PMBOK® Guide (6th Edition) – Chapter 2 – Project Environments

Introduction

This tutorial will guide you through the key concepts of Chapter 2 of the PMBOK® Guide (6th Edition), focusing on project environments. Understanding how different organizational structures and environmental factors influence project management is essential for any project manager. This knowledge will help you navigate challenges and optimize project success.

Step 1: Understand Organizational Structures

Organizational structures significantly impact project management. There are three main types:

1. Functional Organizations

   • Functional managers hold most authority.
   • Project managers have little to no authority; their role may be part-time.
   • Resources are controlled by functional managers.
   • Coordination relies heavily on functional managers.

2. Project-Oriented Organizations

   • Project managers have full authority and often work full-time.
   • They control budgets and resources.
   • Project teams are usually co-located.

3. Matrix Organizations

   • A blend of functional and project-oriented structures.
   • Can be classified as strong, weak, or balanced matrix:
     • Strong Matrix: Project managers have more authority.
     • Weak Matrix: Functional managers have more authority.
     • Balanced Matrix: Equal authority between project and functional managers.

Practical Advice

• Assess your organization’s structure to understand your authority and resource availability.
• Prepare to adapt your project management strategies based on your organization’s structure.

Step 2: Recognize Organizational Process Assets

Organizational process assets include plans, policies, and knowledge bases that influence project management. They fall into two categories:

1. Processes and Procedures

   • Examples include templates, change control procedures, and financial guidelines.
   • Follow these to ensure compliance and efficiency in managing projects.

2. Corporate Knowledge Bases

   • Systems for storing documents and project files, such as Google Drive or Microsoft SharePoint.
   • Utilize these resources for reference and to maintain project documentation.

Practical Advice

• Familiarize yourself with your organization's processes and utilize templates for consistency.
• Make use of shared knowledge bases to enhance your project's success.

Step 3: Identify Enterprise Environmental Factors

Enterprise environmental factors are conditions outside the project team's control that influence project management. Key factors include:

• Organizational Culture and Structure
• Geographic Distribution of Resources
• Market Conditions
• Political Climate

Practical Advice

• Stay informed about external conditions that may impact your projects.
• Develop contingency plans to address potential challenges from these external factors.

Step 4: Leverage the Project Management Office

A Project Management Office (PMO) standardizes project governance and provides resources. There are three types of PMOs:

1. Supportive PMOs: Offer templates and best practices.
2. Controlling PMOs: Require compliance while providing support.
3. Directive PMOs: Take direct control of projects.

Practical Advice

• Engage with your PMO for guidance and resources.
• Ensure compliance with PMO standards to enhance project governance.

Step 5: Manage Project Stakeholders

Stakeholders can significantly influence project outcomes. They include:

• Project team members
• Sponsors
• Customers
• Functional managers
• External sellers

Practical Advice

• Identify key stakeholders and understand their influence on the project.
• Maintain open communication to manage expectations and mitigate risks.

Conclusion

Understanding the project environment is crucial for effective project management. By grasping organizational structures, process assets, environmental factors, PMO roles, and stakeholder management, you can enhance your ability to successfully navigate projects. As a next step, consider exploring additional training or certifications, such as Lean Six Sigma, to further boost your project management skills.