PRINCE2 Project Management

Moniruzzaman Bhuiyan
BSc (Hons), MSc(DU & UK), MBCS, MCP, PRINCE2

Software Practitioner and Researcher, Institute of Information Technology University of Dhaka mb@du.ac.bd | monirb@live.com www.tinyurl.com/monirb

PRINCE2 - PRojects IN Controlled Environments

PRINCE2 is a project management methodology created in the early 1990s which was adopted by the UK Government for all IT projects. PRINCE2 is widely used in public and private sectors and has become the de facto standard for project management.

PRINCE2 - Projects IN Controlled Environments

PRINCE2 covers organization, management and control of projects. It provides a tailored and scalable method for the management of all types of projects. Each process is defined with its own key inputs and outputs, together with the specific objectives and activities to be performed.

PRINCE2 - Projects IN Controlled Environments

PRINCE2 describes the projects manageable stages, which allows efficient control of resources and regular progress-monitoring throughout the project.

Project planning using PRINCE2 is productbased. This means project plans are aimed at delivering results (not just about planning when the various activities on the project will take place).

PRINCE2 - PRojects IN Controlled Environments

Integral to PRINCE2 method is the business case. The business case describes the organizations justification, commitment and rationale for the project's itself. The business case has to be reviewed on a regular basis to ensure the business objectives are still being met (especially important when these objectives can change over time).

PRINCE2 - PRojects IN Controlled Environments

The method (like the ITIL Framework for IT process management of infrastructure environments) provides a common language across all parties (including external third parties). PRINCE2 can be used for a wide variety of projects.

What is Project (Management)?

Competition is rapidly becoming time-based as well as cost-based. A project is done only once, whereas most jobs are on going or repetitive, & managing one-time jobs is different from managing on going ones. A project as a problem scheduled for solution Unique series of actions designed to accomplish a unique goal within specific time and cost limitations
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Project .
Project management: The planning, scheduling, and controlling of project activities to meet project objectives. Human factors include:
Leadership Negotiation Team building Motivation Communication Decision making
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Project fails

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Project fails

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Steps & variables

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Why PRINCE2
PRINCE2 is a method that deals with the planning, delegation, monitoring and control of all six project variables which are, as we already know: Timescales, Costs, Quality, Scope, Benefits and Risks. The PMBok refers to these 6 variables as the 6 competing Project Constraints. There are many advantages to using a Project Management method; this also applies to PRINCE2. I will list a few of them here.
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Benefits
Benefit 1: Best Practice: Benefit 2: PRINCE2 can be applied to any kind of project. Benefit 3: PRINCE2 provides a structure for roles and accountability Benefit 4: PRINCE2 is product-focused Benefit 5: PRINCE2 uses Management by Exception. Benefit 6: PRINCE2 continuous assessment Benefit 7: PRINCE2 has a well-defined structure Benefit 8: PRINCE2 promotes learning and a continual improvement mindset
More ..
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PRINCE2 overview

Tools
Ms Word One Note Project In A Box

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Principles
Principles provide a framework of good project practice for those involved in a project PRINCE2 is principles based

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7 Principles
There are seven principles and they can be summarized as:
Continued business justification Learn from experience Define roles and responsibilities Manage by stages Manage by exception Focus on products Tailor to suit the project environment

To sum it up, think of principles as guides for good practice

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First 3 principles
Continued business justification Learn from experience Define roles and responsibilities

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Last 4 Principles
Manage by stages Manage by exception Focus on products Tailor to suit the project environment

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Review & QA
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PRINCE2 Themes
Themes are the parts of the project that need to be continually addressed throughout the project lifecycle. This next section will look at the seven defined themes in PRINCE2.

PRINCE2 Themes
Seven themes are
Business case Organization Quality Plans Risk Change Progress

PRINCE2 Themes
Applying

Format

Business Case
Introduction to Business Case Knowledge What happens in the real world? The Business Case knowledge provided by PRINCE2 What does a Business Case do for the project? How to best describe what you get from a project?
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Business Case
Different types of Business Case The path to creating the Business Case
Step 1: Develop the Business Case Step2: Verify the Business Case Step 3: Maintain the Business Case Step 4: Confirm the Benefits The Benefits Review Plan

Example of a Poor Business Case

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Business Case
The Contents of a Business Case
Executive Summary Reasons Business Options Expected Benefits and expected dis-benefits Timescale/Costs Investment Appraisal Major Risks

Example of Business Case for a CRM Project Appraisal

Business Case: Who is responsible for what? Corporate or Program Management , Senior User , Executive , Senior Supplier, Project Manager, Team Manager , Project Support
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PRINCE2 Organization

Introduction to Organization Knowledge What happens in the real world? Organization Definitions
Project & Programs

PRINCE2 - Organization cont

Three Project Interests / 3 Stakeholder Categories

PRINCE2 - Organization cont

The four levels of Organization

Project Board Project Assurance: User, Business & Supplier

PRINCE2 Organization cont

The Change Authority Role The Project Manager Role Team Manager & Project Support Project Support and centre of excellence Project Manager and the Project Organization Stakeholder Engagement

PRINCE2 - Organization cont

The Communication Management Strategy

Responsibilities for Organization Theme

Corporate or Program Management, Senior User, Executive, Senior Supplier, Project Manager, Team Manager, Project Support

PRINCE2 - Quality

Introduction to Quality Knowledge What happens in the real world? The Quality Knowledge provided by PRINCE2

PRINCE2 Quality
Quality Lingo Quality is the concept that we use to discuss the suitability of a Product, for the purpose that it was designed or developed for. In a project environment we use quality to assess the suitability of products but in regards to the context of the whole project, not just the part of the project that the product was created under.

PRINCE2 Quality cont

Introduction to the PRINCE2 Approach to Quality:
Quality Planning & Quality Control

Part 1: Quality Planning Introduction

Quality Planning: Integrated into the Starting Up of a Project (SU) process; the way that the quality system will be used will be in the Project Initiation Document and therefore it will form part of each Stage Plan Quality Plan Steps Quality Audit Trail The Customers Quality Expectations Acceptance Criteria The Project Product Description Project Product Description Example The Quality Management Strategy Document Product Descriptions Quality Register

PRINCE2 Quality cont

Part 2: Quality Control Introduction & Quality Methods Checking the quality of products produced matches the quality expectations and was reached by utilizing the Quality system.
Quality records, approval records and acceptance records

The PRINCE2 Quality Review Technique

PRINCE2 Quality cont

Responsibilities
Corporate or Program Management Senior User Executive Senior Supplier Project Manager Team Manager Project Support

Quality Summary

PRINCE2 Plans

Introduction to Plans Knowledge What happens in the real world? The Plans Knowledge provided by PRINCE2

PRINCE2 Plans cont

Plans Lingo A project plan answers these questions: Why, What, Who, When & How much Three levels of a Plan

PRINCE2 Plans cont

The Path to Planning The Project Plan, Stage Plan and Team Plan The Exception Plan Introduction

PRINCE2 Plans cont

The PRINCE2 Planning Steps Step 1: Design the Plan Step 2: Product-Based Planning Introduction
Project Product Description: Describing the main product. Product breakdown structure: Listing all products than need to be created. Product-Based Planning - Example Product Description for each product. Product Flow Diagram: Showing product flow and interdependencies.

Step 3: Identify Activities and Dependencies

PRINCE2 Plans cont

Step 4: Prepare Estimates Step 5: Prepare the schedule Document the Plan Examples of Risks in Planning The Product Checklist Responsibilities
Corporate or Program Management , Senior User , Executive , Senior Supplier, Project Manager, Team Manager , Project Support

Summary

PRINCE2 Risk
PRINCE2 defines risk as: The chance of exposure to the adverse consequences of future events. The key role of the Project Manager is the overall management of risk. Purpose of the knowledge in the Risk Theme

PRINCE2 Risk Cont.

Introduction to Risk Knowledge What happens in the real world? Risk Lingo Another definition is: Risk is an uncertain event that if it occurs, will have a positive or negative effect on a project objective What is Risk Management

PRINCE2 Risk Cont.

The Management of Risk Method & Risk Context The Risk Register - Risk History

PRINCE2 Risk cont

The Risk Management Procedure Introduction Step 1: Identify How to Express the Risk Step 2: Assess Risk Step 2: Assess Risk: Estimating

PRINCE2 Risk cont

Step 2: Assess Risk Evaluate Step 3: Plan is about Planning the Responses Plan the Responses to Threats Plan the Responses to opportunities Step 4: Implement the Responses Step 5: Communicate

PRINCE2 Risk cont

What is a Risk Budget? Risk Roles and Responsibilities

Corporate or Program Management , Senior User , Executive , Senior Supplier, Project Manager, Team Manager , Project Support

Risk Summary

PRINCE2 Change
Everything changes! Yes, even our well controlled and expertly planned Project products and their requirements! PRINCE2s focus on Change Control centres on any changes to products (i.e. the primary deliverable component of a stage).

PRINCE2 Change
Introduction to Change Knowledge What happens in the real world? Purpose of knowledge in the Change Theme

PRINCE2 Change
Change Lingo Configuration Management: Configuration Management is the technical and administrative activity concerned with the creation, maintenance and controlled change of the configuration of a product. The PRINCE2 Approach to Change

PRINCE2 Change cont

Configuration Management Strategy How to prioritize issues & track severity Change Authority and Change Budget Management Products used by the Change Theme The Configuration Management Procedure

PRINCE2 Change cont

Issue and Change Control Procedure

PRINCE2 Change cont

Capture: Issue and Change Control Procedure Examine: Issue and Change Control Procedure Propose

PRINCE2 Change cont

Decide Implement Roles and Responsibilities
Corporate or Program Management , Senior User , Executive , Senior Supplier, Project Manager, Team Manager , Project Support

Summary

PRINCE2 Progress
Stages are a collection of activities and products whose delivery is managed as a single unit. Each project is broken into stages. The final number and size of each stage is dependent on the project.

PRINCE2 Progress
Introducing progress What happens in the real world? Purposes

Purpose of the information in the Progress Theme

PRINCE2 Progress
Progress, Progress Controls, Exceptions and Tolerances When are the Six Tolerances set?

PRINCE2 Progress cont

What is the PRINCE2 Approach to Progress?

What are the 3 Project Board Controls?

PRINCE2 Progress cont

Use of Management Stages for Control What are Technical Stages? Event-Driven and Time-Driven Controls How does the Project Manager review progress?

PRINCE2 Progress cont

Capturing and reporting lessons Reports used to Report Progress What is Raising Exceptions? Progress Responsibilities
Corporate or Program Management , Senior User , Executive , Senior Supplier, Project Manager, Team Manager , Project Support

Summary
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Review & QA
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PRINCE2 - Process
Introduction to Processes The PRINCE2 Processes: The 7 PRINCE2 process are:
Starting Up a Project Initiating a Project Directing a Project Controlling a Stage Managing Product Delivery Managing a Stage Boundary Closing a Project
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PRINCE2 Processes!
Pre-Project Initiation Stage Next Stage or Stages after the Initiation Stage

 The PRINCE2 Process Model Introduction

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PRINCE2 Processes!
This next sections will look at the seven defined processes that comprise the PRINCE2 Framework. Some processes are labeled as start up, others as ongoing. The Directing a Project process is ongoing, but it is also more strategic in nature. It is considered to be the first process, but is a continuum of activities that is required throughout the life of the project.

PRINCE2 Processes!
Each process structure
Purpose Objectives Context Activities

PRINCE2 Processes!
Activity and responsibility in each process products(output)

PRINCE2 Processes!
Key to process diagram

PRINCE2 Processes Starting Up!

Logically the first process defined by PRINCE2 is SU = Starting up a Project. This process can be considered as pre-project Introduction

PRINCE2 Processes Starting Up!

Introduction

PRINCE2 Processes Starting Up!

Purpose & Objective of the Starting Up a Project Process Activities Introduction activities are :
Appoint the Executive and the Project Manager

Capture Previous Lessons

PRINCE2 Processes Starting Up!

Design and appoint the Project Management Team

Outline Business Case

PRINCE2 Processes Starting Up!

Select Project Approach and Assemble Project Brief

Plan the Initiation Stage Summary of Activities

PRINCE2 Processes Starting Up!

Plan the Initiation Stage

Summary of Activities

PRINCE2 Processes Directing A Project

This process (DP) is more of a continuum of activities that are required throughout the life of the project. It begins after the project Start Up (SU), and runs through until the completion of the Project (refer CP Closing a Project). The Board is not involved with the day-to-day management of the project.

PRINCE2 Processes Directing A Project

The actual project authorization comes from the Project Board. The decision is made in regard to the strength of the business case, balanced against the time, cost and other relevant organization strategies.

PRINCE2 Processes Directing A Project

PRINCE2 Processes Directing A Project

There are 5 activities within the Directing a Project Process; they are: Authorizing Initiation Authorizing the project Authorizing a Stage or Exception Plan Giving ad hoc direction Authorizing project closure The board will base its decision to authorize the project initiation, based on the Initiation Stage Plan, from the SU process.

PRINCE2 Processes Directing A Project

Activity-1

Others

PRINCE2 Processes Initiating A Project

To date, the real work of the project has not begun. The activities prior to this point have been focused on making sure that the project was not just a reaction to a temporary issue.

PRINCE2 Processes Initiating A Project

Eight activities which are: Preparing the Risk Management Strategy, Preparing the Configuration Management Strategy, Preparing the Quality Management Strategy, Communication Management Strategy Setup of Project Controls. Creating the Project Plan. Refining the Business Case. Lastly, assembling the Project Initiation Documentation.

PRINCE2 Processes Initiating A Project

PRINCE2 Processes Initiating A Project - Activities

PRINCE2 Processes Initiating A Project

PRINCE2 Processes Controlling a Stage

Now that we have defined the products that are to be delivered, we need to ensure that we can actually deliver these products. Saying we can is one thing actually doing it requires control disciplines. It requires discipline to ensure that resources dont get side tracked/distracted and it requires controls to ensure that the plan, along with its requisite budgets and time constraints are adhered to.

PRINCE2 Processes Controlling a Stage

8 activities, which are divided in
Three Work Package activities, 2 Monitoring and Reporting activities, and Three Issues activities.

PRINCE2 Processes Controlling a Stage

PRINCE2 Processes Controlling a Stage

Sample activity

Other activities

PRINCE2 Processes Controlling a Stage

Sample roles of an activity

Others

PRINCE2 Processes Managing Product Delivery

Someone has to do the work! We refer to the someone as third party Suppliers.

We should also not get trapped in thinking that third party suppliers are only those external to the actual business. The Project generally calls upon internal staff to perform specific activities for the project these staff then also become third party suppliers.

PRINCE2 Processes Managing Product Delivery

3 activities which are:
Accepting a Work Package Executing a Work Package Delivering a Work Package

PRINCE2 Processes Managing Product Delivery

PRINCE2 Processes Managing Product Delivery

Sample activity & responsibility

PRINCE2 Processes Managing Stage Boundaries

The Managing Stage Boundaries (SB) process is all about building in the line breaks, so that we can check the project is still on track and heading in the right direction to deliver the benefits. If it is not, then we can change direction or stop the project without inflicting any more damage on the organization (principally cost).

PRINCE2 Processes Managing Stage Boundaries

5 activities within the Managing a Stage Boundary and they are: Planning the next stage Update the Project Plan, with information from current & next stage. Update the Business Case, since cost, time and risk will most likely have changed. Reporting Stage End and Creating the End Stage Report. Producing an Exception Plan.

PRINCE2 Processes Managing Stage Boundaries

PRINCE2 Processes Managing Stage Boundaries

Sample activity and Responsibility

PRINCE2 Processes Closing a Project

By definition a project has to end.
A clear end to a project will prevent spiralling costs and a perpetual merry-goround effect. There can still be some incomplete activities at the end of a project provided they are noted.

PRINCE2 Processes Closing a Project

Five activities in the Closing a Project Process that are performed by the Project Manager, and they are: Preparing planned closure or Prepare premature closure Handover of products Evaluating the project Recommending project closure

PRINCE2 Processes Closing a Project

PRINCE2 Processes Closing a Project

Sample Activity and Responsibility

End of Process

Review QA
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Tailoring PRINCE2

What is Tailoring? General Approach to Tailoring What to change when tailoring Working in a Program Environment Tailoring the Themes of Quality, Plans, Risk, Change & Progress
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Tailoring PRINCE2

Tailoring Processes & Management Products Project Scale Simple Projects Tailoring: Commercial Customer/Supplier Environment Tailoring: Project Type

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Libraries
Roles Checklist Baselines Records Reports

Summary
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