Glossary - 'C'

• Cause-and-effect diagrams (also called Ishikawa diagrams and fishbone diagrams) Used for root cause analysis of what factors are creating the risks within the project. The goal is to identify and treat the root of the problem, not the symptom.
• Centralized contracting All contracts for all projects need to be approved through a central contracting unit within the performing organization.
• Change Control Board A board that determines the validity and need of (thus approving or denying) project change requests.
• Change Control System A system to formally accept, review, and act upon project change requests.
• Chart of accounts A coding system used by the performing organization’s accounting system to account for the project work.
• Checklists A listing of activities that employees check to ensure the work has been completed consistently; used in quality control.
• Claim Generally unpleasant. It describes a disagreement between the buyer and the seller—or vice versa—regarding a change to the project work. Generally, the disagreement centers on the change, why it happens, and which party is responsible for the financial ramifications of the change.
• Closing The period when a project or phase moves through formal acceptance to bring the project or phase to an orderly conclusion.
• Code of accounts The numbering systems used within the WBS and the WBS dictionary to identify the components within the project.
• Coercive power The type of power that comes with the authority to discipline the project team members. This is also known as “penalty power.” Generally used to describe the power structure when the team is afraid of the project manager.
• Collective bargaining agreements These are contractual agreements initiated by employee groups, unions, or other labor organizations; they may act as a constraint on the project.
• Communication channel formula A formula to predict the number of communication channels within a project; the formula is N(N – 1)/2, where N represents the number of stakeholders.
• Communications management plan A plan that documents and organizes the stakeholder needs for communication. This plan covers the communications system, its documentation, the flow of communication, modalities of communication, schedules for communications, information retrieval, and any other stakeholder requirements for communications.
• Compromising A conflict resolution method; this approach requires both parties to give up something. The decision ultimately made is a blend of both sides of the argument. Because neither party completely wins, it is considered a lose-lose solution.
• Configuration management Activities focusing on controlling the characteristics of a product or service. A documented process of controlling the features, attributes, and technical configuration of any product or service. Sometimes considered a rigorous Change Control System.
• Constrained optimization methods These are complex mathematical formulas and algorithms that are used to predict the success of projects, the variables within projects, and the tendencies to move forward with selected project investments. Examples include linear programming, integer algorithms, and multi-objective programming.
• Constraints Any influence on the project that may limit the options of the project team in performing the project work.
• Contingency reserve A time or dollar amount allotted as a response to risk events that may occur within a project.
• Contract A legal, binding agreement, preferably written, between a buyer and seller detailing the requirements and obligations of both parties. Must include an offer, an acceptance, and a consideration.
• Contract administration The process of ensuring that the buyer and seller both perform to the specifications within the contract.
• Contract Change Control System Defines the procedures for how contracts may be changed. Includes the paperwork, tracking, conditions, dispute resolution procedures, and the procedures for getting the changes approved within the performing organization.
• Contract closeout A process for confirming that the obligations of the contract were met as expected. The project manager, the customer, key stakeholder, and, in some instances, the seller complete the product verification together to confirm the contract has been completed.
• Contract file A complete indexed set of records of the procurement process incorporated into the administrative closure process. These records include financial information as well as information on the performance and acceptance of the procured work.
• Control account plans A control tool within the project that represents the integration of the project scope, the project schedule, and the budget. It allows management to measure the progress of a project.
• Control charts These illustrate the performance of a project over time. They map the results of inspections against a chart. Control charts are typically used in projects or operations that have repetitive activities such as manufacturing, test series, or help desk functions. Upper and lower control limits indicate whether values are in control or out of control.
• Controlling Process in which the project is controlled and managed; the project manager controls the project scope and changes and monitors changes to the project budget, schedule, and scope by comparing plans to actual results and taking corrective action as necessary.
• Core processes These processes are common to all projects. The core processes are scope planning, scope definition, activity definition, resource planning, activity sequencing, activity duration estimation, cost estimating, risk management planning, schedule development, cost budgeting, and project plan development.
• Cost baseline This shows what the project is expected to spend. It’s usually shown in an S-curve and allows the project manager and management to predict when the project will be spending monies and over what duration. The purpose of the cost baseline is to measure and predict project performance.
• Cost budgeting A process of assigning a cost to an individual work package. This process shows costs over time. The cost budget results in an S-curve that becomes the cost baseline for the project.
• Cost change control This is part of the integrated change control system and documents the procedures to request, approve, and incorporate changes to project costs.
• Cost control An active process to control the causes of cost changes, to document cost changes, and to monitor cost fluctuations within the project. When changes occur, the cost baseline must be updated.
• Cost estimating The process of calculating the costs, by category, of the identified resources to complete the project work.
• Cost of conformance The cost of completing the project work to satisfy the project scope and the expected level of quality. Examples include training, safety measures, and quality management activities.
• Cost of quality The cost of quality is the expense of all the activities within a project to meet quality objectives.
• Cost of poor quality The cost of completing the project work without meeting the quality standards. The biggest issue here is the money lost by having to redo the project work; it’s always more cost-effective to do the work right the first time. Other nonconformance costs are loss of sales, loss of customers, downtime, and corrective actions to fix problems caused by the incorrect work.
• Cost performance index (CPI) An index that measures how well the project is performing on cost: CPI = EV/AC.
• Cost variance The cost variance (CV) is the difference between the earned value (EV) and the actual cost (AC).
• Cost-reimbursable contracts A contract that pays the seller for the product. In the payment to the seller, there is a profit margin that’s the difference between the actual costs of the product and the sales amount.
• Critical chain method A scheduling approach that considers the availability of the resources needed to complete the project work. Unavailable resources may cause the network diagram to be reconfigured or the project duration to take longer than originally planned.
• Critical path method (CPM) The CPM is the most common approach to calculating when a project may finish. It uses a “forward” and “backward” path to reveal which activities are considered critical, and which contain float. If activities on the critical path are delayed, the project end date will be delayed.
• Crashing This is the addition of more resources to activities on the critical path in order to complete the project earlier. Crashing results in higher project costs.

  _________
  References:
  

• PMP Exam Prep, Fifth Edition: Rita's Course in a Book for Passing the PMP Exam by Rita Mulcahy.
  
• PMP Project Management Professional Study Guide, Second Edition by Joseph Phillips.
  
• PMP: Project Management Professional Study Guide, 3rd Edition by Kim Heldman.

Glossary - 'B'

• Benchmarking A process of using prior projects within, or external to, the performing organization to compare and set quality standards for processes and results.
• Benefit measurement methods Used in comparing the value of one project against the value, or benefits, of another; often used in project selection models.
• Benefit/cost analysis The process of determining the pros and cons of any project, process, product, or activity.
• Benefit/cost ratios These models examine the cost-to-benefit ratio.
• Bid A document from the seller to the buyer. Used when price is the determining factor in the decision-making process.
• Bidder conference (also called contractor or vendor conference) A meeting with prospective sellers to ensure all sellers have a clear understanding of the product or service to be procured. Bidder conferences allow sellers to query the buyer on the details of the product to help ensure that the proposal the seller creates is adequate and appropriate for the proposed agreement.
• Bill of materials (BOM) A hierarchy of the materials needed to complete the project.
• Bottom-up estimating A technique where an estimate for each component in the WBS is developed and then totaled for an overall project budget. This is the longest method to complete, but it provides the most accurate estimate.
• Brainstorming The most common approach to risk identification; it is performed by a project team to identify the risks within the project. A multidisciplinary team, hosted by a project facilitator, can also perform brainstorming.
• Budget at completion (BAC) The predicted budget for the project; what the project should cost when it is completed.

  _________
  References:
  

• PMP Exam Prep, Fifth Edition: Rita's Course in a Book for Passing the PMP Exam by Rita Mulcahy.
  
• PMP Project Management Professional Study Guide, Second Edition by Joseph Phillips.
  
• PMP: Project Management Professional Study Guide, 3rd Edition by Kim Heldman.

Glossary - 'A'

• Acceptance This is a response to a risk event, generally made when the probability of the event and/or its impact are small. It is used when mitigation, transference, or avoidance are not selected.
• Active listening This occurs when the receiver confirms the message is being received. It can be done by way of feedback, questions, prompts for clarity, and other signs of having received the message.
• Activity list An output of the activity definition process that includes all of the activities to be performed within the project.
• Activity on arrow A network diagramming method where the arrows in the arrow diagramming method network diagram represent the activities within the project.
• Activity on node A network diagramming method where the nodes in a project network diagram represent the activities.
• Activity sequencing A process for setting the order of activities within the project schedule.
• Actual cost (AC) Used in earned value measurements; the actual cost of the work performed.
• Administrative closure The documenting of the project results and the acceptance of the product by the customer or the project sponsor. Administrative closure is also needed if a project is terminated.
• Analogous estimating This relies on historical information to predict estimates for current projects. Analogous estimating is also known as top-down estimating and is a form of expert judgment.
• Application areas These are the areas of business, industry, and trade about which the project manager may need special knowledge. Common application areas include legal issues, technical issues, engineering information, and manufacturing information.
• Assumptions Beliefs considered to be true, real, or certain for the sake of planning.
• Avoidance This is one response to a risk event. The risk is avoided by planning a different technique to remove the risk from the project.

  _________
  References:
  

• PMP Exam Prep, Fifth Edition: Rita's Course in a Book for Passing the PMP Exam by Rita Mulcahy.
  
• PMP Project Management Professional Study Guide, Second Edition by Joseph Phillips.
  
• PMP: Project Management Professional Study Guide, 3rd Edition by Kim Heldman.

CAPM- Eligibility & Exam tips

From PMI Official Website:

Designed specifically for project team members, the CAPM credential is aimed at improving overall project success by helping to ensure project management knowledge. To become a CAPM credential holder, you must meet specific guidelines designed to objectively measure experience, education and professional knowledge. You must pass an examination that assesses your knowledge of A Guide to the Project Management Body of Knowledge (PMBOK^® Guide), and you must agree to adhere to the PMI Code of Ethics and Professional Conduct.

Eligibility
Applicants must have:

• • Minimum of a high school diploma or the global equivalent
• • 1,500 hours of work on a project team or 23 contact hours of project management education

The CAPM Credential Examination
Applicants must pass a three-hour, 150-question, knowledge-based examination that uses the PMBOK^® Guide as its only source. The questions are developed by individuals from around the globe who hold the CAPM credential and are monitored to ensure that the examination continues to be a reliable and valid assessment of project management terms and practices.

Examination preparation resources include:

• • Review the PMBOK^® Guide—Third Edition
• • Download and study the CAPM credential handbook — paying particular attention to the CAPM examination blueprint.
• • Participate in Project Management Methods and Mechanics, a web-based self-study course offered by PMI that makes learning the PMBOK® Guide less daunting and more effective
• • Attend Registered Education Provider courses developed specially for the CAPM examination.

For more information see:

• • Examination Locations and Scheduling
• • Examination and Re-examination Fees
• • Certification Appeals Procedures in the CAPM Handbook

Steps to Obtaining a CAPM Credential:

1. 1. Complete an online application or download an application and submit via mail (faxes not accepted).
2. 2. If you meet the eligibility requirements, you will receive an e-mail explaining how to schedule the exam.
3. 3. Individuals who attain a credential from PMI will be added to PMI's Online Credential Registry and may immediately use the credential designation after their name.

In addition to these examination preparation resources, PMI's Basic Knowledge Assessment will help you measure your knowledge of project management and identify areas to focus on in preparation for the exam.

PMP- Eligibility & Exam tips

From PMI Official Website:

To be eligible for a PMP credential, you must meet specific guidelines that objectively measure experience, education and professional knowledge. You also must agree to adhere to the PMI Code of Ethics and Professional Conduct and pass a rigorous multiple-choice examination that assesses your abilities in project management.

Eligibility

• • Applicants must have 35 hours of specific project management education.
• • With a Bachelor’s Degree (or the global equivalent): Applicants must have a minimum three years’ professional project management experience, during which 4,500 hours are spent leading and directing project tasks, up to eight years from the time of application.
• • Without a Bachelor’s Degree (or the global equivalent): Applicants must have a minimum five years’ professional project management experience, during which at least 7,500 hours are spent leading and directing project tasks, up to eight years from the time of application.

The PMP Credential Examination
This four-hour examination composed of 200 multiple-choice questions measures your ability to apply knowledge, skills and techniques used in project management. The examination is developed by groups of individuals from around the globe who hold the PMP credential and is routinely reviewed and revised to ensure the best and consistently objective assessment.

Examination preparation tips:

1. • Review the PMP credential handbook, the PMP Examination Specification and the PMP Sample Questions document (not for commercial use).
2. • Study the PMBOK^® Guide—Third Edition and other texts that discuss the management of communications, cost, human resources, integration, procurement, quality, risk, scope and time, as well as a project manager's social and professional responsibilities.
3. • Enroll in formal study courses.

For more information, see:

• • Examination Locations and Scheduling
• • Examination and Re-examination Fees
• • Certification Appeals Procedures in the PMP Credential Handbook

Steps to Obtaining a PMP Credential:

1. Complete an online application or download an application and submit via mail (faxes not accepted).

2. If you meet the eligibility requirements, you will receive an e-mail explaining how to schedule the exam.

3. Individuals who attain a credential from PMI will be added to PMI's Online Credential Registry and may immediately use the credential designation after their name.

The Project Management Institute

From Wikipedia, the free encyclopedia

Incorporated in 1969 and situated outside Philadelphia, Pennsylvania, USA, the Project Management Institute (PMI) was founded by five volunteers. During that same year, the first PMI Seminars & Symposium was held in Atlanta, Georgia USA and had an attendance of 83 people.

PMI is the publishers of the standard PMBOK, "Project Management Body of Knowledge", and offers two levels of certification:

• A Certified Associate in Project Management (CAPM) has demonstrated a common base of knowledge and terms in the field of project management. It requires either 1500 hours of work on a project team or 23 contact hours of formal education in project management.

• A Project Management Professional (PMP®) has met specific education and experience requirements, has agreed to adhere to a code of professional conduct, and has passed an examination designed to objectively assess and measure project management knowledge. In addition, a PMP must satisfy continuing certification requirements or lose the certification.

As of 2006, PMI reported over 220,000 members and over 50,000 Project Management Professionals (PMPs) in 175 countries. Over 44,000 PMP certifications expire annually; a PMP must document ongoing project management experience and education every three years to keep their certification current.

To cultivate local interests in project management, there are over 240 local PMI chapters of PMI located in 67 countries. There are 30 special interest groups (SIGS). In addition, PMI has two colleges: the College of Performance Management and the College of Scheduling.