Project Management
Network Diagram:
A Tool for
Understanding the
PM Life Cycle
1-800-COURSES
www.globalknowledge.com
Expert Reference Series of White Papers
Overview
Fully understanding the Project Management Institute’s (PMI
®
) approach to project management can be diffi-
cult. This is not because of the complexity of the material. The difficulty arises from having a body of knowl-
edge that is structured for referencing, not learning.
PMI divides the tasks associated with project management into 44 processes. There are also 44 different man-
agement activities that must be completed,
in a specific order.
These activities, or processes, are well described by training manuals. Unfortunately they are discussed in isola-
tion from each other. As a consequence it is very hard to develop a comprehensive understanding of the rela-
tionships between the many processes.
If you are new to PMI, you need a summary document that provides an overview and introduction to the big
picture. Once you can see the forest, it is possible to study individual trees.
Fortunately, if you are trying to prepare for the Project Management Professional (PMP
®
) exam, such an
overview is now available through Global Knowledge.
The Project Management Network Diagram (PM Network Diagram) provides a visual illustration of the project
management life cycle (in terms of the chain of events that take place in a project).
Study Time
As a graphical presentation of the project management life cycle this diagram summarizes a large portion of
the Project Management Body of Knowledge (PMBOK

• Study tips and techniques
T
his white paper is essential reading if you are considering taking the PMP exam. It will save study time by
clarifying what you need to know.
Background
The PMP Exam is based on the Project Management Body of Knowledge. The PMBOK
®
was created and is
maintained by the Project Management Institute (PMI).
The PMBOK
®
is a compilation of the PMI’s know-how. It is its dictionary of terms and practices. It is a refer-
ence tool for anyone w
anting to lookup a PMI term or procedure
. The PMBOK
®
documents PMI’
s version of
best practices in the field of project management.
The PMBOK
®
is not a study guide
. It is not a training manual.
It is not very pleasant reading. Anyone who has
struggled through the PMBOK
®
deserves a medal.
Complications with Studying for the PMP Exam
The biggest mistake that people make when preparing for the PMP exam is to treat the PMBOK
®

of the way the relationships are explained. (More on this later.)
A Moving Target
The 2000 PMBOK
®
(version 2) had only 39 processes (activities necessary to complete a project). The 2004
PMBOK
®
(version 3) has 44 processes
. This means that the PMI has changed its terminology. It has rearranged,
renamed and added processes (activities) to reflect an evolving vision of best practices in the field of project
management. In so doing they have changed the vocabulary of project management.
If you are perfectly familiar with the terminology used in version 2 of the PMBOK
®
you could not pass the new
PMP exam, which is based on version 3 of the PMBOK
®
. Why? Because you do not know the new terminology.
Vocabulary is what the PMP exam is testing.
Training Manuals
There is a big weakness in the way PMP Exam prep training manuals are structured. Of the seven that I have
reviewed, all mimic the structure of the PMBOK.
In other words, they attempt to teach you how to write in
English by reviewing the contents of an English dictionary, step-by-step.
Figure 1 (on the next page) is from the 2004 PMBOK
®
. This figure is central to understanding PMI terminology
.
It relates the 44 processes (activities) to Project Phase and Knowledge Areas by putting them into columns and
rows respectively
.

alphabet is not
“B” but “Project Scope Management”, and so on down the left hand
column.
Copyright ©2005 Global Knowledge Network, Inc. All rights reserved.
Page 5
Contract
Closure
Contract
Administration
Request Seller
Responses
Select Seller
Plan Purch ases an d
Acquisitions
Plan Contracting
12. Project Procurement
Management
Risk Monitoring
and Control
Ris k Management Planning
Ris k Identificat ion
Qualitative Risk Analysis
Quantitativ e Ris k Analysis
Ris k Response Planning
Project Risk
Management
Performanc e
Reporting
Manage
Stakeholders

t C
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ti
m
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Cost Bu dgeting
Project Cost
Mana gement
Sch edule Con trol
Activity Definition
Activity Sequencing
Activity Resource Estimating
Activity Duration Estimating
Schedule Developm ent
Project Time
Mana gement
S
c
o p
e
Veri

Execution
Develop Pr oject Management
Plan
Develop Pro ject
Charter
Develop Preliminary
Project Scope
Projec
t
Int
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gration
M
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m
ent
CloseControllingExecutingPlanningInitiating