Last updated on June 30, 2016
Work Package and Activity – Definitions, Differences & Examples
You are at the right place if you want to know the difference between Work Package and Activity. But, why do you want to differentiate between Work Package and Activity?
Practically, it doesn’t matter whether you call a Work Package an Activity or vice-versa. At the end of the day, you have to complete the project. The project work will not change because of nomenclature. However, if you are preparing for the PMP Exam then it is important to differentiate between Work Package vs Activity.
It is important to understand the definition of Work Breakdown Structure (WBS) in its purest form to understand the difference between Work Package and Activity. You should read my article 7 Reasons to Create WBS before venturing ahead. Succinctly, we can say that:
A WBS is deliverable oriented. A deliverable is an outcome or a result of something. A deliverable provides some value to the project stakeholders.
Let us now look at definitions of Work Package and Activity.
Definitions
Work Package
The work defined at the lowest level of the work breakdown structure for which cost and duration can be estimated and managed.
PMBOK® Guide 5th Edition
You can refer to Max Wideman Glossary to read some other standard definitions.
Activity
A distinct, scheduled portion of work performed during the course of a project.
PMBOK® Guide 5th Edition
You can refer to Max Wideman Glossary to read some other standard definitions.
Work Package vs Activity
Is it possible to differentiate between Work Package vs Activity after reading the above definitions?
I think, your answer would be a big No. Don’t get me wrong. The definitions absolutely correct, but they could be confusing for a new-comer. I have seen many Project Management professionals & students alike who find it difficult to comprehend these definitions. We cannot differentiate between the terms just by looking at the definitions. Let us go beyond the definitions to understand the difference.
What is a Work Package?
In simple terms we can say that
it is a result of an endeavor.
Or
a series of actions results in (creates) a Work Package.
Let us explore it further. A Work Package
* Project team is free to create its own WBS and define Work Packages (lowest level deliverables). Some of these lowest level deliverables may be outsourced to a vendor. The vendor could treat such outsourced deliverables as the complete project.
What is an Activity?
Refer to the previous section. I wrote “a series of actions results in a (creates) a Work Package”. These actions are, in fact, the Activities performed by the project team. In simple terms we can say that series of activities creates a Work Package. An Activity, in itself, does not produce any result but a series of Activities results into a lowest level deliverable.
Examples
Let us take a look at two examples.
Software Development Project – Let us assume that project team has created a WBS with software modules as work packages. Integration of all modules will result in the completion of the software product. One such module could be “Module X” – it would be a work package. Project Team will have to perform series of Activities to create “Module X”. These Activities might include Algorithm Writing, DB preparation, Coding, Testing, Integration etc. Project Team might have to repeat these activities until delivery ready “Module X” is created.
Building Construction Project – Let us assume that project team has created a WBS with building floors as work packages. Completion of all floors will result in the completion of the Building. One such floor could be “Floor N” – it would be a work package. Project Team will have to perform series of Activities to construct “Floor N”. These Activities might include Floor laying, Wiring, Painting, Inspection etc. Project Team might have to repeat these activities until delivery ready “Floor N” is completed.
The Difference
Let us summarize the difference between Work Package vs Activity.
| Work Package | Activity |
|---|---|
| It is one of the lowest level of deliverables in a project. | It is a means to create a deliverable. A series of activities results in a lowest level of deliverable. |
| It is the result or outcome of an endeavor. | It is one step of the endeavor. |
| It fulfills a portion of project and provides part satisfaction and some value to the project stakeholders. | An activity, in itself, does not provide any value to the project stakeholders. |
| A deliverable has a tangible value and it is generally handed over to the project stakeholders. | It cannot be handed over to the project stakeholders. |
| It is generally defined using a noun (outcome) e.g. ‘Module X’. | It is generally defined using a verb (work to be done) e.g. ‘testing’. |
Frequently Asked Questions
Yes. It depends on the level of Decomposition. Different people tend to think differently. Different project managers may define WBS differently for the same project.
No. it depends upon the organizational guidelines, stakeholder preferences, environment, type of project, project manager’s bias and many other varied factors. A WBS is good, as long as it includes the total scope of work. You should also read about 2 ways to create WBS.
You should read about 7 reasons to create WBS.
Do you still find work package vs activity confusing. Please leave a comment.
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Great work in differentiating the WBS and Activity, Sometimes in my past i have referred a WBS as an activity during my representations. Hereafter will have a different note on both. Thanks MR PM
Thanks Ashok.
Hi,
I am a PMP aspirant. I understand that the WP is the work defined at the lowest level of the WBS for which duration and cost can be estimated. Does it mean aggregate value of duration or costs of all the activities to complete this WP? I mean the bottom-up approach and it produces only the cost of WP, not the project cost.
Mahabubur,
Three things:
1. Aggregate cost of all WP activities + Contingency reserves = Cost of WP
2. “Aggregate duration of all WP activities” may or may not be equal to “Duration of WP”. The “Duration of WP” will depend on how WP activities are scheduled.
3. Aggregate cost of all WP + Contingency reserves = Project Cost.
Hope it helps.
Hi Praveen,
When the WBS is developed, what is the approach to estimate its work packages? Per PMBOK (when using buttom-up methods) we need first to create a list of avtivities for each work packagess and estimate each of those activities. Such edtimates then roll up to the work package level. But some literature on the subject doesn’t mention esimating of activities first in order to estimate a work package. Instead it suggest to edtimste effort and duration right on work package level.
Please explain that.
Thank you,
Alex
Hi Alex,
PMBOK Guide does not prescribe any particular method. You should read the definition of Work Package in Glossary section of the PMBOK Guide. It clearly says that estimation can be done at WP level.
Estimation can be done at the Project or planning package level also. It depends on the how much detailed information you have about the component you are estimating and how much deep are you willing to go.
Hope it helps.