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ENGINEERING PROJECT
MANAGEMENT FORUM
Project and Programme Management Services:


         25th May 2004




                                             1
CRISIS MANAGEMENT
            SOLUTIONS IN PM
                    Presentation Structure


1. Introduction
2. Definitions and Initial Approach
3. Conflicts and Solutions
4. Mitigating Measures
5. Conclusion




                                             1
1. INTRODUCTION


  Project and Programme Management Services:


  Presentation By
  Leye Agbede
  Technical Director
  Babtie Group


        •   Private Limited Company
        •   £148m turnover in 2002
        •   Top 5 UK Consultant
        •   Over 3000 staff World Wide
                                               1
2. DEFINITIONS AND INITIAL APPROACH


   Crisis Management = Conflict Resolution


   Conflict resolution is therefore a kind of gap analysis:
   finding root causes that create these gaps and resolving
   them. Root causes of a conflict in a project setting are
   largely due to flaws in the Project Plan, Process, or
   Organisation Culture.




                                                              1
When Conflicts Exists


   Options


    1. Ignore it and hope it goes away.
    2. Leave the area as soon as possible and avoid further
       contact.
    3. Cover up the problem issues.
    4. Step in and take charge of resolving the conflict.




                                                              1
Suggested Solution


4. Step in and take charge of resolving the conflict.




                                                        1
“ Or else”




Other 3 alternatives can lead to serious damage.




                                                   1
Suggested Solution


•   The solution is to appoint an independent Interim Project
    Manager with a specific remit to identify root causes and
    recommend practical solutions.
•   The role of the Interim Manager is to operate within a
    Commercial Management Framework.




                                                                1
Definition of Commercial Management


“this is the review, planning, monitoring and control of
projects, with the desired objective of achieving profitability
and effectiveness, using a well designed and tested
Commercial Review process.




                                                                  1
Commercial Management Objectives are


•   Improve the quality of service delivery by enforcing the
    management system procedures. This takes the form of
    Commercial Reviews.


•   Provide remedial solutions to existing conflicts.


•   Create a Project Management Plan which avoids future
    system conflicts.




                                                               1
3. STARTING POINT: Root causes of Conflict


   1. Poor Planning, notably
         •    Incomplete work breakdown structures
         •    No Project Plan
         •    Project Strategy not clearly defined
   2. Project Priorities
         •    Existing vs New
   3. Poor Resource Management
         •    Lack of understanding of resource requirements in
              relation to project objectives
                                                ……continued



                                                                  1
3. Root causes of Conflict……continued


   4. Poor Financial Control
   5. More emphasis on “technical” rather than Management
      aspects of project. Often to do with “comfort zones”
   6. Personality Conflicts
   7. Cultural Conflicts with new improved systems
     “we have always done it this way attitude”
   8. Communication breakdown
   9. Lack of understanding of Project Management systems




                                                             1
CONFLICT                              SOLUTIONS


1.   Poor Planning                   Well defined project execution
                                     plan.
2.   Project Priorities              Resource planning should not be afraid to
                                     refuse work.
3.   Poor Resource Management        Preparation of a comprehensive
                                     resource schedule – identifying
                                     any gaps to be addressed.
4.   Poor Financial Control          Outsource financial element or
                                     bring in financial expert or
                                     provide financial training.
5.   Emphasis on doing rather than   Awareness campaign to educate
     managing                        managers on the difference between
                                     technical and management elements on
                                     project. Further PM training and PM
                                     Systems awareness's must be
                                     provided.
6.   Personality Conflicts           Understand personality types. A series of
                                     workshops and informal meetings will
                                     facilitate the beginning of a peace process.
                                     It is important to note that different
                                     personalities are beneficial to project.

                                                                                    1
CONFLICT                         SOLUTIONS


7.   Culture Conflicts          Awareness campaign on the importance
                                of effective Commercial Management on
                                the quality of service delivery. Important to
                                emphasise that effective management
                                leads to no claims on P.I Insurance
                                Provide training where required.


8.   Communication breakdown    Prepare Communication Plan identifying
                                flows of information, meeting timetables,
                                roles and responsibilities, project
                                structures etc.


9.   Limited understanding of   Provide Systems Training
     Management Systems




                                                                                1
4. Mitigating Measures:Laying some conflict mitigating
   foundations


a.   Understand personality types and Group dynamics
     •   Understand the personality mix in the Project team and
         try to identify “hot spots”, the places in the
         relationship matrix where clashes may occur.


     •   Can use a number of personality modelling and typing
         methods such as:


             Myers – Bridges Type Indicator




                                                                  1
b. Create an Open Communication Plan
   -   Create a climate of openness and trust, where people speak their
       minds and contribute their thoughts
   -   Encourage and exchange in feedback and exchange of thoughts
   -   “No Hidden Agendas”
   -   Identify and resolve any possible issues before they become
       serious conflicts
   -   Communicate objectives to team in an informal, two-way
       Communication
   -   Create a record of meetings/communication issues accessible to
       all
   -   Conduct “spontaneous” one on ones with all members of the
       team. Taking a serious interest in what they are doing. Ask
       them about their work, get them talking, find how they feel about
       their work, not just where they are on schedule.
                                                    ……continued

                                                                           1
……continued
    - Review performance against goals regularly, but don’t
        always do it formally.
    -   Give credit to team members for contributing good ideas to the
        project.


* NOTE:~ That 1st step of Conflict resolution is perceiving that a
   Conflict exists. The level and quality of Communication in
   your project is a vital part of the decision process.




                                                                         1
c.   Prepare for Culture Difference
     How to mitigate Culture Differences


     -   Face to face social contact. Get members together as often as
         possible, if they are really spread out get them together at least
         once, preferably at the beginning of the project. Put them in a
         setting where you can all get to know each other, attach faces to
         voices, and explode some cultural myths and mysteries.


     -   Where possible you may put your team through a Culture
         Awareness Course.


     -   As part of leadership training, Project Managers could go on
         courses designed to improve general Culture Literary.




                                                                              1
5. CONCLUSION




           “Failing to plan, is to plan to fail”




                                                   1

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La Paper[1]

  • 1. 1
  • 2. ENGINEERING PROJECT MANAGEMENT FORUM Project and Programme Management Services: 25th May 2004 1
  • 3. CRISIS MANAGEMENT SOLUTIONS IN PM Presentation Structure 1. Introduction 2. Definitions and Initial Approach 3. Conflicts and Solutions 4. Mitigating Measures 5. Conclusion 1
  • 4. 1. INTRODUCTION Project and Programme Management Services: Presentation By Leye Agbede Technical Director Babtie Group • Private Limited Company • £148m turnover in 2002 • Top 5 UK Consultant • Over 3000 staff World Wide 1
  • 5. 2. DEFINITIONS AND INITIAL APPROACH Crisis Management = Conflict Resolution Conflict resolution is therefore a kind of gap analysis: finding root causes that create these gaps and resolving them. Root causes of a conflict in a project setting are largely due to flaws in the Project Plan, Process, or Organisation Culture. 1
  • 6. When Conflicts Exists Options 1. Ignore it and hope it goes away. 2. Leave the area as soon as possible and avoid further contact. 3. Cover up the problem issues. 4. Step in and take charge of resolving the conflict. 1
  • 7. Suggested Solution 4. Step in and take charge of resolving the conflict. 1
  • 8. “ Or else” Other 3 alternatives can lead to serious damage. 1
  • 9. Suggested Solution • The solution is to appoint an independent Interim Project Manager with a specific remit to identify root causes and recommend practical solutions. • The role of the Interim Manager is to operate within a Commercial Management Framework. 1
  • 10. Definition of Commercial Management “this is the review, planning, monitoring and control of projects, with the desired objective of achieving profitability and effectiveness, using a well designed and tested Commercial Review process. 1
  • 11. Commercial Management Objectives are • Improve the quality of service delivery by enforcing the management system procedures. This takes the form of Commercial Reviews. • Provide remedial solutions to existing conflicts. • Create a Project Management Plan which avoids future system conflicts. 1
  • 12. 3. STARTING POINT: Root causes of Conflict 1. Poor Planning, notably • Incomplete work breakdown structures • No Project Plan • Project Strategy not clearly defined 2. Project Priorities • Existing vs New 3. Poor Resource Management • Lack of understanding of resource requirements in relation to project objectives ……continued 1
  • 13. 3. Root causes of Conflict……continued 4. Poor Financial Control 5. More emphasis on “technical” rather than Management aspects of project. Often to do with “comfort zones” 6. Personality Conflicts 7. Cultural Conflicts with new improved systems “we have always done it this way attitude” 8. Communication breakdown 9. Lack of understanding of Project Management systems 1
  • 14. CONFLICT SOLUTIONS 1. Poor Planning Well defined project execution plan. 2. Project Priorities Resource planning should not be afraid to refuse work. 3. Poor Resource Management Preparation of a comprehensive resource schedule – identifying any gaps to be addressed. 4. Poor Financial Control Outsource financial element or bring in financial expert or provide financial training. 5. Emphasis on doing rather than Awareness campaign to educate managing managers on the difference between technical and management elements on project. Further PM training and PM Systems awareness's must be provided. 6. Personality Conflicts Understand personality types. A series of workshops and informal meetings will facilitate the beginning of a peace process. It is important to note that different personalities are beneficial to project. 1
  • 15. CONFLICT SOLUTIONS 7. Culture Conflicts Awareness campaign on the importance of effective Commercial Management on the quality of service delivery. Important to emphasise that effective management leads to no claims on P.I Insurance Provide training where required. 8. Communication breakdown Prepare Communication Plan identifying flows of information, meeting timetables, roles and responsibilities, project structures etc. 9. Limited understanding of Provide Systems Training Management Systems 1
  • 16. 4. Mitigating Measures:Laying some conflict mitigating foundations a. Understand personality types and Group dynamics • Understand the personality mix in the Project team and try to identify “hot spots”, the places in the relationship matrix where clashes may occur. • Can use a number of personality modelling and typing methods such as: Myers – Bridges Type Indicator 1
  • 17. b. Create an Open Communication Plan - Create a climate of openness and trust, where people speak their minds and contribute their thoughts - Encourage and exchange in feedback and exchange of thoughts - “No Hidden Agendas” - Identify and resolve any possible issues before they become serious conflicts - Communicate objectives to team in an informal, two-way Communication - Create a record of meetings/communication issues accessible to all - Conduct “spontaneous” one on ones with all members of the team. Taking a serious interest in what they are doing. Ask them about their work, get them talking, find how they feel about their work, not just where they are on schedule. ……continued 1
  • 18. ……continued - Review performance against goals regularly, but don’t always do it formally. - Give credit to team members for contributing good ideas to the project. * NOTE:~ That 1st step of Conflict resolution is perceiving that a Conflict exists. The level and quality of Communication in your project is a vital part of the decision process. 1
  • 19. c. Prepare for Culture Difference How to mitigate Culture Differences - Face to face social contact. Get members together as often as possible, if they are really spread out get them together at least once, preferably at the beginning of the project. Put them in a setting where you can all get to know each other, attach faces to voices, and explode some cultural myths and mysteries. - Where possible you may put your team through a Culture Awareness Course. - As part of leadership training, Project Managers could go on courses designed to improve general Culture Literary. 1
  • 20. 5. CONCLUSION “Failing to plan, is to plan to fail” 1