Work Breakdown Structure (WBS)

April 2014

Presented by: Eduardo Ferreira

1

Topics That Will Be Covered in This Presentation

Need or Justification for WBS What is WBS How to Create a WBS (rules of design) Why is it important

Primary Reasons for IT Project Failures

Project Management

IT Project Failures

54%

Technical Challenges (3%)

Joseph Gulla 28 year IBM executive. http://www.ibmsystemsmag.com/power/SystemsManagement/Workload-Management/project_pitfalls/

3

Primary Reasons for IT Project Failures

Complexity of Projects vs. Processes

Project Management Institute, Inc. (PMI) holds that all organizations perform two kinds of work: operational work and projects. Due to the repetitive nature of operational work, it is easier to systematize processes. Projects have finite start and end dates, are unique in nature, and involve mixed team players, they are more difficult to systematize and to develop sound methodologies and processes for.

Project Management Reasons for IT Project Failures Poor Project Planning and Direction Insufficient Communication Ineffective Management Failure to Align With Constituents and Stakeholders Lack of Soft Skills or the Ability to Adapt Ineffective Involvement of Executive Management Poor or Missing Methodology and Tools

WBS X X X X

PMBOK

PM

X X X
4

The Five Process Groups of Project Management

PMBOK has a total of 35 Processes divided into five process groups

Executing 8 Planning 13 Monitoring & Controlling 10

Initiating 2

35

Closing 2

WBS is one of 13 project processes in the Planning Stage of PMBOK

5

The Five Process Groups and 35 Processes of PMBOK

Initiating Defines and authorizes the project
Developing a Project Charter Identifying Stakeholders

Executing Helps the project groups work together to complete the work
Direct and Manage Project Execution Perform Quality Assurance Acquire Project Team Develop Project Team Manage Project Team Distribute Information Manage Stakeholder Expectations Conduct Procurements

Planning Describes how the project will be managed

Develop a Project Management Plan Collect Requirements Define Scope

Create Work Breakdown Structure

Define Activities, Sequence Activities, Estimate Activity Resources, Estimate Activity Durations Develop Schedule Estimate Costs Determine Budget Plan Quality Develop Human Resource Plan Plan Communications Plan Risk Management, Identify Risks, Perform Qualitative/Quantitative Risk Analysis, Plan Risk Responses Plan Procurements

Monitoring and Controlling Checks the progress of the project and corrects problems.
Monitor and Control Project Work Perform Integrated Change Control Verify Scope Control Scope Control Schedule Control Costs Perform Quality Control Report Performance Monitor and Control Risks Administer Procurements Closing Formally closes each phase or the project and

receives approval of the project work for the phase or project.

Close Project or Close Phase Close Procurements 6

What is a Work Breakdown Structure?

Definition
A hierarchical outline of the tasks needed to deliver the projects product or service It breaks down the scope into its lowest components or work packages.

Primary Use (Helps Determine)

Project Schedule When

Resource Requirements Who

Costs How Much

Risks Red Flags

7

Total project can be thought out in advance

What the WBS does not have

Durations no reflection of how long things will take

Milestones other than deliverables

Dependencies no causal relationships between tasks

Create WBS: Inputs, Tools and Techniques, and Outputs

Inputs
Scope management plan Project scope statement Requirements documentation Enterprise environmental factors Organizational process assets

Tools and Techniques Decomposition Expert judgment

Outputs Scope baseline Project documents updates

Scope (work performed to deliver product, service or result)

Dividing (breaking down) the project Scope Subject matter experts/templates

Approved version of the scope statement, WBS, and WBS dictionary

Rules of Design

WBS Code (number)

A unique identifier assigned to each element in a Work Breakdown Structure for the purpose of designating the elements hierarchical location within the WBS.

WBS Element
a single WBS component and its associated attributes located anywhere within a WBS..

Work Package
A Work Package is a deliverable or work component at the lowest level of its WBS branch

Three Generally Accepted Components/Principles for Designing a WBS

10

The Right Way to Create a WBS

There is no one right way to do a WBS, different groups will do it differently.

Teams will differ about how it should be done.

Level of depth low enough to track work, not so low as to micromanage efforts.

The most important thing is to do one. 80% Rule ideally each task should be broken down into work packages that require no more than 80 hours for completion. Otherwise more difficult to track, easier to fall behind.
11

Methods for Creating the WBS

Tree Structure Diagram Outline Level 1 Task 1 Sub Task 1.1 Work Package 1.1.1 Sub Task 1.2 Work Package 1.2.1 Task 2 Level 2 Level 3

BANESCO Branch

Task 1

Task 2

Sub Task 1.1 Work Package 1.1.1

Sub Task 1.2

Work Package 1.2.1

WBS can be created in two forms: diagram or outline

12

Hierarchical Structure
Level 1 2 3 3 3 3 3 2 3 3 3 3 3 3 2 3 3 3 3 3 3 3 3 3 2 3 3 3 3 2 3 3 3 3 3 WBS Code 1 1.1 1.1.1 1.1.2 1.1.3 1.1.4 1.1.5 1.2 1.2.1 1.2.2 1.2.3 1.2.4 1.2.5 1.2.6 1.3 1.3.1 1.3.2 1.3.3 1.3.4 1.3.5 1.3.6 1.3.7 1.3.8 1.3.9 1.4 1.4.1 1.4.2 1.4.3 1.4.4 1.5 1.5.1 1.5.2 1.5.3 1.5.4 1.5.5 Element Name Widget Management System Initiation Evaluation & Recommendations Develop Project Charter Deliverable: Submit Project Charter Project Sponsor Reviews Project Charter Project Charter Signed/Approved Planning Create Preliminary Scope Statement Determine Project Team Project Team Kickoff Meeting Develop Project Plan Submit Project Plan Milestone: Project Plan Approval Execution Project Kickoff Meeting Verify & Validate User Requirements Design System Procure Hardware/Software Install Development System Testing Phase Install Live System User Training Go Live Control Project Management Project Status Meetings Risk Management Update Project Management Plan Closeout Audit Procurement Document Lessons Learned Update Files/Records Gain Formal Acceptance Archive Files/Documents

Similar to the outline view but without indentation. Useful where you have many levels and indenting each level would make the table too large to fit into a document.

13

Outline View
1. BANESCO BRANCH 1.1 Initiation 1.1.1 Evaluation & Recommendations 1.1.2 Develop Project Charter 1.1.3 Deliverable: Submit Project Charter 1.1.4 Project Sponsor Reviews Project Charter 1.1.5 Project Charter Signed/Approved 1.2 Planning 1.2.1 Create Preliminary Scope Statement 1.2.2 Determine Project Team 1.2.3 Project Team Kickoff Meeting 1.2.4 Develop Project Plan 1.2.5 Submit Project Plan 1.2.6 Milestone: Project Plan Approval 1.3 Execution 1.3.1 Project Kickoff Meeting 1.3.2 Verify & Validate User Requirements 1.3.3 Design System 1.3.4 Procure Hardware/Software 1.3.5 Install Development System 1.3.6 Testing Phase 1.3.7 Install Live System 1.3.8 User Training 1.3.9 Go Live 1.4 Control 1.4.1 Project Management 1.4.2 Project Status Meetings 1.4.3 Risk Management 1.4.4 Update Project Management Plan 1.5 Closeout 1.5.1 Audit Procurement 1.5.2 Document Lessons Learned 1.5.3 Update Files/Records 1.5.4 Gain Formal Acceptance 1.5.5 Archive Files/Documents

Can easily make changes - Microsoft Word auto numbering feature updates the WBS Code automatically.

14

Tabular View
Level 1 1 BANESCO BRANCH Level 2 Level 3 1.1.1 Evaluation & Recommendations 1.1.2 Develop Project Charter 1.1 Initiation 1.1.3 Deliverable: Submit Project Charter 1.1.4 Project Sponsor Reviews Project Charter 1.1.5 Project Charter Signed/Approved 1.2.1 Create Preliminary Scope Statement 1.2.2 Determine Project Team 1.2 Planning 1.2.3 Project Team Kickoff Meeting 1.2.4 Develop Project Plan 1.2.5 Submit Project Plan 1.2.6 Milestone: Project Plan Approval 1.3.1 Project Kickoff Meeting 1.3.2 Verify & Validate User Requirements 1.3.3 Design System 1.3.4 Procure Hardware/Software 1.3 Execution 1.3.5 Install Development System 1.3.6 Testing Phase 1.3.7 Install Live System 1.3.8 User Training 1.3.9 Go Live 1.4.1 Project Management 1.4 Control 1.4.2 Project Status Meetings 1.4.3 Risk Management 1.4.4 Update Project Management Plan 1.5.1 Audit Procurement 1.5.2 Document Lessons Learned 1.5 Closeout 1.5.3 Update Files/Records 1.5.4 Gain Formal Acceptance 1.5.5 Archive Files/Documents

Organized table view of the WBS. It is a good option for organizations which prefer table formats.

15

Tree Structure View

BANESCO BRANCH

Initiation 1.1

Planning 1.2

Execution 1.3

Control 1.4

Closeout 1.5

Evaluation & Recommendations 1.1.1

Create Preliminary Scope Statement 1.2.1

Project Kickoff Meeting 1.3.1

Project Management 1.4.1

Audit Procurement 1.5.1

the most popular format for the WBS.

Develop Project Charter 1.1.2

Determine Project Team 1.2.2

Verify & Validate User Requirements 1.3.2

Project Status Meetings 1.4.2

Document Lessons Learned 1.5.2

Deliverable: Submit Project Charter 113

Project Team Kickoff Meeting 1.2.3

Design System 1.3.3

Risk Management 1.4.3

Update Files/ Records 1.5.3

Project Sponsor Reviews Project Charter 114

Develop Project Plan 1.2.4

Procure Hardware/Software 1.3.4

Update Project Management Plan 1.4.4

Gain Formal Acceptance 1.5.4

Project Charter Signed/Approved 1.1.5

Submit Project Plan 1.2.5

Install Development System 135

Archive Files/ Documents 1.5.5

Milestone: Project Plan Approved 1.2.6

Testing Phase 1.3.6

Install Live System 1.3.7

User Training 1.3.8

Go Live 1.3.9

16

WBS Code (control account)

17

Why is the WBS Important

Project Management Reasons for IT Project Failures Poor Project Planning and Direction Insufficient Communication Ineffective Management Failure to Align With Constituents and Stakeholders Lack of Soft Skills or the Ability to Adapt Ineffective Involvement of Executive Management Poor or Missing Methodology and Tools X WBS X X X X X X PMBOK PM

1. Efficiency reduces the costs of project failures by directly addressing 4 out of 7 or 57% of the primary reasons for project failures. 2. Effectiveness enhances the effectiveness of the project manager (PM) by providing a tool that he/she can use to involve key project stakeholders (including executive management). 3. Competitive Advantage the successful application of the WBS can accelerate the standardization and implementation of the PMBOK project processes in BANESCO; leading to increased team collaboration considered key to competing in todays complex workplace. 18

The End of the Presentation

Thank You
19