PMI Visual Wall — Master Edition
The entire project-management knowledge ecosystem on 22 A3-landscape posters, in one file. Each poster shares the same anatomy — Purpose → Visual Map → Key Concepts → Relationships → Exam Concepts → Executive View → Industry Example → Memory Hooks → 60-second Daily Review — and a colour spine coded by domain so the printed wall is navigable at a glance. All content is original instructional design in standard PMI terminology.
Colour code: ■ Master/Strategy ■ PMBOK 7 / Project ■ Business Analysis / Value ■ Risk ■ EVM / Formulas ■ Program ■ Portfolio ■ OPM
SECTIONS 1–3
- 01 PMI Ecosystem Master Map
- 02 The 12 Principles
- 03 The 8 Performance Domains
- 04 Value Delivery System
- 05 Tailoring
- 06 Models, Methods & Artifacts
- 07 Business Analysis & Its 6 Domains
- 08 Needs Assessment
- 09 Elicitation, Analysis & Requirements
- 10 Traceability & Solution Evaluation
SECTIONS 4–6
- 11 Risk — Fundamentals & Principles
- 12 Risk — Process & Responses
- 13 Risk — 3 Levels & Quant Tools
- 14 EVM — Measures, Variances & Indices
- 15 EVM — Forecasting (EAC/ETC/VAC/TCPI)
- 16 Program — Fundamentals & Benefits
- 17 Program — Domains, Life Cycle & Governance
SECTIONS 7–10
- 18 Portfolio — Fundamentals & Alignment
- 19 Portfolio — Domains, Selection & Balancing
- 20 OPM & Organisational Maturity
- 21 The Formulas Wall
- 22 Master Revision Wall
Print all, hang in spine-colour order, and drill Poster 22 daily.
The PMI Ecosystem — Master Map
Visual Map — Strategy → Delivery → Value
(deliverables)▶ Outcomes
(change)▶ Benefits
(gains)▶ VALUE
Key Concepts
- Portfolio
- Doing the right work — strategic selection & balance.
- Program
- Coordinated delivery of benefits across components.
- Project
- Doing work right — a unique, temporary endeavour.
- Output
- The deliverable a project hands over.
- Outcome
- The change/result the output enables.
- Benefit
- The measurable gain to the organisation.
- Value
- Worth to stakeholders — financial or not.
- Governance
- Authority, decisions, oversight (the "rules").
- Management
- Day-to-day execution within those rules.
Relationships — How the layers connect
- Money & mandate flow down; benefits, status & lessons flow up.
- A program groups related projects to unlock benefits no single project could.
- A portfolio groups programs/projects/ops — related or not — to meet strategy.
- OPM is the system that keeps all three aligned to strategy.
- BA feeds every level the right requirements; Risk gives every level one risk language; EVM gives every level one performance language.
Exam Concepts
- Portfolio components are not necessarily related; program components are.
- Output ≠ outcome ≠ benefit ≠ value — know the ladder.
- "Tactical vs strategic": project=tactical, portfolio=strategic.
- Governance ≠ management.
Executive View
- Allocate capital to the highest-value mix, not the loudest sponsor.
- Kill, pause or continue investments at gates.
- Steer by value & benefits, not just on-time/on-budget.
- Confirm strategy is actually being executed.
Industry Example — Defence shipbuilding
- Portfolio: naval capability investments.
- Program: a frigate class program.
- Projects: hull, combat system, integration.
- Benefit→Value: in-service readiness → security.
Memory Hooks
- "Right things → right way → done right" = Portfolio → Program → Project.
- Money goes DOWN ▼, Value comes UP ▲.
- P-P-P: Pick · Pace · Produce.
The 12 Project Management Principles
Visual Map & Key Concepts — All 12, clustered
Relationships
- Principles rest on the PMI Code of Ethics: Responsibility, Respect, Fairness, Honesty.
- The 12 enable the 8 Performance Domains — principles = mindset, domains = activity.
- Uncertainty cluster: Risk + Complexity + Adaptability work together.
- People cluster (Stewardship, Team, Stakeholders, Leadership) underpins all the rest.
Exam Concepts
- Principles are not prescriptive and are not processes.
- Stewardship covers internal + external (society, environment).
- Leadership ≠ positional authority — anyone can lead.
- Tailoring appears as both a principle and a recurring theme.
Executive View
- The 12 are a leadership operating system for delivery culture.
- Stewardship + Value map directly to board & ESG conversations.
- Promote leadership at all levels, not just at the top.
- Use as decision tie-breakers when rules conflict.
Industry Example — Manufacturing line upgrade
- Systems thinking: a faster cell starves the next station — model the whole line first.
- Quality built-in: poka-yoke & in-process checks beat end-of-line inspection.
- Optimise risk: spend on a pilot cell before committing the full retrofit.
- Change: operator training & buy-in decide whether throughput actually rises.
Memory Hooks
Sentence mnemonic (in order 1–12):
Stewards Tend Stakeholders' Value · Systems Lead Tailored Quality · Complexity, Risk, Adaptability, Change
- 4 People, 2 Outcome, 3 System, 3 Adaptation — recite by colour.
The 8 Performance Domains
Visual Map & Key Concepts — the 8 domains, their outcomes, signals & traps
| Domain | Intent | Target outcomes | Measures / indicators | Watch-out |
|---|---|---|---|---|
| 1 · Stakeholders | Build productive relationships & the right level of engagement. | Stakeholders aware, engaged & supportive; conflicts surfaced & managed. | Engagement level (unaware→leading); satisfaction; open issues. | A hidden or under-engaged stakeholder. |
| 2 · Team | Grow a high-performing, shared-ownership team & distributed leadership. | Trust, safety, shared ownership, capability growth. | Stable velocity; retention; morale / safety pulse. | Hero culture & burnout. |
| 3 · Development Approach & Life Cycle | Choose predictive / iterative / incremental / adaptive / hybrid & a fitting life cycle & cadence. | Approach matches the deliverable & context; delivery cadence set. | Fit-for-context check; release cadence. | Forcing one approach onto every deliverable. |
| 4 · Planning | Organise & coordinate the work progressively & proportionately. | Coordinated, "just-enough" plan; estimates that evolve. | Forecast accuracy; plan/baseline stability. | Over-planning & big-bang plans. |
| 5 · Project Work | Run efficient processes — resources, procurement, communications, learning. | Smooth flow; informed stakeholders; capable, supplied team. | Throughput; WIP; lead / cycle time. | Invisible work & bottlenecks. |
| 6 · Delivery | Deliver the scope & quality that achieve the intended outcomes. | Requirements met; acceptance & quality criteria satisfied; value delivered. | Acceptance %; defect/escape rate; scope completion. | Shipping output that produces no outcome. |
| 7 · Measurement cross-cutting | Assess performance vs plan/value & act on it. | Reliable information; timely, evidence-based decisions. | EV · CPI · SPI; leading vs lagging KPIs; dashboards. | Vanity metrics & gamed numbers. |
| 8 · Uncertainty cross-cutting | Navigate risk, ambiguity, complexity & volatility. | Threats reduced; opportunities captured; resilience built. | Risk exposure (EMV); reserve burn; variability. | Ignoring opportunity; false precision. |
Relationships
- All 8 run simultaneously & continuously — they are not a sequence.
- Dev Approach shapes Planning & Project Work; Delivery realises Stakeholder value.
- Measurement feeds decisions in every other domain.
- Uncertainty overlays all — risk lives everywhere.
Exam Concepts
- Domains are concurrent, not phases.
- They are the lens that replaced the 10 knowledge areas.
- Steer by outcomes & checks, not activities.
- Leading indicators predict; lagging confirm.
- You tailor the system of domains to context.
Executive View
- Exec dashboards = the Measurement domain made visible.
- Watch flow metrics (lead time, throughput) beside Earned Value.
- Reward outcomes over outputs.
- Treat Uncertainty as a standing board topic.
Industry Example — Rail station build
- Dev Approach: predictive civils, agile for the passenger-info software → hybrid.
- Project Work: manage interfaces between contractors as flow & WIP.
- Delivery: "trains stop & passengers flow safely," not just "platform poured."
- Uncertainty: weather, utilities & possessions are the live risk drivers.
Memory Hooks
Order mnemonic (1–8):
Some Teams Develop Plans, Producing Deliverables Measured (under) Uncertainty
- M & U are the two cross-cutting domains — picture them as a frame around the other six.
The Value Delivery System
Visual Map — the system, end to end
Strategy▶ Portfolio
right work▶ Program
benefits▶ Project
outputs▶ Product
thing of value▶ Operations
sustain▶ Customer
realises value
The system is governed as a whole. Feedback loops from operations & customers continually re-shape strategy and the portfolio — value delivery is circular, not a one-way pipeline.
The Value Ladder
Key Concepts
- Value
- Worth/importance to stakeholders.
- Business value
- Net quantifiable benefit to the org.
- Internal value
- Capability, IP, morale, readiness.
- External value
- Customer & market worth.
- Value stream
- The flow that turns need → value.
- System view
- Optimise the whole, not a part.
Relationships
- Each component feeds the next; operations sustain the value over time.
- Portfolio governance steers the whole toward strategy.
- Benefits are often realised after the project closes — programs/operations own realisation.
- Customer feedback loops back to reshape strategy.
Exam Concepts
- Output ≠ outcome ≠ benefit ≠ value.
- Value can be non-financial.
- Benefit realisation may sit past closure.
- Know the term "value delivery system."
Executive View
- Steer the portfolio by value, not activity.
- Maintain a benefits dependency network.
- Ask: "value created — or just deliverables shipped?"
- Fund realisation, not only build.
Industry Example — Enterprise SaaS
- Output: a new billing feature ships.
- Outcome: finance teams adopt it.
- Benefit: churn down, ARPU up.
- Value: higher enterprise valuation.
Memory Hooks
- Build → Use → Gain → Worth = the value ladder.
- "OO-BV": Output, Outcome, Benefit, Value.
- Money down ▼, value up ▲ — and it loops.
Tailoring
Visual Map — The Tailoring Funnel
initial development approach ▸ 2 · Tailor for the Organisation
governance, methodology, policy, culture ▸ 3 · Tailor for the Project
product, team & the specific context ▸ 4 · Implement & Improve
inspect, adapt, refine continuously ↺
The funnel narrows from a broad starting point to a precise fit, then loops — step 4 feeds learning back into steps 1–3 throughout delivery. You tailor the life cycle, processes, engagement (people), tools, methods & artifacts — but the 12 principles always apply.
What Drives the Decision? — Read the Context
| Dimension | Pushes toward Predictive ▸ | ◂ Pushes toward Adaptive |
|---|---|---|
| Requirements | Stable, clear, well understood | Emerging, uncertain, fast-changing |
| Risk & regulation | Safety-critical, heavily regulated | Low regulatory burden |
| Cost of change | Expensive to change late | Cheap & easy to change |
| Delivery cadence | One large, integrated delivery | Frequent small increments |
| Customer involvement | Limited / milestone-based | Continuous & collaborative |
| Size & duration | Large, long, many interfaces | Small-to-medium, shorter |
| Team & culture | Distributed, low agile maturity | Co-located/empowered, agile-fluent |
What You Can Tailor
- Life cycle & development approach — phases, gates, cadence.
- Processes — add, remove, blend or align to fit value.
- Engagement — how people & stakeholders interact.
- Tools — methods of delivery, software, infrastructure.
- Methods & artifacts — which models, methods & documents you actually use (Poster 6).
Relationships
- Tailoring is Principle #7 and a theme across all 8 domains.
- Organisational governance / the PMO sets the guardrails you tailor within.
- Feeds Development Approach & Life Cycle domain directly.
Exam Concepts
- Goal = maximise value, minimise waste — not reduce rigour.
- Tailoring is iterative & ongoing, not a one-time setup.
- Over-tailoring (too much process) and under-tailoring (too little) are both risks.
- You tailor methods, never the principles.
- Tailoring decisions should be justified & documented.
Executive View
- Right-sized governance = speed without losing control.
- Avoid one-size-fits-all mandates that burden small work.
- A documented tailoring framework signals organisational maturity.
- Frees senior attention for high-risk, high-value projects.
Industry Example — Defence vs Start-up
- Shipbuilding: fixed config baselines, stage gates, safety regs → strongly predictive, minimal agile tailoring.
- Internal tooling team: backlog, 2-week sprints, continuous release → adaptive.
- Regulated SaaS: agile build inside a predictive compliance & assurance wrapper.
Memory Hooks
- "Tailor the suit to the person" — fit the method to the work, never the reverse.
- A·O·P·I = Approach → Organisation → Project → Improve (the 4 funnel steps).
- More tailoring ≠ less rigour — it means appropriate rigour.
- Stable + regulated → predictive; uncertain + fast → adaptive; both → hybrid.
Models, Methods & Artifacts
MODELS — ways to think
- Situational leadership: flex style (direct → coach → support → delegate) to follower readiness.
- Communication: sender–receiver, channels = n(n−1)/2, cross-cultural & effectiveness models.
- Motivation: Maslow (hierarchy) · Herzberg (hygiene vs motivators) · McGregor (Theory X / Y) · intrinsic vs extrinsic · Pink (Autonomy·Mastery·Purpose).
- Change: ADKAR · Kotter 8-Step · Bridges Transition (ending→neutral→beginning) · Satir curve.
- Complexity: Cynefin (clear / complicated / complex / chaotic) · Stacey matrix.
- Team development: Tuckman (Forming·Storming·Norming·Performing·Adjourning) · Drexler–Sibbet.
- Conflict: Thomas–Kilmann — Compete · Collaborate · Compromise · Avoid · Accommodate.
- Stakeholders: Salience (Power·Legitimacy·Urgency) · Power/Interest grid.
- Process / planning: PDCA · OODA · escalation & negotiation models.
METHODS — ways to do
- Data gathering: brainstorming · interviews · focus groups · benchmarking · surveys · checklists.
- Data analysis: alternatives · cost-benefit · earned value · forecasting · root-cause · variance · trend · what-if · SWOT · regression · reserve · assumption/constraint.
- Estimating: analogous (top-down) · parametric · three-point / PERT · bottom-up · affinity (story points, t-shirt sizing).
- Decision-making: voting / fist-of-five · multicriteria (MCDA) · weighted scoring.
- Data representation: see Artifacts → "visual data & information".
- Meetings & events: stand-ups · reviews · retrospectives · planning · kick-offs.
ARTIFACTS — things you show
- Strategy: business case · project brief · charter · roadmap.
- Logs & registers: assumption · backlog · change · issue · lessons-learned · risk · stakeholder (RAID).
- Plans: PM plan + subsidiary plans (scope, schedule, cost, quality, comms, risk, etc.).
- Baselines: scope · schedule · cost · the integrated performance measurement baseline (PMB).
- Hierarchy charts: WBS · OBS · RBS (risk & resource breakdown).
- Visual data & info: Gantt · burn-up/down · cumulative flow (CFD) · S-curve · RACI · dashboard · story map · value stream map.
- Reports: status · progress · quality · risk reports.
- Agreements / contracts: FFP · T&M · CPFF · CPIF.
High-Yield Exam Concepts
- Contract risk: FFP = most risk on seller; CPFF / cost-plus = most risk on buyer; T&M = shared.
- PERT (expected) = (O + 4M + P) / 6 · PERT σ = (P − O) / 6.
- Communication channels = n(n − 1) / 2.
- Baseline = approved version + approved changes; measure actuals against it.
- Know cold: Tuckman stages · Cynefin domains · Thomas-Kilmann modes · Salience · ADKAR vs Kotter.
- Match the tool to the context — there is no single "right" set.
Executive View
- Standardise a core toolkit; let teams tailor the rest.
- Dashboards & S-curves are the artifacts that reach the board.
- Contract type = a strategic risk-allocation lever, not an admin detail.
Industry Example — Manufacturing Transformation (Lean Cell)
- Models: Cynefin to classify the change · Kotter + ADKAR to drive shop-floor adoption · Tuckman to read the new cell team.
- Methods: cost-benefit + parametric estimate to justify the cell · root-cause (5 Whys) on defects · what-if for capacity.
- Artifacts: business case · WBS · risk register · S-curve · RACI · value stream map of the line.
Memory Hooks
- "Models think · Methods do · Artifacts show."
- Tuckman: "Form a Storm, Normally Perform, then Adjourn."
- Artifacts = the PM's paper trail (logs record, baselines compare, reports communicate).
Business Analysis & Its Six Domains
Visual Map — The Six Business-Analysis Domains
find & justify the right problem ▸ 2 · Stakeholder Engagement
plan BA & engage the right people ▸ 3 · Elicitation
draw out needs & requirements ▸ 4 · Analysis
model, specify & validate ▸ 5 · Traceability & Monitoring
link, baseline & manage change ▸ 6 · Solution Evaluation
prove value vs the need
Stakeholder Engagement and Traceability & Monitoring run continuously across the others; Elicitation ↔ Analysis iterate as a tight loop. The chain is shown left→right but the work is iterative, not strictly sequential.
BA vs PM — Two Roles, One Goal
| Lens | Business Analyst | Project Manager |
|---|---|---|
| Core question | Are we building the right thing? | Are we building the thing right? |
| Owns | Needs, requirements, solution scope, value | Time, cost, resources, delivery, risk |
| Key outputs | Business case, requirements, traceability, evaluation | Charter, plans, baselines, status reports |
| Shared ground | Scope · stakeholders · change control · quality · communication | |
Key Concepts
- Need ≠ requirement: a need is the problem; a requirement is a stated condition the solution must meet.
- BA can be a role or a set of activities anyone may perform.
- BA is product-focused; PM is project-focused.
- BA spans strategy → delivery → value, including after go-live.
Exam Concepts
- Know the 6 domains and their order.
- Requirements are the heart of business analysis.
- BA precedes & outlives the project (needs → evaluation).
- Stakeholder engagement & traceability are continuous.
Executive View
- Good BA slashes costly rework by getting requirements right early.
- Ties every requirement to a business value.
- Bridges strategy and delivery — fewer orphaned features.
Industry Example
- Upgrading a vessel's combat-management system: BA elicits needs from operators & maintainers, defines requirements, traces each to a capability gap, and later evaluates the fielded system against mission outcomes.
Relationships
- Feeds the project charter (via the business case) and the PMBOK 7 value delivery system (Poster 4).
- Supports portfolio selection — needs assessment justifies the investment.
- Solution evaluation links to benefits realisation in programs (Poster 16).
Memory Hooks
- "Right problem · right solution · real value."
- Domain order — N·S·E·A·T·S: "Never Stop Eliciting And Tracing Solutions."
- BA = the "what & why"; PM = the "how & when."
Needs Assessment
Visual Map — From Problem to Business Case
problem / opportunity ▸ Assess Current State
capabilities, costs, pain ▸ Define Future State
goals & objectives ▸ Determine Options
assess feasibility ▸ Recommend & Justify
the business case ▸ → Charter
hand-off to delivery
The gap between current and future state defines the solution scope. Options are screened on feasibility — operational, technical, financial, schedule — before one is recommended.
Define the Problem
- Situation statement: problem/opportunity + impact + consequence.
- Root cause: 5 Whys · Ishikawa (fishbone) — fix the cause, not the symptom.
- SWOT to frame internal/external factors.
- Quantify the cost of the problem & cost of delay.
Define the Future State
- Goals (broad) → objectives (SMART: specific, measurable, achievable, relevant, time-bound).
- Identify capability gaps to close.
- Set the success measures / KPIs up front.
- Bound the solution scope.
The Business Case
- Recommended option + rationale.
- Costs vs benefits — NPV, ROI, payback, IRR.
- Risks, assumptions, constraints, dependencies.
- Success measures & recommendation to proceed.
Exam Concepts
- Needs assessment may occur pre-project (portfolio) or in-project.
- Assess the current state — don't assume it.
- Goals vs objectives; objectives are SMART.
- Feasibility = operational · technical · financial · schedule.
Executive View
- Kills weak ideas early — protects the budget.
- Aligns each investment to strategy.
- Locks in measurable success criteria before spend.
Industry Example
- "Should we automate the welding line?" Current state: labour cost & defect rate. Future state: +30% throughput, −50% rework. Options: cobots vs full automation vs outsource. Business case picks cobots on payback < 18 months.
Relationships
- Output → business case → charter → BA plan & delivery.
- Feeds portfolio selection & prioritisation (Poster 18).
- Future-state measures become solution-evaluation criteria (Poster 10).
Memory Hooks
- Sequence — P·C·F·O·C: Problem → Current → Future → Options → Case.
- "Don't fall in love with a solution before you've defined the problem."
- Gap = future − current = the scope.
Elicitation, Analysis & Requirements
Elicitation — Draw It Out
- Techniques: interviews · facilitated workshops (JAD) · focus groups · observation / job-shadowing · surveys · document analysis · prototyping · brainstorming.
- Always confirm elicitation results with stakeholders — capture, then play back.
Analysis — Make It Buildable
- Validation = the right requirements (meet the need).
- Verification = requirements built right (quality, testable).
- Prioritise with MoSCoW — Must / Should / Could / Won't.
Requirement Types — The Classification Ladder
why — goals & value ▸ Stakeholder
who needs what ▸ Solution — Functional
what it must do + Solution — Non-functional
how well (perf, security…) ▸ Transition
how we get there (training, migration)
Good requirements are: clear · concise · complete · consistent · feasible · unambiguous · testable · traceable. Transition requirements are temporary — they retire once the solution is live.
Modelling Toolkit — Show, Don't Just Tell
- Scope: context diagram · use-case · feature model.
- Process: flowchart · swimlane · BPMN.
- Rules: decision table · decision tree.
- Data: ERD · data dictionary · state diagram.
- Interface: wireframe · report table · prototype.
- Agile: user stories + acceptance criteria.
Exam Concepts
- Elicitation surfaces latent needs — it's active, not passive.
- Always confirm elicitation results.
- Functional = what it does; non-functional = how well.
- Validate vs verify — know the difference cold.
Executive View
- Prioritised, testable requirements = predictable delivery.
- Models give a shared picture across business & tech.
- MoSCoW makes trade-offs explicit when budgets tighten.
Industry Example
- New SaaS module: workshops + prototypes elicit needs; a context diagram bounds scope; user stories + acceptance criteria specify; MoSCoW sets the MVP.
Memory Hooks
- Levels — B·S·S·T: Business → Stakeholder → Solution → Transition.
- "Validate = right thing · Verify = thing right."
- Elicit → Model → Specify → Confirm — then loop.
Traceability, Monitoring & Solution Evaluation
Visual Map — The Requirements Traceability Matrix (RTM)
| Business need / objective | Stakeholder req. | Solution req. | Design / build | Test case | Status |
|---|---|---|---|---|---|
| Cut line defects 50% | Operator alert on fault | FR-12 fault alarm <2s | PLC module M4 | TC-12 | Verified |
| Cut line defects 50% | Trace each reject | FR-15 log reject + cause | MES report R7 | TC-15 | Implemented |
Forward tracing = need → requirement → build → test (coverage). Backward tracing = test/feature → originating need (no orphans, no gold-plating). The RTM is the backbone for impact analysis & scope control.
Traceability & Monitoring
- Trace each requirement both ways; maintain coverage.
- Baseline approved requirements; control change via impact analysis.
- Track requirement states: proposed → approved → implemented → verified.
- Approve changes through the right authority before work proceeds.
Solution Evaluation
- Define evaluation criteria & KPIs (from the future-state measures).
- Collect actuals; compare actual vs expected value.
- Identify limitations / solution & enterprise gaps.
- Recommend: release · iterate · replace · retire.
Exam Concepts
- Traceability enables impact analysis & guards against scope creep.
- Evaluation can continue after go-live.
- Tie results back to the business case & benefits.
- A baseline is an approved version; changes are controlled.
Executive View
- Proof the investment paid off — value, not just delivery.
- Objective basis to continue, scale or kill.
- Traceability protects scope & supports audit / assurance.
Industry Example
- Post go-live on the automated cell: measure OEE, scrap %, throughput vs the business case. Defects fell 42% (target 50%) → recommend tuning, then evaluate scaling to a second line.
Relationships
- RTM underpins integrated change control with the PM.
- Evaluation feeds benefits realisation (programs, Poster 16) & value (Poster 4).
- Findings inform portfolio continue/kill decisions (Poster 18).
Memory Hooks
- "Trace it · prove it · value it."
- RTM = the spine linking need → test. No trace, no proof.
- Evaluation answer = release · iterate · replace · retire.
Risk Fundamentals & Principles
The Core Distinctions
| Term | Means | Not to be confused with |
|---|---|---|
| Risk | Uncertain — may happen (future) | Issue — has already occurred (now) |
| Threat | Risk with a negative effect | Opportunity — risk with a positive effect |
| Individual risk | One discrete event/condition | Overall risk — aggregate effect of all uncertainty |
| Secondary risk | Created by a response | Residual risk — left after a response |
How Much Risk? — The Appetite Stack
- Risk appetite — the amount of risk an organisation is willing to pursue (board-level).
- Risk tolerance — the acceptable variation around objectives.
- Risk threshold — the measurable trigger point where action is required.
- Risk capacity — the maximum risk the organisation can absorb.
- Risk attitude: averse · neutral · seeking · tolerant.
Guiding Principles of Effective Risk Management
- Value-focused — protect and create value.
- Aligned to objectives, strategy & governance.
- Tailored to context, scale & complexity.
- Balanced — addresses threats and opportunities.
- Integrated into decisions & everyday processes.
- Best information — explicit about uncertainty & bias.
- Transparent & inclusive communication.
- Iterative & responsive to change.
- Clear ownership & accountability.
- Risk-aware culture — everyone, continuously.
Exam Concepts
- Risk is both positive & negative — opportunities are risks.
- Risk = future & uncertain; an issue is certain / already here.
- Appetite ≠ tolerance ≠ threshold — know each.
- Secondary vs residual risk; individual vs overall risk.
Executive View
- Risk appetite is a board-level strategic statement.
- Risk-adjusted decisions beat gut calls — fund uncertainty deliberately.
- A risk-aware culture surfaces bad news early.
Industry Example
- Threat: a single-source forging supplier could slip 12 weeks. Opportunity: a new alloy could cut hull weight and win follow-on work. Both are logged, owned and managed.
Relationships
- Operationalises PMBOK 7 Principle 10 (Risk) & the Uncertainty domain (Poster 3).
- Managed at three levels — project, program, portfolio (Poster 13).
- Quantitative outputs feed reserves & the cost baseline (EVM, Posters 14–15).
Memory Hooks
- "Risk is future; an issue is now."
- Threats AND opportunities — risk cuts both ways.
- Appetite → tolerance → threshold = want → accept → act.
The Risk Management Process
Visual Map — Plan → Identify → Analyse → Respond → Monitor
strategy, RBS, P&I scales ▸ 2 · Identify
ongoing → risk register ▸ 3 · Qualitative
P×I → prioritise ▸ 4 · Quantitative
model overall risk ▸ 5 · Plan Responses ▸ 6 · Implement ▸ 7 · Monitor ↺
Identify and Monitor never stop. Quantitative analysis is optional — used on larger/complex efforts to size overall risk and justify reserves; qualitative is the fast triage every time.
Threat Responses
- Avoid
- eliminate the threat or its cause (change the plan).
- Transfer
- shift impact & ownership to a third party (insurance, warranty, fixed-price).
- Mitigate
- reduce probability and/or impact.
- Accept
- take no action (passive) or set a contingency (active).
- Escalate
- raise to the level with authority to act.
Opportunity Responses
- Exploit
- make certain the opportunity is realised (mirror of Avoid).
- Share
- partner with someone better able to capture it (mirror of Transfer).
- Enhance
- increase probability and/or impact (mirror of Mitigate).
- Accept
- take it if it arrives, but don't actively chase it.
- Escalate
- raise to the level that can pursue it.
Tools by Step
- Identify: brainstorming, checklists, RBS, assumption analysis, SWOT, interviews.
- Qualitative: probability & impact (P-I) matrix, risk categorisation, urgency.
- Quantitative: EMV, decision tree, Monte Carlo, sensitivity / tornado.
- Reserves: contingency vs management reserve analysis.
Reserves — Funding Uncertainty
- Contingency reserve — for known risks; inside the cost baseline; the PM controls it.
- Management reserve — for unknown risks; outside the baseline; management approves its release.
Exam Concepts
- Qualitative = subjective P×I, fast; quantitative = numeric model of overall risk.
- Contingency (known, PM) vs management (unknown, mgmt) reserve.
- Risk owner manages the risk; a response owner executes an action.
- A trigger is the early-warning sign a risk is occurring.
Executive View
- Quantitative analysis defends the contingency ask to the board.
- Response strategy = a cost-vs-exposure trade, not box-ticking.
- Watch overall risk, not just the loudest single risk.
Industry Example
- Line install: supplier-delay risk → qualitative HIGH → Monte Carlo shows P80 finish +5 wks → response = transfer (LD clause) + mitigate (dual-source).
Risk Across the Three Levels & Quantitative Tools
Visual Map — One Risk Discipline, Three Altitudes
| Level | Risk is about… | Primary focus | Horizon | Owner |
|---|---|---|---|---|
| Portfolio | Strategic objectives & the balance/mix of components; aggregate exposure vs risk capacity | Doing the right mix | Long / strategic | Portfolio governance |
| Program | Risks between components & their interdependencies; threats to benefits & integration | Coordinated benefits | Medium | Program manager |
| Project | Risks to scope, schedule, cost, quality of a specific deliverable | Reliable delivery | Short / tactical | Project manager |
Escalation & cascade: a project risk beyond the PM's authority escalates up to program or portfolio; strategic decisions and constraints cascade down. Consolidated reporting rolls individual risks into an overall picture at each level.
Expected Monetary Value (EMV)
EMV = Σ (probability × impact); impacts are signed (− threat, + opportunity).
- Threat: 20% × (−$500k) = −$100k
- Opportunity: 30% × (+$200k) = +$60k
- Net EMV = −$40k → size the contingency accordingly.
Feed EMVs into a decision tree to choose the option with the best expected value (e.g. build vs buy).
Modelling Overall Risk
- Monte Carlo: simulate thousands of runs → a range & confidence (e.g. P80 cost/finish).
- Sensitivity / tornado: rank which risks swing the outcome most.
- Decision tree: compare options by EMV under uncertainty.
- Outputs justify reserves and feed the cost baseline (EVM).
Probability & Impact Matrix (Qualitative)
| Prob ↓ / Impact → | Low | Medium | High |
|---|---|---|---|
| High | Medium | High | High |
| Medium | Low | Medium | High |
| Low | Low | Low | Medium |
Score = probability × impact → a priority that drives response order & depth.
Exam Concepts
- Portfolio = strategic / aggregate; program = interdependencies & benefits; project = delivery.
- Risk capacity (portfolio) sets the ceiling that appetite sits within.
- Escalate up, cascade down; aggregate vs individual risk.
- EMV, Monte Carlo & decision trees are quantitative.
Executive View
- Portfolio risk is a strategy & capacity conversation, not a register.
- Consolidated, roll-up reporting gives the board one risk picture.
Industry Example — A Defence Prime
- Portfolio: balance the mix of bids & live programs against capacity.
- Program: integrate ship + combat system + training so the capability benefit lands.
- Project: deliver the radar subsystem on cost & to spec.
Memory Hooks
- Portfolio = right mix · Program = right benefits · Project = right delivery.
- "Risk rolls up; response rolls down."
- Reserves: contingency = knowns I control; management = unknowns the boss controls.
EVM Foundations: Measures, Variances & Indices
Visual Map — The EVM S-Curve
EV below PV ⇒ behind schedule; EV below AC ⇒ over budget. The vertical gaps to EV are the variances.
The Three Measures
- PV — Planned Value
- budgeted cost of work scheduled (the baseline plan). Total PV = BAC, Budget at Completion.
- EV — Earned Value
- budgeted cost of work performed. EV = % complete × BAC.
- AC — Actual Cost
- actual cost of the work performed — what you really spent.
Variances ($) & Indices (ratios)
SV = EV − PV
+ ahead · − behind
CV = EV − AC
+ under · − over
SPI = EV ÷ PV
>1 ahead · <1 behind
CPI = EV ÷ AC
>1 under · <1 over
Worked Example
| Item | Value |
|---|---|
| BAC | $100k |
| PV (planned 50%) | $50k |
| EV (40% complete) | $40k |
| AC (spent) | $45k |
| SV = 40−50 | −$10k behind |
| CV = 40−45 | −$5k over |
| SPI = 40/50 | 0.80 |
| CPI = 40/45 | 0.89 |
Exam Concepts
- Variances in $, indices are ratios. EV is always first.
- Positive variance & index > 1 = favourable.
- EV = % complete × BAC.
- SV weakness: measured in $, it drifts to 0 at the end even if late — pair it with the schedule network or SPI.
- Cost pair uses AC; schedule pair uses PV.
Executive View
- One integrated number for scope + schedule + cost.
- Objective early-warning system — trends, not anecdotes.
- CPI is famously stable after ~20% complete — trust the trend.
- Reports up cleanly through program & portfolio.
Relationships
- Needs a sound scope, schedule & cost baseline first (Poster 6 baselines).
- Risk reserves sit inside/outside the baseline (Poster 12).
- Forecasting (EAC/ETC/VAC/TCPI) builds on these — Poster 15.
Industry Example
- A $100k line-upgrade is 40% built but has consumed $45k by the planned-50% point: SPI 0.80 & CPI 0.89 flag it behind and over early enough to act.
Memory Hooks
- "EV is the hero — it opens every formula."
- Variance = minus, Index = divide; + and >1 are good.
- Cost↔AC, Schedule↔PV (C-A, S-P).
EVM Forecasting: EAC · ETC · VAC · TCPI
Visual Map — Choosing Your EAC (assumption → formula)
| Assumption about the remaining work | EAC formula | Reading |
|---|---|---|
| Current variance was a one-off / atypical | EAC = AC + (BAC − EV) | finish the rest at the budgeted rate |
| Current cost efficiency continues (the default) | EAC = BAC ÷ CPI | today's CPI holds to the end |
| Both cost & schedule pressure continue | EAC = AC + (BAC − EV) ÷ (CPI × SPI) | schedule drag worsens cost |
| Original estimate is no longer valid | EAC = AC + bottom-up ETC | re-estimate the remainder |
The Forecasting Family
- BAC
- Budget at Completion — the baseline total (the plan).
- EAC
- Estimate at Completion — forecast total cost.
- ETC
- Estimate to Complete — cost of the remaining work.
- VAC
- Variance at Completion — projected over/under at the end.
- TCPI
- To-Complete Performance Index — efficiency needed from here.
Core Formulas
ETC = EAC − AC
what's left to spend
VAC = BAC − EAC
+ under · − over at end
TCPI = (BAC − EV) ÷ (BAC − AC)
to still hit BAC
TCPI = (BAC − EV) ÷ (EAC − AC)
to hit the new EAC
Worked Example (same numbers)
| From Poster 14 | Value |
|---|---|
| BAC / EV / AC | 100 / 40 / 45 |
| CPI / SPI | 0.89 / 0.80 |
| EAC = BAC/CPI | $112.5k |
| ETC = EAC−AC | $67.5k |
| VAC = BAC−EAC | −$12.5k |
| EAC (cost×sched) | ≈ $129k |
| TCPI→BAC | 1.09 |
Reading TCPI
- TCPI = work remaining ÷ funds remaining.
- Compare to your CPI: TCPI 0.89 vs CPI 0.89 = on track.
- Here TCPI 1.09 > CPI 0.89 → you must run better than you ever have → the BAC is likely unrecoverable.
- Response: re-baseline, de-scope, or accept the overrun.
Exam Concepts
- ETC = EAC − AC; VAC = BAC − EAC.
- EAC = BAC/CPI is the default "current-trend" forecast.
- Know all four EAC formulas & their assumptions.
- TCPI > 1 (and > CPI) = must tighten up; recovery is hard.
Executive View
- EAC & VAC answer the board's question: "Where will we land?"
- TCPI tells you if a recovery target is realistic before you promise it.
- Forecasts trigger re-baselining & funding decisions.
Industry Example
- The $100k line upgrade now forecasts $112.5k (EAC) with a −$12.5k VAC. TCPI 1.09 says recovery to budget is unlikely → present a re-baseline + a de-scope option.
Memory Hooks
- BAC=plan · EAC=forecast · ETC=what's left · VAC=the surprise.
- "ETC peels AC off EAC."
- If TCPI > CPI, you're in trouble.
Programs & Benefits Management
Project · Program · Portfolio
| Lens | Manages… | Delivers | Question |
|---|---|---|---|
| Project | a defined scope | an output / deliverable | build it right |
| Program | related components & their interdependencies | benefits & capabilities | realise the benefit |
| Portfolio | all work, related or not | strategic alignment | the right mix |
Why a program (not just projects)? synergy · manage interdependencies · optimise shared resources · deliver outcomes too big for one project.
The Value Chain (program-owned)
component delivers ▸ Capability
ability to act ▸ Outcome
change in state ▸ Benefit
measurable gain
Components produce outputs → integrated into capabilities → used to create outcomes → realised as benefits. Projects stop at outputs; programs push through to benefits.
Visual Map — The Benefits Management Life Cycle
quantify & justify (business case) ▸ 2 · Analyse & Plan
benefits register, plan, metrics, map ▸ 3 · Deliver
components → capabilities ▸ 4 · Transition
integrate into operations / BAU ▸ 5 · Sustain
benefits endure after closure
The benefits realisation plan & benefits register are the living artifacts. Each benefit has an owner and leading/lagging measures. Sustainment is the giveaway that programs care about value beyond the program's own life.
Exam Concepts
- Programs exist for benefits & relatedness, not size alone.
- Capability is delivered by a component; the benefit is realised in operations.
- Benefits transition hands capability to BAU; sustainment continues after closure.
- Benefits have owners & metrics — measured, not assumed.
Executive View
- Programs convert strategy → capability → benefit.
- The sponsor cares about outcomes, not outputs.
- Governance gates are benefit-driven — fund what realises value.
Industry Example
- A frigate capability program: shipbuild + combat-system + training/sustainment components. Benefit = a deployable, supportable naval capability — sustained over decades, not just a hull delivered.
Relationships
- Realises the PMBOK 7 value delivery system (Poster 4) at program scale.
- BA's solution evaluation (Poster 10) feeds benefit measurement.
- Sits beneath the portfolio (Posters 18–19) and above projects.
Memory Hooks
- "Projects make outputs; programs make BENEFITS."
- Benefits cycle — I·A·D·T·S: Identify → Analyse/plan → Deliver → Transition → Sustain.
- "A program is related; a portfolio is aligned."
Performance Domains, Life Cycle & Governance
Visual Map — Five Domains over the Life Cycle
formulation + planning ⟢ gate ⟣ Delivery
authorise & oversee components · realise benefits ⟢ gate ⟣ Closure
transition + close
The five domains run concurrently throughout; the phases are the timeline; governance gates sit between phases and at component boundaries.
1 · Strategy Alignment
- Link the program to organisational strategy.
- Program roadmap & business case.
- Environmental / readiness assessment.
3 · Stakeholder Engagement
- Far more numerous, diverse & long-term than a project's.
- Identify → analyse → plan → engage, continuously.
- Engagement is strategic, not just communication.
4 · Governance
- Program board / steering committee + sponsor.
- Phase-gate reviews & component authorisation.
- Go / no-go; balances component vs program tension.
The Program Roadmap (≠ schedule)
- A high-level chronological view linking components, milestones & benefits to strategy.
- Shows the why-when; the schedule shows the what-when.
- Anchors gate decisions & sequencing of tranches.
Exam Concepts
- The 5 domains run concurrently across the life cycle.
- Governance authorises components & gates phases.
- Roadmap ≠ schedule — higher-level, benefit/milestone-oriented.
- The program board makes go / no-go calls.
Executive View
- Governance is the value-protection mechanism.
- The board & sponsor own the benefits case.
- Kill failing components early at the gate.
Industry Example
- The frigate program's board gates each tranche; the roadmap sequences build → integration → trials → handover; stakeholders span Navy, government, primes, unions & community.
Memory Hooks
- 5 domains — S·B·S·G·L: "Some Big Ships Get Launched" (Strategy, Benefits, Stakeholders, Governance, Life cycle).
- Phases: Define → Deliver → Close.
- Roadmap = why-when; schedule = what-when.
Portfolios & Strategic Alignment
What's in a Portfolio?
- Programs — related components run for benefits.
- Projects — standalone deliverables.
- Subsidiary portfolios — e.g. by division.
- Operations / BAU — ongoing work that consumes the same capacity.
The portfolio is the organisation's whole investment basket — and it is ongoing, not temporary.
Portfolio vs Program — The Key Distinction
| Lens | Program | Portfolio |
|---|---|---|
| Grouped by | Relatedness & synergy | Strategic alignment |
| Components | Must be related | May be unrelated |
| Goal | Coordinated benefits | Optimal value & balance |
| Duration | Temporary (has an end) | Ongoing |
| Question | Realise the benefit | The right mix |
Visual Map — Strategy Becomes a Funded Plan
vision, goals, objectives ▸ Portfolio
select · prioritise · balance · authorise ▸ Programs & Projects + Operations
the authorised work ▸ Strategic Objectives
value realised ↺
The portfolio is the bridge between strategy and delivery: it converts intent into a funded, balanced plan, then feeds performance back to continuously realign as strategy shifts. Artifacts: portfolio strategic plan, charter & roadmap.
Value of Portfolio Management
- Maximise value of the whole portfolio.
- Align every investment to strategy.
- Balance risk/reward & short/long term.
- Optimise scarce resources & funding.
- Transparency for investment decisions.
Exam Concepts
- Portfolio = strategic alignment; components may be unrelated.
- A portfolio includes operations, not just projects/programs.
- "Right work" (portfolio) vs "work right" (project/program).
- Portfolio management is ongoing, not temporary.
Executive View
- The portfolio is the board's investment steering wheel.
- This is where strategy becomes a funded plan.
- Decisions are fund / defer / kill against strategy.
Relationships
- Sits above programs (Posters 16–17) & projects in the hierarchy (Poster 1).
- Manages aggregate risk & capacity (Poster 13).
- Governed within OPM (Poster 20).
Industry Example
- A prime's portfolio: naval programs + land-vehicle programs + R&D projects + sustainment operations + live bids — unrelated, but all balanced for strategy, capacity & risk.
Memory Hooks
- "Portfolio = right WORK · project = work RIGHT."
- "A program is related; a portfolio is aligned."
- The portfolio is the whole investment basket — and it never ends.
Performance Domains, Selection & Balancing
Visual Map — The Component Selection & Balancing Pipeline
group by type/strategy▸ Evaluate
score vs criteria▸ Select▸ Prioritise▸ Balance
optimise mix vs capacity & risk▸ Authorise▸ Review↺
Categorisation enables apples-to-apples comparison; evaluation uses weighted scoring against strategic criteria; balancing optimises the whole mix — not each component in isolation. The loop never closes.
Balancing Tool — Risk vs Reward Bubble Chart
The Six Performance Domains
- 1 Strategic Management — align to strategy; portfolio roadmap & value proposition.
- 2 Governance — decision framework; authorise / terminate components; oversight & optimisation.
- 3 Capacity & Capability — balance resource & funding demand vs supply.
- 4 Stakeholder Engagement — engage decision-makers & sponsors.
- 5 Value Management — define, maximise, deliver & measure value.
- 6 Risk Management — manage aggregate risk & the risk/return balance.
Balancing & Optimisation Tools
- Weighted scoring models against strategic criteria.
- Prioritisation matrices & ranking.
- Bubble / quadrant charts (risk vs reward, above).
- Efficient frontier — best value for a given risk.
- Portfolio roadmap & dashboards for transparency.
Exam Concepts
- Portfolio management continuously balances & reprioritises.
- Governance authorises & terminates components.
- Capacity management = demand vs supply of resources/funding.
- Value & risk are managed at the aggregate level.
Executive View
- Rebalance as strategy shifts — the mix is never "done".
- Governance kills the zombies that drain capacity.
- One dashboard for the entire investment.
Industry Example
- The prime scores bids & programs against strategic criteria, balances naval vs land vs air, checks engineering capacity, and the board authorises the optimal mix — re-reviewed each quarter.
Memory Hooks
- Pipeline — C·E·S·P·B·A: Categorise, Evaluate, Select, Prioritise, Balance, Authorise.
- "Pick · balance · fund · review — forever."
- Bubble chart = risk vs reward; size = cost.
OPM & Organisational Maturity
Visual Map — What OPM Integrates
the right work + Program
the right benefits + Project
the right delivery + Organisational Enablers
structure · culture · governance · methodology · people · knowledge = OPM
strategy delivered, repeatably
OPM is the layer that makes good delivery systematic rather than heroic. Organisational enablers — a PMO, consistent & tailored methodology, governance, capability development, knowledge management — are what turn one good project into a repeatable capability.
Organisational Enablers
- Structural: PMO, governance bodies, reporting lines.
- Cultural: values, executive sponsorship, risk-awareness.
- Methodology: consistent, tailored practices & templates.
- People / HR: competency, training, career paths.
- Knowledge: lessons learned, KM, continuous learning.
Maturity — The OPM3 Idea
Maturity = the ability to deliver consistently & predictably. The improvement cycle repeats:
Progression of practice: Standardise → Measure → Control → Continuously Improve (SMCI), built from best practices → capabilities → outcomes → KPIs.
Exam Concepts
- OPM integrates portfolio + program + project + enablers.
- OPM is a strategy-execution framework, not a methodology by itself.
- OPM3 = maturity model; cycle = Acquire → Assess → Improve.
- Maturity path = SMCI (Standardise, Measure, Control, Improve).
Executive View
- OPM is the C-suite's strategy-delivery engine.
- Maturity = predictability — fewer surprises, better forecasts.
- Invest in enablers (PMO, methodology, capability), not just projects.
Industry Example
- A multi-plant manufacturer standardises stage gates, stands up a PMO, and uplifts PM capability. Maturity climbs from ad-hoc to measured & controlled — and strategic initiatives start landing on time, plant after plant.
Relationships
- Wraps the entire hierarchy of Poster 1 — portfolio, program & project together.
- Provides the governance & methodology that tailoring (Poster 5) operates within.
- Feeds on lessons learned & benefits data from every delivery.
Memory Hooks
- "OPM = strategy delivered, consistently."
- PPP + enablers = OPM (Portfolio, Program, Project + the org).
- Maturity ladder — S·M·C·I; improvement loop — Acquire → Assess → Improve.
The Formulas Wall
Earned Value — Variances & Indices
SV = EV − PV
+ ahead · − behind
CV = EV − AC
+ under · − over
SPI = EV ÷ PV
>1 ahead
CPI = EV ÷ AC
>1 under budget
CV% = CV ÷ EV
SV% = SV ÷ PV
Earned Value — Forecasting
EAC = BAC ÷ CPI
current trend (default)
EAC = AC + (BAC − EV)
variance was one-off
EAC = AC + (BAC−EV) ÷ (CPI×SPI)
cost & schedule
EAC = AC + bottom-up ETC
re-estimate
ETC = EAC − AC
VAC = BAC − EAC
TCPI = (BAC−EV) ÷ (BAC−AC)
to hit BAC
TCPI = (BAC−EV) ÷ (EAC−AC)
to hit EAC
Estimating
PERT (Eₑ) = (O + 4M + P) ÷ 6
beta / weighted
σ = (P − O) ÷ 6
std deviation
Variance = ((P − O) ÷ 6)²
Triangular = (O + M + P) ÷ 3
Ranges: ±1σ ≈ 68% · ±2σ ≈ 95% · ±3σ ≈ 99.7% of outcomes.
Schedule / Critical-Path Network
Total Float = LS − ES = LF − EF
Free Float = ESₙₑₓₜ − EF − 1
Forward: EF = ES + Dur − 1
Backward: LS = LF − Dur + 1
Critical path = longest path = zero total float. (Drop the −1 / +1 if you count from day 0.)
Communication & Risk
Channels = n(n − 1) ÷ 2
EMV = Σ (Probability × Impact)
− threat · + opportunity
Finance (decision)
- NPV — higher is better; already discounted.
- IRR — higher is better.
- ROI = (gain − cost) ÷ cost; higher better.
- Payback — shorter is better.
- BCR = benefits ÷ costs; > 1 good.
Contract (bonus)
PTA = ((Ceiling − Target Price) ÷ buyer share) + Target Cost
Point of total assumption — above it, the seller bears all extra cost (incentive contracts).
Sign-Reading & Golden Rules
- EV first in every EVM formula.
- Variance = subtract; index = divide.
- Positive variance & index > 1 = good.
- Cost ↔ AC; Schedule ↔ PV.
- EV = % complete × BAC.
- ETC = EAC − AC; VAC = BAC − EAC.
- TCPI > CPI ⇒ recovery is hard.
- Float 0 ⇒ on the critical path.
Most-Tested
- CPI / SPI interpretation & EAC = BAC/CPI.
- PERT (O+4M+P)/6 and σ = (P−O)/6.
- Channels n(n−1)/2.
- Total float = LS − ES.
- EMV for decision trees.
Master Revision Wall
The Hierarchy — Strategy to Value
right work▸ Program
right benefits▸ Project
right delivery▸ Output▸ Outcome▸ Benefit▸ Value
Money & direction flow down ▼; value & information flow up ▲. Risk spans every level; OPM wraps the whole thing; Business Analysis runs across it finding the right problem & proving value.
Each Area in One Line
- 12 Principles: how to act when the playbook runs out.
- 8 Domains: concurrent activity areas that replaced the knowledge areas.
- Tailoring: fit the approach to context — appropriate rigour.
- Models/Methods/Artifacts: think · do · show.
- Business Analysis: right problem → right solution → real value.
- Risk: max opportunity, min threat; managed at 3 levels.
- EVM: one number for scope+schedule+cost; forecast the finish.
- Program: related work → benefits that outlive the program.
- Portfolio: the right work; balance the mix to strategy.
- OPM: deliver strategy consistently (PPP + enablers); mature.
Master Mnemonics
- 12 Principles: "Stewards Tend Stakeholders' Value · Systems Lead Tailored Quality · Complexity, Risk, Adaptability, Change."
- 8 Domains: "Some Teams Develop Plans, Producing Deliverables Measured under Uncertainty."
- BA domains (NSEATS): "Never Stop Eliciting And Tracing Solutions."
- Risk: threats A-T-M-A-E · opps E-S-E-A-E · "rolls up, response rolls down."
- EVM: EV opens every formula; minus = variance, divide = index; +/>1 good.
- Program (SBSGL): "Some Big Ships Get Launched."
- Portfolio (CESPBA): Categorise·Evaluate·Select·Prioritise·Balance·Authorise.
- OPM: PPP + enablers; maturity = S-M-C-I.
High-Value Distinctions — Know These Cold
| Pair | The difference |
|---|---|
| Project / Program / Portfolio | output · related→benefits · aligned→mix |
| Output / Outcome / Benefit / Value | thing made · change · gain · worth |
| Risk vs Issue | future & uncertain · now & certain |
| Threat vs Opportunity | negative risk · positive risk |
| Validation vs Verification | right thing · thing right |
| Contingency vs Mgmt reserve | known, PM · unknown, management |
| Pair | The difference |
|---|---|
| Qualitative vs Quantitative | subjective P×I · numeric model |
| Appetite / Tolerance / Threshold | willing · acceptable variation · trigger |
| Predictive vs Adaptive | stable, plan-driven · uncertain, iterative |
| Leading vs Lagging | predicts · confirms |
| Accuracy vs Precision | close to true · repeatable |
| Roadmap vs Schedule | why-when · what-when |
Exam-Day Playbook
- Read the stem for MOST · BEST · FIRST · NEXT · EXCEPT · NOT.
- Prefer proactive, value-driven, stakeholder-respecting answers.
- Principles over rigid process; tailor to context.
- Address the root cause; gather information before drastic action.
- Consult the plan / follow the process before escalating.
- Escalate only when beyond your authority.
- Manage risk — don't ignore it or "always avoid".
- EVM: apply the sign rules; EAC = BAC/CPI unless told otherwise.
- Distrust absolutes ("always / never"); eliminate the clearly wrong first.
- The PM is an ethical servant-leader: Responsibility, Respect, Fairness, Honesty.
Colour-Code Navigation
Blue — PMBOK 7 / Project (2–6)
Gold — BA & Value (4, 7–10)
Red — Risk (11–13)
Green — EVM & Formulas (14–15, 21)
Teal — Program (16–17)
Violet — Portfolio (18–19)
Slate — OPM (20)
