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Wideman Comparative Wideman Comparative Glossary of Common Project Management Terms v5.5 is copyright © R. Max Wideman, 2000-2017.

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Last updated 12-22-17

Master Glossary
Bills of Materials   - to -   Budget at Completion
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Term
Definition     Editor's Choice
Cat Source
Bills of Materials
The formal documentation of the complete set of physical elements required to build a product, which is used by the project manager or purchasing department to order any material or supplies that are required. [D00159]

J
C

 OTOB p271-4
Binding Arbitration
A decision process by a third party arbitrator in which all parties are bound by the outcome. [D05266]

GJN
CH

 MFC
Blanket Purchase Agreement ("BPA")
A simplified method of filling anticipated repetitive needs for supplies or services by establishing charge accounts with qualified sources of supply. [D03456]

GJN
CH

 GAT
Blueprint
The section of the program definition statement which sets out the vision for the program. The blueprint will include business models, operational performance measures, organization, information systems and support service requirements.
Editor's Note: The word "blueprint" comes from the color of copies that used to be made of large engineering drawings in the middle of the last century. [D04929]

FGN
HMT

 KSI
A model of the future business environment needed to achieve a vision. [D05906]

FG
HMT

 BRM
Board
A committee with authority and ability to make decisions or strong recommendations. [D02418]

FG
CHMT

 RMW
Boiler Plate
Essential contract terminology and clauses that are not subject to frequent change.
Editor's Note: Take care not to overlook the requirements of "Boiler Plate" clauses when preparing a tender submission. That could be costly! [D04007]

GJN
CHMT

 CSM
Bona Fide
Genuine. Made honestly and in good faith. [D03459]

J

 GAT
Bond
A written instrument executed by a bidder or contractor (the principal), and a second party (the surety or sureties), to assure fulfillment of the principalís obligations to a third party (the obligee or agent identified in the bond). If the principalís obligations are not met, the bond assures payment, to the extent stipulated, of any loss sustained by the obligee. [D03457]

GJ
C

 GAT
Bonus
An added benefit. A sum paid to an employee over and above his/her regular pay. [D02419]

J
CHMT

 RMW
Bonus Schemes
A scheme by which the work force will receive extra pay or other rewards if certain targets or objectives are achieved. The targets are usually expressed as a certain quantity in a certain time, including completing a project by a fixed date. The scheme must be carefully thought out if it is to benefit both owner and work force. The work force must perceive that the extra reward is worth the extra effort. The approach has limited application because frequent use can become a normal expectation or even abused or hence counter productive. It does, however, have particular application near the end of a project to gain earlier completion. See also Break-Even Charts. [D03063]

J
CHMT

 CCCP
Booking Rates
Rates used to record estimated actual indirect costs to a project. The overhead booking rates are applied to direct labor, materials and other direct costs. [D04615]

JN
CHM

 QWF
BOOT
See Build, Own, Operate, Transfer

J
C

  
Bottleneck
A process constraint that determines the capacity or capability of a system and restricts the rate, volume, or flow of a process. [D05907]

GJ
CHM

 PMTWG
Bottom Up
Viewing integration, cost or time estimating from the lowest level and working up to the highest level [D05267]

JN
CHM

 RMW
Bottom Up Cost Estimate
An estimate derived by summing detailed cost estimates of individual work packages (labor and materials) and applying appropriate cost burdens. [D04008]

JN
CHM

 CSM
Bottom Up Cost Estimating
The preparation of detailed estimates for every task in the work breakdown structure and summing them up to provide a total project cost estimate or cost plan. [D00161]

JN
CHM

 CCCP
The approach to making a cost estimate or plan in which detailed estimates are made for every task shown in the work breakdown structure and then summed to provide a total cost estimate or plan for the project. [D00160]

JN
CHM

 SPM p304-9
Bottom Up Estimating
Overall estimates for the project are built up from the detailed level and aggregated to give totals for the project as a whole. The opposite of Top Down. [D03597]

JN
CHM

 PNG
Boundary
Literally a limit line. Typically used to indicate some form of constraint. [D02420]

GJ
CHM

 RMW
BPA
See Blanket Purchase Agreement

GJN
CH

  
BPR
See Business Process Reengineering

FN
HMT

  
Brainstorming
The unstructured generation of ideas by a group of people. [D00162]

N

 WST
A technique to develop alternative solutions through an unrestrained exchange of ideas. [D03460]

N

 GAT
A group of people, selected for their creativity and knowledge, are brought together to seek solutions to particular problems or simply to find better ways of meeting objectives. Suggestions, however outlandish, are encouraged and pursued during a creativity session. From this, many ideas, some entirely new, are brought forward for analysis and ranking. Brainstorming is an essential part of the Value Management technique. [D03048]

N

 CCCP
The unstructured and dynamic generation of ideas by a group of people where anything and everything is acceptable (more or less!) Particularly useful in generating a list of potential project risks. [D03803]

N

 PNG
Branching Logic
Conditional logic. Alternative paths in a probabilistic network. Breakdown Structure [D04386]

JN

 APM
BS
Breach of Contract
Failure by either the owner or the contractor, without legal excuses to perform any work or duty to the other. [D04930]

GJN
CHM

 PDG
Unequivocal, distinct, and absolute refusal to perform under contract. [D05908]

GJ
CHM

 PMTWG
Breadboarding
The creation of an experimental device to determine the feasibility of an idea, to develop it technically or demonstrate its usefulness, usually under laboratory conditions. [D02421]

N
T

 RMW
Break Even
A situation that exists when cost and revenue are equal. Profit is zero. [D03461]

FG

 GAT
Breakdown
Identification of the smallest activities or task in a job according to a defined procedure. [D00163]

JN
M

 PMK87
Breakdown Structure
A hierarchical structure by which project elements are broken down, or decomposed. See also Organizational Breakdown Structure (OBS) and Work Breakdown Structure (WBS). [D00164]

JN

 WST
Break-Even Chart
A graphic representation of the relation between total value earned and total costs for various levels of productivity. [D00165]

FGN
T

 PMK87
Often it is possible to draw a graph showing the relation between the increased cost of accelerating project progress and the cost benefit of reduced project overhead and earlier cash flow from product sales. When IDC is factored in near the end of a commercial project almost any cost that results in greater progress can be justified, provided that the benefit is actually realized. This is why many projects end up working heavy overtime close to completion. The charts can be used to show how the cost of better planning can be justified to produce the same result at less total cost. [D03049]

FGN
T

 CCCP
Break-Even Point
The productivity point at which value earned equals total cost. [D00166]

FGN
T

 PMK87
In decision-making such as "make versus buy", "lease versus buy", etc, it is the point of indifference, meaning that level which results in the same overall cost. These types of decisions typically involve assumptions about each option, such as the number of units involved. [D02280]

FGN
T

 DSMC
Bribe
A price, reward or gift with intent to change a decision or course of action in one's favor.
Editor's Note: Normally considered a corrupt practice in the West, bribery is viewed with varying degrees of latitude in different cultures. [D02422]

FGJN
CHMT

 RMW
BRM
See Benefits Realization Management

GN
HMT

  
BSA
See Balanced Scorecard Approach

FGN
HM

  
Buck Passing
Avoiding responsibility for a decision or action by pointing to governing regulations, policies or procedures. [D02427]

FGJN
CHMT

 RMW
Budget
When unqualified, usually refers to an estimate of funds planned to cover a fiscal period. (As distinct from a Project Budget.) A budget may also be expressed in terms of time or use of resources. [D00169]

FGJN
CHMT

 PMK87
The amount of money allotted for a specific use. [D00167]

FGJ
CHMT

 NPMT
The planned cost for an activity or project. [D00168]

FGJ
CHMT

 WST
If unqualified, it is better to reserve the term "budget" for annual or fiscal financial allocations of the organization. This should include a capital budget for on-going and proposed construction projects. The acceptance or approval of a capital budget is not necessarily authority to proceed. An appropriation must be obtained before commitments can be made. See also feasibility budget and project budget. [D00170]

FGJ
C

 CCCP
Quantification of resources needed to achieve a task by a set time, within which the task owners are required to work.
Note: A budget consists of a financial and/or quantitative statement, prepared and approved prior to a defined period, for the purpose of attaining a given objective for that period. The planned cost for an activity or project.
Editor's Note: In this context the term "Budget" should be referred to as "Project Budget". [D04387]

FGJ
CHMT

 APM
BS
A fiscal plan of operations for a given period. [D04616]

FGJ
HMT

 QWF
An approved estimate of cost for a defined piece of work. [D06343]

GJ
CHMT

 RMW
Budget at Completion ("BAC")
The sum of all budgets allocated to a project. It is synonymous with the term "Performance Measurement Baseline (PMB)." [D04617]

JN
CHM

 QWF
The sum total of the time-phased budget. [D00171]

JN
CHM

 WST
Definitions for page B03: 50

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