1) Project Cost management processes a. Estimate cost developing an approximation of proj cost b.

. Determine Budget Aggregation of indic=vidual activity cost or work package cost c. Control cost - Monitoring status of project to update project budget. 2) The ability to influence cost is greatest at the early stages making early scope definition critical. 3) Cost management plan has the following a. Level of accuracy b. Units of measure c. Organizational process link d. Control threshold e. Rules of performance measurement f. Reporting formats and frequency g. Process descriptions 4) Samples Unit of measures for Resources a. Staff hours b. Staff days c. Staff weeks d. Lump sum e. Currency NOTE : First 4 are considered to eliminate effect of currency fluctuation 5) Some earned Value techniques a. Weighted milestones b. Fixed formula c. Percent complete 6) Ways and Times for measuring costs of Aquired items a. When acquisition decision is made b. When acquisition is commited c. Order is placed d. Item is delivered e. Actual cost is incurred f. Actual cost is recorded 7) Project Cost management should be concerned about a. Cost of resources needed to complete the project b. Recurring cost of using c. Recurring cost of maintaining d. Cost of Supporting the product , service , or result of the project 8) General management techniques used in predicting and analyzing the prospective financial performance of the project a. Return on Investment b. Discounted cash Flow c. Investment payback analysis

9) Estimation degree a. Rough Order of estimation - +-50% b. Definitive - +-10% 10) Types of resource cost a. Labor b. Material c. Equipment d. Services e. Facilities f. Special Category Inflation allowance g. Special Category Contingency Costs 11) Types of cost a. Direct Cost b. Indirect Cost Costs that cannot be directly traced to a specific project Accumulated and Allocated Equiatbly between multiple projects Allocation follows some Approved & documented accounting procedure 12) Time Sensitive costs a. Union Labour with regularly expiring collective bargaining agreements b. Materials with seasonal cost variations 13) Cost Inputs from Human resource paln a. Project staffing attributes b. Personnel rates c. Rewards and Recognition 14) Cost associated with Risk- Risk mitigation cost 15) Cost contingency reserves can be Used Reduced Eliminated 16) basis of estimate is also important output of estimate cost 17) Funding limits/constraints etc can be got from the Project scope statement 18) Budget reserve Analysis establishes Contingency reserves Management resreves 19) Management reserves a. Budgets reserved for Unplanned changes to project scope and cost b. Need prior approval from management for spending c. Not part of cost baseline d. Part of project budget e. Not included as part of EVM 20) Funding limit reconciliation a. Expenditure vs Commitment of Fund 21) Cost performance baseline

a. Summation of approved budget by time period b. Typically displayed as a S curve ( Time vs Cumulative Values) c. In EVM technique its called as performance measurement baseline (PMB) 22) Project Funding a. Total Funding requirements b. Periodic funding requirements (quarterly, annual) 23) Project Cost Control includes a. Influence the factors that creates change to the cost baseline b. Ensure all change requests are acted in a timely manner c. Managing the actual changes when and as they occur d. Ensuring cost expenditure go beyond funding e. Monitor cost performance to isolate and understand variances from the approved cost baseline f. Monitoring work performance against funds expended g. Preventing unapproved changes from being included h. Informing appropriate stakeholders of all approved changes and appropriate cost i. Acting to bring expected cost runs within acceptable limits 24) 3 key dimensions developed and monitored in EVM a. Planned value b. Earned Value c. Actual Cost 25) Total PV of a project is BAC 26) Types of variances a. Schedule Variance = EV - PV b. Cost variance = EV AC i. ( any negative CV is non-recoverable) 27) Performance Index a. Schedule performance index = EV/PV i. < 1 less work was completed than planned ii. > 1 more work is completed than planned b. Cost performance index = EV/AC i. < 1 Cost overrun for work completed ii. > 1- Cost underrun for work completed 28) Forecasting EMV a. EAC Estimate at Completion b. ETC c. 29) Forecasting the EAC involves making estimates or predictions of condition or events in the projects future based on the information and knowledge available at the time of the forecast. 30) Ways of claulating EAC a. EAC = AC + bottom-up ETC b. EAC = AC + BAC - EV ( when current cost performance will become better in the future ) c. EAC = BAC/ Cumulative CPI ( when current cost performance continues in the future)

d. EAC = AC + {( BAC EV) / ( cumulative CPI X Cumulative SPI ) } considering bothe SPI and CPI 31) TCPI = (BAC-EV)/(BAC-AC) = Work remaining / Funds remaining TCPI =(BAC EV) / (EAC AC) 32) Performance reviews a. Compare cost performance over time b. Schedule activities or work packages overrung or Underrunning budget c. Estimated funds needed to complete the project 33) Info got in Performance review if EVM is used a. Variance analysis planned vs expected b. Trend Analysis improve vs detiortate c. Earned Value performance baseline vs actual 34) Percentage of acceptable variance will decrease as more work is accomplished Quality management 35) Quality management processes a. Plan Quality identify Quality requirement , standards and documenting how they will comply b. Perform QA Auditing to see if its followe c. Perform Quality control Monitor and record results of executing Quality activities, recommend corrective actions 36. Quality vs grade Quality is the degree to which a set of inherent characteristics fulfill requirements Grade is same functional use but different technical characteristics 37. Precion vs Accuracy Precison less scatter Accuracy closer to the true value 38. Quality management approaches by a. Proprietry i. Deming PDCA ii. Juran iii. Crosby b. Non proprietry i. TQM ii. Six Sigma iii. Failure mode and Effect Analysis (FMEA) iv. Design reviews v. Voice of Customer vi. Cost of Quality vii. Continuous Improvement 39) Modern Quality management and project management recognize the importance of Customer Satisfaction Conformance to requirements Fitness to use Prevention over Inspection

Quality is planned, designed and built in not inspected Cost of preventing mistake is much less than correcting them when found by inspection Continuous Improvement Deming/Shewhart PDCA TQM and Six Sigma improve project management and product quality Process Improvement Models Malcolm balridge OPM3 CMMI Management Responsibility 40) Quality Policy OPA a. Use performing organizations policy as is b. If no formal policy or multiple performing organization Project management team creates one c. Make it aware to all stake holders thru distribute information 41) Beneifits of Quality a. Less rework b. Increased productivity c. Lower costs d. Increased stakeholder/customer satisfaction 42) Cost of quality a. Cost of Conformance i. Prevention Cost (Build a Quality project) 1. Training 2. Document processes 3. Equipment 4. Time to do it right ii. Appraisal Cost (Assess The Quality) 1. testing 2. Destructive testing loss 3. Inspections b. Cost of non conformance i. Internal Failure Cost ( Failure Found by the Project) 1. rework 2. Scrap ii. External Failure Cost ( Failure found by the Customer) 1. Liabilities 2. Warranty Work 3. Lost business 43. Control Charts Upper and Lower Specification limit by requirement Upper and Lower Control limit By Project manager and Stakholders- Take corrective action 44) For repetitive processes the control limits are generally +-3 sigma 45) Process is out of control when Data Point exceeds a control limit 7 Consequitive points are above or below the mean

46) Uses of Control charts a. Monitor various type of output variables b. Used most frequently to track repetitive activities required for manufacturing c. Monitor Cost and Schedule variance d. Monitor Volume and frequency of Scope Changes e. Other management results to Monitor Project management processes 47 ) benchmarking Compare Actual or Planned project practices to those of comparable projects Within the same org or outside Within the same application area or different 48) Benchmarking helps to Identify best practices Generate ideas for Improvements Provides a basis for measuring performance 49) DOE A statistical method .. Change more than 1 variable at a time Identify which factors influence which variable of a process or product Used to determine number and type of test to be conducted Reduces Sensitivity of product performance to source of variations 50) Statistical Sampling Choose a population of Interest Sample frequency Sample size 51) Flow Charting Graphical rep of a process Shows relationship among processes Help anticipate Quality problems that occur better test cases 52) All Flowcharts show Activities Decision Points Order of processing 53) Additional Quality Planning Tools Brainstorming Affinity Diagram logical grouping Nominal group technique Force Field Analysis Diagram of the forces for and against change Matrix diagram - factors vs causes or objectives Prioritization matrices rank a diverse set of problems and/or issues by importance 54) Quality Metrics A project or product attribute defining a operational definition How a Quality control process will measure it 55) Sample of Quality metrics

On-time performance Budget control Defect frequency Failure rate Availability Reliability Test Coverage 56) Process boundaries Purpose of process Start and end of process Inputs and Outputs Data Required Owner / Stakeholder 57) Quality Audit Identify best practices and share them Identify gap/short comings Proactively improve process Highlight contribution of each audit 58) Quality Audits can be Scheduled or Random Internal or External 59) Quality Audits can confirm the implementation of approved change requests including corrective action, preventive action, defect repair 60) Process Analysis Examine Problems experienced Constraints experienced Non value added activities 61) Root Cause analysis Identify the problem Discover underlying causes Develop preventive actions 62) Prevention vs Inspection 63) Sampling Attribute Sampling ( result conforms or does not) Variables Sampling measures degree of conformity) 64) Tolerance vs Control limit 65) Ishikawas 7 basic tools of Qality Cause and Effect Diagram C F H P

R S S 66) Histogram X axis attribute or characterisc Y frequency Common cause of problems - Tallest 66) Pareto Histogram ordered by freq of occurrence Rank ordering to focus corrective action 80/20 ANALYSIS 67) Run Chart Data poimts plotted in the order they cocur Show History and pattern of variation Show Trends in a process over time Variation over time Declines or improvements over time 68) Trends Analysis Use Run charts Involves mathematical technique to forecast future outcomes based on historical info Used to monitor Technical performance Cost and Schedule performance 69) Scatter Diagram Shows relationship between 2 variables Study and identify relationship between 2 variables Plot Dependent variable Plot Independent variable The Closer they are are to the diagonal line the more closely they are related 70) lessons learnt are documented throught the project life cycle but at a min during closure 71) Validated Deliverables - Deliverables checked for correctness Validated Change - Changed or repaired items are inspected - Accept if ok - Reject if not Send to rework - Provide notification of the decision 72) HR management process Develop Human resource Plan - identifying and documenting project Roles and Resp Required Skills Reporting relationships Creating a Staff Managmengment Plan Acquire team Confirming Availability and obtaining the team

Develop project team Improve Competencies, team interaction, And overall team environment Manage Project team Track team member performance, providing feedback, resolving issues, managing changes to optimize project performance 73) Other names for Project management team a. Core team b. Executive team c. Leadership team 74) Role of Project Sponsor a. Assists the Project management team in i. Project Funding ii. Clarifying Scope iii. Monitoring progress iv. Influencing others in order to benefit the project 75) Human resource factors that impact the project a. Team environment b. Geographical location of team members c. Communication among stakeholders d. Internal and External politics e. Cultural issues f. Organizational Uniqueness 76) The Management team should make sure that the project team does the following regarding professional ethics a. Aware of b. Subscribe to c. Ensure all team members follow 77) Things in the HR plan a. Project roles and responsibilities i. Roles (Designation) ii. Authority (Rights) iii. Responsibilities iv. Competencies (skill and capacity) b. Project Organization Chart c. Staffing management plan i. Staff acquisition ii. Resource Calendars ( resource histogram) iii. Staff Release plan ( Monitor cost, boost morale) iv. Identification of training needs ( Increase competencies, certifications) v. Plans for Rewards and Recognition vi. Compliance Consideration ( Union contract, govt regulation, other HR policies) vii. Safety issue (protection) d. Team building strategies e. Impact of the staffing management plan on the organization 78) Types of Roles and responsibility charts

a. Hierarchical b. Matrix c. Text-oriented 79) Places where we can find Roles and responsibilities a. Organizational Chart b. Subsidary plans like i. Risk, - Risk Owners ii. Quality or Who is responsible for QA , QC iii. Communication - Who is responsible for communicating 80) Types of Hierarchichal Type Resource Charts a. WBS b. OBS c. RBS 81) Types of matrix resource Charts a. RAM responsibility Assignement Matrix i. High level Ram Bu groups ii. Low level RAM By Roles, resp, authority 82) Types of RAM a. RACI b. By leads c. By resource designation 83) usual information contained in Text oriented form a. responsibilities b. authority c. competencies d. qualifications 84) Other names of text type formats a. Position Description form b. Roles-Responsibility-Authority forms 85) Networking is the a. Formal and Informal interaction b. With others in an i. Organization ii. Industry iii. Professional Environment c. Constructive Way to understand political and Interpersonal factors that effect staffing management 86) Human Resources networking Activities a. Proactive Correspondence b. Luncheon meeting c. Informal Conversation d. Meetings and Events e. Trade Conferences

f. Symposia 87) Uses of Networking a. Useful technique at the beginning of project b. Effective way to enhance Project management professional development during the project and after it ends 88) Organizational theory provides information regarding the way in which people, team and organizational units behave 89) Uses of knowing Organizational theory a. Shortens the time cost and effort needed to create HR plan outputs b. The likelihood the plan is effective increases 90) Resource Histogram a. X axis , resource or by calendar b. Y axis max number of hours available 91) Apply following resource leveling strategies when bars go beyond max hours available a. Add More resources b. Modify schedule 92) factors that may affect the Project management team in team members selection a. Collective bargaining agreements b. Use of Subcontractor personnel c. Matrix project environment d. Internal or External reporting relationships e. Other reasons 93) factors to be considered during project acquiring a. PM should negotiate and influence in acquiring b. HR acqusiotion results in proj success failures c. Should settle for alternative resources if not available 94) Acquire Project team a. Pre Assignement (selected in advance ) i. Becos they were promised as a part of a competitive proposal ii. Project needs some expertise iii. Staff assignments defined in the charter b. Negotiation i. Negotiate with Functional manager ii. Negotiate with Performing organization iii. Negotiate with External orgs, Contractors, c. Acquisition i. Hire Individual Consultants ii. Sub contract d. Virtual teams 95) Virtual teams becos a. Teams in Diff geo areas b. Expert in diff geo area

c. d. e. f.

Work from home Disabilities Different shifts Save Travel Expenses

96) Important Considerations for Virtual teams a. Communication Planning - most imp b. Set expectation c. Facilititate communication d. Develop protocol for resolving conflict e. Include people in-decision making f. Share credit in success 97) technology used in Virtual teams a. e-mail b. Audio conferencing c. Video conferencing d. Web-Based meetings 98) Types of Project Staff assignment documentation a. Project team directory b. Memos to team members c. Names inserted in proj management plan ( like Organization Charts and schedules) 99) factors to concentrate to create reliable Resource calendars/ schedule a. Good Understanding of each persons schedule conflict b. Including Vacation times c. Including Other Project time d. Document team members availability 100) a. b. c. d. e. 101) a. b. c. d. e. 102) High Team performance can be achieved using Open and Effective communication Developing trust among team members Managing conflicts in a constructive manner Encouraging Colobarative problem solving Encouraging Colaborative decision-making PM roles to foster teamwork Create an environment which facilitates team work Motivate team by providing challenges and opportunities Provide timely feedback Provide timely support as needed Recognize and reward good performance

Objectives of developing team a. Improve Knowledge and skills of team members b. Improve feeling of trust and agreement among team members c. Create a dynamic and cohesive team culture

d. Allows cross training e. Allows mentoring 103) a. b. c. d. e. f. 104) a. b. c. d. e. f. g. h. 105) Develop project team Tools and techniques Interpersonal skill (soft skills) Training Team Building activities Ground Rules Co-location Recognition and rewards soft skills Empathy Influence Creativity Group facilitation Understand sentiments Anticipate actions Acknowledge their concers Followup on their issues

Training a. Formal vs Informal b. Scheduled vs Unplanned i. Scheduled : as per HR plan ii. Unplanned 1. as a result of observation 2. As a result of conversation 3. as a result of Project performance appraisals during managing Team Building activities a. Simple 5 minute agenda in a status review meeting b. Professionaly facilitated experience a. b. c. d. e. f. g. To build effective project teams, PM should Obtain Top management support Obtain Commitemnt of team members Introduce appropriate rewards and recognition Create a team identity Manage conflict effectively Promote trust and open communication among team members Provide good ledership 5 stages of team development Forming Storming Norming Performing Adjourning Duration of a team development stage depends on

106)

107)

108) a. b. c. d. e. 109)

a. Team size b. Team dynamics c. Team leadership 110) a. b. c. d. 111) Ground Rules Acceptable behaiour Decreases misunderstanding and increases productivity Helps discover values important to one another All team members enforce it

Co location a. Temporary only during strategic important times in the project b. Entire Project Co location strategies Team meeting room Places to post schedules Other conveniences that enhance Communication Other conveniences that enhance a sense of community Rewards and recognition Should satisfy need values by the individual Consider Cultural differences Reward only desirable behaviour Should not be Win-Lose or zero Sum awards ie be acheivble by all

112) a. b. c. d. 113) a. b. c. d. 114)

Types of rewards a. Tangible i. Money b. In Tangible i. Opportunity to Grow, accomplish ii. Opportunity to apply their professional skills to meet new Challenges iii. Public recognition of Good performance Team assement fill up later bored Manage Project team tools and techniques Observation and Converstaion Project Performance appraisals Conflict management Issue Log Inter personal skills Objectives for conducting Performance appraisals Clarification of roles and responsibilities Constructive feedback to team members Discovery of unknown or Un resolved issues Development of individual training plans Establish specific goals for the future

115) 116) a. b. c. d. e. 117) a. b. c. d. e.

118)

Sources of Conflict a. Scarse resources b. Scheduling priorities c. Personal work styles Ways to reduce conflict a. Team ground rules b. Group norms c. Solid project management practices like communication planning and role definition Conflict resolution a. First Project team members b. If escalated , PM should facilitate resolution Addressing Conflicts Early In private Direct colborative approach If distruptive follow formal procedures including disciplinary action Characteristics of conflict and conflict management process Natural and forces a search of alternatives Is a team issue Openness resolves conflict Focus on issues not personalities Focus on present not past factors that Influence Conflict resolution methods Importance Intensity Urgency / Time pressure Position of players involved Motivation to solve it on a long term or short term basis 6 GENERAL TECHNIQUES for resolving conflict Withdrawing/Avoiding Smoothing/Accomodating = emphasize areas of agreement Compromising brings some degree of satisfaction Forcing Collaborating Multiple viewpoint, perspectives then consensus Confronting/Problem Solving Examine alterantiave , give and take , open dialog Issue log Issue Responsible person Target Date Issue resolution

119)

120)

121) a. b. c. d. 122) a. b. c. d. e. 123) a. b. c. d. e. 124) a. b. c. d. e. f. 125) a. b. c. d. 126)

Interpersonal skills a. Leadership b. Influencing

c. Effective Decision making 127) 128) Key influencing skills see page 240 Staffing changes a. By Choice or Uncontrolled b. Includes i. Moving people ii. Outsourcing some work iii. Replacing team members who leave Communication Management includes the timely and appropriate a. Generation b. Collection c. Distribution d. Storage e. Retrieval f. Ultimate disposition Of project information Project Communication Management processes a. Identify stake holders Identifying and Documenting their I I I b. Plan communication Determine stakeholder Information needs and Defining a communication approach c. Distribute Information Making information available as planned d. Manage Stakeholder Expectations Communicate and Working with stakeholder to meet their needs and addressing issues as they occur e. Report performance Collect and Distribute Performance Info(status report, forecasts, Progress measurement) a. b. c. d. e. f. Type of Communication Type 1 i. Internal Within the project ii. External Other Projects, media, public , Customer Type 2 i. Formal Reports , memos , briefings ii. Informal email, ad-hoc discussion Type 3 i. Vertical Up and Down the org ii. Horizontal With peers Type 4 i. Official Newsletter, Annual report ii. Unofficial Of the record communication Type 5 i. Wriiten ii. Oral Type 6 i. Verbal ii. Non verbal Voice Inflections, Body Language Stakeholder handling strategy

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a. Maximize positive influences b. Mitigate potential negative impacts 133) Stake Holder Analyis a. Identify all stake holders Their III, Roles, departments, Knowledge level, expectation i. Done by Interviewing b. Classify them i. Power Interst ii. Power Influence iii. Influence Impact iv. Salience 1. Power (ability to influence their will) 2. Urgency ( Need for Immediate attention) 3. legitimacy ( Involvement is appropriate) c. Asses how they respond in various situation in order to plan to influence them Power Interest grid Low Interest Low Power Monitor Low Interest High Power keep Satisfied High Interest Low Power Keep Informed High Interest High Power Manage Closely

134) a. b. c. d. 135)

Getting Expert Judgement a. Individual Consultation i. One on One meeting ii. Interview b. Panel format i. Focus groups ii. Surveys iii. Etc Stake holder register has a. Identification Info b. Assesment info c. Stake Holder Classification i. Internal / External ii. Supportor/ neutral/ resistor Stake Holder management strategy a. Key stakeholders b. Level of participation desired c. Stake holders and their management (as groups) a. b. c. d. Plan Communication Who needs what When Who will give it to them How will it be given to them

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Problems dues to Improper Communication a. Delay in message delivery

b. Communication of sensitive info to wrong audience c. Lack of communication 140) Types of Communication a. Effective Info is provided i. In the right time ii. Right format iii. Right Impact b. Efficient i. Providing only the information which is needed a. b. c. d. 142) Plan Communication Tools and Techniques Communication Requirement Analysis Communication Methods Communication technology Communication Models

141)

Communication requirement Analysis a. N * (n-1)/2 b. Who gets what a. b. c. d. e. Communication Methods influencing factors Urgency Staffing ( Expertise and Experience) Availability ( Access to) Duration Project Environment (face to face or virtual) Communication Model Components Sender Receiver Medium Message Noise Encode Decode Feedback Feedback message Acknowledge response

143)

144) a. b. c. d. e. f. g. h. i. j. k. 145)

Example of Noise a. Distance b. Unfamiliar technology c. Lack of background information Communication model responsibilities a. Sender - Information is clear and Complete so that the receiver can receive it correctly Confirming its properly understood b. Receiever Information is received in its entirety Understood correctly

146)

Acknowledged 147) Communication methods a. Interactive - meetings, phone calls, video confrencing b. Push - letters, memos, reports, email, faxes, voice mails, press releases etc c. Pull Intranet, online learning, knowledge repositories When pull communication is used a. Large Volumes of Info b. Large Audiences c. Access at their own discretion Contents of a Communication management plan 0- refer page 257 Effective Information Distribution techniques a. b. c. d. e. f. 151) a. b. c. d. 152) Sender receiver Models Choice of media Writing style Meeting management technique Presentation technique Facilitation techniique Distribute Information Communication methods Individual/Group meeting Video and Audio conferences Computer Chats Remote communication

148)

149) 150)

Information Distribution Tools a. Hard-copy documents b. Electronic communication and conferencing tools c. Electronic tools for Project management Types of Logs a. Issue Log b. Change Log Variance analysis a. Verify Quality of Info b. Determine variance c. Determine the impact of the variances a. b. c. d. Categories of forecasting methods Time Series methods Use historical data for future out come Causal/econometric - Forecast using influencing underlying factors Judgemental method Intuitive judgement, opinion and probability estimates Other methods

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156) a. b. c. d. e. f. 157)

Eg of Time Series Method Earned value Moving average Extra polation Linear prediction Trend estimation Growth Curve

Eg of causal/ Econometric a. Regression analysis using linear or non linear regression b. ARMA autoregressive moving average c. Econometrics a. b. c. d. e. f. Eg of judgemental methods Composite forcasts Surveys Delphi method Scenario building Technology forecasting Forecast by analogy

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159)

Eg of other methods a. Simulation b. Probabilistic forecasting c. Ensemble forecasting Objectives of risk management a. Increase the probability and impact of positive events b. Decrease the probability and Impact of negative events a. b. c. d. e. f. Risk management processes Plan risk management Identify risks Perform Quality Risk Analysis Perform Quantitative risk Analysis Plan Risk responses Monitor and Control risks cause of risk requirement assumption constraint condition Risks In the future Uncertain Has impact on atleast one project ojective Has one or more causes Has one or more impacts Project or Org Environment factors that could contribute to risk

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162) a. b. c. d. 163) a. b. c. d. e. 164)

a. b. c. d. 165)

Immature project management practices Lack of integrated management systems Concurrent multiple projects Dependency on external participants who cannot be controlled

Risk tolerance a. Helps determine Threats allowed b. Should balance with rewards a. b. c. d. e. f. g. Plan Risk Tool Planning meeting and Analysis Held by project teams To develop Risk management plan High level plans for conducting risk management activities discussed Risk management Cost elements discussed Risk schedule activities discussed Risk management responsibities assigned Organizational templates tailored or generated to specific project Risk management plan Methodolgy Roles and responsibilities Budegting Timing Risk categories ( eg as a RBS) Definition of Risk Probability and Impacts Probability and Impact Matrix prioritize to high moderate low Revised Stakeholder Tolerances Reporting formats Tracking

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167) a. b. c. d. e. f. g. h. i. j. 168)

RBS a. Identified project risks b. Arranged by category and subcategory c. That identifies the various areas and causes of potential risks Identify Risk a. Determine which risks affect the project b. Documenting their characteristics Identify Risks Tools and Techniques Documentation reviews Information gathering technique Checklist Analysis Expert Judgement Diagramming techniques Assumption Analysis SWOT analysis

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170) a. b. c. d. e. f. g. 171)

Documenattion review Review of Documents a. Plans b. Assumptions

c. Previous project files d. Contracts e. Other information 172) a. b. c. d. 173) Information gathering techniques Brainstorming Interviewing Root Cause Analysis Delphi technique

Root cause analysis a. Identify a problem b. Discover the underlying causes that lead to it c. Develop preventive action a. b. c. d. e. f. Delphi Technique Facilitator prepares a questionnaire Circulated to anonymously to Risk experts Get Responses Responses are summarized Recirculated to experts for further comments Repeat till consensus is reached

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Brainstorming a. Free form ideas contributed by participants b. Structured mass interviewing like Nominal Group tech Checklist Analysis prepare checklist from a. Historical Info b. Lowest level of RBS a. b. c. d. Assumption Analysis Risks identified from Assumptions Inaccuracy Instability Inconsistency Incompleteness

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Diagramming techniques a. Cause and Effect diagram b. System or Process flow chart c. Influence Diagram SWOT analysis a. Identify strength and weakness of organization ( Performing or Wider business) through techniques like brainstorming b. Analyze Opportunities from strengths c. Analyze Threats from weakness d. Analyze degree to which strengths offset Threats e. Analyze degree to which opportunities may overcome wekness Risk register

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a. List of identified Risks i. EVENT IMPACT ii. CAUSE,EVENT - EFFECT b. List of potential Responses 181) Projects having more uncertainities / risks a. State of the art b. First of its kind c. Highly complex Qualitative Risk Analysis Tools and Techniques Risk probability and Impact Assesment Probability and Impact matrix Risk data Quality Assesment Risk categorization Risk Urgency Assesment Exper Judgement P&I Risk rating Diff rating for cost, schedule, scope Overall rating for each risk Organization rating Project rating

182) a. b. c. d. e. f. 183) a. b. c. d. 184)

Risk responses a. Hig risk Threats i. Priority action ii. Aggressive responsive strategies b. Low risk threats i. Add to watch list ii. Add a contingency reserve c. High Risk Opportunities i. Targetted d. Low risk Opportunities i. Monitored Risks categorization a. By Source (using RBS) b. By Areas of Project affected (Using WBS) c. Other useful category (By Project Phases)

185)

186) Quantitative Risk Analysis Numerically analyzing the effect of identified risks on overall project objectives 187) Perform Quantitative Risk analysis should be repeated after ( to check if risks have been reduced) a. Plan Risk responses b. Monitor and Control Risks 188) Quantitative risk Analysis Tools and techniques a. Data gathering and Representation techniques

b. Quantitative Risk analysis and Modelling techniques c. Expert Judgement 189) Data gathering and Representation techniques a. Interviewing ( eg give an estimate of optimistic, pessimistic and most likely estimates) b. Probability Distributions Quantitative Risk analysis and Modelling techniques a. Sensitivity Analysis i. Which risks have the most impact b. Expected Monetary Value Analysis c. Modelling and Simulation 191) a. b. c. d. e. 192) Types of Proabaility Distribution Continuous Probability Distribution i. Beta ii. Triangular Discrete Distribution Uniform Distribution Normal Distribution Lognormal Distribution

190)

Tornado diagram a. Compare Uncertain and certain/Stable Variables b. Compare relative importance and Impact a. b. c. d. e. EMV Analysis Under Uncertainity Opportunities Positive Threats negative EMV = Sum of (Value of each Possible Outcome (Impact) * Probability of accurance) Eg decision tree analysis Modelling and Simulation see page 299 Rissk responses have to be Appropriate Cost effective Realistic Agreed upon Owned by 1 Timely

193)

194) 195) a. b. c. d. e. f.

200) Plan risk responses Tools and techniques a. Strategies for Negative risks b. Strategies for Positive Risks c. Contingent response Strategies d. Expert Judgement 201) Strategies for negative Risks

a. b. c. d.

Avoid Transfer Mitigate Accept

202) Avoid a. Involves changes to PM Plan b. Shut down project 203) Transfer a. Ownership of Response to third party b. Management of response to third party 204) Eg of Risk transference tools a. Insurance b. Performance Bonds c. Warranties d. Guarantees e. Contracts 205) Mitigate a. Reduction in probability b. Reduce Impact 206) Eg of Mitigation Options a. Adopting less Complex processs b. Conducting more tests c. Choosing a more stable supplier d. Prototype development 207) Mitigation strategies a. Reduces severity of Impact b. Targets factors that determine severity 208) Accept a. Passive Acceptance i. No action ii. Just document the risk iii. Wait for it to happen iv. Project team handles it when it happens b. Active Acceptence i. Establish a Contingency reserve ii. Reserve can be Time, Cost,. Or Resources 209) Strategies for Positive Risks or Opportunities a. Exploit - make sure it really happens probability b. Share c. Enhance d. Accept

210) eg of Exploit a. assign talented resource to finish fast b. assign talented resource to lower cost 211) Sharing a. Allocate or share ownership with someone who is best able to capture the opportunity b. All parties gain from the action 212) Eg of Sharing Actions a. Forming Risk-sharing partnerships. teams b. Special purpose companies c. Joint ventures 213) Enhance a. Increase Impact b. Identify and maximize key drivers 214) Accept Opportunities a. Take advantage when it comes b. Dont pursue 215) Contingent response strategies a. Execute only under some conditions b. Event triggers should be defined an Tracked 216) Types of Risks a. Known Risks b. Unknown Rosks c. Residual risks d. Secondry Risks 217) Types of Risk Plan a. Contingency Plan b. Fall back Plan 218) Eg of Enhance a. Adding more resources to finish early 219) Monitoring and Controlling Risks a. Implementing Risk response plan b. Tracking identified risks c. Monitoring residual risks d. Identifying new Risks e. Evaluating Risk process effectiveness throughout the project 220) assessed Risk a. Can Change b. Can retire 221) Risk Response Owners a. Reports periodically to the PM on the effectiveness of the plan

b. Reports any unanticipated effects c. Reports correction needed to handle the risk appropriately 222) Monitor and Control Risks Tools and techniques a. Risk Reassesment b. Risk audits c. Variance and Trend analysis d. 223) Risk Reassesment a. Identify new risks b. Reassess Current Risks c. Closing of Outdated Risks 224) Risk Audit 225) Corrective Risk Actions a. Contingency plans b. Workarounds not planned initially