Flashcards
E2 - Part 2
Flashcards do conjunto (188)
- 1What is key to reward systems?*Linked to behavioural controls, where organisation hopes to support the goals of the organisation by aligning goals of employees with these. Can be used to motivate. Given to employee in recognition of their services
*Can be intrinsic or extrinsic (ex is closely linked to Herzberg's hygenie factors, while in is Herzberg's motivators - 2What is meant by intrinsic and extrinsic rewards?INTRINSIC - arise from performance of job itself (satisfcation from doing job well/ being able to make higher level decsions/ being intereted in your job)
EXTRINSIC - seperate from/ external to job itself and dependent on decisions of others (i.e. workers have no control over these rewrds) - pay/ working conditions/ benefits - 3How should reward systems be designed?So they..
1) are fair and consistenent to all employees, even those with different job sizes/ level of skill
2) Sufficient to attract and retain staff
3) maintain and improve employee performance
4) reward progression and promotion
5) comply with regulation and legislation (minimum wage laws etcs)
6) control salary costs - 4In what ways may employees be rewarded?1) ongoing deelopment and training (which can boost future career prospects) - NB links to Maslow as can meet self-fulfilment/ ego needs
2) INCENTIVE SCHEMES:
a) Performance Related Pay (PRP) - part of payments recieed by individual relates to performance of company
b) Piecework - reqard related to pace of work/ amount of effort
c) Points system - range of rewards avaible based on points system from scale of improvement made (e.g. cost reduction achieved)
d) Commission - paid on performance and typically paid to salaried staff in sales functions (where commission earned is proportional to total sales made)
e) Bonus Schemes - one off as opposed to PRP
f) Profit Sharing - usually availble to wide group of employees - share issues could be part of the scheme - 5What is key to performance management and measurement systems?*Key outcome of apprasial can be to manage/ measure performacne*
1) TARGET SETTING - to measure performance, targets set which is fair, measureable, achievable and controllable bu person/ people being measured
- Well set target can encourage productivity
- Setting targets for individuals complex where most jobs have many dimensions. Therefore, targets to look at different criteria e.g.
1) volume of work produced
2) knowledge of work
3) quality of work
4) management skills
5) personal skills - 6What is meant by Drucker's management by objectives?*Model which expands on target setting within apprasials
*Defined as a type of control strategy focusing on controlling outputs
*Considers if corporate objectives to be sucsessful, must be stated in measureable terms so deviations highlighted early enough to permit corrections to be made
*Individual goals integrated to corporate plans
*NB managers held responsible for the work of others as well as their own - 7When setting objectives what do managers have the responsibility to do?1) Agree own departmental targets with their supervisors
2) Discuss and agree targets for their staff that are achievable
3) Ensure all targets set are measureable and possible and resources are made available and priorities set
4) Ensure balance between goals and needs of department and individual
5) Apply control system and discuss progress with staff at regular intervals. NB when objectives jointly set with manager and employee, they can achieve feedback on performance which is a motivating factor acknowledged by Herzberg
6) Ensure continual review and apprasial of results - 8What are Drucker's key objectives?*Drucker argues nature of business organisation requires multiple objectives to cover every area where performance/ results affect the business:
1) PROFITABILITY
2) INNOVATION
3) MARKET STANDING
4) PRODUCTIVITY
5) FINANCAL/ PHYSICAL RESOURCES
6) MANAGERIAL PERFORMANCE AND DEVELOPMENT
7) WORKER PERFORMANCE AND ATTITUDE
8) PUBLIC RESPONSIBILITY
NB - not all apply to all organisations and emphasis could change in response to environmental changes. Need to balance objectives (e.g. between profit and demands of the future (short/ med and long term)) - 9What are Drucker's 8 key objectives for controlling performance (1-4)?1) PROFITABILITY - measured by growth/ earnings per share etc. While developing corporate plan, should probably need to be translated to targets for control linking sales, profit and capital employed
2) INNOVATION - board to determine whether it intends to lead on developing technology/ products, to follow other companies or to design to meet customer needs
3) MARKET STANDING - overall marketing policies and objectives (e.g. when to sell which products in which markets)
4) PRODUCTIVITY - targets set in terms of output in relation to manpower/ plant/ material yields/ costs - 10What are Drucker's 8 key objectives for controlling performance (5-8)?5) FINANCIAL/ PHYSICAL RESOURCES - financing both working and long term capital requirements through debt/ shares. Physical resource objectives will include location and acquisition of physical resources over the planning period (e.g. whether to buy/ lease assets)
6) MANAGERIAL PERFORMANCE AND DEVELOPMENT - policies and objectives for organisation and development/ measures of performance/ training and development/ reward systems/ organisational culture
7) WORKER PERFORMANCE AND ATTITUDE - policies and objectives for development of manager and worker relationships
8) PUBLIC RESPONSIBILITY - objectives for social resposiility/ business ethics - 11What is key to the 'balanced scorecard'?*Performance Management Tool by Kaplan and Norton*
- provides framework to utilise control of multidimensional set of performance measures for strategic control of the overall organisation
-Measures should be in line with overall strategic objectives
- Need to recognise complexity/ diversity of circumstances (not just short term profit) and use variety of measures (inc. non-financial) to give broader perspective of business performance
- Measures to be unbiased and objective and cover profitability, customer satisfaction, internal efficiency and innovation
- gains in one area need to be considered in case of losses in others
- once balance scorecard set organisationally, can be cascaded to departmental/ individual levels setting appropriate targets depending on role
- Failure to meet a target a be cascaded up to a top level scorecard so source of failure can be remedied - 12What is needed to give vision and strategy as per Kaplan & Norton's balanced scorecard?1) Financial perspective - 'to succeed financially, how should we appear to our shareholders?'
2) Internal business process - 'to satisfy our shareholders and customers what business processes must we excel at?'
3) Learning and growth - 'to achieve our vision, how will we sustain our ability to change and improve?'
4) Customer perspective - 'to achieve our vision how should we appear to our customers?' - 13What are the main benefits of a balanced scorecard?1) Avoids management reliance on short-term/ incomplete financial measures
2) By identifying non-financial measures, managers could identify problems earlier (e.g if customer satisfaction drops could remedy this before customers completely leave and profit dries up)
3) Can ensure dividsions develop sucess measures for their devision linked to coroporate goals
4) Can assist in stakeholders evaluating the firm if measures communicated externally - 14What are the drawbacks to the balanced scorecard?1) Does not provide a single overview of performance (NB measures like ROCE popular as summarise 'how things are going' in one measure)
2) No clear relation between balanced scorecard and shareholder analysis
3) Measures may give conflicting signals/ confuse management
4) Often involves substantial shift in corporate culture to implement - 15What is mentoring as a technique to enhance performance?*Relationship where on person helps another to improve their knowledge, work or thinking - very vauable development tool for the person seeking support (mentee) and giving it (mentor)
*Mentor could be someone who:
1) can give practical support/ guidance
2) Give technical, ethical and general business guidance
3) help with development of interpersonal and work skills
4) is an impartial sounding board - generally has no direct reporting responsibility
5) a good guide/ counsellor
6) Role model who can help with career goals - 16What benefits can mentoring provide?1) Faster career progression
2) Excellent value for money for the organisation where financial cost very small
3) Enhance company image - does not want to be associated with poor turnover record and encouraging learning helps staff achieve their full potential and not seek new employment
4) Improved motivation - employees often feel real improvements in competences are delivered from the mentoring process. Can preserve employee well being, morale, trust and motivation - 17What are key points to a mentor?*Quite often from same function (e.g. finance) and unusual to be direct line manager
*Mentor a role model, having already achieved status/ qualification the subordinate aspires
*For mentor scheme to be sucsessful, relationships not based on authority but genuine wish of mentor to share knoledge, advice, experience and has mututal trust
*Works alongside formal control mechanisms (apprasial) and sohuld be forum to discuss delvelopment issues in relaxed/ supportive way
*Assists junior members to analyse performance to identify strengths and weaknesses. Should be given honest and supportive feedback
*Act as a sounding board for ideas
*Has career-enhancing and psychological development functions
*Can help junior staff in networking and gaining wider exposure of organisation - 18What is key to coaching as a technique to enhance performance?*Focuses on achieving specific objectives over a defined time period
*More about improving perfomance of someone that is already competnent than estabilishing competency in the first place
*Usually 1-2-1 set in the working day
*Involves gently encouraging people to improve performance/ develop skills and increase self confidence to develop career prospects
*Most coaching carried out by senior/ manager but whoever carries out the coaching MUST have sufficient expertise/ experience/ judgement to help the person being coached - 19What is key about working in teams?*People rarely work in isolation as most activities need some coordination through groups of people
*Teams provide security and social satisfaction as well as supporting individual needs and promoting communication (formally or informally)
*Teams have power, leadership, role, communication and sociometric structures. They develop norms, ideologies, characteristic atmospheres, degrees of cohesiveness and morale - 20What is the definition Schein suggests a group (team) is?1) interact with eachother
2) are psychologically aware or one another
3) percieve themselves as being in a group - 21What types of teams are there?1) FORMAL - used by organisations to carry out tasks, communicate and solve problems. Membership often formal/ determined or constrained into departments/ divisions
2) INFORMAL - individuals join groups to meet their social/ security/ safety needs. Membership normally voluntary and members dependent on eachother, influence each others behaviou and contribute to needs
3) REFERENCE - individual does not currently belong to but would like to join (at work or committee type)
4) SELF-DIRECTED/ AUTONOMOUS - ideas evolved from Trist and Bamforth through experiments in the 70s by Volvo/ Saab. Encourages manage its own work and working practices - 22What is important to consider with informal groups?*Managers to pay attention to formation of and support for formal groups, but not ignore/ surpress informal groups
*With relation to informal groups, important to:
1) to let employees know managers understand/ accept them while discouraging dysfunctional behvviour in groups
2) to try to anticipate how decisions will influence informal groups
3) to keep formal decisions from unnecessarily threatening informal groups - 23What is key to work teams?*Work team is a formal group, with a leader and distinctive culture and is geared towards a final result
*Effective team described as 'any group of people who must significantly relate with each other in order to accomplish shared objectives'
*Members must have a reason to work together to be truly effective. Must need each other's skills, talent and experience in order to achieve their mutual goals
MULTISKILLED TEAMS - bring together individuals who perform group tasks which are shared in a flexible way according to availability/ inclination
MULTIDISCLIPINARY TEAMS - bring together individuals with different specialisms so that their skills, knowledge and experience can be pooled or exchanged - 24What are benefits or teams?1) INCREASED PRODUCTIVITY - rather than if achieved if working independently. Can break up tasks to component parts.
2) SYNERGY - phenonemon which combined activities of separate entities has greater effect than sum of activities of each entity working alone
3) IMPROVED FOCUS/ RESPONSIBILITY - each member given specific responsibility for their tasks. Overloading one person leads to loss of focus
4) IMPROVED PROBLEM SOLVING - likelihood of appropriate knowledge/ skill
5) GREATER CREATIVITY - groups can envaluate ideas better than one
6) INCREASED SATISFACTION - social benefits and sense of belonging to members
7) INCREASED MOTIVATION - work hard for other members. Collective responsibility and won't want to let others down
8) IMPROVED INFORMATION FLOWS - effective communication from participation in group discussions - 25What are the problems with teams?1) CONFORMITY - individuals can be persuaded by group pressures to agree to wrong decisions
2) ABILIENCE PARADOX - case where group can end up with a solution none of them wanted. Where family drove into Texan desert, none of them wanting to, but thinking the others wanted to and didn't want to break consensus
3) 'RISKY SHIFT'/ GROUP POLARISATION - groups may take riskier decisions than individuals on their own. Could also be excessively cautious
4) GROUPTHINK - within deeply cohesive groups where members try to minimise confict and reach consensus without critically testing, analysing and evaluating ideas
- NB groups have high level of mutual interaction and awareness which can cause individual to behave differently to how they would on their own - 26What is key to the concept of 'Groupthink'?Symptoms of groupthink:
1) raising protective barriers and illusion of impregnability
2) negative attitude towards competing projects
3) unwavering belief in group/ its decisions
4) sectarian emphasis on agreement
*Groupthink blamed for abortive invasion of the Cuba via the 'Bay of Pigs' - JFK then insisted on:
1) critical evaluation of alternatives
2) independent sub-groups to work on solutions
3) external testing of proposed solutions
4) leader avoiding domination of the group (which can be unconcious)
5) avoidance of stereotypes of the opposition - 27What factors can effect cohesiveness of a group/team?1) MEMBERSHIP FACTORS
2) ENVIRONMENTAL FACTORS
3) DYNAMIC FACTORS - 28What are membership factors in group cohesiveness?1) HOMOGENEITY - similarity of members for simple tasks, but less problem solving. Variety of skills/ knowledge needed
2) ALTERNATIVES - if individual has alternatives, can easily leave group so dependence on group lower. High turnover groups then tend to lack cohesion. NB management may purposefully change membership of awkward groups
3) SIZE OF GROUP - noting this depends on the size of the task. Groups solve problems faster than individuals, but need to consider cost-effectiveness. As size of group increases, average productivity drops
4) MEMBERSHIP IN OTHER GROUPS - may detract from cohesion/ effectiveness of original group - 29What are environmental factors in group cohesiveness?1) TASK - nature of task and its organisation must be compatible
2) ISOLATION OF GROUP - external threats/ incentives lower the more isolated a group is
3) CLIMATE OF MANAGEMENT/ LEADERSHIP - leadership style adopted to be appropriate to the task (e.g. if adopt McGregor's Theory X approach, anti-management groups may form (even if only informally) - 30What are the dynamic factors in group cohesiveness?1) GROUPS CONTINUALLY CHANGING - this should be recognised and is not just in membership, but in understanding each other and for the task
2) SUCSESS AND FAILURE - can be tendancy for groups to persist in failure - 31What is key to team development (Tuckman)?*Level of group performance in affect by how teams come together - Tuckman suggests 4(5)phases of development (see diagram), noting not all stages may occur/ this is mainly for a project:
1) FORMING - initial stage where team members collection of individuals unsure of their roles/ responsiiblity until manager defines processes/ procedures for team activities
2) STORMING - conflict stage. Manager authorit and team preconceptions challenged. Conflict resolution and leadership skills of manager vital
3) NORMING - establishes norms under which team operates and relationships become settled. Procedures refined and manager passes control/ decision making to members. Team cohesion as appreciate work of the others around
4) PERFORMING - team now capable of operating on own to full potential
(5) ADJOURNING - sometimes seen if in performing stage for so long team operates on auto pilot. Groupthink can occur and group may not be aware of changing climate so take a break - 32What is key to Belbin's team roles?*Belbin - sucsess of group can depend on balance of indiviudal skill/ personality types within the group
*Personality test to recognise personality types who would prefer a certain role
*Suggests if individual characteristics known, each individual can adapt an appropraite role for their personality type. When working on roles that suit them, more likely to fully engage in role, be more motivated and perform better
*In a group, a balcnce of personality types is needed - 33What 9 character types should a well balanced team contain according to Belbin?1) CO-ORDINATOR - mature and confident. Delagates. Ensure focus on objectives
2) SHAPER - challenges and is dynamic. provides drive to keep team moving and promotes activity.
3) PLANT - thoughtful/ creative and generates original ideas
4) MONITOR/EVALUATOR - logical/ analytical. Evaluates options in impartial manner.
5) RESOURCE INVESTIGATOR - ethusiastic/ inquisitive. Finds ideas from outside to bring to the team
6) IMPLEMENTER/COMPANY WORKER - practical/ reliable. Deals with planning/ scheduling and drives efficiency
7) TEAMWORKER - co-operative/ diplomatic. Concerned with relationships of team and diffuses conflicts
8) COMPLETER/FINISHER - anxious/ conciencios. Scrutinises work of team for errors. Acts as quality control.
9) SPECIALIST - single-minded/ dedicated. Brings in-depth specialist knowledge to solve technical problems
NB - more than one characteristic could be held by and individual. Only if one characteristic missing, reduces effectiveness of team - 34What is key to role theory?- the roles individuals adopt, they can have several roles varying between teams/ activities
- role theory assists in understnading of how productive teams form/ operate
1) ROLE AMBIGUITY- when person unsure of the role they play and hold back on co-operation
2) ROLE CONFLICT - clash in differing roles adopted by individal
3) ROLE INCOMPATIBILITY - expectations from outside group are different from own expectations
4) ROLE SIGNS - visible indications of role (uniform etc)
5) ROLE SET - people who support a lead person in major role (e.g. clerk and junior barristers for a senior barrister)
6) ROLE BEHAVIOUR - certain types of behaviour associated with role (e.g. 'crown prince' if behaving as will get senior role) - 35What is key to high performing teams?*Skilled individuals working together to meet common objective and share responsibility for outcomes. Use optimal captabilities of each member. Can make higher quality decsions with less disctration
- 36What does Viall and Peters and Waterman say about high performing/ sucsessful teams?VIALL - high-performing team defined as a human system doing dramatically better than others. Common characteristics seen as 1) clarification of broad purposes and near-term objectives, 2) commitent to purpose, 3) teamwork focused on task, 4) strong, clear leadership, 5) generation of inventions/ processes
PETERS AND WATERMAN - five key aspects of sucsessful teams - 1) numbers small, person on team can represent their department but speeds things up, 2) team is limited in duration and only exists for a particular task, 3) membership to be voluntary, 4) communiation to be informal and unstructured with little documentation/ barriers. 5) action-orientated, plan of action not 'form of words' - 37What is key to building a team and effectiveness?*Teams may not achieve goals without intervention/ support from managers
*Team building excerscides could be used for improving communication (problem solving activities), building trust and socially interacting (reduce conflict)
*In addition to formal teambuilding, managers could also reinforce group identity of group in a few ways e.g. giving team a name/ own office/ own uniforms - 38How can team effectiveness be measured?e.g.
1) degree to which team achieved stated objectives and quality of output
2) team member satisfaction
3) efficiency of teams which can be measured by resources used to achieve team objectives
- could use labour turnover, absenteeism rates or questionnaries etc
- team reward could then be used to motivate individuals within the group and encourage cooperations/ responsibility sharing between team as a whole - 39What is key to disributive leadership?*Distributed leadership perspective recognises there are multiple leaders (AKA shared/ collective leadership)
- involves sharing of power base in a more horizontal in nature compared with traditional leadership
- individuals then encouraged to manage own work and working practices
- CARSON ET AL considers shared leadership facilitated by overall team environment that consists of
1) SHARED PURPOSE - when members have similar understandings of team's main objectives/ steps to ensure focus on collective goals
2) SOICAL SUPPORT - extent to which team members actively provide emotional/ psycological stregnth to one another
3) VOICE - degree to which team's members have input how to team carries out purpose - 40What is key to inter-group and intra-group conflict?INTER-GROUP CONFLICT - behaviour that occurs between organisational groups when participants identify with one group and perceive that other groups may block group's goal achievement. Appears when one group tries to advance its position in relation to other groups
INTRA-GROUP CONFLICT - conflict occurs when there are disagreements/ misunderstandings between members of a team - can lead to reduction in team productivity - 41What does inter-group conflict require?1) Group identification - employees need to see themselves within an identifiable group / department
2) Observable group difference - ability to identify oneself as part of a group/ observe differences in comaprssion with other groups necessary for conflict
3) Fustration - if one group achieves its goal where the other will not - it will be blocked. Fustration may not be servere, only anticipated to set off intergroup conflict - 42How can inter-group conflict be managed?*Managers either need to turn conflict to fruitful competition or control the conflict*
1) CONFRONTATION - when parties in conflcit directly engage with one another to work out differnces
2) 3rd PARTY CONSULTANTS - conflict intense and enduring. Department members suspicious/ uncooperative so bring in expert to meet with representitives of both teams
3) INTER-GROUP TRAINING - techniques by psychologists (e.g Robert Blake, Jane Moulton)
4) MEMBER ROTATION - individials in one department move to another on temp or perm basis. Individuals then submerged in goals, vallues etc of other deparments
5) SUBORDINATE GOALS - requires cooperation between departments. Conflicting departments then share same goal and must depend on one another to achieve it - 43Why are communication skills important?- there will be frequently conflicting demands on time, differences of opinion, attitude and need for people to reach agreement where all parties are happy and work together for organisational goals
- may be more important in some job roles than others (e.g. if responsible for a cusomter/ supplier relationship or managing others) - 44Why is effective communication important for CIMA accountants?- requrired to deal with variety of parties internal and external so communication skills fundamental
- are itegral part of any business and hold varity of positions in different levels across the org. roles could include
1) Formulation of policy/ setting corporate objectives
2) Acquisition and use of finance
3) Generation, communication and interpretation of financial and operating information for managers/ other stakeholders
4) derivation of performance measures
5) improvement of business systems
- to undertake roles, often owrk as part of multi-skilled management teams. Required to deal with other employees throughout organisation at different levels and with external parties such as customers, suppliers, contractors and advisors
-Need communication for inflence, persuasion and negotiation - 45What types of communication are there?*Speed and accruacy of communication can be key to competitive edge*
1) FORMAL - planned and intentional and tends to have a more personal tone, generally used within work context
2) INFORMAL - more casual in nature generally unplanned. Less structured with more relaxed tone - generally used between family/ friends - 46What is the process for communictation?*A process used to transmit a message from a sender to a reciever - words/ numbers/ gestures/ non-verbal cues (body language)
*Message goes through several stages when sent by sender to reciever
1) SENDER - entity that conveys the message
2) ENCODING - process which message is symbolised
3) CHANNEL - medium through which message is being sent (email/ F2F/ meetings/ phone call etc)
4) RECIEVER - entity that recieves message
5) DECODING - process which message translated and meaning taken from it (problems can occur hear due to interpretations)
6) FEEDBACK - process which reciever sends their resposne - 47What is the importance of feedback in communication?*Sender will want to know sucsessfully recieved - can be verbal (response/ question/ comments posed) or non-verbal (facial expressions)
*Gives the sender knowledge message been recieved as inteded or can allow sender to clarify messaged where it may be confused
*Important sender asks for feedback - assumes message has been recieved/ understood is a dangerous assumption - 48What is key to noise as a feature of communication processes?*Noise is anything which interferes with communication process and stops message being recieved/ understood by reciever as intended
1) ENVIRONMENTAL/PHYSICAL NOISE - noise physically disrupts communication/ prevents reciver from hearing/ seeing message (fonts/ colours/ music)
2) PHYSIOLOGICAL NOISE - physical barriers e.g. hearing loss/ eyesight/ speech impariments
3) SEMANTIC NOISE - when sender and reciever hve different undestanding of words - dialects/ languages/ jargon/ words with many meanings
4) PSYCHOLOGICAL NOISE - attitude of sender/ reciever can also make communication difficult (e.g. anger/ sadness may cause someone to lose focus, be preocuppied with a problem or feeligns of predjudice can all affect communication process - 49What are some barriers to communication?SENDER
1) not being clear to what has been communicated
2) omitting information
3) choosing words in coding the message that do not accurately reflect idea/ concept and/or choosing words that indended reciever cannot understand
4) Choosing words that provoke emotional resposne
5) Using technical jargon
6) Choosing inappropraite medium
7) sending too much information
8) sending mixed messaging
RECIEVER
1) not in an appropriate state to recieve message
2) not wishing to recieve message
3) filtering out elements may not want to deal with
4) information overload
5) mindset that does not admit substance of message - 50How can barriers of communication be overcome?SENDER should:
1) have definite, clear objective
2) plan communication
3) think about reciever and their situation
4) anticipate reactions to message and cater for these
5) practice using channels of communication
6) seek and work with feedback
RECIEVER should:
1) consider contribution
2) listen attentively
3) check out anything that is vague
4) give feedback - 51What is key to non-verbal communication?Druker: 'the most important thing about communication is hearing what isn't said'
- facial expressions, hand shake, pat on back etc.
- body languague considers appearance, eye contact, facial espressions, posture and distance, tone
- can vary accross countries/ cultures - 52What is key to digital tools for communication?*Introduction of email in 1970s and other communication (video conferencing) including internet took off in 1995
*Workplace now more flexible and not confined to a single office environment
*With divsified workplaces emergeed need for team based collaborative and digitally connected work environments become critical to business efficiency and future growth - 53What are examples of digital communication tools?1) INTRANET - private hub accessed by authorised users within a business. Internal communications and collaboration. Intranets enable organisations to easily share company news. Linked to security permissions. Facilitates staff working across different geographic locations
2) CHAT & PRIVATE MESSAGING - collaborative spaces for private/ group messaging. Instant messaging for projects.
3) DISCUSSION FORUMS - bring together management and employees and allows an open discussion on any topic. Can help with knowledge dissemination and bring workforce together. Archieves organisational knowledge sharing
3) TRACKING & CASE SOFTWARE - online help desk with case tracking system enables employees/ customers to submit case/support ticket. Assigned to right employee. Productivity can be monitored. Can extend to issue tracking - reolves customer issues
4) INTERNAL BLOGS - employees share ideas/ experiences fast and in informal fashion. Can broadcast knowledge of certain topic. Create searchable and permanment archieve. Promotes open discussion and collaboration - 54What is key to data visualisation?*Allows large volumes of complex data to be displayed in visually appealing/ accessible way that facilitates understanding/ use of underlying data*
- growing significance of data is rise in importance of able to access and understand data in clear, concise way. Tableau/ Qlik go beyond excel - customisable 3D formats with drilldown
- Aims to remove need for complex extraction, analysis and presentation of data by finance/ IT and data scientists
- Data at hands of end user
- Most common use is in dashboard creation to display KPIs in a live format - 55How are meetings effective tools for communication?Need to follow steps to ensure usefulness (consider 80:20 prep and execution):
1) purpose of meeting determined
2) agenda in advance
3) suitable location and time
4) facilitate discussion
5) manage plan of action
6) summarise
7) publish results/ minutes
*Meetings should split into roles (chairperson/ facilitator, secretary/administrator). Team members may be supportive (protagonists) or challenging/ disruptive (antagonists)
*All meeting members to be listened to with respect, but facilitator to make everyone aware of objectives - 56What are possible problems with meetings and their solutions?1) Inappropriate chair - select based on communication skills
2) Objectives unlear/ undefined - ensure agenda circulated prior and chairperson to ensure focus is given to objective
3) Lack of enthusiasm- ensure only those with view required are invited
4) Attendee's talk to much without regard to chairperson requests - chairperson to impose some order and give protocols if needed
5) Attendees cannot reach agreement - chairperson to use negotiation skills, but may have to agree to differ
6) Action points from previous meeting not carried out - assume minutes were complete and reasons to be obtained why not complete. Check minutes for action points
7) Minutes too long or short (do not include appropriate points) - ensure minutes either minutes of resolution (contain agreed outcomes) or if minutes of narration they are edited to give flavour of discussions, not small detail - 57What is key to influence, persuasion and negotiation skills?*All aspects of communication, linked and can be used together:
INFLUENCE - ability to change others attitudes/ opinions/ behaviour
PERSUASION - attempt to deliberately get others to change attitude/ opinion/ behaviour. Stronger form of influence and always direct and intentional. Change the attitude/ perception. May use coercion as attempts to get others to agree (but some under duress)
NEGOTIATION - ability to discuss an issue with one or more other people in attempt to establish ways to reach agreement - 58What is key to influence?*Direct or indirect - indirect where message attempts to reach target via 3rd party (e.g. sales/ marketing)
*Organisational relationships e.g. gaining support for new process etc
*When influencing important to consider objectives and reason why necessary as any forceful influence could be seen as manipulative - 59What are the 6 principles of influence by Cialdini and how can they be used?1) RECIPROCITY - we may feel obliged to return favours so could be influenced by someone who has supported you in the past. To us, identify what you need from the other person and show what you could/ have offer(ed) them
2) COMMITMENT - follow through (we don't like to be seen to change our minds). To use, get commitment early on (makes it more difficult for them to withdraw support later)
3) SOCIAL PROOF - peer pressure. To use, use opinions of those already supporting you to influence others.
4) LIKING - we are more likely to be influenced by people we like and are friendly. To use, build relationships with those you want to trust you. NB can take time
5) AUTHORITY - more likely to be influenced by those in positions of authority. To use, use own authority and that of others to back you (e.g. senior management to back your project)
6) SCARCITY - we are more likely to want something if it is limited. To use, ensure people know they may miss out if don;t act quickly (set deadlines) - 60What is key to negotiation?*Important communication skill and used by managers in their relationships with subordinates/ other stakeholders (e.g. suppliers/ customers)
*Aim to settle differences between parties and come to agreement both accept
*3 characteristics of negotiation:
1) CONFLICT OF INTEREST - exists between 2 or more parties
2) NO ESTABLISHED RULES FOR RESOLUTION - or parties prefer to work outside established rules for a solution
3) PREFER TO SEARCH FOR AGREEMENT - parties will want an agreement rather than calling of contract permanently/ fight openly
*Managers may need to negotiate 1) on own behalf (for pay rise etc), 2) on behalf of department (e,g, securing budget), 3) on behalf of external environment (e.g obtaining planning permission) - 61What skills are required by a negotiator?1) INTERPERSONAL SKILLS - negotiator requires good communication, including influence and persuasion
2) ANALYTICAL SKILLS - negotiator requires ability to analyse information, diagnose problems, plan and set objectives and excercise good judgement in interpreting results
3) TECHNICAL SKILLS - attention to detail and thorough case preparation needed - 62What are the stages of a negotiation process?1) PREPARATION - information gathering. Know what problem is and likely constraints for each party
2) OPENING - both parties to present their starting positions (and will try to influece other party)
3) BARGANING - narrow gap between two initial positions and persuade other party to the strength of your case. Use clearly thought out, planned and logical debate
4) CLOSING - agreeement reached that is hopefully mutually beneficial
FOR GOOD NEGOTIATION:
- focus initially on each side's primary objective (trivial negotiating points can be a distraction initally - bikeshedding)
- be prepared to settle for what is fair - if an agreement not seen as fair it will unlikely be stable. Maintain flexiblity in your own position (other side may be flexible too)
- listen other side and make efforts to comprimise on may objectives
- seek to trade off wins/ losses so each side gets something in return for everything they gave up - 63What types of negotiation are there?1) Win-win - prospects of both sides encouraging and both sides attempt to reconcile positions so end result is agreement under which both will benefit
2) Win-lose - each party seeks maximum gains and therefore usually seeks to impose maximum losses on other side
3) Lose-lose - either both parties concede more that they initially intended or no agreement reached. Both parties could end up in worse position than before negotiation - 64What is key to conflict?*A disagreemnt when one pary percieved as preventing/ interfering with goals/ actions of another - can occur at different levels/ in variety of forms
*Why conflict occurs known as 'causes of conflict'
*When conflict occurs certain behaviours can develop - 'symptoms of conflict'
*Can either be horizontal or vertical conflict - 65What can be causes of conflict (by Mainwaring)?1) History - conflicts have tendancy to be self-perpetuating
2) Differences - of interests/ objectives/ priorities/ ideologies
3) Limited resources - may be battle for what is available
4) Win/lose situations - success for one group leads to failure for others
5) Interdependencies - relationships/ responsibilities/ boundaries not clearly defined and/or percieved to be unfair
6) Misunderstandings - communication failures/ common where conflict or threat already exists
7) Conviction beliefs - if one group convinced they're right/good may tend to 'enlighten' others causing resistance
8) Stress and failure - feeling unable to cope with pressures/ problems can lead to fault finding/ reality denial/ irrational acts
9) Change - creates new relationships/ objectives/ perceptions/ problems/ possibilities - 66What are some symptoms of conflicts?- certain behaviours can manifest during conflict. Conflict easier to deal with if symptoms recognised and dealt with early:
1) Problems, being passed up the hierarchy if no one wants to deal with them
2) Hostility/ jealousy between groups
3) Poor communications up/down hierarchy and between departments
4) Widespread fustration/ dissatisfaction if difficult to get simple things done effectively
5) Problems constantly polarised around people (usually in different groups, and personalities not issues)
DAFT's negative consequences for organisations as result of conflict:
1) Diversion of energy - time/ energy wasted
2) Altered judgement- less accurate as focus lost
3) Loser effects - loser may deny/ distort reality and look for scapegoats
4) Poor co-ordination. Co-operation decrease and groups may attempt to jeopordise goals of others - 67What are the two types of conflict?1) HORIZONTAL - between groups/ departments at SAME LEVEL in hierarchy. If departments created, members have opportunity to compare themselves with other groups and values appear mutually exclusive
2) VERTICAL - among groups/ individuals at DIFFERENT LEVELS. e.g. individuals with their maanger and subdivisions at head office. - 68What are the main sources of horizontal conflict?1) Environment - each group tailored to 'fit' its environmental domain so differentiated from other groups. Outside pressures demanding lower prices/ improved quality/ better service
2) Size - increasing size can lead to feelings of separation - walls can be built
3) Technology - interdependency creates opportunity for conflict where technology determines task allocation
4) Structure - divisionalisation and departmentalisation creates competition which can lead to conflict e.g. pay incentives based on competition between divisions
5) Goal incompatability - each team operational goals interfere with achievement of other team goals so that team may block their goal
6) Task interdependence - dependence for materials/ resources/ information
7) Reward systems - if at a departmental level, can lead to motivation at expense of wider organisation
8) Differentation - functional specialism creates differences in cognitive/ emotional orientations
9) Uncertainty - if deparments don't know where the stand if activities unpredictable, teams may need to renegotiate their tasks - 69What additional sources of conflict are there with vertical conflict?1) Power and status - at bottom of hierarchy, workers can feel alienated
2) Ideology - different values held (e.g. striking vs. free enterprise)
3) Psychological distance - workers can feel isolated from organisation
4) Scarce resource - financial resources for renumaration/ working coditions/ costs - 70What is meant by desructive and constructive conflict?*not all conflict harmful*
CONSTRUCTIVE - considered useful/ positive/ beneficial. Does not revolve around personality, but creates environment of innovation/ change. Facilitates bringing problems to surface so they can be dealt with. Settles/ defines boundaries of authority/ responsibility.
DESTRUCTIVE - ad hoc and personal. Harmful for organisation and its members. Causes alienation between/ within groups/ individuals. Can be demoralising for those involved
- some companies promote team spirit by creating competition between teams. In some instances can increase productivity/ reduce absenteeism but working relationships can deteriorate and company then less productive - 71What is the Thomas-Kilmann Conflict Mode Instrument?(SEE DIAGRAM)
- useful framework for classifying different ways of handling conflict.
- Based on degree of assertiveness in pursit of own goals (Y axis) and co-operativeness in satisfying others' interests (X axis)
- 5 conflict-handling strageies:
1) Competing - H asert, L co-op - goal to 'win'!
2) Avoiding - L asert, L co-op - goal to 'delay' - ignore or supress the conflict
3) Collaborating - H assert, H co-op - goal to find 'win-win solution' - confront problems and use problem solving techniques with creative solutions
4) Accomodating - L Assert, H co-op - goal to 'yield' - putting other party's interests first
5) Compromising - Moderate Assert, Moderate co-op - goal to 'find middle ground' - negotiation results in each party giving something up and meeting halfway - 72What are Mainwaring's strategies for managing conflict?1) Conflict stimulation and orchestration - encourages conflict as means to develop new ideas/ approaches of stimulating change. Obvious dangers though for generating conflict, however some may be necessary to prevent resistance to change - constructive conflict for continious improvement
2) Conflict supression - use or threatende use of authority/ force or avoidance of recognition a conflict exists. Smooth over conflict by de-emphasising seriousness of situation
3) Conflict reduction - building on areas of agreement and common objectives. Changing attitudes/ perceptions of parties involved. Techniques could include compromises/ concessions. 3rd party interventions could be used (conciliation/ arbitrition)
4) Conflict resolution - seek to eliminate root cause of conflict by establishing a consensus. Change attitude so win-win more likely where parties involved aware of mutual gains from co-operation/ collaboration - 73What needs to be considered when choosing a strategy to manage conflict?1) The context - new procedures, reducing interdependencies, changing work allcoations
2) Issue in dispute - separate it into smaller issues and separate people and task-related issues
3) Proximity - i.e. physically separate individuals/ groups involved
4) Individuals involved including relocation/dismissal or changing behaviour through training/ organisational development techniques - 74What is key to dealing with industrial relations conflict?*Although vertical conflict can take place without trade unions, unions highlight vertical conflicts as try to equalise power differences between workers and managers
*Representitives loyalty to their group is key. Strategies for avoidance/ individualistic approaches can be created e.g.
1) Union avoidance strategies - 'double-breasting' (setting up plants in areas of high unemploymeny/ low union activity), devolving collective bargining to factory level removing unions from annual pay rounds and giving right for members to be consulted/ represented
2) Individualistic approaches - away from 3rd party involvement using apprasial systems, training and development schemes, performance related pay, share schemes etc
3) Collective bargining - using procedural method, ultimately leading to substantive agreeement in collective negoitations between workers/ management
New approaches may be more cooperative:
1) Partnership agreements
2) Gain sharing - based on bonuses/ profit rather than fixed rate increases
3) Labour/ management teams - based on Japanese quality circles - 75Why is project management important in delivering change?*Change inevitable in modern climate and to be delivered via projects which need to be managed for sucsess
*Project management is the managing of the work of a team/ teams to achieve specific goals/ objectives.
*Teams put together for sole purpose of the prokect
*Project manager to make day to day decisions and reprts into the project sponser who initiaties the project and provides funding for it
*Could be a few weeks to many years depnding on size/ complexity - 76What is meant by a project?*Has number of key attributes diferentiating it from business as usual*
1) Is unique to undertake a specific objective
2) Has defined beginning and end
3) Has resources (e.g. staff/ funding specifically allocated for length of the project)
4) Has stakeholders who are interested in the progress and final outcomes of the project
5) Some degree of uncertainty as uniqueness gives rise to some risk of deliverables/ activities to achieve the deliverables
6) Once completed, should be integrated into day to day actvities
*Defined by Association of Project Managers as: 'a human activity that achieves a clear objective against a timescale' - 77What is the CIMA definition of project management?'The integration of all aspects of a project, ensuring that the proper knoweldge and resources are availble when and where needed, and above all to ensure that the expected outcome is produced in a timely, cost effective manner'
- 78What is key to project objectives?*PM objectives serve a specific purpose and break down key steps in achieving overall project sucsess
*Let teams know what they should focus on, where to devote resources to and show how wider activities sevre business and organisational goals
*The clearer objectives are, the more likely they are to be achieved which will in turn make the project easier to manage. The more effective the objectives, the more sucsessful the project
*Objectives must be measurable and contain KPIs for overall sucsess which may include criteria such as budget, quality, time to completion etc - 79What is key to consider as project constraints?*Constraints anything that restricts, limits, prvents or regulates activites - need to know theseso they can be taken account of during the project
*Primary constraints = time, cost, quality, often referred to as the 'project triangle'
*There is conflicting nature within these constraints: time/cost tend to be positively correlated (e.g. overtime needed etc)
*Quality tends to be +vly correlated with cost and time
*Other number of constraints that will affect delivery include legal, technological, political and ethical - 80What are the key steps to a project lifecycle?*Large scale projects usualy have lifecycle in different phases occuring in sequence
(SEE DIAGRAM)
- GIDO and CLEMENTS identified 4 phases of larger project when considering time on the X axis and effort on the Y
1) Identification of a need
2) Development of a proposed solution
3) Implementation
4) Completion - 81What are the 4 phases of a project lifecycle as per Gido and Clements?1) Identification of a need - need, opportunity or problem. Then conduct feasibility study to check potential benefits and their size, look at alternatives and lifetime costs. Company to then decide if will go ahead - if thyey do they will riase a Project Initiation Document (PID) which includes the business case
2) Development of a proposed solution - all proposals for solutions submitted and evaluated and most appropriate solution to satisfy the need is selected
3) Implementation - actual performance of the project and involves detailed planning and implementation to achieve objective. Overall solution divided into subdeliverables (milestones) which are monitored for any slippage etc
4) Completion - need to confirm all deliverables provided and accepted and all payments made and recieved. Project performance evaluated and appriased to learn from project for future reference. Customer feedback important for future delivery. Original business case checked for any subsequent actions (monitoring ongoing performance) - 82What are the 5 project management process areas (by the Project Management Institute)?SEE DIAGRAM, but:
1) Initiating
2) Planning - emphsis on this.
3) Executing (implementing)
4) Controlling - emphasis on this.
5) Closing - 83What is key to initiating tin the 5 project management process areas (by the Project Management Institute)?*Project initiated when need/ objective defined
*Objectives consider that which the company wishes to achieve
*Top-level objs are profit orientated typiclally in for profit orgs.
*Usually undertaken by board of directors to determine high-level organisation objectives
Project may be initiated for:
1) helping meet company long term goals/ objecteds
2_ Process/ service enhancements
3) Solving problems identified internally/ externally
4) Take advantage of new opportunities
6) Statutory/ legal requriemtn
*Companies may have large number of potential project but not the resources to carry them all out
*Often need to go through selection process to identify worthwhile projets only some of these are then taken through to planning stage
*Feasiblity consudered and the risks/ uncertainty of projects - 84What is key to feasibility in initiating stages of project?*Development of new project requires careful consideration and planning
*Consumes lots of resources (finacnial and non-financial) and likely to have major effect on way in which the organisation operates
*Feasibility studies carried out number of potential strategies and study to then decide on which proposal to choose
*Potenital project manager may be involved at feasibility stage - 85What are the types of feasibility?1) TECHNICAL FEASIBILITY - considers 'can it be done?' - is technology availble/ tried & tested/ what perfoamnce of tech do we need? Is tech suitable to satisfy objective of project effectively?
2) SOCIAL (OPERATIONAL) FEASIBILITY - considers 'does it fit in with current operations?' - considers number of people required and their skills. Need to identify any recruitment, training and redundancy. Less tangible aspects to be convered in feasiiblity report.
3) ECOLOGICAL (ENVIRONMENTAL) FEASIBILITY - considers 'how does it affect the environment?' - considers customers may want to purchase more eco product and considers local community, company image and any pollution created
4) ECONOMIC (FINANCIAL) FEASABILITY - considers 'is it worth it?' - project must provide benefit to organisation in terms of cost/ benefit analysis over the anticipated life - 86What is key to cost-benefit analysis?*Finanical costs/ benefits can be evaluated using investment apprasial techniques e.g. payback periods or discounted cash flow approaches (NPV/ IRR)
*Can't rely on single measure to determine feasibility
*Types of costs/ benefits are project depndent on nature and scope
BENEFITS to consider:
1) Tangible - those evaluated financially (reduction of staff costs if process automated)
2) Intangible - benefits not easy to evaluate financially (new computer system to make decusions). NB any intangible benefits would be discounted when looking at a finacial evaluation process
COSTS to consider:
1) capital - aqcuisition of assets plus any additional costs of installation/ maintenance
2) Revenue - costs other than purchase of assets. Repairs and consumables
3) Finance costs - e.g. interest charges from banks/ shsareholders/ retained profits/ grants etc - 87What is key to the Project Initiation Document (PID)?*Main output of the initiation stage is the PID
*Has two primary reasons
1) To secure authorisation of the project
2) To act as a base document aginst which project progress/ challenges can be assessed
*PID can be used toensure project team/ stakeholders in general agreement about nature of project and exactly what they're trying to achieve
*The PID
1) defines project and its scope
2) justifies the project
3) secures funding if necessary
4) defines roles/ responsibilities of project participants
5) gives people information they need to be productive from day 1 - 88What is in the contents of a PID?*No set format, but generally contains:
1) Purpose statement - explaining why project being undertaken
2) Scope statement - put boundaries on the project by outlining major activities (section important to prvent 'scope' creep where additional activities added making cost and time boundaries impossible)
3) Deliverables - tend to be tangible elements of a poject e.g. reports, assets and other outputs
4) Cost/ time estiamtes - give the organisation expectations. Esitmtes later defined but necessary for starting point in planning
5) Objectives - clear statement of mission, CSFs and key milestiones
6) Stakeholders - list major stakeholers and their interest in the project
7) Chain of command - a statement/ diagram of project organisation structure - 89What is key to the detailed planning stage (after the initiation stage)?*Planning stage helps to:
1) communicate what has to be done, when and by who
2) Encourage forward thinking
3) Provide measures of success of the project
4) Make clear the commitment of time, resources (people/ equipment) and money required for the project
5) Determine if targets are achievable
6) Indentify activities/ resources needed to be undertaken - 90What separate plans may be drawn up in the planning stages?1) Time - lists all activities and the time expected to be taken. Finish dates of each stage and a final completion date for the whole project
2) Quality - inculdes identification of customers, key outcomes each expects and acceptance criteria agreed with them. May include safety/ security planning and an audit plan
3) Resources - resource plan checks peaks/ troughs of workload to ensure human resource plan feasible. Lists purchases required for project
4) Contingency - decides on additional activities/ cost and time to be added. Risk register identifies contingency plan for each key risk and delegates responsibility for monitoring each
5) Cost - rates per hour for each activity in a time plan plus cost of purchases from resource plan, contingency costs etc to create a budget. Phased over course of project for cash flow forecasting.
6) Communication - identitfes key people in the project, likely concerns, messages needed, planned method of communication and who is responsible
7) Deliverables - - 91What is key to the project manager at point of planning a project?*PM's primary responsibility to define project objecteve clearly with customer, communicate this to rest of project team and make clear what constitutes a sucsessful project outcome
*Should involve team members in planning process to encourage involvement, commitment and ownership
*Project reporting infomration system set up to record/ monitor progress against the project plan - variances to then be reported to the team regularly
*Responsibility structures may be used (ensuring team members recieve information on own area of influence) but must be weighed against ensuring project team members do not forget particular area of control likely to affect other areas - 92What may be a layout of a project plan, used to communicate to stakeholders/team (1-12)?1) Overview/ summary - organisation of team/ schedule of work/ resources required/ risks
2) Project name
3) Project players & responsibility - project authorisation document to identify roles/ responsibilities
4) Project objectives
5) Project scope/ contract - identified in project authorisation doc and gives reasons for undertaking project and what to be achieved in terms of deliverables
6) Methodology
7) Assumptions - including time/ resources
8) Technical plan - requirments/ specs/ system diagrams/ site plans/ tools etc
9) Quality & management - identifes customers and key outcomes, acceptance criteris and plan to audit quality
10) Communiation plan - identify key stakegolders and interest in the prokect/ what concerns may need addressing
11) Organisation/personnel - structure of project team and each persons responsiblitiies (include any sub-contact staff)
12) Project schedule - describe main phases of project and highlight key milestones. Usually in Gantt charge or network diagram - 93What may be a layout of a project plan, used to communicate to stakeholders/team (13-16)?13) Resources and facilities - including budget breakdown. Includes checks on peaks/ troughs to ensure plan feasible and to ensure procurement achieved by provision of lists
14) Risk assessment/ risk management - identified and contingency lans made including extra activities and cost/ time buffers added to make reliable budgets and completion dates. Risk register to identify each contingency plan
15) Acceptance - sign off/ project return with specific statement/ objecties of what makes project acceptable
16) Change management - details of how change to then be handled throughout project - 94What are the key project constraints?1) TIME - schedule timetable for activities involved in achieving project objective needed. Finite date of completion (either set by customer or negotiated/ agreed with customer)
2) COST - cost amout customer agress to pay for final project/ product. Based on budget which includes cost estimate for resources used in project
3) QUALITY (customer satisfaction) - prior to undertaking project need clear understanding of customer specifications/ requirements. Need to keep customer informed of project progress and that plan includes progressive testing to ensure quality requirements fully met.
*NB also to consider scope/functionality - scope all the work that must be completed - check nothing missing. Project scope tends to be +vely correlated to cost and time (increasing number of tasks adds to this) - any changes to scope must be signed off and any time/ cost impact agreed in advance - 95What is key to executing and controlling project commencement?*At commencement, PM to provide leadership/ co-ordination with project team members and other stakegolders
*Stakeholders will be focused on project tasks and project team perform tasks responsible for as and when scheduled in the plan - months, years, weeks..!
*Executing stage closely linked with controlling stage
*Need configuration management and change control as change inevitable in any project and must be carefully managed during execution - 96Why is change control needed?*Change may be internal or external and can change the outcome of a project
*Important to have an agreed change management process so everyone aware what to do if there needs to be a change
*Very often needed during execution when new factors may emerge
*Initial project documents (PID/ project plan) remain as baselines so all changes can be monitored and controlled
* Change control process not to stop change happening, but to ensure changes (which will be inevitable be required) are agreed and communicated to all parties before being implemented - 97What problems could arise if change not managed?1) team members working to old plans that don't incorporate changes (wasted time and resource)
2) Project unlikely to deliver set objectives if change not well managed
3) End users unhappy with final product if expectations not managed through the project and they've not been advised of any changes
4) Project may cost more as cost incurred on aspects no longer required
5) Can cause confusion and potential conflict for project stakeholders - 98What is key to a change process?*At outset of project, change management process to be agreed and must include:
1) Method for prioritising changes requested - consider if 1) must be done (without change project will not succeed) or 2) nice to have (suggest enhancements to current project plan - not all changes able to be incorporated to final project)
2) Authorisation for changes - must be agreed who has authority to agree changes (may be a sliding scale of PM for smaller change to Project commitee/ sponsor for larger spend)
3) Agreement of a change of budget - likely changes will result in additional cost
4) Recording the changes - procedure agreed to how to log changes and who will manage this
5) Communication of changes - how and to all interested parties - 99What is key to configuration management?*An important element within projects - involves tracking and controlling all aspects of project and all documentation/ deliverables from the project
*Configuration Management System will specify how all aspects of project will be managed
*Needs to include:
1) Version control for documentation
2) Ownership/ responsiblity for documentation
3) Authorisation/ tracking procedures for any changes required to documentation
4) Monitoring and control procedures to ensure only authorised documents/ records held
5) Access control over project records
NB without configuration management, several versions of documents/ product may be used and no one aware of which is the correct version. Also helps ensure project runs smoothly if key staff not available - 100Why is effective project control necessary?*PM responsible for monitoring/ controlling progress towards sucsessful project completion and ensuring moniting progress carried out and reported on a regular basis
*System needed to regularly gather data on actual progress, costs and performance and compare this to project plan - if there is deviation need to consider corrective action - 1) PM to report deviation, 2) authorisation obtained as needed, 3) corrective action taken to get project back on track
*Regular project reporting period to be set up (daily/ weekly/ monthly) depending on complexity/ duration of project - 101What are the main purposes of control systems?1) Prevention of deviations
2) Correction of deviations
3) Preventions of future deviations by revisiting plans/ targets/ measures etc
4) Implementation of reccomendations from monitoring, reviewing and evaluating the project - 102What is the Gido and Clements project control ssytem example?SEE DIAGRAM
- 103What is key to performance and conformance management?PERFORMANCE MANAGEMENT - required throughout project to assess progress of each aspect. Could include:
1) scope performance measures
2) functional quality measures
3) Technical quality performance measures
4) Client satisfaction measures
-it's especially important to measure time (via milestones), cost (via budget variances) and quality (via Project Quality Plans (PQP)!
CONFORMANACE MANAGEMENT - focuses on 1) inspection, 2) quality control, 3) quality assurance
- depends on compliance with technical specifications and relates to use of superior operations management to reduce waste, costs and increase uniformity
**For each element, control limits sohuld be set to assess seriousness of any deviation from plan** - 104What are the two most important elements used in the control of projects?REPORTS AND MEETINGS!
REPORTS - enhance and facilitate communication of control and progress through project life
MEETINGS - communicate progress of report and can enhance relationships with project team/ other stakeholders - 105What are key reports used in project management?1) Exception reports - if everything is in accordance with the plan, only exceptions are reported
2) Progress reports - both formal and regular, these note what has happened in the report period and the project status to date. Normally includes
a) status, against plan in terms of costs, timetable and scope
b) Status and progress of resolving issues identified to date
c) New issues
EG1) Corrective action plan - considers alternatives before implementation (e.g. adding additional resource to get back on time may incurr additional cost). PM to carefully consider implications of any corrective action
EG2) Expected achievement of milestones before next report
EG3) Next report date
*Reports from PM to project board should be made regularly. In most projects, monthly written report and then a major summary report quarterly. Should have standard format during a project so stakeholders familiar in content - 106What is key to project meetings for control within projects?*Regular meetings essential - communicates progress of project and can enhance relationships with project team/ other stakeholders
1) TEAM MEETINGS - PM to hold and may be formal or informal and held periodically or when specific issue to be resolved. Can foster good working relationships and ensures all team members aware of progress of project and any issues that have arisen
2) PROJECT/ REVIEW MEETINGS - regular, formal meetings involving PM, team members, customer/ steering committee. May take place quarterly and PM would present a summary report - those involved in project can ask questions not covered in written report. Allows for update on project status, idetification of any issues and establishing action plans
3) OTHER MEETINGS -
a) project problem solves - ad hoc basis
b) meetings with external parties - PM to arrange with suppliers/ sub-contractors etc - 107What is key to closing as a part of project management life cycle?*Closing the final stage and happens once the project is finished, need to then:
1) Ensure project delivered to users
2) Hold end of project meeting - confirms closure of project by formal sign off
3) Formally sign off project
4) Give project review meetings
5) Issue final project report
6) Disband the project team
- A review will also be held to determine how well the project was managed/ if deadlines met/ quality standards maintained/ budgets adhered to. Can give some lessons learned for the next project. Should be internal (with project team) and external (with customer) - 108What is key to end of project review meetings?1) INTERNAL REVIEW - with the team:
a) opportunity to review planning, manangment, reporting and control
b) opportunity to discuss success and failures of project
c) establish lessons learned for the future for benfit of other projects
d) opportuniity for PM to duscuss with individuals their role and the means they could improve their own performance in future
2) EXTERNAL REVIEW - with the customer
a) crucial for project closure
b) important for establishing whether project satisfied customer requirements
c) obtain feedback to help other projects
d) when customers voice any concerns regarding how project carried out - 109What is key to the final report during project closing stage of project lifecycle?Contents to include:
1) Brief overview of project
2) Customer original requirements and original project deliverables
3) List of deliverables which customer recieved
4) Actual achievements RE costs, schedules and scope
5) Degree to which original objective achieved
6) Future considerations
NB to produce the report, reference to be made to the following documentation:
1) Feasibility study/ report
2) PID
3) Project planning reports
4) Milestones and gates - 110What is the purpose of the closing stage of the process?1) To ensure project finally completed and conforms to latest definition of what was to be achieved
2) Formal comparison between PID and project outcomes
3) To evaluate performance of project against agreed levels of performance
4) Cost of system compared to budgeted cost with explaination of varaiances
5) Comparison of time taken to budgeted time
6) Effectiveness of management process
7) Significance of any problems encountered
8) To complete project termination activities (e.g. organising/ filing project documentation/ recieving and making final supplier payments/ agreeing formally with customer deliverables provided sucsessfullly/ meeting project team and customers to report on project successes/ failures/ disbanding project team
9) to provide CI and feedback
10) to learn from team experience - 111What is meant by Post Completion Audit (PCA) in a project lifecycle?*Few months after end of project, managers, users and developers have meeting to review success of project and any user feedback after now insitu
*May highlight specific problem area and could then take actions from this and may also help to determine whether project helped business deliver benefits as per original business case (e.g. savings)
*Primary benefit is to augment organisation's experienve and knowledge
*It may be hard to justify expense of audit, but expected savings to future projects should be offset against cost of the audit
*PCAs also include more realistic forcasting of project costs/ revenues, enhanced understanding of project failures and importved future decision makign - 112What are key areas in PCA?1) Technical performance review - was scope of project achieved?
2) Extent to which quality achieved
3) Whether benefits have been achieved
4) Cost/ budget performance
5) Schedule performance
6) Effectiveness of project planning/ control
7) Team relationships
8) Problem identification process
9) Customer relationships
10) Communication
11) Risk evaluation and assessment of risk management policies
12) Outstanding issues
13) Reccomendations for future managment of projects - 113What is key to continuous improvement in the closing stages of the project management lifecycle?*Project managment seen as a strategic competence in many organisations, from which they can gain a competitive advantage (especially in project-based industries e.g. engineering/ consultancy)
*Without CI their PM approach will continue to make same mistakes and poor practices carried forwards
*Excellence in PM requires development of strong approach (methodology), a culture that believes in the approach and an effort by all to continiouslly improve the approach
*Elements of CI seen in completion/ post- ocmpletion stages as part of internal review and PCA
*Learning takes place where project team reviews how well project carried out and considers lessons learned for future proejctes - 114What tools can be used for planning for activities and costs?*Workstream is the progressive completion of tasks done by different groups working on a single project
*Workstream emphasises non-linear method where people/ teams work together simultaneously for end product during project/ business process
*Since everyone on team is involved throughout the process they can make necessaru adjustments for more seamless outcome
*Unlie departments or people working in isolation to complete part of produt without getting fully involved in evolution of product - 115What are the breakdown structures for workstreams?1) Work breakdown structures (EBS)
2) Work packages (WPs) and Statements of Work (SOWs)
3) Product Breakdown Structure (PBS)
4) Cost Breakdown Structure (CBS) - 116What is meant by Work Breakdown Structure (WBS)?*WBS an important starting point for planning. Contributes to planning by:
1) Breaking down complex tasks into smaller ones
2) Sets out logical sequence of project events
3) Provides logical framework for making decisions
4) Provides input into subsequent project processes (e.g. estimating time/ resources)
5) Provides framework for continuous assessment of the project progression
6) Provides communication tool
(SEE DIAGRAM) - 117What is meant by Work Packages (WPs) and Statements of Work (SOWs)1) Work package specifies the work to be done for each package described in the work breakdown structures
2) Statement of work describes deliverables against which proect can be measured
3) Both types of document identify in detail work to be done and may state the standard to which the work is to be done
4) The statement of work also indicates who is reponsbile and when the work needs to be delivered - 118What is key to the Product Breakdown Structure (PBS)?*Products required for each activity would then be listed - e.g. for a long jump would need sand pit, white board, measuring equipment
*A description of machinery and equipment required for the project would be made
* This allows different suppliers to be compared - 119What is key to a Cost Breakdown Structure (CBS)?*This will include information gathered from
1) The WBS, WP, SOW and PBS
2) Capital and revenue costs identifed in cost-benefit analysis and feasibility study documents
NB it describes categories that require costing to ensure nothing is left out of budget process
- Numbers and costs then allocated to each product to create the detailed financial plan (budget) for the project - 120What are the benefits of using breakdown structures?1) Summarising the activities comprising the project, including support and other tasks
2) Displaying the interrelationships of the various jobs (work packages) to each other and the total project
3) Establishing authority and responsibility for each part of the project
4) Estimating project cost
5) Performing risk analysis
6) Scheduling jobs (WIP)
7) Providing a basis for controlling the application of resources to the project - 121What is key to Project Quality Plan (PQP) in planning for quality?- major document details standards that must be adhered to in order to enusre suscessful development process, Provides clear indication of procedures/ policies that must be followed to maintain quality within the work carried out
Includes:
1) Risk Assessment
2) Project overview
3) Project requirements
4) Project organisation
5) Monitoring and reporting procedures
6) Key development stages and processes
7) Key standards to be used in the project (quality assurance)
8) Testing strategy
9) Procurement policy
10) Configuration Management - 122What are key elements of Project Quality Planning (1-5)?1) Risk Assessment - of possible internal and external risks that are likely to affect project and alternative actions required to reduce the risks
2) Project Overview - outline of main activities to be carried out
3) Project Requirements - details of description of work to be carried out, timescales, deliverables and cross referenced to requirement specs
4) - 123What are key elements of Project Quality Planning (6-10)?6) Key Development Stages and Processes - activities that will need to be completed during the life cycle
7) Key Standards to be used in the Project (Quality Assurance) - will help ensure quality outputs, standards that nneed to be be evaluated and will include hardware/ software and development standards (e.g. notation of modelling techniques)
8) Testing Strategy - this will identify stages of development where testing to be carried out, by whom and of what
9) Procurement Policy - procedures and standards for procurement will be stated and any variation from normal procedure noted, with reasons
10) Configuration Management - how this will be dealt with should be set out so each version of deliverables identified - 124What techniques can be used to plan for time?1) Network Analysis - a general term, referrring to various techniques to plan/ control projects. Analyses inter-relationships for tasks and their work breakdown structure to define dependencies of each task. When laying out can then see any assumptions for order of work which are not logical or could be more cost-effective if re-ordered.
2) Critical Path Analysis (CPA) - a component part of network analysis (AKA network analysis). Most commonly used technique for managing projects - 125What is the process of CPA (Critical Path Analysis)?1) Analyse the project - breakdown into small tasks and consider how these relate to each other (e.g. can some not be undertaken until other work is complete?)
2) Draw the network - sequence of activities/ tasks shown diagramatically
3) Estimate time and cost of each activitiy
4) Locate critical path - the chain of events that determines how long project will take. Any delay to one task will delay whole project. Non-critical activities may not affect overall completion timetable if they're delayed
5) Schedule project - determine chain of events that leads to most efficient and cost effective schedule
6) Monitor and control progress of project - implies careful attention to schedule/ any other progress charts that have been drwn up to monitor actual progress in loght of planned achievement
7) Revise Plan - may need to be modified to take account of problems that occur during progress of project - 126What is key to drawing a network diagram?SEE DIAGRAM!
*Made of two parts, 1) activity lines, 2) nodes
*Drawn and read L to R
*Each activity represented by an arrow
*Activitiy letter/ description written on the arrow
*Activities on critcal path identified with //
*Activities start and finish in circles (nodes) - (O)
*Nodes numbered so each node has a unique identifier
*Nodes contain two times
1) EET - earliest event time, earliest time an activity can be achieved
2) LET - latest event time - latest time the node must be reached if project to be finished by required completion date - 127What is key to drawing the network diagram?1) Draw dot-to-dot diagram - can be completed quickly and allows the logic to be tested before drawing final version
2) Once network drawn, calculate EET and LET for each node
3) To calculate EET, work L to R. Take EET from previous node and add duration of activity. NB when have choice of EETs, always select HIGHEST
4) To calculate LET, work L to R. Take LET from previous node and deduct duration of activity. NB when have choice LETs, always select the LOWEST - 128How is a network diagram drawn?1) EET and LET of final node will always be sam and will equal overall duration of the project
2) Can identify the critical path i.e. the activities where any delay will lead to delay in overall project (these activities, EET = LET)
3) Some activites could increase in duration and yet project could be completed by required target date. These activites said to have 'float' - float can generally be calculated as the difference between the LET and EET - 129What are key rules for drawing the network diagram?*If two activities occur in parallel, DUMMY ACTIVITY LINES are inserted to allow only one activity arrow to join nodes together
*Dummy activities do not consume time or resource and are drawn on the diagram to make it clearer (Dummy Activity Time Value = 0)
*Loops are not allowed as network shows series of activities over time. Focuses on time not sucsessful completion of activities. You cannot have series of activities leading from one event that lead back to same event
*Activity can only occur once, so there cannot be two lines with the same activites - 130What are the benefits and limitations of CPA?LIMITATIONS
1) May be time consuming to produce and monitor large projects
2) Difficult to use for less routine projects with lots of uncertainty
3) Overly complex for some smaller short-term projects
BENEFITS
1) Assist in identifying all activites required for completing project
2) Will assist in identifying activities that need to be completed before next activity can start (dependent activities) and those that can happen at the same time (parallel activties)
3) Network diagram will identify activities that lie on critical path. These activities cannot overrun otherwise would delay overall project
4) Network diagram will identify activities that are non-critical and exhibit float/ buffer. Allows managment to rank each activity in relation to flexibility avilable
5) Shows minimum completion time for project and allows sensitivity analysis to be introduced - 131What is a technique for planning for resources?RESOURCE HISTOGRAMS (see diagram)
- a graphical aid to determine total requirement for a specific resource for the project
- identifies in block graph form the fluctuating need for finance, staff, technology resources, vendor services at any stage of a budget which can assist in planning
*Reallocation of key takss can reduce excessive requirement in certian periods providing a smooth flow of resource through the project
*Smooth flow easier and cheaper to plan for
*Histogram may assist in control activities
*Resource histogram shows amount and timing of requirement for a resource or range of resources using a stacked bar chart
BENEFITS OF RESOURCE HISTOGRAM:
1) helps with capacity planning, resource scheduling and management
2) resource availbalbity and allocations can be shown to highlight any overloads or under-utilisation
3) Easy visulaistion of resource requirements
4) Drawn in real time - 132What is key to project management software?*Can assist at planning stage in production of network diagrams, Gantt charts and resource histograms
*Number of different software packages on the market and type of output produced will vary on package being used
*Can be used for:
1) Planning - create network diagrams, Gantt charts and PID, PQP, WBS
2) Estimating - ability to consider alternative resource allocations, create and allocate project budgets and allocate time to multiple tasks
3) Monitoring - network links to all project team members, central store for all project results/ documentation and automatic comparison to plan and plan revisions
4) Reporting - access to team members, ability to create technical documents and end of stage reports - 133What are advantages to using project management software?1) Improved planning and control - all project data can be held centrally which facilitates comparison between planned and actual data
2) Improved communication - in creation of technical documents/ calendars/ report generation and scheduling of activities
3) Improved quality of systems developed
4) Accuracy - in large project, mannually drawing network diagrams prone to error
5) Ability to handle complexity - PM software indespensivle for managing and controlling large volume of activities
6) What if analysis - see effect of different scenarios by altering elements of project data. Enables PM to plan for contingencies and to assess consequences
7) Timesheet recording - to ease PM burden of recording actual effort and revised estimates to complete a task, PM software packages allow data to be captured from each team member - 134What is important to consider when choosing project management software?1) Determine requirements of organisation including its current and future needs
2) Document requirements including essential functions/ important/ wish list
3) Review all available packages to identify 3/4 products which meet essential functions and fall within budget
4) Have demonstration of package on trial basis if possible
5) Select package including 'roll out' strategy with installation, training etc - 135What are key project management software functions?1) Budgeting and cost control - variances to be reported at any point in the project
2) Calendars - used for reporting periods and define work periods
3) Graphics - e.g. Gantt charts
4) Multiple project handling - large projects brokendown to smaller ones
5) Planning - all PM software allows user to define activities to be performed - maintains detailed task lists and creates CPAs
6) Scheduling - most systems auto build Gantt charts/ network diagrams based off task/ resource lists and any changes to those lists will create a new schedule. Could also schedule recurring tasks, to set priorities for tasks
7) Resource planning - ensure correct level of manpower, equipment and material at right place at right time and right quantities
8) Resource histograms - visual display to PM to show useage/ availbility of resources over product life. Allows PM to see where either too few resources or where there are either too few resources or a surplus for a particular activity
9) Reporting - generation of standard reports/ progress to date/ budget/ resource allocations/ indivudal tasks/ WBS - 136What project management methodologies are there?*Sets of guidelines which defines methods/ processes to be followed to help project be delivered sucsessfully
*Can be systematic/ disciplined approach to PM
*Development of standard processes helpful as together with standard templates for documents used can help project issues to be anticipated and worked around
*PRINCE2 or PMBOK often used - both approaches customisable which beneficial as it allows for better integration into level of PM maturity organisation currently at and aspires to be at in the future
*PMBOK provides knowledge base/ roadmap for effective project management
*PRINCE2 provides more 'how to' approach - 137What are the benefits and limitations of a single methodology?BENEFITS:
1) provides structured step-by-step approach to managing projects
2) Stages in methodology become familiar which speeds up project completion
3) Helps to keep the project on track and to identify any deviations at early stage
4) Users familiar with tools and reports used, so can compare different projects
5) Team members and project managers become familiar with approach used and improves overall management projects
6) Methodology can be developed over time and can result in best practice approach
LIMITATIONS
1) If methodology selected unsuitable, it may make managing projects more difficult
2) No one methodology can be suitable for all projects
3) All projects different, so methodology may need modifying for each project but this may be difficult
4) Some methodologies too detailed for smaller projects
5) Strictly adopting methodology may become too bureaucratic
6) All features of methodology may not be required for all projects - 138What is key to PRINCE2 methodology?*UK Gov launched PRINCE in 1989 since it has been adopted by many organisations both within government and in outside industry
*PRINCE2 - PRojects IN Controlled Environments, V2 is a processed-based approach for project management providing easily tailored and scaleable method for management of all types of projects
*Each process defined with its key inputs/ outputs in addition to specific objectives to be achieved and activities undertaken - 139What is the main purpose of PRINCE2?*To deliver a successful project - defined as
1) delivery of agreed outcomes
2) on time
3) within budget
4) conforming to the required quality standards
NB - to do this contains large number of control elelments and structure and doucmentation required at every level - 140What are the main control features of PRINCE2?1) enforces clear structure of authority and responsibility
2) ensures production of key products (PID/ project budget, plan and progress reports)
3) Gives clear understanding of tasks to be completed
4) Contains several quality controls, such as clearly defined procedures - 141What do the major component parts of the PRINCE2 methodology address issues of?1) ORGANISAITON - PRINCE2 suggests using org. chart for project so clear structure of authority/ responsibility. Responsibilities are defined in terms of roles rather than indiviudals. SEE DIAGRAM for structure
2) PLANS - for sucsessful control, including everything that needs to be delivered (time, quality, responsibility, communication)
3) CONTROLS - regular/ formal monitoring of actual progress against plan to ensure timeliness, cost control and quality of report
4) PRODUCTS - includes number of tools assocuated with contol of porjects (initiation document, budget and progress reports)
5) QUALITY - defined and controlled on the project. Aim should be 0 defects. PQPs should set standards
6) RISK MANAGEMENT - identifying types of risk will allow to plan to reduce/ avoid them
7) CONTROL OF CHANGE MANAGEMENT - and configuration management - any change to project should only be after appropraite approval authorised. - 142What are the PRINCE2 process areas (1-3)?1) Starting a project - a pre-project process, which involves designing/ appointing PM team, creating initial stage plan and ensuring information required by project team is available
2) Initiation - similar to a feasibility study. Establishes whether or not there is justification to proceed with project. Project Board take ownership at this step
3) Managing stage boundaries - primary objective of step is to ensure all planned deliverables completed as required. Project Board provided with information to approve completion of current stage and authorise start of nect. Lessons learned at earlier stages can be applied at the next - 143What are the PRINCE2 process areas (4-6)?4) Controlling a stage - monitoring/ controlling activities by PM and includes day-to-day management of project
5) Managing product delivery - includes effective allocation of Work Packages and ensuring work carried out to required quality standard
6) Project closure - formal and controlled close approved by Project Board. Establishes objectives met, formal acceptance of deliverables by customer and identifies lessons learned. End Project Report completed and project team disbanded - 144What is key to PMBOK (The Project Management Body of Knowledge)?*Although not strictly a methodology, but a best practice project management principles and processes
*Describes 9 key areas in terms of inputs, outputs and tools/ techniques and how they fit together
*Not intended as an alternative to the project life cycle but as a view of the knowledge/ skills required to carry out each stage of the lifecycle (more like a toolbox) - 145What are the 9 key areas of PMBOK?1) Integration management - processes for ensuring that various elements of project are properly co-ordinated
2) Scope management - processes for ensuring that the project includes all the work required only the work required to complete the project successfully
3) Time management - processes for ensuring timely completion of project. Projects are finitie and time is one of main limits
4) Cost management - processes for ensuring that the project completed within approved budget. All projects have a budget.
5) Quality management - processes for ensuring project will satisfy needs for which it was undertaken
6) Human Resource Management - processes required to make most effective use of people involved in project
7) Communications management - processes required to ensure timely/ appropariate generation, collection, dissemination, storage and ultimate distribution of project information
8) Risk management - processes concerned with identifying, analysing and responding to project risk
9) Procurement - processes for acquiring goods/ services from outside performing organisation - 146Why do some projects fail (1-3)?*Despite use of strong project methodology, extensive use of PM software and detailed project planning, projects can still go wrong
1) Poor leadership - PM without required skills may not manage team properly
2) Emphasis on maintaining plan rather than managing project - in large project, maintaining plan can be full time task. Can leave little time for dealing with project issues. PM to delegate and recieve regular reports
3) Resources not managed realistically - applies when tasks over budget. Adding new people at late stage can add delays and can divert attention from other team members - 147Why do some projects fail (4-6)?4) Poor estimates - for planning purposes, accuracy of estimates vital to identification of critical path and key milestones. However, are subjective and can vary wildly. Are made at a fixed point in time with particular set of assumptions
5) Inadequate skills - projects require project teams made of individuals with right skills sets. It matter which person does which task and this is not always well planned
6) Work breakdown - when work breakdown into tasks does not match with how people work. Work breakdown assumes discrete units of work that someone would spend a fixed amount of time on a task before moving to the next task and not all projects work in this way - 148What is key to risk and uncertainty in project planning?- during initiation stage, important to undertake risk assessment to consider risks associated with proposed project and consider how the risks can be managed
SEE DIAGRAM!
1) Identify risk - produce list of risk items
2) Analyse risk - assess risk in terms of probability of it materialising and potential impact if it were to materialise
3) Prioritise - produce ranked order of risk items
4) Management - plan how to address each risk item (avoid/ transfer or reduce risk)
5) Resolution - produce situation in which risk items are avoided/ reduced
6) Monitoring - continually monitor progress to resolving risk and identifying any new risks - 149How can risks be managed once identified?*Dependent on their relative likelihood and impact - see risk grid
1) Accept - low impact, low likelihood
2) Reduce - low impact, high likelihood
3) Transfer - high impact, low likelihood
4) Avoid - high impact, high likelihood - 150What are the different ways of managing risk?1) Transfer - low likelihood, high impact - could subcontract to those that can handle the risk e.g. a specialist supplier who can insure against the risk
2) Accept - low likelihood, low impact risks can be accepted - some risks ineviatble when doing bussines. Importnatn to continue to monitor through to ensure potential impact/ likelihood does not increase
3) Reduce - high likelihood, low impact should be reduced. Alternative course of action could have lower risk exposure so could be taken or investment made in capital/ security to protect against risk/ limit consequences. May need more internal controls
4) Avoid - high likelihood and high risk should be abandoned - 151What is key to uncertainty?*Uncertainty impossible to evaluate as not possible to assign probability to uncertain event (unlike risk, which you can)
*If event is uncertain, cannot put in place management control to reduce probability of occurance- instead need contingency planning - 152What is key to contingency planning?*Involves considering alternative actions which could be taken if uncertain events occur
*Purpose is to avoid unnecessary delays in the project
*May never be used, but can do it whenever suits - if we wait for the uncertain event before planning, this can cause delays
*Could include:
1) contacting lenders to disucss additional finance
2) Re-planning remaining project with longer duration
3) Identifying if required materials availble from other possible suppliers - 153How can risk and uncertainty be dealt with when planning for time?*At initiation stage of project, risk and uncertainty are considered, but need to be again when project manager is planning time aspect of the project
*Can use following techniques:
1) Project evaluation and review technique (PERT)
2) Scenario planning
3) Buffering - 154What is PERT (Project Evaluation and Review Technique)?*Used to overcome uncertainties over times taken for individual activites in a network diagram
*Each task assigned a time:
1) Optimistic (best time) - o
2) Probable time - m
3) Pessimistic (worse time) - p
- can then calculate expected time using a formular with calculates variances for each activity and hte likelihood a set amount of activities can be completed within a certain time
*Expected time for each activity =
(o + 4m + p/ 6)
ADVANTAGES:
1) gives expected completion time
2) gives probability of completion before specified date
3) gives a critical path
4) gives slack through earliest and latest start times
5) allows calculation of contingency to be added to the plan
LIMITATIONS:
1) activity times v. subjective
2) assumes probability distribution of project completion time as the critical path - 155What is key to scenario planning?*Whatever risk is identified as taking form of alternative outcomes, a series of contingency or scenario plans may be constructed for each alternative
*Involves considering one or more set of circumstances that might occur other than the most likely or expeted used to prepare the budget/ plan for the project
*Each set of assumptions then tested to establish what outcome would be if each of those circumstances did occur
*Allows PM to switch to the appropriate plan whichever circumstance arises - 156What is key to buffering?*More simple apprach - incoroprates risk by adding artificial slack into risky activities
*adds padding to original estimates and allowd for fact it can be difficult to ensure all stages/ actiities carried out as planned
*Should not be encouraged as leads to build up of slack and can lead to conplacency - 157What is key to Gantt charts?*Alternative/ complementary approach to network analysis
*Provides graphical representation of project activities can can be used in planning and control
*Horizontal bar chart where length of bar represents duration of the actiivity
*When helping to control a project, usually use two bars, one showing planned and one actual
To create a Gantt chart:
1) display schdule of activities using bars
2) List activities down side of page
3) Use horizontal timescale, draw bar for each activiity for the period over which it is to be performed
4) Buth budgeted and actual timescales can be shown on the same chart - 158What are the benefits to Gantt charts?BENEFITS (NB shares some advantages with network analysis):
1) Assists in identifying all activities required for completing the project
2) Assists in identifying activities needing to be completed before next activity can start (dependent activity) and those that can happen at same time (parallel)
3) Shows minimum completion time for the project and allows sensitivity anlaysis to be introduced to the project
*NB in addition to network analysis...
4) Easier visulaistion of relationships
5) Activities drawn to scale (unlike CPA) so most significant activities can be highlighted
6) Drawn in real time
7) Actual durations can be shown alongside budget
8) Aids resource allocation - 159What are the limitations to Gantt charts?*Can be of limited use when dealing with large project teams - more complex the tema, more likelihood of schedule delays*
1) Does not identify potential weak links between phases
2) Chart foes not reveal team problems due to unexpected delays
3) Chart foes not coordinate resources and networking requiremnts needed at critical phases of the schedule
4) Does not show degrees of completion for each stage - 160What is meant by milestond control gates?*One of main reasons for constructing network diagram is to improve control of project duration
*To facilitate, number of milestones to be identified in network. Not specifically shown on diafram (except end activties), but are shown on Gantt chart as small traingle/ other symbol
*MILESTONE = event clearly identifiable as measure of how far project has progressed. how far it has to run
- involves partitioning project to identifiable/ manageable phases that define key events and unabigious targets for what needs doing, when
- important for assesing staus of project and quality of work. Monitoring milestines allows PM to contol over progress and identify delays immediately
*CONTROL GATES - milestones that are key points in project lifecycle and give sponsor/ steering committe opportunity to review project progress/ make decision whether to proceed or terminate project
- gate can only be 'passed' if progress meets pre-defined performance standards (e.g. in technical reviews/ completion of documents).
-control gates should be on project plan and review required to formally pass each gate - 161Who is involved in projects?*Need right people involved at right time - knowledge and skills
*After need for project identified and methodology selected, need to make desionsion about who to have on project
1) Project manager
2) Project team
3) STAKEHOLDERS - interested parties
4) Project structure - 162Why does a project have a heirarchical set of relationships?*Much like an organisation, in place for
1) to create structure of authority so everyone knows who can make decsions
2) to create a series of superior-subordinate relatinships so each individual/ group has one 'boss'
NB - project stakeholders should all be committed to achieving a common goal (the sucsessful completion of the project) - 163What is meant by the stakeholder hierarchy for projects?*SEE DIAGRAM**
Gido and Clements (1999):
1) Project sponsor - provides resources for project
2) Project owner - interested in end result being achieved
3) Project customer - end user
4) Project manager - responsible for overall project output
5) Project team - responsible for achieving project tasks
**Decreasing project brief, allocation of funds in terms of refernece and increasing project proposals, schedules and status reports**
NB - in small projects the sponsor, owner and customer may all be the same person - 164What are the roles of the project sponsor?1) PROJECT SPONSOR
- makes yes/no decisions, responsible for approving project plan
- initiates project - ensures there is a business case to justify the project
- appoints PM
- provides resoures for the projject that are sensible for its budget
- monitors project progress from information provided by PM
- provides support/ senior managment committment to project - 165What is the role of a project owner*Person for whom project being carried out
*Interested in end result being achieved and needs being met
*More concerned with the scope and functionality than budget
*May be head of department/ represent users
*A senior stakeholder who would usually sit on the steering committee and may chair comittee instead of project sponsor - 166What are the roles of the project customers/ users?*These are the group of people the needs of the project should satisfy
*As this stakeholder is a 'group' it could be difficult to get agreement from customers as what needs are and there may be conflicts within the group
*Should be invitied to take part in the prokect - representation on steering committee or part of project team
*Watch they don't try to hijack project to suit own personal needs! - could bring into conflict with project owner despite being on 'same side' - 167What are the roles of the project manager?*Responsible for sucsessful delivery of project objectives to satisfaction of final customer
*Projects are interdisciplianry and may cross organisational reporting lines - PM needs to manage, report, coordinate, control and communicate project tasks
1) ensure project objectives achieved
2) make decsisions relating to system resources
3) planning, monitoring and controlling project
4) selecting, building and motivating project temas
5) serving as point of contact with management hierarchy
6) communicating with chain of command
7) selecting/ managing subcontractors
8) reccomending termination where necessary - 168What are the roles of the project team?*individual responsibility for parts of the projects
*Projects often interdisciplinary and cross organisational reporting lines
*Project team likely drawn from different functions/ divisions, so has those responsiblities as well as the memebership of the project team - 169What are the roles of the project steetring committee/ prjoect board?1) Overseeing project and making high level decisions
*In smaller projects, may be one or the other but large tend to have both - if have both the project board sits above the steering committee in hierarchy
*Steering committee may meet monthly, board less frequently
*Progress reports need to be provided
*Steering committee/ board will normally be chaired by project sponsor and members to represent major areas of interst in proect - representitives of each area to have sufficient seniority to have authority to take decisions on behalf of their areas - 170What is key to the project champion and other stakeholders?PROJECT CHAMPION
*Some high profile proects will have a champion/ supporter
*Informal role with no decision making or reporting responsiibliy
*Campaigns on behalf of proejct at highest levels of organisation - show support of project by marketing it at every opportunity
OTHER STAKEHOLDERS
*Suppliers/ subcontractors/ specialists
*Each have own objectives some of which may conflict with the project (e.g. reducing scope/ quality to reduce cost) - 171How can Certified Management Accountants take part in projects/ what is their role?1) PM - range of skills such as leadership, communication and analytical skills
2) Project sponsor - supplies funding for project and may often be senior member of finance function
3) Project customer/ user - all areas within organsaiton can be affected by projects - many projects impact on ifnacnial system and procedues.
4) Member of project teams - bring financial knowledge and able to analyse and advise on financial impact of project on the organisation
5) Providing finaical information on the project - involved with supplying dincial information to project manager - including when economic feasability being consiered for cost/benefit analysis. Variances usually provided by MA - 172WHat is key to managing stakeholder relationships?*At begining of project, potential stakeholders need to be identified and their interest/ power in project assessed
*This helps enable relationships in the group be manager
*Plan to secure and maintain support/ forsee and react to any problems
*PM to focuse on where there amy be vulnerability to the project
*PM to balance beliefs, balues and assumptions
*Once stakeholders identified, can be mapped in relation to:
1) likelihood of each stakeholdre group attempting to impress expectations on others
2) power and means avaible for them to do so
3) impact of stakeholder expectations on the project
NB Mendelow's matrix/ others could be used to aid PM - 173What is key to dealing with stakeholder conflict?*Most conflict arises withinteraction of individals and PM must have interpersonal skills to manage this
*Stakeholders may not share the same objective and therefore conflict may arise due to:
1) unclar project objectives
2) role ambiguity and performance targets
3) unclear schedules and performance targets
4) low level of authority given to PM
5) remote function groups within project, almost working indepndently
6) interfernce from local or functional management
7) personality clashes/ different styles of working
*PM should establish framework for disputes to include:
1) risk management- since unforseen event has potential to create conflict
2) duspute management - matching dispute procedures with minimum impact on costs, progress and goodwill - 174What techniques are used for dispute management?1) Negotiation - parties to discuss the problem which may or may not resolve it
2) Mediation - 'assisted negotiation' - a neutral 3rd party (mediator) intervenes to reach a mutually agreeable solution. In practice, disputes often resolved by accepting view of stakeholder that has financial responsiblity of the prokect. Mediation may only delver oucome which is reflection of original power imbalance
3) Partnering - focuses on creating communication links between project participants to direct them to common goal ahead of own self interest
4) Compromise - most obvious approach, but does imply both parties in conflict must sacrifice something - 175What skills are required by the project manager?1) Leadership
2) Delegation
3) Change/ configuration management
4) Communication
5) Problem solving
6) Financial awareness
7) People skills
8) Technical awareness
9) Planning and control
10) Negotiation - 176What are the main PM skills (1-4)?1) LEADERSHIP - ability to obtain results from others through personal direction/ influence. PM to motivate team to create a team objective they want to be part of
2) COMMUNICATION - regular communication required with many groups - boards, subcontractors, the team etc. Communication essential for progresion of project, identifying problems, generating solutions and keeping up to date with requiremetns and perceptions (use team meetings, customer meetings, information meetings with team members, written reports to senior managemet/ customer, listentiing to other stakeholders)
3) NEGOTIATION - variety of issues from resources to priorities etc. May have to negotiate with someone they have no authority of (e.g. customer)
4) DELEGATION - communicate and clarify project objective to the team and further clarify individual team roles within the objective. Empower team to accomplish expected tasks - 177What are the main PM skills (5-6)?5) PROBLEM SOLVING - information gathering, encouraging team to try to solve themselves first, large/ critical issues must be reported to PM
6) CHANGE MANAGEMENT SKILLS - change may be requested bey cusomter/ project theam/ caused by unexpected events or required by users of final project outcome. Need to manage and control change - impat must be kept to a minimum and may affect time in project lifecucle when change identified. Later change identified in a project lifecycle, the greater the likely impact on achieving the overall objective sucsessfullly. Most likely to be affected by change is the budget and lifecycle - 178What is key to the project team management?*Basic project team = PM and group of specialists assigned to/ recruited for the project
*Should include everone who will significantly contribute to the project, both managerial and non/ full or part time
*Team mebers expected to attend project meetings and to partipate in project decision making - care to be taken to ensure no non-performing members
*Likely to be mix of stadd with different skills/ experince - meetings to help foster working relationshipd and team cohesion
*Ideal project team to complete on time, within budget and to specifications - all with minimum amount of supervsion from PM
*PM to get indivudal view on project from 'big-picture' perspective and to concentrate on overall project goals - 179What is key to the lifecycle of project temas?TUCKMAN's model of team development:
1) FORMING - collection of individuals brought together, often from different areas of organisation. PM has important roles to provide clear director and ensure they understand project objectives
2) STORMING - indivudals start operating as team and likely to see some conflict against PM/ their roles et.c PM must demonstrate strong conflict resolution leadership
3) NROMING - individuals settle into roles and teams start to perfom. PM begin to pass control and decision-making authority to team members
4) PERFORMING - team capable of operating at full potential at this stage. PM concentraes on perfomance of project
5) ADJOURNING (dorming) - once objectives achieved, team can be dissbanded and individual can go back to previous role. move on to work on new project
SEE DIAGRAM TOO!
NB other models of team building (e.g Belbin) can be applied to project teams - 180What is key to managing project teams?*Two particular characteristics:
1) Each project a complete entity and unique in terms of experiences, problems, constraints and objectives
2) Memers of teams may not have worked together as a group on any previous occasion
*Style of managment of team must be relvant to the appraoch for the team climate
*Planning and control of team activities vital for management in that major project cost where team members not undertaking their own tasks, but taken from them temporarily
*Need unambigious statements of:
1) the project objectives - what is to be achieved?
2) project methods/ approach - how is it to be achieved?
3) location of activities - where is it to be achieved?
4) allocation of responsibilities - what is to be done by whom?
5) project budget - at what cost? - 181How are project teams led and motivated?*PM cannot complete project on own - requires effective teamwork/ team motivation
*To foster motivated team environment, PM to understand his/ her team members first to understand what motivates them
*PM to attempt to create supportive project envinoment where team members enthusiastic to overall objective - 182How can the PM create an environment where team members enthusiastic to meet objective(s)?1) Ensure team made of correct people - PM to be aware of Belbin's model and ensure all roles for team working met and team members can fully participate in their role with correct knowedlge/ skills
2) Adequate knowledge/ experinece in team - PM to ensure all team members able to participate full
3) Adopt participtive style of management
4) Encourage participation in project decision making
5) Delegate decisions to team mebers, encouraging involvement/ ownership
6) Hold regular project meetings so team members can participate views and put foward their opinions
7) Hold regular 1-2-1s with individual team members, encouraging them to put forward own ideas and suggesions for project improvement
8) Ensuring conflict minimised by ensuring all team members are clear about htier role and what is required of them
- PM needs to demonstate they have value contribution made by team members that their contirbion is imortant to overal lproject - 183What is the key to project structure?*Establish effective PM structure essential for sucsess
*Project needs management, direction, control, commnication in structure that differs from line managment
*Strucuture needs to be more flexible - likely require broad base of skills for specific period of time
*PM needs clear structure, consisting of roles/ responsiblities that bring together various interests/skills involved in/ required by the project
*In conventional (function/divisional) structures - often lack of clarity as how authority divided between line managers/ PMs
*If project relatively small/ short term may not be major issue
*However, if project forms a maor part of business this may necessitate an organiation strucrure such as matrix, where lines of authority are clearer - 184What is key to a matrix project structure?*Matrix structure aims to combine benefits of decentralisation (motivation of identifiable management teams, closeness to market, speedy decision making) and those of co-ordination (achieiving economies/ synergies across all business units, territories and products)
*Matrix structure seeks to add flexibility/ lateral coordination
*You could create project teams made of members deawn from variety functions/ divisions
*Each individual has dual role they maintain their functional/ divsional responsiblities as well as membership of project team
*Both vertical and horizontal relationships emphsised and employees have dual reporting to managers
SEE DIAGRAM - 185When is a matrix structure most suitable?1) business of organisation consists a series of projects, each requiring staff and resoures from number of technical functions
2) Projects have different start/ end dates so organisation continually reassigning resources from project to project
3) Project are complex, so staff benefit from being assigned to techincal function (finance/ logisitics) where they can share knowledge with colleagues
4) Projects are expensive so having resources controlled by functional heads should lead to improved utilisation and reduced duplication across projects
5) Projects customer-facing so customer requires a single point of contact (the PM) to deal with thier needs/ problems - 186What impact can a matrix structure on the achievement of a project?1) Improved decision making by brining wide range of expertise to problems that cut across departmental/ divisional boundaries
2) Replacement of formal control by direct contact
3) assists in development of managers by exposing them to company-wide problems/ decisions - 187What disadvantages can there be of a matrix structure on project achievement impacts?1) Lack of clear responsiblity
2) clashes of priority between product/ function
3) functions loose control of psycholocial contact
4) career development can often be stymied
5) dufficult for one specialist to appraise performance of another discipline in multi-skilled temas
6) project managers reluctant to impose authoirty as may be subordinates in a later project
7) employees may be confused by two reporting bosses
8) managers will need to be able to resolve interersonal friction/ may need training in human relations skills
9) managers spend a great deal of time in meetings to prioritise tasks - 188—
Informações
- Descrição
- FlashCards sobre E2 - Part 2, criado por P H em 15-04-2025.
- Criado por
- P H · abr 2025
- Atualizado
- 15 mai 2025
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