{"id":23458,"date":"2020-01-21T12:10:20","date_gmt":"2020-01-21T12:10:20","guid":{"rendered":"https:\/\/www.proprofs.com\/c\/?p=23458"},"modified":"2025-03-04T10:53:34","modified_gmt":"2025-03-04T10:53:34","slug":"project-management-terms-and-concepts","status":"publish","type":"post","link":"https:\/\/www.proprofsproject.com\/blog\/project-management-terms-and-concepts\/","title":{"rendered":"Different Project Management Terms Beginners Should Know"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/project-managers-learn-to-be-proactive-not-reactive\/\">Project managers<\/a><\/strong>, who have just begun working on a project, may find it really stressful and time-consuming to manage multiple tasks, especially if they don\u2019t know the basics.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Imagine you get a promotion as a project manager and are now solely responsible for various management tasks. If you have just entered this field, there is a lot you don\u2019t know and, instead of covering the basics, you take all the responsibilities head-on.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Doing so, you get most issues resolved and meet your project deliverables \u2013 but, when it came to reporting, you were clueless as to how to go about it. You winged the entire project execution process, and now the theory of it all is taking a toll on you.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Many project managers take the go-with-the-flow approach whether it is dealing with usual management activities or resolving potential project issues. However, this approach usually spells disaster.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">So, what\u2019s the best way to avoid any such hurdles? Learn the basics! And, that\u2019s exactly what we cover in this chapter of our PM Guide. Let\u2019s dig into our <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/introduction-to-project-management\/\">project management<\/a><\/strong> glossary.<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_17 counter-hierarchy ez-toc-grey\">\n<nav><ul class=\"ez-toc-list ez-toc-list-level-1\"><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.proprofsproject.com\/blog\/project-management-terms-and-concepts\/#Common_Project_Management_Terms\" title=\"Common Project Management Terms\">Common Project Management Terms<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.proprofsproject.com\/blog\/project-management-terms-and-concepts\/#TechniquesAnalysisTools\" title=\"Techniques\/Analysis\/Tools\">Techniques\/Analysis\/Tools<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.proprofsproject.com\/blog\/project-management-terms-and-concepts\/#Documents\" title=\"Documents\">Documents<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.proprofsproject.com\/blog\/project-management-terms-and-concepts\/#ApproachMethodMethodologies\" title=\"Approach\/Method\/Methodologies\">Approach\/Method\/Methodologies<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.proprofsproject.com\/blog\/project-management-terms-and-concepts\/#Representations\" title=\"Representations\">Representations<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.proprofsproject.com\/blog\/project-management-terms-and-concepts\/#Phases\" title=\"Phases\">Phases<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Common_Project_Management_Terms\"><\/span><b>Common Project Management Terms<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>Activity<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A project activity can be defined as the smallest unit of work that needs to be done in order to complete a project.<\/span><\/p>\n<p><b>Agile\u00a0<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It refers to a set of methodologies utilized to meet the ever-changing client requirements. <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/agile-project-management-software\/\">Agile projects<\/a><\/strong> usually do not have set or fixed scope, making this method extremely adaptive to changes proposed by clients.\u00a0<\/span><\/p>\n<p><b>Assumption<\/b><\/p>\n<p><span style=\"font-weight: 400;\">An assumption in project management refers to assuming about possible factors or situations that may occur in the project planning process that it may actually happen.<\/span><\/p>\n<p><b>Baseline<\/b><\/p>\n<p><span style=\"font-weight: 400;\">This refers to the various schedules and costs defined at the start of a project. This criterion is used as a basis for project monitoring and evaluating processes.<\/span><\/p>\n<p><b>Budget<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The amount of money allocated to a specific project is referred to as the project budget. It can also refer to a comprehensive set of expenses or revenues.<\/span><\/p>\n<p><b>Backlog<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It refers to all the pending tasks that need to be accomplished for completing a project at hand.<\/span><\/p>\n<p><b>Critical Path<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It defines a set of activities that need to be done in order to complete the project in time and as per the pre-defined schedule.\u00a0<\/span><\/p>\n<p><b>Deliverable<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is any tangible or intangible object that is produced at the end of project execution. Basically, deliverables are the end result of the project execution process.\u00a0<\/span><\/p>\n<p><b>Dependencies<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Any work, task, activity, situation, or event that is either dependant on the project right now or sometime in the future.\u00a0<\/span><\/p>\n<p><b>Effort<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The number of people or labor needed to complete a task is known as effort.<\/span><\/p>\n<p><b>Issue<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Any situation or event that can cause problems in project execution.\u00a0<\/span><\/p>\n<p><b>Forecast<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It refers to any prediction or estimation made on a project\u2019s status, including how it will unfold in the future.<\/span><\/p>\n<p><b>Functional Requirements<\/b><\/p>\n<p><span style=\"font-weight: 400;\">These requirements cover all the working characteristics of a product.<\/span><\/p>\n<p><b>KPI<\/b><\/p>\n<p><span style=\"font-weight: 400;\">KPI stands for Key Performance Indicators. These indicators basically measure a project\u2019s success by defining various metrics for different departments, such as marketing, sales, etc.<\/span><\/p>\n<p><b>Kickoff Meeting<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The very first meeting conducted between stakeholders and the project team.\u00a0<\/span><\/p>\n<p><b>Lag<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Lag is any delay or necessary break taken between project tasks.\u00a0<\/span><\/p>\n<p><b>Matrix Organization<\/b><\/p>\n<p><span style=\"font-weight: 400;\">An organization with a matrix structure has a different work environment. In such type of organizations, employees report to more than one manager.\u00a0<\/span><\/p>\n<p><b>Negotiation<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Any discussion between teams to resolve difference on opinions or any other issues that negatively affect project execution.<\/span><\/p>\n<p><b>Objective<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is a crisp, clear statement that specifies what a specific task or activity is bound to accomplish.<\/span><\/p>\n<p><b>Optimistic Duration<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The shortest time estimated to complete a specific project task or activity is known as optimistic duration.<\/span><\/p>\n<p><b>Performance Measurement Baseline<\/b><\/p>\n<p><span style=\"font-weight: 400;\">This creates a point of comparison of all the other baselines to evaluate project performance. It is created after accumulating the baselines for scope, cost, and schedule.\u00a0<\/span><\/p>\n<p><b>Remote Team<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is a team that works for an organization from different geographical locations. Usually, such teams require a team collaboration tool to make sure they meet their deadlines effortlessly.\u00a0<\/span><\/p>\n<p><b>Risk<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Risk is any positive or negative<strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/project-risk-assessment\/\"> event that can affect project execution<\/a><\/strong>.<\/span><\/p>\n<p><b>Stakeholder<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Any individual, team, or an organization that is interested in the successful completion of a project.<\/span><\/p>\n<p><b>Scope\u00a0<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It consists of all the requirements that need to be fulfilled to complete a project successfully.\u00a0<\/span><\/p>\n<p><b>Scope Creep<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is any change in <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/project-scope\/\">project scope<\/a><\/strong> that takes place without any formal procedure.<\/span><\/p>\n<p><b>Virtual Team<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A remote or virtual team consists of people from different locations, organizations, and hierarchies.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"TechniquesAnalysisTools\"><\/span><b>Techniques\/Analysis\/Tools<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>GERT<\/b><\/p>\n<p><span style=\"font-weight: 400;\">GERT stands for \u2018Graphical Evaluation and Review Technique\u2019. This network analysis technique uses the Monte Carlo simulation to formulate project duration estimates and give a probabilistic approach to visualize network logic.<\/span><\/p>\n<p><b>Balanced Scorecard<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is a measuring tool or concept that helps project managers assess whether the project activities align with its objectives and goals.<\/span><\/p>\n<p><b>Delphi Technique<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is an estimation technique based on an expert consensus. Experts make different estimates individually and review them together in a group before arriving at a final set of estimates.<\/span><\/p>\n<p><b>PERT<\/b><\/p>\n<p><span style=\"font-weight: 400;\">PERT stands for \u2018Program Evaluation and Review Technique\u2019. This is a statistical method that is mainly used to track and analyze project duration and activities.\u00a0<\/span><\/p>\n<p><b>PEST Analysis<\/b><\/p>\n<p><span style=\"font-weight: 400;\">This analysis is performed to find out the Political, Economic, Social, and Technological factors that may potentially affect a project.\u00a0<\/span><\/p>\n<p><b>Qualitative Risk Analysis<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A subjective analysis technique used by project managers to evaluate the probability of various risks and their potential impact on the project.<\/span><\/p>\n<p><b>Quantitative Risk Analysis<\/b><\/p>\n<p><span style=\"font-weight: 400;\">This objective approach is in contrast to the qualitative one, which evaluates <a href=\"https:\/\/www.proprofsproject.com\/blog\/common-project-risks\/\">project risks<\/a> and its impact mathematically.<\/span><\/p>\n<p><b>RAID Log<\/b><\/p>\n<p><span style=\"font-weight: 400;\">RAID stands for \u2018Risks, Assumptions, Issues, Dependencies\u2019. A RAID log is a PM tool that helps to record various developments in these four phases.\u00a0<\/span><\/p>\n<p><b>S-curve Analysis<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A PM technique that compares a project\u2019s cumulative costs at any specific point with the cumulative cost baseline defined during the planning phase.\u00a0<\/span><\/p>\n<p><b>Task Analysis<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It specifies in detail the resources or actions required to complete a project or task.<\/span><\/p>\n<p><b>Variance Analysis<\/b><\/p>\n<p><span style=\"font-weight: 400;\">This determines the deviation between actual performance and the estimated performance.<\/span><\/p>\n<p><a href=\"https:\/\/www.proprofsproject.com\/blog\/project-swot-analysis\/\"><b>SWOT Analysis<\/b><\/a><\/p>\n<p><span style=\"font-weight: 400;\">A project planning tool that evaluates strengths, weaknesses, opportunities, and threats of a project.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Documents\"><\/span><b>Documents<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>Business Case<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is the first document that outlines all the potential outcomes of a specific project. It usually includes cost, benefits, and specific reasons for undertaking the project.<\/span><\/p>\n<p><b>Human Resource Management Plan<\/b><\/p>\n<p><span style=\"font-weight: 400;\">This <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/project-human-resource-management\/\">HRM plan mainly specifies the relationship<\/a><\/strong> among the personnel working on a specific project. It also includes all the roles and responsibility of each individual team member.\u00a0<\/span><\/p>\n<p><b>Schedule<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A detailed list of project milestones and activities that are defined in a logical order right from the start date to the end date.<\/span><\/p>\n<p><b>Use-case<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It documents the complete process an end-user needs to perform in order to achieve specific goals.<\/span><\/p>\n<p><b>Processes<\/b><\/p>\n<p><b>Acquisition Process<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is the process of acquiring all the resources and personnel necessary for project planning, initiation, and execution.<\/span><\/p>\n<p><b>Change Management<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It refers to the process of identifying, documenting, and approving various changes in a project. It also includes guidelines on how those <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/change-management-in-project-management\/\">changes can be carried out in a project<\/a><\/strong>.<\/span><\/p>\n<p><b>Closing Process<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It refers to those processes that are performed to formally terminate all activities or tasks of a project.<\/span><\/p>\n<p><b>Cost Estimation<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is the <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/cost-management-in-project-management\/\">process of calculating project cost<\/a><\/strong> estimates by considering all the resources, phases, or activities.<\/span><\/p>\n<p><b>Contingency Plan<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is a pre-defined process for specifying the alternative course of action that needs to be performed in case of certain project risks\u00a0or issues.<\/span><\/p>\n<p><b>Earned Value<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is a process for monitoring the project plan, actual work to be done, and the work completed to check if a specific project is on schedule.<\/span><\/p>\n<p><b>Lifecycle<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It refers to the entire process of defining project deliverables. There are numerous types of project lifecycles and each type has different sub-phases.<\/span><\/p>\n<p><b>Overall Change Control<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It refers to all the change-related process that need to be performed during project execution. It includes the coordination, management, and <a href=\"https:\/\/www.proprofsproject.com\/blog\/improve-project-evaluation\/\">evaluation of project<\/a> changes.<\/span><\/p>\n<p><b>Scrum<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Scrum is an iterative development procedure mainly used in software development projects, which helps teams to set clear, concise project goals over a specified period of time.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"ApproachMethodMethodologies\"><\/span><b>Approach\/Method\/Methodologies<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>Lean Six Sigma<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is a PM method that aims at eliminating defects and wastes to lower project costs.<\/span><\/p>\n<p><b>QCD<\/b><\/p>\n<p><span style=\"font-weight: 400;\">QCD stands for Quality, Cost, Delivery. This is a management approach that focuses on analyzing and assessing a production process by keeping in mind three factors: quality, cost, and delivery.<\/span><\/p>\n<p><b>Study<\/b><\/p>\n<p><b>Feasibility Study<\/b><\/p>\n<p><span style=\"font-weight: 400;\">This study is conducted to evaluate how practical or \u201cfeasible\u201d it is to actually execute a specific project.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Representations\"><\/span><b>Representations<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>Gantt Chart<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is a type of <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/what-is-a-gantt-chart\/\">bar chart that graphically represents<\/a><\/strong> all the tasks that constitute a project. All the tasks are shown vertically, while the time-frame is marked horizontally.<\/span><\/p>\n<p><b>Bar Chart<\/b><\/p>\n<p><span style=\"font-weight: 400;\">It is a graphical representation of a project\u2019s start and end dates that are placed in a logical order.<\/span><\/p>\n<p><b>Kanban<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A <a href=\"https:\/\/www.trinetix.com\/insights\/visual-communication-practices-for-inspiring-udiences\/\">visual communication<\/a> approach, <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/kanban-vs-scrum\/\">Kanban represents project tasks<\/a><\/strong> using virtual cards or sticky notes to track work progress.<\/span><\/p>\n<p><b>Milestone<\/b><\/p>\n<p><span style=\"font-weight: 400;\">They specify work progress in project timelines. It also specifies the progress needed to be met in order to complete the project in time.<\/span><\/p>\n<p><b>Timeline<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A graphical representation of project activities in a sequential manner.<\/span><\/p>\n<p><b>X-Bar Control Charts<\/b><\/p>\n<p><span style=\"font-weight: 400;\">They are a combination of two charts \u2013 one for mean and another for ranges of a specific number of samples. The samples are of the same size and are periodically gathered by the team or project managers.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Phases\"><\/span><b>Phases<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>Initiation Phase<\/b><\/p>\n<p><span style=\"font-weight: 400;\">In a project lifecycle, the initiation phase marks the point where project managers and their teams receive authorization to start the project. They sit together to work on defining project goals and objectives.<\/span><\/p>\n<h3><b>Models<\/b><\/h3>\n<p><b>Maturity Model<\/b><\/p>\n<p><span style=\"font-weight: 400;\">This model assesses the extent to which a company\u2019s processes, methods, and decisions are optimized and standardized against a set of different external benchmarks. As a result, it determines a company&#8217;s maturity level.\u00a0<\/span><\/p>\n<p><b>Waterfall Model<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A basic type of project <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/waterfall-project-management-methodology\/\">management lifecycle model<\/a><\/strong> in which no two development phases overlap. The phases in this model are sequential and non-iterative.<\/span><\/p>\n<p><b>WBS<\/b><\/p>\n<p><span style=\"font-weight: 400;\">WBS stands for <strong><a href=\"https:\/\/www.proprofsproject.com\/blog\/work-breakdown-structure\/\">Work Breakdown Structure<\/a><\/strong>. It is a hierarchical and comprehensive model that defines the deliverables that constitute the project scope.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Now that you know the basic terms every newbie in project management should know, it will definitely be easier for you to not only manage your team \u2013 but understand what is required to achieve more goals.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Let\u2019s move on to the next chapter \u2013 \u201cPopular Project Management Questions Every Beginner Asks\u201d.\u00a0<\/span><\/p>\n<hr \/>\n<h4><b>Summary Questions:<\/b><\/h4>\n<p><span style=\"font-weight: 400;\">Now that you have a little idea about project management terms, let us cover a few basic questions asked about these terms.<\/span><\/p>\n<p><b>Q1. What is CPM in project management?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">CPM stands for Critical Path Method in project management. This method is a step-by-step technique for planning various processes in projects. This technique also defines critical and non-critical tasks.<\/span><\/p>\n<p><b>Q2. What is WBS in project management?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">WBS in project management stands for Word Breakdown Structure. WBS is a key project deliverable. It organizes different teams\u2019 work into manageable sections.\u00a0<\/span><\/p>\n<p><b>Q3. What is CP in project management?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">CP is actually short for Project Cost Management. It defines project cost, time, and resources limits for executing a project.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>\u00a0 Project managers, who have just begun working on a project, may find it really stressful and time-consuming to manage multiple tasks, especially if they don\u2019t know the basics.\u00a0 Imagine you get a promotion as a project manager and are now solely responsible for various management tasks. If you have just entered this field, there&#8230;<\/p>\n","protected":false},"author":2,"featured_media":38649,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[22],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v16.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Different Project Management Terms &amp; Concepts Beginners Should Know<\/title>\n<meta name=\"description\" content=\"The best way to avoid project hurdles? Learn the basics! 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