Module 2 Notes: Scope Management and WBS (PMBOK 6th Edition)

Module Overview

  • Focus: understanding project scope, scope management, and the scope baseline (scope statement, WBS, and WBS dictionary) within the PMBOK framework.
  • Context: Part of MGMT 6205 Project Cost Management (Fanshawe) taught by Lawrence Kinlin.
  • Structure covered in this module:
    • Review from the previous module
    • Project management process groups
    • Scope management
    • Scope baseline components: scope statement, WBS, and WBS dictionary
    • Homework and evaluations
  • Emphasis on how scope interacts with cost management and overall project planning.

PMBOK 6th Edition – 10 Knowledge Areas (summary)

  • Integration: Includes processes/activities to identify, define, combine, unify, and coordinate the various project management processes.
  • Schedule: Processes to manage timely completion of the project.
  • Quality: Processes for planning, managing, and controlling quality requirements to meet stakeholders’ expectations.
  • Communication: Processes for effective information exchange among stakeholders.
  • Scope: Processes to ensure the project includes all the work required, and only the work required, to complete the project successfully.
  • Cost: Processes involved in planning, estimating, budgeting, financing, funding, managing, and controlling costs to complete the project within the approved budget.
  • Resource: Processes to identify, acquire, and manage the resources needed for successful completion.
  • Risk: Processes of risk management planning, identification, analysis, response planning, response implementation, and monitoring risk on a project.
  • Stakeholder: Identify stakeholders, analyze their expectations and impact, and develop engagement strategies.
  • Note: These knowledge areas map to the project life cycle and are interrelated with the process groups.

PMBOK Process Groups and Project Life Cycle

  • Process groups define the phases of work that occur across the project life cycle.
  • Key groups:
    • Defining
    • Planning
    • Executing
    • Closing
  • Overlapping/interactive nature:
    • Planning processes extend nearly to the end of the project.
    • Monitoring and Controlling processes run throughout the project duration.

Knowledge Area 5 – Scope Management

  • Definition: Scope management includes the processes required to ensure the project includes all the work required, and only the work required, to complete the project successfully.
  • Primary focus: Defining and controlling what is and is not included in the project.
  • Important ordering note: Scope should be defined before estimating costs and developing the budget in Cost Management.

Relation to Cost Management

  • Project scope is a key input into Cost Management.
  • The Project Management Plan is an input to all cost processes and includes all knowledge area plans, but most importantly, the Scope Baseline.
  • The Scope Baseline, Schedule Baseline, and Cost Baseline are part of the Project Management Plan.
  • Change control procedures govern changes to the scope baseline.

Components of the Project Management Plan

  • Scope Management Plan
  • Requirements Management Plan
  • Schedule Management Plan
  • Cost Management Plan
  • Quality Management Plan
  • Resource Management Plan
  • Communications Management Plan
  • Risk Management Plan
  • Procurement Management Plan
  • Stakeholder Engagement Plan
  • Baselines and outputs:
    • Scope Baseline
    • Schedule Baseline
    • Cost Baseline
  • Other components:
    • Change Management Plan
    • Configuration Management Plan
    • Performance Measurement Baseline
    • Project Life Cycle Description
    • Development Approach

SCOPE BASELINE

  • Definition: The approved version of a scope statement, WBS, and its associated WBS dictionary that can be changed only through formal change control procedures and is used as a basis for comparison to actual results.
  • Components (three):
    1) Scope Statement
    2) Work Breakdown Structure (WBS)
    3) WBS Dictionary
  • Purpose: Provides the baseline against which project performance is measured.
1) Scope Statement (Scope of Work)
  • Contents typically include:
    • Key objectives of the project
    • Expected outcomes of the project
    • An abbreviated description of the scope (the work to be completed)
    • Introduction and background of the project
    • An introductory technical description
    • A high-level timeline or estimated duration
    • Major milestones
  • Purpose: Communicate what is in and out of scope at a high level.
2) Work Breakdown Structure (WBS)
  • Definition: A hierarchical outline (map) identifying products and work elements involved in a project.
  • Purpose: Defines the relationship of the final deliverable (the project) to its sub-deliverables and to work packages.
  • Best suited for: Projects with tangible deliverables rather than purely process-oriented projects.
  • Levels:
    • Level 1: Project Level
    • Level 2: Major Deliverable Level
    • Level 3: Sub Deliverable Level
    • Level 4: Lowest Sub Deliverable Level – Work Packages
  • Key concepts:
    • WBS is a decomposition of the project scope into manageable components.
    • Work Packages (WP) are the lowest-level deliverables represented in the WBS.
2) WBS – Details About Work Packages
  • The lowest level deliverable in the WBS is a work package (WP).
  • Characteristics:
    • It is the lowest level in every WBS path and represents a deliverable result.
    • Each WP has one owner and acts as a miniature project.
    • WP includes milestones and is trackable.
    • WP describes the 'what' (deliverables), not the 'how' (methods).
  • Activities within a WP describe the 'how' (resources, duration, cost).
  • Note: Activities are usually not shown as boxes in a WBS diagram.
2) WBS – Naming and Structure Rules
  • WBS elements should be written as NOUNS (e.g., "Design UI" would be a WP if treated as a deliverable; however, specific guidance: WP are nouns; activities are verbs).
  • Activities inside a WP must be written as VERBS and describe how the WP will be accomplished.
  • 100% Rule: The sum of the child elements at a given level equals the parent element’s value.
    • Example: 5,000+2,000+2,000=9,0005{,}000 + 2{,}000 + 2{,}000 = 9{,}000
    • In cost terms, the total of child costs equals the parent cost: C{ ext{parent}} = rac{}{} ext{or more generally } C{ ext{parent}} = ig( ext{sum of } C_{ ext{child}}ig).
  • WBS Codes:
    • Project code: 1.01.0 for the overall project
    • Major deliverables: 1.2,1.3,1.41.2, 1.3, 1.4
    • Sub-deliverables (blue): supporting deliverables (e.g., folders within folders)
    • Lowest level deliverables (green): work packages
3) WBS Dictionary
  • Purpose: Provides detailed descriptions for each WBS element.
  • Format: Typically shown as a table with fields for each element.
  • Example fields:
    • Work Package ID
    • Work Package Name
    • Responsible Organization/Individual
    • Work Package Description / Statement of Work
    • Acceptance Criteria
    • Deliverables
    • Duration
    • Cost
    • Due Date
    • Dependencies
    • Approvers
    • Resources Assigned
    • Assumptions
  • Sample entry (illustrative):
    • Project Name: Customer Help Desk
    • Work Package ID: 1.4.1.1
    • Work Package Name: Designed User Screen
    • Assigned To: Dave Litten
    • Date Assigned: 7/30/09
    • Estimated Cost: 3,800.003{,}800.00
    • Description: Using the customer’s User Screen Specification, a new top-level layout design is to be created. A non-functioning layout demonstrator will be prepared to collect feedback. A fully functional prototype will be created for client review/approval.
    • Acceptance Criteria: Sign-off from key stakeholders and responsible departments
    • Due Date: 15/9/09
    • Resources: IT Systems, System Analysts, Engineering
    • Dependencies, Approvers, Group/Dept, Account Code, etc.
  • More in the example includes: System Requirements Document, Business Requirements Document, and associated roles and timelines.

WBS in MS Project – Practical Creation

  • How to build hierarchical WBS in MS Project (.mpp):
    • Enter WBS elements in the Task Name column.
    • Use Indentation to create the hierarchy.
    • Do NOT enter WBS codes manually; MS Project will generate codes based on order/indentation.
  • Visuals:
    • Summary tasks are shown with bold titles; detailed tasks appear as bars only if given durations.
    • A WP is a summary task at the lowest level with its own set of activities underneath.
  • Important rule: Activities reside ONLY within a Work Package.

Common WBS Practices and Pitfalls

  • Common error: Activities placed outside of a WP (i.e., directly under a sub-deliverable rather than inside a WP).

WBS Dictionary – Example Format and Content

  • The dictionary provides per-element descriptions; shown in table format on the slides.
  • It elaborates each element’s scope, criteria, and attributes to avoid ambiguity.

Additional Notes on WBS and Baselines

  • The WBS, scope statement, and WBS dictionary together define the Scope Baseline.
  • The Scope Baseline is used to measure performance and control scope changes through formal change control.

Homework and Evaluations (Module 2)

  • Readings for Module 3 as listed in Course Overview.
  • Complete Module 2 learning activities in FOL (including Module 2 Tutorial).
  • Quiz 1 details in FOL.
  • Individual presentation: must be presented before the week of Module 14.
    • In-person class: sign up to present during an upcoming class.
    • Online class: use Virtual Classroom/Bongo.

References

  • Kerzner, Harold (2017). Project Management, Twelfth Edition.
  • Larson, Eric W., Gray, Clifford F. (2018). Project Management, The Managerial Process (Seventh Edition).
  • Project Management Institute (2017). A Guide to the Project Management Body of Knowledge (Sixth Edition).
  • Project Management Institute (2021). A Guide to the Project Management Body of Knowledge (Seventh Edition).