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PMP EXAM GUIDE Project Management Professional PANKAJ SHARMA PMP,PRINCE 2 PRACT

PMP EXAM GUIDE Project Management Professional PANKAJ SHARMA PMP,PRINCE 2 PRACTIONER 2011 PMP EXAM GUIDE 2 PANKAJ SHARMA Project Management Body of Knowledge, Fourth Edition (PMBOK® Guide) ©2008 Project Management Institute, Inc. PMP® EXAM GUIDE PMP EXAM GUIDE 3 ABOUT THE AUTHOR Pankaj Holds Master degree in computer engineering from Birla Institute of technology and Science, Pilani (India) and is a certified PMP, ITIL v3 and a Prince2 practitioner. Enriched with long industry experience, coupled with excellent professional track record, Pankaj is extremely passionate about sharing his professional knowledge and experience. He has coached employees from the companies IBM, Accenture, Deloitte, Birlasoft, HCL, TCS and Indian defense forces (Army, Navy and Indian Air force). Presently he is Chief Technology Officer for Connoisseur Consulting Solutions Pvt Ltd and in the current role he is responsible for IT and business Strategy management. An energetic and enthusiastic project management consultant and trainer with over 15 years of practical „hands-on‟ project and program management experience in managing and directing mid and large sized IT program/projects involving distributed teams in Manufacturing, HR and healthcare verticals across US, Europe and UK geography. PMP EXAM GUIDE 4 CONTENTS OVERVIEW CONTENTS OVERVIEW ______________________________________________________________ 4 Introduction to PMP® Examination _______________________________________________ 7 Introduction to PMI® _______________________________________________________________ 8 Purpose of PMBOK® Guide __________________________________________________________ 8 Why Become a Certified PMP® ________________________________________________________ 9 PMP® Examination _________________________________________________________________ 9 PMI® Principles ___________________________________________________________________ 12 Project Management Framework _______________________________________________ 15 Project __________________________________________________________________________ 16 Why Projects Fail? ________________________________________________________________ 18 Project Management ______________________________________________________________ 18 Organizational Structure ___________________________________________________________ 22 The Project Life Cycle ______________________________________________________________ 24 Project Management Knowledge Areas _______________________________________________ 28 Project Integration Management _______________________________________________ 36 Project Integration Management ____________________________________________________ 37 Develop Project Charter ____________________________________________________________ 38 Develop Project Management Plan ___________________________________________________ 42 Direct and Manage Project Execution _________________________________________________ 43 Monitor and Control Project Work ___________________________________________________ 45 Perform Integrated Change Control __________________________________________________ 46 Close Project or Phase _____________________________________________________________ 48 Project Scope Management ____________________________________________________ 50 Project Scope Management _________________________________________________________ 51 Collect Requirements ______________________________________________________________ 52 Create WBS ______________________________________________________________________ 56 Verify Scope _____________________________________________________________________ 58 Control Scope ____________________________________________________________________ 59 PMP EXAM GUIDE 5 Project Time Management ____________________________________________________ 61 Project Time Management _________________________________________________________ 62 Define Activities __________________________________________________________________ 63 Sequence Activities _______________________________________________________________ 65 Estimate Activity Resources _________________________________________________________ 68 Estimate Activity Duration __________________________________________________________ 70 Develop Schedule _________________________________________________________________ 72 Control Schedule _________________________________________________________________ 77 Project Cost Management _____________________________________________________ 80 Project Cost Management __________________________________________________________ 81 Estimate Costs ___________________________________________________________________ 82 Determine Budget ________________________________________________________________ 85 Control Costs ____________________________________________________________________ 87 Earned value Management (EVM) ____________________________________________________ 88 Project Quality Management __________________________________________________ 93 Project Quality Management ________________________________________________________ 94 Plan Quality _____________________________________________________________________ 96 Perform Quality Assurance _________________________________________________________ 99 Perform Quality Control ___________________________________________________________ 101 Project Human Resource Management _________________________________________ 106 Project Human Resource Management_______________________________________________ 107 Develop HR Plan _________________________________________________________________ 108 Acquire Project Team _____________________________________________________________ 111 Develop Project Team ____________________________________________________________ 113 Manage Project Team ____________________________________________________________ 115 Organization Theories ____________________________________________________________ 118 Project Communication Management __________________________________________ 122 Project Communication Management _______________________________________________ 123 Identify Stakeholders _____________________________________________________________ 124 PMP EXAM GUIDE 6 Plan Communication _____________________________________________________________ 126 Distribute Information ____________________________________________________________ 128 Manage Stakeholder Expectations __________________________________________________ 130 Report Performance ______________________________________________________________ 132 Project Risk Management ____________________________________________________ 135 Project Risk Management _________________________________________________________ 136 Plan Risk Management____________________________________________________________ 137 Identify Risks ___________________________________________________________________ 139 Perform Qualitative Risk Analysis ___________________________________________________ 142 Perform Quantitative Risk Analysis __________________________________________________ 145 Plan Risk Responses ______________________________________________________________ 148 Monitor and Control Risks _________________________________________________________ 151 Project Procurement Management _____________________________________________ 154 Project Procurement Management __________________________________________________ 155 Plan Procurements _______________________________________________________________ 156 Conduct Procurements____________________________________________________________ 159 Administer Procurements _________________________________________________________ 161 Close Procurements ______________________________________________________________ 163 Professional Responsibility and Ethics___________________________________________ 166 Introduction ____________________________________________________________________ 167 Ensure Integrity _________________________________________________________________ 167 Contribute to PM Knowledgebase and Community _____________________________________ 167 Respect Diversity ________________________________________________________________ 168 PMP EXAM GUIDE 7 Introduction Introduction to PMP® Examination Introduction to PMP® Examination Introduction to PMP® Examination  Introduction to PMI®  Purpose of Guide to PMBOK® Guide  Why Become a Certified PMP®  PMP® Examination  PMI® Principles PMP EXAM GUIDE 8 Introduction to PMI®  PMI is headquartered in USA, founded in 1969  World‟s leading not-for-profit project management association  Over 288,000 Members across 170 countries  Advocates Best Practices in Project, Program and Portfolio Management  Credentials  Certified Associate in Project Management (CAPM®)  Project Management Professionals (PMP®)  Program Management Professional (PgMP®)  PMI® Risk Management Professional (PMI-RMP®)  PMI® Scheduling Professional (PMI-SP®) Purpose of PMBOK® Guide  The SUM of knowledge within the profession of project management  Includes widely applied practices and innovations  Constantly evolving  The knowledge and practices are applicable to most projects  PMBOK® Guide is used as a reference for professional development programs  Structure of PMBOK® Guide  Section I – The Project Management Framework  Section II – The Standard for Project Management of a Project  Section III – The Project Management Knowledge Areas PMP EXAM GUIDE 9  Program based on Newly Launched Fourth Edition of PMBOK® Guide Why Become a Certified PMP®  Widely recognized Project Management Certification  Worldwide Recognition of your knowledge of Project Management  Demonstrates Proof of Professional Achievement  Improves the way you manage your Projects  Increases your Marketability  Displays your willingness to pursue Growth  Increases Customer Confidence  Valued Globally across Industry Verticals & Companies PMP® Examination PMP EXAM GUIDE 10 PMP® Examination Source: PMI® Credential Handbook PMP® Examination – Type of Questions  Scenario based  Situational  Using attached illustrations such as Network Diagram  Definitions  Fill in the Blanks  Formulas and Computing PMP EXAM GUIDE 11  Negative descriptors such as Except  Two likely Answers Roadmap to Become a PMP® PMP EXAM GUIDE 12 PMI® Principles  A Project does NOT exists without a CHARTER  The Project Scope includes all of the work and ONLY the work  Activities are estimated by the Team  Lessons learnt are collected throughout the Project  Establish the extent of completion if the Project is terminated prematurely  Work Breakdown Structure is the basis for all planning activities  Quality is not an afterthought….it should be BUILT-IN  Project Management Plan drives how the Project work will be carried out  Risks are identified throughout the Project  Identify all Stakeholders to prevent Changes  Use Historical Information for Planning  Project Manager spends most of his/her time Communicating  Save Scope, Schedule and Cost baselines for comparison  Protect the Buyer and the Seller relationship to work as a Team  Set-up formal Change Control System  Prefer Preventive actions over Corrective actions  Project Manager should preserve his integrity PMP EXAM GUIDE 13 PMP EXAM GUIDE 14 Chapter 1 Project Management Framework Project Management Framework  Projects and Operations  Project Management  Organizational Structure  Project Life Cycle  PMBOK® Guide Knowledge Areas PMP EXAM GUIDE 15 Project Management Framework Project Management Framework Learning Objectives After the completion of this chapter, the learner will be able to:  Explain the PMBOK® Guide project management concepts  Explain why projects are undertaken  Describe the phases of the project life cycle  Describe the five project management process groups  Name the nine knowledge management areas  Map the process groups and the nine knowledge areas PMP EXAM GUIDE 16 Project Definition as per PMBOK® Guide A project is a temporary endeavor undertaken to create a unique product or service. All organizations perform work as projects or as operations. There is a thing line between the two but still both share the following common characteristics:  Are performed by people  Constrained by resources  Are planned, executed and managed Temporary Temporary means that every project has a definite beginning and end. It does not mean that the duration is short. Some projects can last for years. The projects end when the objectives of the project have been achieved or it is clear that the project objectives cannot be met. Unique Unique means that the product or service or result is different from other product or service or result. Projects are unique even if the category of the product it creates is a large domain. For example, buildings are constructed but every such building that is created is unique because of the difference in location, raw materials, contractors, and so on. Progressive Elaboration You learn about the project as it progresses. The specifications of the product become clear as you move further and requirements become clearer. This is also called proceeding in steps. Example of Projects  Building a new office  Designing a new product or service  Creating an advertisement campaign  Creating a new process with a business unit PMP EXAM GUIDE 17  Moving from one building to another  Designing a space vehicle Project  A temporary endeavor – means that every project has a definite beginning and end.  Unique means that the product or service or result is different from other product or service or result.  Progressively elaborated - proceeding in steps Projects versus Operations Operations are ongoing and produce repetitive products, services, or results. Operations work is ongoing that sustains the organization over time.  Operations and projects differ in the uploads/Management/ pmp-exam-guide 1 .pdf