Qube Project Management Leaning Guide Book

Method Project Management
Methodology (MPMM)
Guide Book
Method Project Management Methodology Page 1 of 110

No part of this publication may be reproduced, transmitted, transcribed, stored in
a retrieval system or translated into any language in any form by any means without the written permission of the author.
Table of Content
1 INTRODUCTION 4
1.1 WHAT IS A PROJECT? 4

1.2 WHAT IS PROJECT MANAGEMENT? 4
2 THE PROJECT LIFECYCLE 5
2.1 PROJECT INITIATION 7

2.1.1 DEVELOP A BUSINESS CASE 8
2.1.2 UNDERTAKE A FEASIBILITY STUDY 9
2.1.3 ESTABLISH THE PROJECT CHARTER 9
2.1.4 APPOINT THE PROJECT TEAM 17
2.1.5 SET UP THE PROJECT OFFICE 20
2.1.6 PHASE REVIEW - INITIATION 20
2.2 PROJECT PLANNING 23
2.2.1 CREATE A PROJECT PLAN 24
2.2.2 CREATE A RESOURCE PLAN 28
2.2.3 CREATE A FINANCIAL PLAN 31
2.2.4 CREATE A QUALITY PLAN 34
2.2.5 CREATE A RISK PLAN 36
2.2.6 CREATE AN ACCEPTANCE PLAN 41
2.2.7 CREATE A COMMUNICATIONS PLAN 42
2.2.8 CREATE A PROCUREMENT PLAN 44
2.2.9 PHASE REVIEW - PLANNING 47
2.3 PROJECT EXECUTION 50
2.3.1 BUILD DELIVERABLES 52
2.3.2 MONITOR AND CONTROL 53
2.3.3 PERFORM TIME MANAGEMENT 54
2.3.4 PERFORM COST MANAGEMENT 57
2.3.5 PERFORM QUALITY MANAGEMENT 61
2.3.6 PERFORM CHANGE MANAGEMENT 64
2.3.7 PERFORM RISK MANAGEMENT 67

2.3.8 PERFORM ISSUE MANAGEMENT 70
2.3.9 PERFORM PROCUREMENT MANAGEMENT 73
2.3.10 PERFORM ACCEPTANCE MANAGEMENT 77
2.3.11 PERFORM COMMUNICATIONS MANAGEMENT 81
2.3.12 PHASE REVIEW - EXECUTION 84
2.4 PROJECT CLOSURE 87
2.4.1 PERFORM PROJECT CLOSURE 87
2.4.2 REVIEW PROJECT COMPLETION 90
3 MPMM CONTENT 98
3.1 ROADMAP 98
3.2 PROJECT SIZING 99
3.3 BEST PRACTICES 101
3.4 GLOSSARY 107

1 Introduction
Welcome to the Method123 Project Management Methodology (MPMM) Guide Book. This Methodology
explains how to initiate, plan, execute and close projects successfully. By adopting this methodology for
your projects, you will greatly improve your likelihood of delivering projects on time, within budget and to
specification by using best practice Project Management processes.
So let's get started...
1.1 What is a Project?

A project is a unique endeavor to produce a set of deliverables within clearly specified constraints of time,
cost and quality. Projects are different from business Operations, in terms of uniqueness, timescale,
budget, resources, risk and change.
Uniqueness. Every project is different from the last, whereas operational activities typically involve
repetitive (if not identical) processes.
Timescale. A project has clearly specified start and end dates within which deliverables are produced to
meet the customer's requirements.
Budget. A project has a maximum limit to the expenditure within which the deliverables must be
produced, to meet the customer's requirement.
Resources. A project is allocated a specified amount of labor, equipment and materials at the start.
Risk. A project entails uncertainty and therefore carries business risk.
Change. The purpose of a project is typically to improve an organization through the implementation of
business change.
1.2 What is Project Management?

Project Management is the utilization of skills, tools and management processes to undertake a project
successfully. A project management methodology includes:
A Set of Skills. Specialized knowledge, skills and experience help reduce a project's level of risk and
thereby increase its likelihood of success.
A Suite of Tools. Project Managers use various types of tools to improve a project's success rate.
Examples include; templates, forms, registers, software and checklists.
A Series of Processes. A suite of management processes are needed to monitor and control the project,
such as time management, cost management, quality management, change management, risk
management and issue management.

2 The Project Lifecycle
A Project Lifecycle is defined as a series of phases undertaken to deliver a required project outcome. The
Method123 Project Management Lifecycle consists of four phases, as depicted by the following diagram:
Project Initiation
To formally initiate a project, the team must first define the purpose and structure of the project. Defining
the projects' scope, purpose, objectives, deliverables, resources, timescales and structure gives the team
a clear view of the boundaries within which they must deliver project outcomes to meet the customer's
requirements. Setting a clear direction at the start is critical to its ultimate success.
The first step needed to set the project direction is to develop a Business Case, which includes a
description of all of the possible solutions to be delivered by the project and a cost/benefit analysis for
each. By undertaking a Feasibility Study, you can ensure that a recommended solution is chosen which is
feasible and has an acceptable level of risk. Once you have chosen a solution, the next step is to define
the Project Charter - which describes the boundaries for delivering that solution. Next comes the
appointment of the project team and the establishment of the Project Office environment.
By now, with your project clearly defined, a suitably skilled project team appointed and a functional Project
Office environment, you will have all of the right ingredients needed to deliver a successful project. The
final step of the Initiation phase involves undertaking a Phase Review to request approval to proceed to
the Planning phase.

Project Planning
The first step of the Planning phase is the creation of a detailed Project Plan. The Project Manager will refer
to this plan throughout the project to monitor and control time, cost and quality - the three core tenets of
Project Management. The Project Manager will then create a:
Resource Plan to identify the amount of labor, equipment and materials needed
Financial Plan to quantify the financial expenditure incurred for completion
Quality Plan to set quality targets and list Quality Assurance and Quality Control methods
Risk Plan to identify risks and plan actions needed to mitigate them
Acceptance Plan to specify the customer's criteria for accepting deliverables
Procurement Plan to identify the resources and timeframes for outsourcing to external suppliers
Selection Process to list the steps needed to select preferred suppliers
Statement of Work (SOW) to document the procurement requirements of the project

Request for Information (RFI) to request general information from interested suppliers
Request for Proposal (RFP), to request detailed proposals from shortlist suppliers
Formal Supplier Contract, to contract the preferred suppliers to the project
A Phase Review is undertaken to enable the Project Sponsor to assess the deliverables produced to date
and approve the start of the Project Execution phase.
Project Execution
In this phase, the project team physically constructs each deliverable. While the deliverables are being
built, the Project Manager monitors and controls the project delivery by undertaking:
Time Management: Tracking and recording time spent completing project tasks against the Project Plan
Cost Management: Identifying and recording costs (i.e. expenses) against the project budget
Quality Management: Reviewing the quality of the deliverables and management processes
Change Management: Reviewing and implementing requests for changes to the project
Risk Management: Assessing the level of project risk and undertaking risk mitigating actions
Issue Management: Identifying and resolving project issues, wherever possible
Procurement Management: Receiving and accepting procurement items and managing supplier
performance
Acceptance Management: Identifying the completion of deliverables and gaining the customers
acceptance
Communications Management: Keeping project stakeholders informed of project progress, risks and
issues
Once the customer has accepted all the deliverables and you have performed a Phase Review to determine
whether the project has achieved its objectives, the project is then ready for closure.

Project Closure
Closing a project formally involves a reasonable amount of work. First, a Project Closure Report is created
to list all of the actions required to close the project. When the Project Sponsor has approved this report,
the actions listed are completed to release project resources, hand over deliverables, close the Project
Office and inform all stakeholders that the project is now closed.
Between one and three months after the project has been closed, an independent party conducts a Post-
Implementation Review to determine the project's overall success and to identify whether the business
actually realized the benefits stated in the original Business Case. Any lessons learned are also
documented for future projects.
2.1 Project Initiation

Project Initiation is the first phase in the Project Lifecycle and essentially involves starting up the project.
You initiate a project by defining its purpose and scope, the justification for initiating it and the solution to
be implemented. You will also need to recruit a suitably skilled project team, set up a Project Office
environment and perform a Phase Review before you proceed to the second phase of the Project Lifecycle:
Project Planning.
The Project Initiation phase involves the following six key steps:
1. Develop a Business Case

2. Undertake a Feasibility Study
3. Establish the Project Charter
4. Appoint the Project Team
5. Set up a Project Office
6. Perform Phase Review
Develop a Business Case. The first step in initiating a new project is the creation of a comprehensive
Business Case. A Business Case describes the business problem / opportunity to be addressed by the
project and the alternative solutions. The potential costs and benefits associated with each solution are
also included. The Business Case becomes the foundation for the project as it fully describes the project,
the reasons for creating the project and the key benefits to be produced by the project.
Undertake a Feasibility Study. A Feasibility Study is then completed to identify the likelihood of the
alternative solutions actually delivering the benefits stated in the Business Case. Based on the results of
the Feasibility Study and the Benefits and Costs portrayed in the Business Case, a preferred solution is
identified and approved by the Project Sponsor.
Establish the Project Charter. A new Project is then defined to deliver the approved solution. The
Project Charter are documented, which essentially describe what the project sets out to achieve and the
boundaries within which it must achieve it. The project vision, objectives, scope, deliverables, project
organization and an Implementation Plan are all clearly stated in the Project Charter document.

Appoint the Project Team. Now that the project is defined, it is time to appoint the team. The Project
Board is established and the Project Manager is recruited to take on responsibility for the project. The
Project Manager recruits the Team Leaders and they in turn help recruit project staff.
Set up a Project Office. The physical Project Office environment is established as the place of residence
for the team for the duration of the project. This environment will provide the physical premises,
equipment, materials, tools and processes required to enable the members of the project team to
undertake their roles successfully.
Perform Phase Review. With the project defined and the team appointed, you are ready to enter the
detailed Planning phase. A Phase Review is completed to ensure that all of the required Initiation activities
have been completed and to provide formal approval to proceed to the detailed Planning phase of the
project.
2.1.1 Develop a Business Case

In most commercial businesses, completing a Business Case is the first step towards initiating a project.
The Business Case justifies the start-up of the project and describes the:
Business problem (or opportunity) that currently exists in the business
Alternative options for delivering a solution to resolve the problem
Benefits and costs associated with each alternative solution
Recommended solution for approval
The following diagram depicts the steps involved in creating a Business Case:
The first step in creating a Business Case is to identify the business problem (or opportunity) that results
in a need for a project. Alternative solutions are listed and, based on each solution's individual merits, a
preferred solution is recommended. The last step taken when creating a Business Case is to define a plan
for the implementation of the agreed solution. At some point during or after the creation of the Business
Case, it may be necessary to undertake a Feasibility Study to ensure that the solutions identified can
feasibly be implemented.
Once the Business Case has been documented, it is presented to a Project Sponsor for approval. The
Project Sponsor oversees the project at a strategic level: they authorize the project to proceed, allocates
funding from their budget, and ensures that project objectives are achieved by participating in Phase
Reviews.
Creating a detailed Business Case is a critical step in the Project Lifecycle, as it provides the basis upon
which the project is initiated. Throughout the project, the Business Case is referred to frequently to ensure
that the project is on track. For instance, it is used in a:
Phase Review to ensure that current project costs and benefits are in line with original projections
Project Closure Report to ensure that the project has achieved all the criteria required to close the
project

Post Implementation Review to measure the extent to which the project has achieved its stated
objectives
2.1.2 Undertake a Feasibility Study

During the creation of a Business Case for your project, you may decide that you need to undertake a
Feasibility Study to determine the likelihood of the alternative solutions actually meeting the customer's
requirements. A Feasibility Study adds depth to a Business Case by researching the business problem in more
detail, identifying the requirements for a solution, and determining whether the alternative solutions are
likely to meet the requirements stated. The steps involved in undertaking a Feasibility Study are shown in
the following diagram:
You should always start a Feasibility Study by researching the business problem or opportunity that the
project addresses. You should then document the customer's requirements for a solution and complete a
Feasibility Assessment to measure the likelihood of each alternative solution actually meeting those
requirements. By ranking the results of the Feasibility Study, you can then recommend a preferred solution
for implementation, based on the overall feasibility rating.
Although you may conduct a Feasibility Study exercise before, during or after you complete the Business
Case for your project, it is usual to complete it as part of the Business Case process to add rigor to the
alternative solutions identified. Once the Feasibility Study is complete, it is presented to an identified Project
Sponsor for approval.
2.1.3 Establish the Project Charter

After you have completed the Business Case and Feasibility Study to select your preferred solution, you're
now ready to define the project that will deliver that solution to your customer. To formally define a new
project, you need to document its Project Charter. The Project Charter states the boundaries for
undertaking the project by describing its scope, organization and proposed implementation approach.
Specifically, it defines the:
Project vision, objectives, scope and deliverables (i.e. what you have to achieve)
Project stakeholders, roles and responsibilities (i.e. who will take part in it)
Proposed approach towards implementing the project (i.e. how it will be undertaken)
The following diagram depicts the steps involved in creating a Project Charter:
In some organizations, a Project Charter may also be referred to as a "TOR" or "Project Definition Report"
(PDR). Once the Project Charter has been documented, it is presented to an identified Business Sponsor
for approval.

Identify the Project Vision
The first step in establishing the project's Project Charter is to define the project vision. The vision
encapsulates the purpose of the project in a brief sentence and is the defined end goal for the project
team. In addition to the vision, you should also describe the objectives, scope and key deliverables, to
provide the stakeholders with a clear and unanimous view of the project direction. The following sections
explain in more detail how to set a clear project direction.
Vision
To ensure that all stakeholders are working towards a common goal, you will define a short, concise and
achievable project vision. Some examples of vision statements include:
"To procure and relocate to new work premises with capacity for 50 additional staff"
"To implement a robust, reliable financial management system within the business"
"To install a new telecommunications infrastructure between customer locations"
Objectives
Based on the vision, list three to five objectives to be achieved by the project. Each objective should be
Specific, Measurable, Achievable, Realistic and Time-bound (SMART). For example:
"To deliver new financial accounts payable and receivable processes, reducing processing timescales by
at least 30%"
"To build and relocate to brand new work premises with 50% more space, 30 more parking spaces and
20% fewer operational costs than the existing premises"
"To relocate the existing technology infrastructure at the new building premises within two days elapsed
time and with no impact on customer service delivery"
"To provide a new customer complaints service to enable customers to issue complaints online and
receive a direct response from the company within 24 hours"
"To install new accounts payable and receivable and payroll system modules within the existing
accounting system, thereby achieving 99.5% system up-time"
Scope
With a clear view of the Vision and Objectives of the project, it's time to create a comprehensive
description of the project scope. The scope defines the formal boundaries of the project by describing the
elements of the outcome - how the business will be changed or altered by project delivery.
For instance, if the purpose of the project was to deliver a new Financial Management System, then the
project would likely result in new roles and responsibilities, system functionality, data, financial processes
and reporting procedures. These changes within the business define the true scope of the project. Don't
fall into the trap many Project Managers fall into, using this section to define the scope of the internal
workings of the project (such as the phases, activities and tasks). Scope actually describes the project
outcome.
To ensure that all of the stakeholders have a clear understanding of the intended project outcome, you
need to identify the elements of the business that will be / will not be affected by the delivery of the
project. For instance, projects may result in changes to the following aspects of the business:

Structure (i.e. the functions of departments and reporting lines between departments)
Roles (i.e. the roles and responsibilities of departments and staff)
Competencies (i.e. the skills required to undertake the changed roles)
Processes (i.e. the operational processes and procedures within the company)
Products (i.e. the products and services which are offered to customers)
Systems (i.e. the technology platform and system applications used within the business)
Data (i.e. the information and data stored within and used by the business)
In addition to defining the scope of the changes within the business, you also need to define the scope of
the actual solution delivered by the project. You can achieve this by describing the makeup, purpose and
features of each of the components of the solution. Whether the project results in the delivery of a new
business process, a new product or service, a building, telecommunications infrastructure or other asset,
you need to provide a detailed description of the project outcome.
Creating an accurate and robust definition of the project's scope is a key step in delivering a successful
project. It helps you to manage requests for change throughout the Project Lifecycle. It also ensures that
the project team and the customer share a common understanding of what the project will deliver.
Deliverables
Now that you have defined the project scope, you need to describe each of the deliverables that the
project will produce. Create a list of project deliverables within the following table by itemizing and
describing their components:
Deliverable Components Description

List each of the key For each deliverable, itemize the major Create a detailed description
deliverables to be produced components to provide a complete view of of each deliverable and its
by the project. the deliverable's composition. components.
Initiation: Project Charter Deliverables Table
Describe the Project Organization

By defining the vision, objectives, scope and deliverables, you now have a solid view of the purpose of the
project and the outcome to be achieved. The next step is to identify the inner workings of the project by
listing the customers, stakeholders, roles, responsibilities and structure.
Customers
Identify the project customer(s). A customer is a person or entity that is responsible for accepting the
deliverables when the project is complete. Whether your project is delivering to one customer in one
organization or multiple customers across multiple organizations, you need to explicitly list the customer
entity (i.e. the organization, department or team) and name customer representatives, using the following
table:
Customer Entity Customer Representative

List the customer entities here, such as Identify the customer representative who will act as the
organizations, departments or teams. contact point for the customer group.

Initiation: Project Charter Organization Table
The success of the project will be primarily based on whether or not the deliverables produced match the
requirements of the customers identified in this table.
Stakeholders
Next, you need to identify the project stakeholders. A stakeholder is a person or entity outside the project
with a specific key interest or stake in the project. For example, a Financial Controller will be interested
in the financial implications of the project, and a CEO will be interested in whether the project helps
achieve the company vision. Examples of other project stakeholders include: company executives,
legislative and regulatory bodies and team members. Use the following table to list the key stakeholders
for the project:
Stakeholder / Group Stakeholder Interest

List each of the stakeholder groups, roles and individuals to Describe the specific interest each
describe those entities with a key interest in the project. stakeholder has in the success of the
project.
Initiation: Project Charter Stakeholders Table
Roles
Now that you have identified who has a vested stake in the success of the project, you need to list the key
roles involved in delivering the project. Examples of key roles include the Project Sponsor, Project Board
and Project Manager. Once you have identified these roles, describe the resource likely to fill them by
listing their names, organizations, and details of their assignment where possible.
Resource Assignment
Role Organization Assignment Date
Name Status
List each of the Where possible, Identify the State whether the List the date on which
key roles list the names of Company in which person is assigned or the person was
involved in the people who the person works. unassigned to the assigned or will be
delivering the will these roles. project at this point. assigned to the
project. project.
Initiation: Project Charter Roles Table
Note. At this stage, you only need to list the key roles that will carry the majority of responsibility within
the project. You do not need to define all the resources involved in the project. This step comes later when
you create a Resource Plan.
Responsibilities
It is critical that responsibilities for each of the key roles are agreed upon early in the Project Lifecycle.
Summarize each of the primary responsibilities of each role listed in the table above. Note. You only need
to provide a summarized list of the responsibilities at this stage; you will define a detailed list when you
create project Job Descriptions.
Structure
Once you have a clear view of the key roles involved in undertaking the project, you can depict the
reporting lines between each of those roles with a Project Organization Chart, like the following example:

Initiation: Project Charter Project Organization Chart
Plan the Approach to Implementation

You're almost there! You now have a complete understanding of what the project will need to achieve
and how it will be organized to achieve it. The final step in creating a Project Charter is to describe the
overall approach towards implementing the project.
Approach
Summarize the approach required to initiate, plan, execute and close the project, using the following
table:
Phase Overall Approach

Initiation Describe how the project will be further defined, the project team appointed and the Project
Office established.
Planning Define the project planning process to ensure that the phases, activities and tasks are
undertaken in a coordinated way.
Execution List the generic activities required to construct and implement each of the project
deliverables.

Closure Identify the steps required to release the deliverables to the business, close the Project
Office, reallocate project staff, terminate supplier contracts and perform a Post
Implementation Review (PIR).
Initiation: Project Charter Approach Table
Implementation Plan
To provide the Customer and Project Stakeholders with confidence that the project implementation has
been well thought through, create a generic Implementation Plan listing the phases, activities and
timeframes involved in undertaking the project. An example of an Implementation Plan is provided below:
Initiation: Project Charter Project Plan Table
Milestones
In addition to the Implementation Plan, List any important project milestones and describe why they are
critical to the project. A milestone is defined as an important event within the project, such as the
achievement of a key project deliverable, or an external event that impacts the project. Milestones are
typically used to inform Project Stakeholders of the key project delivery dates. For instance, the key
milestones for a construction project might be:
1. Foundations laid and framing complete
2. Roof built and external structure complete

3. Electrical and plumbing finished
4. Internal fit-out and landscaping complete
5. Customer acceptance gained and keys handed over
Milestone Date Description

List each of the key Identify the dates within which Describe each project milestone and explain
project milestones. each milestone must be why the milestone date is critical to the
completed. project
Initiation: Project Charter Project Milestones Table
Dependencies
List any external dependencies and their criticality to the project. An external dependency is defined as an
internal project activity that is likely to impact or be impacted by an activity or event external to the
project. List and describe the key external dependencies within the following table:
Project
Impacts On Impacted by Criticality Date
Activity
Identify the project List the external List the external Rate the criticality Specify any relevant
activity or event activity or event activity or event level of the external dates of the
that has an which will which will be dependency as Low, dependency, such as
external "impact on" the "impacted by" the Medium or High. the start and end
dependency. project project dates.
Initiation: Project Charter Project Dependencies Table
Note: A detailed Project Plan will be completed during the Planning phase of the project.
Resource Plan
Summarize the resources involved in undertaking the project, by listing the roles, start dates, end dates
and effort required.
Role Start Date End Date % Effort

List each of the key Specify the date by Specify the date until Specify the % of total project
roles within the which each role is which each role is time that each role will be
project. required. required. needed.
Initiation: Project Charter Resource Plan Table
Note: A detailed Resource Plan will be completed during the Planning phase of the project.
Financial Plan
Summarize the financial resources required to undertake the project by completing the following table:
Expenditure Category Expenditure Item Expenditure Value

List the categories of financial For each category, list the major For each item listed, estimate
expenditure, such as suppliers, items of expenditure such as the approximate amount of
equipment and materials salaries, training and contractor financial expenditure required.
expense. costs.
Initiation: Project Charter Financial Plan Table
Note: A detailed Financial Plan will be completed during the Planning phase of the project.

Quality Plan
Using the following table, briefly describe the management processes required to ensure project success.
Process Description
Time Management Outline how Time Management will be undertaken on this project.
Cost Management Outline how Cost Management will be undertaken on this project.
Quality Management Outline how Quality Management will be undertaken on this project.
Change Management Outline how Change Management will be undertaken on this project.
Risk Management Outline how Risk Management will be undertaken on this project.
Issue Management Outline how Issue Management will be undertaken on this project.
Procurement Management Outline how Procurement Management will be undertaken on this

project.
Acceptance Management Outline how Acceptance Management will be undertaken on this

project.
Communications Outline how Communications Management will be undertaken on this

Management project.
Initiation: Project Charter Quality Plan Table
Note: A detailed Quality Plan will be completed during the Planning phase of the project.
Completion Criteria
Next, list the criteria for project completion. Once these criteria have been met, the project will be
considered complete and ready for closure.
Completion Category Completion Criteria

List the categories of List the criteria, to be used at the end of the Project Lifecycle, to determine
completion criteria, such as whether the project is complete and ready for closure. Examples of
Objectives, Benefits and completion criteria include:
Deliverables. The project vision must have been achieved
All of the project objectives must have been met
The project must have resulted in the stated benefits
All the deliverables specified must have been produced
Initiation: Completion Criteria Table
List the Risks and Issues

The final step to complete your Project Charter is to identify any project risks, issues, assumptions and
constraints related to the project.
Risks
Risks are defined as events that may adversely affect the ability of the solution to produce the required
deliverables. List any apparent risks associated with the project by completing the following table.

Action to be Taken to
Risk Description Risk Likelihood Risk Impact
Mitigate Risk
List the apparent project Rate the likelihood Rate the impact of the List the actions needed to
risks, and for each risk of each risk as Low, risk on the project if it reduce the likelihood of the
describe the potential effect Medium or High. were to eventuate as risk, and the impact to the
on the project. Low, Medium or High. project should it eventuate.
Initiation: Project Charter Risks Table
Note: A detailed Risk Plan will be completed during the Planning phase of the project.
Issues
Issues are defined as events that currently adversely affect the ability of the solution to produce the
required deliverables. Summarize the highest priority issues associated with the project by completing the
following table.
Action to be Taken
Issue Description Issue Priority
to Resolve Issue
List and describe any current issues Prioritize the list of issues, based List each of the actions
associated with the project, such as a lack on their effect on the project. required to resolve the
of project funding or skilled resources to Assign Low, Medium and High to issue as quickly as
manage it. depict priority. possible.
Initiation: Project Charter Issues Table
Assumptions
Identify any key assumptions made about the project up to this point. For instance, it may be assumed
that you will be able to find appropriately skilled staff as required, or that additional funding will be
available if required.
Constraints
Take note of any major project constraints identified to date, such as limited budget, time or financial
resources.
And there you have it. By completing each of the steps above, you will have collated all of the necessary
materials required to document a comprehensive Project Charter.
2.1.4 Appoint the Project Team

At this point, you will have created a Business Case, undertaken a Feasibility Study and defined the Project
Charter for your project. You will have a sound understanding of the project vision, structure, activities
and general timeframes for delivery. You're now ready to take the first step to formally establishing the
project environment by recruiting the project team. While the recruitment activity is a standard business
function and does not need to be covered here in detail, we have described the general steps involved in
recruiting a team of skilled professionals for a typical project.
The following diagram depicts the steps involved in appointing the project team:

Regardless of company size or industry, most projects will undertake the above steps in order to recruit a
team of skilled and qualified staff. The first step involves identifying the roles involved in undertaking the
project, as well as the number of staff required to fill each role. The responsibilities of each role are then
listed and a formal recruitment process implemented to appoint people to the project.
The actual processes and procedures described here may be slightly different in your organization;
however, they will give you an insight into the tasks required to recruit a successful team for your project.
If you believe in the philosophy that "Great teams deliver great projects," then the activity of recruiting
the project team is a critical step towards delivering a successful project.
Note: At this stage, you need to recruit the key roles to the project, such as the Project Manager, Project
Sponsor and Board (if not already defined). You may also wish to recruit other staff to the project to help
you to undertake the remaining steps within the initiation and planning phases, however you may not
need "all staff on deck" at this point in the Project Lifecycle. Make sure you appoint staff to the project, in
accordance with the schedule provided in the Resource Plan.
List the Project Roles

The first step in appointing the project team is to define the generic roles within the project. The size of
the project will determine the number and types of roles to be appointed. For instance, large projects may
require the following full-time roles (as specified within the Project Charter):
Project Sponsor, Project Board, Project Manager
Project Administrator, Quality Manager, Procurement Manager
Communications Manager, Project Office Manager, Team Member
Small projects may combine several roles into one. For instance, the Project Manager may also be the
Quality Manager, Procurement Manager and Communications Manager.
Once you have a clear list of the roles to be filled, you need to specify the number of people to be
appointed to each role within the project. For example, most projects will required one Project Manager
and a number of Team Members.
Define the Responsibilities of each Role

With a clear understanding of the types of roles required and the number of staff required to fill each role,
you then need to summarize the key responsibilities of each role. An example is provided below:
Role Responsibilities
Project The Project Sponsor is responsible for:
Sponsor Defining the vision and high level objectives for the project
Approving the requirements, timetable, resources and budget
Authorizing the provision of funds and resources
Approving the Project Plan and Quality Plan
Chairing Project Board meetings
Project The Project Board is responsible for:

Board Assisting the Project Sponsor to define the project vision and objectives
Regularly reviewing the overall status of the project
Ensuring that key risks and issues are managed
Resolving key issues raised by the Project Manager

Approving any major changes in scope
Project The Project Manager is responsible for:

Manager Ensuring that project is undertaken in accordance with the planning documentation
Producing deliverables on time, within budget and to specification
Implementing management processes: time, cost, quality, change, risk, issue,

procurement, communication, and acceptance
Monitoring and reporting project performance: schedule, cost, quality and risk
Team The Project Team is responsible for:

Member Undertaking all tasks necessary to produce the required deliverables
Keeping the Project Manager informed of the progress of the project
Raising all risks and issues as they become apparent
Maintaining all change, risk, issue, procurement, acceptance and communications

registers throughout the Project Lifecycle
Initiation: Completion Criteria Table
For each of the roles listed in the above table, you need to create a detailed Job Description. A Job
Description is a document that describes the specific responsibilities for a project role. The purpose of a
Job Description is to clarify the scope of work that a particular role is responsible for undertaking, as well
as the skills, experience and qualifications needed to undertake the role effectively. It describes the:
General purpose of the role
Detailed responsibilities associated with the role
How the role fits into the project organization structure
The skills, experience and qualifications required
The performance criteria
The general work environment
The salary package being offered
A Job Description may also be referred to as a "Position Description."
Identify the Recruitment Process

By now, you will have a clear understanding of the roles required to undertake the project, and the
responsibilities, skills and experience required to fulfill them. The next step is to specify the process for
recruiting staff into the roles that need to be filled. Most companies already have specific processes for
recruiting staff for project roles, so there is no need to cover the recruitment process in detail here.
However to complete the picture, we have listed below the generic steps typically undertaken to recruit
staff to a project:
Review the list of positions available and the Job Descriptions for each position
Identify the target market from which to source applicants for each role (i.e. inside or outside the
business)
Decide on the method of recruitment (i.e. via a recruitment agency or through the internal HR
department)
Advertise the roles to the target market (e.g. within the business or to the external job market)
Review job applications and perform interviewing and testing processes

Undertake final interviews with short-listed applicants
Agree on formal contracts with successful applicants
Recruit the Project Staff

Once you have gained approval from the Project Sponsor to appoint new team members, it's time to
undertake each of the steps listed above to recruit suitably skilled applicants for each role in your project.
Make sure that you only recruit the staff needed to complete the immediate project steps. You may not
need to recruit all the staff required to complete the entire Project Lifecycle at this stage. Finally, make
sure that you comply with your company policies and procedures for recruitment of contract, part-time
and full-time staff to the project.
2.1.5 Set up the Project Office

The Project Office is the physical premise where Project Administration staff (e.g. the Project Manager and
support staff) reside. The Project Office also contains the communications infrastructure and information
technologies required to support the project.
Every project team relies on the tools, guidance and processes provided by the Project Office to undertake
its project tasks quickly and easily. So setting up and running an efficient Project Office environment is
critical to the success of the project. The Project Manager also depends on the Project Office team to
provide the information required to monitor and control the project effectively.
To establish a fully functional Project Office environment with all of the required tools and processes, you
will need to undertake the four key steps depicted in the following diagram:
Project Offices can come with many different names: Project Management Office, Project Support Office,
Program Office, Program Support Office, Program Management Office, Strategic Project Office, Strategic
Program Office, and more. Large organizations, which run multiple projects simultaneously, often even
have a permanent Project Office function within the business. Regardless of the name, organization and
number of projects undertaken, the core responsibilities of the Project Office environment (as described
below) are usually the same.
So what exactly is contained in a Project Office? The Project Office contains all the administrative staff
(usually including the Project Manager, Project Office Manager, Quality Manager and Procurement
Manager) as well as the tools, office equipment, communications equipment, documentation of project
processes and standards required to support the project throughout its lifecycle.
While it's common for the entire project team to be based in a single Project Office environment, in this
modern age, project teams are often dispersed throughout the world. In this case, a "virtual" Project Office
is formed, which relies heavily on technologies such as email, web access, remote dial-up software, mobile
phones, laptops and hand-held devices to facilitate communication among members of the project teams.
2.1.6 Phase Review - Initiation

The last step in the Project Initiation phase is the completion of a Phase Review. This review is undertaken
to determine whether all the planning activities and tasks have been successfully completed and to request

approval to proceed to the Planning stage of the project. The following diagram depicts the steps involved
in undertaking this review.
Phase Reviews are completed at the end of the Initiation, Planning and Execution phases, to review the
progress of the project to date and to seek approval to proceed to the next phase. There is no Phase
Review at the end of the Closure phase, because approval to close the project is covered in the Project
Closure Report.
The Project Manager documents the results of each Phase Review by using a Phase Review Form. In order
to obtain approval, he or she will usually present the project's current status to the Project Board for
consideration. The Project Board, which is chaired by the Project Sponsor, may then decide grant approval
to begin the next phase of the project, undertake further work in the existing phase of the project, or
cancel the project.
The following steps describe the procedures involved in undertaking a Phase Review for the Initiation
phase of the project.
Identify Phase Review Criteria

The first step in performing a Phase Review is to identify the review criteria. The criteria provide the basis
for assessing the overall performance of the project to date. Examples of Phase Review criteria for the
Initiation phase are provided in the following table:
Activities Has the business problem or opportunity been adequately defined?
Did the team research the environment that contains the problem or opportunity?
Were the key business drivers listed?
Do team members have a complete understanding of the business requirements?
Were a detailed set of alternative solutions identified?
Were the benefits and costs of each solution documented?
Was the feasibility of each solution assessed?
Were the risks and issues associated with each solution described?
Were the alternative solutions compared and rated fairly?
Was a recommended solution identified?
Is there a clear implementation approach for the recommended solution?
Has the team documented the project vision, objectives and scope?
Is there a clear set of project deliverables?
Have the project customers and stakeholders been identified?
Are all the roles and responsibilities within the project clear?
Is there a well-defined project structure?
Was a generic project schedule created?
Have the key milestones and dependencies been listed?

Is there a clear process for the recruitment of staff?
Have all project roles been fulfilled with appropriately skilled staff?
Was the role of the Project Office clearly defined?
Does the Project Office have all of the required resources?
Has the Project Office been established in a suitable location?
Have all the required Project Office tools been procured?

Deliverables Was a Business Case documented and approved?
Was a detailed Feasibility Study undertaken?
Has the Project Team been appointed?
Is the Project Office complete?

Summary Use the following performance criteria to identify the overall status of the project:
Is the project currently on schedule?
Is the project currently within budget?
Are there any critical project risks?
Are there any high priority issues?
Have there been any substantial changes?
Undertake Phase Review

You are now ready to conduct the Phase Review, to determine whether the above criteria have been
adequately satisfied. The Project Manager leads the completion of the Phase Review, to ensure that the
assessment is completed fairly and the result is accurately documented.
Complete Phase Review Form

The results of the Phase Review are collated by the Project Administrator and bound into a single
documentation set. The Project Manager will then summarize the results of the review, by completing a
Phase Review Form. Once completed, this form should be forwarded to the Project Sponsor for
consideration by the Project Board.
Seek Approval to Proceed

The Project Manager will present the Phase Review Form at a board meeting held specifically to discuss the
current status of the project and decide on its continuation. At this meeting, the Project Manager will
present:
The original project vision, objectives, scope and deliverables
The deliverables completed by the project to date
The progress of the project against the delivery dates
Any areas of slippage, in terms of time, cost and quality
Any key issues and risks that require attention
The Project Board will assess this information and reach one of the following conclusions:
Approve the project to proceed to the next phase of the project: Project Planning
Request that additional activities are undertaken within the existing project phase

Delay, transfer or close the project
Completing a Phase Review is a critical step in delivering a successful project. If Phase Reviews are not
undertaken formally within the Project Lifecycle, then the Project Board will have reduced control over the
progress of the project, thereby increasing the level of risk to the overall project delivery.
2.2 Project Planning

After defining the project and appointing the project team, you're ready to enter the detailed Project
Planning phase. This involves creating a suite of planning documents to help guide the team throughout
the project. The Planning Phase involves completing the following 10 key steps:
1. Create a Project Plan
2. Create a Resource Plan
3. Create a Financial Plan
4. Create a Quality Plan
5. Create a Risk Plan
6. Create an Acceptance Plan
7. Create a Communication Plan
8. Create a Procurement Plan
9. Contract the Suppliers
10. Perform Phase Review
Create a Project Plan. The creation of a comprehensive Project Plan is critical to the success of the project.
The Project Plan identifies the Work Breakdown Structure (WBS) of phases, activities and tasks to be
undertaken to complete the project. It identifies the sequencing, duration and dependencies of tasks as
well as the generic resources and financial expenditures required to complete the project.
Create a Resource Plan. Following the creation of a Project Plan, a detailed assessment of the resources
required to undertake the project should be made. The required labor, equipment and materials should be
listed and the amount of each resource quantified. Finally, the resource usage should be scheduled to
provide the Project Manager with a complete view of the total amount of resources needed for each stage
of the project.
Create a Financial Plan. The Financial Plan describes the total quantity of financial resources required
during each stage of the project. The total cost of each item of labor, equipment and materials is
calculated, as well as the total cost of undertaking each activity within the Project Plan.

Create a Quality Plan. To ensure that the project deliverables meet customer requirements, a Quality Plan
is developed. This plan explicitly lists the quality targets to be achieved, and a suite of Quality Assurance
and Quality Control activities are scheduled to ensure that the required level of quality is achieved
throughout the project.
Create a Risk Plan. Managing Project Risk is a critical process within the Project Lifecycle. To mitigate risk
effectively, all foreseeable project risks are identified and rated in terms of their likelihood of occurrence
and potential impact on the project. The risks are prioritized and a set of actions identified to reduce the
likelihood of each risk and its impact on the project should it occur.
Create an Acceptance Plan. The key to customer satisfaction is in gaining approval from the customer that
the deliverables meet the quality criteria stated in the Quality Plan. To ensure that customer acceptance is
sought for each deliverable produced by the project, an Acceptance Plan is created. The Acceptance Plan
provides a schedule of Acceptance Reviews which are undertaken to gain customer acceptance for the
completion of each deliverable within the project.
Create a Communication Plan. A Communications Plan is a document which describes the information to
be provided to project stakeholders to keep them informed of the progress of the project. Each
stakeholder is listed and their requirements for information clearly identified. A schedule of communication
events and activities are laid out to ensure that the right information is communicated to the right people
at the right time.
Create a Procurement Plan. Projects often need to acquire procurement items (such as products, services
and specific results) from external suppliers. The Procurement Plan describes which items will be sourced
from external suppliers and the timeframes and methods for delivery.
Contract the Suppliers. With a clear view of the procurement items to be acquired, the project team will
set out to select and contract one or a small number of preferred suppliers to the project. This may
involve:
Defining a Selection Process to select the preferred suppliers
Issuing a Statement of Work to document the procurement requirements of the project
Issuing a Request for Information to a group of potential suppliers to allow them to register their
interest in supplying the project
Issuing a Request for Proposal to a short-list of suppliers to allow them to submit a formal proposal for
supplying the project
Negotiating Supplier Contracts to agree on a set of responsibilities, terms and conditions for the supply
of products to the project
Perform Phase Review. With a detailed understanding of the activities, resources, finances and supplier
relationships required to undertake the project, the team is ready to enter the Execution phase. A Phase
Review is undertaken to ensure that all of the required Planning activities have been completed and to
provide formal approval to proceed to the Project Execution phase
2.2.1 Create a Project Plan

The first step in the Project Planning phase involves the creation of a Project Plan. This plan acts as a
"yard stick" for the project by providing the basis used to regularly assess the performance of the project.
The Project Plan includes a complete list of the activities required to complete the project, as well as the
milestones, dependencies, resources and timeframes involved in undertaking the project. The following
diagram depicts the steps involved in creating a Project Plan:

To create a Project Plan, you first need to define the Work Breakdown Structure (WBS). In the WBS you
will list the phases, activities and tasks involved in undertaking the project, along with key project
milestones. You will quantify the human resources required to carry out each activity listed. You will
construct a Project Schedule, which describes the flow of project activities and the timeframes involved.
And you will list any planning assumptions and constraints.
Creating a comprehensive Project Plan is a critical step in the Project Lifecycle, as it is used to:
Monitor and control the overall progress of the project
Create the resource, financial and quality plans for the project
Help the Project Manager identify any task slippage and budget overruns
Determine whether the project activities are complete and the project is ready for closure
Assess the level of success of the project after it has been closed
The following sections describe how to complete these steps in more detail.
Define the Work Breakdown Structure

The first step in making a detailed Project Plan for your project is to create a comprehensive Work
Breakdown Structure (WBS). The WBS lists all the phases, activities and tasks required to undertake the
project.
Phases
A phase is defined as a set of activities to be undertaken to deliver a substantial portion of an overall
project. List and describe each project phase in the following table.
Phase Title Phase Description Phase Sequence

List Phase titles (e.g. Initiation, Describe the purpose and key Number each Phase in sequence, to
Planning, Execution, Closure). outcomes of each Phase. show the order in which Phases occur.
Project Planning: Project Phases Table
Activities
An activity is defined as a set of tasks which are required to be undertaken to complete a portion of a
project. List each project activity in the following table, describe the activity and identify the sequencing
order where appropriate.
Activity
Phase Title Activity Title Activity Description
Sequence
List the phase with which List the title of Describe the purpose and key Number each Activity
the Activity corresponds. each Activity. outcomes of each Activity. in sequence.
Project Planning: Project Activities Table
Tasks
A task is defined as an item of work to be completed within a project. An activity is defined as "a set of
tasks which are required to be undertaken to complete a portion of a project." List each project task in the

following table, describe the task and identify the sequencing order where appropriate.
Activity Title Task Title Task Description Task Sequence
List the Activity that the List the title of Describe the purpose and key List the Task
Task corresponds with each Task outcomes of each Task sequence number
Project Planning: Project Tasks Table
The above phase, activity and task lists comprise the Work Breakdown Structure (WBS) for the project. As
well as creating the WBS, you also need to specify any critical project milestones.
Milestones
A milestone is defined as an important event within a project, such as the achievement of a key project
deliverable. List each project milestone in the following table, describe the milestone and record the date
on which it is likely to occur.
Milestone Title Milestone Description Milestone Date
List the title of each Describe the Milestone and why it is an List the date on which the
Milestone. important event within the project. Milestone is likely to occur.
Project Planning: Project Milestones Table
Identify the Required Resources

Having listed all the tasks required to undertake the project, you now need to identify the generic
resources required to complete each task, as described in the table below. Note: you will create a detailed
list of the resources required to undertake the project when you Create a Resource Plan.
Task Title Resource Effort
List the title of each List the project team Quantify the approximate amount of effort (e.g.
Task in the project. responsible for the completion days, weeks and months) required to complete
of the Task. the Task.
Project Planning: Project Resources Table
Construct a Project Schedule

You have now collated all the information required to build a detailed Project Schedule.
Project Schedule
Create a detailed project schedule by listing the phases, activities and tasks required to complete the
project, as well as the dependencies, sequencing and resources involved. A brief example of a Project
Schedule follows:

Project Planning: Project Schedule
Dependencies
Dependencies are "logical relationships between phases, activities or tasks that influence the way in which
a project will be undertaken." They may be either internal to the project (e.g. between project activities)
or external to the project (e.g. a dependency between a project activity and a business activity). Four
types of dependencies exist:
Finish-to-start (i.e. the item this activity depends on must finish before this activity can start)
Finish-to-finish (i.e. the item this activity depends on must finish before this activity can finish)
Start-to-start (i.e. the item this activity depends on must start before this activity can start)
Start-to-finish (i.e. the item this activity depends on must start before this activity can finish)
Identify any key dependencies in the Project Schedule, and list them in the following table.
Activity Title Depends on Dependency Type
Identify each project activity List the item upon which Identify the type of this Dependency
involved in the Dependency. this activity is dependent. (e.g. Start-to-Start or Start-to-Finish).
Project Planning: Project Dependencies Table
Assumptions
List any assumptions made during this planning process. For example, it may be assumed that:
"The project will not change in scope."

"The resources identified will be available upon request."
"Approved funding will be available upon request."
Constraints
List any constraints identified during this planning process. For example:
"The project team must create all the physical deliverables within the allocated budget."
"Work must be undertaken within normal working hours only."
2.2.2 Create a Resource Plan

Following the completion of a Project Plan, the next step in the Planning phase is to create a detailed
Resource plan for the project. A Resource Plan describes the physical resources required to successfully
complete the project. It includes a list of the type of resources - such as labor, equipment and materials -
and a schedule of times when each resource will be utilized. The following diagram shows the steps
involved in creating a Resource Plan:
To create a Resource Plan, you first need to identify all the types of resources needed to complete the
project. You then need to quantify the amount of each type of resource, identify when each resource will
be utilized and list any assumptions and constraints made during this resource planning process.
If you have followed the MPMMTM Project Lifecycle up to this point, then you have already listed the generic
resources needed by the project in the Business Case, Project Charter and Project Plan. You can now use
these lists to create the detailed Resource Schedule for your project.
For a very small project, you can simply take each activity listed in the Project Plan and assign a resource
to it. This is easily done using a planning tool such as Microsoft Project. For larger, more complex projects
a full Resource Plan (as described here) will help ensure that the type and amount of resources, and the
timeframes for their use are all accurately identified. The following sections describe in more detail how to
create a Resource Plan.
List the Resource Required

The first step taken to create a comprehensive Resource Plan is to document a detailed list of all the
individual resources needed to complete the project. Start by listing each of the major resource groups
(e.g. Labor, Equipment and Materials). Then for each group, list the individual resources needed as
follows:
Labor. Identify all the roles involved in undertaking the project. You should identify and list any role to
be appointed within the project, as well as any contracting or business role required. You should list any
role which is responsible for or involved with the completion of an activity specified in the Project Plan,
whether the role is an internal or external to the project.
Equipment. Identify all of the equipment involved in undertaking the project. Equipment may include
office equipment (e.g. PCs, photocopiers, mobile phones), telecommunications equipment (e.g. cabling,
switches), and machinery (e.g. heavy and light machinery). If you need to use a particular piece of
equipment to complete any activity within the project, list it here.

Materials. Projects often need to use non/consumable materials to complete project activities, such as
office materials (e.g. photocopy paper, stationery, ink cartridges) and materials required to build
physical deliverables (e.g. wood, steel and concrete). Create a detailed list of every type of material
required to undertake the project.
Make sure that you create as detailed and accurate a list as possible, since the Resource Schedule and
Expense Schedule will be based primarily on this list.
Quantify the Resource Required

With a detailed list of the resources needed to undertake the project, the next step is to quantify the
amount of each type of resource needed, as follows.
Labor
Using the following table, list all the roles required to undertake the project. Identify the number of people
required to fill each role. Describe the responsibilities and skills needed to undertake each role
successfully. Also specify the timeframe during which the role will exist.
Start End
Role Number Responsibilities Skills
Date Date
List each Identify the Provide a summarized list Provide a List the List the
project number of full- of responsibilities for each summarized list of start date end date
role. time people role. the skills required to for the for the
required for each fulfil each role. role. role.
role.
Project Planning: Labor Listing Table
Equipment
Using the following table, list each item of equipment required to undertake the project. Quantify the
amount of each item needed. Describe the purpose and specifications of each item. Also specify the
timeframe for which the equipment will be required.
Item Amount Purpose Specification Start Date End Date
List each Identify the Describe the Describe the List the date List the date
item of amount of each purpose of specifications of by which the upon which the
equipment. item of each each equipment equipment is equipment can
equipment equipment item. needed. be released.
required. item.
Project Planning: Equipment Listing Table
Materials
Using the following table, list each item of material required to undertake the project and quantify the
amount of each item needed. Also specify the timeframe for which the materials will be required.
Item Amount Start Date End Date
List each item Identify the amount of each List the date by which the List the date upon which
of material. item of material needed. material item is needed. the use of the material
ends.
Project Planning: Materials Listing Table

Construct a Resource Schedule
You have now collated all the information required to build a detailed Resource Schedule. The next step in
creating the schedule is to list the labor, equipment, materials and any other resources needed to
undertake the project. Then identify the amount (e.g. $, , or other currency) of each resource required
according to the periods it will be needed, in the following Resource Schedule. A detailed Resource
Schedule enables a Project Manager to identify the total quantity of each type of resource needed on a
daily, weekly and monthly basis. For your convenience, MPMMTM provides a monthly Resource Schedule
below:
Month
Resource Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Labor Amount
Labor Type
Equipment Amount
Equipment Type
Materials Amount
Material Type
Project Planning: Resource Schedule
Assumptions
List any assumptions made during this resource planning process. For example, it may be assumed that:
"The project will not change in scope."
"The resources identified will be available upon request."
"Approved funding will be available upon request."
Constraints
List any constraints identified during this resource planning process. For example:
"The project team must create all of the physical deliverables within the allocated budget."
"Work must be undertaken within normal working hours only."

2.2.3 Create a Financial Plan
After completing a Resource Plan, the next step in the Planning phase is to create a detailed Financial Plan
for the project. A Financial Plan lists the costs (i.e. expenses) likely to be incurred on the project and
provides a schedule of the timeframes in which those costs will be incurred throughout the Project
Lifecycle. The following diagram depicts the steps involved in creating a Financial Plan:
To create a Financial Plan, you need to list in detail all types of expenses likely to be incurred on the
project and quantify the amount of each. Then, schedule the timeframes for these expenses and list any
assumptions and constraints identified.
If you have followed the MPMMTM Project Lifecycle up to this point, then you have already listed the generic
types of expenses to be incurred by the project, within the Business Case, Project Charter and Project
Plan. You can now use these lists to create a detailed Expense Schedule for your project.
For a very small project, you can simply take each activity listed in the Project Plan and assign an amount
of budgeted expenditure to it. This is easily done using a planning tool such as Microsoft Project. For
larger, more complex projects, a full Financial Plan (as described here) will help ensure that for each
project activity in the lifecycle can be accurately assigned and scheduled within the budget. The following
sections describe in more detail how to create a Financial Plan.
List the Financial Expenses

The first step taken when creating a comprehensive Financial Plan is to create a detailed list of all types of
expenses likely to be incurred throughout the project. The majority of project expenses are typically spent
on purchasing, leasing, renting or contracting the resources to the project (e.g. labor, equipment,
materials resources). You have already documented a full list of these resources in the Resource Plan.
Other types of expenses incurred on projects include those related to the:

Procurement of items from external suppliers
Establishment of a Project Office environment
Administration of the project (e.g. legal, accounting, insurance and lending fees)
Quantify the Financial Expenses

Now that you have a detailed list of the expenses to be incurred throughout the project, the next step is to
forecast the unit cost of each expense item. The unit cost is simply the cost of one single unit of an
expense item. For instance, the unit cost for:
Labor can be calculated as the cost per hour supplied
Equipment can be calculated as the rental cost per day
Materials can be calculated as the purchase cost per quantity specified

Note: Listing these unit costs enables the Project Manager to create a forecast of the likely overall
expense in undertaking the project. Accurate unit costs may not be available at this stage.

Labor Expenses
List all of the roles required to undertake the project and describe the unit cost for each role.
Role Unit Cost
List each role required to undertake the Specify the unit cost of each resource required to fill this
project. role.
Project Planning: Labor Costing Table
Equipment Expenses
List all the items of equipment required to undertake the project and specify the unit cost of each.
Equipment Unit Cost
List each equipment item required to undertake the Specify the unit cost of each equipment
project. item.
Project Planning: Equipment Costing Table
Materials Expenses
List all the materials required to undertake the project and specify the unit cost for each.
Material Unit Cost
List each material item of required to undertake the project. Specify the unit cost of each material item.
Project Planning: Materials Costing Table
Supplier Expenses
List all of the procurement items to be sourced from external suppliers to the project and describe the unit
cost for each item.
Procurement Item Unit Cost
List each procurement item to be supplied to the Specify the unit cost of each procurement item
project. required.
Project Planning: Suppliers Costing Table
Administration Expenses
List the administration costs the project is likely to incur and their unit costs.
Administrative Item Unit Cost
List each administrative item which will incur a project Specify the unit cost of each administrative
cost. item.
Project Planning: Administration Costing Table
Other Expenses
List any other expense items the project is likely to incur and their unit costs.
Other Expense Item Unit Cost
List other expense items. Specify the unit cost of each expense item.
Project Planning: Other Expense Table

Construct an Expense Schedule
You have now collated all the information needed to build a detailed Expense Schedule. This schedule
enables the Project Manager to calculate the total cost of undertaking the project on a daily, weekly or
monthly basis. For your convenience, MPMM provides a monthly view of an Expense Schedule below:
Month
Expense Type Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Labor $///
expense Type other
currency
Equipment
expense Type
Materials
expense Type
Suppliers
expense Type
Administration
expense Type
Other
expense Type
Total
Project Planning: Expense Schedule
Assumptions
List any assumptions made during this financial planning process. For example, it may be assumed that:
"The project delivery dates will not change during this project."
"The unit costs forecast are accurate to within 5%."
"The funds listed by this Financial Plan will be available as required."
Constraints
List any constraints identified during this financial planning process. For example:
"Availability of information used to determine the unit costs above was limited."
"The fact that there are only three suppliers with the relevant skills available has resulted in a high unit
cost."
"The resources identified are limited to those listed specified within the Resource Plan."
Define the Financial Process

Now that you have created an Expense Schedule, you need to define the process for managing expenses
(i.e. costs) throughout the Execution phase of the project. Define the Cost Management Process for your
project by documenting the:
Purpose of the process
Steps involved in undertaking the process
Roles and responsibilities involved in undertaking the process
Templates used to support the process
2.2.4 Create a Quality Plan

Most Project Managers are aware that delivering projects within "time, cost and quality" is critical to their
success. However the term quality can be elusive and is often not clearly defined. MPMMTM defines quality
as the extent to which the final deliverable meets the customer's requirements. The term delivering quality
simply means delivering the requirements of the customer. To ensure that your project meets the
requirements of the customer, you need to continuously measure the quality of the deliverables produced
by the project, as well as the quality of the management processes undertaken to produce those
deliverables. The following diagram depicts the steps involved in creating a Quality Plan:
The first step undertaken when building a Quality Plan is the definition of the Quality Targets. These
targets describe the detailed requirements for the project and the quality criteria and standards to be met.
You next step undertaken is the creation of the Quality Assurance Plan, which identifies the activities
needed to assure the customer that the quality targets for the project will be met. A Quality Control Plan is
then built to put in place the steps needed to monitor and control the actual quality of deliverables
throughout the Project Lifecycle. And finally, a process is defined for completing the Quality Assurance and
Quality Control activities during the project. The following sections describe how to create a Quality Plan in
more detail.
Define the Quality Targets

Before you describe how quality will be assured and controlled for your project, you need to set clear
quality targets to be achieved. Quality Targets are the quality criteria and standards to be achieved to
meet the requirements of the customer. Use the following table to help you define the Quality Targets for
your project:
Quality Targets
Requirements Deliverables Quality Criteria Quality Standards
List the detailed For each requirement, List the components of each Describe the standard of
customer list the corresponding deliverable which must be each deliverable to be met.
requirements. project deliverables to produced to meet the The standard defines the
meet the requirement. These level of quality to which
requirements. components form the "quality the deliverable component
criteria" by defining what must be produced.
needs to be produced.
Project Planning: Quality Targets Table

Create a Quality Assurance Plan
With a clear view of the quality targets to be met, the next task is to create a Quality Assurance Plan.
Quality Assurance (QA) is defined as "the steps needed to regularly evaluate the overall performance of
the project to provide the customer with assurance that the project will meet the quality targets set".
Although a variety of QA techniques are may be undertaken to regularly review the performance of the
project, the method most commonly used is the "Quality Review".
A Quality Review is a structured review of the project by external resource, to determine the overall
project performance (e.g. against schedule and budget) and conformance (i.e. to the management
processes specified for the project). Quality Reviews are usually completed by senior quality staff within
the business and they may either be scheduled or completed at random throughout the Project Lifecycle.
Use the following table to identify the techniques used to assure quality within your project:
Quality Assurance Plan

Techniques Description Frequency
List Quality Provide a complete Where relevant, determine the frequency of each QA
Assurance (QA) description of QA technique. For instance, "Quality Reviews may be
techniques here. techniques to be undertaken in the first week of every month
undertaken. throughout the project."
Project Planning: Quality Assurance Table
List any assumptions and constraints made during this Quality Assurance planning process.
Create a Quality Control Plan

As well as undertaking QA within the project, a series of 'Quality Control' (QC) techniques may be
implemented. QC is defined as "the internal monitoring and control of project deliverables, to ensure that
they meet the quality targets set". Examples of Quality Control techniques include:
Peer Reviews By asking team members to review each other's deliverables, you can control the level
of quality achieved by the project. Peer Reviews will also allow you to identify any
quality issues early in the Execution phase of the project.
Deliverable To increase your likelihood of meeting the Quality Targets, you can plan and perform
Reviews formal reviews of deliverables across the project.
Documentation Documentation reviews are similar to deliverable reviews, except that they involve
Reviews reviewing the project documentation produced by the project.
Phase Reviews At the end of each project phase, you should review the progress of the project to date
and determine whether the project has met its stated objectives. By assessing the
deliverables produced by the project to date, the Project Board determine whether the
project is "on track" and ready to progress to the next phase within the project
lifecycle.
Use the following table to list the Quality Control techniques required to monitor and control the actual
level of deliverable quality within the project:
Quality Control Plan

Techniques Description Frequency
List the Quality Provide a complete Where relevant, list the frequency of each QC
Control (QC) description of the QC technique. For instance, "Deliverable Reviews may be
techniques. techniques to be undertaken in the last week of every month
undertaken. throughout the project."
Project Planning: Quality Control Table

List any assumptions and constraints made during this Quality Control planning process.
Define the Quality Process

Now that you have created a detailed Quality Assurance and Quality Control Plan, you need to define the
process for managing quality throughout the Execution phase of the project.
Define the Quality Management Process for your project by documenting the:
2.2.5 Create a Risk Plan

After identifying the activities, resources and finances required to complete the project, it is time to
identify and assess the level of overall project risk. A Risk Plan identifies all the foreseeable project risks
and includes a suite of actions to prevent each risk and reduce the impact on the project should a risk
eventuate. The following diagram depicts the steps involved in creating a Risk Plan:
To create a Risk Plan, you first need to identify all the potential risks which could impact on the project's
ability to meet its defined objectives. Then for each risk, you need to rate the likelihood of the risk and the
impact on the project should it occur. After assigning an overall Risk Priority, you will need to create a set
of preventative and contingent actions, which will be needed to mitigate each risk. These actions should be
scheduled throughout the project, to lower the overall level of risk involved in undertaking the project. The
following sections describe how to complete these steps in more detail.
Identify the Risks

The first step in creating a Risk Plan is to identify and document all the potential risks involved in
undertaking the project. A risk is defined as any event that is likely to adversely affect the ability of the
project to achieve the defined objectives.
List the Categories

To create a comprehensive risk list, start by defining the categories of risk relevant to your particular
project. Examples of categories include:
Requirements
Benefits
Schedule
Budget
Deliverables
Scope

Issues
Suppliers
Acceptance
Communication
Resource
To ensure that you have covered all the required aspects of the project, you may need to run a Risk
Planning Workshop. With the Project Sponsor, Project Manager, team, suppliers and in some cases even
the customer involved, the workshop will enable you to identify not only the categories of project risk, but
also the potential risks in each category, as described by the next section.
List the Risks

With a clear set of risk categories, create as comprehensive a set of potential risks as possible for each
category. Remember that a risk is an event that is likely adversely affect the ability of the project to
achieve the defined objectives- so remove any items from the list which are not likely to affect the
project. The following table lists examples of typical project risks for each risk category. A unique
identification (ID) number is assigned to each risk listed, for later reference in this document.
Risk
Risk Description Risk ID
Category
Requirements The requirements have not been clearly specified. 1.1
The requirements specified do not match the customer's needs. 1.2
The requirements specified are not measurable. 1.3
Benefits The business benefits have not been identified. 2.1
The business benefits are not quantifiable. 2.2
The final solution delivered does not achieve the required benefits. 2.3
Schedule The schedule doesn't provide enough time to complete the project. 3.1
The schedule doesn't list all the activities and tasks required. 3.2
The schedule doesn't provide accurate dependencies. 3.3
Budget The project exceeds the budget allocated. 4.1
There is unaccounted expenditure on the project. 4.2
There are no resources accountable for recording project spending. 4.3
Deliverables The deliverables required by the project are not clearly defined. 5.1
Clear quality criteria for each deliverable have not been defined. 5.2
The deliverable produced doesn't meet the quality criteria defined. 5.3
Scope The scope of the project is not clearly outlined. 6.1

The project is not undertaken within the agreed-upon scope. 6.2
Project changes negatively impact on the project. 6.3
Issues Project issues are not resolved within an appropriate timescale. 7.1
Similar issues continually reappear throughout the project. 7.2
Unresolved issues become new risks to the project. 7.3
Suppliers The expectations for supplier delivery are not defined. 8.1
Suppliers do not meet the expectations defined. 8.2
Procurement delays impact on the project delivery timescales. 8.3
Acceptance The criteria for accepting project deliverables aren't clearly defined. 9.1
Customers do not accept the final deliverables of the project. 9.2
The acceptance process leaves the customer dissatisfied. 9.3
Communication Lack of controlled communication causes project issues. 10.1
Key project stakeholders are "left in the dark" about progress. 10.2
Resource Staff allocated to the project are not suitably skilled. 11.1
Insufficient equipment is available to undertake the project. 11.2
There is a shortage of materials available when required. 11.3
Project Planning: Risk List Table
Quantify the Risks

Now that you have listed all the potential project risks, you need to identify the Priority of each risk by
determining its likelihood and its potential impact on the project.
Quantify Likelihood
To enable you to rate the Likelihood of the risk, use a scoring system such as the one provided in the table
below:
Title Score Description
Very 20 The risk is highly unlikely to occur, as the circumstances which will trigger the risk
Low are also unlikely to occur.
Low 40 The risk is unlikely to occur, however it needs to be monitored throughout the
project as certain circumstances could potentially trigger this risk.
Medium 60 The risk is likely to occur as it is clear that the risk may eventuate.
High 80 The risk is very likely to occur, based on the circumstances of the project.
Very 100 The risk is highly likely to occur, as the circumstances which will cause this risk to
High eventuate are also very likely to occur.

Project Planning: Risk Likelihood Table
Quantify Impact
To enable you to rate the Impact of the risk occurring, use a scoring system such as the one provided in
the table below:
Title Score Description
Very 20 The risk will have an insignificant impact on the project, as it is not possible to
Low measure this impact.
Low 40 The risk will have a minor impact on the project, as it will likely result in a less than
5% deviation in scope, scheduled end-date or project budget.
Medium 60 The risk will have a measurable impact on the project, as it will likely result in a 5-
High 80 The risk will have a significant impact on the project, as it will likely result in a 10-
Very 100 The risk will have a major impact on the project, as it will likely result in a 25%+
High deviation in scope, scheduled end-date or project budget.
Project Planning: Risk Impact Table
Assign a Priority
Now that you have identified the risks and created mechanisms for scoring their likelihood and impact, use
the following table to assign the scores for each risk. Note: The Priority score is calculated as the average
of the Likelihood and Impact scores (i.e. Priority = [Likelihood + Impact] / 2).
Risk ID Likelihood Score Impact Score Priority Score Priority Rating
1.1 20 80 50 Medium
1.2 80 60 70 High
1.3 100 40 70 High
2.1 40 20 30 Low
2.2 90 100 95 Very High
2.3 20 80 50 Medium
Project Planning: Risk Priority Table
If you have identified more than 20 key project risks, we have added a Priority Rating column above. This
column will help you assign a text description and color code to each Priority Score, so that you can
quickly identify high priority risks to be addressed. Use the following system to determine the Rating
assigned:
Priority Score Priority Rating Priority Color
0 - 20 Very low White
21 - 40 Low Green
41 - 60 Medium Yellow

61 - 80 High Orange
81 - 100 Very High Red
For example, in the table above, the Risk ID 1.1 has a Priority Score of 50, which falls into the 41-60
range. Therefore it should be assigned a Medium priority rating and the color Yellow.
Create a Risk Schedule

By now, you will have a clear understanding of the risks within the project and their priorities. The final
step in creating a Risk Plan is to schedule a set of preventative and contingency actions. Preventative
Actions reduce the likelihood of a risk, whereas Contingent Actions reduce the impact to the project should
the risk eventuate. The following table provides examples of preventative and contingent actions and
specifies the resources needed to complete each action:
Risk Risk Preventative Action Action Contingent Action Action

Rating ID Actions Resource Date Actions Resource Date
Very 2.2 Clearly identify the Project xx/yy/zz Measure the Project xx/yy/zz
High expected business Sponsor actual business Manager
benefits. benefits achieved
by the project.
High 1.2 Clearly specify the Project xx/yy/zz Assess the Project xx/yy/zz
customer Manager requirements Manager
requirements in after the
the Quality Plan. deliverable has
been produced,
measure any
deviation, and
enhance the
deliverable to
meet the
requirements.
High 1.3 Clearly specify the Quality xx/yy/zz Assess the quality Quality xx/yy/zz
quality criteria Manager criteria after the Manager
used to determine deliverable has
that the been produced,
requirements for measure any
each deliverable deviation, and
have been met. enhance the
deliverable to
meet the quality
criteria set.
Project Planning: Risk Schedule
Document any assumptions and constraints identified during this risk planning process.
Define the Risk Process
Now that you have created a detailed Risk Schedule, you need to define the process for managing risk
throughout the Execution phase of the project.
Define the Risk Management Process for your project by documenting the:

2.2.6 Create an Acceptance Plan

A core tenet of Project Management is that a deliverable is not 100% complete until the customer has
accepted it as complete. To ensure that all project deliverables are accepted (i.e. "signed-off on") as
complete for your project, you need to document an Acceptance Plan. The following diagram lists the steps
taken to create an Acceptance Plan:
First, you need to identify the acceptance criteria which provide the basis for measuring the completion of
project deliverables, prior to final sign off by the customer. Next, schedule a suite of acceptance tests,
which are undertaken to measure the percentage completion of each deliverable against the criteria
specified. And finally, document the process for gaining final signoff by the customer, to confirm that the
deliverables produced fully meet the acceptance criteria agreed. The following sections describe in more
detail how to create an Acceptance Plan for your project.
List the Acceptance Criteria

The first step taken when creating an Acceptance Plan is to identify the criteria you will use to determine
whether the customer should sign off on the deliverables. For each project deliverable (or set of related
deliverables) listed in the Project Charter, use the following table to identify the acceptance criteria and
standards to be met:
Deliverables Acceptance Criteria Acceptance Standards
List each project For each deliverable, list the criteria For each deliverable, list the standards
deliverable here which must meet to ensure that the that must be met to ensure that the
customer signs off on it as 100% customer signs off on the deliverables as
complete. 100% complete.
Project Planning: Acceptance Criteria Table
Note: You may wish to use criteria and standards which relate to the:
Time to build the deliverables (see your Project Plan)
Cost of building the deliverables (see your Financial Plan)
Quality of the deliverables to be built (see your Quality Plan)
Create an Acceptance Schedule

You are now ready to schedule the acceptance tests required to gain the customer's acceptance for
deliverables produced by your project.

Deliverable Acceptance Tests
Deliverable Completion Date Testing Method Testers Test Date
List the List the scheduled Describe the method Identify the List the date by
deliverables to completion date, used to determine resource which each
be produced by which will trigger whether the deliverable responsible for acceptance test
your project an acceptance test has met the acceptance undertaking each will be complete.
criteria and standards acceptance test.
defined.
Project Planning: Acceptance Schedule
Define the Acceptance Management Process

Now that you have created a detailed schedule of acceptance tests, you need to define the process for
undertaking these tests throughout the Project Lifecycle. Define the Acceptance Management Process for
your project by documenting the:
2.2.7 Create a Communications Plan

A common cause of project failure is the lack of clear communication within the project team. To ensure
that the communications on your project are clear, concise, relevant and timely, you need to create a
detailed Communications Plan. The Communications Plan describes the information that must be
disseminated to all of the project stakeholders to keep them regularly informed of the project's progress.
The following diagram depicts the steps involved in creating a Communications Plan:
To begin, you first need to identify all the stakeholders who require regular information about the status of
the project. Identify the information requirements of each stakeholder group. Then schedule the
dissemination of that information to those stakeholders throughout the Project Lifecycle. Finally, define the
formal process for delivering communications within the project. The following sections describe in more
detail how to create a Communications Plan.
List the Communications Stakeholders

Effective communication is all about distributing "the right information to the right people at the right
time." To identify the "right people" with whom you need to communicate, you will create a list of the
communications stakeholders. A communications stakeholder is a person inside or outside the project, who
requires regular information about the project's status. For instance, a Project Sponsor needs to be kept
informed of the overall progress of the project, while an external body may need to be kept informed of
the legislative or regulatory compliance of the project. Examples of communications stakeholders include:
Project Sponsor / Customer
Project Board
Project Manager

Project Leader
Team Member
Quality Manager
Procurement Manager
Communications Manager
Project Office Manager
Business representatives
External organizations
Identify the Communications Requirements

Now that you have identified the stakeholders, you need to describe their requirements for information
regarding the progress of the project.
Stakeholder Stakeholder Stakeholder

Information Requirement
Name Role Organization
Name each State the role of List the team, group or Describe the project information each
stakeholder. the stakeholder. organization to which the stakeholder requires. Examples
stakeholder belongs. include: Project Status, Resourcing
Levels, Issues, Risks, Conformance and
Delivery.
Project Planning: Communications Requirements Table
Build a Communications Schedule

You now have the information needed to communicate "the right information to the right people." To
ensure that you communicate it "at the right time," you need to build a schedule of communications
activities. Communications activities are groups of tasks that are undertaken to disseminate project
information to stakeholders in order to keep them regularly informed of the progress of the project.
Examples include: publishing press releases, newsletters, Project Status Reports, presentation materials,
website new releases and internal project memos.
Use the following Communications Schedule to describe the timeframes for completing communications
activities throughout the Project Lifecycle:
Communications Activities
Activity ID Information Stakeholders Timeframes Methods (how)
(what) (who) (when)
Assign a State the List the Identify the Select the distribution
Unique information to be stakeholders who timeframes and methods (E.g. press
Identifier distributed to will receive the frequency for releases, reports,
(ID) to each stakeholders during information. distributing the presentations, memos,
activity. each activity. information. emails etc).
Project Planning: Communications Schedule
Document any assumptions and constraints identified during this communications scheduling activity.

Define the Communications Process
Now that you have created a detailed Communications Schedule and listed the responsibilities for
completing it, you need to define the process for monitoring and controlling the communications
undertaken throughout the project. Define the Communications Management Process for your project by
documenting the:
2.2.8 Create a Procurement Plan

Project Managers often need to outsource a scope of work to external suppliers in order to meet the
objectives of the project. Because a Project Manager typically has very little control over the scope of work
sourced externally, he or she is dependent on the efficiency and reliability of the supplier. The
procurement process is therefore a key project risk within the lifecycle of a project.
Choosing the right supplier for your project is critical to your project's success. By creating a Procurement
Plan, you can define your outsourcing needs and undertake a formal selection process to select the right
supplier for your project. The following diagram depicts the steps involved in creating a Procurement Plan
for your project:
To begin, you will identify your procurement requirements by listing what it is that you want to outsource
to external suppliers. You then need to research the market to ensure that there are suitable suppliers
who can meet your procurement requirements and using this information, you can create a Procurement
Schedule which lists the activities needed to:
Select and contract a preferred supplier
Procure the required items for the project
Manage the performance of the supplier
Whatever it is that you need to procure from suppliers you must explicitly describe these procurement
items in the Procurement Plan. Procurement items are defined as any item that is contractually obliged to
be provided by a supplier to a project, such as:
Products (e.g. goods, materials, equipment, tools, machinery)
Services (e.g. labor, technical and consulting services)
Results (e.g. a more efficient process, a more highly skilled team and a restructured organization)
The following sections describe in more detail the steps involved in creating a Procurement Plan.

Identify the Procurement Requirements
To create a Procurement Plan, you first need to define what it is that you are procuring from suppliers
external to the project. Then using the following table, list and describe each procurement items needed
by your project. Justify each item by describing your reasoning for outsourcing these items to suppliers
and finally, list the quantities required and your budget (if applicable).
Procurement
Description Justification Quantity Budget
Item
List the items to be Describe the Give sound reasoning as to Identify the List the
procured from items to be why these items must be total quantity of budget
external suppliers. procured. procured from suppliers, each item available to
rather than within the required. procure the
existing business. items listed.
Project Planning: Procurement Requirements Table
Research the Market Offerings

Now that you know what you want to outsource, the next step is to research the local market to determine
whether there are suitable supplier offerings that could meet the procurement requirements of the project.
Research the Market Segment

Conduct market research to prove that there are suitable suppliers available in the market, by answering
the following types of questions:
What is the size of the relevant market segment?
How many suppliers operate within this market segment?
Which suppliers have the largest market share?
How many suppliers currently offer the procurement items required by the project?
Will the items likely be available within the timescales needed by the project?
Are there any risks associated with procurement within this market segment?
The outcome of this research confirms that the market includes a range of suitable suppliers who are able
to meet the procurement needs of the project.
Research the Offerings Available

The next step is to prove that there are suitable offerings available in the market which are likely to meet
the requirements of the project. List examples of such offerings in the following table:
Procurement
Supplier Offering Price Availability
Item
List the items to List examples of List examples Identify the price Identify the lead-time
be procured suppliers who of such of each offering, necessary to supply the
currently have supplier to determine offering, to determine
offerings which match offerings whether your whether it can be
the procurement budget allows for available when you need
items listed. it. it.

Project Planning: Available Offerings Table
Create a Procurement Schedule

By now, you'll be confident that the market has offerings that are likely to meet the requirements of the
project. You will now be ready to create a detailed Procurement Schedule for the project, by listing the
activities and timeframes required to:
Produce a Selection This involves issuing a Request for Information (RFI) to short-list suppliers; a
Request for Proposal (RFP) to select suppliers; and a Supplier Contract to contract a
preferred supplier to the project.
Deliver the This involves producing and delivering the procurement items, as well as accepting
Procurement Items them on behalf of the project team.
Review the This involves undertaking a series of supplier reviews to ensure that the supplier
Suppliers meets the responsibilities defined in the Supplier Contract.
The following chart provides an example of a Procurement Schedule for a project team.
Project Planning: Procurement Schedule
Document any assumptions and constraints identified during this procurement planning exercise.

Define the Procurement Process
Now that you have created a detailed Procurement Schedule, you need to define the process for managing
the outsourcing and fulfillment of the procurement items throughout the Project Lifecycle. Define the
Procurement Management Process for your project by documenting the:
Templates used to support the procurement process
2.2.9 Phase Review - Planning

The last step in the Project Planning phase is the completion of a Phase Review. This review is undertaken
to determine whether all the planning activities and tasks have been successfully completed and to request
approval to proceed to the Execution stage of the project. The following diagram depicts the steps involved
in undertaking this review:
Closure Report.
cancel the project.
The following steps describe the procedures involved in undertaking a Phase Review for the Planning phase
of the project.
Identify Phase Review Measures

Planning phase are provided in the following table:
Activities Was a Work Breakdown Structure defined in detail?
Are the Milestones clearly stated?
Has a detailed Project Schedule been provided?
Are the Dependencies within the Project Schedule clear?
Have all the required Resources been stated?
Were the total quantities of the resources listed?
Is there a detailed Resource Schedule?

Were all of the types of Financial Expenses listed?
Have the Unit Costs of each resource been identified?
Was a detailed Expense Schedule created?
Has the Financial Process been stated?
Were clear Quality Targets defined?
Is there a Quality Assurance Plan?
Is there a Quality Control Plan?
Has the Quality Management Process been stated?
Were the Risks clearly described and quantified?
Have all of the project risks been prioritized?
Has a Risk Schedule been defined to mitigate risks?
Is the Risk Management Process clear?
Have the Acceptance Criteria been listed?
Has an Acceptance Schedule been defined?
Is there a clear Acceptance Management Process?
Have all project Stakeholders been identified?
Were the Communications Requirements listed?
Has a Communications Schedule been defined?
Is the Communications Management Process stated?
Were the Procurement Requirements of the project stated?
Was Market Research undertaken before appointing suppliers?
Has a Procurement Schedule been defined?
Is the Procurement Management Process stated?
Deliverables Has a Project Plan been documented and approved?
Has a Resource Plan been documented and approved?
Has a Financial Plan been documented and approved?
Has a Quality Plan been documented and approved?
Has a Risk Plan been documented and approved?
Has an Acceptance Plan been documented and approved?
Has a Communications Plan been documented and approved?
Has the Selection Process been documented and approved?
Was a Statement of Work documented and released?
Was a Request for Information documented and released?
Was a Request for Proposal documented and released?

Was a Supplier Contract documented and endorsed?


The results of the Phase review are collated by the Project Administrator and bound into a single

present:
Approve the project to proceed to the next phase of the project: Project Execution

2.3 Project Execution
Armed with a clear definition of the project and a suite
of detailed planning documents, you are ready to enter
the Execution phase of the project.
This is the phase in which the deliverables are

physically built and presented to the customer for
acceptance.
While each deliverable is being constructed, a group of

management processes are undertaken to monitor and
control the deliverables being output by the project.
These processes include managing time, cost, quality,

change, risks and issues, as well as suppliers, customer
acceptance and project communication.
Once all the deliverables have been produced and the

customer has accepted the final solution, the project is
ready for closure.
Build Deliverables
Monitor and Control

Perform Time Management
Perform Cost Management
Perform Quality Management
Perform Change Management
Perform Risk Management
Perform Issue Management
Perform Procurement Management
Perform Acceptance Management
Perform Communications Management
Perform Phase Review

Build Deliverables. The first and most important step in the Execution phase is the construction of each
of the project deliverables specified within the Project Charter. During this activity, a detailed design of
each deliverable is created and the deliverables are physically constructed and tested. The deliverables are
then reviewed by the Quality Manager and the Customer to determine whether they meet the quality
criteria (defined in the Quality Plan) and the acceptance criteria (defined in the Acceptance Plan). If all of
the criteria have been met, then the deliverables are signed off on by the customer, ready be handed over
to the customer environment. After all the deliverables have been produced and signed off by the
customer, the project is ready for closure.
Monitor and Control. Alongside the 'Build Deliverables' activity, the Project Manager performs a suite of
management processes to monitor and control the time, cost and quality of each deliverable being
produced, as follows:
Perform Time Management. This is the process of monitoring and controlling the time spent by staff on
the project. Timesheets are used to track and record time spent, so that the Project Manager can
ascertain the overall progress of the project.
Perform Cost Management. Ensuring the delivery of projects within budget is always a difficult task. To

monitor and control costs effectively, a Cost Management Process is put in place to identify project
costs (i.e. expenditures) and to record the rate of consumption of the project budget.
Perform Quality Management. To ensure that the project produces deliverables that meet customer
requirements, it is necessary to use a formal Quality Management Process. This process involves
undertaking the Quality Assurance and Control activities specified in the Quality Plan to manage a
project's level of quality.
Perform Risk Management. While managing time, cost and quality can be a fulltime job, another key
process within Project Management is the mitigation of project risk. To perform Risk Management on a
project, you need to monitor and control project risks by taking the steps necessary to prevent risks
and also minimize the impact on the project should those risks eventuate.
Perform Issue Management. During the Project Lifecycle, unforeseen issues often arise that impact the
ability of the project to meet its stated objectives. The key to success is having a process in place to
review and resolve issues before they severely impact on the project.
Perform Procurement Management. Projects often require goods and services from external suppliers to
help them meet the objectives set. In these situations, a Procurement Management Process is put in
place to monitor and control the performance of project suppliers.
Perform Acceptance Management. You may deliver a suite of top class deliverables, but unless the
customer accepts that your deliverables meet their requirements then the success of the project will be
compromised. To gain the customer's approval of each deliverable, Acceptance Reviews should be
undertaken as part of an Acceptance Management Process.
Perform Communications Management. Everyone in the team needs to be kept regularly informed of
the progress of the project. By completing the communications activities listed in the Communications
Plan, you will ensure that every stakeholder within the project receives the right information, at the
right time.
Perform Phase Review. With all your deliverables signed off on by the customer, you are almost ready
to close the project. But first, a Phase Review is undertaken to ensure that all of the required activities in
the Execution phase have been completed and the project is ready to proceed to the Closure phase.

2.3.1 Build Deliverables
The most time-consuming activity in the Project Lifecycle is the creation of the project deliverables.
Whether you're constructing a new commercial property, building a new software application or
implementing a new business product or service, your project will consume the majority of its available
resources undertaking this activity.
The steps involved in building deliverables vary from project to project, so they cannot be covered in detail
within this methodology. However, to provide you with an insight into the types of activities often
undertaken during the Execution phase of a project, we have listed examples within the following table:
Project
Project Description Activities
Type
Software A major bank has decided to Design new software solution

Development write a new Customer
Management System, to Build solution and perform unit testing
improve the performance of its
tellers on the front desk. Perform system testing for solution
Implement Customer Management System
Perform final solution handover
Network ABC Ltd. has decided to Create detailed network design

Upgrade upgrade its computer network
to provide a more stable Procure network components from suppliers
platform
Install network components
Perform network performance testing
Release network live to business users
Construction A construction company has Complete architectural design of premise

won a tender to construct a
brand new commercial building Source equipment and materials, lay foundations
for a major client.
Construct framing, roofing and interior paneling
Complete electrical and plumbing
Add fittings and complete landscaping
Engineering An engineering firm has been Complete architectural design of new road system
asked to upgrade the national
highway. Procure equipment and materials to perform
upgrade
Schedule and perform upgrade in accordance with

design
Review upgrade to determine that requirements

have been met
Release traffic onto new road system
Telecoms The national Design the new communications backbone

telecommunications company
has decided to upgrade its Source communications equipment and materials
communications network.
Install new communications network

Test network performance and availability
Market new network and release live to customers
Business XYZ Ltd. has decided to review Review current business direction, products,
Improvement its business processes and services, processes, structure, people, locations,
organizational structure and data and technology
implement efficiency
improvements. Identify areas for improvement across the business
Document and approve the improvement

recommendations
Communicate the intended improvements to

affected staff
Implement the improvements and review their

effectiveness
2.3.2 Monitor and Control

Throughout the Execution phase, the Project Manager undertakes a series of management processes to
monitor and control the deliverables being produced by the project. These processes are undertaken to
ensure that each deliverable is produced on time, within cost and to the level of specification required by
the customer.
The following table describes these management processes and the key outcomes to be achieved for each
process identified.
Process Description Outcome
Time This is the process of monitoring and controlling the The project is delivered on
Management time spent by staff on the project. By ensuring that all time.
staff record the time they spend undertaking project
activities, the Project Manager can calculate actual vs.
forecast time spent, and identify whether the project is
ahead of, behind or on schedule.
Cost Management Ensuring that projects deliver within budget is always a The project is delivered
difficult task. To monitor and control costs effectively, a within budget.
Cost Management Process is implemented to identify all
project costs and to record the rate at which the project
budget is being consumed.
Quality To ensure that the project results in deliverables that The project results in
Management meet the customer's requirements, it is necessary to deliverables that meet the
use a formal Quality Management Process. This process specified requirements of
involves undertaking the Quality Assurance and Control the customer.
activities specified within the Quality Plan, to manage
the level of quality within the project.
Risk Management In addition to managing time, cost and quality, another All project risks are
key process is the management of project risk. To mitigated, transferred or
perform Risk Management in a project, you need to avoided with nil impact on
monitor and control project risks by taking steps to the project.
prevent those risks from occurring and to minimize their
impact on the project should they occur.

Issue During the Project Lifecycle, unforeseen issues often All project issues are
Management arise, which impact the ability of the project to meet its resolved with nil impact on
stated objectives. The key to project success is in the project.
having a process in place to review and resolve issues
before they severely impact the project.
Procurement Projects often need external suppliers to deliver a scope The scope of work
Management of work in order to meet the customers' stated provided by suppliers, fully
objectives. In these situations, a Procurement meets the requirements of
Management Process is put in place to monitor and the project.
control the scope of work of suppliers to the project.
Acceptance You may have delivered a suite of top class deliverables, The customer accepts all
Management but unless the customer accepts that they meet their deliverables produced by
requirements, then the success of the project will be the project in full.
compromised. To gain the customer's approval for each
deliverable, you will need to complete a suite of
acceptance tests, by undertaken an Acceptance
Management Process.
Communications Everyone on the team needs to be kept regularly Every stakeholder within
Management informed of the overall progress of the project. By the project is kept well
completing the activities listed in the Communications informed of the progress
Plan, you will ensure that every Stakeholder within the by receiving the right
project receives the right information at the right time. information at the right
time.
2.3.3 Perform Time Management

Time Management is the process of monitoring and controlling
time spent within a project. By recording the actual time spent
by staff on a project, you can:
Calculate the total time spent undertaking tasks
Identify the total staff cost of undertaking tasks
Control the level of resources allocated to tasks
Monitor the completion percentage of tasks
Identify the outstanding work required to complete tasks
Time Management is comprised of a set of processes, roles

and documents for monitoring and controlling time spent
within the project, each of which is described as follows.
Time Management Process

To manage time effectively within your project, you need to implement a structured Time Management
Process. This process uses Timesheets on which project personnel record time they spend undertaking
project tasks, and a Timesheet Register, on which you enter those recorded times. With this information,
you can update the Project Plan and assess whether or not the project is on time (i.e. currently being
delivered within schedule).
The following diagram depicts the processes undertaken to monitor and control time spent within the
project.

Project Execution: Time Management Process Diagram
A more detailed description of the Time Management Process follows.
Document Timesheet
The first step in the process is to capture time spent completing project tasks. All project leaders, team
members, staff and contractors responsible for completing tasks in the Project Plan should complete
Timesheet forms to record the time they spend. Timesheets exist in various formats, including paper,
spreadsheet and software, and they should be used from the moment the Project Plan is approved until
the project is closed. To ensure that all staff members record their time accurately, they should complete
their Timesheets as they complete each task, rather than waiting until the end of the reporting period (e.g.
weekly or monthly). They should then forward their completed Timesheets to the Project Manager (usually
weekly) for approval.

Approve Timesheet
Upon review of each Timesheet, the Project Manager will:
Confirm that time was spent undertaking valid tasks, as listed in the Project Plan
Confirm that the team member was delegated the task on which they spent time
Determine whether the time spent undertaking the task was reasonable
Identify whether sufficient progress has been made in completing the deliverable, given the time spent
on it
Identify any issues regarding the time spent and the progress of the deliverable
Based on these conclusions, the Project Manager may decide to approve the timesheet, request further
information from the staff member regarding the time spent, or decline the timesheet and raise a staff
issue.
Update Project Plan

With all approved timesheets, the Project Administrator enters the time spent against the tasks on the
Project Plan. This allows him or her to identify:
The total time spent per project activity
The percentage of each project activity that is complete
The overall delivery of the project against the schedule
Any tasks that have passed their completion dates
Any tasks that have exceeded their projected effort
The Project Manager is notified of any exceptions and can choose to take corrective actions, such as:
Changing the team member assigned to the task
Allocating additional team members to the task
Providing additional time for completing the task
Requesting assistance from suppliers to help complete the task
Throughout the Time Management Process, the Project Manager can monitor and control time spent
undertaking tasks within the project by keeping a Timesheet Register up-to-date.
Time Management Roles

The Time Management Process involves the following roles and responsibilities:
Team Member The Project Team Members are responsible for:

Undertaking each delegated task to the best of their ability
Completing regular Timesheets to the level of detail required
Submitting Timesheets to the Project Manager as required
Providing additional information regarding time spent if needed

Manager Informing all staff of the Time Management Process
Ensuring the completion of Timesheets throughout the project
Reviewing and approving all Timesheets
Taking any corrective actions needed to resolve exceptions
Project The Project Administrator manages the day-to-day Timesheets process by:
Administrator Providing all staff with the basic Timesheet template for completion
Ensuring that all timesheets are completed on time and to the required level of
detail
Checking that all Timesheets have been approved by the Project Manager
Keeping the Timesheet Register update-to-date throughout the project
Note: Larger, more complex projects will usually require the appointment of a fulltime Project
Administrator. For smaller, simpler projects, the Project Manager can perform this role.
Time Management Documents

MPMMTM provides the following templates to help you undertake the Time Management Process:
Timesheet Form. This form is used to record time spent undertaking activities within a project.
Timesheet Register. This register is used to monitor and control time spent completing activities in a
project.
2.3.4 Perform Cost Management

Cost Management is the process of monitoring and controlling
costs (i.e. expenses) within a project. By recording and
monitoring the day-to-day costs, you can:
Calculate the total cost of undertaking each project task
Determine the total cost of staff on the project
Monitor the total actual cost vs. forecast cost
Easily identify current and potential cost overruns
Monitor the consumption rate of the project budget
Cost Management is comprised of a set of processes, roles

and documents for monitoring and controlling the costs within
the project:
Labor costs (e.g. staff, suppliers, contractors and
consultants)
Equipment costs (e.g. computers, furniture, building

facilities, heavy machinery and vehicles)
Material costs (e.g. stationery, consumables, building and

engineering materials, water and power)
Administration costs (e.g. legal, insurance, lending and

accounting fees) and other costs
Cost Management Process
To manage costs effectively within your project, you need to implement a structured Cost Management
Process. This process uses Expense Forms to record costs incurred within the project. The Project Manager
approves completed Expense Forms and enters these expenses into the Expense Register. With this
expense information, he or she can update Project Plan to provide an overall view of the progress of the
project against budget. Any deviations against budget (i.e. exceptions) are identified and the Project
Manager takes corrective actions accordingly.
The following diagram depicts the processes undertaken to monitor and control costs within the project.
Project Execution: Cost Management Process Diagram

A more detailed description of the Cost Management Process follows.
Document Expense
The first step in the Cost Management Process is to identify the actual costs incurred on the project, by
using Expense Forms. All project leaders, team members, staff and contractors within the project are
responsible for identifying expenses and completing Expense Forms when appropriate. Expense Forms
allows team members to record the:
Date on which the expense occurred
Activities and tasks (listed in the Project Plan) against which the expense was incurred
Type of the expense such as labor, equipment, materials and administrative expenses
Amount of the expense and the payee - the party to whom payment should be made
Invoice number related to the expense
Although Expense Forms may be completed for expenses that have already occurred, it is customary to
complete Expense Forms before the project incurs the expense. Expense Forms must be forwarded to the
Project Manager for approval before they are paid.
Approve Expense
The Project Manager receives Expense Forms and reviews them to determine whether the identified
expense:
Is related to a valid task listed in the Project Plan
Was budgeted in the Financial Plan
Is unbudgeted but fair, reasonable and affordable
The Project Manager will decide between three main options:

Approve the Expense Form and forward it to the Project Administrator for payment
Request further information from the person submitting the Expense Form
Decline the expense and raise an issue with the person submitting the Expense Form
In most cases the Project Manager has the authority to approve all budgeted expenditures; however,
unbudgeted expenditures over a certain limit may require the approval of the Project Sponsor.
Following expense approval, the payment of the expense is scheduled. Projects typically pay expenses in
batches to reduce the administrative workload involved in making payments. It also allows the Project
Manager to manage the project's cash flow more effectively.
Update Project Plan

After the expense has been paid, payment details are recorded within the Expense Register. Throughout
the Cost Management Process the Project Administrator keeps this register up-to-date. On a regular basis
(typically weekly), the Project Administrator updates the Project Plan with the information summarized
from the Expense Register in order to:
Identify the total cost of each resource
Identify the total cost of each project task

Calculate the total actual vs. budgeted cost of the project
Identify any instances of under or over spending
The Project Manager is notified of any exceptions and takes corrective actions as needed, such as:
Increasing or decreasing the amount of the resources allocated to the task
Providing additional funding to assist with the completion of the task
Changing the team member assigned to the task
Requesting assistance from suppliers to help complete the task
Cost Management Roles

The Cost Management Process involves the following roles and responsibilities:
Team Member The Project Team Members are responsible for:

Completing Expense Forms to the level of detail required
Submitting Expense Forms for the Project Manager's approval
Providing the Project Manager with information regarding the expense, if required

Manager Informing staff of the Cost Management Process
Ensuring the completion of Expense Forms throughout the project
Reviewing and approving Expense Forms
Taking corrective actions to resolve expense issues
Project The Project Administrator manages the day-to-day expense process by:
Administrator Providing staff with the basic Expense Form template
Ensuring that staff members complete Expense Forms as required
Completing Expense Forms on behalf of suppliers who have incurred expenses
Forwarding Expense Forms to the Project Manager for approval
Keeping the Expense Register up-to-date at all times
Updating the Project Plan with expense information and identifying deviations
Arranging payment of approved expenses
Cost Management Documents

MPMMTM provides the following templates to help you undertake the Cost Management Process:
Expense Form. This form is used to record expenses incurred in undertaking activities in a project.
Expense Register. This register is used to monitor and control expenses incurred throughout the
project.

2.3.5 Perform Quality Management
Quality Management is the process of assuring and controlling
the quality of deliverables within a project. By managing the
quality of project deliverables, you can:
Identify the tasks needed to complete deliverables
Calculate the effort required to meet quality targets
Identify any quality issues early in the Project Lifecycle
Inspire customer confidence that you'll meet their needs
Quality Management is comprised of a set of processes, roles

and documents for assuring and controlling the quality of
deliverables and management processes within the project.
Each of these is described as follows.
Quality Management Process

To ensure that your project produces deliverables that meet the quality expectations of your customer,
you need to implement a structured Quality Management Process. This process includes a variety of
Quality Assurance and Quality Control techniques for managing the level of quality of deliverables and
processes within the project. It include:
Constantly reassessing the Quality Targets specified within the Quality Plan
Implementing Quality Assurance reviews to regularly evaluate the overall performance of the project
Undertaking Quality Control reviews to monitor and control the actual quality of deliverables produced
Identifying deviations from Quality Targets and undertaking the actions necessary to resolve such
deviations
The following diagram depicts the processes undertaken to assure and control quality within the project.

Project Execution: Quality Management Process Diagram
A more detailed description of the Quality Management Process follows.
Measure Quality Achieved

To initiate a quality management process in your project, you first need to identify the items that will be
reviewed. This may include any sub-set of deliverables and/or management processes specified in your
project's Quality Plan.
The next step is to implement the actions listed in the Quality Assurance Plan and Quality Control Plan, to
ensure that the items reviewed meet the project's established quality targets.
Perform Quality Quality Assurance (QA) Reviews are undertaken by an independent party, to measure
Assurance the level of project performance (e.g. against schedule and budget) and conformance
Reviews (i.e. to the management processes defined in the Project Charter).

Note: Although QA usually involves completing formal reviews, a variety of other QA
techniques may be undertaken, such as process analysis and quality audits.
Perform Quality Quality Control (QC) Reviews are undertaken by internal project team members, to
Control review the current level of quality achieved by the deliverables produced by the project.
Reviews This includes undertaking Peer Reviews, Deliverable Reviews, Documentation Reviews
and Phase Reviews to assess the current level of quality for each deliverable.
Note: Although QC usually involves completing formal reviews, a variety of other QC

techniques may be undertaken, such as cause and effect analysis, statistical sampling
and deliverable inspections.
The outcome of the Quality Assurance and Quality Control actions is a set of quality results. These results
describe the overall status of the project as well as the current quality level of the deliverables produced
by the project. The Quality Manager reviews the results and determines whether any actions are required
to correct quality issues. If any change to the project is required, then the Quality Manager completes a
Change Request Form and forwards it to the Project Manager for approval, along with the list of corrective
actions.
Enhance Quality Achieved

The Project Manager reviews the corrective actions needed to resolve quality issues and approves them,
seeking Project Board approval for any Change Requests. After the changes and corrective actions are
implemented, the items are reviewed again to determine whether they now meet the quality targets set.
Once performed, corrective actions are entered into the Project Plan, to ensure that their progress is
monitored along with other actions moving the project toward completion.
Throughout the Quality Management Process, the Quality Manager keeps the Quality Register up-to-date
to allow the Project Manager to monitor and control all expenses incurred.
Quality Management Roles

The Quality Management Process involves the following roles and responsibilities:
Quality The Quality Manager is responsible for:

Manager Reviewing Quality Targets to ensure they are still relevant and achievable
Ensuring that Quality Assurance is performed as defined in the Quality Plan
Ensuring that Quality Control is performed as defined in the Quality Plan
Reviewing the results of implemented QA and QC actions
Identifying deviations from Quality Targets
Listing corrective actions needed to resolve any quality deviations
Raising Change Requests (if necessary) to resolve quality deviations
Overseeing implementation of corrective actions approved
Keeping the Quality Register up-to-date for all quality actions undertaken

Manager Reviewing and approving all corrective actions raised by the Quality Manager
Approving or seeking Project Board approval for Change Requests raised
Note: For small projects, one person can undertake both the Quality Manager and Project Manager roles;
however, for larger projects, these roles will be quite distinct.
Quality Management Documents

MPMMTM provides the following templates to help you undertake the Quality Management Process:
Quality Review Form. This form is used to record the results of Quality Reviews within the project.
Quality Register. This register is used to record the current quality status of the project.
2.3.6 Perform Change Management

Change Management is the process of monitoring and
controlling changes within a project. By managing the
implementation of change, you can:
Reduce the impact of changes to the project
Identify new issues and risks as a result of changes raised
Ensure that changes do not affect the project's ability to

achieve its desired objectives
Control the cost of change within the project
Change Management is comprised of a set of processes, roles

and documents for managing change in the project, each of
which are described as follows.
Change Management Process

Projects are typically undertaken within changing business environments, so it's inevitable that during the
life of your project, there will be some element of change required. Whether a customer requests a change
to their requirements, management requests a change in priorities or team members request a change in
roles, you will need an effective Change Management Process to minimize the resulting impact on your
project.
Change Management first begins with the completion of a Change Request Form, which allows team
members to describe the nature of the change identified. The Project Manager will investigate this change
request and determine whether the change is critical to the project's success. If they believe that the
change must be implemented then he or she could, depending on the extent of that change, request
approval from the Project Board. Following approval, the change is scheduled and implemented
accordingly. Finally, the Project Manager will review the change to ensure that it has had the desired effect
on the project and close it in the Change Register.
The following diagram depicts the processes undertaken to monitor and control within the project.

Project Execution: Change Management Process Diagram
A more detailed description of the Change Management Process follows.
Identify Change
The first step in the change process is to identify the need for change. Any team member can suggest a
change to the project, if he or she believes it is needed to keep the project producing deliverables to the
customer's specified requirements. After identifying a need for change, the team member records relevant
information on a Change Request Form (commonly called a CRF), describing the change, and identifying
drivers, benefits, costs and likely impact of the change on the project. The CRF is forwarded to the Project
Manager for review and approval.

Review Change
The Project Manager investigates the change to identify the reason for it and its impact. Then he or she
decides whether it is critical to the successful delivery of the project. Changes which are not critical to
project delivery should be avoided whenever possible to prevent "scope creep" (i.e. the gradual increase in
scope throughout the Project Lifecycle).
If the change is deemed critical to success, the Project Manager either approves the request or seeks
approval for the CRF raised. In some cases, the Project Manager has the direct authority to approval minor
change requests; however, in most cases the Project Manager needs to seek CRF approval from the
Project Board.
Approve Change
The Project Board reviews the details in the CRF to determine whether or not the change should be
implemented. Based on the level of risk, impact, benefits and cost to the project, it may decide to decline,
delay or approve the change request.
Implement Change
The Project Manager approves all changes, which are then are scheduled and implemented accordingly.
After implementation, the Project Manager reviews the effects of the change on the project to ensure that
it achieved the desired outcome, when the change is then closed in the Change Register.
Throughout the Change Management Process, the Project Manager can monitor and control changes to the
project by keeping this Change Register up-to-date.
Change Management Roles

The Change Management Process involves the following roles and responsibilities:

Member Recognizing the need for a change to the project
Completing a CRF with the details of the change request
Forwarding the CRF to the Project Manager for review

Manager Investigating each CRF to determine whether the change is critical to success
Requesting approval of each CRF from the Project Board
Scheduling and implementing approved changes
Reviewing all implemented changes and formally closing each

Board Reviewing each CRF to determine whether the change should be implemented
Deciding whether to approve each CRF based on its individual merits
Identifying the specific actions needed to implement each CRF

Change Management Documents
MPMMTM provides the following templates to help you undertake the Change Management Process:
Change Request Form. This form is used to record requests for changes to the project.
Change Register. This register is used to monitor and control change requests.
2.3.7 Perform Risk Management

Risk Management is the process of identifying and mitigating risks
within a project. By controlling the level of project risk, you can:
Create more accurate budgets and forecasts
Be more confident of completing deliverables on time
Increase your chances of overall project success
Risk Management is comprised of a set of processes, roles and

documents for managing risks within the project, each of which is
described as follows.
Risk Management Process

A risk is defined as any event that is likely to adversely affect the project's ability to achieve the defined
objectives. To reduce the impact of risks identified for your project, you need to implement an effective
Risk Management Process. This involves completing the actions listed in the Risk Plan, as well as
implementing a process for monitoring and controlling new project risks identified during the project.
The first step in the Risk Management Process is the completion of a Risk Form. With this form anyone in
the project team can document a new project risk by describing it in detail and rating its likelihood and
potential impact on the project. All Risk Forms are submitted to the Project Manager, who assesses each
risk and determines, based on its likelihood and potential impact on the project, whether it needs to be
raised to the Project Board. If so, the Project Board reviews the risk and identifies the actions necessary to
mitigate it. These required actions are then completed, and the risk is once again reviewed to determine
whether it is still likely to occur.
The following diagram depicts the processes undertaken to monitor and control risks within the project.

Project Execution: Risk Management Process Diagram
A more detailed description of the Risk Management Process follows.
Identify Risk
Any member of the project team may identify a new project risk. A Risk Form is completed to describe the
risk and rate its likelihood and impact on the project should it occur. Preventative and contingent actions
required to avoid, transfer or mitigate the risk are also identified.
Review Risk
The Risk Form is then forwarded to the Project Manager who investigates the risk and determines the
overall risk priority. The risk priority is based on the likelihood that the risk will occur and its level of
impact on the project should it occur. Risks that are highly likely to occur and will have a serious impact on
the project should they occur, are deemed high priority and forwarded to the Project Board for review.
When determining the risk priority, the Project Manager considers whether the:
Deliverables listed in the Project Charter are likely to be affected by the risk
Quality Targets specified in the Quality Plan are likely to be affected by the risk

Timeframes specified in the Project Plan are likely to be affected by the risk
Resources specified in the Resource Plan are likely to be affected by the risk
Budget specified in the Financial Plan is likely to be affected by the risk
If the Project Manager believes this is not a high priority risk but it should still be acted on immediately,
then he or she will implement a suite of actions to avoid, transfer or mitigate the risk.
Assign Risk Actions

The Project Board reviews all high priority risks by considering their likelihood and potential impact on the
project. It may then decide to:
Ignore the risk, as Board members believe it is not likely to occur within the Project Lifecycle
Validate the risk and request further information that is needed to make a decision
Decide on a suite of actions to avoid, transfer or mitigate the risk
The Project Manager is then responsible for scheduling and implementing these actions and reviewing the
risk on a regular basis to ensure that it has been avoided, transferred or mitigated as intended.
Throughout the Risk Management Process, the Project Manager can monitor and control risks to the
project by keeping a Risk Register kept up-to-date.
Risk Roles
The Risk Management Process involves the following roles and responsibilities:

Member Identifying risks within the project
Completing a Risk Form for each risk identified
Completing all risk actions assigned by the Project Manager.

Manager Reviewing all risks to determine their priority
Implementing risk actions for low / medium priority risks
Raising all high priority risks to the Project Board
Implementing risk actions approved by the Project Board
Reviewing risks after risk actions have been undertaken

Board Reviewing high priority risks raised by the Project Manager
Identifying actions required to avoid, transfer or mitigate high priority risks
Supporting the Project Manager with the implementation of all risk actions

Risk Management Documents
MPMMTM provides the following templates to help you undertake the Risk Management Process:
Risk Form. This form is used to document and quantify any risk within the project.
Risk Register. This register is used to monitor and control risks raised within the project.
2.3.8 Perform Issue Management

Issue Management is the process of identifying and resolving
issues within a project. By quickly and efficiently managing
issues, you can:
Limit the effects of unforeseen events on the project
Reduce the time spent administering project issues
Greatly improve your chances of project success
Issue Management is comprised of a set of processes, roles

and documents for managing issues within the project, each of
which is described as follows.
Issue Management Process

Issues are defined as events that are currently affecting the ability of the project to produce the required
deliverables. To minimize the impact of issues on your project, you need to implement an effective Issue
Management Process.
The first step in the Issue Management Process is the completion of an Issue Form. With this form anyone
in the project team can document a project issue by describing it in detail and determining its current
impact on the project. All Issue Forms are submitted to the Project Manager who assesses each issue and
determines whether it needs to be raised to the Project Board for action. If so, the Project Board reviews
the issue raised and identifies the actions needed to resolve it quickly and efficiently. These required
actions are then completed, and the issue is reviewed to determine whether it is still impacting on the
project.
The following diagram depicts the processes undertaken to monitor and control issues within the project.

Project Execution: Issue Management Process Diagram
A more detailed description of the Issue Management Process follows.
Identify Issue
Any member of the project team may identify a new project issue. An Issue Form is completed to describe
the issue and rate its current impact on the project. The actions required to resolve the issue are also
identified.
Review Issue
The Issue Form is then forwarded to the Project Manager, who investigates the issue and determines the
overall issue priority. The priority of the issue is determined by its current impact on the project's ability to
achieve its stated objectives. If the issue is severely impacting the project, then it is assigned a high
priority rating and forwarded to the Project Board for review.
When determining the issue priority, the Project Manager considers whether the:
Deliverables listed in the Project Charter are currently being affected by the issue
Quality Targets specified in the Quality Plan are currently being affected by the issue

Timeframes specified in the Project Plan are currently being affected by the issue
Resources specified in the Resource Plan are currently being affected by the issue
Budget specified in the Financial Plan is currently being affected by the issue
If the Project Manager believes this is not a high priority issue but it should still be acted on immediately,
he or she will implement a suite of actions to resolve the issue quickly and efficiently.
Assign Issue Actions

The Project Board reviews all high priority issues by considering the current impact of each issue on the
project. It may then decide to:
Ignore the issue, as Board members believe it is not impacting the project
Validate the issue and request further information that is needed to make a decision
Decide on a suite of actions to resolve the issue
The Project Manager is then responsible for scheduling and implementing these actions and reviewing the
issue on a regular basis to ensure that it has been resolved accordingly.
Throughout the Issue Management Process, the Project Manager can monitor and control issues impacting
the project by keeping the Issue Register up-to-date.
Issue Roles
The Issues Management Process involves the following roles and responsibilities:

Member Identifying Issues within the project
Completing an Issue Form for each Issue identified
Completing all issue actions assigned by the Project Manager.

Manager Reviewing all issues to determine their priority
Implementing issue actions for low / medium priority Issues
Raising all high priority issues to the Project Board
Implementing issue actions approved by the Project Board
Reviewing issues after risk actions have been undertaken to resolve them

Board Reviewing high priority issues raised by the Project Manager
Identifying the actions required to resolve high priority issues
Supporting the Project Manager with the implementation of all issue actions

Issue Management Documents
MPMMTM provides the following templates to help you undertake the Issue Management Process:
Issue Form. This form is used to document and quantify any issue within the project.
Issue Register. This register is used to monitor and control issues raised within the project.
2.3.9 Perform Procurement Management

Procurement Management is the process of managing the
supplier's delivery of a scope of work within a project. By
monitoring and controlling the scope of work provided by
suppliers, you can:
Ensure that the procurement items (i.e. products, services
and results) within the scope of work are delivered by
suppliers in accordance with the terms of the Supplier
Contract
Identify and resolve supplier-related issues quickly and

easily
Get maximum performance out of your supplier

relationships
Procurement Management is comprised of a set of processes,

roles and documents for managing suppliers within the project,
each of which is described as follows.
Procurement Management Process

Once a supplier has been contracted to supply a project, you need a clearly defined process for the day-to-
day receipt and acceptance of procurement items from that supplier. A tightly defined Procurement
Management Process will help you manage not only the procurement of these items, but also the overall
performance of the supplier against the Supplier Contract.
The Procurement Management Process involves three key steps:

1. Issue a Purchase Order. A Purchase Order is completed to request a procurement item from a
supplier who has been contracted to the project. Purchase Orders are approved by the Project Manager
and issued to the Supplier within the timeframes identified in the Supplier Contract.
2. Complete Purchase Order. The supplier produces and/or provides the items listed in the Purchase
Order, and the project team reviews and accepts those items when received.
3. Manage Supplier Contract. While a Purchase Order is being issued and completed, the overall
performance of the Supplier must be assessed to determine whether it is meeting the responsibilities
defined in the Supplier Contract.
The following diagram depicts the processes undertaken to fulfill the procurement the project needs while
managing the supplier's performance.

Project Execution: Procurement Process
A more detailed description of the Procurement Management Process follows.
Issue Purchase Order

The first step in procuring items from a supplier is to issue a Purchase Order:
Identify The Procurement Manager reviews the Procurement Plan to identify the procurement
Procurement items that need to be sourced from external suppliers. A Procurement Item is defined
Items as any item that a supplier is contractually obliged to provide to the project, such as:
Results (e.g. a more efficient process, a more highly skilled team and a
restructured organization)
Document Once the procurement items have been identified, the Procurement Manager completes
Purchase Order a Purchase Order for the supply of these items to the project. The Purchase Order
describes the order, delivery and payment details, as well as the terms and conditions
for supply. It is important to complete the Purchase Order well before the required
delivery date to give the supplier the maximum notice possible, increasing the
likelihood of on-time delivery.
Approve The Purchase Order is forwarded to the Project Manager for approval. Prior to giving his
Purchase Order or her approval, the Project Manager considers the following criteria:
Are the stated procurement items listed in the Procurement Plan?

Are the stated procurement items listed in the Supplier Contract?
Are the procurement items defined in sufficient detail for the supplier?
Is there sufficient time for the supplier to produce the procurement items?
Does the project team have a stated contractual relationship with the supplier?
Issue Purchase If the Purchase Order meets all the above criteria, it is approved and issued to the
Order supplier for fulfillment. If it does not meet these criteria or there is insufficient
information provided within the Purchase Order, then the Project Manager returns it to
the Procurement Manager for alteration and re-submission.
Confirm After the Purchase Order has been issued to and received by the Supplier, the Supplier
Delivery presents an ETA (Estimated Time of Arrival), providing the likely timeframe to delivery
Timeframes the procurement items to the project.
Complete Purchase Order

The next step in the Procurement Management Process is the completion (i.e. fulfillment) of the Purchase
Order by the Supplier:
Receive After receiving the Purchase Order and issuing an ETA, the supplier completes the order
Procurement by producing the procurement items for the project. The items are delivered to /
Items provided at the designated project location and confirmed by the Procurement Manager
as being received.
Review The Procurement Manager assesses the procurement items to determine whether they
Procurement meet the description in the Purchase Order. The assessment may involve a physical
Items inspection (in the case of a product) or a series of reviews (in the case of a service) to
ensure that the procured deliverables were on time, within cost and to the level of
quality required.
Resolve If the review concludes that one or many of the requirements stated in the Purchase
Delivery Issues Order have not been satisfactorily met, then the Procurement Manager raises an issue.
The impact and severity of the issue is rated, and the Project Manager helps lead the
resolution of the issue with the Supplier.
Accept When any delivery issues are resolved, the Project Manager accepts the procurement
Procurement items on behalf of the project team and notifies the supplier of their acceptance.
Items
Approve The supplier issues an invoice to the project team for payment. The supplier invoice is
Payment then paid and the terms of the contract for those procurement items are complete.
Manage Supplier Contract

During the Purchase Order issue and fulfillment process, the project team manages the overall
performance of the supplier, to ensure that it is completing its full responsibilities as defined within the
Supplier Contract. The following steps are performed:
Performance The first step in managing a supplier's performance is to identify the contract
Milestones milestones that trigger a formal performance review. Each time a milestone is
Reached reached, a formal review is initiated to assess the supplier's overall level of
performance against the terms of the contract.
Assess Supplier The Procurement Manager reviews the supplier's performance by assessing the

Performance procurement items received to date to determine whether they are within the scope of
work stated in the Supplier Contract. He or she also forms an opinion as to whether
the Supplier has operated within the terms and conditions of the contract.
Identify If there are any deviations from the contract they are identified during the review and
Performance the impact of each deviation is measured. The Procurement Manager raises a formal
Issues issue with the Project Manager for resolution.
Resolve The Project Manager and Procurement Manager raise the issue with the supplier (in
Performance accordance with the terms of the contract) and attempt to negotiate a resolution with
Issues the supplier. The resolution may entail withholding payment until the required
procurement items are supplied, raising a dispute under the terms of the contract, or
cancellation of the supplier contract.
Communicate The relevant project stakeholders are informed of the outcome of the review and any
Review Outcome impact on the project.
Procurement Roles
The Procurement Management Process involves the following roles and responsibilities:
Procurement The Procurement Manager is responsible for:

Manager Managing the day-to-day procurement of items for the project
Identifying the procurement items listed in the Procurement Plan
Completing Purchase Orders and obtaining the Project Manager's approval
Issuing Purchase Orders to suppliers and obtaining ETA dates
Accepting procurement items from suppliers, on behalf of the project
Reviewing supplier performance at the milestones stated in the Supplier Contract
Identifying deviations from contract and raising supplier issues
Assisting the Project Manager with resolving supplier issues
Requesting the approval of supplier payments

Manager Approving Purchase Orders completed by the Procurement Manager
Approving each supplier payments requested by the Procurement Manager
Assisting the Procurement Manager with the resolution of supplier issues
Note: For small projects, one person may perform the Procurement Manager and Project Manager roles;
however, for larger projects, these roles will be quite distinct.
Procurement Management Documents

MPMMTM provides the following templates to help you undertake the Procurement Management Process:

Purchase Order Form. This form is used to request the delivery of procurement items from a project
supplier.
Procurement Register. This register is used to monitor and control procurement within the project.
2.3.10 Perform Acceptance Management

Acceptance Management is the process of reviewing
deliverables within the project and gaining the customer's
acceptance that they are 100% complete. By gaining customer
acceptance for each deliverable produced, you can:
Identify customer acceptance issues early in the project
Improve deliverables to meet a customer's requirements
Maximize customer confidence in the delivery of the

project
Keep customers happy and increase your chances of

success
Acceptance Management is comprised of a set of processes,

roles and documents for managing the acceptance of
deliverables within the project, each of which are described as
follows.
Acceptance Management Process

To ensure that your customer is satisfied with the deliverables produced by your project, then you need to
implement an Acceptance Management Process. This process allows the customer to sign off on each
deliverable in the project once it has been completed. By allowing the customer to approve deliverables as
100% complete as you move through the project, you will substantially increase your chances of project
success.
Through a suite of Acceptance Tests, the Acceptance Management Process ensures that each deliverable
produced by the project meets the criteria stated by the customer in the project's Acceptance Plan. The
results of acceptance tests are documented on an Acceptance Form, which is presented to the customer
along with the deliverable, for final signoff. Only after the customer has approved the Acceptance Form is
the deliverable considered 100% complete. Throughout the process, the customer can monitor and control
the acceptance of deliverables within the project by reviewing an up-to-date Acceptance Register.
The following diagram depicts the processes undertaken to request the acceptance of deliverables from the
customer:

Project Execution: Acceptance Management Process Diagram
A more detailed description of the Acceptance Management Process follows.
Complete Deliverable
The first step in the Acceptance Management Process is to identify the completion of a project deliverable.
The project team members inform the Project Manager that a deliverable is complete and ready for
acceptance testing. Only when the Project Manager considers that deliverable to be complete in its entirety

is an Acceptance Test initiated. The Project Manager might opt to perform the test immediately. Or,
depending on the size and complexity of the deliverable, he or she may wait until other related
deliverables are also complete and test the entire group simultaneously. Many Project Managers wait until
the end of the Execution phase before they perform Acceptance Tests. However, MPMM suggests that you
perform Acceptance Tests as soon as possible after the deliverable is complete, so that you have more
time to rectify any issues that may arise from the exercise.
Perform Acceptance Test

The Project Manager schedules acceptance tests for deliverables produced by the project. These tests
involve reviewing each deliverable to determine whether it meets the criteria stated in the Acceptance
Plan. There are various testing methods you can use, including:
Physical inspection of the deliverable
Third party audit of the deliverable
Analysis of the processes used to create the deliverable
Review, against the Project Plan, of the time spent to create the deliverable
Review against the Financial Plan, of the cost incurred in creating the deliverable
Review against the Quality Plan, of the quality of the deliverable
To increase your chances of gaining customer sign-off, you may wish to involve the customer in the
acceptance testing process itself. This gives the customer additional confidence that the deliverables meet
the acceptance criteria and that the testing methods used to determine the completion of each deliverable
are comprehensive and effective.
After the acceptance test is complete, the Project Manager commissions any additional work needed to
meet specified acceptance criteria. Upon completion of that additional work, the deliverable is re-tested to
determine whether it has achieved the required level of quality. This process continues until the
deliverable is ready for customer sign-off.
Once the testing is complete and the deliverable is ready for sign-off, the Project Manager completes an
Acceptance Form, which describes the acceptance criteria and the overall results of the acceptance test.
This should give customers confidence that deliverables meet their requirements in full and should be
accepted as 100% complete.
Accept Deliverable
The customer reviews the Acceptance Form and decides to either:
Commission its own acceptance test to ensure that the deliverable really is complete
Request further information about testing activities and results achieved
Not approve the deliverable and raise a formal issue with the Project Manager
Approve the deliverable as 100% complete by endorsing the Acceptance Form
Throughout the Acceptance Management Process, the Quality Manager keeps an Acceptance Register up-
to-date to allow the Project Manager to monitor and control acceptance of project deliverables.
Acceptance Roles
The Acceptance Management Process involves the following roles and responsibilities:


Member Producing the deliverables listed in the Project Charter
Informing the Project Manager that a deliverable is complete and ready for sign-off
Completing any remedial actions required to gain acceptance for a deliverable

Manager Organizing Acceptance Tests required to review the completion of deliverables
Ensuring that Acceptance Tests are comprehensive and effective
Reviewing the results of Acceptance Tests and identifying remedial actions needed to
ensure that a deliverable meets the stated acceptance criteria
Involving the customer in the Acceptance Tests where appropriate
Completing an Acceptance Form to request acceptance for one or more deliverables
Presenting Acceptance Forms to the customer for sign-off
Communicating the status of customer acceptance to project stakeholders
Ensuring that the Acceptance Register is kept up-to-date at all times
Customer The Customer is responsible for:

Taking part in the acceptance testing process if requested
Authorizing the Acceptance Form for final confirmation that the deliverable has met the
criteria specified in the Acceptance Plan
Taking custody of the deliverable in its business environment
Acceptance Management Documents

MPMMTM provides the following templates to help you undertake the Acceptance Management Process:
Acceptance Form. This form is used to record Acceptance Test results and request acceptance
approvals.
Acceptance Register. This register is used to monitor and control the acceptance status of project
deliverables.

2.3.11 Perform Communications Management
Communications Management is the process of providing the
right stakeholders with the right information at the right time.
By implementing effective communications, you can:
Ensure that stakeholders are kept regularly informed
Control the release of critical project information
Avoid communications issues and risks
Communications Management is comprised of a set of

processes, roles and documents for managing communications
within the project, each of which are described as follows.
Communications Management Process

The Communications Management Process is the method by which formal messages are identified,
created, reviewed and communicated within a project. Clear, accurate and timely communication is critical
to the success of any project, as miscommunication can result in increased project risk. Effective project
communication ensures that the right stakeholders have the right information at the right time, enabling
them to make well-informed decisions about the project.
You can use a wide variety of communications media on your project, including:
Press releases
Internal newsletters
Project Status Reports
Presentation materials
Website news releases
Internal project memos
Regardless of the media used to communicate formally within your project, the steps will always be the
same:
Identify content, audience, timing and format of the message
Create the message to be sent
Review and approve the message prior to distribution
Communicate the message to the recipients
Obtain feedback regarding the message sent
The following diagram depicts the processes undertaken to create and distribute communications
messages within a project.

Project Execution: Communications Management Process Diagram
A more detailed description of the Communications Management Process follows.
Create Message
The Communications Management Process begins by creating the messages to be distributed to project
stakeholders.
Procedure Description
Identify The Communications Plan identifies the types of communications events and messages
Message required to keep stakeholders informed of the project's progress. During the Project
Content Lifecycle, the communications team reviews the Communications Plan to identify the
messages that need to be distributed, and how and when to distribute them. When a
communications need is raised, the first step in the Communications Management
Process is to determine the content of the message.

Identify Now that you know what needs to be communicated, the next step is to identify to
Message whom it needs to be communicated. The audience for each communications message is
Audience confirmed and may include such recipients as the:
Entire project team
Project management team
Project Office team
Project Board
Identify At this point, the type of message and the audience have been clearly specified. The
Message Timing next step is to identify the timing and frequency of the communications message. In
some cases, regular communications, such as weekly Project Status Reports or
monthly newsletters, may be necessary. In other cases, a one-off communication
event, such as a project change notification, may be more appropriate. For each
communications event, the Project Manager needs to be satisfied that the regularity
and exact timing of each communication is suitable for the project need.
Identify With content, audience and timing decided, the format of the communication message
Message can be effectively chosen. There are a number of different types of formats to choose
Format from, including verbal presentations, written reports, memos, letters and emails.
Create Message The communications team documents a first draft of the message content. The Project
Manager reviews the content and suggests changes. When a final draft is completed it
is submitted to the Project Manager for approval and release.
Communicate Message
Once approved, the message is communicated to the target audience. The Project Manager may need to
seek the Project Sponsor's approval before releasing communications messages on certain topics, such as:
Changes to the project scope, objectives or timeline
Critical project risks or issues
Major project overspending or delays
Premature closure of the project
The Communications Manager seeks feedback concerning communications messages and updates the
Communications Register, so that the Project Manager can monitor and control communications
throughout the Project Lifecycle.
Communications Roles
The Communications Management Process involves the following roles and responsibilities:
Communications The Communications Team is responsible for:

Team Identifying communications events as listed in the Communications Plan
Defining the message content, audience, timing and format

Drafting all communications messages for the project
Obtaining feedback for all communications messages within the project
Project Manager The Project Manager is responsible for:

Approving all communications messages within the project
Requesting special approvals from the Project Sponsor if required
Distributing all communications messages within the project
Identifying and resolving any communications issues that arise
Note: for small projects, the Project Manager can perform the communications role. However, larger
projects may require the appointment of a staff of communications specialists to the project, or the use of
communications resources from within the business.
Communications Management Documents

MPMMTM provides the following templates to help you undertake the Communications Management
Process:
Project Status Report. This form is used to document and communicate the current status of the
project.
Communications Register. This register is used to monitor and control communications on the project.
2.3.12 Phase Review - Execution

The last step in the Project Execution phase is the completion of a Phase Review. This review is
undertaken to determine whether all of the activities and tasks required within the Execution phase have
been successfully completed and to request approval to proceed to the Closure stage of the project. The
following diagram depicts the steps involved in undertaking this review:
Closure Report.
cancel the project.
The following steps describe the procedures involved in undertaking a Phase Review for the Execution
phase of the project.

Identify Phase Review Criteria
Execution phase are provided in the following table:
Activities Was a formal Time Management Process carried out?
Was a formal Cost Management Process carried out?
Was a formal Quality Management Process carried out?
Was a formal Change Management Process carried out?
Was a formal Risk Management Process carried out?
Was a formal Issue Management Process carried out?
Was a formal Procurement Management Process carried out?
Was a formal Acceptance Management Process carried out?
Was a formal Communications Management Process carried out?
Deliverables Were all project deliverables produced within the scheduled timeframe?
Were all project deliverables produced within the budgetted expenditure?
Did all project deliverables produced meet the quality targets defined?
Were all project change requests reviewed, approved, scheduled and implemented
efficiently?
Were all project risks identified, quantified and mitigated efficiently?
Were all project issues raised and resolved efficiently?
Were all procurement items accepted by the project?
Were all deliverables produced by the project accepted by the customer?
Were all project stakeholders provided with the right information at the right time?


The results of the Phase review are collated by the Project Administrator and bound into a single

present:
Approve the project to proceed to the next phase of the project: Project Closure

2.4 Project Closure
It may look easy, but there is more to closing a project than meets the eye. Project Closure involves
releasing the final deliverables to the customer, handing over project documentation to the business,
terminating supplier contracts, releasing project resources and communicating project closure to all
stakeholders. The last remaining step is to undertake a Post Implementation Review to identify the level of
project success and note any lessons learned for future projects. The steps involved in the Closure phase
are depicted within the following diagram:
Perform Project Closure

The first step taken when closing a project is to create a Project Closure Report. It is extremely important
that you list every activity required to close the project within the Project Closure report, to ensure that
project closure is undertaken smoothly and efficiently. Once the report has been created and approved by
the Project Sponsor, the closure activities stated within the report are undertaken. The project is then
officially closed.
Review Project Completion

Between one and three months after the project has been closed and the business has begun to
experience the benefits provided by the project, it is important to undertake a Post Implementation
Review (PIR). This review allows the business to identify the level of success of the project and list any
lessons learned for future projects.
2.4.1 Perform Project Closure

Once all the deliverables within the project have been completed and approved by the customer, the
project is ready for closure. Closing a project is a task not to be under-rated, as it requires the review of
the entire Project Lifecycle to date and the completion of a comprehensive set of closure actions. The
following diagram depicts the steps involved in performing project closure:
Before the Project Manager takes the necessary actions required to close the project, he or she needs to
review the project to date to ensure that every deliverable produced by the project is complete and
accepted by the customer. The actions required to close the project are then recorded in a Project Closure
Report, which is presented to the Project Board for approval. Following Board approval, the closure actions
are completed, and at that point the project is officially designated as Closed.
The following sections describe in more detail how to perform project closure.

Confirm Project Closure
This section will help you determine whether the project is complete and ready for closure.
Review Completion Criteria

The first step in closing a project is to confirm that the project is ready to be closed. The project is only
ready for closure when all the completion criteria specified in the Project Charter have been met in full.
Use the following table to revisit these completion criteria and determine whether they have been fully
satisfied.
Completion
Completion Criteria Satisfied?
Category
List the categories of List the criteria stated in the Project Charter that determine
completion criteria, such whether the project is complete and ready for closure.
as Objectives, Benefits Examples of completion criteria include:
and Deliverables.
The project vision has been achieved. [Y/N]
All the project objectives have been met. [Y/N]
The project has resulted in the stated benefits. [Y/N]
All the deliverables specified have been produced [Y/N]

Closure: Completion Criteria Table
Outstanding Items
If you are confident that the project has met all the completion criteria listed above, then the next step is
to list any outstanding items. These are typically activities listed as Incomplete on the Project Plan;
however, they may also be miscellaneous risks, issues or general items that are noteworthy and need to
be raised. List the outstanding items and identify the actions needed to resolve such items within the
following table:
Outstanding Item Action Required Completion Date
List the outstanding items, such as Identify the actions required Identify the person(s) responsible
Activities, Risks or Issues. to resolve the items listed. for undertaking the actions listed.
Project Closure: Outstanding Items Table
Identify Closure Actions

You're now ready to document the actions required to close the project, within a Project Closure Report.
This report describes how deliverables and documentation will be handed over to the customer, supplier
contracts terminated, resources released, and project closure communicated.
Deliverables
List the actions required to hand over the responsibility for project deliverables to the customer.
Project
Action Required Completion Date
Deliverable
List the project Identify the actions required to hand over List the dates by which the
deliverables. responsibility for each of the deliverables handover should be complete.
listed.
Project Closure: Deliverable Handover Table

Documentation
List the actions required to hand over the project documentation to the customer.
Project Document Action Required Completion Date
Itemize the project Initiation, Planning, Execution Identify the actions required List the dates by which
and Closure documentation created by the to hand over the project the handover should
project. This includes all plans, reports, forms, documentation to the be complete.
registers, contracts, and all other project customer.
documentation.
Project Closure: Documentation Handover Table
Suppliers
List the actions required to terminate all supplier contracts within the project.
Supplier Contract Action Required Completion Date
List the supplier contracts Identify the actions required to List the date by which the
endorsed during the project. terminate the supplier contracts. termination should be complete.
Project Closure: Supplier Contracts Table
Resources
List the actions required to release all project resources, including staff, contractors, equipment and
materials. You should also include the actions required to close down the Project Office, including the
cessation of premise rental agreements and cancellation of supply accounts such as water, electricity and
phone lines.
Project
Action Required Completion Date
Resource
List the project Identify each of the actions required to List the dates for which the release
resources. release the resources from the project. should be complete.
Project Closure: Resource Handover Table
Communications
Create a plan for communication of the project closure to all stakeholders. Note: You may need to create
different messages for different audience groups.
Audience Message Method Date
List the intended audience Specify the Describe how each List the date by which each
group for each content of each message will be communications event must
communications message. message. communicated. be complete.
Project Closure: Communications Handover Table
Undertake Closure Actions

Following the approval of the Project Closure Report by the Project Board, the Project Manager will be
responsible for undertaking each of the actions listed within the specified dates. The Project Manager and
Project Sponsor will stay in close contact as each action is performed to ensure that the project is closed

quickly and efficiently. Only after all the actions specified within the Project Closure Report have been
completed will the project be designated as officially closed.
2.4.2 Review Project Completion

After the project has been closed and the business begins to gain the benefits delivered by the project,
you need to review the project's overall success in meeting its stated objectives. This exercise is called a
Post Implementation Review (PIR) and is usually undertaken by an independent person to provide an
unbiased opinion of the project outcome. The following diagram depicts the steps involved in performing a
PIR for your project:
The first step in performing a PIR is to review the project performance. That is, you need to determine
whether the project delivered the benefits, met the objectives, operated within the scope, and produced
the deliverables on time, within budget and using the allocated resources. The review also needs to
determine whether the project conformed to the management processes specified in the Project Charter. It
should also identify the key project achievements, failures and any lessons learned for future projects.
The following sections describe how to complete a PIR for your project in more detail.
Review Project Performance

As described above, the PIR is initiated by reviewing how the project performed against each of the targets
set during the Initiation and Planning phases of the project. List these targets in the sections below and
measure the project's success/failure in meeting each target.
Benefits
Determine whether the project has delivered the business benefits specified in the Business Case by
completing the following table:
Benefit Original Value Actual Value Deviation
List the business Identify the value of the Measure the actual Identify any substantial
benefits stated in business benefits as value of the benefits deviations between the benefits
the Business Case. stated in the Business gained by the originally stated and the benefits
Case. business. received.
Project Closure: Benefit Realization Table
Objectives
Identify the extent to which the project has achieved the objectives specified in the Project Charter by
completing the following table:
Objective Achievement Shortfall
List the project objectives Identify the actual level of Describe any shortfall where the
stated in the Project achievement of each project project has failed to achieve the
Charter. objective stated. objective stated.
Project Closure: Objectives Achieved Table

Scope
Identify whether at any stage the project deviated from the original scope defined in the Project Charter.
Original Scope Actual Scope Deviation
Describe the planned project Describe the actual scope in Identify any deviations from scope, and
scope as per the Project which the project was quantify the impact of those deviations on
Charter. undertaken. the project.
Project Closure: Scope Conformance Table
Deliverables
List the deliverables and quality targets defined in the Quality Plan and rate the overall level of
achievement using the following table:
Quality Quality
Deliverable % Achievement
Criteria Standards
List the deliverables List the original List the original Quantify the percentage of
outlined in the Quality Quality Criteria. Quality Standards. criteria and standards achieved.
Plan.
Project Closure: Resultant Deliverables Table
Schedule
Identify the actual vs. the planned delivery schedule. An example follows:
Project Closure: Final Project Schedule

Expenses
Identify any deviations between the budgeted project expenditure (as defined in the Financial Plan) and
the actual project expenditure in the following table:
Budgeted
Expense Types Actual Expenditure Deviation
Expenditure
List each major type of State the budgeted State the actual amount Identify any deviations
expense within the amount of expenditure of expenditure for each between the budgeted
project (per the for each expense type. expense type. and actual expenditures.
Financial Plan).
Project Closure: Final Expenditure Table
Resources
Identify any deviations between the forecast resource levels (as defined in the Resource Plan) and the
actual resource levels in the following table:
Budgeted
Resource Types Actual Resource Deviation
Resource
List each type of resources State the budgeted State the actual Identify any deviations
within the project (per the quantity needed of quantity of each between the actual and
Resource Plan). each resource. resource consumed. budgeted resource levels.
Project Closure: Final Resource Utilization Table
Review Project Conformance

Next, identify the extent to which the project has conformed to the management processes (as set out in
the Project Charter) during the Execution phase of the project. A number of checklists have been provided
to help you determine the actual level of conformance achieved.
Time Management Process

Checklist Yes or No
Was a clear schedule outlined in the Project Plan? Y/N
Did the schedule include all activities, tasks and dependencies? Y / N
Were clear resource estimates outlined in the Project Plan? Y/N
Did all staff regularly record time using a Timesheet? Y/N
Was the Project Manager required to approve all timesheets? Y/N
Were any timesheet issues raised by the Project Manager? Y/N
Was timesheet information recorded in the Project Plan? Y/N
Were there any activities recorded with no time against them? Y/N
Project Closure: Time Management Conformance Table

Cost Management Process
Checklist Yes or No
Were all expense types identified in the Financial Plan? Y/N
Were all expenses adequately quantified in the Financial Plan? Y/N
Did the project actually incur all the expenses planned? Y/N
Were Expense Forms completed for all project expenses? Y/N
Were invoices and receipts kept for expenses incurred? Y/N
Was the Project Manager required to approve all project expenses? Y / N
Were the approval procedures diligently followed? Y/N
Were all expenses recorded in an Expense Register? Y/N
Was the Expense Register monitored to assess total expenditure? Y/N
Did the project spend more than the original budget? Y/N
Was the Project Board required to allocate additional funding? Y/N
Was the customer satisfied with the overall level of expenditure? Y/N
Project Closure: Cost Management Conformance Table
Quality Management Process

Checklist Yes or No
Were all project deliverables identified in the Quality Plan? Y/N
Were clear quality targets identified? Y/N
Were quality criteria and standards specified? Y/N
Were clear quality assurance techniques identified? Y/N
Did regular quality assurance reviews take place Y/N
Were clear quality control techniques identified? Y/N
Did regular quality control take place? Y/N
Were quality management roles formally defined? Y/N
Did staff operate according to their defined Quality Roles? Y/N
Were all deliverables recorded in a Quality Register? Y/N
Were Quality Review Forms completed for all quality reviews? Y / N
Were quality deviations formally tracked? Y/N
Were quality improvement actions actually undertaken? Y/N

Project Closure: Quality Management Conformance Table

Change Management Process
Checklist Yes or No
Were all changes managed through the formal change process? Y / N
Were Change Request Forms completed for all changes? Y/N
Did the Change Manager review Change Request Forms? Y/N
Were all approved changes implemented as required? Y/N
Did staff operate according to their defined Change Role? Y/N
Were all changes recorded within a Change Register? Y/N
Did any change impact the business in an unexpected manner? Y/N
Did any change result in a new risk or issue? Y/N
Did any change result in a new business benefit or cost? Y/N

Project Closure: Change Management Conformance Table
Risk Management Process

Checklist Yes or No
Were all important project risks identified early in the project? Y/N
Were all risks managed through a formal risk process? Y/N
Were Risk Forms completed for all important risks? Y/N
Did the Project Manager review all Risk Forms? Y/N
Were ratings assigned appropriately for risk likelihood and impact? Y / N
Was a clear mitigation plan outlined for each risk identified? Y/N
Were risk-mitigating actions assigned appropriately for action? Y/N
Were risk-mitigating actions completed accordingly? Y/N
Did staff operate according to their defined Risk Roles? Y/N
Were all risks recorded in a Risk Register? Y/N
Did any risk result in a Change Request? Y/N
Did any risk actually eventuate and impact the project? Y/N
Project Closure: Risk Management Conformance Table
Issue Management Process

Checklist Yes or No
Were all project issues identified during the project? Y/N
Were all issues managed through a formal issue process? Y/N
Were Issue Forms completed for all identified issues? Y/N

Did Issue Forms describe the impact of the issue on the project? Y/N
Did the Project Manager review all Issue Forms? Y/N
Were clear, recommended actions identified to resolve the issue? Y/N
Did the Project Board review all Issue Forms? Y/N
Were all recommended actions undertaken accordingly? Y/N
Did staff operate according to their assigned Issue Roles? Y/N
Were all issues recorded in an Issue Register? Y/N
Did any issue remain unresolved throughout the project? Y/N
Did any issue result in the identification of a new project risk? Y/N
Did any issue result in a lower quality deliverable being produced? Y / N

Project Closure: Issue Management Conformance Table
Procurement Management Process

Yes or
Checklist
No
Was a formal process undertaken to select preferred suppliers? Y/N
Was the supplier evaluation process undertaken in a fair manner? Y/N
Were detailed contracts signed with all suppliers? Y/N
Was each supplier provided with a Statement of Work? Y/N
Were formal supplier performance reviews undertaken regularly? Y/N
Were all supplier issues raised with the Project Manager? Y/N
Were all supplier issues resolved appropriately? Y/N
Were all supplier issues recorded in an Issue Register? Y/N
Did any supplier issues remain unresolved throughout the project? Y/N
Did any supplier issues result in a new project risk? Y/N
Did any supplier issues lower the quality of deliverables? Y/N
Were clear payment milestones identified for each supplier? Y/N
Were any supplier contracts terminated before the planned end date? Y/N
Did any legal issues result from supplier performance, payment milestones or contract Y/N
termination?
Project Closure: Procurement Management Conformance Table

Communications Management Process
Yes or
Checklist
No
Did the Communications Plan clearly identify the intended target audience, message and Y/N
methods to be used?
Were regular reports distributed to key project stakeholders? Y/N
Did Project Status Reports clearly identify progress, risks and issues? Y/N
Was the Project Board kept regularly informed of progress? Y/N
Was the Project Team kept regularly informed of progress? Y/N
Was the Customer kept regularly informed of progress? Y/N
Was there a clear escalation path for urgent project matters? Y/N
Were all project decisions clearly documented and communicated? Y/N
Was the Project Closure clearly communicated to all stakeholders? Y/N
Were any communication issues identified? Y/N
Did any communication issues result in new project risks? Y/N
Did any communication issues impact the project? Y/N
Were expectations of the Project Board and customer well managed? Y/N
Was the project perceived to be a success? Y/N

Project Closure: Communications Management Conformance Table
Acceptance Management Process

Checklist Yes or No
Were clear acceptance criteria outlined in the Acceptance Plan? Y/N
Was customer acceptance requested for all completed deliverables? Y / N
Was an Acceptance Form completed for each deliverable? Y/N
Were acceptance tests undertaken for each deliverable? Y/N
Was the customer involved in all acceptance reviews? Y/N
Were the acceptance tests adequate? Y/N
Were the test results recorded in an Acceptance Register? Y/N
Has the customer formally accepted all deliverables? Y/N
Were Acceptance Management Roles formally defined? Y/N
Did staff operate according to their Acceptance Roles? Y/N

Project Closure: Acceptance Management Conformance Table

Identify Project Achievements
List the major achievements for this project and describe the positive effect that each achievement has
had on the customer's business in the following table:
Achievement Effect on Business
List and describe each of the key project Describe the positive effect that the achievement has had
achievements. on the business.
Project Closure: Project Achievements Table
Identify Project Failures

List any project failures and describe the effects they have had on the customer's business in the following
table:
Failure Effect on Business
List and describe each of the key project Describe the negative effects that each failure has had on
failures. the business.
Project Closure: Project Failures Table
Identify Lessons Learned

Describe the lessons learned from undertaking this project and list any recommendations for similar
projects in the future.
Learning Recommendation
List and describe each of the Document the recommendation to ensure that future projects
lessons learned. benefit from the lesson.
Project Closure: Lessons Learned Table

3 MPMM Content
3.1 Roadmap
Use this Roadmap to quickly navigate the world of Project Management information provided within this
MPMMTM Guide Book .Click on any project activity in the diagram below to discover a suite of lifecycle
activities, templates and examples to help you deliver projects efficiently.

3.2 Project Sizing
MPMMTM is a scalable Project Management Methodology, meaning you can scale it up to fit larger projects
and down to fit smaller projects. Of course, you define the terms 'larger' and 'smaller' however most
Project Managers define a project's size based on the:
Total financial resources available
Number of team members involved
Number and size of deliverables to be produced
Complexity of deliverables to be produced
Timeframes involved in delivery
As the project size increases, the complexity of the project will often increase as well, as illustrated in this
diagram:
To achieve the best results with the MPMM Project Management Methodology, we recommend that you
scale it up or down to fit each project's size and particular needs. You do not need to adopt MPMM in its
entirety for every project within your business. Instead, MPMM is designed to help you 'pick-and-choose'
specific activities within the Project Lifecycle that will add maximum value to your project. The following
matrix lists the project activities typically undertaken for small, medium and large projects:

Project Sizing Matrix
Small Projects Medium Projects Large Projects
Establish Project Charter Develop a Business Case Develop a Business Case

Appoint the Project Team Establish Project Charter Undertake a Feasibility Study
Set Up the Project Office Appoint the Project Team Establish Project Charter
Set Up the Project Office Appoint the Project Team
Perform a Phase Review Set Up the Project Office
Perform a Phase Review
Create a Project Plan Create a Project Plan Create a Project Plan

Create a Quality Plan Create a Quality Plan Create a Resource Plan
Create a Create a Risk Plan Create a Financial Plan
Communications Plan Create a Communications Plan Create a Quality Plan
Contract Suppliers Create a Risk Plan
Perform a Phase Review Create an Acceptance Plan
Create a Communications Plan
Create a Procurement Plan
Contract Suppliers
Define the Selection Process
Issue a Statement of Work
Issue a Request for
Information
Issue a Request for Proposal
Negotiate Supplier Contracts
Build Deliverables Build Deliverables Build Deliverables

Monitor and Control Monitor and Control Monitor and Control
Perform Time Management Perform Time Management
Perform Cost Management Perform Cost Management
Perform Quality Management Perform Quality Management
Perform Change Management Perform Change Management
Perform Risk Management Perform Risk Management
Perform Issue Management Perform Issue Management
Perform Communications Perform Procurement
Management Management
Perform a Phase Review Perform Acceptance
Management
Perform Communications
Management

Perform Project Closure Perform Project Closure Perform Project Closure
Review Project Document with Project Document Project Closure
Completion Closure Report Report
Complete Project Closure Complete Project Closure
Actions Actions
Review Project Completion Review Project Completion
Undertake Post-
Implementation Review
Project Sizing Matrix
3.3 Best Practices

MPMMTM is considered a "Best Practice Project Management Methodology" because it is aligned with the
worldwide standards for Project Management: PMBOK (Project Management Body of Knowledge) and
PRINCE2 (PRojects IN Controlled Environments). By aligning with the PMBOK and PRINCE2 standards,
MPMM has become a leader in the Project Management Methodology market. We will explain more about
this alignment below.
Best Practice Project Management
What is PMBOK?
How are MPMM and PMBOK aligned?
What is PRINCE2?
How are MPMM and PRINCE2 aligned?
What is PMBOK?
With more than 150,000 members in over 150 countries, the Project Management Institute (PMI) is the
world's foremost advocate for the project management profession (see www.pmi.org). Created by the PMI,
the Project Management Body of Knowledge (PMBOK) is a collection of processes and knowledge areas
widely accepted as best practice within the project management discipline. The PMBOK is an
internationally recognized standard (IEEE Std 1490-1998) and includes five basic Project Management
processes; Initiating, Planning, Executing, Controlling and Closing
How are MPMM and PMBOK aligned?

By creating the MPMM Phases in parallel with the PMBOK Process Groups, we have been able to achieve a
tight alignment between the Method123 Project Management Methodology (MPMM) and the worldwide
Project Management Body of Knowledge (PMBOK). Thus, where PMBOK shows you what you need to do,
MPMM shows you how to do it.

For each core process in the PMBOK, MPMM has an equivalent step. The following table illustrates the
alignment between the PMBOK and MPMM:
PMBOK MPMM
Initiating Processes
Develop Project Charter Establish the Project Charter
Develop Preliminary Project Scope Statement Establish the Project Charter
Planning Processes
Develop Project Management Plan Create a Project Plan
Scope Planning Create a Project Plan
Scope Definition Create a Project Plan
Create WBS Create a Project Plan
Activity Definition Create a Project Plan
Activity Sequencing Create a Project Plan
Activity Resource Estimating Create a Resource Plan
Activity Duration Estimating Create a Project Plan
Schedule Development Create a Project Plan
Cost Estimating Create a Financial Plan
Cost Budgeting Create a Financial Plan
Quality Planning Create a Quality Plan
Human Resource Planning Create a Resource Plan

Communications Planning Create a Communications Plan
Risk Management Planning Create a Risk Plan
Risk Identification Create a Risk Plan
Qualitative Risk Analysis Create a Risk Plan
Quantitative Risk Analysis Create a Risk Plan
Risk Response Planning Create a Risk Plan
Plan Purchases and Acquisitions Create a Procurement Plan
Plan Contracting Create a Procurement Plan
Executing, Monitoring and Controlling Processes

Direct and Manage Project Execution Build Deliverables
Perform Quality Assurance Perform Quality Management
Acquire Project Team Appoint the Project Team
Develop Project Team Appoint the Project Team
Information Distribution Perform Communications Management
Request Seller Responses Contract the Suppliers
Select Sellers Contract the Suppliers
Monitor and Control Project Work Monitor and Control
Integrated Change Control Perform Change Management
Scope Verification Perform Change Management
Scope Control Perform Change Management
Schedule Control Perform Change Management
Cost Control Perform Cost Management
Perform Quality Control Perform Quality Management
Manage Project Team Perform Time Management
Performance Reporting Perform Communications Management
Manage Stakeholders Perform Communications Management
Risk Monitoring and Control Perform Risk Management
Contract Administration Perform Procurement Management
Closing Processes
Close Project Perform Project Closure
Contract Closure Perform Project Closure

Key Knowledge Areas
Project Integration Management All Project Lifecycle Processes
Project Scope Management Project Change Management
Project Time Management Project Time Management
Project Cost Management Project Cost Management
Project Quality Management Project Quality Management
Project Human Resource Management Create a Resource Plan
Project Communications Management Project Communications Management
Project Risk Management Project Risk Management
Project Procurement Management Project Procurement Management
(none) Project Issue Management
(none) Project Acceptance Management

PMBOK Comparison Matrix
What is PRINCE2?
PRINCE2 (PRojects IN Controlled Environments) is the UK de-facto standard for Project Management. Used
extensively by the UK Government and widely recognized in the private sector, PRINCE2
(www.prince2.com) includes the following Project Management processes:
Starting up a Project
Initiating a Project
Planning
Directing a Project
Controlling a Stage and Managing Product Delivery
Managing Stage Boundaries
Closing a Project
How are MPMM and PRINCE2 aligned?

As PRINCE2 was initially created to manage UK government IT projects and MPMM was created to
accommodate all industries worldwide, MPMM and PRINCE2 describe the Project Lifecycle using slightly
different terminology. It is however fair to say that the core processes within MPMM and PRINCE2 are
aligned.

The following table describes the alignment between MPMM and PRINCE2 in more detail:
PRINCE2 MPMM
Starting Up and Initiating a Project

Appointing a Project Board Executive and a Project Manager Appoint the Project Team
Designing a Project Management Team Appoint the Project Team
Appointing a Project Management Team Appoint the Project Team
Preparing a Project Brief Develop a Business Case
Defining Project Approach Establish the Project Charter
Planning an Initiation Stage Create a Project Plan
Planning Quality Create a Quality Plan
Planning a Project Create a Project Plan
Refining the Business Case and Risks Develop a Business Case
Setting up Project Controls Set up the Project Office
Setting up Project Files Set up the Project Office
Assembling a Project Initiation Document Establish the Project Charter
Planning and Directing a Project

Designing a Plan Create a Project Plan
Defining and Analyzing Products Establish the Project Charter
Identifying Activities and Dependencies Create a Project Plan
Estimating Create a Project Plan
Scheduling Create a Project Plan

Analyzing Risks Create a Risk Plan
Completing a Plan Create a Project Plan
Authorizing Initiation Perform Phase Review
Authorizing a Project Perform Phase Review
Authorizing a Stage or Exception Plan Perform Phase Review
Giving Ad-Hoc Direction Monitor and Control
Confirming Project Closure Complete Project Closure Actions
Controlling a Stage and Managing Product Delivery

Authorizing a Work Package Perform Phase Review
Assessing Progress Monitor and Control
Capturing Project Issues Perform Issue Management
Examining Project Issues Perform Issue Management
Reviewing Stage Status Perform Phase Review
Reporting Highlights Perform Phase Review
Taking Corrective Action Perform Phase Review
Escalating Project Issues Perform Issue Management
Receiving Completed Work Package Acceptance Management
Accepting a Work Package Acceptance Management
Executing a Work Package Build Deliverables
Delivering a Work Package Build Deliverables
Managing Stage Boundaries

Planning a Stage Create a Project Plan
Updating a Project Plan Create a Project Plan
Updating a Project Business Case Develop a Business Case
Updating the Risk Log Perform Risk Management
Reporting Stage End Perform Phase Review
Producing an Exception Plan Perform Phase Review
Closing a Project
Decommissioning a Project Perform Project Closure
Identifying Follow-on Actions Complete Project Closure Actions
Project Evaluation Review Undertake a Post Implementation Review

3.4 Glossary
The following tables define and clarify the terminology commonly used in MPMM TM.
Abbreviations
Abbreviation Definition
PIR Post-Implementation Review
RFI Request for Information
RFP Request for Proposal
SOW Statement of Work
TOR Term of Reference

Table of Abbreviations
Definitions
Term Definition
Acceptance The process by which deliverables produced by a project are reviewed and accepted
Management by the customer.
Acceptance The process of identifying and scheduling a suite of tests to measure the completion
Planning of project deliverables against stated criteria.
Activity A group of tasks undertaken to produce a tangible project deliverable.
Business Case A document outlining the justification for initiation of a project. It includes a
description of the business problem or opportunity, a list of alternative solutions,
their costs and benefits and a recommended solution for implementation.
Change The process of identifying, documenting, approving and implementing changes

Management within a project.
Communications The process of identifying, creating, reviewing and distributing communications

Management messages to stakeholders within a project.
Communications The process of identifying the information needs of project stakeholders and
Planning scheduling communications activities to meet those needs within the project.
Cost Management The process of monitoring and controlling the costs incurred within a project,
through the completion and approval of Expense Forms.
Deliverable A product, capability to perform a service, or other result, that must be produced to
complete a project. Deliverables can be produced by the project team or, in some
cases, by suppliers contracted to the project.
Dependency A logical relationship between two or more activities. The four types of
dependencies are: start-to-finish, start-to-start, finish-to-start, and finish-to-finish.
Feasibility Study A document that confirms the likelihood that a range of alternative solutions will
meet the requirements of the customer.

Financial Planning The process of identifying, quantifying and scheduling the financial resources
required to undertake a project.
Goods Any merchandise, wares and commodities required to complete the project.
Issue An event that currently affects a project's ability to produce the required
deliverables.
Issue Management The process of identifying, quantifying and resolving project-related issues.
Job Description A document that describes a particular role and set of responsibilities within a
project.
Materials Consumable and non-consumable items used to produce deliverables, such as

equipment, tools, machinery and supplies.
Milestone The recognition of an important event within a project, usually the achievement of a
key project deliverable or a set of deliverables.
Phase A set of project activities and tasks that usually result in the completion of one or
more project deliverables.
Phase Review A checkpoint at the end of each project phase to ensure that a project has achieved
its stated objectives and deliverables as planned.
Process A set of related activities that are performed to deliver products, services or results.
Procurement Item Any item that is contractually obliged to be provided by a supplier, such as:
Results (e.g. a more efficient process, a more highly skilled team and a
restructured organization)
Procurement The process of sourcing procurement items from suppliers and managing their
Management performance throughout a project.
Procurement The process of identifying, quantifying and scheduling the delivery of procurement
Planning items to a project.
Product A physical artifact that is produced by the project. Products are produced primarily
using goods and materials.
Project A unique endeavor to produce a set of deliverables within clearly specified time, cost
and quality constraints.
Project Charter A document that describes the purpose of a project, the manner in which it will be
structured and how it will be implemented.
Project Lifecycle A series of phases undertaken to deliver a required project outcome.
Project The skills, tools and management processes required to successfully undertake a
Management project.
Project Office The physical premise, roles, tools and processes required to administer a project.
Project Plan A document that lists the Work Breakdown Structure, timeframes and resources
required to undertake a project.

Project Schedule A document that identifies the timeframes for delivering a project and the
dependencies between activities within that project.
Project Task A specific work item that usually results in the partial completion of a project
deliverable.
Project Team A group of people who report to a Project Manager for the purpose of delivering a
project.
Quality The extent to which the final deliverable conforms to the customer requirements.
Quality Assurance A structured review of the project by an external resource, to determine the overall
project performance (e.g. against schedule and budget) and conformance (i.e. to
the management processes specified for the project).
Quality Control The internal monitoring and control of project deliverables, to ensure that they meet
the quality targets set for the project.
Quality The process by which the quality of the deliverables and management processes is
Management assured and controlled on a project.
Quality Review A structured independent review of the project, to determine the overall project
performance (e.g. against schedule and budget) and the project conformance (i.e.
to the management processes specified for the project).
Quality Planning The process of identifying and scheduling Quality Assurance and Quality Control
activities to improve the level of quality within a project.
Request for A tender document issued to potential suppliers to enable them to describe how
Information they will meet the procurement requirements of a project.
Request for A tender document issued to suppliers in a short-listed group, to enable them to
Proposal submit detailed proposals defining how they will meet the procurement
requirements of a project.
Resource The labor, equipment, materials and other items needed to undertake a project.
Resource Planning The process of identifying, quantifying and scheduling the resources required to
complete a project.
Result The outcome of performing a project process or activity.
Risk Any event that is likely to adversely affect a project's ability to achieve the defined
objectives.
Risk Management The process of identifying, quantifying and controlling risks throughout a project.
Risk Mitigation The actions taken to avoid, transfer or mitigate risks within a project.
Risk Planning The identification and scheduling of actions needed to reduce the level of risk within
a project.
Scope The total aggregation of deliverables to be produced by a project.
Service Work carried out to benefit a customer. Note: A service does not produce a physical
product or tangible result, as this is called an activity.
Solution A combination of deliverables that solve a specified business problem or realize a

specified business opportunity.

Statement of Work A tender document that defines the procurement requirements of a project in
enough detail to enable potential suppliers to determine whether they can meet
those requirements.
Supplier Contract An agreement between a project team and an external supplier for the completion
of a defined scope of work within a project.
Selection A formal document issued to potential suppliers during the selection process to
Document enable them to submit the information the project needs to select a preferred
supplier.
Supplier The process of identifying, evaluating and contracting suppliers for the provision of
Management a scope of work to a project.
Selection Process The process of issuing a Request for Information, Request for Proposal and Supplier
Contract to select and contract a preferred supplier to a project.
Time Management The process of recording and quantifying time spent completing tasks within a
project.
Work Breakdown The complete set of phases, activities and tasks required to undertake the project
Structure and meet the full requirements of the customer.
Table of Definitions


Qube Project Management Leaning Guide Book

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Qube Project Management Leaning Guide Book

Uploaded by

Copyright:

Available Formats

Method Project Management

Method Project Management Methodology Page 1 of 110

1.1 WHAT IS A PROJECT? 4

2 THE PROJECT LIFECYCLE 5

2.1 PROJECT INITIATION 7

Method Project Management Methodology Page 2 of 110

Method Project Management Methodology Page 3 of 110

So let's get started...

1.1 What is a Project?

Risk. A project entails uncertainty and therefore carries business risk.

1.2 What is Project Management?

Method Project Management Methodology Page 4 of 110

Method Project Management Methodology Page 5 of 110

Financial Plan to quantify the financial expenditure incurred for completion

Acceptance Plan to specify the customer's criteria for accepting deliverables

Selection Process to list the steps needed to select preferred suppliers

Statement of Work (SOW) to document the procurement requirements of the project

Issue Management: Identifying and resolving project issues, wherever possible

Method Project Management Methodology Page 6 of 110

2.1 Project Initiation

1. Develop a Business Case

Method Project Management Methodology Page 7 of 110

2.1.1 Develop a Business Case

Alternative options for delivering a solution to resolve the problem

Benefits and costs associated with each alternative solution

Recommended solution for approval

Method Project Management Methodology Page 8 of 110

2.1.2 Undertake a Feasibility Study

2.1.3 Establish the Project Charter

Method Project Management Methodology Page 9 of 110

"To install a new telecommunications infrastructure between customer locations"

Method Project Management Methodology Page 10 of 110

Roles (i.e. the roles and responsibilities of departments and staff)

Competencies (i.e. the skills required to undertake the changed roles)

Deliverable Components Description

Describe the Project Organization

Customer Entity Customer Representative

Method Project Management Methodology Page 11 of 110

Stakeholder / Group Stakeholder Interest

Method Project Management Methodology Page 12 of 110

Plan the Approach to Implementation

Phase Overall Approach

Method Project Management Methodology Page 13 of 110

Initiation: Project Charter Project Plan Table

2. Roof built and external structure complete

Method Project Management Methodology Page 14 of 110

4. Internal fit-out and landscaping complete

5. Customer acceptance gained and keys handed over

Milestone Date Description

Role Start Date End Date % Effort

Expenditure Category Expenditure Item Expenditure Value

Method Project Management Methodology Page 15 of 110

Procurement Management Outline how Procurement Management will be undertaken on this

Acceptance Management Outline how Acceptance Management will be undertaken on this

Communications Outline how Communications Management will be undertaken on this

Completion Category Completion Criteria

All of the project objectives must have been met

The project must have resulted in the stated benefits

All the deliverables specified must have been produced

Initiation: Completion Criteria Table

List the Risks and Issues

Method Project Management Methodology Page 16 of 110

2.1.4 Appoint the Project Team

Method Project Management Methodology Page 17 of 110