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The Underlying Idea Behind PRINCE2® Methodology

PRINCE2® stands for Projects in-Controlled Environment. PRINCE2® is a process-based project management methodology that means PRINCE2® certified project management experts are not just projecting implementers but serious planners and contributors whom even the top management of an organization can trust with a whole new project. The original version of PRINCE methodology was updated in 1996-97; so, the new version becomes PRINCE2®. The methodology provides ways to simplify any types of project in several sub-modules so that the project management team can organize and control the whole project systematically.PRINCE2® methodology starts with some basic questionsAs said before, PRINCE2® methodology tries to simplify the project by segregating it into several parts and then integrating each part setting proper logic. The PRINCE2® methodology starts with some basic questions. These questions help to include all visible and invisible matters together:What we have planned to do?What is the expected date of starting the project?What arrangement does this project need?Is it possible to accomplish everything with the current availability of in-house resources or some external help is necessary?How much time the whole project can take?If more time is required, then how much further can it be stretched?What will be the maximum cost of the whole project?These questions form the foundation of a project. Many unknown or primarily suppressed aspects come out one by one while answering these questions. Hence, in the PRINCE2® methodology, a project always starts with these questions. The PRINCE2® methodology attributes a proper structure for every project. It defines it step by step so that everyone involved understands their roles, responsibilities, and limitations. PRINCE2® makes everything logical and organized.The pillars of PRINCE2® FrameworkIt is obvious that an unstructured, uncontrolled project goes nowhere. It destroys an organization’s precious resources and money. These types of unstructured, uncontrolled projects do not finish in time or within the assigned budget. Thus, PRINCE2® methodology provides a framework to channelize the resources, ideas, energy, money, and time. There are three pillars of the PRINCE2® framework:A project should have a planned and controlled start – A project should be well-planned with all the above-mentioned questions answered before starting it.A project should have a planned and controlled middle – While work-in-progress, the project should follow a predetermined path.A project should have a planned and controlled end – When the mission is accomplished it is necessary to reconcile everything systematically.Principles of the PRINCE2® methodologyThe entire PRINCE2® methodology is based on the following principles:Project undertaken should have proper justification with respect to the business: The project should be properly justified at any point in time. The project manager should be optimistic about its benefits and risk ensuring that benefits are always higher than the cost involved.Roles and Responsibilities of every member should be well-defined: All members of the project should know what the project wants from them and how to relate their responsibilities with others.Project is a systematic accumulation of several parts: PRINCE2® methodology breaks a project into several parts and then integrates them as the project demands. Thus, it helps the units to evaluate their success at each stage.Decentralized management: PRINCE2® methodology asked to form a project management board with senior-most managers that would determine the project cost, time, and resources. It then asks to provide the responsibility of the project to the project manager who will manage the project management teams. Each team would have team heads who will report to the project manager.Tailored to meet the project needs: PRINCE2® can be tailored depending on the importance of the project, the budget allocated, resource availability, and time.Project Management Roles in the PRINCE2® methodologyIn a PRINCE2® environment, the project management team needs to work in perfect cohesion. In fact, human resource planning and allocation take a different dimension here. PRINCE2® methodology induces teamwork culture in every part. The greater project management team is segregated into smaller units and each unit remains responsible for only their share of jobs. Again each unit remains linked with several other units that together accomplish the whole job. Some key roles in a PRINCE2® environment are given below:Project board: This remains at the helm of the entire project. The project board comprises of executive, senior user, and senior supplier. The programme or corporate management appoints the executive. This executive bears the responsibility of the project. They get technical support and advice from the senior user and senior supplier. Normally, the executive remains responsible for the development of the project management team. They also develop the Business case and performs a regular audit to ensure the feasibility of the project. The senior user is the representative of all the users who will use the project product. The senior supplier represents those designing, facilitating, and developing the actual project products.The project manager interacts with the project board whenever any important decision is taken or any unanticipated matter arises like the current budget may not be sufficient or a few resources may need some changes, etc. The project manager needs the approval of the project board in all major decisions that are not included in the actual project plan.Project Manager: The project manager organizes and controls the project management team. They develop smaller units as required and appoint unit heads. The project manager draws the whole working plan and delivers responsibilities to the units and individuals. They also provide deadlinesThe Customer: The customer is an individual, group, or corporate body that actually pays for the projectThe User: the user is an individual, group, or corporate body who will use the project products. In some situations, the customer and the user become the same individual, group, or corporate bodyThe Supplier: This is actually a group of professionals whose skills and experience are required to materialize the projectPRINCE2® Project ProcessPRINCE2® strongly advocates planning a project structure and adhering to it unless and until any crisis arises. Following are the essential steps in the PRINCE2® project process:Step 1: The first step in structuring the whole project that includes designing, directing and starting the project. At first, a project mandate is created that narrates the necessity of the project in brief. Once the mandate is established, the project is briefed. The project board is developed and the board members discuss the project on the basis of the brief they receive. They then approve or amend the brief and give their consent. At this point, a project manager is appointed to whom the project board delegates the project responsibility. The project manager designs the blueprint on the basis of a number of parameters such as deadline, the risk involved, budget, scope, quality, and benefits.Step 2: the second step includes control and management. The project manager develops the project team, segregates it in smaller units, assigns responsibility to each unit, and assigns budgets and deadlines. This step is the most important one in the sense that it actually materializes the project and shows the results, i.e. project products are developed in this step. Project manager gives regular updates to the project board that then review the feasibility of the project. As every stage completes, the project manager and project board undertake a feasibility check on the basis of several parameters.Step 3: This is the closing of a project. As the project products are developed, the project manager closes the project by reconciling every single aspect from finance to human resources. The final report is submitted to the project board that then ends the project.PRINCE2® project management supportManaging administrative works is important in any PRINCE2® project management. The project manager needs to deal with several types of documents and they also need to arrange meetings with the team or units as also with the project board. Besides, keeping files updated, arranging computerized files in proper order, data management, reviewing the team’s performance and problems, etc. are important administrative jobs. Project manager generally deals with all these responsibilities single-handed; in some situations, especially when the project is a large one or several projects are taking place simultaneously, the administrative office is established to handle these jobs.Scope of the PRINCE2® methodologyProjects have different levels. Some are extremely complicated with multidimensional aspects, some are multidisciplinary but not so complicated, and some are simple. PRINCE2® is suitable for all as it provides a common language for all stakeholders. PRINCE2® simplifies a complicated project by segregating it as per the requirement and then integrating the segregated parts to obtain the required outcome.Project assurance in the PRINCE2® methodologyIn PRINCE2® environment project assurance is the assessment of a project from independent perspectives. There are three different and independent project assurance views: business’ view, user’s view, and supplier’s view. It is evident that these views represent the independent views of project board members.Business assurance checks the viability of project cost, quality, and deadlines. The user assurance checks whether the users’ requirements and quality are maintained or not. Supplier assurance also called technical assurance checks whether the project is progressing as per the assigned framework. If the project is really big or taking place in more than one place at a time, a project assurance team is formed to obtain independent views of the above-mentioned personnel; otherwise, the responsibility is given to the project board.So, PRINCE2® methodology is designed to manage a project in an organized way. It attributes project structure at the very initial phase of a project and ensures that everyone involved in the project adheres to that structure. PRINCE2® methodology uses common language in every level that enables even novice project members to communicate with others effortlessly or understand their responsibility without much intervention of the unit manager or project manager.

The Underlying Idea Behind PRINCE2® Methodology

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The Underlying Idea Behind PRINCE2® Methodology

PRINCE2® stands for Projects in-Controlled Environment. PRINCE2® is a process-based project management methodology that means PRINCE2® certified project management experts are not just projecting implementers but serious planners and contributors whom even the top management of an organization can trust with a whole new project. The original version of PRINCE methodology was updated in 1996-97; so, the new version becomes PRINCE2®. The methodology provides ways to simplify any types of project in several sub-modules so that the project management team can organize and control the whole project systematically.

PRINCE2® methodology starts with some basic questions

Basic questions in PRINCE2 Methodology

As said before, PRINCE2® methodology tries to simplify the project by segregating it into several parts and then integrating each part setting proper logic. The PRINCE2® methodology starts with some basic questions. These questions help to include all visible and invisible matters together:

  • What we have planned to do?
  • What is the expected date of starting the project?
  • What arrangement does this project need?
  • Is it possible to accomplish everything with the current availability of in-house resources or some external help is necessary?
  • How much time the whole project can take?
  • If more time is required, then how much further can it be stretched?
  • What will be the maximum cost of the whole project?

These questions form the foundation of a project. Many unknown or primarily suppressed aspects come out one by one while answering these questions. Hence, in the PRINCE2® methodology, a project always starts with these questions. The PRINCE2® methodology attributes a proper structure for every project. It defines it step by step so that everyone involved understands their roles, responsibilities, and limitations. PRINCE2® makes everything logical and organized.

The pillars of PRINCE2® Framework

It is obvious that an unstructured, uncontrolled project goes nowhere. It destroys an organization’s precious resources and money. These types of unstructured, uncontrolled projects do not finish in time or within the assigned budget. Thus, PRINCE2® methodology provides a framework to channelize the resources, ideas, energy, money, and time. There are three pillars of the PRINCE2® framework:

  1. A project should have a planned and controlled start – A project should be well-planned with all the above-mentioned questions answered before starting it.
  2. A project should have a planned and controlled middle – While work-in-progress, the project should follow a predetermined path.
  3. A project should have a planned and controlled end – When the mission is accomplished it is necessary to reconcile everything systematically.

Principles of the PRINCE2® methodology

The entire PRINCE2® methodology is based on the following principles:

  • Project undertaken should have proper justification with respect to the business: The project should be properly justified at any point in time. The project manager should be optimistic about its benefits and risk ensuring that benefits are always higher than the cost involved.
  • Roles and Responsibilities of every member should be well-defined: All members of the project should know what the project wants from them and how to relate their responsibilities with others.
  • Project is a systematic accumulation of several parts: PRINCE2® methodology breaks a project into several parts and then integrates them as the project demands. Thus, it helps the units to evaluate their success at each stage.
  • Decentralized management: PRINCE2® methodology asked to form a project management board with senior-most managers that would determine the project cost, time, and resources. It then asks to provide the responsibility of the project to the project manager who will manage the project management teams. Each team would have team heads who will report to the project manager.
  • Tailored to meet the project needs: PRINCE2® can be tailored depending on the importance of the project, the budget allocated, resource availability, and time.

Project Management Roles in the PRINCE2® methodology

Project Management Roles in the PRINCE2®

In a PRINCE2® environment, the project management team needs to work in perfect cohesion. In fact, human resource planning and allocation take a different dimension here. PRINCE2® methodology induces teamwork culture in every part. The greater project management team is segregated into smaller units and each unit remains responsible for only their share of jobs. Again each unit remains linked with several other units that together accomplish the whole job. Some key roles in a PRINCE2® environment are given below:

  • Project board: This remains at the helm of the entire project. The project board comprises of executive, senior user, and senior supplier. The programme or corporate management appoints the executive. This executive bears the responsibility of the project. They get technical support and advice from the senior user and senior supplier. Normally, the executive remains responsible for the development of the project management team. They also develop the Business case and performs a regular audit to ensure the feasibility of the project. The senior user is the representative of all the users who will use the project product. The senior supplier represents those designing, facilitating, and developing the actual project products.

The project manager interacts with the project board whenever any important decision is taken or any unanticipated matter arises like the current budget may not be sufficient or a few resources may need some changes, etc. The project manager needs the approval of the project board in all major decisions that are not included in the actual project plan.

  • Project Manager: The project manager organizes and controls the project management team. They develop smaller units as required and appoint unit heads. The project manager draws the whole working plan and delivers responsibilities to the units and individuals. They also provide deadlines
  • The Customer: The customer is an individual, group, or corporate body that actually pays for the project
  • The User: the user is an individual, group, or corporate body who will use the project products. In some situations, the customer and the user become the same individual, group, or corporate body
  • The Supplier: This is actually a group of professionals whose skills and experience are required to materialize the project

PRINCE2® Project Process

PRINCE2® Project Process

PRINCE2® strongly advocates planning a project structure and adhering to it unless and until any crisis arises. Following are the essential steps in the PRINCE2® project process:

  • Step 1: The first step in structuring the whole project that includes designing, directing and starting the project. At first, a project mandate is created that narrates the necessity of the project in brief. Once the mandate is established, the project is briefed. The project board is developed and the board members discuss the project on the basis of the brief they receive. They then approve or amend the brief and give their consent. At this point, a project manager is appointed to whom the project board delegates the project responsibility. The project manager designs the blueprint on the basis of a number of parameters such as deadline, the risk involved, budget, scope, quality, and benefits.
  • Step 2: the second step includes control and management. The project manager develops the project team, segregates it in smaller units, assigns responsibility to each unit, and assigns budgets and deadlines. This step is the most important one in the sense that it actually materializes the project and shows the results, i.e. project products are developed in this step. Project manager gives regular updates to the project board that then review the feasibility of the project. As every stage completes, the project manager and project board undertake a feasibility check on the basis of several parameters.
  • Step 3: This is the closing of a project. As the project products are developed, the project manager closes the project by reconciling every single aspect from finance to human resources. The final report is submitted to the project board that then ends the project.

PRINCE2® project management support

Managing administrative works is important in any PRINCE2® project management. The project manager needs to deal with several types of documents and they also need to arrange meetings with the team or units as also with the project board. Besides, keeping files updated, arranging computerized files in proper order, data management, reviewing the team’s performance and problems, etc. are important administrative jobs. Project manager generally deals with all these responsibilities single-handed; in some situations, especially when the project is a large one or several projects are taking place simultaneously, the administrative office is established to handle these jobs.

Scope of the PRINCE2® methodology

Projects have different levels. Some are extremely complicated with multidimensional aspects, some are multidisciplinary but not so complicated, and some are simple. PRINCE2® is suitable for all as it provides a common language for all stakeholders. PRINCE2® simplifies a complicated project by segregating it as per the requirement and then integrating the segregated parts to obtain the required outcome.

Project assurance in the PRINCE2® methodology

In PRINCE2® environment project assurance is the assessment of a project from independent perspectives. There are three different and independent project assurance views: business’ view, user’s view, and supplier’s view. It is evident that these views represent the independent views of project board members.

Business assurance checks the viability of project cost, quality, and deadlines. The user assurance checks whether the users’ requirements and quality are maintained or not. Supplier assurance also called technical assurance checks whether the project is progressing as per the assigned framework. If the project is really big or taking place in more than one place at a time, a project assurance team is formed to obtain independent views of the above-mentioned personnel; otherwise, the responsibility is given to the project board.

So, PRINCE2® methodology is designed to manage a project in an organized way. It attributes project structure at the very initial phase of a project and ensures that everyone involved in the project adheres to that structure. PRINCE2® methodology uses common language in every level that enables even novice project members to communicate with others effortlessly or understand their responsibility without much intervention of the unit manager or project manager.

KnowledgeHut

KnowledgeHut

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KnowledgeHut is an outcome-focused global ed-tech company. We help organizations and professionals unlock excellence through skills development. We offer training solutions under the people and process, data science, full-stack development, cybersecurity, future technologies and digital transformation verticals.
Website : https://www.knowledgehut.com

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PMP or Prince 2 – The Management Certification Suitable For You

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This caused me to think why not write a blog for general audience and in turn, maybe it will help some of you. So I hope my little attempt serves its purpose. Please do let me know likewise or otherwise by leaving comments below this blog. Let’s begin! Brief summary about PMP – So that you know what we are dealing with: PMP is a trademark certification issued by PMI org and is a world-renowned project management certification that can be practised across domains, industries, and geographies. PMP stands for Project Management Professional and PMI stands for Project Management Institute PMP is governed by a framework known as PMBoK [Project Management Book Of Knowledge] This PMBoK is like a holy grail for PMI members and PMP certified members It gives tools and techniques for different situations and phases of project and it gives freedom to the project manager to decide which one to use in a particular situation depending upon the circumstances, history and future aspects PMP places onus on Integrity, Professionalism, Ethics, Communication, and transparency. PMI guides the project manager on the kind of role he/she should play in the success of projects and this lays down multiple guidance for them to be followed in spirit; the actual implementation may not be a textbook version. Brief Summary about Prince 2 – So that you know what we are comparing against: Prince2 stands for “Projects in Controlled Environment” version2 It also can be utilized for any type of project in the world It clearly lays out the roles and responsibilities of the team members in the project members The project is clearly divided into smaller manageable groups and has well laid out processes to be followed by the project manager It has 3 levels of certification: Foundation, Practitioner, and Professional Practical, to-do format, clear-cut items to be assigned, tracked and delivered are laid out in this AXELOS owned world famous certification. Hence, the name “Projects In Controlled Environment” ☺ As you must have sensed by now, PMP and Prince2 differ from each other in the following ways: PMP deals with a broad-level generic framework that believes in empowering you with the best-in-class tools and techniques but leaves the implementation and decision making to you as per your thought process Prince2 restricts your ability to change things because each and every process is clearly laid out with specific roles for team members and hence, well-defined project success PMP believes that project manager is an enabler whereas Prince2 visualizes project manager as an enforcer. PMP needs to be renewed every 3 years through contribution to the field of project management by sharing your knowledge and learning on your own; whereas Prince2 relies on making you appear for examination every 3-5 years. 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Your web-based exam results will be visible to you immediately upon completion of the exam.  Course fee for certification: INR 8999, USD 799Application fee for certification: For PMI membership: USD $ 129 plus USD $10 for application fee.Exam fee for certification:In IndiaMember: ₹17,377.00Non-member: ₹23,169.00In U.S.Member: $435Non-member: $4953. PMI-RMP®: Project Management Institute-Risk Management ProfessionalThe pandemic exposed many vulnerabilities that organizations had not been prepared for. When faced with unprecedented risks, organizations need specialists who can identify and assess project risks, mitigate threats and take advantage of opportunities. The PMI-RMP course and certification prepares professionals to perform this role and successfully steer projects in complex environments.PMI-RMP Demand: According to the 2015 Pulse of the Profession® by PMI, “Eighty-three percent of organizations that are high performers in project management practice risk management frequently while just 49 percent of low performers do so”. This shows the importance of risk management and the emphasis organizations place on qualified risk managers.Benefits of getting PMI-RMP certifiedApply risk management practices for greater competitive advantageIdentify and measure risks in project development and implementationQuantify and create risk response strategies to deliver products that meet stakeholder expectationsUse a proactive and focused approach to preventing problems, rather than dealing with them once they occurIncrease your visibility within the companyAim for greater career growthEarn salaries upto $115,931Top companies that hire PMI-RMP professionalsWhere to take training for certification: Aspirants must train from an Authorized Training Partner (ATP) of PMI.Who should take the training for certificationRisk ManagersRisk Management ProfessionalsProject ManagersProject SponsorsProgram ManagersProject EngineersProject CoordinatorsPlanning ManagersPlanning EngineersProject Cost Control EngineersQuantity SurveyorsCivil EngineersIT Project ManagersProduct ManagersProject AnalystsBusiness AnalystsProject LeadersProject Co-ordinatorsTeam LeadersTeam MembersEligibilityTo apply for the PMI-RMP® Credential, you need to possess a:Secondary degree (high school diploma, associate’s degree, or the global equivalent)4,500 hours of project risk management experience40 hours of project risk management educationORFour-year degree (bachelor’s degree or the global equivalent)3,000 hours of project risk management experience30 hours of project risk management educationExam FormatNo of questions: 170 questions Type: Multiple ChoiceTime: 3.5 hoursDuration to get certifiedApplication fee: For PMI membership: USD $ 129 plus USD $10 for application fee.Course fee for certification: INR12999, USD 999Exam fee for certificationIn U.S.Member: $520Non-member: $670Retake fee for certificationMember: $335Non-member: $4354. PRINCE2® Foundation/PRINCE2 PractitionerThe PRINCE2 (PRojects IN Controlled Environments) Foundation and Practitioner credentials are sought-after offerings from AXELOS. There are a number of credentials offered under PRINCE2 that make it suitable for a wider audience. Axelos keeps the PRINCE2 curriculum regularly updated with the latest industry advances, which makes it suitable for new age project management and intensive, demanding projects.  PRINCE2 Demand: PRINCE2 extends its applicability across industries and sectors. This makes it very popular in the market as it is a one size fits all model. Although PRINCE2 was founded in the UK, it has now firmly established its presence in industries across the world. According to a report in LinkedIn, PRINCE2 is the most popular project management methodology. A professional adept at PRINCE2 and holding the credential is highly valuable and sought after by organizations implementing PRINCE2 for their projects.  Benefits of getting PRINCE2 certifiedGuide projects in their entiretyTailor PRINCE2 to suit the needs of projects and organizationsValidate your commitment to continued excellence and quality  Master and demonstrate your proficiency of the PRINCE2® framework  Gain project management best practices and grow your career with confidence Work across projects in diverse sectors and industriesShow your ability to work in challenging work environments  Command higher salaries (upto $99,012 average) than your non-certified peers Top companies that hire PRINCE2 professionalsShellBPTranspower New ZealandIBMHPAquasoftGetronicsSiemensWhere to take training for certification: Aspirants must undertake training from a Certified Partner of AXELOS and an accredited training organization (ATO) with PeopleCert®.Who should take the training for certification?Project ManagersProject CoordinatorsProject AnalystsProject LeadersProduct ManagersProgram ManagersProject SponsorsTeam LeadersSenior Responsible OwnersProduct Delivery ManagersBusiness Change AnalystsProject and Programme Office PersonnelOperational Line ManagerAnyone who wishes to build up knowledge in project management EligibilityThere are no eligibility requirements for the PRINCE2® Foundation certification exam. To qualify for the PRINCE2 Practitioner exam, you must have at least one of the following certifications: PRINCE2® Foundation or higher (applicable only to certificates obtained after 1 January 2009) Project Management Professional (PMP)® Certified Associate in Project Management (CAPM)® IPMA Level A® (Certified Projects Director) IPMA Level B® (Certified Senior Project Manager) IPMA Level C® (Certified Project Manager) IPMA Level D® (Certified Project Management Associate) Project Management Qualification (PMQ) Project Professional Qualification (PPQ) Exam FormatFoundation ExamDuration: 60 minutes (1 hour) Questions: 60 Multiple choice questions Pass mark: 33 out of 60 available, or 55% Use of textbook: No, it’s a closed book examPractitioner Exam Duration: 150 minutes (2.5 hrs) Questions: 68 Objective type questions Pass mark: 38 out of 68 available, or 55% Use of textbook: Yes, but only the official PRINCE2® manual is permitted. Duration to get certifiedYou will need to attend 32-hours of PRINCE2® Foundation and Practitioner training from an ATO of AXELOS and PeopleCert®, following which you will be required to take the exams to demonstrate your knowledge of PRINCE2 and get certified. The results of your tests are issued within 2 business days from the date of your exam.  Course fee for certification: USD 1999Exam fee for certification: Included in course fee5.  PgMP®: Program Management Professional (PgMP)® Certification TrainingAnother project management from the PMI, this credential is more advanced than the PMP and certifies the holder’s ability to manage complex projects that cover functions, organizations, cultures and geographies. The credential mandates holders to be proficient in the six prime focus areas: Governance, Prioritization, Escalation, Resource Management, Benefits Realization, and Stakeholder Management.PgMP Demand: Credentials from the PMI are known for their rigorous standards and testing, which is why they are well accepted in industries across sectors. PgMP holders are better able to promote integration and coordination of multiple projects for the overall benefit of the program. According to PMI’s 2015 Pulse of the Profession® report, an organization’s projects are far more successful with program management than without it — 76 percent compared to 54 percent. This further compounds the demand for PgMP professionals. Benefits of getting PgMP certifiedGet in-depth knowledge of tools and techniques to handle complex multiple related projectsUnderstand Program Lifecycle and its processes, competencies, tools and techniques with practical sample templatesLearn to implement large-scale programs to align with business strategyOpen yourself to lucrative job opportunities and leadership rolesWork in projects across geographiesEarn high salaries, upto $139,000 on averageTop companies that hire PgMP professionalsAmazonGoogleMicrosoftCognizantCapgeminiDeloitteJP Morgan ChaseErnst & YoungWhere to take training for certification: Aspirants must train from an Authorized Training Provider of PMI®Who should take the training for certificationTeam LeadsSponsorsProject DirectorsProgram ManagersPortfolio Managers  Project Management Office (PMO) HeadsEligibilityA Four-year Degree (Bachelor's or Global equivalent), with at least four years of Project Management experience and four years of Program Management experience.ORA Secondary Diploma (High school or Global equivalent), with at least four years of Project Management experience and seven years of Program Management experience. Exam FormatNo of questions: 170 multiple-choice, of which 20 are considered pretest questions which are not scored.Question type: Most questions are scenario based and test a professional's understanding and clarity of thoughts on different Program Management concepts.Time: 4 hoursDifficulty level: DifficultDuration to get certified: You have to complete your 24 hours of training from an Authorized Training Partner (ATP) of PMI. Make a study plan and stick to it religiously. The PgMP is considered to be more difficult than the PMP and requires a fair bit of preparation. Once you pass the 4-hour exam you will be PgMP certified.  Course fee for certification: INR 13,999; USD 1199Application fee for certification: For PMI membership: USD $ 129 plus USD $10 for application fee.Exam fee for certificationIn IndiaMember: ₹46,338.00Non-member: ₹77,230.00In U.S.Member: $800Non-member: $1000Retake fee for certificationMember: $600Non-member: $8006. PMI-ACPPMI-ACP Demand: Agile is a fairly new concept in the context of product development. Though organizations reap immense benefits by adopting Agile, the road to transformation can often turn out to be expensive if not well executed. PMI-ACP professionals are therefore in huge demand as they can bring in project management best practices in Agile environments and ensure project success.  Benefits of getting PMI-ACP certifiedThe shortage of Project Managers has increased job opportunities in the Agile environmentYou will qualify for Agile jobs with expertise in Agile methods like Scrum, FDD, Kanban, etc. which are in demand in the industryEarn salaries in the range of $108,000 on an averageEquips you with knowledge of various Agile methodsMakes you more marketableTop companies that hire PMI-ACP professionalsStandard CharteredOracleIBMVMWareSource: IndeedWhere to take training for certification: Aspirants must train from an Authorized Training Provider of PMI® Who should take the training for certification?Project ManagersProject PlannersQuality Assurance StaffDevelopers/ProgrammersDesigners, TestersProject ControllersProduct OwnersScrum MastersScrum Team MembersEligibilityTo apply for the PMI-ACP®, candidates must meet the following requirements:1. General Project Experience2000 hours of working on project teams within the last 5 years or having an active PMP®/PgMP® credential2. Agile Project Experience1500 hours of working on Agile Project Teams or with Agile Methodologies, in addition to “General Project Experience” above;3. Training in Agile Practices21 contact hours earned in Agile PracticesExam FormatNo of questions: 120 MCQ, of which 20 are pre-testDuration: 3 hoursDuration to get certified: Once you complete the course, you need to schedule the exam date. Exam applications have to be submitted and approved by PMI. Online applications m ay take upto five business days to get processed. Once your application is processed, you can schedule your exam date, and on passing receive the PMI-ACP credential.Course fee for certification: INR 10,999, USD 1099Application fee for certification: For PMI membership: USD $ 129 plus USD $10 for application fee.Exam fee for certificationFor members: $435Non-members: $495Retake fee for certificationMembers: $150Non-members: $200SummaryProject Management is among the most sought after job roles, not only in the tech industry but any industry that executes and manages projects. By 2027, 88 million individuals will need to be skilled in project management-oriented roles. This makes it among the hottest job trends in the coming years, and a credential will go a long way in helping you capitalise on this trend.
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Best Project Management Certifications in 2021

While nothing can replace industry work experience... Read More

Project Contracts – A Vital Legal Binding

One of the key knowledge areas discussed in the Project Management Professional (PMP®) certification is Procurements Management. As part of project procurements management a project manager is mainly expected to be able to initiate, execute and manage projects based on the project contracts. This article is an attempt to discuss about project contracts, to discuss the importance of such contracts and to give an introduction to types of contracts as a precursor to subsequent articles. The PMBOK® defines a contract as follows. “Contract represents a mutually binding agreement that obligates the seller to provide the specified products, services or results, and obligates the buyer to provide the monetary or other valuable consideration in return. A contract can also be called an agreement, understanding, undertaking or a purchase order.” (PMBOK® 5.0) Any project involves two or more parties. One main party that is the buyer and the other the seller. In addition to these there can be other 3rd party elements that are not directly involved in the contract but are interested in or are impacted by the same. The contract between the buyer and the seller happens to protect the interests of the two parties entering into the agreement. The seller provides goods or services to the buyer for which the buyer compensates the seller monetarily or through other financial or non-financial means.   A contract is a formal agreement between the two parties and it is a legal binding amongst the two entities. A formal contract must be in written format and can be used even in court of law in the case of either party failing to honour their commitment or in the case of an appeal against any misdeeds. Dishonouring contracts may actually lead to settlements even in court but should ideally be settled mutually among the disagreeing parties, most probably through a mediator called an ‘arbitrator’. Normally in large organizations contracts are managed by a separate contract manager or a procurements manager. The management of contracts are done in 2 separate ways namely; centralized contracting and decentralized contracting. In centralized contracting, one contract manager manages all the contract related matters for multiple projects. This requires expertise in contracting, standardization of contracting practices across the organization and more focused management of contracts. In decentralized contracting, separate contract managers are allocated to manage the procurements for individual projects. This results in full time management of contracts and the contract manager must report progress to the project manager. This results in more focused management of project contracts and with time creates specialized expertise in contracting. However, this may result in duplication of contracting expertise and less standardization of contracting practices across multiple projects in the company. There are three main types of contracts. They are Cost Reimbursable OR Cost Plus, Time and Material or Unit Price and Fixed Price or Lump Sum contracts.  The applicability and use of these contract types based on the type of project, complexity and the parties involved may decide on variations based on the charges involved in order to ensure that the contract terms are mutually beneficial for the two parties. Hence, these contracts vary based on the cost, time and price.  A cost plus or cost reimbursement contract is a contract in which the contractor is reimbursed or paid all the actual expenses they incur when carrying out the work. In addition to this they are also allowed to charge an extra fee allowing them to obtain a profit. For example a contractor taking up building a contract may claim resource costs as well as any miscellaneous expenses incurred for travel, food, purchases as well as charge an additional amount from the customer in order to make a profit from the tasks carried out. A fixed price contract on the other hand does not depend on the resources utilized or time expended. A fixed amount is agreed upon between the contractor and the customer where the amount is paid to the contractor even if the resources expended is lower or higher than the agreed upon amount. Time & material contract is where the contracting party is paid only for the amount of time or resources spent. For example if there is a software development firm which assigns 4 resources for a project on a T&M basis the company will be paid an hourly rate for each resource based on the amount of time they spend on tasks in the project.  Each contract type has its own pros and cons for both the contracting and implementation party. For example a fixed price contract is suitable for an organization as they would know the amount due before hand and know that they won’t end up paying extra if the triple project constraints are not met. Similarly, a time and material project may be suitable for both parties, as amount will be charged only based on the amount of work done in the project and for the time spent. Advantages and disadvantages of each contract type depend on the context. Thus, it is important for stakeholders involved in projects to negotiate on contracts wisely.
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Project Contracts – A Vital Legal Binding

One of the key knowledge areas discussed in the Pr... Read More

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