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PROJECT
MANAGEMENT
Participants Workbook
What is project management? Project Management is the discipline if
planning, organizing, securing and managing resources to bring about
the successful completion of specific project goals and objectives.
Wikipedia refers to it as a temporary endevour having a defined
beginning and end.

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AGENDA
Connect CC

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31 August 2010

PARTICIPANTS WORKBOOK
Delegate Name:

Facilitator:

Date:

Copyright 2010

HR Connect Training Institute (Pty) Ltd.

All rights reserved

Information in this book is subject to change without notice. No part of this book may be
produced or transmitted in any form, without written permission of HR Connect Consulting.

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LETTER OF NOTIFICATION
Facilitators:
Marchelle Tinker

204161754

Brent-David Kadalie

204147352

Charlene Martin

205208649

Thapelo Motsieloa

205003001

Melvina Minnaar

193027305

Venue:

Physical Address:

Map

5. Date of Workshop:

CPUT, Commerce Lecture Theatre Room 2.65


Keizersgracht and Tennant Street Zonnebloem

31 August 2010

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6. Number of Learners:

60

7. Time of Workshop:

17:00 21:0

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AGENDA
AGENDA ITEM
Registration

TOPIC
Tick registration form

Welcome / Introduction

Receive participant packs


Welcome participants
Introduction of Facilitator
Introduction of Trainees

Ice Breaker
Introduction

Course Expectations
Done by facilitators
Introduction of the topic and the course overview
1. Project Integration
Management
2. Project Cost Management
3. Project Communications

Case Study

Activity

Management
Project scope management
The learner is required to complete a case Study
Project Quality Management
Project Risk Management
Case Study
Project Time Management
Project Human Resources Management

Conclusion
Questions and answers

Project Procurement Management


Wrap up of the programme
Learners have an opportunity to ask question and

Graduation

answers
Each learner receives a certificate of completion

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TABLE OF CONTENTS

LETTER OF NOTIFICATION..................................................................3
AGENDA............................................................................................ 5
TOPIC: PROJECT MANAGEMENT...........................................................8
LESSON

OVERVIEW:..........................................................................................................................8

INTRODUCTION.....................................................................................................................11
HISTORY....................................................................................................................................11
APPROACHES...............................................................................................................................13

PROJECT INTEGRATION MANAGEMENT...............................................17


PROJECT PLAN DEVELOPMENT ...........................................................................................................17
PLAN

EXECUTION...........................................................................................................................18

INTEGRATED CHANGE CONTROL .........................................................................................................19

PROJECT SCOPE MANAGEMENT.........................................................22


INITIATION .................................................................................................................................22
SCOPE

PLANNING

.........................................................................................................................23

SCOPE

DEFINITION.........................................................................................................................24

SCOPE

VERIFICATION

SCOPE

CHANGE CONTROL

......................................................................................................................24
................................................................................................................25

PROJECT TIME MANAGEMENT............................................................ 28


ACTIVITY DEFINITION .....................................................................................................................28
ACTIVITY SEQUENCING ...................................................................................................................28
ACTIVITY DURATION ESTIMATING .......................................................................................................29
SCHEDULE DEVELOPMENT ...............................................................................................................29
SCHEDULE CONTROL......................................................................................................................30
RESOURCE PLANNING.....................................................................................................................33
COST ESTIMATING ........................................................................................................................34
COST BUDGETING ........................................................................................................................34
COST

CONTROL............................................................................................................................35

PROJECT QUALITY MANAGEMENT......................................................38


QUALITY PLANNING .......................................................................................................................38

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QUALITY ASSURANCE .....................................................................................................................39


QUALITY CONTROL .......................................................................................................................39

PROJECT HR MANAGEMENT............................................................... 43
ORGANIZATIONAL PLANNING .............................................................................................................43
STAFF ACQUISITION ......................................................................................................................43
TEAM DEVELOPMENT .....................................................................................................................43

PROJECT COMMUNICATION MANAGEMENT.........................................47


MEANS

OF COMMUNICATION:.............................................................................................................47

COMMUNICATION PLANNING..............................................................................................................48
INFORMATION DISTRIBUTION..............................................................................................................48
PERFORMANCE REPORTING................................................................................................................48
ADMINISTRATIVE CLOSURE................................................................................................................51

PROJECT RISK MANAGEMENT............................................................55


RISK PLANNING............................................................................................................................56
RISK IDENTIFICATION......................................................................................................................56
QUALITATIVE RISK ANALYSIS.............................................................................................................57
QUANTITATIVE RISK ANALYSIS...........................................................................................................58
RISK RESPONSE PLANNING...............................................................................................................58
RISK MONITORING

AND

CONTROL.......................................................................................................59

PROJECT PROCUREMENT MANAGEMENT............................................63


PROCUREMENT PLANNING.................................................................................................................63
SOLICITATION PLANNING..................................................................................................................64
SOLICITATION...............................................................................................................................64
CONTRACT ADMINISTRATION..............................................................................................................64
CONTRACT CLOSE-OUT...................................................................................................................65

NOTES............................................................................................66
BIBLIOGRAPHY................................................................................68

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TOPIC: PROJECT MANAGEMENT


Lesson overview:
This workbook will highlight what project management is and subsections thereof. This
programme will provide a structural and logical approach to project management as well as
an outline of the planning, co-ordination and control techniques utilised by industry.
The learner must be able to develop a understanding of the project management processes
and be able to develop integrated project plans and techniques to monitor and control
information quickly and accurately to facilitate problem-solving and decision-making
processes throughout the duration of the project.
The objective of this course is to provide managers of projects with the necessary skills to
address these problem areas and to deliver projects within budget and time constraints.

LEARNING OUTCOMES:
After completion of the training, you should be able to:

Understand the project management environment

Understand and apply contemporary project management principles.

Understand the application of appropriate software to assist in completing projects.

Be able to apply the latest planning and controlling project management skills.

Be able to effectively budget for proposed projects.

Be able to apply other related management skills required for effective project
management.

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We will be coving the following Topics:

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INTRODUCTION

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INTRODUCTION
Project refers to the management and discipline of planning, organizing, securing and
managing resources to bring about the successful completion of specific project goals and
objectives. It is sometimes associated with program management, however technically a
program is actually a higher level construct: a group of related and somehow
interdependent projects.
It is a temporary endeavor, having a defined beginning and end (usually constrained by
date, but can be by funding or deliverables). It has unique goals and objectives, usually to
bring about beneficial change or added value. The temporary nature of projects stands in
contrast to business as usual (or operations), which are repetitive, permanent or semipermanent functional work to produce products or services.
In practice, the management of these two systems is often found to be quite different, and
as such requires the development of distinct technical skills and the adoption of separate
management.
Wikipedia describes the primary challenge of project management as achieving all of the
project goals and objectives while honoring the preconceived project constraints. Typical
constraints are scope, time, and budget. It also talks about the secondary, and more
ambitious challenge, which optimizes the allocation and integration of inputs necessary to
meet pre-defined objectives.
History
Project management has been practiced since early civilization. Until 1900 civil engineering
projects were generally managed by creative architects and engineers themselves, among
those for example Vistruvius (1st century BC), Christopher Wren (16321723) , Thomas
Telford (1757-1834) and Isambard Kingdom Brunel (18061859). It was in the 1950s that
organizations started to systematically apply project management tools and techniques to
complex projects.
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As a discipline, Project Management developed from several fields, namely construction,


engineering, and defense activity. Two forefathers of project management are Henry Gantt,
called the father of planning and control techniques, who is famous for his use of the Gantt
chart as a project management tool; and Henri Fayol for his creation of the 5 management
functions which form the foundation of the body of knowledge associated with project and
program management. Both Gantt and Fayol were students of Frederick Winslow Taylor's
theories of scientific management. His work is the forerunner to modern project
management tools including work breakdown structure (WBS) and resource allocation.

Frederick Winslow Taylor (1856 - 1915) "Father" of the


Scientific management
& Efficiency Movement

Henry Gantt (1861-

Henri Fayol : The

1919), the father of

Father of modern

planning and control

operational theory.

techniques.

At the same time, as project-scheduling models were being developed, technology for
project cost estimating, cost management, and engineering economics was evolving, with
pioneering work by Hans Lang and others.

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The International Project Management Association (IPMA) was founded in Europe in 1967,
as a federation of several national project management associations. IPMA maintains its
federal structure today and now includes member associations on every continent except
Antarctica.
Approaches
There are a number of approaches to managing project activities including agile, interactive,
incremental, and phased approaches.
Regardless of the methodology employed, careful consideration must be given to the overall
project objectives, timeline, and cost, as well as the roles and responsibilities of all
participants and stakeholders.
The traditional approach
A traditional phased approach identifies a sequence of steps to be completed. In the
"traditional approach", we can distinguish 5 components of a project (4 stages plus control)
in the development of a project:

Typical development phases/stages of a project

Not all the projects will visit every stage as projects can be terminated before they reach
completion. Some projects do not follow a structured planning and/or monitoring stages.
Some projects will go through steps 2, 3 and 4 multiple times.
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Many industries use variations on these project stages. For example, when working on a
brick and mortar design and construction, projects will typically progress through stages like
Pre-Planning, Conceptual Design, Schematic Design, Design Development, Construction
Drawings (or Contract Documents), and Construction Administration.
In projects where requirements have not been finalized, where changes can occur,
requirements management is used to develop an accurate and complete definition of the
behavior of software that can serve as the basis for software development. While the terms
may differ from industry to industry, the actual stages typically follow common steps to
problem solving "defining the problem, weighing options, choosing a path,
implementation and evaluation."

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NOTES
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PROJECT
INTEGRATION
MANAGEMENT

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PROJECT INTEGRATION MANAGEMENT


Now that you understand the basics of where project management comes from, you will
now get a better understanding of how people Integration management works and the
effects thereof.
When initiating a project, you always have to plan your activitiesm how they will be handled
and who will be responsible for them. This helps ensure that all processes in a project it
runs smoothly, the activities in between interlink with what the goal of the project is.
During the integration phase, all qualities of deliverables are being included to measure the
description of the project. These deliverables will include project charter, project plan and
scope statement of the project.
Project integration management is primarily concerned with integrating processes to
accomplish project objectives.
This all looks at the following:
Project Plan Development
For a project to start-up, it is triggered by an individual who sees a need for the
development of something, or decides to take responsibility for a new initiative that might
best be run as a project. The trigger may come from business planning, an external driver or
identification of a significant problem that cannot be dealt with as a matter of routine. At the
end of the development a decision whether or not to move ahead is made. This decision is
made in the light of the information gathered during start up and recorded in a Project Brief.
In essence, the Project brief says why the project is needed, what it must achieve and who
should be involved. There is no set method for conducting start up, in practice it will depend
on the size and complexity of the work and whether, for example, some form of feasibility
study has been done. By the end of project start-up all interested parties should be satisfied
that the following aspects of the project are clearly defined and understood:
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The reasons for the project

Desired benefits and who will realise them

Scope what in and whats out

Objectives achievable and measurable (SMART)

Background why does this project need to be done and why now?

Constraints that must be taken into consideration during the project

Assumptions

Any known risks

Dependencies on other projects/activities/decisions

Stakeholders (internal and external)

Deliverables/outcomes

Estimated timescale

Estimates for resources required

Lessons learned from similar projects and/or from people who done similar projects.

Without careful planning it is likely that the project will fail to achieve its objectives. In a
small project it is possible that one plan may be used to define the entire scope of work and
all the resources needed to carry out that work. For larger projects, planning will be carried
out at different levels of detail at different times. In all types and sizes of projects, one must
be prepared to re-plan in should anything go wrong. Remember that plans are essential for
ongoing project control and must be used and kept up to date right through the life of the
project.

Plan execution
Executing focuses on the processes used to complete the work defined in the project
management plan to accomplish the project's requirements. Execution process involves
coordinating people and resources, as well as integrating and performing the activities of
the project in accordance with the project management plan. The deliverables are produced
as outputs from the processes performed as defined in the project management plan.
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Integrated Change Control


Now that youve learnt about project development plans and plan execution, you will
understand what integrated change controls are. Integrated change controls, looks at
factors that influence changes, set to be beneficial to the project, which determines a
change which has occurred and also manages the actual changes when and if they occur.
All projects are subject to scope change at some time during their life-cycle. Change control
systems, or configuration management, are system designs and effectively manage the
change of scope processes. Configuration management is a process of identifying and
managing to the deliverables and other work products as they evolve through the project
life-cycle. This helps in ensuring that the proposed changes are necessary, appropriate and
that the integrity of the system is maintained. This system should establish a framework to
monitor, evaluate and approve changes by the designated people before the change is
incorporated in the project.

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NOTES
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PROJECT SCOPE
MANAGEMENT

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PROJECT SCOPE MANAGEMENT


The idea of project scope management, is that end result needs to be accomplished to
deliver or a product or service it is aimed at. Once all the essentials have been taken care
of, work that the project is aimed at will then been in progress. Project scope play a role in
the stages set out for the project to continue. During these stages, the shape of the project
is given and the main goal or even the deliverables are described. These stages would
include the initiation stage, planning stage, organising stage, execution stage and close out.
Project scope management is the defining element of the project, it defines its bases and
what it is aimed at and if the goal that it is meant for is achievable or not.

The Project scope focuses on the following:

PROJECT SCOPE
MANAGEMENT

Scope change
c
o
Initiating

Scope planning

Scope Definition

Scope Verification

n
t
r
o
l

Initiation
Project Initiation is where you create a sound baseline for management of a project by
taking current understanding of the what and why, as documented in the Project Brief,
and extending it to include a detailed definition of how, when, and by whom in a Project
Initiation Document.
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The purpose of the PID is to provide the information required by senior management and
stakeholders to enable them to commit to the resources and timelines proposed. It is a sort
of contract between the Project Manager and SRO/Project Board that defines how the
project will be run.

The PID provides a detailed proposition against which success can be measured. To do this
the PID builds on the approved Project Brief by defining in detail how the project will be
developed and when it will be delivered. It provides a more detailed understanding of the
costs and benefits of the project and, in particular, the resources, risks and timelines
required for successful delivery.

Scope planning
Scope planning is described as the process of developing a written scope statement as the
basis for future projects decisions including in particular,, the criteria used to determine if
the project or phase has been complete successfully.
The scope planning outlines the project philosophy that:

Defines the boundary of the project and confirms common understanding of the
project scope amongst stakeholders.

Forms the basis of agreement between client and contractors by indentifying both the
project objective and major deliverables.

Is a guide and constraint for the configuration management process influencing


change control? During the commissioning phase the scope planning will
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help to confirm that the project has been implemented to the required
condition.

Scope definition
Scope definition is defined as subdividing the major project deliverables into smaller, more
manageable components. During this process it will help in implementing the accuracy of
the estimate and assign single responsibility to the work that is to be done, this may be
included in the Work Break Structure.
The scope definition outlines the content of the project, how the project will be approached
and explains how it will solve the clients need or problems. Scope definition establishes a
method to identify all the items of work that are required to complete the project. The build
method outlines how the product will be build, WBS may be utilised in this to provide a
subdivision of the scope of work into manageable work packages. Responsibility can be
assigned to the work packaged accomplishment.

Scope verification
Scope verification is defined as the process of formalising acceptance of the project by the
stakeholders. Scope verification can be related to phases of the project life-cycle. The
scope of work should be formally approved at the end of each phase. This will be after the
feasibility study a concept has been taken care of and also at the designing and
development stage of the project before the implementation phase. All changes during
implementation phase should be formally approved during the commissioning phase. The
controls are essential to establish the required condition before implementation and after
implementation, to confirm the required condition has been archived.

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Scope change control


Any project that has ever been done, must have probable had a scope changes. As the
project takes its shape or even develops, it is given as part of learning there will be changes
occurring; these changes might be environmental changes or technological changes. Since
these changes are nearly inevitable, it is best to prepare to deal with changes rather than be
supposed when they occur and try to resist them.
In trying to be proactive with these changes, for you to be able to control them you will a
clear definition of the project deliverables. Unless the deliverables are clear when the scope
baseline of the project is established, it is difficult to know when a change is requested
whether it is or not part of the already established project scope. Many conflicts can be
avoided by having a clear scope baseline that all of the stakeholders have agreed to.
Changes can be coursed by many so many events or variables like government regulations,
change in technology, and change in market place an error or omission of what was defined
in the planning stage or it can even be by the clients exceptions. For a good basis for good
change management systems starts with a good establishment of the scope baseline.

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ACTIVITY 1
1.

Nora is trying to start the project and needs to plan accordingly. that is Fred doing to

hinder the scope planning stage of the project?


2.

What are the stages that needed to be followed for this software project to be

successful?

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NOTES
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PROJECT TIME MANAGEMENT

Activity Definition
Activity definition refers to the process of parsing a project into a number of individual tasks
which must be completed before the deliverables can be considered completed. Activity
definitions rely on a number of specific input processes. These include enterprise
environmental factors, organizational process assets, the project scope statement, the work
breakdown structure, the WBS dictionary, the project management plan (which consists of
the project scope management plan and the schedule management plan). Through use of
these inputs, the activities that will need to ultimately be completed in order to compete all of
the project objectives can be readily defined, and the activity definition can be further
accomplished through the utilization of a number of tools and techniques including
decomposition, templates, rolling wave planning, expert judgment, and planning
components. The four ultimate outputs of the activity definition process are the activity list,
the resulting activity attributes, all requested changes, and any milestones.
Activity Sequencing
The term activity sequencing refers within the context of project management to a dual
process. Initially, activity sequencing involves a specific process of the identification of
dependencies among a series of schedule activities. The next step of activity sequencing
involves the documentation of the said series of dependencies among those schedule
activities. More specifically, activity sequencing involves the chronicling the dependencies
among these schedule activities and putting them into a logical order. Activity sequencing
also involves a careful examination of the relationships between schedule activities and
their precedence relationships, which is also provides a tangible benefit to the development
of an accurate schedule. Some techniques of activity sequencing that are particularly
effective include precedence diagramming method, arrow diagramming method, schedule
network templates, dependency determination, and the application of leads and lags. Some
outputs from activity sequencing include project network schedule diagrams, activity list
updates; activity attributes updates, and requested changes.
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Activity Duration Estimating


Activity duration is a noun that represents the specific quantity of time that exists between
the designated start time and end time of a scheduled activity. For further elaboration on
this definition, please see the definitions for actual duration, original duration, and remaining
duration. Activity duration should be carefully measured from the start date to the end date
and can be calculated in whatever calendar units are appropriate given the anticipated
timeframe of the project, such as days, weeks, months, etc. The activity duration can be
established when a project is conceived, or it can be established when a project is kicked
off, and is typically fluid in nature, and able to be modified if the situation merits and with the
agreement of all parties. Furthermore, the sum total of the activity duration can also be
broken up into smaller parts in the establishment of project milestones, points at which
either the current state of the project will be assessed, or potentially sum or all deliverables
will be submitted in either final or draft form.
Activity duration estimating represents the act of quantifying the amount of time that it is
anticipated the activity will take to complete. This phase of the project, that which consists of
the estimating of the amount of time needed to complete all individual schedule activities,
typically and traditionally takes place before a project is kicked off, during the conception
phase, however, it is possible for the actual activity duration estimating period to take place
later, perhaps close to or even slightly after the project has officially kicked off, however,
even in those cases a draft or preliminary estimation has typically been made. Estimations
can be made in any calendar unit that seems appropriate, such as months, weeks, days,
etc., the entirety of the activity duration estimate can be further broken down into subparts
or milestones at which certain elements, or deliverables, of the activity are to have been
completed in final or draft form.
Schedule Development
Over the course of a given project, often times, it is up to the project management team and
or the project management team leader to make a determination that the previously
determined and derived schedule may need to be modified and or tweaked in one way or
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another in order to accommodate one of more schedule events. This may be because a
particular event is running behind schedule or in other cases because a succeeding events
timing has to e changed one way or another. However, in order to make any changes, it is
important that a comprehensive analysis be undertaken by the project management team
and or project management team leader as to the schedule activity sequences, schedule
activity resource requirements, schedule activity durations, and any particular schedule
restraints, that must be factored in not only when making the original schedule, but also in
the act of making any subsequent changes. This is referred to as the process of schedule
development.
The project schedule is a fairly broad and all encompassing concept that while seemingly
easy to grasp, must truly be mastered in order for all members of the project staff, from the
project management team all the way up to the project management team leader to
effectively manage the project in a capable manner from start to finish. The project schedule
typically will include all elements of the project from the pre-planning stages of the project
through all ongoing project processes that may take place during the active project period,
to any and all project related process that may occur at the conclusion and or closing stages
of the project. The project schedule, as a project related input/output mechanism, typically
keeps careful track of any and all planned dates for the performance of particular schedule
activities, as well as any predetermined dates that are expected to be met and followed up
on in regards to the implementation of any particular project milestones.
Schedule Control
Over the course of a given project, often times, it is up to the project management team and
or the project management team leader to make a determination that the previously
determined and derived schedule may need to be modified and or tweaked in one way or
another in order to accommodate one of more schedule events. This may be because a
particular event is running behind schedule or in other cases because a succeeding events
timing has to e changed one way or another. However, it is important to understand and
keep in mind that changes cannot be made in a haphazard and reckless manner. Careful
tabs must be kept on all of them to assure that control is maintained by those in charge,
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ACTIVITY 2
Develop a Gantt chart for a current project that you are currently working on within your
company. Then present to the class your findings

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such as the project management team and or the project management team leader. The
actual process of maintaining control of the changes that may occur to a schedule is in fact
known as schedule control.

NOTES
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PROJECT COST
MANAGEMENT

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PROJECT COST MANAGEMENT


Rad Parvis F. (2002) explains Project Cost Management is defined as a method which
uses technology to measure the cost and productivity through the full life cycle of enterprise
level projects, encompassing specific functions that include estimating, job controls, field
data collection, scheduling, account and design. As the project continues, job control uses
data from the estimate with the information reported from field to measure cost and
production in the project. From Project initiation to the completion on the project, project
cost management has an objective to simplify and cheapen the experience of the project.

Resource Planning
The term human resource planning refers specifically to a project management process that
involves the careful and deliberate identification, categorization, and ultimately,
documentation of the entirety of all project roles assigned to all individual members of the
project work team. Included among this documentation process is a careful delineation of all
of the individual project team members personal responsibilities in regards to management
of the project, as well as all the specific reporting relationships among all members of the
project team. One additional essential component of the project management process of
human resource planning is a careful and thoroughly executed encapsulation of all
members of the project team through a complete project staffing management plan. This
can be done through the use of either a formally written document, which can include a
detailed graphically formatted chart, or it can be in the form of a less formalized document of
sorts.
Activity resource estimating is a process in which the project team carefully compiles a
thorough listing of the resources that will be needed in completing a project. There are six
inputs that are to be used in the process of activity resource estimating. Those six inputs are
the activity list, the activity attributes, the organizational process assets, the enterprise
environmental factors, and project management plan, and the resource availability. There
are a number of tools that can also be utilized in most effectively estimating the required
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activity resources. Those tools include expert judgment, a complete alternatives analysis,
the use of published estimating data, project management software, and the use of bottomup estimating. The resulting outputs from this process include activity resource
requirements; activity attributes updates, requested changes, a resource breakdown
structure, and the development of a resource calendar. The successful utilization of activity
resource estimates will help assure that enough resources are acquired without waste and
excessive expenditure.
Cost Estimating
When creating a budget for a job, project management must be able to engage properly in
the process of cost estimating. This is a calculated projection of the cost for the materials
required by the project. The materials considered in cost estimating can be any resources
required for the job such as raw materials or employee wages.
It is critical for a true approximation of the production costs that those in project
management take into account all resources which might be used. Neglecting certain
materials could result in cost estimating which is too low. This increases the likelihood that
the budget will be exceeded.
Accurate cost estimating by project management needs to be done often when creating a
bid for the project. Too high of an estimate, and the bid could be lost to another company. A
bid which is falsely low will result in unanticipated costs the client will have to pay, and that
could damage the chances of future business with that customer. Knowing the true price of
the project is important for anyone in management in order to create a budget for the job
and to make bids.

Cost Budgeting
The idea of managing a project can seem like a daunting task, however, provided with the
right tools, any project can achieve success. When undertaking any type of project
management, there must be a working set of guidelines and objectives that must be
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followed, in order to guarantee success for that particular project. An essential element
when entering into any type of project management is cost budgeting. To create an effective
cost budgeting plan, a total budget for the entire project must first be established. To
achieve this, each area of the project must be analyzed and given a particular cost estimate.
Once that is done, the total sum of cost assessments, whether those costs are in individual
projects or in work packages, are combined to establish a certain parameter to provide a
working guideline for the budget. These guidelines are set in place so that the allotted costs
are divvied up amongst the appropriate project needs. This will ensure that the budget goals
are being accurately met. The process of cost budgeting is a simple, yet necessary process
of any successful type of project management.
Cost control
When it comes to project management, whether or not the management team exercises
cost control can make or break a projects budget. Cost control can best be achieved by
setting up a budget which is consistent with plans for actual spending. Although it might
sometimes be necessary to make adjustments, it is important to adhere to the budget as
closely as possible during the project management process.
Another important aspect of cost control involves collecting actual costs and regularly
creating reports for those expenditures. In addition, it is essential to accurately report and
regularly assess progress throughout all phases of the project. It is also advisable to keep a
close eye on cost trends as well as anticipating costs of work that still remains to be
completed. Once determined these figures should be closely compared to estimates for final
completion of the project.
Cost variances or approved budget changes must also be accounted for to maintain proper
cost control. Any discrepancies that are not within the bounds of budget constraints should
be promptly brought to the attention of the project management team.

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PROJECT QUALITY
MANAGEMENT

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PROJECT QUALITY MANAGEMENT

Quality Planning
In terms of project management, the concept of quality refers specifically to the degree or
amount toward which an inherent or embedded number of traits fulfills a number of
predetermined requirements that have been deemed necessary. Quality can also be
defined through the use of a interpretation to refer to the non-inferiority, superiority or
usefulness of a given item or concept. Across many industries, manufacturing for one, but
also applicable in the area of project management, it is commonly stated that quality drives
productivity. Indeed, often times it is obvious that improvements in productivity do inherently
lead to greater revenues, opportunities for employment, and technological advances. The
concept of quality can also refer specifically to a finished part or product, regardless of
where that part or product currently stands in the process. Inspection, which is usually being
referred to when the concept of quality insurance is bandied about, is of a secondary
preference to that of process control because process control refers to maintaining the
quality of the ongoing process, rather than attempting to assess the quality of the end
product.
It is very important to make sure during the close out of you project have not delivered what
is expected but the quality of the product is also taken care of. Planning for quality requires
attention to details. The goal of quality is to ensure that the output of the project will perform
up to what it is suppose or even developed for.
In planning the quality dimensions, include specifications for the quality and types of
material to be used, the performance standards to be met and the material to be used, the
performance standards to be met and the means of verifying quality such as testing and
inspection.

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Quality Assurance
Throughout all of industry, one constant significant element exists for companies to ponder
over, and that is the act of making sure that each and every item of note is done or
produced according to a specific and rigid standard that has been predefined. This is the act
of quality assurance. In terms of the successful management of projects, quality assurance
is quite significant. Performing quality assurance (which is also known by the two letter
anagram QA), is an essential par of the project management process. During the process of
quality assurance, the project management team and or project management team leader
undergoes the process of applying the previously planned and systemic quality related
activities (some examples of these are the concept of auditing or peer review), for the
purpose of making sure that the current scenario fits within those parameters, and
undertakes efforts to employ all of the previously designated processes in order to actually
meet those parameters.
Quality Control
Control refers to a specific technique that involves making measured and deliberate
comparisons of the actual resultant performance with what was expected to be the planned
performance. Control also refers to a systematic method of analyzing the variances that
develop as a process unfolds. Control can also refer to the technique of assessing the
trends that may develop during a specific activity or task or that begin to unfold during the
broader time frame of the entirety or a project, as well as a thorough evaluation of all
possible alternatives and a determination as to what corrective action should be taken to
help turn a project back into a direction that is more conducive to the attainment of whatever
ultimate goals and results are expected and/or anticipated. Control can also refer to a fixed
point during the course of variant activities, such as utilization of the same type of machines
to develop different types of products.
Control limits refer to the wide area of variation that can exist when plotting the actual data
that has been charted. The control limits, more specifically, refer to the three standard
deviations on either side of the mean (this mean is also known as the centerline), of a
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normal distribution of data that has been laid out, or plotted, on a control chart. These
control limits will typically reflect an expected variation in the data. These expectations can
be derived from past experiences, meaning, the deviations that have occurred when
conducting similar projects of specific work tasks within then, or they can be derived from
nothing more than careful consideration and discussion among the team. Regardless, it is
important to utilize these control limits as it better will prepare the control team for possible
variations and make them easier to deal with and compensate for. It is important to develop
control limits at the outset of a project and/or work task.

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NOTES
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PROJECT HR
MANAGEMENT

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PROJECT HR MANAGEMENT
Think of a Human Resource department as the nucleus of a business. This is where people
are hired, interviewed and paid. This is where staff find answers to personnel questions and
the way forward in regards to human capital.
Project HR Management is the process whereby a business will make the most effective use
of the a its people involved with a specific project. This may include all the project
stakeholders from customers, sponsors, individual contributors etc. This is divided within the
following sections:

Organizational Planning
This is a process whereby an organization will identify, document, and assign project roles,
responsibilities, and reporting relationships. This may be done to individuals or to groups
either apart of the company or externally. Majority of organizational planning on projects is
begun on the earliest project phases. However, the results of this process should be
reviewed regularly throughout the project to ensure continued applicability. Organizational
planning is often tightly linked with Project Communication planning since the projects
organizational structure will have a major effect on the projects communications
requirements

Staff Acquisition
This is whereby the business obtains the necessary human resources needed for a
particular project, whether individuals or groups. Depending on the project
Many times, the best resources may not be available. Thus it is the project management
teams responsibility to make sure that sufficient human resources are allocated to meet
project requirements.

Team Development
Team development is a process of developing individuals or groups in order to enhance
necessary skills for project performance. This involves the ability of relevant stakeholders,
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as well as team. Individual development (both managerial and technical) is the foundation
necessary to develop a team. This is critical to the projects ability to meet its objectives.
Team development on a project is often complicated when individual team members are
accountable to both a functional manager and to the project manager so necessary
management must take place in order to critical assess a project. This is usually the
responsibility of a Project Manager and is generally the responsibility of the project
manager. This should be done throughout the project
As a brief summary, the below table illustrates the various components of organisational
planning, staff acquisition and team development and how it would effect a project in
regards what needs to be inputted, tools and techniques and their output..
PROJECT HUMAN RESOURCE MANAGEMENT
ORGANIZATIONAL
STAFF ACQUISITION
TEAM DEVELOPMENT
PLANNING

Inputs
Project interfaces
Staffing requirements
Constraints

1.

Inputs
Staffing management plan
Staffing pool description
Recruitment practices

Tools and Techniques


Templates
Human resource practices
Organizational theory
Stakeholder analysis

2.

Tools and Techniques


Negotiations
Pre-assignment
Procurement

3.

Outputs
Project staff assigned
Project team directory

Outputs
Role and responsibility
assignments
Staffing management plan
Organization chart
Supporting detail

1. Inputs
Project staff
Project plan
Staffing management plan
Performance reports
External feedback
2. Tools and Techniques
Team-building activities
General management skills
Reward and recognition
systems
Collocation
Training
3. Outputs
Performance improvements
Input to performance
appraisals

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PROJECT
COMMUNICATION
MANAGEMENT

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PROJECT COMMUNICATION MANAGEMENT


For a project to succeed there is a continuous need for communication, to issue
instructions, solve problems, make decisions, resolve conflicts and keep everyone supplied
with the information they may need.
The PMBOK defines project communication management as the process required
ensuring timely and appropriate generation, collection, dissemination, storage and ultimately
disposition (disposal) of project information. It provides the critical links among people, ideas
and information that are necessary for successes.

Effective communication is a critical success factor for any project.

Communication ensures that stakeholders are always informed

Project communication start at the planning phases

While communication is always mentioned in the plan, some projects require a


separate communication plan

Means of communication:

Personal interaction

Documentation and sign-offs

Meetings and minutes

Email or memos

Reports: status and progress

Forecasting

The project notebook or diary

Something important to note is that communication between two people is fairly simple.
However add another person and you increase the complexity by five.

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Communication Planning
A communication plan prescribes the methods that will be used to gather information. It help
pulls the project together. The project manager is responsible for not only establishing the
project organisational structure, but to develop the project communication plan and lines of
communication. It indicates the documentation and how it is collected and the filing
structure. It details the distribution structure, describes the information to be distributed.
Outlines production schedules for watch type of communication. Describes what methods
will be used to assess information between scheduled communications.
It will mainly help outline the following:

Who ( sender and receiver responsibility and authority, lines of communication)

What (scope of communication and format)

How (email, document, telephone, meeting, presentation)

When (schedule)

Feedback

Filing

Information Distribution
The projects information is the lifeblood of the communication plan, projects plan and
control system. This should be applied to all lines of communication. For the flow of
information to be effective, all parties must be aware that they are part of a link, and if
broken, it will dampen the process. The quality of information will directly link to the weakest
link.

Performance Reporting
Performance reporting or project reporting is a process whereby project data is collected,
processed and then reported. This can be done in various ways such as the structure,
frequency and circulation of reports, which must be established as early as the start up
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phase of the project. This is used to assist with problem solving and decision making at
various levels of management so to ensure set goals and objectives are met.
The following are some of the regular reports at your disposal:
1.

Status reports: This report is merely a report to quantify the position of a project. In

other words to see how it is going, within the process. It may focus on specific areas such
as time, cost, and quality of the project.
Example of Status report:
Activity
101

Description
Foundation

Status
Material ordered work starts on
Tuesday

2.

Variance reports: This report focuses on what has actual occurred and what has

been planned for the project and the difference between the two. However it important to
note that it does not look at the parameters when performing this calculation. To achieve
this, the variance must be put into a percentage of the planned value.
Example of a Budget Variance Report:
Activity
100
200

Original Budget
R10 000
R15 000

Revised Budget
R12 000
R13 500

Variance
R2 000
(R1 500)

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Example of a Schedule Variance Report:


Activity

100
200
3.

Original

Revised

Schedule

Schedule

Budget

Budget

Variance

Variance

R10 000
R20 000

%
1%
5%

R1 000 000
R 400 000

R1 010 000
R 420 000

Trend Reports: Using historical data to project the direction of the project so that the

project manager can get a better feel of what may occur. This is very different to the status
report since the status report will tell the manager where the project is, but not where it is
going.
4.

Earned Value Reports: This report integrates the variable parameters of cost with

time or man-hours with time. This enables the planner to model the various parameters
more realistically.
Example of Earner Value report

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5.

Exception Reports: To make the project manager aware of an occurrence or event

which may be outside of a his/her control. This maybe set out by the project manager as a
guideline for the planner whereby he is ably to filter out important information
6.

Monthly Reports: This is important for a long project and assists the project manager

in establishing an excellent forum to quantify what is happening on the project and report it
to management and stakeholders. This would entail a round up of the weekly progress
meetings, any other special meetings and overall picture. An example, highlight specific
trends or variance, identify major events within that month so that management and
stakeholders can plan ahead.
Having structured reports helps include important information that a project team may
require. It should be quick, and easy to read, since a project is not about reporting but to
make use at any given time.

Administrative Closure
This is the process of preparation of closure documents and process deliverables. This
includes the release and redistribution of the Project Resources. The objective to make sure
that the project is accepted, approved and closed.
The process will include:

The Project Manager ensures that the project is approved and accepted by the
stakeholders.

Assess the success criteria that was identified during the planning stages and
determine if criteria was met.

All documentation and records, physical or electronic, need to be systematically


reviewed, organized and archived.

The Project Manager gives performance feedback to team members.

The Project Manager releases resources.


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Guidelines

In the absence of a formalized project close out procedure, some projects (or project
phases) risk "never ending" and the differences between project work
and ongoing operations and maintenance get blurred.

Evaluate the product/service's conformance and satisfaction of the requirements.


This will help in obtaining project and product acceptance from the
customer.

Identify and highlight any Lessons Learned and best practices that could be useful to
other project teams. Document and communicate Lessons Learned and
best practices.

Gather data required for updating or adding to your organization's metrics. Metrics
can include such information as:

Number of objects, classes, programs, modules and level of complexity

Skill-set required to complete different task types

Level of effort required for different task types by resource type

All the metrics and documentation needs to be reviewed by someone external to the
project. This needs to be archived in the central repository.

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201
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PROJECT RISK
MANAGEMENT

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PROJECT RISK MANAGEMENT


Project Risk management is defined by PMBOK as the systematic processes of
identifying, analysing and responding to project risk(throughout the project lifecycle). This
means maximising results of positive events and minimising the consequences of adverse
events. The APM book defines risk as factors that may cause a failure to meet the
projects objectives
Project risk management strives to reduce the chances of failure. So in order for this occur,
it is important that an outline of project risk is understood, as well as the methodology for
reducing risk is done at an acceptably level while identifying potential opportunities as well.
The reason why this is such an important aspect of project management is for the fact that
many business and projects tend to only meet business projects half way or partially. This
emphasises the need for a proper risk assessment while a project is initiated, ongoing and
during control of the project lifecycle.
Some helpful suggestions when tackling risk within a project:

Ensure commitment and involvement from management and users

Use smaller project teams with a high level of skill

Limit the number of new things within a project e.g. new technology

Frequent communication to all stakeholders

On going risk workshops that will include all the relevant stakeholders

There are a few other important things to take into consideration when tackling project risk.
Firstly, internal and external risk. Internal risk entails things that can be controlled or
influenced by the project team, where as external risk are things beyond the control or
influence of the project team

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Risk Planning
The risk management plan is a formal approach to the process as opposed to an intuitive
approach and documents how the project team will address risks within a project. This
process will include the following:

Define objectives by utilizing the work breakdown structure (WBS), you are able to
identify activities within project to define goals and objects of the project.
This forms basis.

Identify the risk uncertainty or constraint that may hinder the projects success,
which will impact the objective of the project

Quantify risk perform risk evaluation and assess level of risk and how it will effect
the project

Develop a response how will the project team react to risk, which could be an
arrange of things or combination i.e. eliminate, deflect, mitigate, accept
etc

Risk control by having a risk control system, you are able to implement the best
course of action for any particular risk that may occur. This could be
training workshops to project team, communication to stakeholders etc.
This should occur on a continual basis to constantly assess risks within
the project.

Risk Identification
Risk management is the hardest part, but most important part of project risk management
process. It is a systematic process to ensure nothing is overlooked. The reason is clear,
because without identifying the risk, it will be excluded from the entire project and further
analysis would be omitted from the project that could be crucial to the well being of a set
particular project. Another important factor to realise is that risk identification is not a one
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time even but continuous, since a project develops and evolves and without recognizing it
during the whole process, it too can hinder a successful outcome.
After objectives have been listed, additional aspects should be added. They are cause and
impact scenarios. Cause of impact is if a particular happens, what impact will it have on the
objectives; Impact caused by is what could cause an undesirable impact, or failure?
Special techniques used to assist in identifying risk, include:

Analyising historical data and records

Safety reports

Structured questionnaires and interviews

Brainstorming

Flow chart

Systems analysis

Scenario analysis

Structured checklist

Having the necessary experience in life will help to identify risk within a project. So greater
awareness may produce better outcomes. Looking at others that may have paved the way
forward is also key, so identify risks involved. Finally looking at he risks and seeing where
opportunity can be developed. Many great projects manage to have great success, if this
occurs.

Qualitative Risk Analysis


This is when a relative measure of risk or asset value based on ranking or separation into
descriptive categories such as low, medium, high; not important, important, very important;
or on a scale from 1 to 10 is given to a particular project. It is designed for the purpose of
enhancing one's awareness of potential problems, and can assist one in analyzing these
risks.
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Quantitative Risk Analysis


Having identified the range of possible risk, it is important to establish how much risk there
maybe. This is to assess where the main concerns of risk are and what resources are at the
project teams disposal. This is when a risk priority table should be introduced to see what
should be addressed first, and in which order. Looking at impact of risk, frequency of risk
and probability of risk is all key aspects when addressing risk management.

Risk Response Planning

After identifying, quantifying and prioritising risk, the next important step is developing an
appropriate response. After the assessment of risk, establishing level of risk and what is
required criteria, there are various range of responses that can be used during the planning
phase:

Eliminate risk This is a process whereby the project team will look at all angles to
avoid risk in its entirety. This is done by either removing the cause, or an
alternative cause of action. The best way to deal with this is during the
concept and designing phase because cost is low and influence is high.

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Mitigate risk this involves reducing the risks probability and impact on a project.
Various methods could be used to achieve this. That includes using
proven technology, developing prototypes, models, simulations etc.

Deflect risk this is away of transferring part or all of risk to another party, whether
through contracting, retention, bonding and insurance

Accept risk (with contingency plan) accepting risk should be a last resort, in that it
can heavily impact the project. But if required, certain contingency plans
should be set place to avoid large repercussions.

Turn risk into an opportunity

All these response cost money, so a cost benefit analysis should be developed to assist in
establishing a more cost effective solution.

Risk Monitoring and Control


Risk Monitoring and Control function is all about implementation of a well thought through
risk management plan. This is when the plan is communicated to all necessary
stakeholders, and followed up with training if need be.
It should be monitored on a continual basis and updated where necessary so that all parties
can learn from the process. This process may cover the following; change in the scope of
work, changes in the building methods, changes in the team members, changes in the
suppliers etc
This may be included in a weekly progress report meeting, so to stimulate discussion, and
best course of action

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PROJECT
PROCUREMENT
MANAGEMENT

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PROJECT PROCUREMENT MANAGEMENT


The PMBOK defines procurement management as ..the process required to acquire goods
and services APM bok defines procurement as the process of acquiring new services or
products..
So it is deals with acquiring goods and services necessary for a project. This may include
things such as a drawings, material, equipment or professional services from a number of
vendors or suppliers etc.
The procurement schedule will take place after the Gantt chart has been drawn up. The
critical path or long lead time items must be carefully look at when embarking on the
procurement schedule. As this may delay the project.

Procurement Planning
Procurement planning is viewed from a buyers perspective to identify what products and
services are best procured outside the project organisation. This strategy would include the
following:

What must be procured?

How much to procure?

When is it required?

When to procure?

How to procure? (contract)

This will be established by the Buy-or-make principle or decision making process.

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Solicitation Planning
Solicitation planning is defined as identifying targets for quotes, bids or proposals. Within
procurement management it is the process of preparing the necessary documentation to
support solicitation. This would include a procurement management plan, and other
planning methods. Here a set standard form and expert judgement will be used, as well as a
evaluation criteria to rate proposals, which may be subjective or objective.

Solicitation

This is the process of obtaining information (bids and proposals) from prospective sellers on
how project needs can be met. Most of the actual effort in this process is expended by the
prospective sellers, normally at little or no cost to the project. This will include procurement
documents and qualified seller lists, have bidders conferences and advertising, as well as
Proposals prepared by the sellers explaining how the seller can provide the requested
product or service.
Contract Administration

The process of ensuring that the seller's performance meets contractual requirements.
This includes the contract, work results, change requests, and seller invoices. This is when
project team looks at the contract change control system, performance reporting, and
payment system and the necessary correspondence, contract changes, and payment
requests are made.

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Contract Close-out
The process of completing and settling the contract including any resolution of open items.
This includes contract documentation, performing the necessary procurement audits,
contract file and formal acceptance and closure.

ACTIVITY 4:
You are required to prepare, as a group of 4- 6 students, a tutorial/practical document of a
project, developed from the scratch. It must be a new concept and unique, so think
creatively. It must feature all the related aspects such as tools, time frames, budgets, factors
that could possibly influence your project and who the relevant role players are. The
purpose is to propose your project to t he decision makers who could decide to buy into
your project or not. This will be presented to the class for at least 20 minutes in a given time
slot. You must make use of PowerPoint, Flipcharts or overheads. You are allowed props,
dress ups, posters etc. You

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BIBLIOGRAPHY

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BIBLIOGRAPHY

Burke, R, 2006, Project Management: Planning and Control Techniques; 5th

edition, Cape Town, Blue Weaver Marketing and Distribution.

http://en.wikipedia.org/wiki/Project_management

http://en.wikipedia.org/wiki/File:Project_development_stages

http://www.project-management-knowledge.com/definitions/c/cost-vriance-cv/

www.pmi.org

www.pmisa.org.za

www.4pm.com

www.pmboulevard.com

www.eligoldratt.com

www.informit.com

http://www.projectconnections.com/templates/pmbok/knowledge-

area/project-human-resource-mangement.html. Templates by PMBOK

Rad, Parvis F. (2002) Project Esimating and Cost Management

http://www.anticlue.net/archives/000737.htm

http://www.google.co.za/imgres?
imgurl=http://www.zgraggenassociates.net/sitebuildercontent/sitebuilderpictures/im
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http://iterazia.files.wordpress.com/2010/04/projectscope-management.jpg

http://en.wikipedia.org/wiki/Project_cost_management

http://cio.osu.edu/projects/framework/PDF_files/C_Admn_Clos
_1.00.pdf
Ohio State UniversityOffice of the CIO Project Management Framework
HR Connect (Pty) Ltd.

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CERTIFICATE
OF
ATTENDANCE
PROJECT
MANAGEMENT
NAME OF LEARNER
_______________________

HR Connect (Pty) Ltd.

HR Connect CC
HR Connect (Pty) Ltd.
31 August 2010