A few years back, when the PMP exam changed, I was really curious which PMPs out there took the new exam versus the old one. It has been my understanding, back in the day you could memorize areas of the PMBOK and pass the exam. Since the exam changed and became scenario based and started asking "which answer is the most correct" I wonder if some of the PMPs out there could pass the new exam. I understand it is unfair to insinuate PMPs who sat for the exam before a certain date aren't good project managers. I prefer to recognize the certification as a benchmark. Project managers with the PMP credential should use the same terminology and should understand what I'm talking about when I speak of input or outputs of specific process groups. One of the first things I do, if asked to review a resume, is I verify when the applicant passed their PMP exam. Want to ensure the next applicant really is a PMP if they say they are? Go to the PMI Registry.
Disappointing PMI Customer Service
Last month, I needed to get some information from PMI about OPM3 (Organizational Project Management Maturity Model). I wasn't satisfied with what was published on their website so I composed an email and sent it off. I received a confirmation email stating "Thank you for contacting the Project Management Institute. Thank you for contacting the PMI Global Operations Center in Newtown Square, Pennsylvania, USA. A Customer Care Associate will review your request and contact you within three (3) business days." I was even provided a ticket number. So, I waited 3 days. ...and waited. ...and waited.
Disgruntled and disappointed, I called them. I was routed to "general" customer service. After looking up my PMI membership number, the service representative couldn't answers my questions so she routed me to the desk of the person in charge of OPM3. I left a voicemail about having questions about OPM3 and left my contact information multiple times.
And now I wait some more.
I'm coming up on 2 weeks and nobody has contacted me. I feel like PMI is more interested in collecting membership dues and selling products then serving those who have obtained and maintain their PMP certifications.
Earned Value Management (EVM)...the basics
Should all projects or programs utilize Earned Value Management? Short answer: No Long answer: The industry standard for project control systems described in American National Standards Institute (ANSI) EIA-748, Earned Value Management Systems, must be implemented on all projects with a total project cost (TPC) greater than $20M for control of project performance during the project execution phase.
Earned Value Management (EVM) is a systematic approach to the integration and measurement of cost, schedule, and technical (scope) accomplishments on a project or task. It provides both the contractee and contractor(s) the ability to objectively examine detailed schedule information, critical program and technical milestones, and cost data.
In layman's terms, it quantifies the estimated value of the work actually accomplished.
PMI Code of Ethics and Professional Conduct
I pride myself in the fact that I'm a very honest and hard working manager. I define the Huether Triple Constraint as Passion, Commitment, and Skill. I'm passionate about what I do, I'm committed to the organizations I work for, and I rely on my skills and the skills of others to be successful. As part of commitment, ethics and professional conduct should always be considered. One of the questions I always ask myself before making a leadership decision is "Is this good for the project and our organization?" No, I don't work for Initech and this isn't Office Space. This is a valid question and there will be several questions on the exam that deal with ethics and professional conduct.
I recommend reading the PMI Code of Ethics and Professional Conduct. Even if you don't take the PMP, every good project manager will learn from it.
What a Project Management Plan is not
On a daily basis, I hear managers, directors, and executives referring to the MS Project file as "the project plan". I must frustrate a lot of people because I refuse to call it that. I refer to it as the activity list and Gantt Chart. Some PMPs call Gantt charts "bar charts" but I am one of those people who still calls a cotton swab a Q-Tip. Either way, if you refer to the MS Project file as an activity list and bar chart, you're on the path to passing the PMI exam. If you're still convinced it's a project management plan, I can almost guarantee you're not going to pass. A project management plan, as defined in the in the Project Management Body of Knowledge (PMBOK) is "A formal, approved document that defines how the project is executed, monitored, and controlled. It may be summary or detailed and may be composed of one or more subsidiary management plans and other planning documents.
I usually refer to my "plans" as a project management packet. I include my signed charter, the communications plan, risk plan, resource plan... I keep them in a central packet and also a central virtual folder for easy access.
And that's all I have to say about that.
Communications Channels
I was at a vendor site yesterday, discussing how they were going to satisfy our needs on four upcoming projects. There were four people in the meeting: the technical lead from the vendor, the product manager from our organization, a director from our organization, and myself. Since I am the project manager, I had to take into account each perspective of each participant. Communications grows exponentially, every time you add another person to a meeting or project. A project manager needs to realize the complexity and manage it accordingly. The situation reminded me of a few questions that were on the PMP exam. Communication Channels can be calculated by using the following formula: [N (N-1)]/2 where N equals the number of people involved. Do not just memorize the formula, UNDERSTAND it. Below is an illustration of the formula that should help you visualize it.
If on the PMP exam, I had been asked how many channels of communications existed in the meeting, I could either draw a picture with lines between the people or I could just use the formula. Take my word for it, just memorize the formula and understand when it applies.
Types of Risk
For the PMP exam, know that risks can be categorized under two main types: Business Risk of a gain or loss Pure (Insurable) Risk Only a risk of loss (e.g., fire, flood, theft...)
When identifying and categorizing your project risks, don't forget that risks can also be positive. Many mistakenly only list the negative. Regardless, the purpose of risk management is to lower it. Again, business risk can be beneficial or detrimental. Pure risk is always detrimental.
Cost Variance and Project Management Terms
If you're looking to take the PMP exam, there are several definitions you need to know. You MUST know and understand the definitions listed in the table below. The exam won't come right out and ask you "What does Actual Cost mean?" The questions are more like: "What kind of Variance do you have on a deliverable if the Earned Value is $75,000 and the Actual Cost is $77,000?� I won’t tell you the answer. I will, however, tell you how to figure it out. Cost Variance (CV) = Earned Value (EV) - Actual Cost (AC). A negative cost variance means you are over budget. A positive cost variance means you are under budget.
| Term | Acronym | Definition |
| AC | Actual Cost | What is the actual cost realized from the work completed. |
| BAC | Budget at Completion | How much was budgeted for the total project? |
| EAC | Estimate at Completion | What is currently the expected TOTAL cost of the project? |
| ETC | Estimate to Complete | From this point on, how much MORE is it expected to cost to finish the project? |
| EV | Earned Value | What is the estimated value of the work actually completed? |
| PV | Planned Value | What is the estimated value of the work planned to be completed? |
| VAC | Variance at Completion | How much over or under budget is the project expected to be at the end? |
