PMP THEORY

CONTENTS
INTRODUCTION...................................................................................................................................................... 3
PM CONTEXT........................................................................................................................................................... 4
PROJECT LIFE CYCLE ........................................................................................................................................ 4
FEASIBILITY PHASES: ......................................................................................................................................... 4
ACQUISITION PHASES ........................................................................................................................................ 5
ORGANIZATIONAL TYPES................................................................................................................................... 5
INTEGRATION......................................................................................................................................................... 7
GENERAL .............................................................................................................................................................. 7
PROJECT PLANNING........................................................................................................................................... 7
PROJECT EXECUTION ........................................................................................................................................ 8
INTEGRATED CHANGE CONTROL .................................................................................................................... 8
SCOPE ..................................................................................................................................................................... 10
GENERAL ............................................................................................................................................................ 10
INITIATION.......................................................................................................................................................... 11
SCOPE PLANNING ............................................................................................................................................. 12
SCOPE DEFINITION .......................................................................................................................................... 13
SCOPE VERIFICATION...................................................................................................................................... 14
SCOPE CHANGE CONTROL.............................................................................................................................. 15
TIME ........................................................................................................................................................................ 16
GENERAL ............................................................................................................................................................ 16
ACTIVITY DEFINITON ....................................................................................................................................... 16
ACTIVITY SEQUENCE DEFINITION ................................................................................................................ 16
ACTIVITY DURATION ESTIMATION ................................................................................................................ 17
SCHEDULE DEVELOPMENT ............................................................................................................................ 17
SCHEDULE CONTROL....................................................................................................................................... 20
COST........................................................................................................................................................................ 22
GENERAL ............................................................................................................................................................ 22
RESOURCE REQUIREMENTS ........................................................................................................................... 25
COST ESTIMATION ............................................................................................................................................ 25
COST BUDGETING............................................................................................................................................. 27
COST CONTROL ................................................................................................................................................. 27
QUALITY ................................................................................................................................................................ 29
GENERAL ............................................................................................................................................................ 29
QUALITY PLANNING ......................................................................................................................................... 33
QUALITY ASSURANCE....................................................................................................................................... 34
QUALITY CONTROL........................................................................................................................................... 35
HUMAN RESOURCE ............................................................................................................................................. 38
GENERAL ............................................................................................................................................................ 38
ORGANISATIONAL PLANNING......................................................................................................................... 39
RESOURCE ASSIGNMENT................................................................................................................................. 40
TEAM DEVELOPMENT ...................................................................................................................................... 41
COMMUNICATIONS............................................................................................................................................. 50
GENERAL ............................................................................................................................................................ 50
INFORMATION DISTRIBUTION........................................................................................................................ 51
PERFORMANCE REPORTING........................................................................................................................... 57
ADMINISTRATIVE CLOSURE............................................................................................................................ 57
RISK......................................................................................................................................................................... 59
GENERAL ............................................................................................................................................................ 59
RISK PLANNING ................................................................................................................................................. 60
RISK IDENTIFICATION...................................................................................................................................... 60
QUALITATIVE RISK ANALYSIS ......................................................................................................................... 61
QUANTITATIVE RISK ANALYSIS....................................................................................................................... 61
RISK RESPONSE PLANNING............................................................................................................................. 62

PMP THEORY
RISK MONITORING & CONTROL..................................................................................................................... 63
PROCUREMENT .................................................................................................................................................... 64
GENERAL ............................................................................................................................................................ 64
PROCUREMENT PLANNING............................................................................................................................. 64
SOLICITATION PLANNING ............................................................................................................................... 65
SOLICITATION.................................................................................................................................................... 65
SOURCE SELECTION......................................................................................................................................... 65
CONTRACT ADMINISTRATION......................................................................................................................... 71
CONTRACT CLOSURE ....................................................................................................................................... 71
PROJECT LIFE CYCLE / PROJECT MANAGEMENT PROCESS GROUPS.................................................... 73
PROFESSIONAL RESPONSIBILITIES................................................................................................................. 75

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the prevailing measurement of what information to accumulate and communicate on a
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Administrative closure also is part of Project Communications Management. It consists of verifying and
documenting project results to formalize acceptance of the product by the customer or sponsor. It includes
collecting project records, ensuring records reflect final specifications, analyzing project success and
effectiveness,
and archiving information for later use.
PMI states that each phase of the project should be closed so important and useful information is not lost. In
addition, employee skills in the staff pool database should be updated to reflect new skills and proficiency
increases.

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The person or organization responsible for contract administration should provide the seller with formal written notice
when the contract has been completed. The contract should define the requirements for formal acceptance.

Inputs
T&T
Outputs

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Contract closeout includes two important provisions: one is product verification, and the second is administrative
closeout. We need to make sure we have given the customer everything that we contracted to provide. That is
what product verification is all about. Administrative closeout is paperwork, dealing with all the administrative
paperwork associated with ensuring that the contract is closed out properly.
PMI defines contract closeout as completion and settlement of the contract, including resolution of any open
items. Contract closeout involves both product verification, that is verifying that the work was done correctly and
satisfactorily, and administrative closeout, the updating of all contract records to reflect final results and archiving
this information for further use.

//

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Contract records are very important and include the contract itself and other relevant documentation such as
progress reports, financial records, invoices, and payment records.

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Contract documentation is also important should a procurement audit be initiated. Such an audit is a structured
review of the procurement process from procurement planning through contract administration. The purpose of
the audit is to identify success and failures that warrant transfer to other procurement items on the current
project or future projects.

Outputs
are often kept in a contract file, which should be part of the complete project file. The contract
file is a complete set of index records.

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