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PMP DeepDive

Human Resources
Communications
Procurement
Professional Responsibility
     - Niraj Agarwal




                              May 2011
                                Slide 1
Human Resources
Processes




                  May 2011
                    Slide 2
Human Resources
Roles & Responsibilities

• Project Manger – plan estimate and schedule of project
                   plan,                         project.
  Communicate.
• Team – help prepare the WBS, Network Diagrams, and estimate time
  for tasks, complete tasks
      tasks
• Senior Management – approve Overall project plan, budget and
  schedule and to approve any changes that are made to those figures
• The person experiencing the problem must try to solve it themselves
  as long as means are in their control




                                                                 May 2011
                                                                   Slide 3
Human Resources
Powers of PM

 Formal (legitimate)
 Reward
 Penalty (coercive)
 Expert (earned)
 Referent – authority of a higher position


• Best are Expert and Reward; Penalty is the worst
  - Formal Reward and Penalty derived from PM’s position within the
    Formal,                                PM s
    company.



                                                              May 2011
                                                                Slide 4
Human Resources
Conflict

• Inevitable consequence of organizational interactions
• Can be beneficial
• Resolved by identifying the causes and problem solving by people
that are involved & their immediate manager
• Nature of project
• Limited power of the project manager
• Necessity for obtaining resources from functional managers




                                                                 May 2011
                                                                   Slide 5
Human Resources
Conflict
• Avoid conflict
  - Informing the team
  - Clearly assigning tasks without ambiguity
  - Challenging and interesting work assignments
• Conflict Sources (in order of frequency)
  - Schedules
  - P j
    Project Priorities
            P i ii
  - Resources
  - Technical opinions
  - Administrative Procedures
  - Cost
  - Personality

                                                   May 2011
                                                     Slide 6
Human Resources
Conflict Resolution

Withdrawal:
  Retreating from actual or potential disagreements and conflict
situations.
  Appropriate only in certain situations such as when a cooling-off
period is needed.
   A temporary tactic: does not resolve the conflict, only delays it.
         p    y                                           y     y
Smoothing:
   De-emphasizes differences and emphasizes commonalities.
   Keeps the atmosphere friendly.
   A temporary tactic: does not resolve the conflict, only delays it.
   Should be used in conjunction with another methods
                                                                         May 2011
                                                                           Slide 7
Human Resources
Conflict Resolution

Compromising:
 Considers various issues and searches for solutions which bring some
degree of satisfaction to the conflicting parties.
 This method is considered to be a lose-lose. Both parties must give up
something that is important to them; however, this method usually
provides some acceptable form of resolution.
Forcing:
   Exerts one’s viewpoint at the potential expense of another party.
   This method provides resolution but is considered to be a win lose
                                                              win-lose.




                                                                        May 2011
                                                                          Slide 8
Human Resources
Conflict Resolution

Problem Solving: (Confrontation)

 Directly addresses disagreements.

 Conflict is treated as a problem. The problem is defined; information
is collected; alternatives are identified and analyzed, and the most
appropriate alternative is selected.

 Theoretically considered the best because both parties can be
satisfied if they work together to solve the problem.

 Both parties must want to solve the problem and be willing to work
together.

 Time-consuming method, considered to be a win-win.
                                                                  May 2011
                                                                    Slide 9
Human Resources
Four stages of team development

1.
1    Forming: The beginning stage where the team is being formed
                                                               formed,
     members are being introduced to each other and are explained their
     roles and responsibilities

2. Storming: Team members start getting confrontational and vie for
    the position of maximum power

3. Norming: Team members start confronting project problems instead
    of people problems

4. Performing: The team is most productive at this stage



                                                                  May 2011
                                                                   Slide 10
Human Resources
Motivational Theories
• Maslow’s Hierarchy of Needs – people work to g a chance to
                    y             p p          get
  contribute and use their skills
  - ‘self-actualization’
• McGregor’s Theory of X and Y
  - X – people need to be watched every minute
  - Y – people willing to work without supervision
• Herzberg’s Theory – poor hygiene factors destroy motivation but
         g        y p       yg                   y
  improving them will not improve motivation
  - Motivating Agents
    ◦ Responsibility
    ◦ Self-actualization
    ◦ Professional growth
    ◦ Recognition

                                                                May 2011
                                                                 Slide 11
Communication Management
Processes




                           May 2011
                            Slide 12
Communication Management
Interpersonal Communication

• To ensure messages are received and understood two way
                                      understood, two-way
  communication is necessary.
• Three basic elements of interpersonal communication:
  - The sender (or encoder) of the message.
  - The signal or the message.
  - The receiver (or decoder) of the message
                                     message.




                                                            May 2011
                                                             Slide 13
Communication Management
Methods of Communication - Verbal

• Advantages
  - Timely exchange of information
  - Rapid feedback
  - Immediate synthesis of message
  - Timely closure
• Disadvantages
   i d
  - Technical jargon especially in complex projects may make verbal
    communication difficult for non-technical people and other
    stakeholders.




                                                                May 2011
                                                                 Slide 14
Communication Management
Methods of Communication – Non Verbal

• Encoding a message without using words
                                   words.
• Usually done through body language.
• Total Message Impact :
  - Words (7%)
  - Vocal tones (38%)
  - Facial expressions ( %)
       i l        i    (55%)
• PM’s may combine vocal and nonverbal factors but must be careful
  that the two do not present contradictory messages.




                                                               May 2011
                                                                Slide 15
Communication Management
Methods of Communication – Written

• The main aim of business writing is that it should be understood
  clearly when read quickly. The message should be well planned,
  simple, clear, and direct.
• Major steps to writing
  - Establish the basic purpose of the message.
  - Collect and organize material.
                  g
  - Prepare draft.
  - Check the overall structure.
  - Send the message.




                                                                     May 2011
                                                                      Slide 16
Procurement Management
Processes




                         May 2011
                          Slide 17
Procurement Management
Contract Type Selection

• Reasonable risk sharing between the buyer and seller
• Greatest initiative for seller’s efficient and economic performance
• Depends on
  - Scope – well defined?
  - Amount or frequency of changes expected after start date
  - A
    Amount of effort and expertise the b
            f ff       d       i    h buyer can d
                                                devote to manage the
                                                                  h
    seller
  - Industry standards




                                                                   May 2011
                                                                    Slide 18
Procurement Management
Contract Type - Cost Reimbursable

• Seller’s cost are reimbursed
  Seller s
• Buyer bears highest risk (cost increases)
• CPFF – cost plus fixed fee, buyer pays all costs – fee (profit)
  established
• CPPC – cost plus percentage of costs; bad for buyers (seller not
  motivated to control costs)
• CPIF – cost plus Incentive Fee; seller costs + fee + bonus for
  meeting/exceeding target (incentive clause)




                                                                     May 2011
                                                                      Slide 19
Procurement Management
Contract Type - Time and Materials

• Priced on per hour basis elements of fixed price contract and cost
                     basis,
  reimbursable contracts
• Buyer has medium risk.




                                                                  May 2011
                                                                   Slide 20
Procurement Management
Contract Type - Fixed Price

• Lump sum or firm fixed price - most common (1 price for all work)
       sum,
• Risk of costs is upon seller
• FPIF – Fixed Price Incentive Fee
• FPEPA – Fixed Price Economic Price Adjustment – long duration
  projects
• Incentives – help bring seller’s objectives in line with buyer s
                          seller s                         buyer’s




                                                                     May 2011
                                                                      Slide 21
Professional Responsibility
Integrity and Professionalism

• Understand the legal requirements surrounding the practice of
projects
• Know ethical standards that should govern the behavior of project
managers
• Comprehend the values of the community and the various project
stakeholders
• Practice proper judgment in the pursuit of successful project work
• Compliance with all organizational rules and policies
• Upon a reasonable and clear factual basis report violations
• Responsibility to disclose circumstances that could be construed as a
conflict of interest or appearance of impropriety

                                                                   May 2011
                                                                    Slide 22
Professional Responsibility
Integrity and Professionalism

• Provide accurate and truthful representation to the public
• Maintain and satisfy the scope and objectives of professional services
• Maintain the confidentiality of sensitive information
• Ensure a conflict of interest does not compromise legitimate interests
of client/customer or interfere with professional judgment
• Refrain from accepting gifts, inappropriate payments, compensation
                           gifts              payments
for personal gain unless in conformity with applicable laws or customs




                                                                   May 2011
                                                                    Slide 23
Professional Responsibility
Advancing the project management profession

• Overall understanding of project management principles
• Understand the community and media surrounding projects
• Knowledge of research strategies available and proper
communication techniques
• Learn to communicate and transfer knowledge effectively as a coach
                                               g
and mentor and to use available research strategies
• Respect and recognize intellectual property




                                                                May 2011
                                                                 Slide 24
Professional Responsibility
Enhance Individual Competence

• Understand the project manager’s strengths and weaknesses and
                         manager s
learning style – become aware of instructional processes and tools
• Know the useful competencies for project managers and possible
training
• Be able to perform self-assessment and competencies development
plan
• Ability to apply lessons learned




                                                                 May 2011
                                                                  Slide 25
Professional Responsibility
Stakeholder & Team

• Understand the various competing stakeholders’ interests and needs
                                   stakeholders
• Comprehend the conflict resolution techniques useful in handling
differing objectives
• Be able to resolve conflicts in a fair manner
• Exercise negotiation skills based on proper information
• Understand cultural diversity norms and stakeholders’
                      diversity,          stakeholders
communication styles
• Show flexibility towards diversity, tolerance and self control
• Becoming empathetic to differences




                                                                   May 2011
                                                                    Slide 26
Pop Quiz
Question 1

This person is responsible for understanding the information
correctly and making certain they have received all the
information.
A.
A Sender
B. Messenger
C. Project manager
      j        g
D. Receiver




                                                        May 2011
                                                         Slide 27
Pop Quiz
Question 2

There are four participants in your upcoming meeting. How
many lines of communication are there?
A. 6
B. 4
C. 8
D.
D 16




                                                      May 2011
                                                       Slide 28
Pop Quiz
Question 3

What is the technique of looking at the trade - offs between
producing goods or services internally vs. procuring it from
outside the organization?
A.
A Cost estimating
B. Vendor selection criteria
           g
C. Staff augmentation
D. Make - or - buy analysis




                                                          May 2011
                                                           Slide 29
Pop Quiz
Question 4
You have been assigned as project manager for a major software
                   g       p j           g           j
development project. Andy is the functional manager who will be
providing the resources for your development team. Andy is being asked
to supply resources to several projects concurrently. You have a list of
the people you want assigned to your team, but you fear other project
managers may want these same people. How should you approach Andy
regarding the assignment of his people to the project?
A. Schedule a meeting with Andy to discuss resources. Explain your project
de e ab es and the skill sets you need. Negotiate with Andy for you most c t ca
deliverables a d t e s             eed. egot ate t       dy o your ost critical
resources first.
B. Send Andy a memo listing the resources you need and the start date for each
resource.
C. Catch up with Andy just before a meeting both of you need to attend so that he
will not have time to think up reasons to turn down part of your request.
D. Meet with Andy ’ s boss to let her know that your project is critical, and provide
her with the list of resources you need from Andy.

                                                                                 May 2011
                                                                                  Slide 30
Pop Quiz
Question 5

This type of contract is the riskiest for the buyer.
A. Time and materials
B. Fixed price
C. Fixed price plus incentive
D. Cost reimbursable




                                                       May 2011
                                                        Slide 31
Pop Quiz
Question 6

This type of contract assigns a unit rate for work or goods, but
the total cost is unknown.
A. Time and materials
B. Fixed price
C. Fixed price plus incentive
D.
D Cost reimbursable




                                                           May 2011
                                                            Slide 32
Thank You!

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Pm deep dive hr - comm - procurement - pr

  • 1. PMP DeepDive Human Resources Communications Procurement Professional Responsibility - Niraj Agarwal May 2011 Slide 1
  • 2. Human Resources Processes May 2011 Slide 2
  • 3. Human Resources Roles & Responsibilities • Project Manger – plan estimate and schedule of project plan, project. Communicate. • Team – help prepare the WBS, Network Diagrams, and estimate time for tasks, complete tasks tasks • Senior Management – approve Overall project plan, budget and schedule and to approve any changes that are made to those figures • The person experiencing the problem must try to solve it themselves as long as means are in their control May 2011 Slide 3
  • 4. Human Resources Powers of PM  Formal (legitimate)  Reward  Penalty (coercive)  Expert (earned)  Referent – authority of a higher position • Best are Expert and Reward; Penalty is the worst - Formal Reward and Penalty derived from PM’s position within the Formal, PM s company. May 2011 Slide 4
  • 5. Human Resources Conflict • Inevitable consequence of organizational interactions • Can be beneficial • Resolved by identifying the causes and problem solving by people that are involved & their immediate manager • Nature of project • Limited power of the project manager • Necessity for obtaining resources from functional managers May 2011 Slide 5
  • 6. Human Resources Conflict • Avoid conflict - Informing the team - Clearly assigning tasks without ambiguity - Challenging and interesting work assignments • Conflict Sources (in order of frequency) - Schedules - P j Project Priorities P i ii - Resources - Technical opinions - Administrative Procedures - Cost - Personality May 2011 Slide 6
  • 7. Human Resources Conflict Resolution Withdrawal:  Retreating from actual or potential disagreements and conflict situations.  Appropriate only in certain situations such as when a cooling-off period is needed.  A temporary tactic: does not resolve the conflict, only delays it. p y y y Smoothing:  De-emphasizes differences and emphasizes commonalities.  Keeps the atmosphere friendly.  A temporary tactic: does not resolve the conflict, only delays it.  Should be used in conjunction with another methods May 2011 Slide 7
  • 8. Human Resources Conflict Resolution Compromising:  Considers various issues and searches for solutions which bring some degree of satisfaction to the conflicting parties.  This method is considered to be a lose-lose. Both parties must give up something that is important to them; however, this method usually provides some acceptable form of resolution. Forcing:  Exerts one’s viewpoint at the potential expense of another party.  This method provides resolution but is considered to be a win lose win-lose. May 2011 Slide 8
  • 9. Human Resources Conflict Resolution Problem Solving: (Confrontation)  Directly addresses disagreements.  Conflict is treated as a problem. The problem is defined; information is collected; alternatives are identified and analyzed, and the most appropriate alternative is selected.  Theoretically considered the best because both parties can be satisfied if they work together to solve the problem.  Both parties must want to solve the problem and be willing to work together.  Time-consuming method, considered to be a win-win. May 2011 Slide 9
  • 10. Human Resources Four stages of team development 1. 1 Forming: The beginning stage where the team is being formed formed, members are being introduced to each other and are explained their roles and responsibilities 2. Storming: Team members start getting confrontational and vie for the position of maximum power 3. Norming: Team members start confronting project problems instead of people problems 4. Performing: The team is most productive at this stage May 2011 Slide 10
  • 11. Human Resources Motivational Theories • Maslow’s Hierarchy of Needs – people work to g a chance to y p p get contribute and use their skills - ‘self-actualization’ • McGregor’s Theory of X and Y - X – people need to be watched every minute - Y – people willing to work without supervision • Herzberg’s Theory – poor hygiene factors destroy motivation but g y p yg y improving them will not improve motivation - Motivating Agents ◦ Responsibility ◦ Self-actualization ◦ Professional growth ◦ Recognition May 2011 Slide 11
  • 13. Communication Management Interpersonal Communication • To ensure messages are received and understood two way understood, two-way communication is necessary. • Three basic elements of interpersonal communication: - The sender (or encoder) of the message. - The signal or the message. - The receiver (or decoder) of the message message. May 2011 Slide 13
  • 14. Communication Management Methods of Communication - Verbal • Advantages - Timely exchange of information - Rapid feedback - Immediate synthesis of message - Timely closure • Disadvantages i d - Technical jargon especially in complex projects may make verbal communication difficult for non-technical people and other stakeholders. May 2011 Slide 14
  • 15. Communication Management Methods of Communication – Non Verbal • Encoding a message without using words words. • Usually done through body language. • Total Message Impact : - Words (7%) - Vocal tones (38%) - Facial expressions ( %) i l i (55%) • PM’s may combine vocal and nonverbal factors but must be careful that the two do not present contradictory messages. May 2011 Slide 15
  • 16. Communication Management Methods of Communication – Written • The main aim of business writing is that it should be understood clearly when read quickly. The message should be well planned, simple, clear, and direct. • Major steps to writing - Establish the basic purpose of the message. - Collect and organize material. g - Prepare draft. - Check the overall structure. - Send the message. May 2011 Slide 16
  • 17. Procurement Management Processes May 2011 Slide 17
  • 18. Procurement Management Contract Type Selection • Reasonable risk sharing between the buyer and seller • Greatest initiative for seller’s efficient and economic performance • Depends on - Scope – well defined? - Amount or frequency of changes expected after start date - A Amount of effort and expertise the b f ff d i h buyer can d devote to manage the h seller - Industry standards May 2011 Slide 18
  • 19. Procurement Management Contract Type - Cost Reimbursable • Seller’s cost are reimbursed Seller s • Buyer bears highest risk (cost increases) • CPFF – cost plus fixed fee, buyer pays all costs – fee (profit) established • CPPC – cost plus percentage of costs; bad for buyers (seller not motivated to control costs) • CPIF – cost plus Incentive Fee; seller costs + fee + bonus for meeting/exceeding target (incentive clause) May 2011 Slide 19
  • 20. Procurement Management Contract Type - Time and Materials • Priced on per hour basis elements of fixed price contract and cost basis, reimbursable contracts • Buyer has medium risk. May 2011 Slide 20
  • 21. Procurement Management Contract Type - Fixed Price • Lump sum or firm fixed price - most common (1 price for all work) sum, • Risk of costs is upon seller • FPIF – Fixed Price Incentive Fee • FPEPA – Fixed Price Economic Price Adjustment – long duration projects • Incentives – help bring seller’s objectives in line with buyer s seller s buyer’s May 2011 Slide 21
  • 22. Professional Responsibility Integrity and Professionalism • Understand the legal requirements surrounding the practice of projects • Know ethical standards that should govern the behavior of project managers • Comprehend the values of the community and the various project stakeholders • Practice proper judgment in the pursuit of successful project work • Compliance with all organizational rules and policies • Upon a reasonable and clear factual basis report violations • Responsibility to disclose circumstances that could be construed as a conflict of interest or appearance of impropriety May 2011 Slide 22
  • 23. Professional Responsibility Integrity and Professionalism • Provide accurate and truthful representation to the public • Maintain and satisfy the scope and objectives of professional services • Maintain the confidentiality of sensitive information • Ensure a conflict of interest does not compromise legitimate interests of client/customer or interfere with professional judgment • Refrain from accepting gifts, inappropriate payments, compensation gifts payments for personal gain unless in conformity with applicable laws or customs May 2011 Slide 23
  • 24. Professional Responsibility Advancing the project management profession • Overall understanding of project management principles • Understand the community and media surrounding projects • Knowledge of research strategies available and proper communication techniques • Learn to communicate and transfer knowledge effectively as a coach g and mentor and to use available research strategies • Respect and recognize intellectual property May 2011 Slide 24
  • 25. Professional Responsibility Enhance Individual Competence • Understand the project manager’s strengths and weaknesses and manager s learning style – become aware of instructional processes and tools • Know the useful competencies for project managers and possible training • Be able to perform self-assessment and competencies development plan • Ability to apply lessons learned May 2011 Slide 25
  • 26. Professional Responsibility Stakeholder & Team • Understand the various competing stakeholders’ interests and needs stakeholders • Comprehend the conflict resolution techniques useful in handling differing objectives • Be able to resolve conflicts in a fair manner • Exercise negotiation skills based on proper information • Understand cultural diversity norms and stakeholders’ diversity, stakeholders communication styles • Show flexibility towards diversity, tolerance and self control • Becoming empathetic to differences May 2011 Slide 26
  • 27. Pop Quiz Question 1 This person is responsible for understanding the information correctly and making certain they have received all the information. A. A Sender B. Messenger C. Project manager j g D. Receiver May 2011 Slide 27
  • 28. Pop Quiz Question 2 There are four participants in your upcoming meeting. How many lines of communication are there? A. 6 B. 4 C. 8 D. D 16 May 2011 Slide 28
  • 29. Pop Quiz Question 3 What is the technique of looking at the trade - offs between producing goods or services internally vs. procuring it from outside the organization? A. A Cost estimating B. Vendor selection criteria g C. Staff augmentation D. Make - or - buy analysis May 2011 Slide 29
  • 30. Pop Quiz Question 4 You have been assigned as project manager for a major software g p j g j development project. Andy is the functional manager who will be providing the resources for your development team. Andy is being asked to supply resources to several projects concurrently. You have a list of the people you want assigned to your team, but you fear other project managers may want these same people. How should you approach Andy regarding the assignment of his people to the project? A. Schedule a meeting with Andy to discuss resources. Explain your project de e ab es and the skill sets you need. Negotiate with Andy for you most c t ca deliverables a d t e s eed. egot ate t dy o your ost critical resources first. B. Send Andy a memo listing the resources you need and the start date for each resource. C. Catch up with Andy just before a meeting both of you need to attend so that he will not have time to think up reasons to turn down part of your request. D. Meet with Andy ’ s boss to let her know that your project is critical, and provide her with the list of resources you need from Andy. May 2011 Slide 30
  • 31. Pop Quiz Question 5 This type of contract is the riskiest for the buyer. A. Time and materials B. Fixed price C. Fixed price plus incentive D. Cost reimbursable May 2011 Slide 31
  • 32. Pop Quiz Question 6 This type of contract assigns a unit rate for work or goods, but the total cost is unknown. A. Time and materials B. Fixed price C. Fixed price plus incentive D. D Cost reimbursable May 2011 Slide 32