In Search of: The Project Management Professional

Updated & Presented by:John Kos, PMP

& Milt Jones, PMP

With Credit to:Leah Zimmerman, PMP &

Mary McNally, PMP

Having a PMP demonstrates a personal commitment to self-improvement and

dedication to the profession

PMP Statistics

• Through October 2006

– Total PMI members 217,800

– Total Active PMPs 202,514

Rapid Growth of PMP Certification

Total PMPs

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250,000

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Project Manager is in the top 10 IT positions for salary (2004 data)Consultants Avg income was $128,100 PM was the #2 best paying position

Full time employees Avg salary was $79,200 PM was #3 best paying position

PMI Project Management Salary Survey – fourth edition reports that on average, PMP credential holders command salaries that are 17 percent higher than their non-credentialed counterparts.

What criteria are used to hire PMs?

• Good interpersonal skills• Good communication skills• Good technical skills• Good management skills• Good organizational skills• Education• Experience• Previous experience• Certifications

What criteria are used to promote PMs?

• Experience• Education• Past performance• Adherence to budget, schedule and project

requirements• Expertise with tools• Good people skills

Differentiation

• A Foote Partners study on the market value of nearly 150 technical skills and certifications revealed that:

– Certifications in PM security, and systems

administration/engineering and network operating systems certifications remain fairly strong

– The highest-paying certification is the PMP

Common Excuses for not pursuing the PMP

• PM is more about people skills than methods• If my company won’t support me with funding

and time to study or a bonus, then why bother?• Too expensive; too time consuming• The exam doesn’t reflect real life PM skills• Requirements are too rigorous• What good is it anyway?• Good for company not individuals• Just for government projects• Plan on staying with the same company• I already know it all and my system works• Just for the book smart not practical

The PMP Certification Says

• I am:– Able– Capable– Trained– Interested– Up-to-date

The PMP offers external validation beyond experience

PMP Certification• Proves you have retained a certain level of knowledge about the Project

Management profession• Certifies that you have completed 35 contact hours of education• Certifies that you have the requisite level of PM-related experience

But it does not, in and of itself, certify that you are a good project manager!

That comes from practicing the profession, constant sharpening of your skills and moving to the next level of competency!

PMP Certification: What it is and What it is not!

Maturity Evaluation Model of a Project Management Organization/Process.

Level 1

Crisis Management

Good crisis managers pass for project managers. End product entirely dependent of character and experience of the ‘project manager.’

Level 2

Reactive Management

Formal requirements exist but are not in general use. Status reporting is vague and largely left to the discretion of the project manager.

Project data is not timely enough.

Level 3

Project Management

Proactive project management at the individual project level is evident. Tools and concepts are used, many of which are formal and known. Project reporting is timely allowing problem resolution.

Level 4

Progr/Portfolio Management

Project management processes are formal and encompass methods and practices which are well defined, understood and executed. Training in the use of the PM process is provided to all core project team members.

Level 5

ManagingExcellence

Focus is on continuous improvement, training, coaching and mentoring all project management staff. Project management is totally integrated into the corporation. PM problems that cross organizational boundaries are identified and addressed.

PM OrganizationsPM OrganizationsLearning leads to MaturityLearning leads to Maturity

PMP Certification• When you attain the PMP, you become part of

an elite global community.

• But as you maintain the PMP, you continue to:– expand your knowledge and skills and– remain at the forefront of the profession.

PMP Certification: What it is and What it is not!

PMP CertificationIt is helpful to think of the PMP not as a project

management credential, but as a project manager credential.

…….“PMP credential holders perform a role, and the PMP credential helps identify your qualifications to perform that role….”

Eric Norman, PMP, member of PMI’s Certification Governance Council and volunteer leader

for PMI global standards projects (Practice Standard for Work Breakdown Structures)

PMP Certification: What it is and What it is not!

What is a P/M (or PMO) worth?Q: How to justify in terms of $$$?

A: One way is to use “expected value” ($$ Value of outcome multiplied by Probability of that outcome)

•Example: Project = $10 MM total economic benefit (ref: Dec 2000 PM Network article crediting an Ibbs & Kwack 1997 study)

•Functional structure probability of success: 34.0%

•Functionally dominated matrix prob success: 34.4%

•Balanced matrix probability of success: 55.9%

•Project-dominated matrix prob success: 70.7%

•Full Project structure probability of success: 71.4%

PMO value = (.714 - .34) X $ 10 MM = $ 3,740,000

This slide ought to tell you something else important:

Increased PM authority increases the project’s chances for success!

What is a P/M (or PMO) worth..#2?

Q: Other methods of justifying PM/PMO?

A: Use the results of a survey by Crawford & Pennypacker (PMI Symposium 2001, “Future of Project Management” track). Note that these authors don’t like the “traditional” (Ibbs & Kwack, 1997) ROI justification.

Noted improvement with PM implementation:

•Project/process execution: 50%

•Financial Performance 54%

•Customer satisfaction: 36%

•Employee satisfaction: 30%

Just remember this axiom:

The most successful Project Management initiatives have repeatedly and demonstrably been shown to be those that are most nearly in alignment with Corporate goals and initiatives and almost always result from active executive sponsorship.

Proof of the Pudding:Just a few examples of companies and organizations that

have implemented and encouraged PMI/PMP accreditation programs (or are “Global Corporate Council Partners” with PMI) are:

– Bollinger Shipyards– SAIC– Entergy– BAE Systems – Bank of America– Booz Allen Hamilton Inc. – Boston University – Capital One – Deloitte (London, UK) – Huawei Technologies Co., Ltd. (Shenzhen, China) – IBM– ICF Consulting Group, Inc. – International Institute for Learning, Inc.

Proof of the Pudding:• Further examples of companies and organizations that have

implemented and encouraged PMI/PMP accreditation programs (or are “Global Corporate Council Partners” with PMI) are:

– Lockheed Martin – Microsoft (Required as part of Microsoft College)– Nokia– Oregon, State of– PriceWaterhouseCoopers – SAP (Waldorf, Germany) – Siemens (Munich, Germany) – Southern Company – Washington Government Group– Various U.S. Government and Military agencies

• US Army Corps of Engineers• US Department of Defense - Defense Acquisition University • US Department of Energy - Office of Construction & Engineering

Management • Office of Personnel Management• Office of Management and Budget

Requirements for PMP

• Complete an application• Education requirements • Experience requirements• Agree to adhere to a code of professional conduct• Pass a multiple choice exam

About the PMP Exam• Exam was revised after an extensive job analysis study in 1997

and again after issue of PMBOK ® Version 3 in 2005

• Exam is reviewed and revised annually to satisfy the test specifications

• 200 four-option multiple choice questions submitted by PMPs, only 175 of which are actually scored (there are 25 “pretest” questions)

• Required score to pass is 123 out of 175 scorable questions (or 148 out of 200 total questions), or 74% correct……may vary!

• Many questions are situational

Exam Questions

Initiating the Project: 11%

Planning the Project: 23%

Executing the Project:  27%

Monitoring and Controlling the Project: 21%

Closing the Project  9%

Professional and Social Responsibility 9%

Total 100%

Project Initiation – 11%

• Knowledge Tested • Conduct project selection methods (e.g., cost benefit analysis,

selection criteria).

• Define the scope of the project based on the business need, in order to meet the customer’s project expectations.

• Document high-level risks, assumptions and constraints.

• Perform key stakeholder analysis.

• Develop the project charter.

• Obtain project charter approval.

Project Planning – 23%

• Knowledge Tested • Record detailed customer requirements, constraints, and

assumptions.

• Identify key project team members by defining roles and responsibilities.

• Create the Work Breakdown Structure (WBS) with the team. Use it to develop a Scope Management Plan.

• Develop the change management plan.

• Identify project risks by defining risk strategies and developing the risk management plan.

• Develop the Project Management Plan and obtain Plan approval from the customer.

• Conduct a kick-off meeting with all key stakeholders.

Project Execution – 27%

• Knowledge Tested Maintain the Project Management Plan current.

• Execute the tasks as defined in the project plan.

• Ensure a common understanding by setting stakeholder expectations in accordance with the project plan.

• Implement the procurement of project resources.

• Manage resource allocation proactively.• Implement the quality management plan.

• Integrate change across all areas and implement approved changes.

• Implement the approved actions and workarounds.

Project Monitoring & Control – 21%

• Knowledge Tested Measure project performance using appropriate tools and techniques.

• Manage changes to the project scope, project schedule, and project costs.

• Ensure that project deliverables conform to quality standards established in the project quality plan.

• Monitor the status of all identified risks by identifying any new risks, taking corrective actions, and updating the risk response plan.

Project Closing – 9%

• Knowledge Tested • Formalize final acceptance for the project from the

sponsor/customer.

• Obtain financial, legal, and administrative closure.

• Release all project resources and provide performance feedback.

• Communicate lessons learned.

• Distribute the final project report.

• Archive project records, historical information, and documents.

• Measure customer satisfaction at the end of the project.

Professional and Social Responsibility – 9%

• Knowledge Tested • Ensure personal integrity and professionalism.

• Contribute to the project management knowledge base by sharing lessons learned, best practices, research, etc.

• Enhance personal professional competence.

• Balance stakeholders’ interests to achieve maximum positive effect.

• Promote interaction among team members and other stakeholders in a professional and cooperative manner.

Cost of the Exams

• PMP

$405 Cost Members

$555 Cost Nonmembers

Recertify every 3 years

• CAPM

$225 Cost Members

$300 Nonmember

Applying for the PMP exam

• Candidates applying for the PMP or CAPM must satisfy the educational and experiential requirements for one of two categories.

PMP Category I PMP Category II

Educa. Baccalaureate or equivalent

HS degree or equiv

PM Exp. Min 3 years &no more than 6 years

Min 5 years &no more than 8 years

PM Exp. 4500 hours 7500 hours

PM Train 35 hours 35 hours

Exam 200 questions, 4 hour 200 questions, 4 hour

Recert Req’s

Recert every 3 years; 60 PDU req’d every 3 yrs to maintain certification

Recert every 3 years; 60 PDU req’d every 3 yrs to maintain certification

CAPM Category 1 CAPM Category 2

Educa Baccalaureate HS degree or equiv

PM Exp. Minimum 3 Years Minimum 3 years

PM Exp. 1500 hours 2500 hours

PM Train 23 hours 23 hours

Exam 150 questions, 3 hour 200 questions, 4 hour

Recert Req’s

Cert for 5 yrs; No Recertif; No PDU Req’ts

Cert for 5 yrs; No Recertif; No PDU Req’ts

Project Management Process Areas

• Experience areas can be organized into one or more of the following process areas:– Initiating– Planning– Executing– Controlling– Closing

Eligibility Letter

• Comes within 3 weeks

• Contact Thomson/Prometric to schedule date to sit for the exam

• Good for 12 months

How to Prepare for the Exam• Read the PMBOK (at least twice) and pay especial attention to the “Glossary”

• Buy some PM reference and study books and/or materials, e.g.,– Project Management: A Systems Approach to Planning, Scheduling, and Controlling (9th

edition, 2005) by Harold Kerzner – PMP Exam Practice Test and Study Guide (5th edition, 2005) by J. LeRoy Ward – PMP Exam Prep (5th edition, 2005) by Rita Mulcahy– PMI’s “Q & As for the PMBOK Guide Third Edition”– PMI exam prep review kit

• Buy PMI-recommended Social and Professional Responsibility books:– Blake, Terence; Walker, Danielle; and Walker, Thomas: Doing Business Internationally: The

Guide to Cross-Cultural Success. McGraw-Hill Professional Book Group, 2002, ISBN 0071378324.

– Ferraro, Gary, The Cultural Dimension of International Business. Prentice Hall, 5th Edition, 2005, ISBN: 0131927671 .

– Rosen, Robert (Editor); Digh, Patricia; Singer, Marshall; and Phillips, Carl: Global Literacies: Lessons on Business Leadership and National Cultures. Simon & Schuster, 2000, ISBN: 0684859025

• Take as many practice exams as you can get your hands on (some are available through the internet)

• Take a refresher class

The Test• Computer Based

– In the United States, Canada, and some of Europe– Black lettering on white background ..ughh!!

• Timed (15 minutes demonstration, plus 4 hours for exam)• Multiple Choice (4 possible answers)

– Only one is “best” answer– No “none of the above” or “a & c”

• Simple calculator provided on computer

• Can’t bring a lot with you – non programmable calculator is acceptable!

• You can take a break at certain times during test

You can go back to questions that are giving you trouble so skip over them (mark them for “Review Later”) and answer the ones you know the answer to first. Sometimes a subsequent question or answer can jog your memory! Two ways to review later:

Take your “best guess” and mark for later review (best) or

Leave blank and call up “unanswered questions” later.

You get your score immediately after completing the test.

You have to get about 148 (74%) correct, depending on which test questions you get from the large test question database (actually, you need 123 (70%) correct of the 175 scorable questions on each test). Note that PMI lowered passing score to 61% in late 2005 but this is liable to change. PMI apparently wants to maintain a 70% first-time taker passing rate.

Certification documentation will be sent to you within 3 to 4 weeks.

The Test

Tips/Suggestions• Do all the sample exams that you can find! Shoot to score 90% or

better on them.

• STUDY! Allow 40 to 80 hours to read the PMBOK and other study material. Hint:

– Form a self-study group and take advantage of the group’s synergy to take sample tests together.

• Remember it is a “pass-fail” exam. You have to get 74% right and no one but you ever knows your score! So don’t worry about not knowing everything about everything!

• RELAX! Taking the test is stressful! But you have 240 minutes to answer 200 questions. (And an additional 15 minutes at beginning for a demonstration of the testing software is also allocated.) Most people that we have interviewed finish the test in two and a half hours so you have plenty of time.

Exam Review Classes

• PMI Baltimore Chapter Training– Cost $495; Cost Seniors $335– Advantage: Meet other PMs and form self-study groups– PMI Baltimore sponsored:

• Current class started November 11th through December 16th, 2006 at Hunt Valley campus, CCBC

• February 3rd through March 3rd, 2007 at the Hunt Valley Campus,• April 21st through May 19th 2007 at the Hunt Valley Campus.

– 5 Saturdays

– Satisfies the 35 hours of education

• Explore other community college offerings

Continuing Certification Requirements Program

• 60 PDUs every three years

PDU = one PDU is earned for every 1 hour spent in a planned, structured learning experience or activity

Continuing Certification Req’s Program

• 5 Categories:– Formal Academic Education– Professional Activities or Self Directed Learning– Registered Education Providers; Other Providers– Volunteer Service to Professional or Community

Organizations

– PDU requirements can be obtained through the use of all, some, and only one category combinations.

Continuing Certification Req’s Program

• Complete the Continuing Certification Requirements Activity Reporting Form– Mail– Fax– Online

• Check for PDU transcripts online

Application for Renewal

• Sent after the 60 PDUs are submitted• Completion is required for renewal• 12 months after the cycle expiration to renew

Transferring PDUs

• Up to 20 excess PDUs earned during the final year of the current CCR cycle may be applied to the next CCR cycle.

Summary

• What are you waiting for?

QUESTIONS ??????????????