Work Breakdown Structure and its Importance in Project Planning and Budgeting

This document discusses the importance of work breakdown structure (WBS) in project planning and budgeting. It explains how WBS helps in organizing project tasks, tracking progress, defining project scope, and estimating project costs.

Running head: PROJECT MANAGEMENT
Project management
Name of the Student
Name of the University
Author’s Note

1
PROJECT MANAGEMENT
Table of Contents
1. Discussion about the work breakdown structure and its importance in project planning and
budgeting.........................................................................................................................................2
2. Creating WBS and linking it with Gantt chart for reflecting the lifecycle of the project........4
2.1 Work breakdown structure of the project..............................................................................4
2.2 Schedule of the project..........................................................................................................5
2.3 Gantt chart of the project.......................................................................................................7
References........................................................................................................................................8

2
PROJECT MANAGEMENT
1. Discussion about the work breakdown structure and its importance in
project planning and budgeting
A WBS is considered as one of the important project deliverable that helps in organizing
the entire project into number of manageable sections. The WBS generally assists the project
managers in planning the entire work that is related with the project much more efficiently
(Siami-Irdemoosa, Dindarloo & Sharifzadeh, 2015). It is found that the main reason of using a
WBS is to minimize the different complicated project activities into a number of project tasks. It
is found to be very much important for the managers of the project as they have the ability of
overseeing the tasks more efficiently in comparison to other types of complex activities. Tasks
must be properly independent as well as measurable as it generally helps in defining the limits.
It is found that as the project WBS can be considered to be measurable as the project
manager have the ability of assigning specific costs to each of the project. As the WBS generally
lets the project managers to properly distribute the project budget into a number of defined
packages that are mainly linked with the tasks for making sure that the total cost of the project
does not exceed (Elsye, Latief & Sagita, 2018). In addition to this, the WBS is mainly
considered important for properly tracking the progress of the project schedule. As the WBS
tasks generally have defined limits therefore the project management generally helps in
identifying the advancement of the project by properly checking which of the project tasks are
mainly finished. Even within each of the project task, the project management generally checks
the percentage completion of each task that is considered to be measurable (Supriadi, Biruni &
Latief, 2018).

3
PROJECT MANAGEMENT
It is found that one of the main key functions of the PM is to properly defining the scope
of the project effectively. The main challenge is make sure that everything that is generally
present within the scope of the project is properly completed by properly carrying out any of the
additional work that is generally needed within the project. The WBS helps in defining the scope
of the project by properly listing the individual tasks that generally make up the entire project
(Kerzner & Kerzner, 2017). It is found that it is the responsibility of the project team to
complete each of the listed tasks with no additional work performance. It is found that one of the
major criterion of the project success is to fulfil the intended purpose of the project. As WBS
breaks down the project therefore project planning, management, execution as well as
coordination of the project is done effectively and helps in completing the work of the project
successfully within the assumed time and budget of the project (Joslin & Muller, 2015).
It is stated by Hornstein (2015) that as WBS divides the work into smaller parts, it is
very much easier to estimate the cost of the project successfully. With the help of the WBS, the
cost that is needed for the successful completion the project can be estimated effectively by
dividing the work into smaller parts in order to make the estimation appropriate. Furthermore, it
is identified that utilization of WBS helps in preventing changes within the project (Elsye, Latief
& Sagita, 2018). The changes that are required in the project are inevitable but due to the use of
WBS, the breakdown of the project scope is properly reflected that prevents changes within the
project and assists in making the scope of the project much more clear. Moreover, the risks that
are associated with each activities of the project can be identified quite easily by using the work
breakdown structure.

4
PROJECT MANAGEMENT
2. Creating WBS and linking it with Gantt chart for reflecting the lifecycle of the project
2.1 Work breakdown structure of the project
Development of
information system
Initiation phase of the
project
Undertaking survey
Determining issues
Determining
solutions
Considering the
solution of
information system
Getting approval of
the information
system
Planning phase of the
project
Scope determination
Project objectives
identification
Project budget
development
Project plan
development
Cost benefit analysis
Allocating work
Procuring resources
Moving towards
project
implementation
phase
Execution phase of the
project
Recruiting staffs
Project prototype
development
Development of
website
Addition of option
into the profile
Addition of payment
option
Tracking portal
option
Including inventory
option
Checking
functionality
Development of
entire version
Testing of the
project
Closure phase of the
project
Providing training
Project review
Signoff
Documentation
Figure 1: WBS
(Source: Created by Author)

5
PROJECT MANAGEMENT
2.2 Schedule of the project
WBS Task Name Duration Start Finish
0 Development of information system 71 days Mon 18-03-19 Mon 24-06-19
1 Initiation phase of the project 10 days Mon 18-03-19 Fri 29-03-19
1.1 Undertaking survey 2 days Mon 18-03-19 Tue 19-03-19
1.2 Determining issues 3 days Wed 20-03-19 Fri 22-03-19
1.3 Determining solutions 2 days Mon 25-03-19 Tue 26-03-19
1.4
Considering the solution of
information system
2 days Wed 27-03-19 Thu 28-03-19
1.5
Getting approval of the
information system
1 day Fri 29-03-19 Fri 29-03-19
2 Planning phase of the project 18 days Fri 29-03-19 Tue 23-04-19
2.1 Scope determination 3 days Fri 29-03-19 Tue 02-04-19
2.2 Project objectives identification 2 days Wed 03-04-19 Thu 04-04-19
2.3 Project budget development 3 days Fri 05-04-19 Tue 09-04-19
2.4 Project plan development 2 days Wed 10-04-19 Thu 11-04-19
2.5 Cost benefit analysis 2 days Fri 12-04-19 Mon 15-04-19
2.6 Allocating work 3 days Tue 16-04-19 Thu 18-04-19
2.7 Procuring resources 2 days Fri 19-04-19 Mon 22-04-19
2.8
Moving towards project
implementation phase
1 day Tue 23-04-19 Tue 23-04-19
3 Execution phase of the project 38 days Tue 23-04-19 Thu 13-06-19

6
PROJECT MANAGEMENT
3.1 Recruiting staffs 3 days Tue 23-04-19 Thu 25-04-19
3.2 Project prototype development 4 days Fri 26-04-19 Wed 01-05-19
3.3 Development of website 6 days Thu 02-05-19 Thu 09-05-19
3.4 Addition of option into the profile 3 days Fri 10-05-19 Tue 14-05-19
3.5 Addition of payment option 4 days Wed 15-05-19 Mon 20-05-19
3.6 Tracking portal option 5 days Tue 21-05-19 Mon 27-05-19
3.7 Including inventory option 4 days Tue 28-05-19 Fri 31-05-19
3.8 Checking functionality 3 days Mon 03-06-19 Wed 05-06-19
3.9 Development of entire version 5 days Thu 06-06-19 Wed 12-06-19
3.10 Testing of the project 1 day Thu 13-06-19 Thu 13-06-19
4 Closure phase of the project 7 days Fri 14-06-19 Mon 24-06-19
4.1 Providing training 3 days Fri 14-06-19 Tue 18-06-19
4.2 Project review 2 days Wed 19-06-19 Thu 20-06-19
4.3 Signoff 1 day Fri 21-06-19 Fri 21-06-19
4.4 Documentation 1 day Mon 24-06-19 Mon 24-06-19

7
PROJECT MANAGEMENT
2.3 Gantt chart of the project
Figure 2: Gantt chart
(Source: Created by Author)

8
PROJECT MANAGEMENT
References
Elsye, V., Latief, Y., & Sagita, L. (2018). Development of Work Breakdown Structure (WBS)
Standard for Producing the Risk Based Structural Work Safety Plan Of Building.
In MATEC Web of Conferences (Vol. 147, p. 06003). EDP Sciences.
Hornstein, H. A. (2015). The integration of project management and organizational change
management is now a necessity. International Journal of Project Management, 33(2),
291-298.
Joslin, R., & Müller, R. (2015). Relationships between a project management methodology and
project success in different project governance contexts. International Journal of Project
Management, 33(6), 1377-1392.
Kaiser, M. G., El Arbi, F., & Ahlemann, F. (2015). Successful project portfolio management
beyond project selection techniques: Understanding the role of structural
alignment. International Journal of Project Management, 33(1), 126-139.
Kerzner, H., & Kerzner, H. R. (2017). Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Siami-Irdemoosa, E., Dindarloo, S. R., & Sharifzadeh, M. (2015). Work breakdown structure
(WBS) development for underground construction. Automation in Construction, 58, 85-
94.
Supriadi, L. S. R., Biruni, R., & Latief, Y. (2018, September). Development of work breakdown
structure (WBS) dictionary for the construction works of precast concrete bridge. In IOP

9
PROJECT MANAGEMENT
Conference Series: Materials Science and Engineering (Vol. 420, No. 1, p. 012004). IOP
Publishing.
Svejvig, P., & Andersen, P. (2015). Rethinking project management: A structured literature
review with a critical look at the brave new world. International Journal of Project
Management, 33(2), 278-290.