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In tr o d u ct io n

Factors Leading to Increased use of Projects
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Project Management
Click to edit Master subtitle style

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Compression of the product life cycle Globalisation and competition Knowledge explosion Corporate downsizing and restructuring Increased customer focus Rapid development of Third World and closed economies Small projects that represent big problems
Project Management Chandana Unnithan

Project Management Chandana Unnithan

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Project Management and Productivity

Overview

E

CO

TIM

ST

RESOURCES
PERFORMANCE/TECHNOLOGY

Project Management and productivity Project Management are related!
Chandana Unnithan

Project Management Chandana Unnithan

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Project Characteristics
• 

Project Management
• 

•  •  • 

• 

Have a specific objective (which may be unique or one-of-a-kind) to be completed within certain specifications Have defined start and end dates Have funding limits (if applicable) Consume human and nonhuman resources (i.e., money, people, equipment) Be multifunctional (cut across several functional lines)
Project Management Chandana Unnithan

Project Planning
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Definition of work requirements Definition of quantity and quality of work Definition of resources needed Tracking progress Comparing actual outcome to predicted outcome Analyzing impact Making adjustments
Project Management Chandana Unnithan

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Project monitoring
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Benefits
•  • 

• 

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Identification of functional responsibilities to ensure that all activities are accounted for, regardless of turnover - Planning Minimizing the need for continuous improvement – Managing Scope Creep/ Establishing Quality Standards Identification of time limits for scheduling - Managing Scope Creep. Identification of a methodology - trade-off analysis Measurement of accomplishment against plans – Post implementation analysis/ Knowledge management / managing turnovers Early identification of problems so that corrective action may follow – Risk Planning Improved estimating capability for future planning Knowing when objectives cannot be met or will be exceeded – Linking to strategic objectives Project Management Chandana Unnithan

Main Considerations or Obstacles
•  • 

•  •  •  • 

Project complexity Customer’s special requirements and scope changes (Scope Creep) Organizational restructuring Project and Market Risks Changes in technology Unprecedented pricing changes as a result of economic fluctuations
Project Management Chandana Unnithan

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Classical Management
•  •  •  •  • 

Resources
•  •  •  •  •  • 

Planning Organizing Staffing Controlling Directing

Money Manpower Equipment Facilities Materials Information/technology

Which of the above is Usually NOT performed by the project manager?
Project Management Chandana Unnithan

Project Management Chandana Unnithan

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Three Legged Stool

Top of the Three Legged Stool

•   

PM LM Maturity in Projectoutline text format a three Click to edit the Management is like legged stool which represent the Project Manager   Second Outline Level (s), Line Manager (s) and the Project Sponsor or -  Third Outline Level Senior Executive. Maturity cannot exist without stability  Fourth Outline Level
Project Management Chandana Unnithan -  Fifth Outline Level

Sponsor

ORGANIZATIONAL STRUCTURE

ORGANIZATIONAL BEHAVIOR

TOOLS & TECHNIQUES
Project Management Chandana Unnithan

-  Sixth

Outline Level

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Interface Management
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Managing human interrelationships
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Integration Management
Resources
Capital Materials Inputs •  Equipment •  Facilities •  Information •  Personnel
•  • 

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within the project team between the project team and the functional organization between the project team and senior management between the project team and the customer’s organization, whether an internal or external organization

Integration Management Integrated Processes
Products Services Profits

Outputs

As part of interface management, the project manager’s role also includes integration management.
Project Management Chandana Unnithan

Project Management Chandana Unnithan

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Multiple Boss Reporting
SPONSOR

The Functional Role
• 

GM

PM

• 

L M

L M

L M

APM APM PM = Project Manager APM = Assistant Project Manager Project Management LM = Line or Functional Chandana Unnithan Manager

The functional manager has the responsibility to define how the task will be done and where the task will be done (i.e., the technical criteria) The functional manager has the responsibility to provide sufficient resources to accomplish the objective within the project’s constraints (i.e., who will get the job done)

Project Management Chandana Unnithan

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Functional Obstacles
• 

Unlimited work requests (especially during competitive bidding) Predetermined deadlines All requests having a high priority Limited number of resources Limited availability of resources Unscheduled changes in the project plan Unpredicted lack of progress Unplanned absence of resources Unplanned breakdown of resources Unplanned loss of resources Unplanned turnover of personnel Project Management Chandana Unnithan

•  •  •  •  •  •  •  •  •  • 

Most projects also have a project sponsor which may or may not reside at the executive levels of management.
Project Management Chandana Unnithan

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The Project Sponsor Interface
Priority Projects Maintenance Projects Project Sponsor: Senior Management Project Sponsor: Lower/Middle Management
•  • 

Project Necessities
Complete task definitions Resource requirement definitions (and possibly skill levels needed) Major timetable milestones Definition of end-item quality and reliability requirements The basis for performance measurement

Relationship: Project Sponsor
•  •  •  •  •  • 

•  • 

Project Manager

Project Team

• 

Project Manager Project Management
Chandana Unnithan

•  •  • 

Objective Setting Up-Front Planning Project Organization Key Staffing Master Plan Policies Monitoring Execution Priority-Setting Conflict Resolution Executive-Client Contact

• 

Project Management Chandana Unnithan

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The tip-of-the-iceberg Syndrome
DELEGATION OF AUTHORITY TO PROJECT MANAGER EXECUTIVE MEDDLING LACK OF UNDERSTANDING OF HOW PROJECT MANAGEMENT SHOULD WORK
•  • 

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When to Use Project Management
Are the jobs complex? Are there dynamic environmental considerations? Are the constraints tight? Are there several activities to be integrated? Are there several functional boundaries to be crossed?

•  •  • 

LACK OF TRAINING IN COMMUNICATIONS / INTERPERSONAL SKILLS

MANY OF THE PROBLEMS ASSOCIATED WITH PROJECT MANAGEMENT WILL SURFACE MUCH Project THE PROJECT AND RESULT IN MUCH HIGHER COSTS LATER IN Management

Chandana Unnithan

Project Management Chandana Unnithan

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The Need For Restructuring
• 

Life Cycle Phases for Project Management Maturity

• 

Accomplish tasks that could not be effectively handled by the traditional structure Accomplish onetime activities with minimum disruption to routine business

Embryonic

Executive Management Acceptance

Line Management Acceptance
Project Management Chandana Unnithan

Growth

Maturity

Project Management Chandana Unnithan

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Life Cycle Phases for Level 2 Project Management Maturity

Life Cycle Phases for Level 2 Project Management Maturity

Embryonic
• 

Recognize need Executive Recognize benefits Recognize

• 

Management Acceptance

Executive Management Executive EmbryonicAcceptance Management
• 

Visible executive Acceptance support

• 

• 

Line applications Management Recognize Growth what Acceptance be done must
• 

Maturity

Line Management Acceptance

Executive understanding of project management Maturity Growth Project sponsorship

• 

Project Management Chandana Unnithan

Willingness Project • Management to change Chandana Unnithan way of doing business

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Life Cycle Phases for Level 2 Project Management Maturity

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Life Cycle Phases for Level 2 Project Management Maturity

Line Management Acceptance
• 

Line management Embryonic support Line management commitment Line management education

• 

Executive Management Acceptance

• 

Embryonic
•  • 

Development of a Executive methodology Use of life cycle phases Commitment to planning

Growth

Management Acceptance

• 

• 

Growth Willingness to release
Chandana Unnithan

Maturity

employees for project management training Project Management

Minimization of Line “creeping scope” Management Maturity Growth Acceptance Selection of a project
•  • 

Project Management Chandana Unnithan

tracking system

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Life Cycle Phases for Level 2 Project Management Maturity

Driving Forces for Maturity = The Components of Survival
Efficiency and Effectiveness Capital Projects

Maturity
Embryonic
Development Executive of a management Management cost/ schedule control Acceptance system
•  • 

Line Management Acceptance

Integrating cost and schedule control

New Product Development

SURVIVAL

Customer Expectations

educational program to enhance project Project Management management skills
Chandana Unnithan

Maturity Growth Developing an
• 

Executive Understanding

Competitiveness
Project Management Chandana Unnithan

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Project Management Costs Versus Benefits

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Project -Driven

Cost of Project Management

Project -Driven

Hybrid
• 

Additional Profits from Better Project Management Pegged

• 

PM has P&L responsibility PM is a recognized profession Multiple career paths Income comes from projects

NonProject-Driven
• 

• 

Production driven but with many projects Emphasis on new product develop. Past Short product life cycles Marketing-orient. Need for rapid develop. process

Very few projects Profitability from production Large brick walls Long life cycle products

• 

• 

$
? Project Management Chandana Unnithan

Present
• 

• 

• 

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• 

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• 

Time

Project Management

Project Management Program Chandana Unnithan Management

Product Management

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From Hybrid to Project-Driven
1960 -1990 Hybrid Traditional Project Management
• 

New Processes Supporting Project Management 19601985
No Allies

1990 -2001 Hybrid Modern Project Management
 

1985
Total Quality Management

1990
Concurrent Engineering

19911992
Empowerment and SelfDirected Teams

1993
ReEngineering

1994
Life Cycle Costing

Entrance via project-driven divisions such as MIS and R&D

Entrance via marketing, sales, engineering and Project ManagementR&D
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Increasing Support
Project Management Chandana Unnithan

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New Processes Supporting Project Management (Continued) 1995 1996 19971998 1999 2000

New Processes Supporting Project Management (Continued) 2001
Maturity Models

2002
Strategic Planning For Project Management

2003
Intranet Status Reports

2004
Capacity Planning Models

2005

Project Scope Risk Offices Change Management And Control COEs

CoMultiLocated National Teams Teams

????

Increasing Support
Project Management Chandana Unnithan Project Management Chandana Unnithan

Increasing Support

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Why is a Project Management System Necessary?

DEFINITION OF A PROJECT LIFE CYCLE
CONCEPTUAL FEASIBILITY AND DETAILED PHASE PRELIMINARY PLANNING PHASE PLANNING PHASE IMPLEMENTATION PHASE CONVERSION OR TERMINATION PHASE

RESOURCES
Resource Utiliz s ed

PMO

PMO

*

Project Management Chandana Unnithan

Project Management TIME Chandana Unnithan

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Project Life Cycle
• 

The Challenge of Project Managers
Manages temporary, non-repetitive activities and frequently acts independently of the formal organization. • Marshals resources for the project. • Is linked directly to the customer interface. • Provides direction, coordination, and integration to the project team. • Is responsible for performance and success of the project. • Must induce the right people at the right time to address the right issues and make the right decisions.
Project Management Chandana Unnithan

Project Management Chandana Unnithan

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Success: Point Or Cube?
• 

Success
Critical Success Factors (CSFs) [Focuses on the Deliverables] Key Performance Indicators (KPIs) [Focuses on the Execution Metrics of the Process]

• 

Cost

lity ua pe) Q
(or sco
Project Management Time Chandana Unnithan

Project Management Chandana Unnithan

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Resistance to Change
High

Change Process
Support

Support for Change

Neutral

Denial

Exploration

Low

Resistance Resistance
Project Management Time Chandana Unnithan

I.T. H.R. Eng. Sales Finance R&D Marketing Procurement Manu.
Project Management Chandana Unnithan

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Types of Cultures
• 

Integrated Processes for The 21st Century
Project Management

Cooperative Non-cooperative Isolated (large companies) Fragmented (multinational)

• 

• 

Concurrent Engineering

Total Quality Management

• 

Project Management Chandana Unnithan

Change Management

Project Management Chandana Unnithan

Risk Management

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Multi-project Management

Yrs: 1990-2000

Yrs: 1990-2000

Integrated Processes
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Current Integrated Processes
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Yrs: 2000-2010

• 

Are the project objectives the same?
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Integrated Processes
Supply chain management Business processes Feasibility studies Cost-benefit analyses (ROI) Capital budgeting
• 

For the good of the project? For the good of the company?

Project management Total quality management Concurrent engineering Scope change management Risk management Project Management

• 

• 

• 

Is there a distinction between large and small projects? How do we handle conflicting priorities?
-  -  - 

• 

• 

• 

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Critical versus critical projects Critical versus non-critical projects Non-critical versus non-critical projects
Project Management Chandana Unnithan

• 

• 

Chandana Unnithan

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Project Organization
FUNCTIONAL MANAGERS ASST. PROJ. MGRS.

Which Structure Is Best For Project Management?

PROJEC MANAGE T R

EMPLOYEE S

PROJECT OFFICE

PROJECT Project Management TEAM Chandana Unnithan

Project Management Chandana Unnithan

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The Classical Management Structure
General Manager

Departmental Project Management
Division Manager

Director Level

Engineering

Production

Sales

Marketing

Admin.

Department X

Department Y

Department Z

Division Level Department Level Section Level Project Leaders Project Leaders Project Leaders

Functional Responsibility
Project Management Chandana Unnithan

Section Level

Project Management Chandana Unnithan

Section Level

Section Level

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Project Expeditor
ENGINEERING DIVISION
LIAISO N DEPT. PIPING HVAC CHEMICA L DRAFTIN G

Project Coordinator
DIVISION MGR. PROJECT MGR.

LEGEND
FORMAL FLOW INFORMAL FLOW

legend
Formal authority / reporting flow Project Management Informal authority / reporting flow Chandana Unnithan

DEPT. MANAGER Project Management Chandana Unnithan

DEPT. MANAGER

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Project Coordinator Weaknesses
• 

Pure Project Structure
General Manager

• 

• 

Upper-level management was not ready to cope with the problems arising from shared authority. Upper-level management was reluctant to relinquish any of its power and authority to project managers. Line-staff project managers who reported to a division head did not have any authority or control over those portions of a project in other divisions; that is, the project manager in the engineering division could not direct activities in the manufacturing division.
Project Management Chandana Unnithan

Project A Manager

Project B Manager

Project C Manager

ENG.

MFG.

ENG.

MFG.

ENG.

MFG.

Project Management Chandana Unnithan

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Projectised Structure Advantages
• 

Advantages (Continued)
• 

• 

•  • 

• 

It provides complete line authority over the project (i.e., strong control through a single project authority). The project participants work directly for the project manager. Unprofitable product lines are easily identified and can be eliminated. There are strong communications channels. Staffs can maintain expertise on a given project without sharing key personnel. Very rapid reaction time is provided.
Project Management Chandana Unnithan

Personnel demonstrate loyalty to the project; better morale with product identification. A focal point develops for out-of-company customer relations. There is flexibility in determining time (schedule), cost, and performance trade-offs. Interface management becomes easier as unit size is decreased. Upper-level management maintains more free time for executive decision making.
Project Management Chandana Unnithan

• 

• 

• 

• 

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Projectised Structure Disadvantages
• 

Disadvantages (Continued)
• 

• 

Cost of maintaining this form in a multiproduct company would be prohibitive due to duplication of effort, facilities, and personnel; inefficient usage There exists a tendency to retain personnel on a project long after they are needed. Upper-level management must balance workloads as projects start up and are phased out
Project Management Chandana Unnithan

• 

• 

• 

Technology suffers because, without strong functional groups, outlook of the future to improve company’s capabilities for new programs would be hampered (i.e., no perpetuation of technology). Control of functional (i.e., organizational) specialists requires top-level coordination. There is a lack of opportunities for technical interchange between projects. There is a lack of career continuity and opportunities for project personnel.
Project Management Chandana Unnithan

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Matrix Development
• 

Matrix Development (Continued)
• 

• 

• 

• 

Participants must spend full time on the project; this ensures a degree of loyalty. Horizontal as well as vertical channels must exist for making commitments. There must be quick and effective methods for conflict resolution. There must be good communication channels and free access between managers.
Project Management Chandana Unnithan

All managers must have input into the planning process. Both horizontally and vertically oriented managers must be willing to negotiate for resources. The horizontal line must be permitted to operate as a separate entity except for administrative purposes.

• 

• 

Project Management Chandana Unnithan

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The Matrix Management Structure
General Manager
Engineerin g Operation s Finance Others
•  • 

Matrix Structure Advantages
The project manager maintains maximum project control (through the line managers) over all resources, including cost and personnel Policies and procedures can be set up independently for each project, provided that they do not contradict company policies and procedures
Project Management Chandana Unnithan

Functional Responsibility

Project Mgr. X Project Mgr. Y Project Mgr. Z

Project Responsibility

Project Management Chandana Unnithan

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Matrix Structure Advantages (Continued)
• 

Matrix Structure Advantages (Continued)
• 

• 

• 

The project manager has the authority to commit company resources, provided that scheduling does not cause conflicts with other projects Rapid responses are possible to change, conflict resolution, and project needs. The functional organization exists primarily as support for the project
Project Management Chandana Unnithan

• 

Each person has a “home” after project completion. People are susceptible to motivation and end-item identification. Each person can be shown a career path Because key people can be shared, the program cost is minimized. People can work on a variety of problems: that is, better people control is possible
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Matrix Structure Advantages (Continued)
• 

Matrix Structure Advantages (Continued)
• 

• 

• 

A strong technical base can be developed, and much more time can be devoted to complex problem-solving. Knowledge is available for all projects on an equal basis Conflicts are minimal, and those requiring hierarchical referral are more easily resolved There is a better balance between time, cost and performance
Project Management Chandana Unnithan

•  • 

Rapid development of specialists and generalists occurs Authority and responsibility are shared Stress is distributed among the team (and the functional managers)

Project Management Chandana Unnithan

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Matrix Structure Disadvantages
•  •  •  •  • 

Matrix Structure Disadvantages (Continued)
• 

• 

• 

Multidimensional information flow Multidimensional work flow Dual reporting Continuously changing priorities Management goals different from project goals Potential for continuous conflict and conflict resolution Difficulty in monitoring and control
Project Management Chandana Unnithan

Company-wide, the organizational structure is not cost-effective because more people than necessary are required, especially administrative Each project organization operates independently. Care must be taken that duplication of efforts does not occur More effort and time are needed initially to define policies and procedures, compared to the traditional organizational form
Project Management Chandana Unnithan

• 

• 

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Matrix Structure Disadvantages (Continued)
• 

Matrix Structure Disadvantages (Continued)
• 

Functional managers may be biased according to their own set of priorities The balance of power between the project and functional organizations must be watched The balance of time, cost and performance must be monitored Although rapid response time is possible for individual problem resolution, the reaction time can become quite slow
Project Management Chandana Unnithan

• 

• 

• 

Employees and managers are more susceptible to role ambiguity than in the traditional organizational form. Conflicts and their resolution may be a continuous process (possibly requiring support of an organizational specialist). People do not feel they have any control over their own destiny when continuously reporting to multiple managers.
Project Management Chandana Unnithan

• 

• 

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Matrix Structure Disadvantages (Continued)
• 

The Matrix Management Structure (With a Director of Project Management)
General Manager

• 

Employees and managers are more susceptible to role ambiguity than in the traditional organizational form. Conflicts and their resolution may be a continuous process (possibly requiring support of an organizational specialist). People do not feel they have any control over their own destiny when continuously reporting to multiple managers.
Project Management Chandana Unnithan

Director: Project Mgmt.

Director: Engineerin g

Director: Manufacturin g

Director: Finance/ Admin.

• 

Project Mgr. X Project Mgr. Y Project Mgr.Project Management Z Chandana Unnithan

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Management Plan Data

Project Management Responsibilities
• 

• 

EMPLOYEE: EDWARD WIGGINS

EXPERTISE:

• 

To produce the end-item with the available resources and within the constraints of time, cost, and performance/technology To meet contractual profit objectives To make all required decisions whether they be for alternatives or termination To act as the customer (external) and upperlevel and functional management (internal) communications focal point
Project Management Chandana Unnithan

• 

0

20

40

60

80

100

PERCENT TIME ON PROJECT

Note: A responsibility assignment matrix may accompany this data. Project Management Chandana Unnithan

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Project Management Skills
•  • 

Responsibility Matrix
•  •  •  •  •  •  • 

• 

•  •  •  • 

Flexibility and adaptability Preference for significant initiative and leadership Aggressiveness, confidence, persuasiveness, verbal fluency Ambition, activity, forcefulness Effectiveness as a communicator and integrator Broad scope of personal interests Poise, enthusiasm, imagination, spontaneity
Project Management Chandana Unnithan

General management responsibility Operations management responsibility Specialized responsibility Who must be consulted Who may be consulted Who must be notified Who must approve

Project Management Chandana Unnithan

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Responsibility Assignment Matrix (An Example)
ct oje Pr fice Of ct oje er Pr nag a M

People Roles Which Undermine Project Management Implementation
The Aggressor The Blocker Dominator

Raw Material Procurement Prepare bill of materials Contact vendors Visit vendors Prepare purchase orders Authorize expenditures Place purchase orders Inspect raw materials Quality control testing Project Management Update inventory file Chandana Unnithan Prepare inventory

a Te

ct oje Pr neor sn po Srtm pa De t ager an M ber em M

m

LEGEND General Management responsibility Specialized Responsibility Must be consulted May be consulted Must be notified Must approve

The Withdrawer

Destructive Roles
Recognition Topic

Devil’s Advocate

Seeker Project ManagementJumper Chandana Unnithan

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Destructive Roles

Destructive Roles

The Aggressor

Dominator Always Tries to Take Over Professes to Know Everything About Project Management Tries to Manipulate People Will Challenge Your Leadership
Project Management Chandana Unnithan

• 

•  • 

Criticizes Everybody and Everything on Project Management Deflates Status and Ego of Others Always Aggressive
Project Management Chandana Unnithan

•  • 

•  • 

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Destructive Roles

Destructive Roles

Devil’s Advocate
•  • 

Topic Jumper Must Be the First with a New Idea/Approach for Project Management Continuously Changes Topics Cannot Focus on Issues for a Long Time Unless It Is His/Hers Project Management Implementation Remains an “Action Item” Forever
Project Management Chandana Unnithan

• 

• 

Finds Fault in All Areas of Project Management Refuses to Become a Believer Unless Threatened More Devil Than Advocate
Project Management Chandana Unnithan

•  • 

• 

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Destructive Roles

Destructive Roles

• 

•  • 

• 

• 

Recognition Seeker Always Argues in Favor of His/Her Own Ideas Is Very Status Conscious Volunteers to Become the Project Manager If Status Is Recognized Continuous Talks (Likes to Hear Himself/ Herself Speak) Often Boasts Rather Than Providing Meaningful Information Project Management
Chandana Unnithan

The Withdrawer

Is Afraid of Criticism Will Not Participate Openly •  Withholds Information •  May Become a Back-Stabber •  May Be Shy
•  • 

Project Management Chandana Unnithan

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Destructive Roles

People Roles Which Support Project Management Implementation
Initiators Gate Keepers Consensus Takers Information Seekers Information Givers

The Blocker
•  •  • 

• 

Likes to Criticize Rejects the Views of Others Cites Unrelated Examples and Personal Experiences Has Multiple Reasons Why Project Management Will Not Work
Project Management Chandana Unnithan

Supportive Roles

Encouragers

Harmonizers

Project Management Chandana Unnithan

Clarifiers

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Supportive Roles

Supportive Roles

Initiators

Information Seekers “Have We Tried Anything Like This Before?” “Do We Know Other Companies Where This Has Worked?” “Can We Get This Information?”

• 

•  • 

“Is There a Chance That This Might Work?” “Let’s Try This!”

• 

• 

Project Management Chandana Unnithan

Project Management Chandana Unnithan

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Supportive Roles

Supportive Roles

Information Givers

Encouragers

•  •  • 

“Other Companies Found That …..” “The Literature Says That …..” “Benchmarking Studies Indicate That …...”

•  • 

• 

“Your Idea Has a Lot of Merit.” “The Idea Is Great But We May Have to Make a Small Change.” “What You Said Will Really Help Us.”
Project Management Chandana Unnithan

Project Management Chandana Unnithan

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Supportive Roles

Supportive Roles

Clarifiers “Are We Saying That …..” “Let Me State in My Own Words What I Think You Said.” “Let’s See if We Can Put This Into Perspective.”
Project Management Chandana Unnithan

Harmonizers

•  • 

•  •  • 

• 

“We Sort of Agree, Don’t We?” “Your Ideas and Mine Are Close Together.” “Aren’t We Saying the Same Thing?”

Project Management Chandana Unnithan

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Supportive Roles

Supportive Roles

Consensus Takers
•  •  • 

Gate Keepers
• 

“Let’s See if We Are in Agreement.” “Let’s Take a Vote on This.” “Let’s See How the Rest of the Group Feels About This.”
Project Management Chandana Unnithan

•  • 

“Who Hasn’t Given Us Their Opinions on This yet?” “Should We Keep Our Options Open?” “Are We Prepared to Make a Decision or Recommendation, or Is There Additional Information to Be Reviewed?”
Project Management Chandana Unnithan

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Types of Authority
•  • 

Types of Authority
•  •  • 

(Continued)

• 

• 

•  • 

The focal position for information Conflict between the project manager and functional managers Influence to cut across functional and organizational lines Participation in major management and technical decisions Collaboration in staffing the project Control over allocation and expenditure of funds
Project Management Chandana Unnithan

•  • 

• 

Selection of subcontractors Rights in resolving conflicts Voice in maintaining integrity of the project team Establishment of project plans Providing a cost-effective information system for control Providing leadership in preparing operational requirements Project Management
Chandana Unnithan

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Types of Authority
•  • 

(Continued)
• 

Types of Power
Legal authority: the ability to gain support because project personnel perceive the project manager as being officially empowered to issue orders Reward power: the ability to gain support because project personnel perceive the project manager as capable of directly or indirectly dispensing valued organizational rewards (i.e., salary, promotion, bonus, future work assignments)
Project Management Chandana Unnithan

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Maintaining prime customer liaison and contact Promoting technological and managerial improvements Establishment of a project organization for the duration of the project Cutting red tape

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Project Management Chandana Unnithan

Slide 1.101

Slide 1.102

Types of Power
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(Continued)
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Types of Power

(Continued)

Penalty power: the ability to gain support because the project personnel perceive the project manager as capable of directly or indirectly dispensing penalties that they wish to avoid. Penalty power usually derives from the same source as reward power, with one being a necessary condition for the other
Project Management Chandana Unnithan

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Expert power: the ability to gain support because personnel perceive the project manager as possessing special knowledge or expertise (that functional personnel consider as important) Referent power: the ability to gain support because project personnel feel personally attracted to the project manager or his project
Project Management Chandana Unnithan

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12/21/09

Slide 1.103

Slide 1.104

Conflict Resolution Modes
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(Continued)
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Conflict Resolution Procedures
Pausing and thinking before reacting Building trust Trying to understand the conflict motives Keeping the meeting under control Listening to all involved parties Maintaining a give-and-take attitude Educating others tactfully on your views Being willing to say when you were wrong Not acting as a superman and leveling the discussion only once in a while Project Management
Chandana Unnithan

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Forcing. Exerting one’s viewpoint at the potential expense of another. Often characterized by competitiveness and a win-lose situation Confrontation. Facing the conflict directly, which involves a problem-solving approach whereby affected parties work through their disagreements
Project Management Chandana Unnithan

Slide 1.105

The Conflict Manager
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Knows the organization Listens with understanding rather than evaluation Clarifies the nature of the conflict Understands the feelings of others Suggests the procedures for resolving differences Maintains relationships with disputing parties Facilitates the communications process Seeks resolution
Project Management Chandana Unnithan

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