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How to be PMP certified

Pmp - Rapidshare Search

The Project Notebook: PMP Exam Review

Stakeholder Analysis & Stakeholder Management - Winning support for your project

Communication-Management: Principles of Management: The Communication Process - CliffsNotes

Risk Management: Project Risk Analysis Techniques - Risk Management from Mind Tools

PMBOK® Guide – Fourth Edition Changes - PM Hut

PMP Certification Guide - About the Exam, Books, Questions, Mock Tests, Requirements, Eligibility, Study Material ..

Certificate Course in Conflict Analysis - USIP Distance Learning

Online Courses | United States Institute of Peace

FAQs Answers

Ques - Which contract type is best when you don’t know the scope of the work?
Ans – as per HF, the ans is Time and material
As per Rita, T&M contract is chosen when the level of effort is not known at the time of contract and Cost Reimbursable (CR) contract is chosen when exact scope of the work is not certain at the time of contract and therefore the exact cost estimate could not be decided at the time of contract.

Ques- What are the top three causes of conflict on projects?
Ans- Resource, priorities, schedule

Ques- Which type of power is typically unavailable to project managers in a matrixed organization?
Ans- legitimate power.

Ques- Which contract is most risky for the buyer ?
Ans - T&M

Ques - Project Manager reports to whom in a Balanced Matrix organization ?
Ans - Functional Manager

FAQs

Ques - Which contract type is best when you don’t know the scope of the work?

Ques- What are the top three causes of conflict on projects?

Ques- Which type of power is typically unavailable to project managers in a matrixed organization?

Ques - Which contract is most risky for the buyer?

Ques - Project Manager reports to whom in a Balanced Matrix organization ?

Professional Responsibility

PMI code of conduct applies to: All PMI members and non members who are PMP, apply for a certification, PMI volunteer.

Aspirational: Aspirational standards describe the conduct that PMI strive to hold as practitioners. conducting ourselves in accordance with these is an expectation that we have of ourselves as professionals—it is not optional .

Mandatory: The mandatory standards establish firm requirements, and in some cases, limit or prohibit practitioner behavior. Practitioners who do not conduct themselves in accordance with these standards will be subject to disciplinary procedures before PMI’s Ethics Review Committee

4 Values support PMI code of Ethics:

1. Responsibility
2. Respect
3. Fairness
4. Honesty

Responsibility:

Aspirational:

We make decisions and take actions based on the best interests of society, public safety, and the environment.
We accept only those assignments that are consistent with our background, experience, skills, and qualifications.
We fulfill the commitments that we undertake – we do what we say we will do.
When we make errors or omissions, we take ownership and make corrections promptly.
When we discover errors or omissions caused by others, we communicate them to the appropriate body as soon they are discovered.
We accept accountability for any issues resulting from our errors or omissions and any resulting consequences.
We protect proprietary or confidential information that has been entrusted to us.

Comment: Where developmental or stretch assignments are being considered, we ensure that key stakeholders receive timely and complete information regarding the gaps in our qualifications so that they may make informed decisions regarding our suitability for a particular assignment.
In the case of a contracting arrangement, we only bid on work that our organization is qualified to perform and we assign only qualified individuals to perform the work.

Mandatory:

Regulations and Legal Requirements -We inform ourselves and uphold the policies, rules, regulations and laws that govern our work, professional, and volunteer activities.

We report unethical or illegal conduct to appropriate management and, if necessary, to those affected by the conduct.

We do not engage in any illegal behavior, including but not limited to: theft, fraud, corruption, embezzlement, or bribery.

Further, we do not take or abuse the property of others, including intellectual property, nor do we engage in slander or libel. In focus groups conducted with practitioners around the globe, these types of illegal behaviors were mentioned as being problematic.As practitioners and representatives of our profession, we do not condone or assist others in engaging in illegal behavior. We report any illegal or unethical conduct. Reporting is not easy and we recognize that it may have negative consequences. Since recent corporate scandals, many organizations have adopted policies to protect employees who reveal the truth about illegal or unethical activities. Some governments have also adopted legislation to protect employees who come forward with the truth.

Ethics Complaints

We bring violations of this Code to the attention of the appropriate body for resolution.

We only file ethics complaints when they are substantiated by facts.

Further, we pursue disciplinary action against individuals who knowingly make false allegations against others.

We pursue disciplinary action against an individual who retaliates against a person raising ethics concerns.

Respect:
Respect is our duty to show a high regard for ourselves, others, and the resources entrusted to us. Resources entrusted to us may include people, money, reputation, the safety of others, and natural or environmental resources

Aspirational:

We inform ourselves about the norms and customs of others and avoid engaging in behaviors they might consider disrespectful.

We listen to others’ points of view, seeking to understand them.

We approach directly those persons with whom we have a conflict or disagreement.

We conduct ourselves in a professional manner, even when it is not reciprocated.

Comment: An implication of these provisions is that we avoid engaging in gossip and avoid making negative remarks to undermine another person’s reputation. We also have a duty under this Code to confront others who engage in these types of behaviors.

Mandatory:

We negotiate in good faith.

We do not exercise the power of our expertise or position to influence the decisions or actions of others in order to benefit personally at their expense.

We do not act in an abusive manner toward others.

We respect the property rights of others.

Fairness:

Aspirational:

We demonstrate transparency in our decision-making process.

We constantly reexamine our impartiality and objectivity, taking corrective action as appropriate.

Comment: Research with practitioners indicated that the subject of conflicts of interest is one of the most challenging faced by our profession.

We as practitioners must proactively search for potential conflicts and help each other by highlighting each other’s potential conflicts of interest and insisting that they be resolved.

We provide equal access to information to those who are authorized to have that information.

We make opportunities equally available to qualified candidates.

Comment: An implication of these provisions is, in the case of a contracting arrangement, we provide equal access to information during the bidding process.

Mandatory:

Conflict of Interest Situation:

We proactively and fully disclose any real or potential conflicts of interest to the appropriate stakeholders.

When we realize that we have a real or potential conflict of interest, we refrain from engaging in the decision-making process or otherwise attempting to influence outcomes, unless or until: we have made full disclosure to the affected stakeholders; we have an approved mitigation plan; and we have obtained the consent of the stakeholders to proceed.

Comment: A conflict of interest occurs when we are in a position to influence decisions or other outcomes on behalf of one party when such decisions or outcomes could affect one or more other parties with which we have competing loyalties. For example, when we are acting as an employee, we have a duty of loyalty to our employer. When we are acting as a PMI volunteer, we have a duty of loyalty to the Project Management Institute. We must recognize these divergent interests and refrain from influencing decisions when we have a conflict of interest.
Further, even if we believe that we can set aside our divided loyalties and make decisions impartially, we treat the appearance of a conflict of interest as a conflict of interest and follow the provisions described in the Code.

Favoritism and Discrimination

We do not hire or fire, reward or punish, or award or deny contracts based on personal considerations, including but not limited to, favoritism, nepotism, or bribery.

We do not discriminate against others based on, but not limited to, gender, race, age, religion, disability, nationality, or sexual orientation.

We apply the rules of the organization (employer, Project Management Institute, or other group) without favoritism or prejudice.

Honesty:

Honesty is our duty to understand the truth and act in a truthful manner both in our communications and in our conduct.

Aspirational:

We earnestly seek to understand the truth.

We are truthful in our communications and in our conduct.

We provide accurate information in a timely manner.

Comment: An implication of these provisions is that we take appropriate steps to ensure that the information we are basing our decisions upon or providing to others is accurate, reliable, and timely.

This includes having the courage to share bad news even when it may be poorly received. Also, when outcomes are negative, we avoid burying information or shifting blame to others. When outcomes are positive, we avoid taking credit for the achievements of others. These provisions reinforce our commitment to be both honest and responsible.

We make commitments and promises, implied or explicit, in good faith.

We strive to create an environment in which others feel safe to tell the truth.

Mandatory:

We do not engage in or condone behavior that is designed to deceive others, including but not limited to, making misleading or false statements, stating half-truths, providing information out of context or withholding information that, if known, would render our statements as misleading or incomplete.

We do not engage in dishonest behavior with the intention of personal gain or at the expense of another.

Comment: The aspirational standards exhort us to be truthful. Half-truths and non-disclosures intended to mislead stakeholders are as unprofessional as affirmatively making misrepresentations. We develop credibility by providing complete and accurate information.

Mitigation Plan Vs Contingency Plan Vs Fallback Plan

Mitigation involves:
Deciding how to avoid or reduce the impact of the risk before risk happens.

Usually Contingency Planning involves:
Deciding how to combat the risk when/after it occurs.

A Fallback plan is an additional contingency plan to use in the event that the first contingency plan fails.

Braindump

Quality Management

Who said what

Dr.W. Edwards Deming - 14 steps to Total Quality Management, and defined Quality as “fitness for use”. 4 Step cycle for improvement  Plan – Do – Check – Act

Dr. Joseph M Juran Developed 80 / 20 principle. Advocated the top management involvement and defined quality as “Fitness for use”.

Pareto’s Law 80% of the problems are due to 20% of cause.

Philip B Crosby popularized the concept of cost of poor quality, advocated prevention over inspection, and “Zero Defects”. He believed that quality is “Conformance to requirements”.

Kaizen continuous improvement

Just In Time Inventory should be Zero.

Control Chart – Upper and Lower control limit (UCL-LCL)

Rule of 7 – 7 continuous measurements fall on the same side of the mean, then intiate RCA

Cause and effect- also called fishbone, Ishikawa

Pareto-Chart: Helps on focusing which problems needs attention right away, based on 80/20 rule

Histogram- does break down of data (e.g. for the data related with issues, breaking down the issues in Critical, High, medium, low)

Run-Charts: tell you about the trends.

Scatter Diagrams: show how two different types of data relate to each other.

Grade refers to the value of a product, but not its quality.

HR Management

McGregor : Theory of X and theory of Y

Maslow’s Hierarchy of needs: Physiological, Safety, Social, Esteem, Self Actualization

Herzberg’ Theory: Motivation –Hyg: You need Hygiene factors like good working conditions, good personal life, good relationship with boss and coworkers, salary but they don’t motivate you, however absence of these would de-motivate you. Only after you have the ‘hygiene’ factors, you would care about achievement, recognition, personal
growth, or career advancement

Expectancy Theory: You need to give people an expectation of a reward in order to motivate them and the award should be achievable. If everyone knows the award is either worthless or impossible to achieve, it may actually demotivate them !

McClelland’s Achievement Theory: People need achievement, power and affiliation to be motivated.

Stages of team development (by Bruce Tuckman) – Forming, Storming, Norming, Performing, Adjourning

Cost Management - Earned Value Management
-----------------------------------------------------
Some tips to remember the cost formulas:

In case of Variance, we always substract something from EV
In case of Schedule, we use PV, In case of Cost, we use the Actual Value (AC)

CV = EV – AC CPI = EV / AC CV% = CV / EV
SV = EV – PV SPI = EV/ PV SV% = SV / PV

% Complete = EV/ BAC
% Spent = AC / BAC
EV = BAC x % Complete

VAC = BAC – EAC

SPI = EV / PV
CPI = EV / AC
Tip to memorize -in case of performance index, always EV is divided by something.

ETC = EAC – AC
ETC = BAC – EV
ETC = (BAC – EV) / CPI

EAC = AC + ETC [Original Estimates Flawn]
EAC = AC + (BAC – EV) [Atypical]
EAC = AC + (BAC – EV) / CPI [ Typical ]

EAC = BAC / CPI --- typical , this is the most important formula for EAC for the exam

For either variance or for performance index, LOWER = LOSER
i.e. if Variance is negative, then it is bad, if Performance Index is < 1, then it is bad.

TCPI = (BAC – EV) / (BAC – AC)
Tip to memorize: TCPI = Value Remaining / Budget remaining

TCPI indicates as what should be our Cost performance Index (CPI) in order to complete the work as per our budget. If we are over budget, then certainly the value remaining or work remaining would be more then the budget remaining and we need to work harder and so for the remaining duration of the project we need to keep a tight control on the cost and our CPI should be > 1.

Another point for the concept- If you follow cricket, TCPI is required run rate in cricket. For example, suppose in the case of a India –Engliand One day cricket match, England has scored 299 runs in 50 overs and India need to score 300 to win the match while batting second. After 30 overs, India have made 130 runs, now India need 170 runs in remaining 20 overs, so the required run rate is 8.5. So here the required run rate is TCPI !

BCR = PV of Revenue / PV of Cost

BCR = 1.0 -> Breakeven BCR < 1.0 -> Not attractive
BCR > 1.0 -> Attractive

CPI < 1.0 -> Budget Overrun
CPI > 1.0 -> Budget Under run

SPI < 1.0 -> Behind Schedule
SPI < 1.0 -> Ahead of Schedule

Point of Total Assumption (PTA)

PTA = [(Ceiling Price – Target Price) / (BSR) + Target Cost]

Target Price = (Target Cost + Target Profit)

PTA is the Project Cost (or Actual Cost or Target Cost) beyond which buyer will not share the additional cost with the seller.

It means that when actual cost reaches PTA, buyer pays the Ceiling price.

At PTA, Buyer’s share of the cost-overrun = (PTA – Target Cost) x BSR -- BSR: buyer to Seller ratio

Buyer’s price at PTA = Target Price + Buyer’s share of the cost overrun
= Target Price + (PTA – Target Cost) x BSR
Since Buyer’s price at PTA = Ceiling Price
So, Ceiling Price = Target Price + (PTA – Target Cost) x BSR
Or (Ceiling Price – Target Price) / BSR = (PTA – Target Cost)
Or PTA = (Ceiling Price – Target Price) / BSR + Target Cost
(So, this is how the formula of PTA has come! )

15 to 20% of project Cumulative CPI  Stable

Estimates Message Impact:
======= ============
Order of Magnitude  -25% to + 50% Words  7%
Budget  - 10% to + 25% Vocal Tone (Para lingual)  38%
Definite  - 5% to + 10% Facial Expressions  55%
Message lost in upward communication 23to27%
PERT  O + 4M + P / 6 PM spend 90% time in
Communication.
Task Std. Deviation  (P – O) / 6 spends 50% in meetings
Variance  [ (P – O ) / 6) ]^2 45% Listening 30% - Speaking
Standard Deviation  SQRT ( P – O / 6) 10% Reading 10% - Writing 5% Others
1 Sigma  68.46% Communication Project Selection Formulae
2 Sigma  95.46% Channel = ----------------------------------
3 Sigma  99.73% N (N-1)/2 PV = FV / (1 + R) ^ N
6 Sigma  99.99% N  no. of Commn. PV  Present Value, FV  Future
Channels Value
R  Rate of Interest, N  No.of Years
FV = PV ( 1 + R) ^ N
Pay Back Period = Net Interim / Average FV  Future Value
Annual Cash Flow Hurdle Rate  Discounted Cash Flow

Emails are informal written communication.

Some Important Concepts for the PMP Exam

Project co-ordinator has more authority than the expeditor.

For the PMP exam, it is assumed that you are working in a matrix organization unless stated otherwise.

Balanced Matix- Full time PM, part time support staff. From Figure 2-9 on page 30 of PMBOK, PM reports to a functional manager in a balanced matrix.

Functional organization do not provide flexibility

NPV – Present value of total benefits minus the cost over many time periods. NPV more is better.

IRR – like put your money in bank account and get a return, for example 5 percent return per annum, so IRR is 5% in this case.

More IRR is better.

BCR – BCR > 1 is good.

Payback- lesser payback period is better

Working Capital –> Current Assets – Current Liabilities

Depreciation –
Straight Line : same amount of depreciation each year
Accelerated Depreciation – depreciates faster than the straight line.

Enterprise Environmental Factor: Company culture and existing systems that the project has to deal with or can make use of. They could also be thought of as company baggage that comes with the project

Organizational Process Assets: Existing processes, procedures and Historical Information i.e. Why reinvent the wheel when we have existing Processes, Procedures, and Policies.

Corporate Knowledge Base – It is something like, the company has incorporated the historical records and lessons learned from previous projects into an indexed corporate knowledge base.

Management Plans : are the strategy for managing the project and the processes in each knowledge area.

Project Management Plan : is a series of plans and baselines.

Change Management Plan: PM needs to be stand as a barrier to prevent unnecessary changes and to plan the project in a way that minimizes the need for changes. Changes are much more costly than if the work was included from the beginning.

Change management plan – is a plan to manage changes on the project.
There is a change management plan for a project as a whole. There are also change management plan for each knowledge area.

Change Control System- Standard forms, reports, processes, procedures and software to track and control changes. It is part of OPAs.

Configuration Management plan – is a plan for managing the changes to the deliverables of the project. defines how you will manage changes to the deliverables and the resulting documentation.

Brain Storming- Generation of ideas in a meeting

Nominal Group Technique – Brainstorming + Ranking.

Delphi Technique – Experts opinions taken anonymously by a moderator and then compiled and sent again till consensus are reached. Usually this technique is better than individual expert judgements.

Idea / Mindmapping – Ideas created thru brainstorming are consolidated into a single map to reflect commonality / difference in understanding, and generate new ideas.

Afffinity diagram – allows large numbers of ideas to be sorted into groups for review and analysis.

1. Record each idea on cards or notes
2. Look for ideas that seem to be related
3. Sort cards into groups until all cards have been used.
Once the cards have been sorted into groups the team may sort large clusters into subgroups for easier management and analysis. Once completed, the affinity diagram may be used to create a cause and effect diagram.
All the above techniques could be used to collect requirements.
It looks that PM Plan is not the input for the other planning processes.

Affinity diagrams are used to visually identify logical groupings based on natural relationships.

RAM – A Responsibility Assignment Matrix (RAM) is used to illustrate the connection between work packages or activities and project team members.
Lower level RAMs are used to designate roles, responsibilities, and levels of authority for specific activities.

Many times the roles and responsibilities assignments are depicted in a responsibility assignment matrix (RAM) or a RACI chart. The staffing management plan describes how and when project team members will be acquired and is part of the human resource plan output of this process.

Contract:
Fixed Price – Usually when the scope is very clear. Seller is at risk
Cost Reimbursible- Usually when scope is not very clear. Buyer is at risk.
Time and Material – When level of effort can’t be determined exactly at the time of contract. Buyer needs to closely watch / monitor.
Note: Firm Fixed price type contracts are most widely used.

The role of the stakeholder is determined by the stakeholder himself and PM does the integration or facilitation ..

Organization Structure is an EEF.

Variance Analysis helps the manager determine cause and degree of variance relative to Baseline and helps him to decide whether a corrective / preventive action is required

WBS - Last level of WBS is the work package level, where time and cost estimates can be defined in the next process

Always use a scope statement and requirements list, and always get them signed.

The project scope statement contains many elements, including product scope description, product acceptance criteria, deliverables, exclusions from scope, constraints, and assumptions.

The numbering system is a unique identifier known as the code of accounts, which is
used to track the costs of the WBS elements.

Reserve Analysis: can establish both contingency reserves and the management reserves for the project.

Contingency Reserves: are allowances for unplanned but potentially required changed that can result from realized risks identified in the risk register (for known unknowns)

Management Reserves: are budgets reserved for unplanned changes to project scope and cost (for unknown unknowns). Management reserves are not part of the project cost baseline, but may be included in the total budget for the project. They are not included as part of the earned value measurement calculations.

Sensitivity analysis is a quantitative method of analyzing the potential impact of risk events on the project and determining which risk event (or events) has the greatest potential for impact by examining all the uncertain elements at their baseline values. One of the ways sensitivity analysis data is displayed is a tornado diagram.
Sensitivity analysis can also be used to determine stakeholder risk tolerance levels.

Crosby is known for his zero defects theory,
Juran for the fitness for use theory,
Deming for attributing 85 percent of cost of quality to the management team,
and Shewhart for the Plan-Do-Check-Act cycle.

The Kaizen approach says that the project team should continuously be on the lookout for ways to improve the process and that people should be improved first and then the quality of the products or services. TQM and Six Sigma are examples of continuous improvement techniques.

Cost-benefit analysis considers trade-offs in the Plan Quality process.

Benchmarking compares previous similar activities to the current project activities to provide a standard to measure performance against. Design of experiments is an analytical technique that determines what variables have the greatest effect on the project outcomes.

Cost of quality involves three types of costs: prevention, appraisal, and failure costs;
the latter (failure costs) is also known as the cost of poor quality

The process improvement plan is a subsidiary plan of the project management plan and
targets inefficiencies in a process or activity

Pareto Charts: Helps to find out which problems need our attention right away..

Pareto chart is a sort of Histogram, only the difference is , it categorize data in the order of Importance, while in case of Histogram, it divides the data into category but not necessarily in the order of importance..

Cost of Quality is the time and money that you spend to prevent, find, or repair defects

When you plug a bunch of values into a formula or computer program, and it generates an estimate, that’s called parametric estimation

Customer satisfaction is part of which knowledge area?
Ans- Quality

ROM - +50%,

PTA is related with the actual cost.

Staffing Management Plan. tells you everything that you need in order to build your team, keep them motivated, and manage them to resolve conflicts and get the work done.

Ques - Which contract type is best when you don’t know the scope of the work?
Ans – as per HF, the ans is Time and material
As per Rita, T&M contract is chosen when the level of effort is not known at the time of contract and Cost Reimbursable (CR) contract is chosen when exact scope of the work is not certain at the time of contract and therefore the exact cost estimate could not be decided at the time of contract.

Ques- What are the top three causes of conflict on projects?
Ans- Resource, priorities, schedule

Ques- Which type of power is typically unavailable to project managers in a matrixed organization?
Ans- legitimate power.

With Monte Carlo analysis, you can perform "what if" drills.

If there is a negative float then compress the schedule.

The aim of Schedule compression is to compress the schedule without changing the scope. It is done during project planning and also during project integrated change control to absorb the impact on schedule due to change in time, cost, scope, risk, resources and customer satisfaction.

Activities on the critical path require more of the project manager's attention, because delays in these activities will create a delay in the entire project.

The float is zero on Critical path.

Usually IRR is more clear information than BCR. So given a good IRR and good BCR, it looks that we would choose IRR

Project Documents: are used to assist PM in managing the projects but they are not part of the Project Management plan.
There are 13 different types of plan in the project plan and cost performance baseline and the scope baseline.

Everyone should be involved in the Risk Identification.

It is the role of the sponsor to define the initial project and protect it from changes.

After Estimate Activity durations, schedule compression is done.

Negotiation – is the most common way to deal with a dispute in a contract.

Procurement SOW- is developed from scope baseline and defines only that portion of the project scope that is to be included within the related contract.

Procurement Documents: are used to solicit proposals from prospective sellers.

Referent Power: means the power or ability of individuals to attract others and build loyalty. It's based on the charisma and interpersonal skills of the power holder.

Expert Power : is an individual's power deriving from the skills or expertise of the person and the organization's needs for those skills and expertise

Note: Referent Power  Interpersonal skills, Expert Power  Expertise.

Positional (legitimate) , Reward, Coercive power comes from the position in the organization .

Salience Model: Salience model is a method for classifying stakeholders and to decide who do matter.
http://www.justpmblog.com/2009/10/08/salience-model/

Parametric Estimation: A really common way of doing parametric estimation involves entering numbers into a spreadsheet that performs calculations based on historical data gathered from previous projects.

-Avoiding means Withdrawal also
• There are five types of powers the project manager yields: (R F C E R)
a. Reward
b. Formal
c. Coercive (penalty) d. Expert
e. Referent
• Among the above powers Reward, Formal & Coercive (penalty) come with the "Position"
• Expert & Reward are considered the best types of powers and Coercive (penalty) is "Least" for obvious reasons
• Seven reasons for conflict, in order of most common to least common:
a. Schedules
b. Priorities
c. Resources
d. Technical beliefs
e. Administrative policies and procedures
f. Costs
g. Personalities

-------------------------------------------------------------

Residual risks are risks that remain even after you have planned for and implemented all of your risk response strategies. They don't need any further analysis because you have already planned the most complete response strategy you know in dealing with the risk that came before them.

The WBS work packages can be displayed by project phase or by project deliverable. It depends on how your company needs to see the work organized. If you use the same phased lifecycle for all projects, it can be easier to show all of the work as it breaks down.
within each phase. If you have various teams depending on the deliverables your team will produce, it can make sense to break the work down by project deliverable.

The WBS Dictionary always corresponds to an entry in the WBS by name and Work Package ID. So that's the easiest way to cross reference the two. The Statement of Work describes the work that will be done. The Responsible Organization is the team or department who will do it. Schedule Milestones are any set dates that will affect the work. The Quality Requirements describe how we will know if the work has been done properly. The Resource and Cost Estimates are just a list of how many people will be needed to do the work and how much it will cost. Answer A couldn't be right because net present value doesn't have anything to do with individual work packages. The other options mention Earned Value and Monte Carlo Analysis which have nothing to do with scope management as well.

Work Performance Information:

You create one of the most important outputs of your entire project when the team is doing the project work. Work Performance Information tells you the status of each deliverable in the project, what the team's accomplished, and all of the information you need to know in order to figure out how your project's going. But you're not the only one who needs this - your team members and stakeholders need to know what's going on, so they can adjust their work and correct problems early on.

The configuration management system is there to be sure that everybody on the team has the most updated version of all of the project documents. Whenever a project document is changed, it is checked into the Configuration Management System so that everyone knows where to go to get the right one.

Cost of quality is what you get when you add up the cost of all of the prevention and inspection activities you are going to do on your project. It doesn't just include the testing. It includes any time spent writing standards, reviewing documents, meeting to analyze the root causes of defects, rework to fix the defects once they're found by the team - absolutely everything you do to ensure quality on the project.

Customer satisfaction is an important part of modern quality management. Remember, customer satisfaction is about making sure that the people who are paying for the end product are happy with what they get. But the way that you make sure that your customers are happy is by meeting their needs - and you do that by ensuring the product the team builds meets the customer's requirements. That's what quality management is all about, and it's an important reason that you do quality management.

When you're performing the Close Procurements process, you're closing out work done by a seller for a contract. To do that, you do a few things: you verify that all of the work and deliverables are acceptable, you finalize any open claims, and in case of early termination, you follow the termination clause in the contract. On the other hand, when you're performing the Close Project or Phase process, you're finalizing all of the various activities that you do across all of the process groups, and you're also verifying that the work and deliverables are complete.
Understanding the difference between these two things can really help you on the exam!

Of all of the contract types listed in the question, the Time & Materials (T&M) contract is the riskiest kind of contract for the buyer, because if the cost of the materials gets really high then they're passed along to the buyer - and the seller doesn't have any incentive to keep them down! (It's true that Cost Plus Award Fee (CPAF) could involve paying an additional fee to the seller, but that fee is based entirely on the buyer's subjective evaluation of the seller's performance, which lowers the risk.)

Your risk register is one of the most important project management tools that you have - that's why you review it and go over your risks at every meeting. Any time you come across a new risk, the first thing you should do is document it in the risk register. It's really easy to lose track of risks, especially when you're running a big project. By adding every risk to the register, you make sure that you don't forget about any of them. So once you've identified the risk, what's the next step? You analyze the impact and probability of the risk! That's what the Qualitative Risk Analysis process is for. You shouldn't take any other action until you've analyzed the risk. The reason is that it might turn out that the risk is very unlikely, and there might be another risk with a higher probability and larger impact that deserves your attention.

Implementation of approved process improvement activities is done under Direct and Manage project execution.

Process Analysis .includes root cause analysis.

In Quality Control, timely implementation of Approved change requests needs to be verified.

Performance reports provide the documentation about the current project status compared to project forecasts.

Delegation (by Vijay Verma)

http://pmi.books24x7.com/viewer.asp?bookid=3031&chunkid=838559218

I TTOs :

6.1 Define Activities: Input – Scope baseline, EEF , OPA
T/T – DERT (decomposition, exp judge, Rolling wave, templates)

O/P : AAM - Activity List , Activity Attributes, Milestones List

6.2 : Sequence Activities - I/P A A M + scope St +OPA
T/T : PADS (PDM, Apply leads and lags, Dependency Determination, Schedule templates
o/p: Schedule network diagram, project updates,

6.3: Estimate Activity resources:
I/P: A A + scope st + RC + OPA + EEF
T/T – BAPPE (bottom up, Exp judge ment, Alternate Analysis, Published Estimating data, PM software)
O/P: Estimated Activity resources, RBS,proj doc updates.

6.4 Estimate Activity Durations:
I/P: A A A R/C + sc st + E O
T/T – PEART (parametric , exp jud, Reserve analysis, analogous, three point)
O/P – Activity durations,

6.5 Develop Schedule:
I/P: output of all the previous processes, A A A Sche network dia, Activity duration, RC, scope st, OPA, EEF

T/T (8) SCCR WASS – schedule network anals, critical chain, critical path, resource leveling, what if, Apply lead and lag, Schedule

O/P- Schedule, Schedule data, schedule baseline, proj doc update.

6.6 Control Schedule:

I/P: PM plan, OPA, work performance information, Project schedule
T&T – PV PR WASS : Performance Review, Variance Analysis, PM software, Reserve Analysis, What if, Adjust lead and lag, Schedule compression, scheduling tool
O/P: Change request, work performance measurements, OPA updates, PM plan updates, proj doc updates.

7.1: Estimate costs:

I/P: project schedale, scope baseline, E, O, HR Plan, risk register.

T/T: BAPTER CPV ( bottom up, Anologous, Parametric, Three point, Exp Jud, Reserve anal Value analysis

O/P- Activity cost estimates, basis of estimates, proj doc update.

7.2 Determine Budget

I/P: Activity cost estimates, basis of estimates, Resource calendar, contracts, E,O, scope baseline

T/T – (CFRHE or FRECH ) cost aggregation, Funding limit reconciliation, Reserve anlysis, Historical relationship , Exp Judge

o/p – cost baseline, project funding requirements, proj doc updates,

7.3 control cost: (M&C)
Note: Usually change request, Work performance measurement is an output of the M&C processes.
Project management plan, Work Performance Information, OPA is an input to the M&C processes

I/P : PM Plan,Work performance information, OPA , Project funding requirements,
T/T: E F T P V P (Earned value, forecasting, TCPI, Value analysis, performance reviews, PM software)
O/P: change request, work Peformance measurement, Pm plan updates, proj document updates, Budget forecasts

Quality:

8.1

Plan Quality- Concept, while planning quality , we need to keep the other constraints like cost, scope, schedule, into consideration and risk as well as stakeholders

So,
I/P, cost baseline, schedule baseline, risk register, scope baseline, EEF, OPA, stakeholder register. (7)

T/T: (9) – CCC BDF SAP Cost benefit analysis, cost of quality, Control chart , benchmarking, flowcharting, sampling, Additional quality tool, proprietay tool, DoE.

O/P- (5) Quality Management Plan, Quality Metrics, Process Improvement plan, Quality checklist, proj doc update

8.2:Peform QA (Executing):

I/P: (5) PM Plan, Work performance information, Quality Metrics, Quality Control measurements

T/T: (3) Plan quality and perform quality control tools and Tech. , quality audit, process analysis.

O/P: (4) PM plan updates, OPA update, change request, proj doc update

8.3 Perform QC:

Input: (7)PM plan, work perform information, Quality metrics, Approved change request, deliverables, OPA, Quality checklists

T/T: (10) CCF HPRSS IA or AICC HP RSSF (All India Congress Committee of HP has RSS Force): Cause & Effect diagrams, Control charts, Flowcharting, Histogram, Pareto chart, Run chart, Scatter diagram, Statistical Sampling, Inspection, Approved change request review

O/P: Quality Control measurements, Validated changes,Validated deliverables, Change requirests, PM plan update, OPA update, Proj Doc update

9.1 Develop Human Resource plan

I/P- Activity resource requirements, OPA,EEF
T/T: NOO – networking thory , organization charts and position descriptions, Organization theory
O/P: Human Resource Plan

9.2 Acquire Project Team:

I/P: PM Plan, EEF, OPA

T/T: VPNA Virtual Team, Pre-Assignment, Negotiation, Acquisition

O/P: Project Staff assignments, Resource Calenders, PM Plan updates.

9.3 Develop Project Team

Risk chapter: In the risk planning we need to have cost, schedule and communication management plans as input as well as scope statement, EEF, OPA
11.1 Plan Risk Management
I/P: Cost management plan, Communication management plan, Schedule Management plan, Project scope statement, EEF, OPA
T/T: Planning Meeting and Analysis
O/P: Risk Management Plan

11.2 Identify risks-
We need to have duration, cost estimates, scope baseline, and the management plans as input as in previous process

I/P: RAASS CSQP (9 + 2) : Risk management plan, Activity Cost Estimates, Activity duration estimates, scope baseline, stakeholder register, cost management plan, schedule management plan, Quality management plan, Project documents, EEF , OPA

T/T (7): DIC ADSE or CID DASE Documentation Reviews, Information gathering techniques, Checklist Analysis, Data gathering techniques, SWOT Analysis, Diagramming Techniques. Expert Judgement.
O/P : Risk Register

Perform Qualitative Risk Analysis:

I/P: Risk Register, Risk Management Plan, Scope statement, OPA,

T/T: PPDU EC or PDU PEC Risk Probability and impact matrix, Risk probability and impact Assessment, Risk Data quality assessment, Risk urgency assessment, EJ, Risk categorization
O/P risk register update

Perform Quantitative Risk Analysis:

I/P:risk register, risk mgmt plan, cost management plan, schedule management plan, OPA
T/T – Data gathering and rep tech, Quantitative risk anaysis

Plan Procurement:

I/P: (9+2) A A S S C, R T R, R EOActivity cost estimates, Activity resource requirements, project schedule, scope baseline, cost performance baseline, Req Documents, Teaming Agrreement , Risk Register, Risk related contracted decisions, EEF , OPA

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Professional Responsibility:

PMI code of conduct applies to: All PMI members and non members who are PMP, apply for a certification, PMI volunteer.

Aspirational: Aspirational standards describe the conduct that PMI strive to hold as practitioners. conducting ourselves in accordance with these is an expectation that we have of ourselves as professionals—it is not optional .

Mandatory: The mandatory standards establish firm requirements, and in some cases, limit or prohibit practitioner behavior. Practitioners who do not conduct themselves in accordance with these standards will be subject to disciplinary procedures before PMI’s Ethics Review Committee

4 Values support PMI code of Ethics:

1. Responsibility
2. Respect
3. Fairness
4. Honesty

Responsibility:

Aspirational:

We make decisions and take actions based on the best interests of society, public safety, and the environment.
We accept only those assignments that are consistent with our background, experience, skills, and qualifications.
We fulfill the commitments that we undertake – we do what we say we will do.
When we make errors or omissions, we take ownership and make corrections promptly.
When we discover errors or omissions caused by others, we communicate them to the appropriate body as soon they are discovered.
We accept accountability for any issues resulting from our errors or omissions and any resulting consequences.
We protect proprietary or confidential information that has been entrusted to us.

Comment: Where developmental or stretch assignments are being considered, we ensure that key stakeholders receive timely and complete information regarding the gaps in our qualifications so that they may make informed decisions regarding our suitability for a particular assignment.
In the case of a contracting arrangement, we only bid on work that our organization is qualified to perform and we assign only qualified individuals to perform the work.

Mandatory:

Regulations and Legal Requirements
We inform ourselves and uphold the policies, rules, regulations and laws that govern our work, professional, and volunteer activities.

We report unethical or illegal conduct to appropriate management and, if necessary, to those affected by the conduct.

We do not engage in any illegal behavior, including but not limited to: theft, fraud, corruption, embezzlement, or bribery.

Further, we do not take or abuse the property of others, including intellectual property, nor do we engage in slander or libel. In focus groups conducted with practitioners around the globe, these types of illegal behaviors were mentioned as being problematic.
As practitioners and representatives of our profession, we do not condone or assist others in engaging in illegal behavior. We report any illegal or unethical conduct. Reporting is not easy and we recognize that it may have negative consequences. Since recent corporate scandals, many organizations have adopted policies to protect employees who reveal the truth about illegal or unethical activities. Some governments have also adopted legislation to protect employees who come forward with the truth.

Ethics Complaints

We bring violations of this Code to the attention of the appropriate body for resolution.

We only file ethics complaints when they are substantiated by facts.

Further, we pursue disciplinary action against individuals who knowingly make false allegations against others.

We pursue disciplinary action against an individual who retaliates against a person raising ethics concerns.

Respect:
Respect is our duty to show a high regard for ourselves, others, and the resources entrusted to us. Resources entrusted to us may include people, money, reputation, the safety of others, and natural or environmental resources

Aspirational:

We inform ourselves about the norms and customs of others and avoid engaging in behaviors they might consider disrespectful.

We listen to others’ points of view, seeking to understand them.

We approach directly those persons with whom we have a conflict or disagreement.

We conduct ourselves in a professional manner, even when it is not reciprocated.

Comment: An implication of these provisions is that we avoid engaging in gossip and avoid making negative remarks to undermine another person’s reputation. We also have a duty under this Code to confront others who engage in these types of behaviors.

Mandatory:

We negotiate in good faith.

We do not exercise the power of our expertise or position to influence the decisions or actions of others in order to benefit personally at their expense.

We do not act in an abusive manner toward others.

We respect the property rights of others.

Fairness:

Aspirational:
We demonstrate transparency in our decision-making process.

We constantly reexamine our impartiality and objectivity, taking corrective action as appropriate.

Comment: Research with practitioners indicated that the subject of conflicts of interest is one of the most challenging faced by our profession.
We as practitioners must proactively search for potential conflicts and help each other by highlighting each other’s potential conflicts of interest and insisting that they be resolved.

We provide equal access to information to those who are authorized to have that information.

We make opportunities equally available to qualified candidates.

Comment: An implication of these provisions is, in the case of a contracting arrangement, we provide equal access to information during the bidding process.

Mandatory:

Conflict of Interest Situation:
We proactively and fully disclose any real or potential conflicts of interest to the appropriate stakeholders.

When we realize that we have a real or potential conflict of interest, we refrain from engaging in the decision-making process or otherwise attempting to influence outcomes, unless or until: we have made full disclosure to the affected stakeholders; we have an approved mitigation plan; and we have obtained the consent of the stakeholders to proceed.

Comment: A conflict of interest occurs when we are in a position to influence decisions or other outcomes on behalf of one party when such decisions or outcomes could affect one or more other parties with which we have competing loyalties. For example, when we are acting as an employee, we have a duty of loyalty to our employer. When we are acting as a PMI volunteer, we have a duty of loyalty to the Project Management Institute. We must recognize these divergent interests and refrain from influencing decisions when we have a conflict of interest.
Further, even if we believe that we can set aside our divided loyalties and make decisions impartially, we treat the appearance of a conflict of interest as a conflict of interest and follow the provisions described in the Code.

Favoritism and Discrimination

We do not hire or fire, reward or punish, or award or deny contracts based on personal considerations, including but not limited to, favoritism, nepotism, or bribery.

We do not discriminate against others based on, but not limited to, gender, race, age, religion, disability, nationality, or sexual orientation.

We apply the rules of the organization (employer, Project Management Institute, or other group) without favoritism or prejudice.

Honesty:

Honesty is our duty to understand the truth and act in a truthful manner both in our communications and in our conduct.

Aspirational:

We earnestly seek to understand the truth.

We are truthful in our communications and in our conduct.

We provide accurate information in a timely manner.

Comment: An implication of these provisions is that we take appropriate steps to ensure that the information we are basing our decisions upon or providing to others is accurate, reliable, and timely.

This includes having the courage to share bad news even when it may be poorly received. Also, when outcomes are negative, we avoid burying information or shifting blame to others. When outcomes are positive, we avoid taking credit for the achievements of others. These provisions reinforce our commitment to be both honest and responsible.

We make commitments and promises, implied or explicit, in good faith.

We strive to create an environment in which others feel safe to tell the truth.

Mandatory:

We do not engage in or condone behavior that is designed to deceive others, including but not limited to, making misleading or false statements, stating half-truths, providing information out of context or withholding information that, if known, would render our statements as misleading or incomplete.
We do not engage in dishonest behavior with the intention of personal gain or at the expense of another.

Comment: The aspirational standards exhort us to be truthful. Half-truths and non-disclosures intended to mislead stakeholders are as unprofessional as affirmatively making misrepresentations. We develop credibility by providing complete and accurate information.

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