Project Management Professional (PMP)® Cert Guide

Gregory M. Horine is a certified (PMP, CCP, CSM, SAFe POPM, SAFe RTE, Six Sigma Green Belt) business technology and IT professional with a track record of successful results using servant leadership principles and a focused customer orientation. Gregory has been consistently recognized for excellence in “people” management, leadership maturity, communication skills, problem-solving skills, and in establishing long-term client relationships. Primary areas of expertise and strength include project management and leadership; complete project life cycle experience across multiple industries; agile, waterfall, and hybrid application development; package implementation and integration; enterprise solution development; effective use of project management tools; Microsoft Project; application release management; application development team management; product and product line management; project and portfolio management tools; data analysis and transformation; business process analysis and improvement; vendor and procurement management; mind mapping tools; testing, quality, and risk management; regulatory and process compliance; security and privacy compliance; IT infrastructure upgrades and rollouts; IT Service Management (ITSM) processes; PMO setup and implementation; and remote team management.In addition, Gregory holds a master's degree in computer science from Ball State University and a bachelor's degree in both marketing and computer science from Anderson University (Anderson, Indiana).Through his servant leadership approach, Gregory has established a track record of empowering his teammates, improving project communications, overcoming technical and political obstacles, and successfully completing projects that meet the targeted objectives.Gregory is grateful for the guidance and the opportunities that he has received from many mentors throughout his career. Their patience and influence have helped form a rewarding career marked by continuous learning and improvement.Asad E. Haque, PMP®, PMI-ACP®, is a well-renowned project management trainer, consultant, and PMP® instructor with more than 30 years of industry experience. He is a PMI Authorized Training Partner (ATP) Instructor and developed the PMP Certification Complete Video Course and Practice Test for Pearson/O'Reilly. He is the host of Pearson's two-day PMP Certification Crash Course.Asad earned his PMP® certification in 2010 and soon afterward began teaching the PMP syllabus for some of the top project management training companies in the USA. He still teaches for them. He has helped thousands of students achieve high first-time pass rates on the PMP exam, and he consistently receives excellent ratings from students. In addition, Asad has taught for universities, the military, corporations, and PMI Authorized Training Providers (ATPs).After graduating from the University of Salford, UK, with a bachelor's degree in computer science and economics, Asad began a short-lived career in accounting and finance before switching gears to information technology. For 20+ years he managed and led functional IT projects, including human resource information systems (HRIS), business intelligence (BI), and enterprise resource planning (ERP). Asad has led both technical and business teams in implementing solutions for 401K defined contribution plans, health and welfare, and other employee benefits for several Fortune 500 clients. He has managed cross-functional teams globally and has always been recognized for his excellent communication skills among team members, clients, and vendors, and this is truly reflected in the quality of his instruction. Companies that Asad has worked for in the past include Hewitt Associates, IBM, HSBC, First Industrial Realty Trust, and the Northern Trust Bank.Asad is the cofounder and instructor of 1st Choice Project Management Training based in Chicago, Illinois, and he travels extensively both nationally and internationally to lead such training. Through 1st Choice, he has developed management training materials for clients and teaches several PDU classes on leadership, strategic and business management, and the PMI-ACP exam preparation. He has also partnered in developing a PMP exam simulator.You can connect with Asad via LinkedIn: https://www.linkedin.com/in/asadehaque/.

• Introduction xxvChapter 1 The PMP Exam: How to Prepare and Pass 3Who Is PMI? 4Changes to the PMBOK® Guide, Seventh Edition 5The System for Value Delivery 6The Twelve Project Management Principles 7Project Performance Domains 8Tailoring 9Models, Methods, and Artifacts 9The PMP Application Process 10What Is the PMP Exam Like? 11Types of Questions 13PMP Exam Content Outline 15Changes to the New Exam 18Scheduling at a Pearson Vue Testing Center 21Scheduling an Online Proctored Exam 22Study Tips and Exam-Taking Strategies 23Common Conceptual Gaps 24Common Experience Gaps 25Common Terminology Gaps 27What Is Important to PMI? 28Key PMI Assumptions 30PMP Exam Content Outline 31Chapter 2 Project Management 101 41“Do I Know This Already?” Quiz 41Foundation Topics 46Core Project Management Concepts 46What Is a Project Exactly? 46Comparing Projects and Products 48Functions Associated with Projects 49Managing Projects 51What Is the Value of Project Management? 52Why Are Projects Challenging? 53The Project Manager 55One Title, Many Roles 56Key Skills of Project Managers 57Qualities of Successful Project Managers 6015 Common Mistakes of Project Managers 61Project Manager vs. Scrum Master vs. Product Owner 62Project Management Fundamentals 63Project Life Cycle 71Project Environment 72System for Value Delivery 73Stakeholders 74Organizational Environment 75Functional Organizational Structure 76Matrix Organizational Structure (Weak, Balanced, Strong) 76Project-Oriented Organizational Structure 76Other Organizational Factors 78PMO 79External Factors 80Exam Preparation Tasks 81Chapter 3 Development Approach and Life Cycle Performance 87“Do I Know This Already?” Quiz 87Foundation Topics 91Development Approach and Project Life Cycle Fundamentals 91Project Life Cycle and Phases 91Product Life Cycle and Project Management Process Groups 93Delivery Cadence 94Development Approach Options 94Development Approach Spectrum 95Incremental and Iterative: What's the Difference? 96Adaptive Approach 97Development Approach Selection 101Deliverable Variables 101Project Variables 103Organizational Variables 104Relationship Between Project Deliverables, Delivery Cadence, Development Approach, and Project Life Cycle 105Important Notes for the PMP Exam 106Project Life Cycle: Development Approach Illustrations 107Community Center Project Example from PMBOK® Guide, Seventh Edition 108Hybrid Project Life Cycles 110Impact on Other Project Factors 110Exam Preparation Tasks 111Chapter 4 Starting a Project and Integration 117“Do I Know This Already?” Quiz 118Foundation Topics 121What Is Integration Management? 121Initiating a Project 123Develop Project Charter 124Key Artifacts of Developing the Project Charter 124Business Documents 124The Project Charter 127Project Overview Statement 128Assumption Log 128Planning a Project 128Subsidiary Management Plans 133Baselines 133Additional Components 134Executing the Project 136What Is Business Value? 137What Does Project Success Mean? 138Direct and Manage Project Work 140Manage Project Knowledge 141Monitoring and Controlling the Project 142Integrated Change Control 143Key Artifact of Integrated Change Control: Change Management Plan 144Key Artifact of Integrated Change Control: Configuration Management Plan 145Change Control in an Adaptive Environment 147Exam Preparation Tasks 147Chapter 5 Stakeholder Engagement 153“Do I Know This Already?” Quiz 153Foundation Topics 157Stakeholder Management 157Identify Stakeholders 159Common Tools and Techniques for Identifying Stakeholders 160Stakeholder Grid 161Salience Model 164Direction of Influence 165Common Artifact: The Stakeholder Register 166Plan Stakeholder Engagement 167Stakeholder Engagement Assessment Matrix 167Stakeholder Engagement Plan 169Manage Stakeholder Engagement 169Monitor Stakeholder Engagement 170Exam Preparation Tasks 171Chapter 6 Project Scope 177“Do I Know This Already?” Quiz 178Foundation Topics 182What Is Scope Management? 182Planning Scope Management 184Key Artifacts of Plan Scope Management 185Scope Management Plan 185Requirements Management Plan 185Key Tools and Techniques of Plan Scope Management 185Collecting Requirements 186Key Tools and Techniques of Collect Requirements 187Key Artifacts of Collect Requirements 189Requirements Documentation 189Requirements Traceability Matrix 190Scope Definition 190Key Tools and Techniques of Define Scope: Product Analysis 190Key Artifact of Define Scope: Scope Statement 191The Work Breakdown Structure (WBS) 191Key Tool and Technique for Creating WBS: Decomposition 193Key Artifact of Creating the WBS: The Scope Baseline 194Validate Scope 194Control Scope 195Agile Considerations for Scope Management 197Product Backlog 198User Story 199Agile Prioritization Techniques 201Agile Consensus-Gathering Techniques 203Agile Estimation Techniques 204T-shirt Sizing 205Story Pointing 205Planning Poker 206Exam Preparation Tasks 207Chapter 7 Project Schedule 213“Do I Know This Already?” Quiz 214Foundation Topics 217Plan Schedule Management 217Key Artifact: Schedule Management Plan 219Define Activities 219Sequence Activities 220Precedence Diagramming Method (PDM) 220Precedence Relationships 221Activity Dependencies 222Leads and Lags 223Estimate Durations 224Estimating Methods 226Three-Point Estimating 227The Advantages and Disadvantages of the Predictive Estimating Techniques 231The Predictive and Adaptive Estimating Methods 231Develop and Control the Schedule 232Key Artifacts in Developing the Schedule 232Key Tools for Developing the Schedule 233Resource Optimization Techniques 233Schedule Compression Techniques 235Monte Carlo 235Network Diagraming and the Critical Path Method (CPM) 236Zero Method 239One Method 242Comparing the Zero Method and the One Method 244Three Types of Floats 244Monitoring and Controlling the Schedule 245Schedule Management Considerations for Agile 246Agile Release Planning 247Spikes 247Agile Schedule Approach 248Exam Preparation Tasks 249Chapter 8 Project Cost 255“Do I Know This Already?” Quiz 255Foundation Topics 259Plan Cost Management 259Other Cost Considerations 260Key Artifact of Plan Cost Management: Cost Management Plan 262Agile Considerations 262Estimate Costs 263Key Tools for Estimating Cost 263Estimating Methods: Predictive 264Estimating Methods: Adaptive 264Reserve Analysis 264Determine Budget 265Key Tool: Cost Aggregation 265Key Tool: Funding Limit Reconciliation 267Control Costs 267Exam Preparation Tasks 268Chapter 9 Managing Resources and the Team 273“Do I Know This Already?” Quiz 275Foundation Topics 279Planning For and Acquiring Project Resources 279Key Processes 279Plan Resource Management 279Estimate Activity Resources 280Acquire Resources 281Key Artifacts and Tools 281Pre-Assignment Tools 281SWOT Analysis 282Training 283Resource Management Plan 284Team Charter 285Resource Requirements 285Resource Breakdown Structure (RBS) 286Responsibility Assignment Matrix (RAM) 286Resource Calendars 287High-Performing Teams 288Characteristics of High-Performing Teams 288Team Development Models 289Tuckman Ladder 289Drexler/Sibbet Team Performance Model 290Management Principles to Maximize Team Performance 291Techniques for Better Team Performance 295Project Leadership 299More Than Managing 299Where Leadership Is Needed on a Project 302Leadership Skills 304Establishing and Maintaining Vision 305Critical Thinking 306Motivation 306Emotional Intelligence 308Decision-Making 309Conflict Management 310Influencing 313Negotiation 313Recognizing the Value of Diversity, Equity, and Inclusion 314Keys to Better Project Leadership 315Servant Leadership Approach 318Special Project Situations 320Techniques for Challenging Project Team Situations 320Techniques for Leading Cross-Cultural Projects 322Techniques for Leading Virtual Projects 322Forms of Power 325Exam Preparation Tasks 327Chapter 10 Project Communications 333“Do I Know This Already?” Quiz 333Foundation Topics 337Plan Communications Management 337The Importance of Project Communications 338Key Tools and Techniques of Plan Communications Management 340Communication Model 340Communication Requirements Analysis 342Communication Methods 344Communication Technology 344Key Artifact: Communication Management Plan 345Manage Communications 349Communication Skills 349Active Listening 349Barriers and Enhancers of Communication 349Other Types of Communication 350Number of Communication Channels 350Creating Project Artifacts 352Guidelines for Facilitating Meetings 352Monitor Communications 353Agile Approach to Communication 354Exam Preparation Tasks 356Chapter 11 Project Quality 361“Do I Know This Already?” Quiz 361Foundation Topics 365Introduction to Quality 365Definition of Quality 365Five Levels of Increasing Effective Quality Management 366Grade versus Quality 367Building Quality into Processes and Deliverables 367Continuous Improvement 369Quality Control versus Quality Assurance 370Agile Approach to Quality Management 371Plan Quality Management 371Compliance 372Key Artifact: Quality Management Plan 373Key Artifact: Quality Metrics 373Key Tool and Technique: Cost of Quality 373Manage Quality 375Key Tools and Techniques of Manage Quality 375Key Artifact of Manage Quality: Quality Report 375Control Quality 376Key Tool and Techniques of Control Quality 376Inspection 376Pareto Chart 376Root Cause Analysis 378Scatter Diagram 379Control Charts 379Statistical Sampling 382Value Stream Map 382Checklist and Check Sheet 383Other Quality Terms 383Validate versus Verify 383Kaizen 384Precision versus Accuracy 384Quality Theories 385Exam Preparation Tasks 386Chapter 12 Project Procurement 391“Do I Know This Already?” Quiz 391Foundation Topics 395Plan Procurement Management 396Centralized vs. Decentralized Contracting 396Components of a Contract 396Types of Contracts 397Contracts in a Predictive Environment 397Contracts in an Adaptive Environment 400Key Tools and Techniques of Plan Procurement Management 401Make or Buy Analysis 401Source Selection Analysis 402Key Artifacts of Plan Procurement Management 404Procurement Management Plan 404Procurement Strategy 404Bid Documents 404Procurement Statement of Work 405Conduct Procurement 406Key Tools and Techniques of Conduct Procurement 407Advertising 407Bidder's Conferences 407Proposal Evaluation 408Other Important Procurement Terms 408Control Procurement 409Key Tools and Techniques of Control Procurement 410Performance Reviews and Inspections 410Audit 410Contract Change Control System 410Claims Administration 411Closing Procurements 412Exam Preparation Tasks 413Chapter 13 Uncertainty 419“Do I Know This Already?” Quiz 421Foundation Topics 424Uncertainty and Risk Management Overview 424Risk Definition and Sources of Risk 425Risks Versus Issues 426Threats and Opportunities 427Risk Classifications and Types 428Risk Appetite, Risk Threshold, and Risk Tolerance 429Risk Management Planning 431Key Risk Management Artifacts 433Risk Register 433Risk Report 434Risk Identification and Analysis 435Identifying Risks 435Qualitative Risk Analysis 437Quantitative Risk Analysis 440Expected Monetary Value 441Simulation 441Sensitivity Diagrams 442Influence Diagrams 443Decision Tree 444Risk Response Planning 445Strategies for Addressing Threats 445Strategies for Addressing Opportunities 446Strategies for Addressing General Uncertainty 448Strategies for Addressing Ambiguity 449Strategies for Addressing Complexity 449Stacey Complexity Model 449Systems-Based Complexity 450Reframing Complexity 451Process-Based Complexity 451Strategies for Addressing Volatility 452Other Risk Response Planning Notes and Terms 453Risk Response Implementation and Risk Monitoring 454Implementing Risk Responses 454Monitoring Risks 454Exam Preparation Tasks 455Chapter 14 Project Measurement 461“Do I Know This Already?” Quiz 462Foundation Topics 465Project Measurement 465Performance Measurement and Monitoring and Controlling 465Effective Measurements and Metrics 465Monitoring and Controlling a Project 468Performance Tracking Tools and Artifacts 469Kanban Board 470Burndown Chart 472Burnup Chart 472Cumulative Flow Diagram 473Information Radiator 474Stakeholder Satisfaction Measurements 474Business Value Measurements 475Other Performance Tracking Tools and Artifacts 476Earned Value Management (EVM) 477Sample Exercise for EVM 482Exam Preparation Tasks 483Chapter 15 Closing a Project 489“Do I Know This Already?” Quiz 489Foundation Topics 492Reasons for Project Closure 492Closing Activities 494Key Artifacts of Closing 495Transition Readiness 496Benefits Realization 498Exam Preparation Tasks 500Chapter 16 More Things to Know 505“Do I Know This Already?” Quiz 506Foundation Topics 509Tailoring 509What to Tailor? 509Life Cycle and Development Approach 509Leadership Styles 510Process Tailoring 511Engagement 511Tools, Methods, and Artifacts 511Way of Working (WoW) 512Performance Domains 512The Tailoring Process 513Step 1: Select the Initial Development Approach 513Step 2: Tailor for the Organization 513Step 3: Tailor for the Project 513Step 4: Make Continuous Improvements 514Organizational Change Management 514Plan for Change 515Change Models 516Managing Change in Organizations: A Practice Guide 517ADKAR® Model 517Additional Change Models 517Kotter's 8-Step Model 518Virginia Satir Model 518Transition Model 519Summary of the Roles on a Project 519Exam Preparation Tasks 520Chapter 17 Final Preparation 525Exam Technique 5251. Read the Last Sentence First 5262. Learn to Pick Out Key Words and Phrases 5263. Pick the Best Option 5264. Eliminate Bad Options 5275. Recognize When Only One Option Addresses the Question 5276. Understand Predictive Versus Agile 5277. Understand Real-World Terminology Versus PMI Terminology 5288. Use the Correct Terminology in the Right Context 5289. Understand the Purpose of All Documents 52810. Follow All PMI Processes 52911. Be Aware of Other Considerations 529Study Plan and Tips 529Appendix A Answers to the “Do I Know This Already?” Quizzes and Review Questions 533Appendix B Project Management Professional (PMP) Cert Guide Exam Updates 579Glossary of Key Terms 597Online ElementsAppendix C Memory TablesAppendix D Memory Tables Answer KeyAppendix E Study PlannerGlossary of Key Terms 9780137918935 TOC 3/1/2023