds resources to critical activities to shorten duration, usually increasing cost. Fast tracking performs activities in parallel that were originally sequential, which adds risk and may cause rework. Both apply to the critical path.

What is a schedule baseline?

The schedule baseline is the approved version of the schedule model, used as the basis for comparison to actual results. It can be changed only through formal change control procedures.

Name three cost-estimating techniques used in 'Estimate Costs.'

Analogous estimating, parametric estimating, bottom-up estimating (and three-point/PERT for cost). Also reserve analysis for contingency reserves.

Distinguish contingency reserves from management reserves.

Contingency reserves cover identified ('known-unknown') risks; they are part of the cost baseline and controlled by the project manager. Management reserves cover unforeseen ('unknown-unknown') work; they are part of the total project budget but outside the cost baseline and require management approval to use.

What is the difference between the cost baseline and the project budget?

The cost baseline is the approved, time-phased budget (work-package estimates + contingency reserves) used to measure performance. The project budget is the cost baseline plus management reserves. Thus: $$\text{Project Budget} = \text{Cost Baseline} + \text{Management Reserve}$$

How is the cost baseline built up from the bottom?

Activity cost estimates + activity contingency = work-package cost estimates; work packages + their reserves = control account estimates; control accounts + contingency reserve = cost baseline; cost baseline + management reserve = project budget.

What shape does the cumulative cost baseline (S-curve) take, and why?

It is an S-shaped curve. Spending is slow at the start (few resources), accelerates during the middle execution phase (peak activity), and levels off near the end (closeout), producing the characteristic 'S.'

Define the four core EVM values: PV, EV, AC, and BAC.

PV (Planned Value) = budgeted cost of work scheduled. EV (Earned Value) = budgeted cost of work actually performed. AC (Actual Cost) = actual cost of work performed. BAC (Budget at Completion) = total planned budget for the project.

Write the formulas for Schedule Variance (SV) and Cost Variance (CV) and interpret their signs.

$$SV = EV - PV \qquad CV = EV - AC$$ Positive is favorable (ahead of schedule / under budget); negative is unfavorable (behind schedule / over budget); zero is on plan.

Write the formulas for SPI and CPI and state what each value means.

$$SPI = \frac{EV}{PV} \qquad CPI = \frac{EV}{AC}$$ A value $> 1$ is favorable, $= 1$ is on plan, and $< 1$ is unfavorable for schedule (SPI) or cost (CPI) performance.

Give the standard EAC formula assuming current cost performance (CPI) will continue.

$$EAC = \frac{BAC}{CPI}$$ This estimate at completion projects the total cost assuming the project continues at its cumulative CPI.

Give the formulas for ETC and VAC in Earned Value Management.

Estimate to Complete: $$ETC = EAC - AC$$ Variance at Completion: $$VAC = BAC - EAC$$ VAC is the projected budget surplus (positive) or overrun (negative).

Write the To-Complete Performance Index (TCPI) formula based on the BAC and explain its use.

$$TCPI = \frac{BAC - EV}{BAC - AC}$$ It is the cost-efficiency that must be achieved on remaining work to meet the BAC. If $TCPI > 1$, the remaining work must be done more efficiently than planned.

A project has EV = \$800, PV = \$1000, AC = \$1000. Compute CV, SV, CPI, and SPI, and interpret.

$CV = 800 - 1000 = -\$200$ (over budget); $SV = 800 - 1000 = -\$200$ (behind schedule); $CPI = \frac{800}{1000} = 0.8$; $SPI = \frac{800}{1000} = 0.8$. The project is both behind schedule and over budget.

What is the purpose of the 'Plan Quality Management' process?

To identify quality requirements and standards for the project and its deliverables, and to document how the project will demonstrate compliance with those requirements. It is done in the Planning process group.

Distinguish quality from grade.

Quality is the degree to which a set of inherent characteristics fulfills requirements (conformance to spec). Grade is a category assigned to deliverables having the same functional use but different technical characteristics. Low quality is always a problem; low grade may be acceptable.

Differentiate the cost of conformance from the cost of nonconformance (Cost of Quality).

Cost of conformance is money spent to prevent failures—prevention costs (training, processes) and appraisal costs (inspection, testing). Cost of nonconformance is money spent because of failures—internal failure costs (rework, scrap) and external failure costs (warranty, liability, lost business).

Compare Quality Assurance (QA) and Quality Control (QC).

QA (Manage Quality) is process-oriented and proactive—auditing processes and improving them to ensure appropriate quality standards are used (prevention). QC (Control Quality) is product-oriented and reactive—inspecting/measuring deliverables to verify conformance (inspection). QA prevents defects; QC finds defects.

In which process groups do Plan Quality Management, Manage Quality (QA), and Control Quality (QC) occur?

Plan Quality Management is in Planning; Manage Quality (Quality Assurance) is in Executing; Control Quality (Quality Control) is in Monitoring and Controlling.

What is the difference between prevention and inspection in quality?

Prevention keeps errors out of the process (build quality in). Inspection keeps errors from reaching the customer by examining the output. The principle 'prevention over inspection' means it is cheaper to prevent mistakes than to find and fix them later.

Distinguish attribute sampling from variable sampling in quality control.

Attribute sampling evaluates results on a binary basis—the result either conforms or does not (pass/fail). Variable sampling rates results on a continuous scale that measures the degree of conformity (e.g., a measured dimension).

What are the '7 Basic Quality Tools' (Ishikawa's seven)?

Cause-and-effect (Ishikawa/fishbone) diagrams, flowcharts, check sheets, Pareto diagrams, histograms, control charts, and scatter diagrams.

What does a Pareto diagram show, and what principle underlies it?

A Pareto diagram is a histogram ordered by frequency of occurrence that shows how many defects were generated by each identified cause. It reflects the 80/20 principle: roughly 80% of problems stem from about 20% of the causes, focusing effort on the 'vital few.'

What is a control chart, and what do the control limits versus specification limits represent?

A control chart displays process data over time to determine whether a process is stable and predictable. Control limits (typically $\pm 3\sigma$) are set by the process's natural variation; specification limits reflect customer requirements. A process can be in control yet still fail to meet specifications.

State the 'Rule of Seven' and the 'out of control' condition on a control chart.

A process is out of control if a data point falls outside the upper or lower control limit, OR (Rule of Seven) if seven or more consecutive points fall on one side of the mean, indicating a non-random pattern that should be investigated even though no point breached a limit.

What is a cause-and-effect (Ishikawa/fishbone) diagram used for?

It is used to trace an undesirable effect (the problem, at the fish's 'head') back to its root causes by branching potential contributing causes (e.g., categories like methods, machines, materials, people, environment, measurement) off the spine.

What is Make-or-Buy analysis, and in which knowledge area is it used?

Make-or-Buy analysis is a general management technique used to determine whether particular work should be accomplished by the project team (make) or purchased from outside sources (buy). It is used in the Plan Procurement Management process (Project Procurement Management).

What cost comparison underlies a basic make-or-buy decision, and how is the break-even quantity found?

Compare the total cost to make versus the total cost to buy. Each option has fixed and variable (per-unit) costs; the break-even quantity is where total make cost equals total buy cost: $$FC_{make} + v_{make} Q = FC_{buy} + v_{buy} Q$$ Below break-even one option is cheaper; above it, the other.

In a make-or-buy decision, buying is favored under what circumstances (give two).

Any two of: the organization lacks the required expertise, capacity, or resources; the work is not part of core competencies; buying is cheaper over the needed volume; time constraints require faster delivery; or transferring risk to a seller is desirable.

Buy option: \$10{,}000 fixed + \$50/unit. Make option: \$30{,}000 fixed + \$30/unit. At what quantity are the costs equal?

Set $10{,}000 + 50Q = 30{,}000 + 30Q$, so $20Q = 20{,}000$, giving $$Q = 1000 \text{ units.}$$ Below 1000 units buying is cheaper; above 1000 units making is cheaper.