Project Management: The Managerial Process

691 Pages·2010·14.92 MB·English

by  Erik W Larson

Cross Reference of Project Management Body
of Knowledge (PMBOK) Concepts to Text Topics
Chapter 1 Modern Project Management Chapter 8 Scheduling resources and cost
1.2 Project defined 6.5.2 Setting a schedule baseline [8.1.4]
1.3 Project management defined 6.5.3.1 Setting a resource schedule
1.4 Projects and programs (.2) 6.5.2.4 Resource leveling
2.1 The project life cycle (.2.3) 7.2 Setting a cost and time baseline schedule (1.3.5) [8.1.3]
App. G.1 The project manager 6.5.2.3 Critical chain method
App. G.7 Political and social environments
Chapter 9 Reducing Project Duration
F.1 Integration of project management processes [3.1]
6.5.2.7 Schedule compression
Chapter 2 Organization Strategy and Project Selection
Chapter 10 Leadership
1.4 Projects and programs (.2)
9.4.2.5 Leadership skills
1.4.1 Managing the portfolio
G.1 Project leadership
1.4.3 Strategy and projects
10.1 Stakeholder management
2.3 Stakeholders and review boards
12.1 RFP’s and vendor selection (.3.4.5) Chapter 11 Teams
11.2.2.6 SWAT analysis 9.2 Building the team (.1.3) & [3.5.3] [App G.2 Building teams]
Chapter 3 Organization: Structure and Culture 9.4 Managing the team
9.3.2 Team building activities
2.4.1 Organization cultures [G.7]
9.2.4 Virtual teams
2.4.2 Organization structure [9.1.3]
9.3.3.1 Team performance [9.4.2.2]
9.1.1 Organization charts
9.4.2.3 Conflict management
1.4.4 Project offices
9.3.2.6 Recognition and awards
Chapter 4 Defining the Project
Chapter 12 Outsourcing
4.1 Project charter
12.1.1 Procurement requirements [G.8]
5.1 Gather requirements
12.1.2.3 Contract types
5.2 Defining scope
9.4.2.3 Conflict management
5.3 Creating a WBS
12.2.7 The art of negotiating
5.4 Tools and techniques
12.2.3.5 Change requests
6.1 Define activities
9.1.2. Responsibility matrixes Chapter 13 Monitoring Progress
10.1 Communication planning (.2.3.4) [App. G-4] 10.5.3 Cost/schedule system (.1)
Chapter 5 Estimating Times and Costs 6.6 .2.1 Time performance
7.2.3.1 Cost baseline development
6.4 Activity duration estimates (.3)
7.3.2.1 Earned value system (F.4)
6.4.2 Estimating tools (.1.3.4)
7.3.2.4 E.V., performance status report
6.3.1 Identifying resources
7.3.2.2 E.V., forecasts
7.1 Activity cost estimates (.2.3.4.5)
7.3.2.3 EV., to complete index (EAC)
5.1.2.4 Delphi method
7.3.2.5 Schedule and cost variance
Chapter 6 Developing a Project Plan
Chapter 14 Project closure
4.2.2 Planning tools
Closure report
6.2 Sequence activities [1.2]
4.5.1.4 Organization processes (.5) & [4.5.3 & 4.6.3.2]
6.5.1 Bar and milestone charts
4.6.1 Administrative tasks (.3) & [3.7.1, & 12.4]
6.5.2 Critical path method (.2)
10.3.3.1 Lessons learned [8.3.3.4]
6.5.2.6 Lead and lag activities [6.2.3]
9.4.2.2 Individual performance appraisals
F.3 Project duration
Chapter 15 International Projects
Chapter 7 Managing Risk
G.7 Culture awareness
11.1 Risk management process [F.8]
11.2 Identifying risks Chapter 16 Oversight
11.3.2.2 Impact matrix 1.4.4 Project offices
11.4 Risk assessment 8.1.2 Continuous improvement
11.5 Risk responses (.2–.1.2) 5.1 Requirements vs. actual [5.3]
11.6 Risk register
Chapter 17 Agile PM
7.1.2.5 PERT analysis
7.1.2.6.3 Contingency reserves 6.1.2.2 Rolling wave
7.3.3.4 Change control management
ISBN: 0073403342 Front endsheets
Author: Erik W. Larson, Clifford F. Gray Color: 2
Title: Project Management Pages: 2,3
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Project
Management
The Managerial Process
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Project
Management
The Managerial Process Fifth Edition
Erik W. Larson
Oregon State University
Clifford F. Gray
Oregon State University
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PROJECT MANAGEMENT: THE MANAGERIAL PROCESS
Published by McGraw-Hill/Irwin, a business unit of The McGraw-Hill Companies, Inc., 1221 Avenue
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Library of Congress Cataloging-in-Publication Data
Larson, Erik W., 1952-
Project management: the managerial process / Erik W. Larson, Clifford F. Gray. —5th ed.
p. cm. —(The McGraw-Hill/Irwin series, operations and decision sciences)
Gray’s name appears first on the earlier editions.
Includes index.
ISBN-13: 978-0-07-340334-2 (alk. paper)
ISBN-10: 0-07-340334-2 (alk. paper)
1. Project management. 2. Time management. 3. Risk management. I. Gray, Clifford F.
II. Gray, Clifford F. Project management. III. Title.
HD69.P75G72 2011
658.4904—dc22
2009054318
www.mhhe.com
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About the Authors
Erik W. Larson
ERIK W. LARSON is professor of project management at the College of Busi-
ness, Oregon State University. He teaches executive, graduate, and undergraduate
courses on project management, organizational behavior, and leadership. His
r esearch and consulting activities focus on project management. He has published
numerous articles on matrix management, product development, and project part-
nering. He has been honored with teaching awards from both the Oregon State
University MBA program and the University of Oregon Executive MBA program.
He has been a member of the Portland, Oregon, chapter of the Project Manage-
ment Institute since 1984. In 1995 he worked as a Fulbright scholar with faculty at
the Krakow Academy of Economics on modernizing Polish business education.
In 2005 he was a visiting professor at Chulalongkorn University in Bangkok,
Thailand. He received a B.A. in psychology from Claremont McKenna College
and a Ph.D. in management from State University of New York at Buffalo. He is
a certified project management professional (PMP) and Scrum Master.
Clifford F. Gray
CLIFFORD F. GRAY is professor emeritus of management at the College of
Business, Oregon State University. He continues to teach undergraduate and grad-
uate project management courses overseas and in the United States; he has per-
sonally taught more than 100 executive development seminars and workshops.
His research and consulting interests have been divided equally between opera-
tions management and project management; he has published numerous articles
in these areas, plus a text on project management. He has also conducted research
with colleagues in the International Project Management Association. Cliff has
been a member of the Project Management Institute since 1976 and was one of the
founders of the Portland, Oregon, chapter. He was a visiting professor at Kasetsart
University in Bangkok, Thailand in 2005. He was the president of Project Man-
agement International, Inc. (a training and consulting firm specializing in project
management) 1977–2005. He received his B.A. in economics and management
from Millikin University, M.B.A. from Indiana University, and doctorate in oper-
ations management from the College of Business, University of Oregon. He is
certified Scrum Master.
v
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“Man’s mind, once stretched by a new idea, never
regains its original dimensions.”
Oliver Wendell Holmes, Jr.
To my family who have always encircled me with
love and encouragement—my parents (Samuel
and Charlotte), my wife (Mary), my sons and their
wives (Kevin and Dawn, Robert and Sally) and
their children (Ryan, Carly, Connor and Lauren).
C.F.G.
“We must not cease from exploration and the end of all
exploring will be to arrive where we begin and to know
the place for the first time.”
T. S. Eliot
To Ann whose love and support has brought out
the best in me. And, to our girls Mary, Rachel, and
Tor-Tor for the joy and pride they give me. Finally,
to my muse, Neil, for the faith and inspiration he
instills.
E.W.L
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Preface
Since you are reading this text, you have made a decision that learning more about
project management will have a positive impact for you. You are absolutely right!
Project management has become an organization-wide core competency; nearly
every manager, regardless of discipline is involved in managing one or more proj-
ects. This text is designed to provide project managers and prospective project
managers with the knowledge and skills that are transferable across industries and
countries.
Our motivation for writing this text was to provide students with a holistic,
integrative view of project management. A holistic view focuses on how projects
contribute to the strategic goals of the organization. The linkages for integration
include the process of selecting projects that best support the strategy of a partic-
ular organization and that in turn can be supported by the technical and manage-
rial processes made available by the organization to bring projects to completion.
The goals for prospective project managers are to understand the role of a project
in their organizations and to master the project management tools, techniques,
and interpersonal skills necessary to orchestrate projects from start to finish.
The role of projects in organizations is receiving increasing attention. Projects
are the major tool for implementing and achieving the strategic goals of the orga-
nization. In the face of intense, worldwide competition, many organizations have
reorganized around a philosophy of innovation, renewal, and organizational
learning to survive. This philosophy suggests an organization that is flexible and
project driven. Project management has developed to the point where it is a pro-
fessional discipline having its own body of knowledge and skills. Today it is nearly
impossible to imagine anyone at any level in the organization who would not ben-
efit from some degree of expertise in the process of managing projects.
Audience
This text is written for a wide audience. It covers concepts and skills that are used
by managers to propose, plan, secure resources, budget, and lead project teams to
successful completions of their projects. The text should prove useful to students
and prospective project managers in helping them understand why organizations
have developed a formal project management process to gain a competitive advan-
tage. Readers will find the concepts and techniques discussed in enough detail to be
immediately useful in new-project situations. Practicing project managers will find
the text to be a valuable guide and reference when dealing with typical problems
that arise in the course of a project. Managers will also find the text useful in
understanding the role of projects in the missions of their organizations. Analysts
will find the text useful in helping to explain the data needed for project implemen-
tation as well as the operations of inherited or purchased software. Members of the
Project Management Institute will find the text is well structured to meet the needs
of those wishing to prepare for PMP (Project Management Professional) or CAPM
(Certified Associate in Project Management) certification exams. The text has in-
depth coverage of the most critical topics found in PMI’s Project Management
vii