PMBOK ch2

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Organizational culture is shaped by the common experiences, which include

- Shared visions, mission, values, beliefs, and expectations - Regulations, policies, methods, and procedures - Motivation and reward systems - Risk tolerance - View of leadership, hierarchy, and authority relationships - Code of conduct, work ethic, and work hours - Operating environments.

Examples of stakeholders

- Sponsor - Customers and users - Sellers - Business partners -Organizational groups -Functional Managers -Other stakeholders

Just as stakeholders can positively or adversely impact a project's objectives, a project can be perceived by the stakeholders

as having positive or negative results.

Enterprise Environmental Factors

refer to conditions, not under the control of the project team, that influence, constrain, or direct the project.__________________ are considered inputs to most planning processes, may enhance or constrain project management options, and may have a positive or negative influence on the outcome. Examples include: - Organizational culture, structure, and governance - Geographic distribution of facilities and resources -Government or industry standards (e.g., regulatory agency regulations, codes of conduct, product standards, quality standards, and workmanship standards) -Infrastructure (e.g., existing facilities and capital equipment) - Existing human resources (e.g., skills, disciplines, and knowledge, such as design, development, legal, contracting, and purchasing) - Personnel administration (e.g., staffing and retention guidelines, employee performance reviews and training records, reward and overtime policy, and time tracking) - Company work authorization systems; Marketplace conditions -Stakeholder risk tolerances -Political climate -Organization's established communications channels -Commercial databases (e.g., standardized cost estimating data, industry risk study information, and risk databases) -Project management information system (e.g., an automated tool, such as a scheduling software tool, a configuration management system, an information collection and distribution system, or web interfaces to other online automated systems).

The project manager needs to know which individuals in the organization are the decision makers or influencers and

work with them to increase the probability of project success.

PM may interact with 3 levels (strategic, middle management, and operational levels) depending on factors such as:

- Strategic importance of the project -Capacity of stakeholders to exert influence on the project - Degree of project management maturity - Project management systems, and Organizational communications. This interaction determines project characteristics such as: + Project manager's level of authority + Resource availability and management + Entity controlling the project budget + Project manager's role + Project team composition.

Organizational process assets

-are the plans, processes, policies, procedures, and knowledge bases specific to and used by the performing organization. - include any artifact, practice, or knowledge from any or all of the organizations involved in the project that can be used to perform or govern the project. - include the organization's knowledge bases such as lessons learned and historical information. - may include completed schedules, risk data, and earned value data. ______________are inputs to most planning processes. Throughout the project, the project team members may update and add to the ______________ as necessary. _______________may be grouped into two categories: (1) processes and procedures, and (2) corporate knowledge base.

Sponsor (Examples of stakeholders)

A sponsor is the person or group who provides resources and support for the project and is accountable for enabling success. The sponsor may be external or internal to the project manager's organization. From initial conception through project closure, the sponsor promotes the project. This includes serving as spokesperson to higher levels of management to gather support throughout the organization and promoting the benefits the project brings. The sponsor leads the project through the initiating processes until formally authorized, and plays a significant role in the development of the initial scope and charter. For issues that are beyond the control of the project manager, the sponsor serves as an escalation path. The sponsor may also be involved in other important issues such as authorizing changes in scope, phase-end reviews, and go/ no-go decisions when risks are particularly high. The sponsor also ensures a smooth transfer of the project's deliverables into the business of the requesting organization after project closure.

Other stakeholders (Examples of stakeholders)

Additional stakeholders, such as procurement entities, financial institutions, government regulators, subject matter experts, consultants, and others, may have a financial interest in the project, contribute inputs to the project, or have an interest in the outcome of the project.

Business partners (Examples of stakeholders)

Business partners are external organizations that have a special relationship with the enterprise, sometimes attained through a certification process. Business partners provide specialized expertise or fill a specified role such as installation, customization, training, or support.

Matrix Organizations

Can be classified in Weak, Balanced, Strong (Weak is similar to functional, Strong is similar to Projectized)

Executing, Monitoring and Controlling: (Organizational process assets - (1) Processes and Procedures)

Change control procedures, including the steps by which performing organization standards, policies, plans, and procedures or any project documents will be modified, and how any changes will be approved and validated Financial controls procedures (e.g., time reporting, required expenditure and disbursement reviews, accounting codes, and standard contract provisions) Issue and defect management procedures defining issue and defect controls, issue and defect identification and resolution, and action item tracking Organizational communication requirements (e.g., specific communication technology available, authorized communication media, record retention policies, and security requirements) Procedures for prioritizing, approving, and issuing work authorizations Risk control procedures, including risk categories, risk statement templates, probability and impact definitions, and probability and impact matrix Standardized guidelines, work instructions, proposal evaluation criteria, and performance measurement criteria.

Customers and users (Examples of stakeholders)

Customers are the persons or organizations who will approve and manage the project's product, service, or result. Users are the persons or organizations who will use the project's product, service, or result. Customers and users may be internal or external to the performing organization and may also exist in multiple layers. For example, the customers for a new pharmaceutical product could include the doctors who prescribe it, the patients who use it and the insurers who pay for it. In some application areas, customers and users are synonymous, while in others, customers refer to the entity acquiring the project's product, and users refer to those who will directly utilize the project's product.

Corporate Knowledge Base for storing and retrieving info includes: (Organizational process assets - (2) Corporate Knowledge Base)

Configuration management knowledge bases containing the versions and baselines of all performing organization standards, policies, procedures, and any project documents Financial databases containing information such as labor hours, incurred costs, budgets, and any project cost overruns Historical information and lessons learned knowledge bases (e.g., project records and documents, all project closure information and documentation, information regarding both the results of previous project selection decisions and previous project performance information, and information from risk management activities) Issue and defect management databases containing issue and defect status, control information, issue and defect resolution, and action item results Process measurement databases used to collect and make available measurement data on processes and products Project files from previous projects (e.g., scope, cost, schedule, and performance measurement baselines, project calendars, project schedule network diagrams, risk registers, planned response actions, and defined risk impact).

Functional managers (Examples of stakeholders)

Functional managers are key individuals who play a management role within an administrative or functional area of the business, such as human resources, finance, accounting, or procurement. They are assigned their own permanent staff to carry out the ongoing work, and they have a clear directive to manage all tasks within their functional area of responsibility. The functional manager may provide subject matter expertise or their function may provide services to the project.

Initiating and Planning (Organizational process assets - (1) Processes and Procedures)

Guidelines and criteria for tailoring the organization's set of standard processes and procedures to satisfy the specific needs of the project. Specific organizational standards such as policies (e.g., human resources policies, health and safety policies, ethics policies, and project management policies), product and project life cycles, and quality policies and procedures (e.g., process audits, improvement targets, checklists, and standardized process definitions for use in the organization) Templates (e.g., risk register, work breakdown structure, project schedule network diagram, and contract templates).

Processes and Procedures (Organizational process assets - (1) Processes and Procedures)

Initiating and Planning Executing, Monitoring and Controlling Closing

Projectized Organizations

Often referred to as a composite organization. Team members are often colocated. Most of the organization's resources are involved in project work, and project managers have a great deal of independence and authority. Virtual collaboration techniques are often used to accomplish the benefits of colocated teams. ________________ often have organizational units called departments, but they can either report directly to the project manager or provide support services to the various projects.

Organizational groups (Examples of stakeholders)

Organizational groups are internal stakeholders who are affected by the activities of the project team. Examples of various business elements of an organization that may be affected by the project include marketing and sales, human resources, legal, finance, operations, manufacturing, and customer service. These groups support the business environment where projects are executed, and are therefore affected by the activities of the project. As a result, there is generally a significant amount of interaction between the various business elements of an organization and the project team as they work together to achieve project goals. These groups may provide input to requirements and accept deliverables necessary for a smooth transition to production or related operations.

Closing: (Organizational process assets - (1) Processes and Procedures)

Project closure guidelines or requirements (e.g., lessons learned, final project audits, project evaluations, product validations, and acceptance criteria).

Sellers (Examples of stakeholders)

Sellers, also called vendors, suppliers, or contractors, are external companies that enter into a contractual agreement to provide components or services necessary for the project.

Cultures and styles

are group phenomena known as cultural norms, which develop over time. The norms include established approaches to initiating and planning projects, the means considered acceptable for getting the work done, and recognized authorities who make or influence decisions. are learned and shared and may have a strong influence on a project's ability to meet its objectives. Culture becomes a critical factor in defining project success, and multicultural competence becomes critical for the project manager.

Organizations

are systematic arrangements of entities (persons and/ or departments) aimed at accomplishing a purpose, which may involve undertaking projects.

An organization's culture and style

affect how it conducts projects.

Project governance

enables organizations to consistently manage projects and maximize the value of project outcomes and align the projects with business strategy. It provides a framework in which the project manager and sponsors can make decisions that satisfy both stakeholder needs and expectations and organizational strategic objectives or address circumstances where these may not be in alignment.

Stakeholder identification

is a continuous process throughout the entire project life cycle. Identifying stakeholders, understanding their relative degree of influence on a project, and balancing their demands, needs, and expectations are critical to the success of the project. Failure to do so can lead to delays, cost increases, unexpected issues, and other negative consequences including project cancellation.

Functional organization

is a hierarchy where each employee has one clear superior. Staff members are grouped by specialty, specialties may be further subdivided into focused functional units. Each department in a functional organization will do its project work independently of other departments.

Organizational structure

is an enterprise environmental factor, which can affect the availability of resources and influence how projects are conducted. _____________s range from functional to projectized, with a variety of matrix structures in between. Include strategic, middle management, and operational levels.

A stakeholder

is an individual, group, or organization who may affect, be affected by, or perceive itself to be affected by a decision, activity, or outcome of a project. _______________ may be actively involved in the project or have interests that may be positively or negatively affected by the performance or completion of the project. ______s include all members of the project team as well as all interested entities that are internal or external to the organization.

An important part of a project manager's responsibility is to

manage stakeholder expectations, which can be difficult because stakeholders often have very different or conflicting objectives. Part of the project manager's responsibility is to balance these interests and ensure that the project team interacts with stakeholders in a professional and cooperative manner.


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