International project management

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DEFINING THE INTERNATIONAL PROJECT

Chapter 3

WHAT IS HAPPENING AT THE START OF AN INTERNATIONAL PROJECT?

With reference to the project management life cycle, we are in the initiating phase.

The project starts with an idea, a customer demand, a bid issued by a government or other opportunities.

As each international project is unique, creativity is important at this stage. Special techniques are helpful (see companion website).

The project objective has to be in line with the organizational strategy.

It is extremely important for the overall project success, that the scene is set well at this stage of the project.

This is especially true for stakeholder involvement, and the accuracy of the first rough schedule and budget.

Output (deliverables)

Input

Initiating Phase: Input, Output, Controls and Mechanisms

Mechanisms: Tools & techniques

(e.g. fishbone diagram) for

concept development

Controls: Organization‘s project mgmt

standards/ procedures

Constraints: strategic, financial,

time, legal, cultural,

environmental, ethical

Initiating Phase

• Scope Statement

• Scope Acceptance

• Project Proposal

• Stakeholder Matrix

• Culture Gap Analysis

• Diversity-Complexity-

Assessment

• Organization’s Strategy

• Customer’s Requirements

• Market Demand

• Opportunities Provided

by Globalization

ATTENTION TO SCOPE MANAGEMENT

The project manager has to clarify from project start as clearly as possible what the project should do, and what it should not do.

Due to the heterogeneity of the stakeholders in an international project, special care is due related to scope definition.

The danger of differences in associations, attached meanings and general misunderstandings is high.

The SMART tool may be helpful:

 S = Specific

 M = Measurable

 A = Attainable

 R = Realistic or Relevant

 T = Tangible or Time bound

DEFINING MILESTONES

A milestone is a major pre-defined event that represents measurable accomplishment toward the project’s completion.

Milestones need to be passed in order to continue with the project.

They divide the project into more manageable sub-parts.

Milestones are defined at the beginning of the project.

It is important to formulate them as clearly as possible.

It is also important to communicate them well within the project team.

THE WORK BREAKDOWN STRUCTURE (WBS)

The milestones are typically the pillars of the so-called Work Breakdown Structure.

It structures the entire project into little, manageable chunks.

The WBS creates a linked, hierarchical series of activities, which are independent units but at the same time part of the whole.

The Work Breakdown Structure typically looks like a tree diagram (see companion website). It can also take the form of a check list.

The process is as follows:

 State the project scope and make sure that all stakeholders have the same understanding.

 Decompose the project into major elements of work.

 Decompose each level one work element into detailed tasks.

 Write a task description for each task.

MAPPING CULTURAL PROJECT CONTEXT

Among others, international projects are characterized by diversity and complexity.

This is largely due to cultural heterogeneity.

Major stakeholders need to be understood as well as possible, including their social identity.

All stakeholders’ behaviour is embedded in context.

An important part of context in international projects is local or national culture, organizational culture, and professional culture as outlined in the next slide.

Individual (human nature, personality)

Professional/

Functional Culture

Organizational

Culture (Corporate culture)

Sub-

cultureSub-

culture

National Culture

Sub-

culture

Sub-

culture

Sub-

culture

CULTURES WITH IMPACT ON INTERNATIONAL PROJECTS

1. Power Distance

Hofstede‘s model to map differences in national culture

Universalism Particularism

Individualism

Communi-

tarianism

Neutral Affective

Specific Diffuse

Achievement Aspiration

Internal locus

of control

External locus

of control

Sequential Synchronic

Future

orientation

Past

orientation

Trompenaars‘ model to map differences in national culture

Managing risk and uncertainty (4)

Defining & planning the project (3, 5)

Organizing the project (6)

Leading and managing the team (8)

Communicating (9); Co-operating (10)

Equality Hierarchy

Defining the project (3)

Managing risk and uncertainty (4)

Planning the project (5)

Organizing the project (6)

Implementing & controlling the project (7)

Embracing

Risk

Avoiding

Risk

Managing risk (4)

Organizing the project (6)

Implementing & controlling (7)

Motivating and leading the team (8)

Communicating (9); Co-operating (10)

Learning (11)

Individual Group

Matching strategy with projects (2)

Defining the project (3)

Planning the project (5)

Implementing & controlling the project (7)

Learning (11)

Universal Circumstan-

tial

The Cultural Gap Tool to systematically analyse the national culture environment of international projects (1)

The figures in brackets (this slide and next) indicate the book chapters in which the topics are mainly

discussed. 11

Defining scope (3)

Leading and managing the team (8)

Communicating (9); Co-operating (10)

Conflict Consensus

Managing stakeholders (3)

Planning the project (5)

Implementing & controlling (7)

Leading and managing the team (8)

Learning (11)

Task Relationship

Planning the project (5)

Organizing the project (6)

Implementing & controlling (7)

Motivating and leading the team (8)

Achievement Standing /

Status

Defining the project (3)

Planning the project (5)

Implementing & controlling (7)

Sequential Synchronic

Planning the project (5)

Executing & controlling the project (7)

Learning (11)

Theoretical Pragmatic

The Cultural Gap Tool to systematically analyse the national culture environment of international projects (2)