One of the pillars of every project is the Work Breakdown Structure (WBS) and the associated WBS dictionary. Whether you are a contractor presenting the project baseline or the client reviewing it, the WBS and WBS Dictionary are your Rosetta Stone for understanding how the different pieces of a project will ultimately come together.
The WBS is the hierarchical subdivision of the project based on deliverables. It is the actual structure that we are used to seeing and using to organize the project. It allows us to break down the scope into manageable pieces and provides a reporting structure that we use for planning, performance monitoring, and actual costs.
The WBS Dictionary, in addition to expanding the simple description of the WBS elements, links the WBS to the Statement of Work (SOW). The WBS dictionary is usually a spreadsheet that lists the WBS, the WBS element name, and a description of the work in that element. A good dictionary will also have a field indicating which SOW paragraph is covered by that WBS element.
The last column in the example (Figure 1) shows how the lowest level elements of the WBS are related to the SOW. In the example, you can see that each element is related to two different sections in the SOW. This link demonstrates that the project will plan, execute, and capture actual project management costs with each individual element.
Linking these two structures allows you to view your project in different dimensions, which provides many reporting and analysis opportunities. It can quickly tell you whether you have everything covered in the SOW or are doing work in a WBS element that is not covered by the contract.
But that’s just the beginning. By looking at the relationships that exist between WBS elements in the schedule, you can see how different SOW paragraphs are linked and whether or not that makes sense. In addition, performance and actual costs can be assigned to SOW paragraphs. The visibility of this is even more valuable.
Used properly, the WBS dictionary becomes much more than a document describing work. It becomes a project kaleidoscope that allows you to view your project data in an infinite number of ways.
Understanding the WBS and the WBS Dictionary is essential to successfully managing a project. It provides a clear overview and in-depth understanding of how each part of the project comes together. It is a tool that should not be overlooked by project managers and stakeholders.
With every project comes risk, and that requires risk management. This is not just a task for the project manager, but for the entire team. It includes identifying, analyzing, and evaluating the risk and its potential impact.
A risk mitigation plan is not just a reactive document; it is a proactive approach to mitigating potential damage. At BAEKEN, we define risk events as those that could have a negative or positive impact on the project.
Risk identification is a layered and dynamic process. It involves not only identifying potential problems, but also creative and organized thinking. This includes brainstorming all possible risks that could negatively or positively impact the project.
Risks do not materialize in a vacuum; they can be tracked, understood, and evaluated. Checklists, based on previous experience, are a core part of the BAEKEN methodology and a valuable tool in identifying potential risks.
Risks are not all the same, and at BAEKEN we categorize them into areas such as technical, human, financial, and more so that we can thoroughly evaluate and manage them.
This statistical method goes beyond superficial calculations; it provides an in-depth simulation of possible outcomes and helps the BAEKEN team make accurate projections of risk events.
At BAEKEN, risk mitigation is not a standard practice; it is a customized strategy that considers various factors such as risk avoidance, risk sharing, and more.
We believe in flexibility and preparation. Our contingency plans are not mere back-ups but essential components for achieving project goals, even in the face of unanticipated risks.
