PMI-CP key terms

A hierarchical decomposition of the total scope of work into progressively smaller, manageable components that provide a framework for estimating, scheduling, assigning responsibility, and controlling cost.

The pre-construction phase in which business objectives, scope, alternatives, funding, and delivery strategy are defined and validated before detailed design begins, reducing costly late changes.

A sequential delivery method in which the owner completes design, then awards construction to the lowest responsive bidder; the owner holds separate contracts with the designer and the builder.

A delivery method in which one entity is contractually responsible for both design and construction, giving the owner a single point of accountability for cost and performance.

A delivery method in which the construction manager joins during design, provides constructability and cost input, and later holds a contract with a guaranteed maximum price for building the work.

A collaborative delivery approach in which owner, designer, and builder sign a multi-party agreement that shares risk and reward and aligns their financial interests with project outcomes.

A digital, information-rich model of a facility's geometry and data used for design coordination, clash detection, quantity takeoff, sequencing, and handover to operations.

A lean production planning method in which those who execute the work collaboratively build pull plans, commit to weekly work plans, and measure planning reliability through percent plan complete.

A structured assessment of design documents, performed by construction experts, to identify details that would obstruct safe, timely, efficient, or economical construction.

The point at which the work is sufficiently complete, in accordance with the contract, that the owner can use the facility for its intended purpose, triggering warranty start and other contractual consequences.

A quality-focused process of verifying and documenting that building systems and assemblies are installed, function, and perform according to the owner's project requirements and design intent.

A safety planning technique that breaks a task into its steps, identifies the hazards associated with each step, and specifies controls before the work is performed.

A document that identifies project stakeholders, analyzes their interests and influence, and defines how and when the project will communicate with and involve them.

A mapping tool that plots stakeholders by their authority over the project and their concern with its outcomes, guiding how closely each group should be managed and engaged.

A responsibility chart that labels each activity with who is Responsible for doing it, Accountable for the outcome, Consulted before decisions, and Informed of progress.

A written agreement created by the project team that defines its purpose, operating norms, roles, decision rights, meeting discipline, and how conflicts will be handled.

Physically placing owners, designers, builders, and key trade partners in one shared space so that questions are answered and decisions are made in real time.

A structured, voluntary collaboration among owner, designer, and contractor that establishes shared goals, communication protocols, and issue-escalation steps intended to prevent disputes.

A plan specifying which stakeholders receive what information, in what format, how often, and through which channel, along with who is responsible for sending it.

An ongoing log of knowledge gained during the project-what worked, what failed, and why-captured while experience is fresh and used to improve later work.

A written, signed modification to the contract that alters scope, price, or schedule after award; without it, the changed work is generally neither compensable nor time-extending.

Physical conditions at the site that differ materially from those indicated in the contract documents or that are unusual for the type of work, entitling the contractor to notice and possible adjustment.

A percentage of each progress payment withheld by the owner until the work is satisfactorily complete, providing leverage to ensure correction of defects and completion of closeout items.

A predetermined amount of money per day of delay stated in the contract, enforceable when it is a reasonable forecast of probable owner loss rather than a penalty.

A surety instrument guaranteeing that the contractor will fulfill the contract; if the contractor defaults, the surety must complete the work or pay the owner up to the bond amount.

A statutory claim against a property filed by parties who furnished labor or materials and were not paid, giving them a security interest in the improved real estate.

Shop drawings, product data, samples, or mock-ups the contractor sends to the designer to demonstrate that materials and equipment conform to design intent before fabrication or installation.

A formal written question from the contractor to the design team seeking clarification of the documents; the written answer becomes part of the contract record and may support later claims.

A contract ceiling above which the contractor absorbs cost overruns; if the work is completed for less, the contract may provide for sharing the savings with the owner.

A contract clause that excuses or suspends performance when an unforeseeable event beyond the parties' control-such as a natural disaster, war, or epidemic-prevents it.

A living log of identified project risks, each recorded with its cause, potential effect, probability and impact rating, owner, planned response, and current status.

The degree of uncertainty an organization is willing to accept in pursuit of its objectives, and the specific thresholds beyond which risks must be escalated or treated.

Planned actions for threats-avoid, mitigate, transfer, accept, or escalate-and for opportunities-exploit, enhance, share, or accept-selected according to the significance of each risk.

A quantitative technique that runs thousands of randomized iterations of cost or schedule inputs to produce a probability distribution of possible project outcomes.

A network scheduling technique that calculates early and late dates and identifies the longest path through the project, which determines the shortest possible project duration.

The amount of time an activity can be delayed from its early start without delaying the project completion date, shared among activities lying on the same path.

Shortening the project schedule without reducing scope, typically by crashing-adding resources or overtime-or fast-tracking-overlapping activities that were originally planned in sequence.

Time or money set aside in the baseline for known risks that have been identified and analyzed, kept separate from a management reserve held for unforeseen, unknown risks.

A prospective delay analysis that inserts a change or delay event into a fragment of the current schedule to measure its effect on project completion.