Order 1328631: Project Management
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Week3.pdf
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Project Management Class – 3
The Manager, The Organization, & The Team
Learning Outcomes
Ø Selecting a project manager, describing his/her roles and responsibilities
Ø Discuss the necessary competencies to be an effective project manager
Ø Different project organizations and fitting projects into the parent organization
Ø Project team management
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Selecting Project Manager
Ø Project manager is usually selected after project is selected Ø The PM is selected through interview between senior management
and prospective PM. Ø Once selected, the PM and/or a senior manager calls a launch
meeting of stakeholders, and the knowledgeable people to begin the project planning
The Project Manager’s Roles Facilitator Ø Compare a Project Manager with a functional manager (head of
manufacturing or marketing division) 1. Managing well-established unit vs. multidisciplinary environment
§ Must ensure that those working on project have the appropriate knowledge, resources, and time to accomplish their responsibilities
§ Being facilitator by resolving conflicts between members of project team, the team and senior manager and different functional managers, etc.
2. Analytical Approach (leading to local-optima) vs. Systems Approach (finding a global optima)
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Ø Must communicate effectively with the various stakeholders of the project
Ø Problems arise when some of parties propagate communications that may mislead other parties!
The Project Manager’s Roles Communicator
The Project Manager’s Roles Ability to Handle Stress
Ø The PM need to be able to handle the stress that can arise from work situations.
Ø Stress is likely to be high when a project is in jeopardy of not meeting its objective because of § A cost overrun § A schedule delay § When changes in scope are requested by the client § When conflict arises within the project team
Ø The PM can improve her or his ability to handle stress by keeping physically fit through regular exercise, good nutrition, and a healthy lifestyle.
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Globalization and Virtual Project Manager
Ø In recent decades, the international dispersion of industry, namely “globalization”, has been significantly increased!
Ø Companies may outsource the subprojects for different reasons § Cost savings § Advanced skills § Focus
Ø For example, Boeing has global supplier partner teams for 787 Dreamliner aircraft.
Boeing’s Global
Strategy Yields Competitive
Strategy
Ø Boeing’s strategy for its 787 Dreamliner is unique from both an engineering and a global perspective.
Ø The global nature of both technology and the aircraft market meant finding exceptional developers and suppliers, wherever they might be.
Ø Boeing teamed with more than 20 international suppliers to develop technologies and design concepts for the 787.
Ø Boeing has worked with General Electric and Rolls-Royce to develop more efficient engines.
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Boeing’s Global Strategy Yields Competitive Strategy
Firm Country Component Rolls-Royce UK Engines BAE Systems UK Electronics Alenia Aeronautics Italy Upper centre, fuselage and horizontal
stabilizer Kawazaki Heavy Industries Japan Forward fuselage, fixed section of wings Toray Industries Japan Carbon fibre for wing and tail units Chengdu Aircraft Group China Rudder Labinel France Wiring Saab Sweden Cargo and access doors
Globalization and Virtual Project Manager (Cont.)
Ø It brings different problems specially in communication. Ø So much of the project communication is conducted via emails, by
telephone or video conferencing: § In written and voice-only communications, the communicators
cannot see one another. § We miss the facial expression and body language that let us know
if our messages are received and with what level of acceptance. § Communicators rely on feedback § For virtual projects to succeed, communication between project
manager and project team must be frequent, open, and two-way
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Globalization and Virtual Project Manager Pros and Cons
Globalization § Adds a dimension of complexity
§ Changes project dynamics
§ Requires awareness of factors ü Cultural differences ü Currency ü Codes and regulations ü Business organization ü Political relations ü Workforce availability
Helpful Competencies
§ Foreign language skills
§ Knowledge of ü Cultures ü Geography ü International economics
§ Awareness of ü Customs and etiquette ü Geopolitical environment
§ Technology adoption and translation software
PM’s Responsibility to Senior Management
Ø Must keep senior management up to date on the state of the project Ø Particularly important to keep management informed of any problems
affecting the project, or any likely to affect the project in the future Ø In many situations, the problems are out of human being’s control:
Ø Bad weather conditions in a construction project Ø Political problems and conflicts in virtual projects
Ø The timing of information should be at the earliest point a problem seems likely to occur.
Ø A golden rule for anyone is ”Never let the boss be surprised”
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Responsibility to the Client
Ø The project manager is also responsible to the client
Ø Clients often want changes to the project § Cost, schedule, scope change § Cost of changes often exceed client’s expectations
Ø Project manager must be certain the client understands the impact of the changes on the project’s goals of delivery time, cost, and scope
It’s PM’s job to balance the line between defending your team and the project, and making your clients happy.
The Project Manager’s Responsibilities to the Project
Ø Acquiring resources § The farther one proceeds up the managerial ladder, the easier, faster,
and cheaper a job appears to be completed! § It is the project manager’s responsibility to ensure the project has the
appropriate level of resources
Ø Fighting fires and obstacles § Early obstacles linked to need for resources § Later fires associated with technical problems, supplier problems, and
client problems
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The Project Manager’s Responsibilities to the Project (Cont.)
Ø Leadership and making trade-offs § Trade-offs are between cost, schedule, scope, and risk § Scope is usually the most important, followed by schedule and cost § Another type of trade-off occurs between projects
ü At times, two or more projects may compete for access to the same resource
ü If a single PM has two projects in the same part of the project life cycle and makes such a trade-off, it does not matter which product wins
ü A PM managing two or more projects should plan/schedule such that the projects are in different phases of their life cycles
The Project Manager’s Responsibilities to the Project (Cont.)
Ø Negotiation, conflict resolution, and persuasion
§ During the project life cycle, PM encounter many occasions to interact with the sponsor, stakeholders, client, the the subcontractor, vendors, end users of the project’s end product.
§ The PM cannot meet these responsibilities (e.g., acquiring resources, leadership) without being a skilled negotiator and resolver of conflict
§ Success depends on the project manager’s skill at convincing others to accept the project and changes
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Developing Project Manager Competence Delegation Ø You can do anything, but not everything! Ø Delegation involves empowering each team member to achieve the
expected results for his or her area of responsibility. Ø It is more than just assigning tasks. It includes giving
§ Responsibility for accomplishing job objectives § Accountability for accomplishing the results § Authority to make decisions and take actions
Ø The PM should not tell the individuals how to do the task. That should be left up to the team members to make them creative.
Ø That said, the PM should be available to coach and advise individuals when needed.
Developing Project Manager Competence Delegation (Cont.) Ø Various degrees of
delegation. Ø In most cases, the project
manager should delegate to highest degree.
Ø A lower degree of delegation might be advisable if there was a critical problem meeting the objectives (e.g., cost overrun)
Degree of Delegation
Source: Successful Project Management by Gido & Clements
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Developing Project Manager Competence Delegation (Cont.)
Ø The PM can use a checklist for rating his/her effectiveness at delegation
Ø It can be used by the PM as a self-assessment instrument
Ø Or, the PM may choose to have the project team complete the checklist in order to get feedback on her/his effectiveness at delegation.
Source: Successful Project Management by Gido & Clements
Developing Project Manager Competence Managing Changes Ø The one thing you can be sure will happen during a project is change. Ø Despite the best-laid plans, changes will still occur.
§ Initiated by the customer or sponsor § Initiated by the project team, including subcontractor, consultants, and vendors § Caused by unanticipated occurrences during the performance of the project § Required by the users of the project results
Ø At the start of the project, the PM needs to establish a change control system § How changes will be documented, approved, and communicated § How the appropriate team members estimate the effects on the project cost and
schedule § A status report of all pending, approved, and rejected changes should be available
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Case Study: Codeword
Ø Codeword is a medium-size firm that designs and manufactures electronic systems for the mass transit industry.
Ø At Codeword, PMs report to general manager while other people report to their functional manager.
Ø Jack, with a BSc in electrical engineering, has worked for 12 years for the company, and, due to his excellence record, currently has been asking for an opportunity to be a project manager for a $15 million project.
Ø Jack works with the functional managers to get the best people available assigned to the project.
Ø With Jack’s position as senior electronics engineer vacant, the manager of electrical engineering hires Alfreda with a PhD in electrical engineering and 8 years of experience.
Case Study: Codeword (Cont.)
Ø Alfreda joined Codeword with high salary; more than Jack is making!
Ø She is assigned to Jack’s project full time as the senior electronics engineer.
Ø Jack takes special interest in Alfreda’s work and asks for several meetings where most of them turn into monologues, with Jack suggesting how Alfreda should do the design and paying little attention to what she says.
Ø When Alfreda asks Jack why he is spending so much more time reviewing her work, Jack responds:
“I don’t have to check theirs. I know how they work since I have worked with them in other projects. You are the new kid on the block, and I want to be sure you understand the way we do things here, which may be different than at your previous employer.”
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Case Study: Codeword (Cont.)
Ø In other occasion, when Alfreda shows Jack what she thinks is a creative design approach to lower the cost of system, Jack responds:
“I don’t even have a PhD and I can see that that doesn’t work. Just stick to basic engineering.”
Ø During a business trip with Dennis, another engineer assigned to the project who has worked with Jack for 6 years, Alfreda says:
“Jack is acting more like the electronics engineer for the project than the project manager…. I am planning to discuss the matter with manager and I would never taken the job with Codeword if it will go like this”
Case Study: Codeword Discussion
Ø Do you think Jack is ready to serve as a project manager? Why or why not? § Jack has the potential to be a very good project manager. However,
§ A PM’s responsibilities to project include ü
ü
Ø How could Jack have prepared for his new role? § He should attend training specific to his new role to familiarize himself with
the new demands of the role. § Trust and use high degree of delegation since Alfreda is highly educated and
has 8 years of experience
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Case Study: Codeword Discussion (Cont.)
Ø What is the major problem with the way Jack interacts with Alfreda? § Jack is accustomed to working with his buddies and Alfreda is new § She is more educated than Jack and makes more money than him as well.
Ø What should the electrical manager do? § Call Jack in and have a talk with him and afterwards he might have a meeting
with both of them together § Reassure Jack of § Act as a § Reassure Alfreda that § Have frequent, brief discussions with each of them
More on “Why Projects?”
Ø Why organizations choose to conduct so much of their work as projects?
1. Emphasis on time-to-market § Being competitive in the market (XBOX 360 project by Microsoft) § Cutting time to launch (reducing both labor and overhead cost as
well as sooner return on the investment)
2. Need for specialized knowledge from a variety of areas § Product development/design is a multidisciplinary area where
people can work in project in different teams
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More on “Why Projects?” (Cont.)
3. Explosive rate of technological change § Implementing the necessary technological changes usually
requires multi-firm, multi-industry and multinational projects 4. Need for accountability and control
§ Upper-level managers lack ability to cope with large-scale and rapid change in their organizations and would like to delegate the implementation of changes to PMs by defining projects
5. Rapid growth of globalized industry § Globalization involves the integration activities carried out by different firms
located in different countries/continents.
Pure Project Organization
Ø Consider the construction of a football stadium. Ø A contractor assigns a PM and a team of construction specialists:
§ One may design and plan electrical system § One may design and plan mechanicals § Another parking and landscaping
Ø The supplies, equipment, and workers arrive just when they are needed.
Ø They do the work, complete the project and disband. Ø Once the project is completed & accepted by the client
§ Equipment returned § Local workers paid off § The PM and the specialists return to their parent firms and wait for the next job
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Pure Project Organization (Cont.)
Pure Project: Pros and Cons
Ø Effective and efficient for large projects § Different functional groups work in parallel § There is always work for each member of the labor force § Expensive for small projects
Ø Resources available as needed Ø Although there is a broad range of specialists, but
§ They may have limited technological depth and lack specific knowledge § Requires hiring a consultant to help § May require high levels of duplication in certain specialties for different
parallel projects Ø Short lines of communication Ø Risk of Projectitis; suffering from due to deep attachment with a project
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Functional Project Organization
Ø Suppose we need to install a new production machine in an operating production line
§ Removal of the old machine
§ Integration of the new machine into the production system
§ Organize the project as an attachment to manufacturing division
Functional Project: Pros and Cons
Ø Unlike to pure project organization, the functional project is embedded in project’s home functional group § It has immediate, direct, and complete contact with the most important
technologies it may need with in-depth access § Fractional resource problem is minimized, e.g., the part-time workers
can be easily added
Ø Projectitis will be minimal
Ø Lines of communication outside functional department can be slow
Ø Project rarely given high priority
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Matrix Project Organization
Ø The idea is to capture the advantages of both the pure project and the functional project organizations as well as to avoid their associated problems.
Two distinct levels of responsibility in a matrix organization:
Different Levels of Matrix Project Organization: Weak Matrix
Project Management Institute, A Guide to the Project Management Body of Knowledge, (PMBOK® Guide) - Fifth Edition, Project Management Institute Inc., 2013. Figure 2-2, page 23.
Ø People from different divisions should be coordinated to do the job.
Ø The PM is more a coordinator rather than a PM.
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Different Levels of Matrix Project Organization: Balanced Matrix
Project Management Institute, A Guide to the Project Management Body of Knowledge, (PMBOK® Guide) - Fifth Edition, Project Management Institute Inc., 2013. Figure 2-2, page 23.
Ø The primary project is defined in a functional division, but it requires people from other functional divisions.
If the project requires deep technological features and knowledge, then a balanced matrix is better than weak.
Different Levels of Matrix Project Organization: Strong Matrix
Project Management Institute, A Guide to the Project Management Body of Knowledge, (PMBOK® Guide) - Fifth Edition, Project Management Institute Inc., 2013. Figure 2-2, page 23.
Ø Many individuals assigned full-time to the project and there is a PM who needs to coordinate the project.
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Project Organizational Structure Comparison
Project Management Institute, A Guide to the Project Management Body of Knowledge, (PMBOK® Guide) - Fifth Edition, Project Management Institute Inc., 2013. Figure 2-2, page 23.
Acquiring the Project Team
Ø One of the first things that project manager must do is to obtain and put together a project team.
Ø Considerations to take into account when assembling a team:
§ What expertise, experience, or skills needed
§ How many of each type are required
§ When they will be needed
ü Acquire entire team at the beginning for smaller projects
ü Assemble team members as needed for larger projects
Ø Greatest constraint is the availability of the right resources at the right time
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Project Kickoff Meeting
§ PM schedule project kickoff meeting § Held as early as possible (during forming) § Provides opportunity for team to know
each other § Clarify roles and responsibilities § Opportunity for the PM to describe
protocols and plans § Allow time for questions and comments § There are six general parts to the project
kickoff meeting:
Project Team Development
Ø In many projects, people who have never worked together are assigned to the same project team.
Ø Depending on the type of organization it may be difficult to manage and coordinate new people working together!
Ø This group of individuals must develop into an effective team to successfully achieve the project objective.
Ø The following four stages of team development have been identified.
Source: Successful Project Management by Gido & Clements
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Project Team Development Forming § Initial stage of team development § Individuals get introduced and familiar § Positive expectations § Define and plan the tasks; little work
accomplished § Members depend on PM to provide
direction and structure § Lots of questions
§ What purpose? § Who are others? § What are they like?
The sense of team generally weakens and then strengthens again as team members learn to work with one another
Project Team Development Storming § Start to apply their skills to work § Tasks may be larger than
anticipated § Increasing dissatisfaction with
dependence on PM § Team members begin to test the
limits and flexibility of the PM § Conflict emerges and tension
increases § Motivation and morale are low § Members express individuality
Work begins to progress slowly.
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Project Team Development Norming § Relationships have settled and
interpersonal conflicts resolved § Team has accepted its operating
environment § Control and decision making are
transferred to the project team § Trust begins to develop § Team members give and ask for
feedback § PM minimizes his/her directing role
and takes on a more supportive role
Work performance accelerates and productivity increases
Project Team Development Performing § High commitment to achieve project
objective § Communication is very open § Collaboration and willingness to
help each other § Team feels fully empowered § PM fully delegates responsibility and
authority § PM concentrates on project
performance w.r.t budget, schedule and scope
§ Project manager is mentor
Work performance is high
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Barriers To Team Effectiveness
Ø The following are barriers that can hinder project team effectiveness: 1. Unclear vision and objective
§ The PM needs to articulate the project objective, scope, quality requirements, budget, and schedule for team members
§ A vision of project result and the benefits of the work by each member should be articulated
§ Periodical review meetings are helpful to discuss the project objective 2. Unclear definition of roles and responsibilities
§ Individuals may think their roles are ambiguous § They may think their responsibilities overlap with others § The PM should meet individually each team member to explain his/her
roles and responsibilities
Barriers To Team Effectiveness (Cont.)
3. Lack of project structure § Individual may feel that everyone is working in a different direction § The connection is known by the PM but not necessarily each member § Tools like network diagram helps
4. Poor communication § When team members lack knowledge about what is happening on the project § Review meetings should be hold to share information § Each member should be asked to give a brief status of their work
5. Turnover of project team members § When team composition changes often § Project team with small number of individuals and long-term assignments will
be more efficient than a team with large number of individuals and short-term assignments
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Rate Team Effectiveness
Ø A checklist like this can help organizations to keep track of how well project teams are working.
