The Work Breakdown Structure in Project Management

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The Work Breakdown Structure in Project Management

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The Importance of a Work Breakdown Structure

According to the Project Management Institute (2004), the everyday practice of project managers is revealing that creation of a Work Breakdown Structure (WBS) to define the scope of the project helps to ensure delivery of the project's objectives and outcomes. Halli (1993) also subscribes to the view that the use of a WBS can be attributed as one of the essential elements to a project’s success. Norman (2007) also confirms that WBS-es are fundamental building blocks for project management practice.

What exactly is a Work Breakdown Structure? Definition

The Project Management Institute’s PMBOK defines a WBS as a deliverable-oriented hierarchical decomposition of the work to be executed by the project team to accomplish the project objectives and create the required deliverables (PMI, 2004). Let's lookout the meaning of the 2 important keywords in this definition.

• DELIVERABLE - The PMBOK Guide defines a deliverable as “any unique and verifiable product, result, or capability to perform a service that must be produced to complete a process, phase or project” (PMI, 2004)
• DECOMPOSITION - Decomposition is a planning technique that subdivides the project scope and project deliverables into smaller, more manageable components, until the project work associated with accomplishing the project scope and deliverables is defined in sufficient detail to support executing, monitoring, and controlling the work. (Ibid.)

The Work Breakdown Structure can be represented in a variety of ways such as graphical like typically in a Gantt Chart, textual as well as tabular views. It is up to the project manager’s discretion to choose the form of representation to implement based on the needs of the specific project. It can be created or supported by a combination of workflow management software and project management frameworks. Some of these software or frameworks include timelines, Kanban boards, and calendars.

Types of Work Breakdown Structures

• Deliverable-based work breakdown structure
  From the WBS definition, it is a deliverable-oriented hierarchical decomposition of the work. It looks at the overarching project scope and breaks the work down into deliverables that support it. The PMI suggests that this approach is best for shorter projects with a clear outcome. For example, developing annual revenue reports.
• Phase-based work breakdown structure
  It utilises project phases to create work packages that house groups of tasks. These groups of tasks are then completed in stages. It is usually used for longer projects with less defined outcomes. For example, the project manager may have an aim to boost retention over a couple of years.

Implementation of a Work Breakdown Structure

As already said, an implementation of a WBS is normally accompanied by the break down of deliverables into sub-deliverables in order to visualize the project and outline its key dependencies. A work breakdown structure also typically involves the following components:
1. Project stakeholders: Setting the standards to be met in order to achieve customer or other stakeholder requirements or objectives.
2. Team members. Identify and delegate an individual or team responsible for each task throughout the project.
3. Budget. Clearly outline the expenses associated with the project and these can be broken down by deliverables or phases in order to have an appreciation of all the expenses to be incurred at each respective stage.

Haugan (2002) stated that the key component of a work breakdown structure is the 100% rule alongside its levelled structure. This 100% rule implies that the WBS encompasses all aspects of the project as well as the persons or team responsible for that component.
He goes on to explain that when applying the 100% rule, the first level (Level 1) of the WBS will be the totality of the project with the subsequent levels breaking down the project and its elements into further detail, using the 100% rule at each level. Hougan (2004) writes, “When you’ve completed the decomposition process for each element in Level 1, the WBS is complete.”

The Levels of the Work Breakdown Structure

• Level 1: The parent task
  This is usually the same as the project objective which clearly establishes the project. It should include the project plan, description as well as the various stages of the project.
  NB: When defining the Level 1 elements, remember the 100% rule while creating the Level 1 deliverables.
• Level 2: Dependencies and tasks
  The process of breaking down the Level 1 elements is called decomposition. It consists of breaking down a task into smaller and smaller pieces, applying the 100% rule at each level. This level will include subtasks known as dependencies, of the parent task. At this level, one can set boundaries on what should be included and excluded in the WBS. It will likely include the deliverables associated with the project, such as a Project Scope Statement or Mission Statement. In other words, it is the product, service or results to be created at various stages of the project. For instance, in a building construction project, a deliverable based WBS would be structured around the foundation to be established, pillars erected for instance
• Level 3: Subtasks
  It is the lowest level of the project lifecycle and it involves the further breakdown of the dependencies into more manageable components called sub-dependencies. At this stage the project manager defines the tasks in the most detailed form. These actionable tasks will simplify the path to completing all the required deliverables.

Benefits of using a Work Breakdown Structure. Advantages

1. Project Planning and Scheduling
   Visualizing the project through a WBS allows project managers to allocate resources appropriately for each task.
2. .Improved Efficiency
   Project managers give team members a visual project overview breaking down the project into bite-size components, making the project less overwhelming and more manageable. Therefore, when the teams understand their specific tasks and responsibilities, they can work more efficiently, thus it can also improve team coordination.
3. Risk Management
   Since it is into decomposition of the parent task that is breaking down the project, risks associated with specific components become more apparent thus allowing proactive risk management.

A WBS also aids in measuring project completion, identifying milestones and allocating budget resources. Kerzner (1997) writes, “The WBS provides the framework on which costs, time, and schedule/performance can be compared against the budget for each level of the WBS”.

Drawbacks of using a Work Breakdown Structure. Disadvantages

Raymond (2023) explains some of the drawbacks:

1. Rigidity in Planning
   While beneficial for clarity, the detailed decomposition of tasks can become a hindrance when unforeseen changes or innovations are required. This lack of flexibility can lead to delays and increased costs as teams struggle to adapt the WBS to accommodate new developments or changes in project scope.
2. Complexity and Over-detailing
   The drive to break down every task into its smallest component can lead to excessive detailing, making the WBS difficult to manage (especially for large projects) and at times can confuse the team members.
3. Underestimation of Soft Factors
   A WBS typically focuses on tangible tasks and deliverables, often overlooking the ‘soft factors’ such as team dynamics, stakeholder relationships, and communication channels. The failure to recognize and plan for these soft factors can lead to challenges in team cohesion, stakeholder engagement, and effective communication.

References:
Jones, C. (2007). Creating an effective WBS with facilitated team involvement. Paper presented at PMI® Global Congress 2007—North America, Atlanta, GA. Newtown Square, PA: Project Management Institute
Norman, Eric S., Brotherton, S. A., Fried, R. T. (2010). Work Breakdown Structures: The Foundation for Project Management Excellence. Germany: Wiley.
Haugan, Gregory T., Haugan PhD, PMP, G. T. (2001). Effective Work Breakdown Structures. (n.p.): Berrett-Koehler Publishers.
Norman, E. S. (2007). Developing and elaborating effective work breakdown structures. Paper presented at PMI® Global Congress 2007—North America, Atlanta, GA. Newtown Square, PA: Project Management Institute.
Project Management Institute. (2004). Project management body of knowledge (PMBOK® Guide) (2004 Ed.). Newtown Square, PA: Project Management Institute.
Kerzner, H. (1997). Project management: A systems approach to planning, scheduling, and controlling (6th ed.). New York: John Wiley & Sons. 24-4-2024