SECTION 5
PROJECT LEADERSHIP

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5.1 Overview of Project Leadership

5.2 Leadership in Projects—A Further Perspective

5.3 Coaching Project Team Members

5.4 Managing Conflict in Projects

5.5 Team Leadership

5.6 Developing the Project Manager

5.7 Motivating the Project Team

5.8 Decision Making in Projects

5.1 OVERVIEW OF PROJECT LEADERSHIP

5.1.1 Introduction

A project leader is that individual who leads a project during its life cycle and accomplishes the project’s technical objectives on time and within budget. To lead any organizational effort, both a presence and a process are required.

5.1.2 Key Characteristics of Proven Project Leaders

• They have their act together.

• They are visible to the team members they lead, and are on top of everything.

• They are available to their team members to listen, debate, and gather information for decision making and execution.

• They are able to say, “Let’s do it,” when the time is right.

• They are decisive, and have a track record of making and executing the right decisions.

• They see the best in the competences of the team members.

• They work at making things simple, and avoid making things complex.

• They are fair and patient.

• They work hard in their leadership role.

5.1.3 Project Leadership vis-à-vis Managership

Warren Bennis in “Good Managers and Good Leaders,” Across the Board, October 1984, pp. 7–11, proposes a distinction between these two roles as paraphrased thusly: “A leader does the right things (effectiveness) and a manager does things right (efficiency).” Taking Bennis’s distinction and fleshing it out provides the following characteristics of leadership and managership:

Leadership is the capacity to lead.

5.1.3.1 Leadership

• Develops and sells a vision for the project

• Copes with operational and strategic change on the project

• Builds reciprocal networks with relevant stakeholders

• Develops a cultural ambience for the project team that facilitates commitment and motivation

• Sets the general direction of the project through collaboration with project stakeholders

• Perceives broad issues that are likely to impact the project, and then works with the team members in accommodating these broad issues

• Becomes a symbol of the project and its purposes

• Becomes the principal project advocate in working with stakeholders

• Does the right things

5.1.3.2 Managership

• Copes with the complexity of developing and implementing a management system for the project

• Maintains oversight of the efficient and effective use of project resources

• Designs and develops the management functions of planning, organizing, motivating, directing, and controlling within the context of a project management system (PMS), for the project

• Reprograms resources as needed to maintain a balance for supporting the project

• Monitors the preferred competence of project team members to include guidance to these individuals for the improvement of their knowledge, skills, and attitudes

• Ensures that the communication processes involving the project work effectively

• Maintains oversight to ensure that project monitoring, evaluation, and control are carried out

• Does things right

Project managers must both lead and manage. In carrying out these two roles, competence in the following is required:

• Having a general understanding of the technology involved in the project

• Having those interpersonal skills that facilitate building a cultural ambience for the project team and its stakeholders that reflect trust, loyalty, commitment, and respect

• Understanding the management process and its application to the project

• Being able to see the “systems” context of the project

• Being able to make and implement decisions involving the project

• Being able to produce the desired results on the project

The competence to serve as both a project leader and a project manager is dependent on the individual’s knowledge, skills, and attitudes.

5.1.4 An Experienced Viewpoint

At a meeting of experienced senior project managers, the participants were asked to write down a word, phrase, or sentence that described a “good project leader” and a “poor project leader.” The results are shown in Table 5.1. The contrast between good and poor project leaders is evident. Members of the project team should ask themselves how they would describe their leadership style, and whether they would fall under the good or poor leadership column.

5.1.5 Summary

In this section, a brief examination of the characteristics and differences of project leaders and project managers was given. The individual who has the authority and responsibility to maintain oversight of the making and execution of decisions on a project is expected to develop the characteristics and competences of both a leader and a manager and know when to use each competence appropriately.

TABLE 5.1 Good and Poor Project Leaders

5.2 LEADERSHIP IN PROJECTS—A FURTHER PERSPECTIVE

5.2.1 Introduction

It has been said that managers can be trained, but leaders must learn from example. Learning from example requires that existing leaders act as role models for future leaders. Future leaders can then develop while following others.

Leadership also requires that individuals set and adhere to the highest levels of honesty and integrity. Without these two critical characteristics or traits, one can never achieve the full measure of leadership. Others will not follow a person who is neither honest in his or her actions or conduct themselves without integrity. The question is asked “How many times can I lie to you and still have your trust?” The answer is always zero times.

5.2.2 Leadership Fundamentals

Leadership is defined by the military as “the process of influencing others to accomplish the mission by providing purpose, direction, and motivation.” This same definition can easily apply to project leadership with some minor modification. Project leadership can be defined as “the art of influencing others to perform project work by providing purpose, direction, motivation, and coaching to individuals and the project team.” Project leadership, like military leadership, incorporates the highest standards of honesty and integrity in dealing with people to build trust and confidence.

• Purpose provides the team members the general scope of the project and the tasks to be performed. This is the “story” of the project’s life and its highlights. Using purpose as the guide, team members then can be a part of the process.

• Direction provides the team members information and describes the tasks, task assignments, and priorities to be accomplished. This also includes the standards to be applied to the work and the expectations for work that is completed. Direction guides the team members in performing the work to the required levels of workmanship.

• Motivation provides the team members information on the importance of the project work and instills the will to complete that work. Motivation provides the focus on accomplishing the project’s work under adverse conditions.

Good followers usually become good leaders.

• Coaching provides the development of team members to continuously improve their knowledge, skills, and abilities in the project management profession. Coaching is accomplished through setting the example, demonstrating methods of performing work, and counseling individuals on acceptable standards of work.

Team members have fundamental expectations from their leaders. These expectations include as a minimum the following, as depicted in Fig. 5.1.

• Demonstrated technical competence. Leaders must demonstrate competence in the project management profession through knowledge of the discipline. Individuals expect and demand that leaders be confident of their ability to plan and execute projects.

• Training subordinates. Leaders must move beyond formal training programs to reinforce the principles and practices of the profession. Leaders must take time to share experiences and the benefits of their knowledge with individuals. Leaders build on the people’s capabilities.

FIGURE 5.1 Team member expectations of a leader.

• Be a good listener. Leaders must take time to listen to team members with equal attention as one would give a senior manager. Listening identifies the important issues of the team members and permits resolution through problem solving. Leaders know their team members through listening.

• Treat others with respect and dignity. Leaders must always show concern and compassion for team members. Each individual must be treated better than the leader expects to be treated. The leader is in a position to demonstrate the respect and dignity to team members more than the team member is to the leader.

• Stress the basics. Leaders must demonstrate mastery of the fundamental skills of project management such as organizing, planning, assigning work, tracking work, and decision making. These and other skills must be taught to team members through actions and by repetitively demonstrating them.

• Set the example. Leaders must set consistently high values and abide by these standards. By example, the leaders encourage a commitment to these same values and individuals will emulate the leaders.

• Set and enforce standards of conduct. Leaders must know and enforce the standards of conduct established by the organization. Fundamental rules for safety, conduct toward coworkers, and work standards must be reinforced and any deviations promptly corrected.

Leaders do not compromise on the fundamental concepts of leadership and do not settle for second best performance. Through example and values, leaders succeed with project teams and by successfully completing projects. Leaders accept nothing less than the best from their team members.

5.2.3 Project Leadership

The nature of complex projects, both the technical aspects and the organizational aspects, place significant demands on the project leader. Project leaders are also faced with vague or ill-defined situations, which must not be transmitted to the team. Organizations need project leaders who:

• Understand the dimensions of a project within its organizational environment

• Provide purpose, direction, and motivation to their teams

• Show initiative to take advantage of opportunities

• Are technically competent organizers of teams

• Are willing to take calculated risks to advance the project while taking advantage of opportunities

• Have the will to win and not let small obstacles delay projects

• Build a cohesive team

• Communicate effectively, both orally and in writing

• Are committed to the project and its completion

5.2.4 What Is Leadership?

The most essential element of project management is competent and confident leadership. Leadership provides purpose, direction, motivation, and coaching to the project team for successful project completion, as depicted in Fig. 5.2. All four areas must be demonstrated for the project to be considered.

The mandate for competent project leadership is simple and compelling. Failed projects are not as much technically challenged as they are leadership challenged. This leadership is both within the project and senior management decision making.

Leadership may be characterized by four factors: those being led, those leading, the situation, and communication.

• Those being led are typically the project team. However, others can be influenced by the leader and should also be considered in this category. How the individuals are led depends on the level of training and skill levels that they possess. The leader must differentiate between those who have the abilities to do the job and those who don’t. There is also a need to differentiate between those who can perform and those who won’t perform.

Leadership = Purpose + Direction + Motivation + Coaching

FIGURE 5.2 Leadership components.

Individuals with lower skill levels will need more coaching and often more detailed instructions on their work than those who have mature skill levels. The leader must encourage and reward those individuals with the lower skill levels as they demonstrate increased capability. Those with mature skills must be rewarded for their accomplishments.

Individuals who have the ability to perform at the proper level, but fail to perform must be assessed as to why there is a shortfall in accomplishment. This shortfall may result from a lack of understanding or other legitimate factors. An individual who has the ability, but refuses to perform the work must be counseled and, if necessary, disciplined. It is often a delicate balance between identifying those who do not perform for lack of information and those who are unwilling to perform.

• Those leading. Leaders must not only lead, but they must be seen to lead. Leaders must be visible to those being led and there must be demonstrated acts that make clear who is leading. The term “leader” implies that one is in front of the project team and that person is responsible for the project.

Leaders must have an honest understanding of who they are, what they can do, and what they know. Own strengths, weaknesses, capabilities, and limitations must be recognized by the leader so that self-control and discipline can be exercised. Leaders must capitalize on strengths and capabilities while avoiding the weaknesses and limitations.

Being a leader means continually improving one’s self and growing in all aspects of interpersonal skills. A leader must demonstrate character and trustworthiness to those being led to ensure there is confidence in his ability to lead. No orders, directives, words, or other statement of position will make one a leader. Only those being led can designate a person a leader. The following, extracted from a speech made to newly commissioned army officers, clearly points to leadership.

I feel a tinge of regret that I am not young enough to be sitting out there as one of you. You have so many years of challenge and adventure to look forward to. So many of these years are behind me. Soon you will meet . . . your troops. What do we expect from you as officers, commanders, leaders? We expect of you unassailable personal integrity and the highest of morals. We expect you to be fair-to be consistent . . . to treat each soldier as an individual, with individual problems. And we expect you to have courage . . . the courage to stand up and be counted-to defend your men when they have followed your orders . . . to assume the blame when you are wrong. Your orders appointing you as officers in the United States Army appointed you to command. No orders, no letters, no insignia of rank can appoint you as leaders. Leadership is an intangible thing; leaders are made, they are not born. Leadership is developed within yourselves. (SGM John Stepanek, 1967, quoted from “The Gates of Hell”)

• The situation. Leaders find the situation differs in encounters with individuals. The first act is to assess the situation prior to taking actions. There is an old maxim: “Praise in public, criticize in private.” A leader may want to compliment an individual on some accomplishment in front of peers. On the other hand, a leader may wait until there is privacy before counseling an individual for poor behavior.

Leaders look for desired outcomes in all situations. It is seldom proper behavior for a leader to shout or raise the volume of his/her voice. Leaders must stay calm and clearly communicate the desired outcome. Shouting is only appropriate in emergency situations where this sudden shift of behavior will result in immediate response for safety of human life.

A leader selects the proper timing for corrective counseling. Some behavior requires immediate response by the leader while other behavior can wait. This time of counseling is often dependent on the pace of other activities. Regardless of the timing, a leader should always address both excellent behavior and poor behavior. Counseling and praise may be deferred, but must always close out issues in the work environment.

• Communication. Leaders must be effective communicators, whether the communication is oral or written. Communication is an interchange of information between individuals. Leaders must use all means to effectively communicate with senior management, peers, team members, customers, and other stakeholders. Three means of communicating are listed below.

• Words or semantic notations—written or oral words or other understood sounds

• Illustrations—graphics, pictures, charts, or other forms that convey some meaning

• Mathematics—two types

• Logic and structure deals with general approaches to problem solving

• Content deals with specific problem solving

All forms of communication can be effectively placed within these three categories. The selection of the forms of communication to be used will typically be a mixture rather than just one. The mixture will depend on the audience, the purpose of the communication, and the distance between the parties.

Communication is affected by an individual’s beliefs and values. Beliefs are what a person knows, expects, or suspects. Values are what a person wants, desires, and prefers. Project leaders must consider values and beliefs to be effective and avoid attempts to change them.

Communication between leaders and team members will be affected by the values and beliefs of the listener. The confidence and trust placed in the leader by the team member will also enhance or detract from the leader’s communication abilities. It can be seen that the leader’s reputation for honesty, integrity, and openness materially affect communication with everyone.

5.2.5 Principles of Leadership

Eleven principles of leadership identified for project leaders are shown in Fig. 5.3.

5.2.6 Leadership Traits

Leaders possess and demonstrate traits that are of significant value in gaining the willing obedience, confidence, respect, and loyal cooperation of the project team members. Figure 5.4 identifies the traits of a good leader.

FIGURE 5.3 Principles of leadership for project leaders.

FIGURE 5.4 Leadership traits.

5.2.7 Summary

Leadership is obviously a greater combination of skills, knowledge, and abilities than the more common management concepts. Leadership includes the demonstration of characteristics and traits, which instill confidence in those being led.

Leaders are not born and leaders are not trained. Leaders learn from the examples of others and emulating those positive characteristics that influence others to willfully perform their duties. Leaders must demonstrate their willingness to deal openly and honestly with the project team members.

Leaders are self-made people. Neither training, nor education, nor appointment to position will make a leader. A person earns the right to be called a leader by those being led. Earning the right to be called a leader is accomplished through extraordinary effort to demonstrate values and characteristics that build confidence.

5.3 COACHING PROJECT TEAM MEMBERS

5.3.1 Introduction

Coaching is an important aspect of leadership and team building. It is both praising good behavior and correcting disruptive behavior. Coaching is for individuals and for the team as a whole, and is a skill that is developed and improved over time by leaders.

Coaching is an essential leadership competence. Knowledge of the techniques and tools of coaching are essential for a person to assume the role of project leader. Coaching competence gives the project leader an improved opportunity to successfully complete the project as well as build stronger individuals and teams.

5.3.2 What Is Coaching?

Coaching is defined as “those leader actions taken to develop the professional capability of project team members through personal intervention to change or reinforce behaviors.” Counseling is often used synonymously with coaching. Coaching, however, entails actions that reinforce the positive behaviors and attempts to change the negative behaviors. Counseling may often refer an individual to the activities of healthcare professionals, spiritual leaders, and other specifically trained professionals.

Coaching in the project environment specifically focuses on behavior that affects work performance. This is generally encouraging individuals and the team to perform in an expected manner. It may require that coaching extend into the personal life of the individual when a personal situation affects performance. For example, a person with a marriage problem may not see his/her performance on the job as being primary. The stress of a marital problem can easily diminish productivity to low levels.

A coach is a teacher and counselor.

5.3.3 What Is the Project Leader’s Role as a Coach?

The project leader is charged with delivering the benefits of the project to stakeholder and more specifically to the customer or client. This charge entails organizing and maintaining a competent project team to perform the project work. Guiding this team to be a productive work unit requires leadership.

Leadership must first set the expectations for the project team and communicate the standards that the team is to follow. Setting expectations may be accomplished at the project kickoff meeting and entails addressing the scope of the project, specific requirements, target delivery dates and describing how the project will proceed. It is also important to set expectations as to the project team’s standards of conduct.

Once the expectations are set, the project leader must enforce them through corrective actions for variances and praise when the behavior matches the expectations. Expectations must be enforced to be seen as being real or needed for the project. When a project leader fails to enforce deviations from the requirements, this person penalizes those who do conform. The project leader who does not enforce the “rules” because of favoritism or other personal consideration will fail to achieve the desired results in developing the team.

5.3.4 Coaching Techniques and Tools

The project leader must be competent in his/her job to be an effective coach to team members. If the coach has personal problems that overwhelm his/her capability to perform, then that person cannot effectively coach others. Competence in leadership, free of external personal problems, is a prerequisite for being a leader/coach. Figure 5.5 shows some of the key coaching techniques and tools.

One of the most effective methods of coaching for performance is to set an example. If the leader sets the workday start time as 8:00 a.m. each morning and arrives consistently late for work, this sends a strong negative message to the team. On the other hand, if the team has to work late and the project leader stays with them this sends a strong positive message.

Praise is one of the most effective techniques that can be used by the project leader. Praise must be sincere and honest. It should be related to the expectations set at the start of the project (or when the team member joins the project). It may be for accomplishing a task in a superior manner or it may be used to recognize improved skills. Praise is feedback to the individual or team member that he/she is doing something well.

FIGURE 5.5 Coaching techniques and tools.

Praise should be specific and related to work. Some examples of praise could be:

• “That was a good job, Pete. You finished it a day ahead of schedule. I appreciate your work.”

• “Joe, your ability to prepare the weekly reports has improved significantly. This helps us keep all our stakeholders happy with timely reporting.”

• “Mary, your participation in the team meetings has improved and the team is benefiting from your knowledge. Keep up the good work!”

Criticism should be used sparingly and in private. Any criticism of individual performance can most effectively be handled in a neutral area. Criticism should avoid the use of personal pronouns so that the situation is addressed as a professional shortcoming and not a personal attack. Criticism must always look for improvements.

Criticism in a constructive manner must be delivered in a calm manner that sticks to the issue at hand. Some examples of criticism could be:

• “Fred, when the team had its kickoff meeting, timely reports were identified as being critical to the success of our project. Your reports have not been turned in so that they could be integrated with the other team members’ reports. This affects the entire team and makes it look bad. What can we do about submitting timely reports?”

• “Oscar, during my orientation of new project team members, we agreed that absences from the project would be approved by me or my deputy. Yesterday, no one could find you when the team had an important meeting. Your contribution was needed and placed the team in a bind. What happened and what can we do in the future?”

• “Ellen, there has been a noticeable lack of interest during our team meetings. This morning you were sleeping during the daily update briefing. This sends the wrong message to the entire team and any guests who attend the briefings. What can we do about improving this situation?”

Both praise and criticism are needed in the project environment. Project leaders must anticipate their responses to the situations that develop. Some small items that are overlooked or not corrected may generate larger issues. Critical performance and conduct issues must always be corrected. Anticipating what to praise and what to correct will arm the project leader before hand. For the new project leader, it may be appropriate to also anticipate how a variety of situations can be resolved through coaching.

Project leaders’ efforts to develop individuals should be guided by the following four objectives:

• Cause the individual to recognize strengths or shortcomings and define any problems. Patience, sincere interest, clear thinking, and calm demeanor are required by the project leader to accomplish this.

• Have the individual determine possible courses of action, based on facts, to resolve shortcomings and for the individual to select one course of action. Project leaders must use skill, knowledge, and restraint to allow the individual to find the correct course of action.

• Cause the individual to take the appropriate corrective action. This depends on the individual’s commitment to his/her decision and the will to complete the corrective action.

• Have the individual assume full responsibility for his/her decisions and actions. The above three objectives must be met to ensure this object can be implemented. Project leaders must ensure the first three objectives are met before obtaining the individual’s commitment to action.

Coaching the team is essential for building collaborative efforts. Praise can be used when the team accomplishes tasks or achieves milestones. It is most effective when the team’s efforts are recognized by someone other than the team leader. This can be done by having a senior manager or the customer talk to the team on their accomplishments. When the team knows its accomplishments are recognized and important to others, this builds pride in work.

Criticism of the team is difficult and can be awkward. Shortcomings must be addressed and the team leader must obtain a commitment by the team to change. One method is to describe the shortfall in general terms of the lack of results. Then, ask the team what should have been done to prevent the poor results. Let the team identify how the results occurred. Project leaders, as part of the team, should be prepared to identify their weaknesses as contributing to the poor results. The project leader must obtain a commitment from the team as to their future performance.

5.3.5 Characteristics for Effective Coaching

To develop the attitude and behavior for proper coaching, the project leader must be familiar with the characteristics shown in Fig. 5.6.

• Flexibility—fitting the coaching style to the unique character of each individual and to the desired future relationship.

• Respect—respecting individuals as unique, complex team members with unique sets of values, beliefs, and attitudes.

FIGURE 5.6 Characteristics for effective coaching.

• Communication—establishing open, two-way communication with individuals being coached, using oral and nonoral actions, gestures, and body language. Effective coaches encourage individuals to speak more than the coaches speak.

• Support—supporting and encouraging individuals through actions and interest in their concerns is essential for the project leader to coach individuals, all the while guiding them to seek solutions to their problems.

• Motivation—some individuals will seek to be coached while others may be passive. Those who seek coaching are motivated to improve themselves. The passive individuals are more likely to need coaching and can benefit more. Project leaders must seek out those who need coaching, but do not want it.

• Purpose—to develop responsible and self-reliant team members who solve their individual problems.

Project leaders must maintain confidentiality of the conversations conducted during coaching. At the onset, the project leader should make clear to the individual that this is a confidential conversation that will not be repeated to others. The only exception to this, and the individual should be so advised, is unlawful acts. The coach cannot become a part of or an accessory to a crime.

There are limits to a project leader’s ability to coach individuals. As most project leaders are not healthcare professionals, it is well to recognize when the coaching should stop and the individual referred to a medical doctor, a minister, or a counselor specializing in the specific problem. The goal is to help the individual become the most effective team member that he/she can be. Referral to the professional who can help the individual is the best that a coach can do for that individual.

5.3.6 Summary

Coaching is a critical part of a project leader’s responsibilities because he/she will spend many hours dealing with team members to develop these individuals into more effective, productive individuals. This development benefits both the individual as an asset that is more highly valued by his/her organization and the project team in functioning as a unified work group. Coaching, however, is often not given the emphasis that it needs in projects and the benefits of coaching are not realized.

Techniques and tools of coaching can be learned by project leaders and should be practiced in a role playing environment to fine tune the skills. Project leaders must recognize the limits of coaching and refer individuals to specific counseling specialists when appropriate. Confidentiality of coaching is a must and builds on trust when it is maintained. Communication where the individual does most of the talking and the project leader listens is the most effective.

5.4 MANAGING CONFLICT IN PROJECTS

5.4.1 Introduction

Conflict will always occur in projects because of the temporary nature of a project team and the number of external interfaces the project leader must manage. Conflict is when there is a disagreement between two or more parties as to an important element of the project’s work. This disagreement may be a difference of opinion in the technical solution, the cost of an item, how something will be accomplished, or when something will be delivered.

Human conflict may also take on personal areas that inhibit getting the work done on time and to the customer’s satisfaction. Personal conflicts are typically more difficult to manage than professional disagreements. Personal conflicts, however, do negatively impact project goals because they destroy working relationships, which are essential to effective project completion.

Conflict is to be expected—and can be managed in the project environment.

5.4.2 Sources of Conflict

Conflict in the project environment is always present because of the nature of projects. The drive to complete a project on time, within budget, and meeting the customer’s requirements are competing goals. These goals and their potential for conflict are inherent within the project team as well as with external sources.

People have different agendas and see things differently. Actual and perceived differences can increase the potential for conflict. The project team needs to work toward a single agenda to ensure success for the project. It is the function of the project leader to bring this team together and establish the single agenda.

External sources of conflict are those people who have a competing requirement. Conflict arises when there is a sharing of resources between projects, for example, and the competing manager also has a need for the resources. Competing requirements for the same, limited resources is perhaps the biggest source of conflict in the matrix environment. Figure 5.7 summarizes some of the areas of conflict within projects.

Items that generate conflicts in a project are identified as areas to manage more effectively. These are:

• Project priorities. Priorities typically conflict between project leaders and functional managers. This is often as to which project or work has the most urgent need for resources or for the use of some facilities. Organizations do not do well in assigning project priorities and create this situation for the project leader. Organizations will take the position that “everything is priority one.” When everything is priority one, there is no priority system.

• Project management methodology. Methodology for managing projects is typically “modified” during project execution. Some parts are omitted or changed to accommodate the project work. This change creates conflict among the project team as to which is the best method for planning and executing the project. “Modified” project management methodology typically omits an important part of the process. Testing, for example, is often reduced to “save time.”

FIGURE 5.7 Some sources of conflict in projects.

• Schedules and resources. Project dynamics will change the time frame in which resources are needed for the project. Functional managers want a fixed time that resources can be allocated to the project; no more time, no less time, and within the baseline schedule planned for the assignment.

Personalities often conflict and there is not the degree of cooperation that is needed. The most common areas of conflict in recent time reflect upon the misconduct of one or more persons. Some of the more important items that are disruptive and create conflict are identified here:

• Sexual harassment. This is currently defined as the unwanted sexual advances of another, male or female, that creates a hostile environment. The advances may be physical acts or oral statements.

• Jokes. Inappropriate humor that degrades another or an ethnic group is inappropriate, whether that person or a representative of the group is present or not. Humor that is off-color or suggestive of sexual acts is also inappropriate.

• Other. Inappropriate behavior that is demeaning, draws attention to anyone as a means of degrading, outlandish dress or immodest dress, and other degrading acts should not be tolerated. Gestures and skits that are demeaning should not be tolerated.

5.4.3 Classification of Types of Conflict

Classifying the types of conflict help with the identification and managing each item. There are two classifications of conflict: open and closed.

• Open conflict—when one or more parties challenge another. This is healthy to put the issues forward and find resolution. It is the first step in finding a solution. Open conflict can be recognized and managed.

• Hidden conflict—when one or more parties conceal a difference from another, but will work to actively sabotage or will fail to give full support. Conflict resolution is difficult in this situation because only the sabotage or lack of support are identified, not the reason for the conflict. Until the reason for the conflict is identified, it is difficult to remove it.

5.4.4 Causes of Conflicts

The dynamic nature of projects is a source for conflict. Commitments to perform certain tasks typically have a time and place for the activity. Slips in schedules and changes to the tasks may be sources of frustration when the performing party has little flexibility. Functional managers typically have difficulty with the dynamic schedule changes when they are committing resources to the task.

Getting consensus during meetings is a source of conflict. Consensus in its true meaning is that everyone agrees. The nature of organizational culture is that people do not raise issues when the issue does not affect them. Therefore, consensus is practiced as “if it doesn’t affect me, I will not disagree.” Thus, consensus does not address issues, but only lets them lie dormant until a task is attempted.

Another approach to consensus is that “no one in the room is harmed by any decision.” Anyone who is not in the room may be affected. This is a potential source of conflict and can be extremely disruptive for the project. This approach should be prohibited and everyone should be looking for the common ground for all parties.

Organizational culture is a source of conflict. Organizational culture is the sum of organizational values, some good and some not so good. Individuals use “organizational culture” as an excuse for not performing certain tasks. For example, it is permissible in some organizations to not accept tasks from the project leader unless the person assigned the task agrees with the work. Otherwise, the project leader has a conflict.

Organizational culture also affects decision making at all levels. The culture will not allow one person to make a decision that affects another without the other person’s consent or acceptance. This delays decisions and places work in queue. Conflicts arise when another person cannot perform his/her work because of the delayed tasks.

5.4.5 Organizational Values

While individuals talk about organizational culture, they are actually talking about the accepted or adopted organizational values. Organizational culture is the sum of all organizational values, whether real or perceived.

It is difficult to address “organizational culture” because it is a composite of all real and perceived organizational values. To address conflict, one must identify the organizational value directly creating the conflict or supporting the conflict. The decision is then to emphasize the organizational value or discard it.

5.4.6 Conflict Resolution Modes

Project leaders may embrace one or more of the conflict resolution modes listed below. The modes are useful to understand for improving one’s ability to quickly and effectively resolve conflicts. These modes are:

• Withdrawal—the disengagement from an actual or perceived conflict. It is a delaying action that neither solves the conflict nor clarifies it. This is a weak approach to managing conflict.

• Smoothing—the attempt to convince the parties that conflict does not truly exist by de-emphasizing differences and emphasizing commonalties. The perceived conflict is often described as a difference in how people view a situation. This approach to conflict resolution is weak and only serves to reduce the stature of the person using smoothing.

• Compromise—the attempt to resolve the conflict through each party giving up something. This approach assumes that both parties are equally right (or wrong) and both need to give away something as a peace offering. It is often less than satisfactory to one or both parties.

• Forcing—asserting one’s viewpoint at the expense of one or both parties. This may be necessary when both parties refuse to cooperate in the conflict resolution or when there is no time to work through another mode of conflict resolution.

• Problem solving—the attempt to resolve the conflict by defining the problem, collecting facts, analyzing the situation, and selecting the most appropriate course of action. This mode is time consuming, but the most effective if both parties are cooperative and open to resolving the problem.

5.4.7 Preventing Conflict

Conflicts arise when two or more people are operating from different instructions or with different information. Conflicting instructions or information must be obtained from some source. The source of instructions or information may be delivered directly from someone, for example, the project leader, or they may be surmised because of the lack of guidance from the project leader.

Preventing conflicts is perhaps the most effective method of handling situations that can generate conflict. The project leader must ensure that all team members understand what is expected of them and that they are familiar with the project plan. The project leader should also ensure project team members understand the top level of the project’s objectives and the concept for executing the project.

Team building that emphasizes “trust” and “confidence” in fellow team members can also reduce conflict. A trusting environment will foster cooperation and reduce the tendency to compete among the team members. Trust and confidence in the project leadership makes for a more cooperative environment.

5.4.8 Summary

Managing people in an effective manner dictates avoidance of conflict—an energy-consuming, destructive situation that stops effective progress. Avoiding conflict is perhaps the best method of “conflict resolution” because it promotes project team trust and cooperation. Prevention of conflict is the best approach.

Understanding the sources of conflict is helpful in planning to either avoid the problem or deal with the problem if it occurs. The five modes of conflict resolution will label actions required under each one to determine which one to use in a given situation. No mode is undesirable if used in the proper situation.

5.5 TEAM LEADERSHIP

5.5.1 Introduction

Leadership was studied and written about extensively in the twentieth century, and continues to be. There have been thousands of articles and papers about this subject. Several hundred books have appeared that examine the function of leadership in different forms of organizations—government, military, industrial, and political to mention a few. In recent times the difference, if any, between leadership and management has been examined and will continue to be studied in the future. The role of project leadership will be examined here.

5.5.2 What Is Leadership?

There have been many definitions of leadership. One study found over 130 definitions of the subject. Another source notes over 5000 research studies and monographs on the term. There are many traits and processes cited that identify the qualities of effective leadership. A few generalizations about leaders are shown below.

5.5.2.1 General Characteristics of Leaders

• They have their act together—their personal ambition and motivation drive them to succeed.

TABLE 5.2 Characteristics of Leaders

• Have their act together

• Are winners

• Have high visibility

• Simplify things

• Available to followers

• Patient with followers

• Work hard to be a leader

• They maintain high visibility to the followers they wish to lead. There is no doubt in any follower’s mind that the leader is in charge and on top of everything.

• Leaders are available to the followers to listen, debate, and get the needed facts together to make and execute decisions. Once they make a timely decision there is little hesitation in them saying, “Let’s do it.”

• They see the best in the people and institutions that they lead. Leaders are winners who praise and motivate their followers to action.

• Good leaders try to make things simple—to sort through the complexity of a problem or opportunity, make and implement decisions efficiently and effectively.

• They are fair and patient with their followers.

• They work hard at being a leader, and avoid being perceived as an “absentee landlord.” (See Table 5.2.)

5.5.3 The Difference between Leadership and Management

Leadership is part of management, yet at the same time distinct from it. Warren Bennis, a noted researcher on leadership, offers the following differentiation between leadership and management: “A leader does the right thing (effectiveness); a manager does things right (efficiency).” An effective “project leader” develops a vision for the project, assembles the resources, and provides the inspiration for the project stakeholders. An effective “project manager” ensures the appropriate management systems are designed and used to provide technical and resource support to the project. Indicated below is an expanded description of the difference between project leaders and project managers (Table 5.3).

5.5.3.1 Leaders

• Develop and communicate a vision to the stakeholders about the project.

TABLE 5.3 Leaders vis-à-vis Managers

• Build supportive networks with the project team members and other stakeholders.

• Watch out for major patterns and relationships in the project that have a potential for a major impact on the project.

• Develop and communicate a suitable management system for the project.

• Become a symbol and advocate for the project within the organization.

• Facilitate the linkage of the project with the operational or strategic direction of the organization.

5.5.3.2 Managers

• Oversee the design, development, and operation of the management systems to support the use of resources on the project.

• Maintain oversight of the efficiency and effectiveness of the use of resources on the project.

• Facilitate the planning, organizing, motivating, and control systems for the project.

• Monitor the competence of the project team members as well as the competence of the entire team, to include other stakeholders.

• Reassign resources as required to ensure maximum benefit to the project needs.

• Facilitate the professional development of the team members.

Project managers have both leadership and managership responsibilities. They deal with both operational and strategic issues on the project. Both leadership and managership require sensitivity to the human considerations of the project. A project manager’s formal grant of authority comes from organizational policy documentation. The role of the project leader comes from the individual’s competence.

The role of project leadership is most challenging when dealing with project stakeholders who are beyond the organizational project team, such as suppliers, government agencies, unions, professional associations, local community officials, and, when required environmental protection officials. A few guidelines for face-to-face working with these people are offered:

• Be alert to the opportunities for helping these stakeholders, thereby building opportunities for reciprocity, which can help the project.

• Seek opportunities to describe and stress the project manager’s role and responsibilities.

• Encourage the stakeholder to identify with the project and its reciprocal needs with that project.

• Nurture the professional relationship that is desired between the stakeholders and the project team.

• Seek opportunities to encourage the reciprocal relationship that is needed between the project team and other stakeholders.

Project leaders will find many situations in that they must ask, encourage, cajole, praise, reward, demand, manipulate, and in general use ethical processes and interpersonal skills to gain and hold support for the project.

5.5.4 Decisions

An important leadership opportunity that the prudent project leader will assume has to deal with the decision context of managing the project. This leader has to know how to make and implement decisions within the systems context of the project. In such decision making, certain key fundamentals are required, such as:

• Define the decision issue or opportunity regarding the project.

• Facilitate the development of the relevant databases required to evaluate fully the nature and timing of the decision.

• Consider alternative ways of using the project resources to bring about a timely and relevant decision.

• Ensure that an explicit assessment of the risk and cost factors surrounding the decision is considered.

• Evaluate and select the appropriate alternative in the assessment of the decision.

• Develop a plan for how the decision will be implemented.

• Dedicate the required resources to implement the decision.

Of course, the actual making and implementation of a decision are much more complex than is implied above. These fundamentals should be considered as a “way of thinking” in dealing with the inevitable decisions facing the project manager and the team members.

The fundamentals of decision making are as follows:

• Define the issue or problem.

• Assess risk and cost implications.

• Build databases.

• Develop implementation strategies.

• Evaluation alternatives.

• Dedicate resources to solution.

5.5.5 Key Modus Operandi

What are some of the key modus operandi and characteristics of the successful project leader? In the material that follows, insight into the answer to this question is given:

• An ability to conceptualize the likely deliverables of the project, followed by a project plan that provides guidelines for making the project objectives and goals a reality.

• A positive attitude by the project manager in spite of bad news and disappointments. Many successful projects have traveled a path of bad news and failure, but survived because of the positive leadership of the project manager.

• Any project can be criticized. The project leader must have a tough skin to deal with the inevitable faultfinding or blame that can come in the management of a project.

• Use policies, processes, procedures, protocols, and documentation along with empowerment of the project team to guide team members in making and implementing decisions in their area of responsibility.

• Be able to assume risk and deal with the uncertainties of the project. To help in dealing with risk, find people in the stakeholder groups who can help in the analysis of risk and provide recommendations on how the risk can be reduced or eliminated.

• Although the buck in the management of the project stops with the project manager, every effort should be made to decentralize the authority and responsibility to make and execute decisions to those stakeholders most qualified to make such decisions.

• Have the tenacity or persistence to seek out problems, opportunities, and decisions involving the project.

• Finally, work hard at mentoring, teaching, coaching, and guiding the people who are in charge of defining and using resources on the project.

5.5.5.1 Successful Project Manager Key Modus Operandi

• Conceptual deliverables

• Assume risk

• Positive attitude

• Decentralized management

• Tough skin

• Look for problems and opportunities

• Policy guidance

• Mentor

5.5.6 Summary

A brief summary was given of project team leadership. A comparison was made between what managers do and what leaders do. Some of the characteristics of leaders were presented. The roles that project managers are expected to carry out with regard to the leadership of stakeholders were also examined. The leadership responsibility of the project manager in the making and execution of decisions was also summarized. Finally, the section closed with an examination of the key modus operandi and characteristics of the successful project leader.

5.6 DEVELOPING THE PROJECT MANAGER’S COMPETENCE

5.6.1 Introduction

Developing competence in any individual can be challenging to promote the right attitude and behavioral patterns while exhibiting the technical skills of project management. It takes a balance between project management knowledge and skills coupled with emotional intelligence to be considered competent to lead a project team. It is not enough to have only the project management knowledge and skills to effectively lead others.

Some aspects of a project manager’s competence will be reviewed and suggestions made to improve the efficiency and effectiveness while working in projects. A standard, or a checklist, of competence attributes must be derived from the works of professional associations and others to identify the required traits needed to be a competent performer as a project manager.

5.6.2 Project Manager Performance Standard

The project manager has no set standard for measures of effectiveness because the scope and complexity of projects differ across a wide range. Each project being different and each project manager taking on the attributes and traits necessary to successfully complete his or her mission for each project. Some fundamental attributes and traits give an assurance that the project manager will perform to the best of his or her ability.

This section lists some of the attributes and traits that are most desirable in selected project managers and serves as a guide in ranking them with the potential, from least effective to most effective. Where areas are identified as needing improvement, an organization can conduct training and on the job experience to raise the level of competence.

5.6.3 Project Manager Attributes

Project managers must have the ability and be competent to plan, organize, motivate, direct, and control in a project environment. These fundamental attributes are needed by all project managers to be successful in their respective projects. Some suggested criteria for a project manager in each category are as follows:

• Plan. The ability to put forth a document that describes the work to be accomplished and often how it will be accomplished.

• Can the project manager develop a coherent plan?

• Does the plan give pertinent details for implementation?

• Does the plan state a purpose for the project?

• Does the plan list facts and assumptions needed to implement it?

• Is the plan needlessly complex?

• Has the plan been coordinated with the requisite stakeholders?

• Is the plan complete?

• Does the plan have the approval of senior management?

• Organize. The ability to structure the project team to accomplish the work.

• Does the project manager design the project team organization well?

• Does the project manager make good use of the available human resources?

• Is the project manager’s organization the most effective to implement and closeout the project?

• Are the proper or most appropriate skills matched to work activities?

• Are additional or special skills requested from appropriate sources?

• Motivate. The ability to inspire the project team to willfully perform tasks to the best of their ability.

• Does the project manager cause the project team to willfully perform tasks?

• Does the project manager use legitimate incentives to inspire the project team?

• Does the project team work at its best performance level?

• Does the project manager use humor to defuse issues?

• Does the project manager let the project team know that he/she is concerned with their welfare?

• Does the project manager avoid harsh language when correcting a situation?

• Does the project manager praise the team for good work?

• Direct. The ability to properly assign work to the project team and state when the completion is needed.

• Does the project manager assign work to one person or one group rather than several parties?

• Is the size of the performing team about right in size and skills?

• Does the project manager give clear instructions in the amount of detail needed?

• Does the project manager state when the work is to be completed?

• Is the project manager consistent in the assignment of tasks—or does he/she frequently change instructions?

• Control. The ability to assess results of work effort and use consistent standards of performance for work activities.

• Does the project manager follow up on work assignments to judge the quality of work according to specifications or workmanship standards?

• Does the project manager redirect work efforts when there are variances from the specification or standard?

• Does the project manager approve “work around” for temporary fixing of problem areas?

• Does the project manager periodically review cost and schedule information to ensure no major variances from the plan?

• Does the project manager periodically review the technical performance progress to ensure convergence on a project’s product?

• Does the project manager review and approve or reject recommended changes to the project’s product?

• Does the project manager maintain a holistic view of the project and its progress toward completion?

5.6.4 Project Manager’s Knowledge

The project manager must have a range of knowledge that encompasses the business aspects of a project, such as the cost and schedule, and the technical performance aspects of the build of the project’s product. Further, the project manager must be willing and have the authority to act through this knowledge base to ensure progress on the project. Knowledge alone without the requisite will and authority cannot assure project success.

Some knowledge areas that the project manager should possess are listed here. These are general knowledge areas that may need to be augmented for industry-specific work environments.

• Schedule development and management. The laying out of work over time to determine when the project should be completed and the maintenance of the schedule throughout the project.

• Does the project manager have the ability to develop a coherent schedule, either alone for small projects or through the project team for large projects?

• Does the project manager ensure all project work is included in the schedule?

• Does the project manager ensure work activities are of the proper duration to exercise positive control?

• Does the project manager ensure work progress is accurately posted to the schedule?

• Does the project manager correctly interpret the work progress on the schedule?

• Does the project manager investigate and take action on all schedule variances of 10 percent on work activities?

• Does the project manager conduct weekly reviews of the schedule progress?

• Budget development and management. The laying out of costs to the project over time and the tracking of expenditures against the budget

• Does the project manager ensure the budget is developed using the best process to achieve accuracy in costs?

• Does the project manager approve major costs for the project?

• Does the project manager ensure procedures are in place for charging against the project?

• Does the project manager oversee tracking of costs and question unusual expenditures?

• Does the project manager investigate and take action on all expenditures exceeding 10 percent?

• Technical performance management. The laying out in the specification and statement of work the technical qualities of the project’s product, and the continuous effort to achieve product performance.

• Does the project manager develop the specification and statement of work for the project?

• Is the specification and statement of work sufficiently detailed to build a product?

• Does the project manager understand the technical performance requirements?

• Does the project manager have in place a process for changes to the product, if needed?

• Does the project manager approve all changes to the product?

• Does the project manager have a plan for delivery of the product, to include any final testing or demonstration of capability?

• Does the project manager understand the technology needed to build the product?

• Risk management. The ability to assess and manage risks in projects that can have the potential to adversely affect project goals and objectives.

• Has the project manager conducted a risk assessment of the project?

• Has the project manager ranked the risks and addressed those with the greatest adverse consequences?

• Has the project manager avoided or mitigated the high-impact risks?

• Does the project manager have a plan for managing the risk?

• Has the project manager placed contingency reserves in the budget and schedule for potential adverse events?

5.6.5 Project Manager’s Attitude and Behavior

The project manager’s attitude and behavior are contagious and can be reflected in the attitude and behavior of the project team. A positive attitude with the appropriate behavior develops a positive team that will perform better than one with a negative attitude. A positive attitude drives the most appropriate behavior.

As a leader, the project manager must exhibit the best behavior for the project team. Some behavioral qualities that should be demonstrated are as follows:

• Project manager has confidence in others and delegates activities to other project team members, as appropriate, to develop their skills through experience.

• Project manager communicates his or her vision of the project to the project team to inform and to gain support for the project.

• Project manager is a skilled coach to project team members.

• Project manager is a skilled meeting facilitator.

• Project manager is a good listener to the project team members.

• Project manager assumes full responsibility for the shortcomings on the project and shares praise with the project team for successes.

• Project manager serves as an example for the project team and others.

• Project manager is aware of self and avoids bad behavior.

• Project manager is seen to be the project leader with full authority for bringing the project to fruition.

The project manager sets the scene for motivation and the resultant performance of the project team. Some behavioral aspects of the project manager that contributes to motivation of the project team follows.

• Project manager maintains an enthusiastic and positive attitude that is visible to the project team.

• Project manager involves the project team in decision making about the project.

• Project manager openly praises good performance by team members.

• Project manager involves others in discussions about their work.

• Project manager develops the professional capability of team members.

• Project manager rewards exceptional performance of team members.

The project manager must think outside of the project environment and be creative in finding solutions to problems. When the problems are complex, it takes extraordinary thinking to the situation. Standard solutions do not always fit the need. Some of this thinking is as follows:

• Project manager brings a new perspective and solution to problems by applying solutions from other businesses, industries, or schools.

• Project manager solicits information and possible solutions from the project team.

• Project manager seeks solutions to problems from functional managers, senior managers, and other project managers.

• Project manager keeps an open mind to all possible solutions until a decision is made to one course of action.

• Project manager is an integrator of different solutions to find the best combination of actions.

The project manager must keep a focus on the entire project while maintaining a results orientation for the project’s product. A sharp orientation on the end product of the project guides decisions and actions toward the end goal of product delivery. Some behaviors that give the project manager an action focus are as follows:

• Project manager gets things done.

• Project manager is continually looking for ways to improve practices.

• Project manager maintains vigilance for external activities that affect the project, either positively or negatively.

• Project manager looks for better ways of doing things without incurring additional risk.

• Project manager keeps stakeholders informed about changes to the project plan.

• Project manager encourages team members to bring forth ideas on better practices.

Effectiveness and efficiency are two areas that the project manager needs to be aware of and practice them both. Effectiveness implies that the result of an action meets the criteria for doing the job. Efficiency implies that the least amount of resources is consumed to effectively perform the work. Effectiveness is the first consideration and efficiency is the second. Some project manager actions are as follows:

• Project manager thinks first of the effectiveness of solutions.

• Project manager thinks of efficiency for selected solution.

• Project manager practices efficiency in conducting the project work.

• Project manager prepares for project reviews and meetings to minimize the time consumed.

• Project manager encourages efficiency in the project team’s work.

5.6.6 A Dozen Principles for the Project Manager

The project manager works in a wide range of functions that vary in how and what he/she performs. Some general principles for managing projects universally apply to most projects have been identified. These twelve principles should be used as a guide by the project manager.

1. Always remember the project’s objectives and goals.

2. Plan the project work and adhere to the plan.

3. Always work to improve your competence in project management.

4. Know the contextual environment for your project.

5. Understand the managerial and technical complexity of the project before implementation.

6. Remember, work gets done through your staff.

7. Use positive motivation techniques with your staff to obtain their best.

8. Develop your project staff through training and work experiences.

9. Keep stakeholders informed of the project plan and progress.

10. Take risks only when there are equivalent tangible benefits.

11. Demonstrate leadership traits at every opportunity.

12. Deal with others in an ethical manner.

5.6.7 Summary

The project manager’s competence is measure over a set of unique knowledge, skills, attitude, and behavior. Whereas there are combinations of attributes that dictate different solutions, the project manager should adopt a style that fits into the scope of the project.

The items listed here are representative of attributes that a project manager should consider using to optimize his or her competence. Competence in a single area, such as knowledge of project management, does not give a project manager the full scope of abilities to perform at a high level. Competence in all areas is needed to be considered a valuable asset for an organization.

Developing a project manager first requires that there be some criteria or standard of performance by which to measure against. The item list in this section is a foundation for developing a checklist by which the strengths and opportunities for improvement can be measured.

5.7 MOTIVATING THE PROJECT TEAM

5.7.1 Introduction

Motivation is a system of forces and relationships, originating both within and outside the individual that influences behavior. It causes people to behave in certain ways. Motivation flows from a need that people have—something that they want from the organization and the project team. It is a major field of study in management thought and theory.

If you dig deeply into any organizational problem, there is a high probability that you will come to “people” problems. In the management of projects, the matter of motivation takes on special significance since the project manager, and the project team, have to deal in some way with the challenges of motivating many individuals—the stakeholders, over whom they have limited de jure or legal authority. In these circumstances, the interpersonal skills of the members of the project team take on special importance. In the material that follows, some of the basic ideas about motivation are presented.

The project manager must always be concerned about what motivates the project team.

5.7.2 Maslow

Maslow’s Needs Hierarchy is a hypothesis that people have five sets of needs as depicted in Fig. 5.8. In this figure, the needs of physiological well-being and the satisfaction of safety and security are called the primary needs of people. The third, fourth, and fifth levels are called secondary needs. A brief explanation of these needs follows:

Physiological needs are at the bottom of the hierarchy. Satisfaction of these needs, food, water, and sufficient shelter, is essential to living.
Safety and security needs include protection from the elements and harmful environments, from threats to one’s life and well-being, and freedom from arbitrary and capricious management actions.
Belonging and social activity means that most people cannot live by bread alone. There is satisfaction of social belonging, affection, membership, or affiliation. Accepted and full membership in a family unit is important. Membership and being accepted on a project team are important as well.
Esteem and status needs motivate people to not only seek affiliation but to become active in influencing the culture in the organization to which they belong. They enjoy belonging to a group because of the acceptance they feel, and the satisfaction they gain by contributing to that group.
Self-realization and fulfillment needs, at the top of the hierarchy of needs, explains an individual’s drive for achievement, creativity, and self-realization. It means that individuals have become what they want to be, and in part explains why people that have had much wealth and many honors continue to work hard at their profession.

FIGURE 5.8 Maslow’s order of priority of human needs. (Adapted with permission from Keith Davis, Human Relations at Work, 3d ed., McGraw-Hill, New York, 1967.)

The characteristics of these secondary needs include:

• They are strongly conditioned by experience.

• They vary in type and intensity among people.

• They change within any individual.

• They are often hidden from conscious recognition.

• They are nebulous feelings instead of tangible physical needs.

• They influence behavior.

Maslow ranks as the premier innovator in developing and putting forth his seminal theory of the hierarchy of needs. He was followed by another key innovator in the field of human behavior. Douglas McGregor postulated the concept of Theory X and Theory Y in his explanation of why people behave the way they do. He proposed that managers tend to hold a Theory X or Theory Y set of assumptions about employees.

Theory X takes a pessimistic view of human nature in their work:

• The average human being has an inherent dislike of work and will avoid it if he can—PEOPLE ARE LAZY.

• Because of this human characteristic of dislike of work, most people must be coerced, controlled, directed, and threatened with punishment to get them to put forth adequate effort toward the achievement of organizational objectives—MOTIVATION IS ACCOMPLISHED THROUGH FEAR OF PUNISHMENT.

• The average human being prefers to be directed, wishes to avoid responsibility, has relatively little ambition, wants security above all—PEOPLE ARE NO GOOD.

On the other hand, Theory Y sees human nature in the place of work, in a more positive light. It assumes:

• The expenditure of physical and mental effort in work is as natural as play—WORK IS A NATURAL ACTIVITY.

• External control and the threat of punishment are not the only means for bringing about effort toward organizational objectives. Man will exercise self-direction and self-control in the service of objectives to which he is committed—PEOPLE CAN MANAGE THEMSELVES.

• Commitment to objectives is a function of the rewards associated with their achievement—MOTIVATE THROUGH POSITIVE REWARDS.

• The average human being learns, under proper conditions, not only to accept but to seek responsibility—PEOPLE ARE BASICALLY RESPONSIBLE.

• The capacity to exercise a relatively high degree of imagination, ingenuity, and creativity in the solution of organizational problems is widely, not narrowly, distributed in the population—EVERYONE HAS THE CAPACITY TO BE CREATIVE AND INNOVATIVE.

• Under the conditions of modern industrial life, the intellectual potentials of the average human being are only partially utilized—CHALLENGE YOUR PEOPLE.

• Implications of Theory X and Theory Y.

• People respond as they are treated.

• Managers are responsible for the conduct of their people.

• Participation and cooperation are critical.

• Managers must be sensitive to needs of people.

• Work can be a source of personal satisfaction.

• State of human relations depends on quality of the leadership, and the management philosophies that are used.

• Importance of interpersonal skills in the success of management.

Notwithstanding the abundance of literature on the subject of human behavior and motivation, there are a few basic ideas that the people managing projects should recognize, and practice. Maslow’s hierarchy of needs and McGregor’s Theory X and Theory Y are two of these basic ideas. Both deal with the idea of job motivational factors.

5.7.3 Job Motivational Factors

In Table 5.4, a questionnaire is shown which can be used to gain insight into what motivates the team members, or any other stakeholders. (Cleland and Kocaoglu, Engineering Management, McGraw-Hill, New York, 1981, p. 101.)

Administering this questionnaire to individuals can provide insight into their attitudes and the conditions under which they are best motivated. The authors have administrated this questionnaire to several thousand technical people. A pattern of typical responses from these people is reflected in Table 5.5 (Ibid., Cleland and Kocaoglu, p. 102).

A review of the responses to this questionnaire indicates that good pay is important.

5.7.4 Key Considerations regarding People

People are motivated for many reasons in their place of work. A few of the principal ideas behind such motivation have been put forth in this section:

• Project managers and members of the project team should be aware of the basic factors that motivate people.

• The assumptions that you hold about people, as put forth by McGregor, are reflected in the attitudes you display when working with people, and the way that you treat them.

• The notions about the behaviors of people hold true for all of the stakeholders with which the project manager must deal.

• Most of us are as logical in our work as our emotions allow us to be.

• Most of us have a need for “belonging.” A project team that is properly led can do much for satisfying our need for belonging.

TABLE 5.4 Job Motivational Factors

There are many factors that influence our job performance. These include our physiological condition, our psychological attitudes, our political beliefs, and moral standards. In addition, our professional standards, our prejudices, and our habits also impinge on our job performance.

5.7.5 Summary

In this section, a very brief explanation was offered that describes some of the basic factors that motivate people to do their best work. It was recognized that human motivation is a large field of study in the area of human behavior. Presented in this section were a few practical tools and techniques that could be used to gain a basic understanding of the motivational environment of a project team.

TABLE 5.5 Job Motivational Factors Most Frequent Response

Chance for promotion

Chance to turn out quality work

Feeling my job is important

Getting along well with others on the job

Good pay

Large amount of freedom on the job

Opportunity for self-development and improvement

Opportunity to do interesting work

Personal satisfaction

Recognition by peers

Respect for me as a person

5.8 DECISION MAKING IN PROJECTS

5.8.1 Introduction

Decision making is a daily affair for project managers. Understanding decisions and the decision-making process is important to ensure the best courses of action are selected with the information available. Following a rigorous process of sorting through the alternatives gives the best chance for a successful project.

5.8.2 Decision-Making Considerations

A decision entails the act and process of selecting a course of action leading to desired objectives and goals. In the management of projects, decisions have to be made and implemented. The decision process in project management involves: first, the act of selecting a course of action regarding the commitment of project resources, and second, the use of resources through a strategy to accomplish project objectives and goals. Some additional basic notions about the decision context of project management include:

• A decision removes the uncertainty on how the resources will be committed and used in the furtherance of project purposes.

• All decisions involve risk and uncertainty.

• Adequate information is required to make decisions on a project, but at some point it becomes necessary to cut off the gathering of information, and move ahead with making a decision.

• A project manager must have the knowledge, skills, and attitude to make a decision on behalf of the project and the organization to which the project belongs.

• Decision making in the matrix organization can require extraordinary patience, since consensus of the team members should be sought as well as advice from relevant stakeholders.

• Decisions can have operational (short-range) and strategic (long-range) implications.

• A project manager has the responsibility for making and implementing decisions involving the use of resources on a project, even though “limits of authority” may restrict their decision power. In these circumstances they are responsible for finding where the decision authority exists.

• A decision is a judgment involving a choice between alternatives.

• Before a decision is made the counsel and opinion of the project team members, and other project stakeholders, should be obtained.

• A decision on a project should not be made until adversarial opinions have been found and evaluated.

• An alternative always available to the decision maker is to do nothing.

• A decision has to be made if a condition on the project would degenerate if nothing is done.

• Policy and procedures should exist to refer appropriate decisions to higher level managers as appropriate.

• When a decision is made, there are likely reverberations throughout the stakeholder community.

• An effective decision on a project must be followed by the commitment of the project team members to carry out the decision.

• A project manager is involved in a wide variety of decisions. One way of classifying these decisions is shown in Table 5.6 which is discussed in the material that follows.

5.8.3 The Decision-Making Process

The starting point in the decision-making process involves the determination of whether a decision needs to be made. Consideration needs to be given to the issue of what would happen, if anything, if a decision was not made. There have been many models suggesting steps involved in the decision-making process. A couple of examples follow.

TABLE 5.6 Classification of Decisions

• Routine/programmed decisions, which can be made according to, established policies, procedures, methods, and techniques. These decisions can also be normally classified as short-term operational decisions. A decision concerning the selection of vendors to support a project would be an example.

• Strategic/nonprogrammed decisions for which there may be little precedence which involved high degree of risk, uncertainty, and ambiguities, such as decisions involving the cost, technical performance, and schedule of a project whose life cycle extends into the future for many years.

The common steps for rational decision making usually suggested for a decision-making process includes:

• Recognize need. Recognize the need for a decision to be made.

• Gather relevant information. Gather background information needed to provide insight into the forces and factors that suggest the need for a decision.

• Develop alternatives. Consideration and development of alternatives to be considered in the decision process.

• Evaluation of alternatives. Develop criteria for evaluation of decisions.

• Select alternative. Selection of best alternative(s).

• Implement alternative. Develop and implement strategy on how the decision will be executed.

• Feedback. Evaluation and feedback concerning how well the decision is being implemented.

The decision-making process can also be viewed as a sequential progression from the identification of the problem or opportunity, through the making of a decision concerning the use of resources, and then on through the implementation of the decision and the monitoring evaluation, and control of the use of resources that support the decision. Figure 5.9 portrays this total process.

FIGURE 5.9 The decision-making process.

The notion of the decision-making process is more applicable to nonprogrammed decisions then to programmed decisions, many of which are routine and procedural. The details of Fig. 5.9 are discussed below:

• Problem or opportunity. A necessary condition for a decision is a problem or opportunity. For both a problem and an opportunity there is a gap between what is being done—or in the case of an opportunity—what should be done. For nonprogrammed decisions, there is a direct relationship between planning and the decision-making process which should lead to the establishment of specific and measurable objectives.

• Developing alternatives. In developing alternatives to solve the opportunity or exploit the opportunity, an early step is to address the issue of what can be done about the problem or opportunity. Flexible alternatives are potential solutions, and the decision maker must consider the potential consequences of each alternative. Developing alternatives is an extremely difficult and important act, since the decision maker will probably end up choosing one of the alternatives. Many decision makers have often wondered if any important alternatives have been left out of the process.

• Evaluating alternatives. There are many mathematical models drawn from the operations research field that can give insight into the relationships that exist between the alternatives and the possible outcomes. These include:

• Conditions of certainty—such as adequate knowledge of the organizational, environment, and competitive melded into the decision-making process.

• Conditions of risk—possible or probable risks in obtaining resources, weather, dependence on other people or political expediencies to provide services to the enterprise. A project that is pushing the technology would probably have associated technological, schedule, and cost risks.

• Condition of uncertainty—such as having absolutely no idea of the probabilities associated with the various alternatives. In such situations the judgment, intuition, experience, and personality of the decision maker play an important role. In the construction industry, the uncertainty of the weather is also a consideration.

• Selecting an alternative. The purpose of selecting an alternative is to solve the problem or exploit the opportunity in order to achieve the predetermined objective, goal, or condition. The decision is not an end in itself but only a means to an end. The decision maker should not forget the factors or conditions that led up to the decision or the factors that follow the decision, such as implementation and evaluation. When the decision is made, a commitment to a course of action usually involving the use of resources has been set out. When a decision has been made, the sequence in events that are set out usually affects other elements of the project. For example, a decision to approve an engineering change on a project will have reverberations on the project cost, schedule, and after-sales support. The decision maker should remember that a good decision can be hurt by poor implementation, such as when people fail to support a project manager’s decision through procrastination, avoiding responsibility, or even ignoring the decision.

• Evaluation and control. In this final phase of the decision process, an assessment is carried out concerning how well the decision is producing the results that were expected. The ideas put forth in Sec. 7.4 concerning the role of monitoring, evaluation, and control of the project have application here.

There are many different models of how to make decisions on a project. Project managers should select the best model, which supports their particular needs.

5.8.4 Team Decision Making

Although we have examined the decision-making process as though individuals made decisions, decisions of the project team are more often made by the team members through an interaction process. There is evidence that a team will make better decisions on the project than an individual—even the project manager. However, there are at least two common tendencies that can interfere with effective team decision making.

• Individual dominance—where a strong member of the project team dominates the discussions and the decision-making process. It is often described as “group think,” in which there is a deterioration of the participation of the team members when confronted with a strong individual who may “outrank” the team members. “Group think” includes several symptoms:

• Feelings of superiority on the part of the “group think” leaders

• Willingness to take unusual risks based on the feelings and rationalizations that discount potential risk consequences

• Stereotypical and unrealistic thinking about project conditions

• Strong suppression of dissent within the group because dissent means disloyalty

• A belief that everyone feels the same about the issues—silence means consent

• Self-appointed “mindguards” who keep bad news about the project under cover

How can the project manager counteract the “group think” risk on the project?

• Encourage every team member to express doubts and criticisms of proposed solutions.

• Demonstrate an ability to accept criticism.

• Break the project team into subteams to analyze the decision, and then have the subteams confront one another to examine their differences.

• Have other project stakeholders participate in the discussion.

• Develop insight into some of the signals of the formation of a “group think.”

• Have the team discuss how they feel about how the decision process is being carried out.

• When the project team takes part in the decision making, involving the project, there is breadth with advantages and disadvantages.

5.8.4.1 Advantages

• A greater amount of knowledge is available.

• A broader range of alternatives will emerge, depending on the individual team member’s perception.

• Broader perceptions and viewpoints are available.

• The team will probably be willing to accept more risk than an individual.

• When the team members participate there will likely be a greater support and motivation to support the decision.

• Greater creativity will likely result from the interaction of the individuals.

5.8.4.2 Disadvantages

• Because the team cannot be held responsible, the risk occurs that no one is responsible and there will be a lot of “buck passing” results.

• Because time is usually a valuable resource, team decisions are costly.

• If a decision is to be made quickly, working it through the project team may not be practicable.

• Team decisions can be the result of compromise and/or the operation of the “group think” phenomenon.

• If senior managers are present, the team members may be reluctant to be frank, or if one member has a dominant personality, the team decision may not be, in reality, a team decision.

5.8.5 Summary

In this section, the subject of “decision-making in projects” was presented. A few guidelines were provided that, if followed, can strengthen the project manager’s ability to make decisions, or to refer those decisions on a project which should be sent to upper management.

The field of decision making is quite broad and supported with abundant literature. The field of operations research addresses the decision-making process, and how to evaluate risk and uncertainty in decision making.