One of the fundamental project management technique Easy Projects is built on is WBS (Work Breakdown Structure).
A work breakdown structure is a deliverable-oriented decomposition of a project into smaller components. A work breakdown structure is a key project deliverable that organizes the team's work into manageable sections.
A work breakdown structure element may be a product, data, service, or any combination thereof. A WBS also provides the necessary framework for detailed cost estimating and control along with providing guidance for schedule development and control.
The WBS is organized around the primary products of the project (or planned outcomes) instead of the work needed to produce the products (planned actions). Since the planned outcomes are the desired ends of the project, they form a relatively stable set of categories in which the costs of the planned actions needed to achieve them can be collected. A well-designed WBS makes it easy to assign each project activity to one and only one terminal element of the WBS. In addition to its function in cost accounting, the WBS also helps map requirements from one level of system specification to another, for example a requirements cross reference matrix mapping functional requirements to high level or low level design documents.
The development of the WBS normally occurs at the start of a project and precedes detailed project and task planning.
An important design principle for work breakdown structures is called the 100% rule. It has been defined as follows:
The 100% rule states that the WBS includes 100% of the work defined by the project scope and captures all deliverables – internal, external, interim – in terms of the work to be completed, including project management. The 100% rule is one of the most important principles guiding the development, decomposition and evaluation of the WBS. The rule applies at all levels within the hierarchy: the sum of the work at the "child" level must equal 100% of the work represented by the "parent" and the WBS should not include any work that falls outside the actual scope of the project, that is, it cannot include more than 100% of the work. It is important to remember that the 100% rule also applies to the activity level. The work represented by the activities in each work package must add up to 100% of the work necessary to complete the work package.
Mutually exclusive elements
Mutually exclusive: In addition to the 100% rule, it is important that there is no overlap in scope definition between different elements of a work breakdown structure. This ambiguity could result in duplicated work or miscommunications about responsibility and authority. Such overlap could also cause confusion regarding project cost accounting. If the WBS element names are ambiguous, a WBS dictionary can help clarify the distinctions between WBS elements. The WBS Dictionary describes each component of the WBS with milestones, deliverables, activities, scope, and sometimes dates, resources, costs, quality.
Plan outcomes, not actions
If the work breakdown structure designer attempts to capture any action-oriented details in the WBS, s/he will likely include either too many actions or too few actions. Too many actions will exceed 100% of the parent's scope and too few will fall short of 100% of the parent's scope. The best way to adhere to the 100% rule is to define WBS elements in terms of outcomes or results, not actions. This also ensures that the WBS is not overly prescriptive of methods, allowing for greater ingenuity and creative thinking on the part of the project participants. For new product development projects, the most common technique to ensure an outcome-oriented WBS is to use a product breakdown structure. Feature-driven software projects may use a similar technique which is to employ a feature breakdown structure. When a project provides professional services, a common technique is to capture all planned deliverables to create a deliverable-oriented WBS. Work breakdown structures that subdivide work by project phases (e.g. preliminary design phase, critical design phase) must ensure that phases are clearly separated by a deliverable also used in defining entry and exit criteria (e.g. an approved preliminary or critical design review).
Level of detail
One must decide when to stop dividing work into smaller elements. This will assist in determining the duration of activities necessary to produce a deliverable defined by the WBS. There are several heuristics or "rules of thumb" used when determining the appropriate duration of an activity or group of activities necessary to produce a specific deliverable defined by the WBS.
- The first is the "80 hour rule" which means that no single activity or group of activities at the lowest level of detail of the WBS to produce a single deliverable should be more than 80 hours of effort.
- The second rule of thumb is that no activity or group of activities at the lowest level of detail of the WBS should be longer than a single reporting period. Thus if the project team is reporting progress monthly, then no single activity or series of activities should be longer than one month long.
- The last heuristic is the "if it makes sense" rule. Applying this rule of thumb, one can apply "common sense" when creating the duration of a single activity or group of activities necessary to produce a deliverable defined by the WBS.
A work package at the activity level is a task that:
- can be realistically and confidently estimated;
- makes no sense practically to break down any further;
- can be completed in accordance with one of the heuristics defined above;
- produces a deliverable which is measurable; and
- forms a unique package of work which can be outsourced or contracted out.