Effective Project Management Traditional, Agile, Extreme

The popular guide to the project management body of knowledge, now fully updated

Now in its seventh edition, this comprehensive guide to project management has long been considered the standard for both professionals and academics. With more than 32,000 copies sold in the last three editions, it has now been fully updated to cover the new PMBOK 5. Well-known expert Robert Wysocki has added more than 100 pages of new content based on instructor feedback, enhancing the coverage of best-of-breed methods and tools for ensuring project management success.

With enriched case studies, accompanying exercises and solutions on the companion website, and PowerPoint slides for all figures and tables, the book is ideal for instructors and students as well as active project managers.

• Serves as a comprehensive guide to project management for both educators and project management professionals
• Completely updated to cover the new PMBOK 5
• Examines traditional, agile, and extreme project management techniques; the Enterprise Project Management Model; and Kanban and Scrumban methodologies
• Includes a companion website with exercises and solutions and well as PowerPoint slides for all the figures and tables used
• Written by well-known project management expert Robert Wysocki

Effective Project Management, Seventh Edition remains the comprehensive resource for project management practitioners, instructors, and students.

Robert K. Wysocki, PhD, has more than 40 years' experience as a project management consultant and trainer, information systems manager, systems and management consultant, author, training developer, and provider. Many of his books on project management, business analysis, and information systems management have been adopted at more than 100 colleges and universities.

Introduction xxxi

Part I Understanding the Project Management Landscape 1

Chapter 1 What Is a Project? 3

Defining a Project 4

Sequence of Activities 4

Unique Activities 4

Complex Activities 5

Connected Activities 5

One Goal 5

Specified Time 5

Within Budget 6

According to Specification 6

A Business-focused Definition of a Project 7

An Intuitive View of the Project Landscape 7

Defining a Program 9

Defining a Portfolio 9

The Enterprise Level 10

Understanding the Scope Triangle 11

Scope 11

Quality 12

Cost 12

Time 13

Resources 13

Risk 13

Envisioning the Scope Triangle as a System in Balance 14

Prioritizing the Scope Triangle Variables for Improved Change Management 15

Applying the Scope Triangle 15

The Importance of Classifying Projects 16

Establishing a Rule for Classifying Projects 17

Classification by Project Characteristics 17

Classification by Project Application 19

The Contemporary Project Environment 20

High Speed 20

High Change 21

Lower Cost 21

Increasing Levels of Complexity 22

More Uncertainty 22

Putting It All Together 22

Discussion Questions 23

Chapter 2 What Is Project Management? 25

Understanding the Fundamentals of Project Management 26

What Business Situation Is Being Addressed by This Project? 27

What Does the Business Need to Do? 27

What Will You Do? 28

How Will You Do It? 28

How Will You Know You Did It? 28

How Well Did You Do? 28

Challenges to Effective Project Management 30

Flexibility and Adaptability 30

Deep Understanding of the Business and Its Systems 32

Take Charge of the Project and Its Management 32

Project Management Is Organized Common Sense 33

Managing the Creeps 33

Scope Creep 33

Hope Creep 34

Effort Creep 34

Feature Creep 34

What Are Requirements—Really? 35

Introducing Project Management Life Cycles 39

Traditional Project Management Approaches 42

Agile Project Management Approaches 47

Extreme Project Management Approach 52

Emertxe Project Management Approach 56

Recap of PMLC Models 58

Choosing the Best-Fit PMLC Model 60

Total Cost 61

Duration 61

Market Stability 61

Technology 61

Business Climate 62

Number of Departments Affected 62

Organizational Environment 62

Team Skills and Competencies 63

Putting It All Together 63

Discussion Questions 64

Chapter 3 What Are the Project Management Process Groups? 65

Defining the Five Process Groups 66

The Scoping Process Group 66

The Planning Process Group 67

The Launching Process Group 68

The Monitoring and Controlling Process Group 68

The Closing Process Group 69

Defining the Ten Knowledge Areas 69

Project Integration Management 70

Project Scope Management 70

Project Time Management 70

Project Cost Management 70

Project Quality Management 71

Project Human Resource Management 72

Project Communications Management 73

Project Risk Management 74

Project Procurement Management 84

Project Stakeholder Management 98

Mapping Knowledge Areas to Process Groups 98

What the Mapping Means 99

How to Use the Mapping 99

Using Process Groups to Defi ne PMLCs 99

A Look Ahead: Mapping Process Groups to Form Complex PMLCs 100

Putting It All Together 100

Discussion Questions 100

Part II Traditional Project Management 101

Chapter 4 How to Scope a TPM Project 103

Using Tools, Templates, and Processes to Scope a Project 104

Managing Client Expectations 105

Wants versus Needs 105

Project Scoping Process 106

The Project Scoping Meeting 109

Project Scoping Meeting Deliverables 111

Putting It All Together 139

Discussion Questions 140

Chapter 5 How to Plan a TPM Project 141

Using Tools, Templates, and Processes to Plan a Project 142

The Importance of Planning 144

Using Application Software Packages to Plan a Project 145

Determining the Need for a Software Package 146

Project Planning Tools 146

How Much Time Should Planning Take? 148

Planning and Conducting Joint Project Planning Sessions 149

Planning the JPPS 150

Running the Planning Session 156

Building the WBS 157

Using the RBS to Build the WBS 158

Uses for the WBS 160

Generating the WBS 161

Six Criteria to Test for Completeness in the WBS 164

Approaches to Building the WBS 168

Representing the WBS 172

Estimating 175

Estimating Duration 176

Resource Loading versus Task Duration 177

Variation in Task Duration 178

Six Methods for Estimating Task Duration 179

Estimation Life Cycles 183

Estimating Resource Requirements 184

Resource Planning 187

Estimating Cost 188

Constructing the Project Network Diagram 191

Envisioning a Complex Project Network Diagram 191

Benefits to Network-Based Scheduling 192

Building the Network Diagram Using the Precedence Diagramming Method 193

Dependencies 195

Constraints 197

Using the Lag Variable 201

Creating an Initial Project Network Schedule 201

Analyzing the Initial Project Network Diagram 206

Compressing the Schedule 206

Management Reserve 209

Writing an Effective Project Proposal 210

Contents of the Project Proposal 210

Format of the Project Proposal 212

Gaining Approval to Launch the Project 212

Putting It All Together 213

Discussion Questions 213

Chapter 6 How to Launch a TPM Project 217

Using Tools, Templates, and Processes to Launch a Project 218

Recruiting the Project Team 219

Core Team Members 219

Client Team 223

Contract Team Members 223

Developing a Team Deployment Strategy 225

Developing a Team Development Plan 226

Conducting the Project Kick-Off Meeting 226

Purpose of the Project Kick-Off Meeting 227

Sponsor-Led Part 228

Project Manager–Led Part 228

Establishing Team Operating Rules 231

Situations that Require Team Operating Rules 231

Team War Room 240

Managing Scope Changes 241

The Scope Change Management Process 242

Management Reserve 244

Scope Bank 246

Managing Team Communications 246

Establishing a Communications Model 246

Managing Communication Beyond the Team 250

Assigning Resources 252

Leveling Resources 252

Acceptably Leveled Schedule 255

Resource-Leveling Strategies 255

Utilizing Available Slack 256

Shifting the Project Finish Date 256

Smoothing 257

Alternative Methods of Scheduling Tasks 257

Cost Impact of Resource Leveling 259

Finalizing the Project Schedule 259

Writing Work Packages 261

Purpose of a Work Package 262

Format of a Work Package 262

Putting It All Together 264

Discussion Questions 266

Chapter 7 How to Monitor & Control a TPM Project 267

Using Tools, Templates, and Processes to Monitor and Control a Project 268

Establishing Your Progress Reporting System 269

Types of Project Status Reports 269

How and What Information to Update 273

Frequency of Gathering and Reporting Project Progress 275

Variances 275

Applying Graphical Reporting Tools 276

Gantt Charts 277

Stoplight Reports 277

Burn Charts 277

Milestone Trend Charts 279

Earned Value Analysis 282

Integrating Milestone Trend Charts and Earned Value Analysis 287

Managing the Scope Bank 290

Building and Maintaining the Issues Log 291

Managing Project Status Meetings 291

Who Should Attend Status Meetings? 291

When Are Status Meetings Held? 292

What Is the Purpose of a Status Meeting? 292

What Is the Status Meeting Format? 292

The 15-Minute Daily Status Meeting 293

Problem Management Meetings 294

Defining a Problem Escalation Strategy 294

Project Manager–Based Strategies 295

Resource Manager–Based Strategies 295

Client-Based Strategies 296

The Escalation Strategy Hierarchy 296

Gaining Approval to Close the Project 297

Putting It All Together 297

Discussion Questions 298

Chapter 8 How to Close a TPM Project 299

Using Tools, Templates, and Processes to Close a Project 300

Writing and Maintaining Client Acceptance Procedures 300

Closing a Project 300

Getting Client Acceptance 301

Ceremonial Acceptance 301

Formal Acceptance 301

Installing Project Deliverables 302

Phased Approach 302

Cut-Over Approach 302

Parallel Approach 302

By-Business-Unit Approach 302

Documenting the Project 303

Reference for Future Changes in Deliverables 303

Historical Record for Estimating Duration and Cost on Future Projects, Activities, and Tasks 303

Training Resource for New Project Managers 303

Input for Further Training and

Development of the Project Team 303

Input for Performance Evaluation by the Functional Managers of the Project Team Members 304

Conducting the Post-Implementation Audit 305

Writing the Final Report 307

Celebrating Success 307

Putting It All Together 308

Discussion Questions 308

Part III Complex Project Management 309

Chapter 9 Complexity and Uncertainty in the Project Management Landscape 311

Understanding the Complexity/Uncertainty Domain of Projects 312

Requirements 314

Flexibility 315

Adaptability 316

Risk versus the Complexity/Uncertainty Domain 316

Team Cohesiveness versus the Complexity/Uncertainty Domain 317

Communications versus the Complexity/Uncertainty Domain 318

Client Involvement versus the Complexity/Uncertainty Domain 319

Specification versus the Complexity/Uncertainty Domain 322

Change versus the Complexity/Uncertainty Domain 323

Business Value versus the Complexity/Uncertainty Domain 325

Putting It All Together 326

Discussion Questions 326

Chapter 10 Agile Project Management 327

What Is Agile Project Management? 329

Implementing APM Projects 330

Co-Located APM Project Teams 332

What Is Lean Agile Project Management? 334

Iterative Project Management Life Cycle 335

Defi nition of the Iterative PMLC Model 335

Adaptive Project Management Life Cycle 340

Definition 341

Adapting and Integrating the APM Toolkit 345

Scoping the Next Iteration/Cycle 345

Planning the Next Iteration/Cycle 346

Launching the Next Iteration/Cycle 347

Monitoring and Controlling the Next Iteration/Cycle 347

Closing the Next Iteration/Cycle 348

Deciding to Conduct the Next Iteration/Cycle 348

Closing the Project 348

Putting It All Together 349

Discussion Questions 349

Chapter 11 Extreme Project Management 351

What Is Extreme Project Management? 352

Extreme Project Management Life Cycle 352

Definition 353

What Is Emertxe Project Management? 353

The Emertxe Project Management Life Cycle 353

When to Use an Emertxe PMLC Model 354

Using the Tools, Templates, and Processes for Maximum xPM Effectiveness 355

Scoping the Next Phase 355

Planning the Next Phase 355

Launching the Next Phase 356

Monitoring and Controlling the Next Phase 357

Closing the Phase 357

Deciding to Conduct the Next Phase 357

Closing the Project 358

Putting It All Together 358

Discussion Questions 358

Chapter 12 Comparing Linear, Incremental, Iterative, Adaptive, and Extreme PMLC Models 359

Linear PMLC Model 360

Characteristics 361

Strengths 364

Weaknesses 366

When to Use a Linear PMLC Model 367

Specifi c Linear PMLC Models 368

Incremental PMLC Model 370

Characteristics 371

Strengths 371

Weaknesses 373

When to Use an Incremental PMLC Model 376

Incremental PMLC Models 377

Iterative PMLC Model 380

Characteristics 381

Strengths 383

Weaknesses 384

When to Use an Iterative PMLC Model 386

Specific Iterative PMLC Models 386

Adaptive PMLC Model 399

Characteristics 400

Strengths 401

Weaknesses of the Adaptive PMLC Model 402

When to Use an Adaptive PMLC Model 403

Adaptive Project Framework 403

Extreme PMLC Model 422

Characteristics 422

Strengths 423

Weaknesses 424

Specific Extreme PMLC Models 424

INSPIRE Extreme PMLC Model 425

Challenges to Project Setup and Execution 438

Sponsors Have a Hard Time Accepting Variable Scope 438

Achieving and Sustaining Meaningful Client Involvement Through the Phases of the Chosen PMLC Model 438

Adapting the Chosen PMLC Model to Changing Conditions 439

Delivering Business Value in a Complex Project Landscape 439

Putting It All Together 441

Discussion Questions 442

Part IV Managing the Realities of Projects 445

Chapter 13 Prevention and Intervention Strategies for Distressed Projects 447

What Is a Distressed Project? 448

Why Projects Become Distressed or Fail 449

Managing Distressed Projects 452

Prevention Management Strategies 452

Using Tools, Templates, and Processes to Prevent Distressed Projects 453

Intervention Management Strategies 459

An Intervention Process Template 471

Roles and Responsibilities of the PSO with Respect to Distressed Projects 472

Analyzing the Current Situation 474

Revising the Desired Goal 474

Evaluating the Options 475

Generating the Revised Plan 475

Putting It All Together 475

Discussion Questions 475

Chapter 14 Organizing Multiple Team Projects 477

What Is a Multiple Team Project? 478

Challenges to Managing a Multiple Team Project 479

Working with Teams from Different Companies 480

Working with Fiercely Independent Team Cultures 480

Working with Different Team Processes 481

Accommodating Competing Priorities 481

Communicating Within the Team Structure 481

Establishing a Project Management Structure 481

Establishing One Project Management Life Cycle 482

Building an Integrated Project Plan and Schedule 483

Defining a Requirements Gathering Approach 483

Establishing a Scope Change Management Process 483

Defining the Team Meeting Structure 484

Establishing Manageable Reporting Levels 484

Sharing Resources Across Teams 484

Staffing Across the PMLC 485

Searching Out Your Second 485

Classifying Multiple Team Projects 485

Two Teams 486

Multiple Teams 486

Project Office Structure 487

Project Office Characteristics 488

Project Office Strengths 490

Project Office Weaknesses 492

When to Use a PO 493

Core Team Structure 493

Core Team Characteristics 494

Core Team Strengths 497

Core Team Weaknesses 498

When to Use a CT 500

Super Team Structure 500

Super Team Characteristics 501

Super Team Strengths 504

Super Team Weaknesses 505

When to Use an ST 506

Putting It All Together 506

Discussion Questions 507

Chapter 15 Establishing and Maturing a Project Support Office 509

Background of the Project Support Office 510

Defining a Project Support Offi ce 512

Temporary or Permanent Organizational Unit 512

Portfolio of Services 513

Specific Portfolio of Projects 515

Naming the Project Support Office 516

Establishing Your PSO’s Mission 517

Framing PSO Objectives 518

Exploring PSO Support Functions 518

Project Support 519

Consulting and Mentoring 519

Methods and Standards 521

Software Tools 522

Training 522

Staffing and Development 524

Selecting PSO Organizational Structures 526

Virtual versus Real 526

Proactive versus Reactive 526

Temporary versus Permanent 527

Program versus Projects 527

Enterprise versus Functional 527

Hub-and-Spoke 527

Understanding the Organizational Placement of the PSO 528

Determining When You Need a Project Support Office 529

The Standish Group Report 530

Spotting Symptoms That You Need a PSO 533

Establishing a PSO 536

PSO Stages of Maturity Growth 536

Planning a PSO 538

Facing the Challenges of Implementing a PSO 548

Speed and Patience 549

Leadership from the Bottom Up 549

A Systems Thinking Perspective 549

Enterprise-Wide Systems 549

Knowledge Management 549

Learning and Learned Project Organizations 550

Open Communications 550

The PSO of the Future 550

Hub-and-Spoke BP4SO 551

Staffing the BP4SO 552

Other Considerations 553

Putting It All Together 553

Discussion Questions 554

Chapter 16 Establishing and Managing a Continuous Process Improvement Program 555

Understanding Project Management Processes and Practices 556

The Project Management Process 556

The Practice of the Project Management Process 558

Defi ning Process and Practice Maturity 561

Level E: Ad Hoc or Informal 561

Level D: Documented Processes 561

Level C: Documented Processes That Everyone Uses 562

Level B: Integrated into Business Processes 562

Level A: Continuous Improvement 562

Measuring Project Management Process and Practice Maturity 563

The Process Quality Matrix and Zone Map 563

What Process Has Been Defi ned So Far? 570

Using the Continuous Process Improvement Model 571

Phase 1: Foundation 571

Phase 2: Assessment and Analysis 573

Phase 3: Improvement Initiatives 575

Phase 4: Check Results 576

Defi ning Roles and Responsibilities of the PSO 577

Using Process Improvement Tools, Templates, and Processes 577

Fishbone Diagrams and Root Cause Analysis 578

Control Charts 580

Flowcharting 581

Histograms 582

Pareto Analysis 583

Run Charts 585

Scatter Diagrams 585

Force Field Analysis 585

Trigger Values 588

Putting It All Together 588

Discussion Questions 589

Part V End State: Maturing to an Enterprise-Level Project Management Model 591

Chapter 17 Establishing a Project Portfolio Management Process 593

Introduction to Project Portfolio Management 594

What Is a Portfolio Project? 594

What Is a Project Portfolio? 595

What Is Project Portfolio Management? 596

The Project Portfolio Management Life Cycle 596

ESTABLISH a Portfolio Strategy 598

EVALUATE Project Alignment to the Portfolio Strategy 603

PRIORITIZE Projects and Hold Pending Funding Authorization 604

SELECT a Balanced Portfolio Using the Prioritized List 611

MANAGE the Active Projects 619

Roles and Responsibilities of the PSO in Portfolio Management 627

Project Sponsor 627

Portfolio Manager 628

Preparing Your Project for Submission to the Portfolio Management Process 629

A Revised Project Overview Statement 629

A Two-Step Submission Process 630

A New Submission Process 631

Agile Project Portfolio Management 632

Integrating a PMLC Model into the Agile Project Portfolio Management Process 635

Challenges of Managing Agile Portfolios 637

SELECT a Balanced Portfolio 638

MANAGE Active Projects 641

Putting It All Together 642

Discussion Questions 643

Chapter 18 A Practical Project-Based Model of the Enterprise 645

The Business Environment—A View from the Top 647

Business Climate 648

Market Opportunities 648

Enterprise Capacity 649

Vision/Mission 650

Objectives 652

Strategies 653

Tactics 654

OST Dependency Structure 655

The EPPM Portfolio Decision Process 656

COLLECT Phase 658

ANALYZE Phase 659

SELECT Phase 659

INITIATE Phase 660

EXECUTE Phase 660

DEPLOY Phase 660

Phase Gates 660

What Is a Resource? 661

Who Are the Participants in the EPPM? 662

What Is the Enterprise Project RASCI Matrix? 664

Complex Project Profiling 666

Case Study: Establishing a Workforce & Business Development Center 670

Hypothesis 670

Synopsis 670

The Need 671

The Problem 672

The Solution 675

Components of the WBDC Model 675

Putting It All Together 680

Discussion Questions 680

Appendix A Glossary of Acronyms 683

Appendix B What’s on the Website? 689

Appendix C Bibliography 691

Index 701