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PMI Munich Chapter

PMBOK Guide
from 4th to 5th Edition
Changes in the Standards of the
Project Management Institute (PMI)

Herbert G. Gonder, PMP


(President)

Oliver F. Lehmann, PMP


(VP Members)
PMI Munich Chapter e.V.

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Agenda
1. Standardization by PMI
2. Why is a standard necessary?
3. PMBOK Guide EditionsWhat is common, what is
different?

PMI, PMP, PMBOK and other items mentioned in this presentation are marks of the Project Management
Institute (PMI) that are registered in the USA and in other countries.
Paintings are copyright of Herbert and Birgit Gonder.

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Status of information
The following information refers to the final
version of the PMBOK Guide 5th Edition,
published for members end of 2012.

There may still be some minor differences in


a future version.

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Standardization by PMI
A little historical knowledge
can help understanding the
present much better.

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Standardization by PMI
The History of PMI Standards
1969

Foundation of PMI

1983

PMI Ethic, Standards, and


Accreditation Report Standards
section was the first Project
Management Body of Knowledge.

1987

Revised PMBOK

1996

PMBOK Guide

1998

PMI accredited as a Standards


developer by ANSI

2000

PMBOK Guide 2000

2004

PMBOK Guide Third Edition

2008

PMBOK Guide Fourth Edition

1996

3rd Ed.
(2004)

2000

4th Ed.
(2008)

2012 PMBOK Guide Fifth Edition

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Standardization by PMI
PMI Has Many Other Standards (actually in renewal)
Standards for multi-project environments
Organizational Project Management Maturity Model (OPM3)
The Standard for Program Management
The Standard for Portfolio Management

Practice standards for

Earned Value Management


Project Configuration Management
Scheduling
Work Breakdown Structures
Project Risk Management
Estimating
Project Manager Competency Development Framework

PMBOK Guide Extensions


Construction Extension to the PMBOK Guide Third Edition
Government Extension to the PMBOK Guide Third Edition
Software Extension to the PMBOK Guide (IN REVIEW)

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Why is a standard
necessary?
Misunderstandings
cost companies
billions each
year.

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Why is a standard necessary?


Unifying methodology and terminology
Unclear and misunderstood statements derail projects too often.
Do we have a
Project charter?

A what?

Of course, Project
charter has been issued!

I hope I understand
him right.

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Why is a standard necessary?


Project Scope Statement for PMBOK Guide Fifth Edition:

Any necessary work to make the standard:


More accurate
Up to date
Relevant
Clear in terminology
Harmonized across other PMI Standards
This may include:
Re-organization of content
Additional content
Refinement or deletion of content

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

More details at: www.pmi.org, www.pmi-muc.de

Why is a standard necessary?

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

10

More details at: www.pmi.org, www.pmi-muc.de

Why is a standard necessary?

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

11

More details at: www.pmi.org, www.pmi-muc.de

Credential holders in Germany

Certified Persons
CAPM

681

PMI-SP

PMI-RMP

PMI-ACP

19

PMP

8.939

PgMP

Data per August 31, 2012

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

12

More details at: www.pmi.org, www.pmi-muc.de

PMBOK Guides
What is
common
what is
different?

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

13

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


The basic methodology
The PMBOK Guide hasnt changed its approach of describing
Project management by use of
a process model.
It is a practical application of
Demings statement:

If you can't describe what


you are doing as a process,
you don't know what you
are doing.
Processes are organized along
two dimensions:
Process groups

Thinking in processes and applying


statistical models for prediction and
management of production uncertainties.

Knowledge areas

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

W. Edwards Deming, 1900-1993

14

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

15

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


9 Knowledge Areas
10 Knowledge Areas

Project
Stakeholder
Management

Project
Procurement
Management

Project
Integration
Management

Project Risk
Management
Project
Communications
Management

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

Project Scope
Management

16

Project Human
Resources
Management

Project Time
Management
Project Cost
Management
Project
Quality
Management

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Improved consistency
Management plans for all Knowledge areas
- Plan Scope Management
- Plan Schedule Management
- Plan Cost Management
- Plan Stakeholder Management (10th KA)
47 processes (instead of 42)
Monitoring processes with consistent terminology
(e.g. Control Risk, Control Stakeholder Engagement
except: Monitor and Control Project Work)

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

17

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Improved consistency
Changes regarding Project Information
Work Performance Data (raw observations and measurements)
Work Performance Information (data collected from controlling processes)
Work Performance Reports (representation of work performance
information)

Control
Input:

Work Performance Data

Output: Work Performance Information

Monitor and Control Project Work


Input:

Work Performance Information

Output: Work Performance Reports

Perform Integrated Change Control


Input:

Work Performance Reports

Output: (. Updates)
(Source: USDA Forest Service, access 18/10/2012)

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

18

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Some changes
Reduced Knowledge area Communications Management
3 instead of 5 Processes up to now
Plan Communications Management
Manage Communications
Control Communications

New Knowledge Area Stakeholder Management


1 shifted and 3 new processes according to new process structure
Identify Stakeholders
Plan Stakeholder Management
Manage Stakeholder Expectations
Control Stakeholder Engagement

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

19

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


New, discontinued and changed processes

Knowledge
area

Discontinued
processes

Changed
processes
Validate Scope

Scope

New
processes
Plan Scope
Management

Time

Plan Schedule
Management

Cost

Plan Cost
Management

Quality

Plan Quality
Management
Control Quality

Human Resource

Plan Human
Resource
Management

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

20

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


New, discontinued and changed processes

Knowledge
area
Communications

Discontinued
processes
Identify
Stakeholders
Distribute
Information
Manage
Stakeholder
Expectations
Report
Performance

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

New
processes

Plan
Manage
Communications
Communications
Management
Control
Communications

Control Risks

Risk
Procurement

Changed
processes

Administer
Procurements

Plan
Procurement
Management

21

Control
Procurements

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


New, discontinued and changed processes

Knowledge
area

Discontinued
processes

New
processes
Identify
Stakeholders
Plan Stakeholder
Management
Manage
Stakeholder
Expectations
Control
Stakeholder
Engagement

Stakeholder

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

Changed
processes

22

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Further clarifications
Project Management Office
Supportive: provide a consultative role low degree of control.
Controlling: provide support and require compliance through various means
moderate degree of control.
Directive: control the projects by directly managing the projects high
degree of control.
The PMO is one of the best options to integrate data and information from
corporate strategic projects and evaluate how higher level strategic objectives
are being fulfilled.
The PMO is the natural liaison between a companys portfolios, programs, and
projects, and the corporate measurement systems, such as the balanced
scorecard.

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

23

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Further clarifications
Project Management Operations Management Organizational
Strategy
Organizational strategy should provide guidance to project management
Intersections between Project Management and Organizational Strategy
Obligations of the Project Managers
Portfolio Management is essential for successful implementation

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

24

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Further clarifications
Project Management Operations Management Organizational
Strategy (contd)

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

25

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Further clarifications
Project Management Operations Management Organizational
Strategy (contd)
Ongoing operations are outside of the scope of a project.
Projects can intersect with operations at various points during the product life
cycle

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

26

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?

Aligning Process Group


Monitoring & Controlling Process Group

ComponentEntry

Gate
Review 2

Gate
Review 1

Gate
Review n

ComponentExit

Phase 1
Phase 2

Phase n+1

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

27

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Further clarifications
Business Value
Business value is related to strategic planning
Projects are seen as investments
Projects have to support corporate strategic goals

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

28

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Further clarifications
Project Stakeholders and Governance
Project governance - the alignment of the project with stakeholders strategic
objectives is critical to the successful management of stakeholder
expectation and the achievement of organizational objectives.
Items include in the project governance are:
- Project success criteria
- the process to identify, escalate, and resolve issues that arise during
the project
- the relationship among the project team, organizational groups, and
external stakeholders
- project decision-making process
- the project life cycle approach
- .

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

29

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Further clarifications
Project Manager
assigned by the performing organization to lead the project team that is
responsible for achieving the project objectives.
Is responsible and accountable for setting realistic and achievable boundaries
for the project and to accomplish the project within the approved baselines.

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

30

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Further clarifications
Project Team
Project management staff
Project staff
Supporting Experts
User or Customers
Seller/business partner members/business partners

Composition of the Project Team


Dedicated:

majority is assigned full-time

Part-time:

projects are additional work,


Project Manager and Project Team remain in their
existing organizations

including
Partnership: alliance among several organizations
Virtual:
different locations or countries

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

31

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


What about agile?
Chapter 1.1 Purpose of the PMBOK Guide
One can use different methodologies and tools (e.g., Agile) to implement the
framework.

Chapter 2 various Life-Cycle Models


Predictive Life Cycles (plan-driven or waterfall methodologies)
Iterative and Incremental Life Cycles (scope is generally determined early in
project life cycle)
Adaptive Life Cycles (change driven or agile methods)

Rolling Wave Planning


Iterative approach and agile methods
Sprint

Process Control Schedule


Comparison of done work with planned work

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

32

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Aligned to ISO 21500
ISO 21500 and PMBOK Guide Process Group comparison

ISO 21500
Initiating
Planning
Implementing
Controlling
Closing

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

PMBOK Guide
Initiating
Planning
Executing
Monitoring and Controlling
Closing

33

More details at: www.pmi.org, www.pmi-muc.de

What is common, what is different?


Aligned to ISO 21500
ISO 21500 Subject Groups and PMBOK Guide Knowledge Areas

ISO 21500
Integration
Stakeholder
Scope
Resource
Time
Cost
Risk
Quality
Procurement
Communication

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

PMBOK Guide
Integration
Stakeholder
Scope
Human Resources
Time
Cost
Risk
Quality
Procurement
Communication

34

More details at: www.pmi.org, www.pmi-muc.de

Feedback is welcome at
PRESIDENT@PMI-MUC.DE
Tel: 0049 179 29 27 515
Thank you

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

35

More details at: www.pmi.org, www.pmi-muc.de

Herbert Gonder
M.Sc. Computer Science since 1976
PMP since 2004
IPMA Senior Project Manager Level B since 2008
IPMA Level C Assessor since 2011
Member of Board of PMI Munich Chapter
VP Programs 2004 2006 / President 2007 today

Member of
CoPAT EMEA 2007 (Budapest) & 2008 (Malta)
TVC PMBOK Guide German 4th Edition and 5th Edition

Academic Instructor for CAPM Examination Preparation


Universities Konstanz (2008), Munich (2010), Stuttgart (2012)

Managing Director and Owner of


Gonder Consulting GmbH + Gonder Consulting (Switzerland) GmbH

PhD part time student at University of Plymouth

2012: Herbert G. Gonder, PMP;


President, PMI Munich Chapter

36

More details at: www.pmi.org, www.pmi-muc.de

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