Project Scope management PDF

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Summary

• Explain the importance of scope management
• Define project scope statement by
• Constructing a work breakdown structure (WBS)
• SMART objective
• Phased deliverables
• DUMBS work packages
• Constructing an exclusions list for preventing scope creep
• Outs...

Description

Project Scope management Agenda: At the end of this week you will be able to • Explain the importance of scope management • Define project scope statement by  Constructing a work breakdown structure (WBS) • SMART objective • Phased deliverables • DUMBS work packages  Constructing an exclusions list for preventing scope creep • Outsource work packages by defining appropriate contract price structure • Become familiar with some advanced issues in scope management Project Scope • Defining scope • Project scope is everything that falls within the control of the project; work content as well as expected outcomes. • Project scope • sets boundaries on the work to be performed and its quality: • What will be included in the project scope? • What will be excluded from the project scope? Why do we need to define scope? 1. Without a clear scope, you cannot estimate time, cost, resources and risk 2. Without a clear scope, there is a risk of not meeting the client’s expectations  A baseline to look back at what was initially agreed with the client  Useful to resolve potential disputes 3. Without scope change management, there is a risk of suffering from scope creep  Scope creep= the tendency of the project scope to expand over time, usually by changing requirements, specifications, or priorities  Results in costs and deadlines to spiral out of control Work Breakdown Structure (WBS) Sets a project’s scope by breaking down its overall project objective into a cohesive set of synchronous, increasingly specific tasks WBS levels o Project objective describes the project o Deliverables are major project components (sub-projects or phases) o Work Packages are individual project activities The tree format or tabular format WBS Importance of WBS • Lists all the work required for achieving project objectives • Is the basis for project planning • Reflects the way project, costs, and duration will be estimated, summarized, reported, and controlled. • Offers a logical structure for the work execution. • Improves communication • helps with project progress monitoring

Goal setting with WBS

• Project Start

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Goal 1

Goal 2

Goal 3

Goal 4

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Project Completion

Goal setting without WBS ???

Project Start

Project Completion

How to create a WBS? Defining scope is an iterative process Develop A SMART Project Objective

Develop Few Phased Deliverables

Develop Several DUMBS Work Packages

Keep iterating Setting SMART objectives 1. Specific: Add a few explanatory sentences to the objective to clarify its intention. 2. Measurable outcomes: Ensure that the objective is expressed as an outcome rather than work to be undertaken (i.e. the ends rather than the means). 3. Agreed by stakeholders Example: Project Make 4. Realistic (feasible) Breakfast: To make coffee and 5. Time bound (also timely) toast for breakfast in less than 3 i t t i

Deliverables The things that the project needs to create or change over time  “any measurable, tangible [or intangible], verifiable outcome, result or item that must be produced to complete a project or part of a project.”  May be listed by project phases over time • Decompose the project objective • Will be detailed in work packages • Will be used to create milestones • Deliverable types • A tangible (physical) product to be produced • Aircraft (e.g. Airbus A380) • Computer system (e.g. Windows 10) • Product design prototype (e.g. a 3D print) • An intangible capability or service. • Business functions supporting production or distribution • A result such as an outcome, a document, or a change in perceptions. • A research project develops knowledge • Culture change • Creating a proactive culture

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Improved public perception • A marketing campaign

Work packages • Forms the lowest level in WBS. • Represents units of work at the level where the work is performed. • Has a deliverable result. • Has one owner (responsible person). • May be considered by its owner as a project in itself. • Clearly distinguishes one work package from all others assigned to a single functional group Making work packages DUMBS 1. Delegable 2. Unique ID 3. Mutually exclusive 4. Balanced 5. Structured 1. Delegable You should be able to order them to their owner. a. It should be clear and specific enough to be actionable by the owner. b. Start with an action verb. Examples: Create, Develop, Deliver, Make, Run Example: “Bread” vs. “Take bread out of the fridge” 2. Unique ID= make them identifiable 3. Mutually exclusive= no repetition 4. Balanced Balanced in depth o Avoid detailing the work too much (paralysis by analysis) o It is enough as long as - you can clearly delegate the work package to its owner; - accurate estimates of work can be created; and - only one key resource or competence is required to complete each work package. o all activities within the work package are closely linked in time. o Balanced in breadth - Comprehensive work packages - All required work packages are included 5. Structured= appropriate grouping and adequate levels of hierarchy Why do we need to define scope? Without scope management, there is risk of suffering from scope creep… recall • Scope disagreements are a key source of disagreements/ conflicts at the end of a project. • Preventing scope disagreements • Sit down with client and give brief • Be careful of the assumptions you make • Make things explicit • What is included (include in WBS and project description)? • What is excluded? List them upfront.

Outsourcing work packages: contract types • Defining contracts • A legally binding agreement (preferably written) between a client and a contractor (e.g., the project management team) • Most contracts contain requirements, valid considerations, and contracted terms • The type of agreement depends on the nature of work: • Fixed-price (lump sum) contract • Price paid by the client is fixed regardless of the costs incurred by the contractor. • Cost-plus contract • Price paid by the client is based on the costs incurred in the project plus the contractor’s fee. • Incentive contract • Price paid by the client depends on the contractor’s performance in comparison to the target price, schedule, or technical specification. • The contractor either receives a bonus for exceeding the target or must pay the client a penalty for falling short of the target. Defining scope is both a science and an art • There is no one way of creating a WBS for a project • Should you define deliverables according to project outputs or phases? • How many levels should a WBS have? • How specific should each work package be? Creating a good WBS is a skill that you will develop over time Scope management over Project Life Cycle (PLC) stages • Scope management • The function of controlling a project scope (e.g., objectives and deliverables) over time.

Managing the scope change process • People might change their minds over time. • Projects have a dynamic nature, so clients or contractors might need to change project scope over time. • Consider • Magnitude of change • Cost of change

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• Impact of change on schedule • Other risks of the change Come into an agreement with the client and amend the contract.

Key takeaways • Scope management is important for project success especially by preventing scope creep and scope disputes. • A Work Breakdown Structure (WBS) is a key document that plays a central role in defining and planning the work in a project....