vaidyanathan_pm_pp_ch2 - MCST-CS

Report
Project Management:
Process, Technology, and Practice
Ganesh Vaidyanathan
Chapter 2
Process and Methods
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Learning objectives
Define project process and how organizations benefit from
adopting those processes oriented towards customer
satisfaction.
Understand PMBOK® project management processes and how
project activities are mapped to these processes for successful
project management.
Explain what Continuous Improvement Management (CIM) is
and how CIM methodology can be used in projects with
examples.
Explain what Six Sigma is and how this process improvement
approach is used to find defects and errors of a project with
examples.
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Learning objectives
 Describe the five levels of Capability Maturity Model (CMM) in
software projects and understand how organizations can attain
the highest software maturity level.
 Describe Software Development Life Cycle (SDLC) and the new
paradigms in software projects including extreme programming
and agile modeling, their inputs and outputs, and how those
software development models can be used effectively in
software projects.
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Process
 Process is a specific ordering of structured work activities that
include a beginning, an end, and clearly defined inputs and
outputs.
 A business process is a collection of related, structured
business activities or tasks in a specific order that produce a
specific service or product for a customer.
 A project process is a collection of project related structured
activities or tasks. In order for a project to be effective, the
activities or tasks have to be structured.
 A structure provides a standardized way of implementing
projects leading to project improvement. The project life span
is a structured methodology to implement projects and can be
considered an overall Copyright
project
process.
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Process and Procedure
 Graduation party process
 Invite friends procedure
• Series of interrelated
• Buy invitations for the occasion
activities – input to output • Write friends names correctly
• Make a list of friends
• Place invitations in envelopes
• Invite them for a party
in the right way
• Buy food and beverages
• Address envelopes with return
address
• Have fun
• Attach the correct stamp to
each envelope
• Mail the invitations well in
advance
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Process Improvement
 Is a systematic method to continuously improve how
organizations conduct businesses and projects
 When employees of an organization get involved in process
management, they work together and make the organization
better and more profitable by:
• satisfying customers
• producing products with almost no defects,
• eliminating waste, and
• implementing successful projects.
Project process improvements contribute to the success of projects.
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Process Improvement
 Process improvement has worked well for many organizations in
their projects, helping facilitate:
• better quality,
• lower cost,
• faster delivery,
• better performance, and
• increased value.
 Continuous Improvement Method (CIM)
 Six Sigma process
 Capability Maturity Model (CMM) process
 Systems Development Life Cycle (SDLC) and other MIS models
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PMBOK® Project Management Processes
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PMBOK® Project Management Processes
Mapping of PMBOK® Project Process groups and Project Knowledge Areas
Initiating
Planning
Executing
Controlling
Integration
Select
General project Execute all
Performance
planning;
activities and measurement,
Management project;
develop
choose
manage
monitoring
project
processes and project
and control;
charter;
tools; estimate progress
change
access
value;
control
process
determine
assets;
performance
determine
metrics
resources
Scope
Management
Determine
objectives
Execute with Scope
scope in
monitoring
and control;
mind
ensure
compliance
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Closing
Project
closure;
lessons
learned
added to
process
assets
Create scope
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PMBOK® Project Management Processes
Mapping of PMBOK® Project Process groups and Project Knowledge Areas
Initiating
Planning
Executing
Controlling
Time
Determine Create work
Manage
Schedule
breakdown
monitoring
Management initial
time
deliverables structure;
and control
create
schedules,
milestones,
and critical
paths
Cost
Determine Create initial
Manage cost Cost
monitoring
Management initial
budget
estimates
and control
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Closing
Financial
Closure
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PMBOK® Project Management Processes
Mapping of PMBOK® Project Process groups and Project Knowledge Areas
Initiating
Planning
Executing
Controlling Closing
Quality
Determine Determine
Manage
Quality
Final
quality
evaluation acceptance
Management quality
quality
processes standards
and control
Human
Define
Create
Develop
Resource
Resources
Resource
roles and
organizational and train
monitoring to other
structure;
resources; and control projects
Management authority
form project manage
team
resources
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PMBOK® Project Management Processes
Mapping of PMBOK® Project Process groups and Project Knowledge Areas
Initiating
Communications Identify
stakeholders;
Management
determine
business
needs
Risk
Identify initial
Management
business risks
Planning
Kick-off meeting;
plan all means of
communications
Identify all risks,
evaluation, and
responses
Executing
Hold progress
meetings and
communicate
with all
stakeholders
Manage all
risks
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Controlling
Produce
Performance
Reports
Closing
Value and
Performance
of project;
survey
satisfaction
Risk
monitoring and
control
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PMBOK® Project Management Processes
Mapping of PMBOK® Project Process groups and Project Knowledge Areas
Initiating
Planning
Executing
Controlling Closing
Procurement
Management
Determine
procurement
needs
Manage
procurements
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Procurement
audits
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CIM
 Is a methodology—a systematic structured process to
implement continuous improvement in quality in projects
 Involves all employees of an organization for continuous
improvements of the organization
• All employees need to be knowledgeable and practice this
methodology for its success.
 Customer-centric, meaning that customers, their requirements,
and their satisfaction become the focus a project
• Customers defines project requirements, provides budget,
determines schedule, determines level of quality, and are one of
the stakeholders who demand maximum value from the project.
 Scope or requirements of a project needs to be adhered and
monitored throughout the life span of the project.
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CIM Principles
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CIM Model
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CIM Model – Identify Opportunities
Identification of opportunities is often associated with a
specific problem which needs improvement.
These may be existing problems or “to-be” created products
or systems or services.
There may be a number of projects that were identified
during a period of time.
There may be choices that need to be made.
Choosing projects is accomplished according to
organizational criteria.
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CIM Model – Identify Opportunities
 These criteria may include:
• Urgency of a project
• Whether the project may be controlled
• The difficulty, or complexity of the project
• Time period of the project
• The amount of resources required for the project.
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CIM Model – Form Team and Create Scope
 Team formation is critical to the success of a project.
 This process helps to clarify roles and responsibilities and
designate initial members of a project.
 Using team resources, requirements from customer need to
be analyzed to establish the scope of a project.
 Using the scope of a project, a clear purpose of the project
has to be developed.
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CIM Model – Form Team and Create Scope
 This clear, unambiguous project purpose from project scope
will be used later to determine:
• Budget
• Resources
• Schedule
• Performance measures
• Overall value of a project.
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CIM Model – Analyze “as-is” and determine “to-be”
 ”As-Is” phase
• Helps to deduce necessary actions in order to improve
the project process
• Helps to achieve complete understanding of the existing
process so that a project team can have the basis to start
the “to-be” part of the project that complies with project
scope
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CIM Model – Identify root-causes & proposed solutions
 Root cause analysis should include:
• Technical feasibility, or whether technology exists to
implement the proposed system
• Economic feasibility to establish the cost-effectiveness of
the proposed system
• Legal feasibility that determines legal requirements
• Operational feasibility, or whether current work practices
and procedures are adequate to support the new system
• Social feasibility to reflect on organizational changes that
may affect users of the system, and
• Project feasibility to determine scope, schedule, budget,
performance, and value.
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CIM Model – Implementation, Progress, Closure
 Priorities and planning of a project can be achieved to
implement these solutions.
 Progress, performance, and value must be measured,
monitored, and controlled at every point of a project.
 Budget and schedule has to be monitored and controlled at
every point of a project.
 Project has to be monitored and controlled to adhere to
project scope and project requirements at every point of the
on-going project.
 Results of projects need to be communicated to all
stakeholders on an ongoing basis and should be used for
lessons learned from the project.
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Six Sigma
 Six Sigma is a process improvement approach that is used to
find and eliminate errors and defects, reduce cycle times,
reduce cost, improve productivity, and meet customer
expectations.
 Six Sigma is oriented toward the solution of problems at root
cause and prevention of their recurrence. Project
management typically is to control potential causes of failure.
Since we have recognized that project management is a
process, Six Sigma is a potential candidate applicable to
project process improvement.
 Six Sigma provides a structured data-driven methodology
with tools and techniques that help organizations measure
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Six Sigma
 Using Six Sigma, organizations can measure the baseline
performance of their project, determine the root causes of
variations in processes in those projects, and improve their
processes to meet and exceed desired performance levels. Six
sigma can be used in projects to improve quality performance
of projects.
 Six Sigma is a metric-driven methodology.
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Normal Distribution
 Z = (x-μ)/σ
• Z shows how many SD the
corresponding x value lies
above or below mean μ
1σ 2σ 3σ 4σ 5σ 6σ
-6σ -5σ -4σ -3σ -2σ -1σ
 Amount in 4oz – Instant Coffee Jar
• Normal distribution
• σ = 0.04 oz
• If only 2% of the jars are to contain less than 4 oz of coffee,
What is the average oz of coffee in these jars?
• X = 4 ; σ = 0.04 ; Z = z(0.5 – 0.02 = 0.48) = 2.05 from Tables
• Therefore, μ = 4.082 oz.; on an average, we have 4.082 oz.
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Six Sigma
Real-world Performance Levels
Situation/Example
In 1 Sigma
World
Pieces of your mail lost per year
1,106
[1,600 opportunities per year]
In 3 Sigma
World
In 6 Sigma
World
107
Less than 1
Number of empty coffee pots
at work (who didn't fill the
470
45
coffee pot again?) [680
opportunities per year]
Number of telephone
disconnections [7,000 talk
4,839
467
minutes]
Erroneous business orders
[250,000 opportunities per
172,924
16,694
year]
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Less than 1
0.02
0.9
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Six Sigma
Sigma Performance Levels - One to Six Sigma
Defects Per Million
Sigma Level
Opportunities (DPMO)
1
690,000
2
308,537
3
66,807
4
6,210
5
233
6
3.4
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Six Sigma
A local restaurant wants to know the effectiveness of their sub
sandwiches delivery system. They examine their delivery
characteristics for a few months. They want to know the
effectiveness by measuring the delivery problem calls from their
customers. If 2 subs were delivered per customer and if the
restaurant received 12 delivery problem calls from 30,000
customers, then the effectiveness of their delivery system as far as
delivery problem calls are concerned is:
Number of defects or errors = No of delivery problem calls = 120
Number of possible opportunities for defects = 30000*2
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Six Sigma
DPMO = (120/60,000) * 1,000,000 = 2,000
In Six Sigma, the metric that is stressed frequently is a
defect, a mistake, or error that is apparent to customers.
Six Sigma defines quality performance as defects per
million opportunities (DPMO).
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Six Sigma
For the sandwich restaurant performance evaluation in
Example 2-1, let us calculate the sigma level of the delivery
system process.
Using excel, we can easily calculate the process sigma as:
Sigma Level = NORMSINV(1- (DPMO/1,000,000)) + Shift
Where Shift = 1.5σ
Therefore, the delivery process sigma level is at:
NORMSINV(1-(200/1,000,000))+1.5 = 5.04σ
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Six Sigma
Let us say you go to a restaurant, SUBA, which serves subs near your office for 10
days. You order the same sub everyday and you record the time it took to receive
the sub from the time you order. Let those times in minutes be as follows:
3.2 4.4 4.8 5.2 5.7 6.7 6.7 7.5 8.3 9.0
You are tired of waiting for eight and nine minutes during your last two trips
and you decide to try out another restaurant, SUBJ, which serves similar
subs. Again you order the same type of subs and you record the times in
minutes it took for you to receive the sub from the time you ordered.
5.5 5.6 5.7 5.8 6.1 6.3 6.4 6.7 6.7 6.7
Mean
Mode
Standard Deviation
Variation
SUBA
6.15
6.7
1.82
3.32
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SUBJ
6.15
6.7
0.48
0.23
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Six Sigma
No. of Opportunities
No. of Defects
Customer Preferred wait time
Sigma Level
SUBA
SUBJ
10
10
6
4
4 to 6 mins
1.25
1.75
SUBA
SUBJ
10
10
8
6
5 to 6 mins
0.66
1.25
As we discussed, the sigma level is dependent on the tolerance. Let
us say that customers on average want the subs ready in 4 to 6
minutes. Now, looking at the waiting times data, we have 6 defects
for SUBA and 4 defects for SUBJ. Since the number of opportunities
is 10, sigma level for SUBA is 1.25 and sigma level for SUBJ is 1.75. If
we tighten the tolerance of customers to wait for 5 to 6 minutes,
then the sigma level for SUBA is 0.66 and for SUBJ is 1.25. SUBJ
restaurant can boast a better controlled order fulfillment process.
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Six Sigma
 DMAIC Process
 DMADV Process
 Define
 Define
 Measure
 Measure
 Analyze
 Analyze
 Design
 Design
 Verify
 Verify
DMAIC is used for projects aimed at improving an
existing business process in a project.
DMADV, another methodology, is used for projects
aimed at creating new product or process designs.
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DMAIC
 Define
• This phase is about defining the problem statement of
the project.
• A problem statement is a clear description of project
issues that have to be addressed by a project team in
order to implement a project effectively and efficiently.
• This phase is very much like the project initiation phase
that we will discuss in detail in later chapters.
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DMAIC
 Measure
• This phase focuses on the measurement of internal
process that impacts factors that are critical to quality.
• All important factors that can be controlled or changed to
improve factors that are critical to quality have to be
understood clearly.
• For example, in the restaurant delivery system that we
discussed before, delivery of subs to the customers may
be a function of many factors that are critical to quality.
• Once the relationships are established, data and
observations can be collected.
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DMAIC
 Analyze
• This phase focuses on why and how defects and errors
occur.
• Processes are analyzed to determine the root causes of poor
performance and whether the process can be improved or
should be redesigned.
• The collected data and observations are used to verify
relationships between variables.
• This root cause analysis gives a stable and reasonable
approach to find which factors critical to quality need to be
improved.
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DMAIC
 Improve
• This phase is devoted to idea generation for improvement
of factors that are critical to quality.
• Improving processes based on measurements and analysis
can ensure that defects are lowered and processes are
streamlined.
• Project management techniques are used to plan and
implement these ideas.
• We will discuss project management techniques for
planning and implementation in later chapters.
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DMAIC
 Control
• Control ensures that variances that display in the project
process are corrected.
• Controls can be in the form of pilot-runs to determine if the
processes are within specifications and then transitioned into
project implementation.
• Continued measurement and analysis must ensue to keep
processes on track and free of defects to ensure the targeted
sigma level.
• The difference in this type of control to project management
control is that in this method Statistical Process Control (SPC)
technique is employed to monitor the performance of key
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Software Process
 Software Process
• A set of activities, methods, practices, and
transformations that people use to develop and maintain
software and its associated products that include project
plans, design documents, code, test cases, and user
manuals
 Software Process Maturity
• A potential for growth in capability and indicates both the
richness of an organization's software process and the
consistency with which it is applied in projects throughout
the organization
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CMM and CMMI
 CMM - Capability Maturity Model
• A model for software implementation used by many
organizations to identify best practices that are useful in
increasing the maturity of their processes
 CMMI - Capability Maturity Model Integration
• Successor of CMM
 CMM and CMMI bring in an overall organized strategy to
improve software process and efforts.
 They show an evolutionary path to achieve project results
from process improvement efforts.
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CMM and CMMI
 They provide a roadmap for continuous process
improvement .
 They act as guides to the advancement and identify
deficiencies in an organization.
 They are not intended to provide a quick fix for projects in
trouble.
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The Benefits of CMM and CMMI
 Provide guidance on how to gain control of their processes to
develop and maintain software
 Allow organizations to strategize how to evolve toward a
culture of software engineering and management excellence
 Guide software organizations in selecting process
improvement strategies by determining current process
maturity and identifying the few issues most critical to
software quality and process improvement
 Allow organizations to focus on a limited set of activities and
work aggressively to achieve them so that organization-wide
software processes are enabled to be continuous and lasting
gains in software process capability
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CMM
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SDLC
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Iterative SDLC
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Spiral
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Unified Process
 The Unified Process (UP) is a software engineering process.
 It is used to develop object-oriented software.
 The Unified Modeling Language (UML) is a core notation
incorporated within UP.
 UML is designed to clearly communicate the most essential
elements of object-oriented software development projects
including requirements, architectures, and design.
 UML is a graphical language for visualizing, specifying,
constructing, and documenting object-oriented software.
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Unified Process
 The UML offers a standard way to write the blueprints of an
intended system including:
• business domain specifications
• system functions
• programming language statements
• database schematics, and
• reusable software components.
 To create specifications, the object-oriented approach and
the UML require several interrelated models.
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Unified Process and Use Case Analysis
 UP is an iterative process and defines four phases including:
• Inception
Acquire Customer requirements and Planning
• Elaboration
Reconcile
Use Case Diagrams
POS
• Construction
Customer
Clerk
Transactions
Development
Approve
Approve
 Time-boxed iterations (e.g. 1 week)
Manage
Resources
• Transition
Order
Store
Inventory
Manager
Beta testing and Final testing
Installation, training, and support
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
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
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Unified Process
Agile Unified Process (AUP)
Basic Unified Process (BUP)
Enterprise Unified Process (EUP)
Essential Unified Process (EssUP)
Open Unified Process (OpenUP)
Rational Unified Process (RUP)
Oracle Unified Method (OUM)
Rational Unified Process-System Engineering (RUP-SE)
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Unified Process
 Rational Unified Process-System Engineering (RUP-SE)
• Develop software iteratively
• Manage requirements
• Use component-based architectures
• Visually model software
• Verify software quality
• Control changes to software
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Unified Process
• Horizontal axis
represents time, shows
the dynamic aspect of
the process as it is
enacted; expressed in
terms of cycles, phases,
iterations, and
milestones
• Vertical axis represents
the static aspect of the
process, i.e., how it is
described in terms of
activities, artifacts,
workers
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Scrum
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Extreme Programming (XP)
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Extreme Programming (XP)
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Agile Modeling (AM)
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Summary
 A project process is a collection of related structured
activities or tasks of a project.
 Every project is aligned to the strategy of an organization and
is always a part of a continuous improvement process.
 Process improvement is a systematic method to continuously
improving how organizations conduct businesses and
projects.
 When employees of an organization get involved in process
management, they work together and contribute to the
success of projects.
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Summary
 While most organizations use integrated philosophies and
techniques such as total quality management, continuous
quality improvement, and Six Sigma in their process
management approaches, computer-related software
projects use Systems Development Life Cycle (SDLC),
Iterative, Spiral, Unified Process, Scrum, XP, and Capability
Maturity Model (CMM) processes.
 SDLC is being followed for large complex software projects.
Agile methods like XP and Scrum are beginning to become
popular with smaller teams for small projects.
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Summary
 Both XP and Scrum are very customer driven, boast of
frequent product or software releases and constant testing.
Agile Methods are driven towards collaborative teamwork
and adapt well to organizational culture.
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Class Discussions
 Can CIM be used in any project? What are the pros and cons
of CIM in any of these projects?
 Can Six Sigma be used as a benchmark to measure quality in
any project? How can Six Sigma be used in activities of an
instructor in assigning grades?
 Is documentation in MIS projects needed? Why? Why not?
 How do processes help organizations realize stakeholder
satisfaction?
 Can all benefits of project management be realized?
 Compare SDLC to AM and discuss their pros and cons.
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