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PROJECT  MANAGEMENT TERMINOLOGY

A B C D E F G H  I J K L M N O  P Q R S T  U V W X Y Z


Random Cause   
Normal process variation


Range
is the simplest measure of dispersion. To find the range, sequence data in ascending order and subtract the smallest value from the largest.


Ratios
are a straightforward estimating method that relies on proportions


Regression Analysis
Statistical technique graphically represented on scatter diagram


Residual risks
are those that remain after avoidance, transfer, or mitigation responses have been taken. They also include minor risks that have been accepted and addressed e.g. by adding contingency amounts to the cost or time allowable


Resource calendar –
identifies period when work is allowed.


Resource Leveling –
often results in a project duration that is longer than the preliminary schedule. Resource Reallocation from non-critical to critical path activities is a common way to bring the schedule back, or as close as possible, to the originally intended overall duration.


Resources Histogram
– often part of Staffing Management Plan; shows resource usage (eg staff hours) per time period (eg wk, mth) of a specific job function.


Responsibility Assignment Matrix (RAM)
– Show who does what (x=person, y=phase). The most important feature of the RAM is the participatory development process involving all stakeholders. Show who is participant, who is accountable, who handles reviews, who provides input and who must sign off on specific work packages or project phases.


Retainage
– withholding of funds under contract.


Referent power:
The ability to gain support because project personnel feel personally attracted to the project manager or project

Reward Power:
The ability to gain support because project personnel perceive the project manager as capable of directly or indirectly dispensing valued organizational rewards (i.e. salary, promotion, bonus, future work assignments


reverse resource allocation
Some projects may have a finite and critical project resource, requiring that this resource be scheduled in reverse from the project ending date; this is known as reverse resource allocation


Revision
– category of schedule update that result in change to the project’s scheduled start or finish dates. New target schedule should be the usual mode of schedule revision.


Revisions
are changes to the scheduled start and finish dates in the approved project schedule; generally revised only in response to scope changes. Rebaselining may be needed to provide realistic data to measure performance.


Rewards and Recognition Systems 
-- to be effective, must make the link between performance and reward clear, explicit and achievable.


Rights
- do not do business with a country where there is a clear violation of the fundamental rights (e.g. non-discriminating treatment).


Risk Event 
A discrete occurrence that may affect the project for better or worse. After a risk event, the project manager’s role is to reassess the risk ranking. The risk owner is responsible to take action when an identified risk occurs.


Risk Management Plan –
would most likely be developed during scope planning phase of the scope management process.

 

Risk Mitigation may take the form of implementing a new course of action that will reduce the problem... It may require a prototype development to reduce the risk of scaling up a from a bench-scale model


Risk Portfolio
Risk data assembled for the management of the project


Risk Response plan (sometimes called the risk register)
should be written to the level of detail at which actions are taken. It should include some or all of the following: Indentified risks, their descriptions, the area(s) of the project affected, their causes, and how they may affect project objectives Risk owners and assigned responsibilities Results from qualitative and quantitative risk analysis processes.

Agreed responses including aviodance, transference, mitigation, or acceptance for each risk in the risk response plan Level of residual risk expected to be remaining after the strategy is implemented Specific actions to implement the chosen response strategy Budget and times for responses Contingency plans and fallback plans


Risk Tolerance    
Places a value on the impact to the project plan by adjusting a single project variable; simplest form of analysis


Risk Trigger  
A symptom of risk; indirect manifestation of actual risk event; output of risk identification; example is poor morale

Role is to investigate the effectiveness of the risk owner (which can cause potential conflict with risk owner)


Root Cause Analysis
– used to identify the cause of the variation


Routine Government Fee (Transfer Fee)
– only government official can collect routine government fees (this is not a bribe)

Same amount each time period (e.g. 10 – 10 – 10)


Schedule Baseline
- the original, approved project schedule; should never be changed without proper review and approval.  Any approved change should be documented in writing. Should be created at the beginning of the project and used during the project to gauge (measure) overall project performance, not just schedule. The project Performance Measurement Baseline should generally change only in response to a scope or deliverable change. The project performance measurement baselines should generally change only in response to a scope or deliverable change.


Schedule Change Control System
– can include the paper, systems and approvals for authorizing changes. The project manager is normally not the approval authority, and not all the changes approved


Schedule Change Control System
– defines procedures for changing the project schedule and includes the documentation, tracking systems, and approval levels required for authorizing schedule changes.
scope change control defines the procedures by which the project scope may be changed.


Schedule Development
means determining the start and finish dates for project activities. If the start and finish dates are not realistic, then the project is unlikely to be finished as scheduled.


Schedule Management Plan
– defines how schedule changes will be managed; may be formal or informal.


Schedule Performance Index    
EV/PV [BCWP / BCWS]     I am progressing at ____% of the rate originally planned


Schedule Variance in %    
SV/PV


Schedule Variance      
EV – PV [BCWP – BCWS] (if <0; work completed is less than what was planned)

Scheduling and allocating resources to multiple projects may affect schedule slippage and in-process inventory.


Scope Definition
– subdividing major project deliverables.


Scope Management Plan
- describes how scope will be managed and how changes will be integrated into project; also includes assessment of expected stability of project scope. (e.g. project manager would refer to the Scope Management Plan to make a change)


Scope Statement
- a documented description of the objectives, work content, deliverables, and end product; it includes a description of project assumptions and constraints. Provides stakeholders with a common understanding of the scope of the project and is a source of reference for making future project decisions.


Scope Verification
– to verify that the work done satisfies the scope of the project. It must be done at the end of each phase. A similar activity during closure is Product Verification. Focuses on customer acceptance /performance measurement, not change to project scope. Scope Verification is normally done in parallel with quality control (which checks for product correctness). Occur during the control phase of the project, not at the end. The review at the end of the project phase is called phase exit, stage gate, or kill point.


Secondary Risk   
Occurrence of one event is not related to occurrence of the other
Risks that arise as a direct result of implementing a risk response are termed secondary risks


Slope
 (crash cost - normal cost) / (crash time - normal time) ; if <0, as the time required for a project/task decrease, the cost increase


Special Cause
Special Causes are unusual events and random causes are normal process variations


Specification
- precise description of a physical item, procedure, or service.  The SOW supplements the specification in describing what must be done to complete the project.


Specification Limit        
Fixed by the customer


Specification Limit        
Shows customer’s expectations for quality (on a control chart)


Staffing Management Plan
– describes when resources will be brought into and taken off the project.


Stakeholder Management
– the project manager must identify the stakeholders, determine their needs and expectations, manage and influence expectations to ensure project success.


Standard Deviation
is a measure for the probability of getting a result - hence it is a good indication for the risk of completing the task in time.


Statement of Work
- a narrative description of products or services to be supplied under contract.
Statement of Work (SOW) is to specify work requirements for projects that have deliverables and/or services performed. A SOW identifies objectives and provides details of work requirements that produce desired deliverables for stakeholders.Statement of Work – describes the procurement item in sufficient detail to allow prospective sellers to determine if they are capable of providing the item. (Scope Statement between Client and PM / SOW between PM and Seller). "Sufficient detail" may vary, based on the nature of the item, the needs of the buyer, or the expected contract form.

Statistical Analysis
Involves determining the probability of an occurrence


Statistically Independent  
Determine if problems are related before planning what to do about them


Straight Line Depreciation
The point beyond which the marginal addition of resources does not provide a proportional amount of utility.


storyboard
, you alternate between broad thought and analytical thinking. Think of it an enlarging and contracting process. Enlarge with the number of ideas that your team proposes and contract through a review


Subprojects
within projects may have distinct project life cycles


Sunk Cost
Expended costs which should be ignored when making decisions about whether to continue investing in a project


Taguchi Method
Is used to estimate the loss associated with controlling or failing to control process variability. If you select good design parameters, you can produce products that are more forgiving and tolerant. The tool helps determine the value or break-even point of improving a process to reduce variability.


Tannenabaum-Schmidt model
– Continuum of leadership styles between the autocratic and participative styles


Team Meetings
– periodic team meetings is the most effective way to accelerate the project integration process.

Terminating contract for Convenience – if a project is terminated before it is complete, the level of extent of completion should be established and documented.


Terms and Conditions
– the project manager must uphold the Terms and Conditions of the contract, even if it meets the needs of the project, it has to also meet the requirement of the contract.

The principal sources of project failure are organizational factors, poorly identified customer needs, inadequate specified project requirements, and poor planning and control.


Time & Material (T&M)  
Good if the buyer wants to be in full control and/or the scope is unclear/not detailed or work has to start quickly. Profit factor into the hourly rate.

Tolerance determines if the result falls within acceptable range, but control limits are used to determine if the process is in control


Total Float
– amount of time that an activity may be delayed from early start without delaying the project finish date


Transfer     
Deflect or share (eg. Insurance, warranties)


Trend Analysis   
Uses mathematical techniques to forecast future outcomes based on historical results; used to measure technical, cost, and schedule performance
Trend Analysis involves examining project results over time to determine if performance is improving or deteriorating.


tree diagram
is very similar in appearance to a storyboard. It starts out like storyboarding (from the top) and continues through various levels. There is an important distinction between a storyboard and a tree diagram. A tree diagram is more action-oriented. A storyboard defines what is desired while a tree diagram determines what it takes to accomplish your objective. Tree diagrams explode through many levels


Uncertainty    
Planned action steps to be taken if an identified risk occurs. (e.g. developing alternative activity sequences)


Upper and Lower Control Limit on a Control Chart    
Acceptable range of variation of a process. [These limits are set based on the company’s quality standards. The control limits are determined from data obtained from the process itself.]


Utility Theory   
Technique that characterizes an individual’s willingness to take risk


Value Analysis  
Cost reduction tool that considers whether function is really necessary and whether it can be provided at a lower cost without degrading performance or quality. Finding the least expensive way to do the scope of work.


Value Engineering Tool    
for analyzing a design, determining its function, and assessing how to provide those functions cost effectively.


Value Estimating  
Part of Cost Control


Variable Costs  
Costs rise directly with the size and scope of the project


Variable Sampling
 characteristic you want to measure (size, shape, weight, etc…). An attribute is what you are measuring. The result is rated on a continuous scale that measures the degree of conformity.


Variance
- Plan minus Actual


Variance analysis
– key element to time control. Float variance is an essential planning component for evaluating project time performance.


Variance at Completion (VAR)   
BAC – EAC


walk through method
is a valuable technique for brand new projects. Use this method when there is no historical information or when your project manager or project team has little experience with your project subject matter."What is the first thing that needs to be done? And then the second? And the third?" Use a flowchart to document your thoughts as you walk through your project. Apply two V's (verbalizing and visualization) to help you define each project step.


Waiver
- a party can relinquish rights that it otherwise has under the contract. Forebearance can mature into waiver.


Warranty
- assurance of the level of quality to be provided


WBS
- subdividing project deliverables into smaller, more manageable components. It is a deliverable-oriented grouping of project elements that organizes and defines the total scope of the project. It is a communication tool and it describes what needs to be done and what skills are required.
Statement of Work leads to creation of a lower-level, detailed Work Breakdown Structure (WBS) which is without a doubt one of the key tools of project management. A WBS identifies all project tasks in an organized manner. It also helps you assign tasks to project team members and create the project schedule.


WBS Dictionary –
Defines each item in the WBS, including description of the work packages and other planning info such as schedule dates, cost budgets and staff assignments..


Work Authorization Systems
– can be used to coordinate/control what time and sequence work is done


Work flow diagrams (WFD)
are similar to integrated flowcharts. Instead of listing the names of departments in columnar fashion across the top of your sheet, create a map or floor diagram. You do not need to use special symbols such as boxes and diamonds. Draw lines between various areas on your map to indicate the movement of activity.

The purpose of the WFD is to pinpoint inefficiencies because of unnecessary movement. After you diagram and study a process, physically reorganize an area or reengineer your process to perform it more optimally.Use a WFD for company and building relocation projects. Construct a WFD to indicate relationships between departments. This helps determine locations for each department in your new facility


Work Package
- deliverable at the lowest level of WBS. They are control points in the WBS and are used for assignments to work centers.


Workaround    
Unplanned response to negative risk events (requires to be impacted by the risk first)


Working Capital    
Current Assets - Current Liabilities


Why-Why Diagrams
A tree diagram helps you ask questions such as, "What is needed now?" until the answer is, "Nothing else." A why-why diagram asks questions so that everyone knows why something takes place. It helps you find the root cause of a problem