Scope Management 3/11/2015. Chapter 5 Learning Objectives. Project Scope. 1) Conceptual development. Problem Statements. Statement of Work (SOW)
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1 Chapter 5 Learning Objectives Scope Management Project Scope Conceptual Development The process that addresses project objectives by finding the best ways to meet them. Project scope is everything about a project work content as well as expected outcomes. Scope management is the function of controlling a project in terms of its goals and objectives and consists of: 1) Conceptual development 2) Scope statement 3) Work authorization After completing this chapter, students will be able to: Understand the importance of scope management for project success. Understand the significance of developing a scope statement. Construct a Work Breakdown Structure for a project. Develop a Responsibility Assignment Matrix for a project. Describe the roles of changes and configuration management in assessing project scope. Key steps in information development: Problem/need statement Information gathering Constraints Alternative analysis Project objectives 4) Scope reporting 5) Control systems 6) Project closeout Problem Statements Statement of Work (SOW) Successful conceptual development requires: A SOW is a detailed narrative description of the work required for a project. Reduction of overall project complexity Effective SOWs contain 1. Introduction and background 2. Technical description 3. Timeline and milestones 4. Client expectations Goals and objects are clearly stated Reference points are provided Complete understanding of the problem
2 Statement of Work Components Scope Statement Process Background 1. Establish the project goal criteria Objectives a) cost Scope b) schedule Task or Requirements c) performance Selection Criteria d) deliverables e) review and approval gates Deliverables or Delivery Schedule 2. Develop the management plan for the project Security 3. Place of Performance Establish a work breakdown structure 4. Create a scope baseline Period of Performance Goal Setting With and Without Work Breakdown Structures (WBS) Work Breakdown Structure (WBS) Figure 5.2 A process that sets a project s scope by breaking down its overall mission into a cohesive set of synchronous, increasingly specific tasks. What does WBS accomplish? Echoes project objectives Offers a logical structure Establishes a method of control Communicates project status Improves communication Demonstrates control structure 05-9 Work Breakdown Structure and Codes Sample WBS in MS Project 2010 Deliverables are major project components Sub-deliverables are supporting deliverables The project is the overall project under development Work Packages are individual project activities Figure
3 Defining a Work Package Organizational Breakdown Structure Lowest level in WBS Organizational Breakdown Structure (OBS) allows Work definition Owner assignment of work packages Budget assignment to departments Deliverable result One owner Miniature projects Milestones OBS links cost, activity & responsibility Fits organization Trackable Intersection of the WBS and OBS Figure Cost Account Rollup Using OBS Responsibility Assignment Matrix Figure Defining a Project Work Package Work package forms lowest level in WBS. Work package has a deliverable result. Work package has one owner. Work package may be considered by its owner as a project in itself. 5. A work package may include several milestones. 6. A work package should fit organizational procedures and culture. 7. The optimal size of a work package may be expressed in terms on labor hours, calendar time, cost, reporting period, and risks Figure
4 Contractual Documentation Work Authorization Most contracts contain: Requirements Valid consideration Contracted terms The formal go ahead to begin work Follows the scope management steps of: 1. scope definition 2. planning documents 3. management plans 4. contractual documents Contracts range from: Lump Sum Scope Reporting Typical project reports contain 1. Cost status 2. Schedule status 3. Technical performance Politics Naïve promises Naïve optimism of youth Startup mentality of fledging entrepreneurial companies Marine Corps mentality Intensive competition caused by globalization Intense competition caused by appearance of new technologies Intense pressure caused by unexpected government regulations Unexpected and/or unplanned crises Types of Control Systems Project Closeout o Configuration The job is not over until the paperwork is done o Design Closeout documentation is used to: Resolve disputes Train project managers Facilitate auditing o Trend monitoring o Document o Acquisition Closeout documentation includes: Historical records Post project analysis Financial closeout o Specification Reasons Why Projects Fail determines what types of information reported, who receives copies, when, and how information is acquired and disseminated. Cost Plus also called Turnkey
5 Summary 1. Understand the importance of scope management for project success. 2. Understand the significance of developing a scope statement. 3. Construct a Work Breakdown Structure for a project. 4. Develop a Responsibility Assignment Matrix for a project. 5. Describe the roles of changes and configuration management in assessing project scope
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