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Inter Agency Policy and Projects Unit
Department of Premier and Cabinet
Project Management
Fact Sheet:Developing a Work BreakdownStructureVersion: 1.2, November 2008
DISCLAIMER
This material has been prepared for use by Tasmanian Government agencies and Instrumentalities.It follows that this material should not be relied upon by any other person. Furthermore, to the extentthat ‘this material is relied upon’, the Crown in Right of the State of Tasmania gives no warranty as tothe accuracy or correctness of the material or for any advice given or for omissions from the material.Users rely on the material at their own risk.
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Page 2 Tasmanian Government Project Management FrameworkProject Management Fact Sheet: Developing a Work Breakdown Structure, Version: 1.2, November 2008
What is a Work BreakdownStructure?
The Work Breakdown Structure is ahierarchical breakdown of the work to bedone in the project. It takes each outputand shows in sequence, from general tospecific, all the activities and tasksrequired for its production. As such theWork Breakdown Structure (WBS) alsodefines the scope of work of the project – whatever is not in the WBS is outside thescope of work for the project.
Why would you develop a WorkBreakdown Structure?
A WBS is developed to:
define what needs to be done in theproject and the order in which tasksshould be completed
determine resource allocation anddefine tasks for delegation and theskills set required
confirm a common understanding of the scope of work among ProjectSponsor, Steering Committee/senior management and Project Team
assist with the identification of milestones
assist with the preparation of a GanttChart
assist with budget estimation
assist with identification of projectrisks by showing areas of uncertainty
When would you develop a WorkBreakdown Structure?
The WBS is usually created at the start of the project, but may be created at anytime when the work to produce an outputneeds clarification.
What you need before you start
An agreed Project Business Plan or Project proposal or Brief , including alist of project outputs
Knowledge and understanding of the
project
Other References you may need
Corporate/Business Plan for theDepartment/Business Unit
Tasmanian Government Project
Management Guidelines Departmental Project ManagementGuidelines
What you will have when you are finished
A complete WBS that can be used to planresource allocation, determine the budget,create a Gantt chart, and determinemilestones. It may be useful to present tosenior managers to clarify planning
estimates and work required.
How do you develop a WorkBreakdown Structure?
A WBS can be created using anytechnique of listing and grouping projectactivities and tasks. It can be a resourceintensive activity, depending on the levelof detail required. This example uses a topdown technique, starting with the project
outputs and breaking these down into theactivities that need to be completed toproduce each output. These activities arebroken down further into smaller tasks.
Another useful approach is to use mindmapping, either by using software or stickynotes. Write down each output on aseparate note and brainstorm with theproject team to find all the tasks that wouldneed to be completed to deliver theoutput. Write these on separate notes and
place around each output. The tasks listedwill vary in size.
Try to break them into two levels: largetasks, or activities, and their associatedsmaller tasks. Move the notes around andkeep adding more until a structureemerges, see figure 1. As a guide eachoutput will have about seven activities,each activity will have about seven tasks.Tasks, activities and outputs can then beentered into the Work BreakdownStructure.
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Page 3 Tasmanian Government Project Management FrameworkProject Management Fact Sheet: Developing a Work Breakdown Structure, Version: 1.2, November 2008
Figure 1: A mind map showing an output broken into seven activities and each activity broken intoseven tasks.
Output Activity
Activity
Activity
Activity Activity
Activity
Activity
Tasks
Tasks
Tasks
Tasks
Tasks
Tasks
Tasks
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Work Breakdown Structure - <Project Title>
Page 4 Tasmanian Government Project Management FrameworkProject Management Fact Sheet: Developing a Work Breakdown Structure, Version: 1.2, November 2008
Project Name
1. <Output name> 2. New software tool 3. <Output name> 4. <Output name> 5. <Output name> 6. <Output name> 7. <Output name>
<1.1 Activity>
< 1.1.1 Task >< 1.1.2 Task >
< 1.1.3 Task >
2.1 Plan the Purchase
2.1.1 Conduct Market Research
2.1.2 Design the specification.
2.1.3 Determine the purchasing method.
2.1.4 Develop an evaluation plan.
2.1.5 Develop a risk management plan.
2.1.6 Develop a contract management plan.
<1.2 Activity>
< 1.2.1 Task >
< 1.2.2 Task >Etc.
2.2 Prepare the Documentation
2.2.1 Determine the conditions.
2.2.2 Finalise the specification.
2.2.3 Determine the contract conditions.
2.2.4 Develop a Tender Form.
2.3 Invite Tenders etc
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Page 5 Tasmanian Government Project Management FrameworkProject Management Fact Sheet: Developing a Work Breakdown Structure, Version: 1.2, November 2008
How to use this table
The Table shows outputs, activities andtasks. Generally the project will need morethan one page! The second column givesan example of the breakdown of one
output into activities and tasks.
1. Write each output across the first rowof the table. Use as many columns andpages as necessary. This is the outputlevel.
2. Break each output down intosequential smaller units of work, calledactivities. These are all the things thatneed to be done to produce the output,in the order they need to be started.
There are usually about sevenactivities for each output. This is theactivity level.
3. Write each activity in a separate cell inthe output column.
4. Break each activity into sequentialsmaller units of work, called tasks.Write these in the same cell as theactivity. This is the task level.
5. Review the list to check that theactivities and tasks seem appropriatelygrouped in terms of complexity. For example a task might be so complexthat it needs to be considered as anactivity, in its own right. This is simplya judgement call, there is no formulafor determining at what level a unit of work should sit.
6. Check to see that completion of eachgroup of tasks will result in thecompletion of activity above it. Checkthat the completion of each group of
activities will result in the completion of the output above it. For examplefinishing all the activities that belong tothe output will mean that the outputitself will be completed. Move theactivities and tasks around asnecessary.
7. Finally, give each item on the list aunique identifier to use as a reference.
Note: Activities and tasks are written in thepresent tense using action verbs, for example ‘assemble team’, ‘develop model’and ‘sign lease’.
A number of different text styles have been
used within the Table, as follows:
Text in italics is intended to provide aguide as to the kind of information thatcan be included in a section and towhat types of projects it might beapplicable
Text enclosed in <angle brackets> isintended to be replaced by whatever itis describing
Using the Work Breakdown
Structure
Resource allocation
The WBS can be used to determineresource allocation, such as budget, in aprocess known as bottom-up estimation.This involves determining resources,including budget requirements, for eachtask on the WBS. The ‘above the line’ or project management activities will alsoneed to be considered when using this
approach. As a guide ‘above the line’activities will take about 15% of the time of the project team. It is also advisable toinclude an allowance for contingencies; aguide level is 10%. (Refer to the Project Management Fact Sheet: Project Estimation)
Developing a Gantt Chart
A Gantt Chart is a horizontal bar chart. Itshows all the project activities and tasksfrom the WSB in sequential order with the
bars representing the time estimated tocomplete them. The chart graphicallydepicts the time relationship of activities,tasks, and resources in a project. It canalso show milestones (see below).
It is a flexible document and is regularlyupdated through the life of the project.(Refer to the Project Management Fact Sheet: Developing a Gantt Chart)
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Page 6 Tasmanian Government Project Management FrameworkProject Management Fact Sheet: Developing a Work Breakdown Structure, Version: 1.2, November 2008
Identifying project milestones
Milestones are significant events that actas progress markers for a project and their achievement is monitored and reported.The hierarchical structure of the WBS can
assist in identifying project milestones asthey are usually linked to the delivery of outputs or the completion of key projectactivities. The Gantt Chart can be used toidentify milestone dates. (Refer to theProject Management Fact Sheet: Developing a Gantt Chart)
Other things to consider:
Interdependencies
Where there are programs of projects, or
large and/or complex projects, possiblydivided into sub-projects, it is important todefine the interdependency managementprocesses to be applied. In other words,how will critically related activities bemonitored and managed.
For further exploration of this issue, seethe Tasmanian Government Project Management Guidelines: Section 9.0 Project/Program Integration.
Critical Path
In estimating timeframes the Critical PathMethod (CPM) is often used. The CriticalPath is the chain of activities that links thestart to the finish of the project, and for
which any delay will cause the project to bedelayed by the same amount of time. Project Managers, who need to shorten theduration of their project, work on the criticalpath tasks and add resources and changepredecessor relationships to shorten their critical path tasks.
(Refer to the Project Management Fact Sheets: Project Estimation Developing a Milestone History Monitor )
Where to get additional help
Refer to the Tasmanian Government Project Management Guidelines.
The Inter Agency Policy and ProjectsUnit offers further advice andassistance, including a formal Advisoryand Review Service.
Contact Project Services [email protected]
Further information and resources areavailable fromwww.egovernment.tas.gov.au
Acknowledgements
This Fact Sheet contains elements of the Tasmanian Government Project Management Guidelines prepared by the Department of Premier and Cabinet.