Planning is key to success! By answering critical questions such as objectives, approaches, responsibilities, deadlines, costs, and performance expectations, we can achieve great things. With appropriate planning, we can define scopes, allocate resources efficiently, explore alternatives, establish control strategies, clarify responsibilities, and identify and assess risks. The Project Management Plan is the foundation for executing, monitoring, controlling, and closing a project. With inputs from previous processes, environmental factors, and organizational assets, expert judgment and facilitation techniques can be used to create a comprehensive plan. The Project Management Plan includes essential components such as project title and reference number, background, scope definition, project strategy, indicative budget and schedule, reporting system, key risks, control processes, project close-out strategy, and subsidiary plans. Completing the Project Management Plan provides a baseline for tracking and measuring project performance, seeking approval, and evaluating project performance at the end of the project. Let's plan for success together!
When it comes to project planning, the project manager must continually plan, review, and report on the project's status to ensure effective outcomes for all stakeholders. This means that the project must be developed in an orderly manner, with input from key stakeholders during the concept and development phases. Projects that are well-planned during these phases are better able to be controlled during the implementation and finalization phases.
Unfortunately, many managers fail to properly plan their projects, which is the main reason why projects often don't reach their desired conclusion. Some of the most common reasons for failing to plan include the perception that it takes too much time, there seems to be no action, commitment is required, it is difficult to plan for the future, it imposes discipline, plans are always wrong, it is hard to maintain plans, "never needed to before," and fear of being held responsible.
However, there are sound reasons for planning, such as target verification, establishing commitments, assessing resources, providing a basis for "what if" questions, ensuring that there is thinking before action, establishing control mechanisms, clarifying risks, and clarifying responsibilities and authority.
Inadequate planning can lead to problems for the project manager, such as difficulty establishing a schedule to a predetermined end date, assessing contingency issues, competing with other priorities, establishing accurate estimates, identifying project champions, adequately resourcing the project, and absence of project support networks. As the project moves further into the implementation phase, control and management problems can emerge.
A project that has developed without adequate planning often results in continuous "fire fighting," which is not an effective way to judge the project manager's effectiveness.
When planning a project, it's important to consider the following questions:
- What needs to be accomplished? This question relates to the project's objectives and the scale of the work involved.
- How should the work be carried out? Answering this question helps determine the project strategy.
- Who will be responsible for completing the work? Assigning roles and responsibilities is essential to project success.
- When is the work due? Scheduling is vital to ensuring the project is completed on time.
- What will the project cost? Budgeting is necessary to determine the project's financial requirements.
- What level of quality is necessary? Defining quality levels is important to ensuring the project meets the desired standards.
- What performance is expected? Performance specifications help ensure the project meets the necessary requirements.
THE PROJECT PLAN
To ensure that all control elements are present, a Project Plan should include several essential elements. These include the Project Title and other identifiers, an Introduction that outlines the purpose, scope, and structure of the Project Plan, and the reasons for undertaking the project. The Background section should also provide information on the nature of the problem or requirement, the project's place in meeting corporate or strategic goals and objectives, the results of any studies to date, preferred solutions, and the project sponsor, customer, and manager.
The Objective(s) section should contain a clear and concise statement of what is to be achieved, which should be consistent with the organization's strategic objectives. The Scope section should define the project boundaries and what is to be delivered within those boundaries. This should include a summary of project deliverables that can be included as an annexure, as well as any tasks and outputs that are specifically excluded from the project scope.
The Constraints, Assumptions, and Related Projects section should detail any known factors that will impact the ability to achieve the project objective, any assumptions adopted in formulating the project scope, objectives, broad strategy, or cost, and a list of projects with which this project shares common milestones or related outputs. The Broad Strategy should outline the logical sequence of phases from concept through to finalization that will enable project objectives to be achieved.
Other segments of the project plan may emerge in draft or preliminary form and be developed as the project moves through its various phases. These segments may include a Key Activities Schedule (KAS) in tabular form, a Master Budget that details each activity with an estimated budget, a Reporting section that summarizes proposed meetings, reporting schedules, and key reporting requirements, a Responsibility Assignment section that outlines the roles and responsibilities of key positions and sections within the project environment, a Risk section that indicates the overall riskiness of the project, and a Quality section that summarizes Quality Management procedures, control mechanisms, and assurance standards to be accommodated. Finally, a Contractual Issues section should provide a summary of contract formation and management issues, including any contracting or source selection strategy and the organizational procedures that will govern the conduct of the arrangements.
The Project Plan should be prepared in two parts, as follows:
Project Plan Part A is an essential document that outlines the key components of a project plan. It serves to provide stakeholders and the project team with a clear understanding of the project's context, objectives, authorization, and client/sponsor. In this regard, the following components are crucial to ensure that the project plan is comprehensive and effective:
1) Project Background: The Project Background section provides a detailed description of the project's intended purpose, including the main users and the anticipated benefits. It also summarizes the project objectives, highlighting the relative priorities among requirements, timetable, and budget. Furthermore, it identifies the project sponsor/client and their responsibilities, ensuring that all stakeholders understand the project's context.
2) Purpose: This section explains why the project is being undertaken and describes the desired impact or changes that the project's outputs will produce. It is recommended that projects have only one purpose to ensure a clear focus on project outputs. The purpose should be a measurable and realistic statement of what the project aims to achieve, highlighting its relevance to the organization.
3) Outputs: The Outputs section describes what the project aims to accomplish, which are the deliverables. These are results for which the project can be held directly accountable and given resources. These are also called Primary Objectives and should be measurable and realistic statements of what the project aims to achieve. The outputs should align with the project's purpose and objectives, ensuring that they contribute to the overall success of the project.
4) Business Benefits: This section describes the benefits to the business that will be derived from the project, with useful information from preceding documentation. It highlights the value that the project will bring to the organization, ensuring that stakeholders understand the project's potential impact.
5) Project Proposal Summary: The Project Proposal Summary is a summary of the information contained in the Project Brief that justifies the project. It provides a concise overview of the project's purpose, objectives, and key deliverables, ensuring that stakeholders understand the project's rationale.
6) Project Scope: The Project Scope section includes high-level statements of the processes and products required to achieve the objective. It provides a clear understanding of what the project will deliver, ensuring that stakeholders have a shared understanding of the project's scope.
7) Exclusions: The Exclusions section identifies tasks and outputs specifically excluded from the project scope, confirming project boundaries. It ensures that stakeholders have a clear understanding of what is not included in the project, avoiding scope creep.
8) Constraints: The Constraints section identifies factors and events that are known and will impact the ability to achieve the project objective(s). It highlights potential challenges that the project may face, ensuring that stakeholders are aware of potential risks.
9) Assumptions: The Assumptions section identifies any assumptions adopted in formulating the project scope objectives, constraints or broad strategy, which may lead to project risks. It ensures that stakeholders understand the underlying assumptions of the project, ensuring that they are aware of potential risks.
10) Related Projects: The Related Projects section identifies any related projects or proposals, including past, current, or planned projects that share common milestones or related outputs. It ensures that stakeholders understand the relationship between the project and other initiatives, avoiding duplication of effort.
11) Broad Strategy: The Broad Strategy section outlines the logical sequence of Phases from Concept through to Finalization that will enable project objectives to be achieved. It provides a brief description of what is to be done, the main deliverables, and key timings. It ensures that stakeholders understand the overall approach of the project, providing a roadmap for project delivery.
12) Budget Estimate: The Budget Estimate section indicates the amount of funding that has been granted or requested and provides estimates against the Broad Strategy. More detail is provided in the Cost Management Plan. The master budget may also be shown against major deliverables or over a defined time period. It ensures that stakeholders understand the budget requirements of the project, ensuring that funding is available to deliver the project.
13) Risk Assessment Summary: The Risk Assessment Summary section provides a summary of the risks to the project and how they will be treated. It ensures that potential risks are identified and mitigated, ensuring that the project is delivered successfully.
14) Key Stakeholders: The Key Stakeholders section identifies stakeholders who will have an impact or influence on the project and those who may be impacted by the project. It ensures that stakeholders are identified and engaged, ensuring that their interests are considered in project delivery.
15) Roles and Responsibilities: The Roles and Responsibilities section includes appropriate organizational charts and a staffing plan for all staff, consultants, and contractors proposed to be involved in the project. It also includes lines of authority, responsibility, accountability, and communication. It ensures that project roles and responsibilities are clearly defined, ensuring that the project team understands their roles and responsibilities.
The second part of the Project Plan provides detailed information for managing the actual project. The following sections are included:
a) Scope Definition and Management: This section further defines the project's scope using the Work Breakdown Structure (WBS), which should indicate phase/activity/task and sub/task. The number of levels is determined by the level of management control required. Strategies for managing scope changes should also be included.
b) Time Management: This section contains the project schedule in terms of duration, start and finish dates, and percentage complete. The WBS is the starting point.
c) Cost Management and Budget: This section describes how variances to the cost baseline will be monitored and managed. Details of each activity with estimated budget should be provided in tabular form. The resource allocations will determine the cost for each activity. A cashflow should also be developed. For budget management, actual expenditure must be included.
d) Quality Management: This section describes how the project team will build quality into the project deliverables and processes. A summary of quality management procedures, control mechanisms, and assurance standards should be included. Organizational procedures, Australian and International standards, and specifications should be referred to as appropriate. Separate annexes should define quality roles and responsibilities of the project team.
e) Human Resource Management and Responsibilities: This section should include a statement showing the Project Manager, Sponsor, and Client. A summary of roles and responsibilities of key positions and sections within the organization should also be provided. Key stakeholders, position, and contact information should be shown in tabular form. A detailed Responsibility Assignment Matrix should be attached as an annex to the Project Plan. The Project Organizational Structure, Stakeholder Management Plan, and Skills Matrix should also be included.
f) Communication Management and Reporting: This section includes information requirements of the project, who requires information, what information, when, and how best to deliver this information. A summary of proposed meeting and reporting schedules, key reporting requirements, and formats for meeting agendas, meetings, reports, file structures, facsimile, telephone registers, correspondence registers, archiving or materials may be included. Protocols for the use of email, telephone, fax, and informal communication may also be included. A Communications Management Plan should be attached as an annex for information concerning the timely and appropriate generation, collection, dissemination, storage, and dispersal of project information.
g) Risk Management: This section describes the procedures for monitoring and managing risk throughout the project, including necessary contingency strategies. Some high-risk projects may require a Risk Management Plan as an annex, which should include the process for the identification and assessment of project risks and a clear plan for managing the risks throughout the life of the project.
h) Procurement Management: This section describes how procurement requirements are determined through to contract closure and how it will be managed. A summary of contract formation issues, including contracting strategy, source selection strategies, standard procedures for contract management, roles, and responsibilities should be included.
i) Implementation or Other Project-Specific Issues: This section might include reference to particular requirements for safety, industrial relations, training, documentation, configuration management used by the organization.
j) Conflict/Issue Management: This section provides a statement of how any conflict will be resolved in the project.
k) Finalization Strategy: This section provides a plan for finalizing the project.
Approval of Project Plan
Once the project plan is complete, it must be approved by internal stakeholders who have a vested interest in the project. These stakeholders may include functional managers, project managers, and the client, both external and internal. For instance, the marketing department and manufacturing group may be considered customers of a product design group.
Each stakeholder must sign the plan to signify that, as far as their area of concern goes, the plan appears to be feasible and adequately addresses their concerns. For example, a functional manager may sign to confirm that they are confident that the necessary support people will be available when required, and that they can handle the technical requirements of the job.
Once the plan is approved, the project manager has the authority to execute and control the project to completion. However, significant changes or revisions to the plan made after initial approval must be communicated to and approved by stakeholders.
The plan should be signed off in a meeting, not by circulating copies through company mail, which can lead to stakeholders failing to read it carefully. During the sign-off meeting, the project manager should highlight potential problem areas and encourage all members to ask questions. The meeting should be held in advance of the project start date if possible, to allow for necessary changes.
The purpose of getting the plan approved is to ensure it is realistic and feasible, not to use it as a tool to blame people if issues arise. The plan is a live document throughout the life of the project, and any changes must be documented and signed off by stakeholders.