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CHAPTER TEN 
Leadership: 
Being an Effective 
Project Manager 
McGraw-Hill/Irwin 
Copyright © 2011 by The McGraw-Hill Companies, Inc. All 
rights reserved.
10–3 
Managing MMMaaannnaaagggiiinnnggg vvvveeeerrrrssssuuuussss LLLLeeeeaaaaddddiiininnngggg aaaa PPPPrrrroooojjjejeeecccctttt 
• Managing—coping with 
complexity 
– Formulate plans and 
objectives 
–Monitor results 
– Take corrective action 
–Expedite activities 
–Solve technical problems 
–Serve as peacemaker 
–Make tradeoffs among 
time, costs, and project 
scope 
• Leading—coping with 
change 
–Recognize the need to 
change to keep the project 
on track 
– Initiate change 
–Provide direction and 
motivation 
– Innovate and adapt as 
necessary 
– Integrate assigned 
resources
10–4 
MMMMaaaannnnaaaaggggiiininnngggg PPPPrrrroooojjjejeeecccctttt SSSSttttaaaakkkkeeeehhhhoooollldldddeeeerrrrssss 
• Project Management Maxims: 
–You can’t do it all and get it all done 
• Projects usually involve a vast web of relationships. 
–Hands-on work is not the same as leading. 
• More pressure and more involvement can reduce 
your effectiveness as a leader. 
–What’s important to you likely isn’t as important 
to someone else 
• Different groups have different stakes (responsibilities, 
agendas, and priorities) in the outcome of a project. 
–Remember: project management is tough, exciting, 
and rewarding—endeavor to persevere.
10–5 
NNNNeeeettttwwwwoooorrrrkkkk ooooffff SSSSttttaaaakkkkeeeehhhhoooollldldddeeeerrrrssss 
FIGURE 10.1
10–6 
IIIInnnnffffllluluuueeeennnncccceeee aaaassss EEEExxxxcccchhhhaaaannnnggggeeee 
• The Law of Reciprocity 
–One good deed deserves another, and 
likewise, one bad deed deserves another. 
• Quid pro Quo 
–Mutual exchanges of resources and services 
(“back-scratching”) build relationships. 
• Influence “Currencies” (Cohen and Bradford) 
–Cooperative relationships are built on the exchange 
of organizational “currencies” (favors).
10–7 
Commonly CCCooommmmmmooonnnlllyyy TTTTrrrraaaaddddeeeedddd OOOOrrrrggggaaaannnniiizizzzaaaattttiiioiooonnnnaaaalll l CCCCuuuurrrrrrrreeeennnncccciiieieeessss 
Task-related currencies 
Resources Lending or giving money, budget increases, personnel, etc. 
Assistance Helping with existing projects or undertaking unwanted tasks. 
Cooperation Giving task support, providing quicker response time, or 
TABLE 10.1 
aiding implementation. 
Information Providing organizational as well as technical knowledge. 
Position-related currencies 
Advancement Giving a task or assignment that can result in promotion. 
Recognition Acknowledging effort, accomplishments, or abilities. 
Visibility Providing a chance to be known by higher-ups or significant 
others in the organization. 
Network/ Providing opportunities for linking with others. 
contacts 
Source: Adapted from A. R. Cohen and David L. Bradford, Influence without Authority 
(New York: John Wiley & Sons, 1990). Reprinted by permission of John Wiley & Sons, Inc.
10–8 
OOOOrrrrggggaaaannnniiizizzzaaaattttiiioiooonnnnaaaalll l CCCCuuuurrrrrrrreeeennnncccciiieieeessss ((((ccccoooonnnntttt’’’d’ddd)))) 
Inspiration-related currencies 
Vision Being involved in a task that has larger significance 
for the unit, organization, customer, or society. 
Excellence Having a chance to do important things really well. 
Ethical correctness Doing what is “right” by a higher standard than efficiency. 
Relationship-related currencies 
Acceptance Providing closeness and friendship. 
Personal support Giving personal and emotional backing. 
Understanding Listening to others’ concerns and issues. 
Personal-related currencies 
Challenge/learning Sharing tasks that increase skills and abilities. 
Ownership/involvement Letting others have ownership and influence. 
Gratitude Expressing appreciation. 
TABLE 10.1 (cont’d) 
Source: Adapted from A. R. Cohen and David L. Bradford, Influence without Authority 
(New York: John Wiley & Sons, 1990). Reprinted by permission of John Wiley & Sons, Inc.
10–9 
SSSSoooocccciiiaiaaalll l NNNNeeeettttwwwwoooorrrrkkkk BBBBuuuuiiililldldddiiininnngggg 
• Mapping Dependencies 
–Project team perspective: 
• Whose cooperation will we need? 
• Whose agreement or approval will we need? 
• Whose opposition would keep us 
from accomplishing the project? 
–Stakeholders’ perspective: 
• What differences exist between the team 
and those on whom the team will depend? 
• How do the stakeholders view the project? 
• What is the status of our relationships with the stakeholders? 
• What sources of influence does the team have relative 
to the stakeholders?
10–11 
Management MMMaaannnaaagggeeemmmeeennnttt bbbbyyyy WWWWaaaannnnddddeeeerrrriiininnngggg A AAArrrroooouuuunnnndddd 
• Management by Wandering Around (MBWA) 
–Involves managers spending the majority of their time 
in face-to-face interactions with employees building 
cooperative relationships. 
• Characteristics of Effective Project Managers 
–Initiate contact with key players. 
–Anticipate potential problems. 
–Provide encouragement. 
–Reinforce the objectives and vision of the project. 
–Intervene to resolve conflicts and prevent stalemates.
10–12 
MMMMaaaannnnaaaaggggiiininnngggg UUUUppppwwwwaaaarrrrdddd RRRReeeelllalaaattttiiioiooonnnnssss 
• Project Success = Top Management Support 
–Appropriate budgets 
–Responsiveness to unexpected needs 
–A clear signal to the organization 
of the importance of cooperation 
• Motivating the Project Team 
–Influence top management in favor of the team: 
• Rescind unreasonable demands 
• Provide additional resources 
• Recognize the accomplishments of team members
10–14 
LLLLeeeeaaaaddddiiininnngggg bbbbyyyy EEEExxxxaaaammmmppppllleleee 
FIGURE 10.4
10–15 
Ethics EEEttthhhiiicccsss aaaannnndddd PPPPrrrroooojjjejeeecccctttt MMMMaaaannnnaaaaggggeeeemmmmeeeennnntttt 
• Ethical Dilemmas 
–Situations where it is difficult to determine 
whether conduct is right or wrong: 
• Padding of cost and time estimations 
• Exaggerating pay-offs of project proposals 
• Falsely assuring customers that everything is on track 
• Being pressured to alter status reports 
–Code of conduct 
• Professional standards and personal integrity 
• View PMI’s Code of Ethics and Professional Conduct
10–16 
CCCCoooonnnnttttrrrraaaaddddiiicicccttttiiioiooonnnnssss ooooffff PPPPrrrroooojjjejeeecccctttt MMMMaaaannnnaaaaggggeeeemmmmeeeennnntttt 
• Innovate and maintain stability. 
• See the big picture while getting 
your hands dirty. 
• Encourage individuals but stress 
the team. 
• Flexible but firm. 
• Team versus organizational 
loyalties.
10–17 
Qualities of QQQuuuaaallliiitttiiieeesss ooofff aaaannnn EEEEffffffffeeeeccccttttiiivivvveeee PPPPrrrroooojjjejeeecccctttt MMMMaaaannnnaaaaggggeeeerrrr 
1. Systems (systemic) thinker 
2. Personal integrity 
3. Proactive 
4. High emotional intelligence (EQ). 
5. General business perspective 
6. Effective time management 
7. Skillful politician 
8. Optimist
10–18 
SSSSuuuuggggggggeeeessssttttiiioiooonnnnssss ffffoooorrrr PPPPrrrroooojjjejeeecccctttt MMMMaaaannnnaaaaggggeeeerrrrssss 
• Build relationships 
before you need them. 
• Trust is sustained 
through frequent 
face-to-face contact. 
• Realize that “what 
goes around comes 
around.”
10–19 
KKKKeeeeyyyy TTTTeeeerrrrmmmmssss 
Emotional intelligence (EQ) 
Inspiration-related currencies 
Law of reciprocity 
Leading by example 
Management by wandering 
around (MBWA) 
Personal-related currencies 
Position-related currencies 
Proactive 
Project sponsor 
Relationship-related 
currencies 
Social network building 
Stakeholder 
Systems thinking 
Task-related currencies

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Chap010

  • 1. CHAPTER TEN Leadership: Being an Effective Project Manager McGraw-Hill/Irwin Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved.
  • 2. 10–3 Managing MMMaaannnaaagggiiinnnggg vvvveeeerrrrssssuuuussss LLLLeeeeaaaaddddiiininnngggg aaaa PPPPrrrroooojjjejeeecccctttt • Managing—coping with complexity – Formulate plans and objectives –Monitor results – Take corrective action –Expedite activities –Solve technical problems –Serve as peacemaker –Make tradeoffs among time, costs, and project scope • Leading—coping with change –Recognize the need to change to keep the project on track – Initiate change –Provide direction and motivation – Innovate and adapt as necessary – Integrate assigned resources
  • 3. 10–4 MMMMaaaannnnaaaaggggiiininnngggg PPPPrrrroooojjjejeeecccctttt SSSSttttaaaakkkkeeeehhhhoooollldldddeeeerrrrssss • Project Management Maxims: –You can’t do it all and get it all done • Projects usually involve a vast web of relationships. –Hands-on work is not the same as leading. • More pressure and more involvement can reduce your effectiveness as a leader. –What’s important to you likely isn’t as important to someone else • Different groups have different stakes (responsibilities, agendas, and priorities) in the outcome of a project. –Remember: project management is tough, exciting, and rewarding—endeavor to persevere.
  • 4. 10–5 NNNNeeeettttwwwwoooorrrrkkkk ooooffff SSSSttttaaaakkkkeeeehhhhoooollldldddeeeerrrrssss FIGURE 10.1
  • 5. 10–6 IIIInnnnffffllluluuueeeennnncccceeee aaaassss EEEExxxxcccchhhhaaaannnnggggeeee • The Law of Reciprocity –One good deed deserves another, and likewise, one bad deed deserves another. • Quid pro Quo –Mutual exchanges of resources and services (“back-scratching”) build relationships. • Influence “Currencies” (Cohen and Bradford) –Cooperative relationships are built on the exchange of organizational “currencies” (favors).
  • 6. 10–7 Commonly CCCooommmmmmooonnnlllyyy TTTTrrrraaaaddddeeeedddd OOOOrrrrggggaaaannnniiizizzzaaaattttiiioiooonnnnaaaalll l CCCCuuuurrrrrrrreeeennnncccciiieieeessss Task-related currencies Resources Lending or giving money, budget increases, personnel, etc. Assistance Helping with existing projects or undertaking unwanted tasks. Cooperation Giving task support, providing quicker response time, or TABLE 10.1 aiding implementation. Information Providing organizational as well as technical knowledge. Position-related currencies Advancement Giving a task or assignment that can result in promotion. Recognition Acknowledging effort, accomplishments, or abilities. Visibility Providing a chance to be known by higher-ups or significant others in the organization. Network/ Providing opportunities for linking with others. contacts Source: Adapted from A. R. Cohen and David L. Bradford, Influence without Authority (New York: John Wiley & Sons, 1990). Reprinted by permission of John Wiley & Sons, Inc.
  • 7. 10–8 OOOOrrrrggggaaaannnniiizizzzaaaattttiiioiooonnnnaaaalll l CCCCuuuurrrrrrrreeeennnncccciiieieeessss ((((ccccoooonnnntttt’’’d’ddd)))) Inspiration-related currencies Vision Being involved in a task that has larger significance for the unit, organization, customer, or society. Excellence Having a chance to do important things really well. Ethical correctness Doing what is “right” by a higher standard than efficiency. Relationship-related currencies Acceptance Providing closeness and friendship. Personal support Giving personal and emotional backing. Understanding Listening to others’ concerns and issues. Personal-related currencies Challenge/learning Sharing tasks that increase skills and abilities. Ownership/involvement Letting others have ownership and influence. Gratitude Expressing appreciation. TABLE 10.1 (cont’d) Source: Adapted from A. R. Cohen and David L. Bradford, Influence without Authority (New York: John Wiley & Sons, 1990). Reprinted by permission of John Wiley & Sons, Inc.
  • 8. 10–9 SSSSoooocccciiiaiaaalll l NNNNeeeettttwwwwoooorrrrkkkk BBBBuuuuiiililldldddiiininnngggg • Mapping Dependencies –Project team perspective: • Whose cooperation will we need? • Whose agreement or approval will we need? • Whose opposition would keep us from accomplishing the project? –Stakeholders’ perspective: • What differences exist between the team and those on whom the team will depend? • How do the stakeholders view the project? • What is the status of our relationships with the stakeholders? • What sources of influence does the team have relative to the stakeholders?
  • 9. 10–11 Management MMMaaannnaaagggeeemmmeeennnttt bbbbyyyy WWWWaaaannnnddddeeeerrrriiininnngggg A AAArrrroooouuuunnnndddd • Management by Wandering Around (MBWA) –Involves managers spending the majority of their time in face-to-face interactions with employees building cooperative relationships. • Characteristics of Effective Project Managers –Initiate contact with key players. –Anticipate potential problems. –Provide encouragement. –Reinforce the objectives and vision of the project. –Intervene to resolve conflicts and prevent stalemates.
  • 10. 10–12 MMMMaaaannnnaaaaggggiiininnngggg UUUUppppwwwwaaaarrrrdddd RRRReeeelllalaaattttiiioiooonnnnssss • Project Success = Top Management Support –Appropriate budgets –Responsiveness to unexpected needs –A clear signal to the organization of the importance of cooperation • Motivating the Project Team –Influence top management in favor of the team: • Rescind unreasonable demands • Provide additional resources • Recognize the accomplishments of team members
  • 11. 10–14 LLLLeeeeaaaaddddiiininnngggg bbbbyyyy EEEExxxxaaaammmmppppllleleee FIGURE 10.4
  • 12. 10–15 Ethics EEEttthhhiiicccsss aaaannnndddd PPPPrrrroooojjjejeeecccctttt MMMMaaaannnnaaaaggggeeeemmmmeeeennnntttt • Ethical Dilemmas –Situations where it is difficult to determine whether conduct is right or wrong: • Padding of cost and time estimations • Exaggerating pay-offs of project proposals • Falsely assuring customers that everything is on track • Being pressured to alter status reports –Code of conduct • Professional standards and personal integrity • View PMI’s Code of Ethics and Professional Conduct
  • 13. 10–16 CCCCoooonnnnttttrrrraaaaddddiiicicccttttiiioiooonnnnssss ooooffff PPPPrrrroooojjjejeeecccctttt MMMMaaaannnnaaaaggggeeeemmmmeeeennnntttt • Innovate and maintain stability. • See the big picture while getting your hands dirty. • Encourage individuals but stress the team. • Flexible but firm. • Team versus organizational loyalties.
  • 14. 10–17 Qualities of QQQuuuaaallliiitttiiieeesss ooofff aaaannnn EEEEffffffffeeeeccccttttiiivivvveeee PPPPrrrroooojjjejeeecccctttt MMMMaaaannnnaaaaggggeeeerrrr 1. Systems (systemic) thinker 2. Personal integrity 3. Proactive 4. High emotional intelligence (EQ). 5. General business perspective 6. Effective time management 7. Skillful politician 8. Optimist
  • 15. 10–18 SSSSuuuuggggggggeeeessssttttiiioiooonnnnssss ffffoooorrrr PPPPrrrroooojjjejeeecccctttt MMMMaaaannnnaaaaggggeeeerrrrssss • Build relationships before you need them. • Trust is sustained through frequent face-to-face contact. • Realize that “what goes around comes around.”
  • 16. 10–19 KKKKeeeeyyyy TTTTeeeerrrrmmmmssss Emotional intelligence (EQ) Inspiration-related currencies Law of reciprocity Leading by example Management by wandering around (MBWA) Personal-related currencies Position-related currencies Proactive Project sponsor Relationship-related currencies Social network building Stakeholder Systems thinking Task-related currencies