Points to Ponder

FRAMEWORK

• Every project has a product, service or result. Some of those could be intangible. The product of a project is created during executing.
  
  
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INTEGRATION

SCOPE

• The project team helps the project manager to create WBS. This helps to obtain team buy-in from the people who do the work
  
  
• The level of uncertainty in scope increase based on the scale of effort required to identify all the scope. For large project it is more difficult to 'catch' the scope.
  
  
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TIME

COST

• The cost performance index is determined based on performance
  
  
• The opportunity cost is the value of the project that was not selected. It is the lost opportunity
  
  
• The schedule / duration of critical path (say x) months, less the (say y) months saved, result in the new schedule / duration of (say z) months for the project
  
  
• Cost Variance (CV) = Earned Value (EV) - Actual Cost (AC)
  
  
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QUALITY

RISK

• Risk response owners are the ones to take action when an identified risk occurs
  
  
• The level of uncertainty in scope increases based on the scale of effort required to identify all the scope. For large project it is more difficult to "catch" everything
  
  
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PROCUREMENT

• The form of deliverable for a specific portion of project should have been reviewed and clarified during the 'Plan Purchases and Acquisitions Process.'
  
  
• Every project must be closed, as administrative closure provides benefit to the performing organizations.
  

HR

• According to Herzberg's theory, fixing bad working conditions will help you to motivate, but making good conditions better will not improve motivation. One needs to focus on the motivating factors and not hygiene factors
  
  
• Confronting means the same as Problem solving
  
  
• Identification of risk and work package estimates do not come until project management planning; i.e., after the project charter is created
  
  
• A project charter may include the names of some resources but NOT detailed resources
  

Risk

Notes

Important Assumptions to keep in mind for PMP exam from PMI perspective.

Always working on a huge project which involves all phases of the project.
You have time and cost required to complete all the phases of the project.

You are internal to the organization. Not a contractor or supplier unless otherwise stated.

Manage like a CEO or owner of the project like you are running a small company.

It is PMs responsibility towards budget to estimate and manage the budget.

Cost estimate always are documented estimates.

Cost and time estimates should not be accepted from the Senior management. They have to be given by the project manager / project team to be more accurate.

Earned Value has 12 questions in the exam of which six are based on the formulas

There is a strong connection in the Cost Management and Time Management chapters.

In the time management you go for activity or work package level.

Control account comes one level above the work package in the work break down structure.

Estimate should be done by the person who does the work.
Estimate should be based on previous documentations.

Budget should be managed to cost baseline.

Estimates are more accurate when they are based on smaller chunks of works, work packages.

PM should never accept the estimates from management, should
reconcile to produce realistic objective.

Padding / Buffer is not acceptable by PMI

Reserve Analysis is what help for these unforeseen activities

Network diagrams are important.

When answering any process you have to assume the corresponding plan is available. For example, assume that Cost Management Plan exits in the exam.

To chose a project by the NPV, select the projects with highest NPV

To choose a project by the IRR, select the project with highest IRR

Project Management Book: Kim Heldmen Book