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PMBOK Guidelines

Human Resources Management

PMBOK Processes

1. Organizational Planning 2. Staff Acquisition 3. Team Development


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Project Human Resources Management DEFINED:


Includes the processes required to make the most effective use of the people involved with the project

Project HRM Dilemma


HRM questions on the PMP exam are relatively easy Developing and using superior HRM skills on real projects is difficult and rare A major distinction between superior leaders and others is good team building skills
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Project HRM
Organizational Planning
Inputs PROCESSES Outputs

--Project Interfaces --Staffing Requirements --Constraints

Templates HR Practices OT Stakeholder Analysis

--Role/Responsibility Analysis --Staff MGT Plan --Organizational Chart --Supporting Detail

Project HRM Presented by Dr. Herb Brooks--2003

Project HRM
Staff Acquisition
Inputs PROCESSES Outputs

--Staff MGT Plan --Staff Pool Description --Recruitment Practices

Negotiations Preassignment Procurement

--Project Staff Assigned --Project Team Directory

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Project HRM
Team Development
Inputs PROCESSES Outputs

--Project Staff --Project Plan --Staff MGT Plan --Performance Reports --External Feedback

Team Building MGT Skills Reward SYS Collocation Training

--Performance Improvements --Performance Appraisals

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Major Processes Defined

An Informal View
3. Develop the People

1. Identify the People

3 1

2. Obtain the People


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Project HRM Presented by Dr. Herb Brooks--2003

1. Staff Requirements

Identify People
KEY CONCEPTS

Authority

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Project HRM
Types of Authority

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Project Managers Authority


Increasing Authority

None
Functional

Low

Medium
Strong

High
Projectized

Project Project Weak Expeditor Coordinator Matrix

Matrix

Type of Organization Structure

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Power

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PM Power Spectrum

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Project HRM
Power and Authority Problems
Power and authority are perceived Poorly documented or no formal authority Dual accountability of personnel The project organization encourages individualism Shifting of personnel loyalties from vertical to horizontal lines Ability to influence or administer rewards and punishments

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Sources of Power and Impact on People


Response of Individual
Power Source Legitimate Reward Coercive Expert Referent Commitment Compliance Resistance Possible Possible Possible Likely Likely Likely Likely Possible Possible Possible Possible Possible Likely Possible Possible

Total Power = Positional + Personal Power


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Elements of

Staff Management Plan


Responsibility Assignment Matrix (RAM) Line Responsibility Chart (LRC) Team Organization Chart Resource Spreadsheet

Staffing Management Plan


Subset of overall project plan Describes when and how human resources will be brought onto and taken off of the project team Includes all organizational planning outputs Supporting detail

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Project HRM
Responsibility Assignment Matrix
(RAM)

A structure which relates the project organizational structure to the work breakdown structure to help ensure that each element of the project's scope of work is assigned to a responsible individual or organization. It is used to:
Establish functional responsibility Establish contracting strategy Establish manageable work packages for control and reporting
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Project HRM
Elements of a RAM General management responsibility Operations management responsibility Specialized responsibility Must be consulted May be consulted Must be notified Must approve
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Project HRM
RAM Illustration

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Responsibility Matrix - Example


Purpose/Benefit
Shows level of responsibility for groups and/or individuals Graphically links the work to be done to those doing it
Activity Plan & Control Requirements Func Specs Design Fabrication Validation R A Person A A A P R S A R S B C S

P = Participant A= Accountable R = Review S = Sign-Off


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Project HRM Line Responsibility Chart LRC Describe how internal and external communications should take place
"information originate by" "reported to"

Show the distribution of data items Identify skills distribution


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Project HRM
LRC Illustration

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Team Organization Chart - Example


Purpose/Benefit
Defines formal & informal reporting relationships among people on the project Helps in identifying communication/ information channels
Business Professionals

r j

tM

r
Technical Experts

Systems Developers

St ff St ff St ff

St ff St ff St ff

St ff St ff St ff

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Resource Spreadsheet - Example


Purpose/Benefit
Shows group and/or individual responsibilities set against time Graphically links the work to be done with who and when
Activity Plan & Control Joe Joe Joe Requirements Sue Sue Func Specs Design Fabrication Validation Tom Tom Tom Bill Bill Fred Fred Month Jul Aug Sep

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Check on Learning
1. Which of the following are part of the Staff Management Plan?
a. b. c. d. List of project stakeholders A chart describing work assignment responsibilities A chart describing internal/external communications responsibilities A chart describing work responsibilities against time

2. 3. 4.

Define Compliance_____________________________ Define Commitment____________________________ List 4 things a leader can influence to increase productivity.

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SOLUTIONS TO Check on Learning


1.
b. c. d.

Which of the following are part of the Staff Management Plan?


A chart describing assignment responsibilities---RAM A chart describing internal/external communications responsibilities---LRC A chart describing responsibilities against time---RESOURCE SPREADSHEET

2. 3.
4.

Compliance is MINIMUM EFFORT OR PERFORMANCE TO AVOID BEING PUNISHED OR RECEIVING UNWANTED ATTENTION. Commitment is EXTRA EFFORT OR PERFORMANCE TO ACCOMPLISH MORE THAN
MINIMUM REQUIRED. ENTHUSIAM AND INTEREST IN DOING GOOD JOB. List 4 things a leader can influence to increase productivity. 1. INFLUENCE PERCEPTION OF TECHNICAL EXPERTISE 2. OFFER CHALLENGING WORK 3. ENCOURAGE FRIENDSHIPS 4. INCREASE PAY

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2. Staff Acquisition Get Staff


PMBOK GUIDELINES

HR Processes In Depth

Inputs

Tools/Tech

Outputs
.1 Project Staff Assigned .2 Project Team Directory

.1 Staff Mgmt Plan .1 Negotiations .2 Staff Pool Descrip .2 Pre-assignment .3 Recruitment .3 Procurement Practices

Suppliers
Functional Orgs. HR Organization

Activities
Make assignments Review Policies Complete hiring paperwork

Customers
Project Manager Project Team

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Project HRM
Staff Acquisition
Getting the human resources needed assigned to and working on the project There are five basic requirements for conducting a successful project. In order of importance, they are as follows:
Choosing the right people Choosing the right people Choosing the right people Setting up the right organization Using the right systems
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Project Managers Skills


Successful PMs prioritize the following as important skills

1. Communications skills 2. Organizational skills 3. Team building skills 4. Leadership skills 5. Coping skills 6. Technological skills
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3. Team Development
Build Team/Develop People PMBOK GUIDELINES

Team Building Activities


Example actions include:
Team Planning Kickoff Meetings Team Training Team Exercises

Plan them in, otherwise they wont happen

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Project Leader versus Manager


Project Managers Who Are Also Project Leaders Project Leader
Set direction/vision Inspire team work Align employees Motivate & support

Project Manager
Plan & budget Organize groups Staff Control

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Project Leader
Is adaptable and innovative
Leads others through the project processes

Constantly learns Is decisive; a problem solver Is an accomplished motivator


Show genuine interest in members growth

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Project Leader (cont.)


Can multitask with a broad knowledge base Negotiates from strength built through supplying accurate information Is a good listener; relays directions accurately Understands varied behavioral styles and motivation theory***
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Motivation Theory
Two Categories
1. Content theories - attempt to determine the
link between intrinsic factors and certain behaviors 2. Process theories - explore how personal factors interact and influence each other to produce behaviors

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Comparison of Content Theories


Self-Actualization Growth Esteem Social/Affiliation Safety/Security Existence Physiological Relatedness Motivators -advancement -growth -achievement Hygiene -job security -salary -working cond. -group member

Need for Achievement Need for Power Need for Affiliation

1G: Needs Theories

3G: 2G: Motivator Achievement Theory Theory


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Project HRM Presented by Dr. Herb Brooks--2003

Major Process Theories


Theory X &Y Contingency Theory Goal-setting Theory Expectancy Theory Re-enforcement Theory Equity Theory

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HR Management Summary
PMBOK Major Processes & Concepts
Identify the People Obtain the People Develop the People
Interface Management Resource Allocation Staff Assignments Power & Influence Team Building Conflict Management Motivation Leadership Reward

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Project HRM
Major Problems and Best Practices

Problems in Project HRM


Conflicts Disruptive People Confrontation

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Sources of Conflict
Schedules Project priorities Manpower resources Procedures Technical opinions Cost systems Personality conflicts

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Two PM Problems in China that

INCREASE Conflict
China 2001--Present

1. Too many people reporting to 1 leader 2. Too many people can give you work
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Disruptive People
Ignore disruptive people at your own peril. Some of them are the change agents that are the catalyst of results.

They are the grain of sand in the oyster that causes the pearl to form.

Listen to disruptive people. Ignore or get rid of those who are just disagreeable.
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Productivity
Often, a factor of 10 separates the best performers (or teams) from the worst.

80/20 Rule
Also, the best is usually more than twice as productive as the average.

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Productivity
How do you deal with the bottom performers?
DONT FIRE THEM! Find ways to improve them. Turnover is expensive! Their loyalty will increase

Dealing with TOP PERFORMERS Delegate and then Disappear Most organizations lose equally top

5% and
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bottom 5%
Project HRM Presented by Dr. Herb Brooks--2003

What Motivates the PM??


China 2001 -- present

Favorable attitude toward authority Desire to compete with other PMs Assertive attitude (willingness to take charge) Desire to exercise power Desire for a distinctive position Sense of responsibility
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An IDEAL Project Leader is one who has the following skills and characteristics:
Typical Responses in China 2001 present

1. 2. 3. 4. 5.

Knows how to influence others Accountable/responsible Good Decision-Maker Visionary Good people skills

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WHAT MOTIVATES ME TO DO BEST WORK?


(Typical responses in China 2001 Present)

1. 2. 3. 4. 5. 6. 7. 8. 9.

Be respected Rewards Appreciated Satisfaction Training Opportunities Good working environment Career development Mission Value/worth of person
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5-Minute Check

AT THIS TIME, LIST THE MOST IMPORTANT CONCEPTS YOU HAVE LEARNED SO FAR

List any questions you have on next page.


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Best Practices in PM
MANAGEMENT and LEADERSHIP

Check on Learning
Please answer the following without books or notes:

1. What are the top 4 motivators of talented people? Circle the ones that require authority from the leader to do.
1. 2. 3. 4. ______________ _______________ _______________ _______________

2. What are the 3 technical processes associated with PMBOK guide on Project HRM?
1. 2.
3.

_____________________ _____________________
_______________________

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Check on Learning

Solutions
1. What are the top 4 motivators of talented people? Which ones require authority?
1. 2. Technical Expertise of Leader Challenging Work

3.
4.

Money or salary
Friendships

2. What are the 3 technical processes associated with PMBOK guide on Project HRM?
1. 2. 3. ORG Planning (Identify people and develop Staff MGT Plan) Staff Acquisition (Recruit, lead and motivate people) Team Development (Build winning team)
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---CLASS EXERCISE 1---

WHAT ARE THE 9 PMBOK AREAS??


1. 2. 3. 4. 5. 6. 7. 8. 9. ____________________ ____________________ ____________________ ____________________ ____________________ ____________________ ____________________ ____________________ ____________________
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Topic Overview

Introduction and background Management Power Leadership


1st and 2nd Generation Situational Leadership

3GSL - 3rd Generation Situational


Leadership
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Management VS
Managers

China 2001--Present
Transition into open and global marketplace Growing complexities require transforming organizations through best modern management practices Adapting and coping with accelerating changes requires transforming organizations through new approaches to leadership and tolerance for visionary and disruptive leaders
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What is Management?
Structured approach to allocating resources to best meet goals efficiently and effectively As complexity increases management sophistication increases Planning** Organizing** Controlling**
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Management Science
Principles and practices for using resources to accomplish organizational goals efficiently and effectively Impersonal in nature Formalized procedures for planning, organizing and controlling Reduce uncertainty and risk Improve efficiencies Control resource expenditures, Achieve goals on schedule Standardize and structure organizational behavior into

orderly and stable work patterns or conformity


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Managers

Personal behaviors Behaviors rarely match model or theories Work at unrelenting pace due to work overload Many interruptions, work activities are brief and abrupt
Spend more than 85% of time on URGENCIES rather PRIORITIES

Seek out other people while maintaining low levels of emotional involvement

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Priorities Versus Urgencies


Priorities: work that accomplishes goals Urgencies:
These are the work activities that managers really do Work that requires managers attention real-time Work activities that are not priorities or result in goals Typically over 85% of work activities are URGENCIES
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Understanding POWER
Organizational Authority VS Personal Power

Understanding POWER
Power from organization (position
authority)
Legitimate or legal authority to induce compliance
Use of rewards and punishments Special connections and information

Position Power is delegated from above and is volatile and perishable

Power from people (personal influential power)


Power is derived from others
Visionary Expert Charismatic (emotionally energizes others)
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Is difficult to attain but not easily lost

Organizational Power is from top down POWER


Management Level TOP

MIDDLE

SUPERVISORY

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Position Power
Source of power is top down
Amount of power depends on level of position

Legal Legitimate Induces compliance


Rewards Punishment

Is perishable quickly gained or lost


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Personal Power is from bottom up POWER


Management Level TOP MIDDLE

SUPERVISORY

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Personal Power
Individual character and personality
Perceived as Expert Charismatic personality or is well-liked Visionary Enthusiastic and energetic Influential or motivational

Source is other people Not easily gained nor easily lost


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Leadership VS
Leaders

What is Leadership?
Leadership is about CHANGE!
CHANGING PEOPLE
It is influencing people to accomplish goals Goals can be organizational or personal Focus on supervisory leadership

CHANGING ORGANIZATIONS
It is having a vision of the future and energizing others to believe and achieve this vision Transform groups, teams and organizations into believing desiring and achieving vision
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Leadership and Leaders


Theories and models vary according to the times and culture
Theories are heavily contaminated by currently popular leaders or practices Confusion between people versus principles Always searching for best leadership theory/model Constantly changing and evolving

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GOAL: Effective Leadership


Increases leaders time efficiency
Getting desired performance from people
When you are present When you are NOT present

Most leaders can get desired performance when they are present
Best leaders or effective leaders get desired performance when NOT present positively affect feelings and attitudes
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Organizational Processes and Skills


Technical (T), Leadership (L), People (P)
Skills:
MGT Level: TOP

MIDDLE

SUPERV.
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Leadership includes changing organizations through visionary ideas



  

VISIONARY LEADERSHIP
 Transforming organizations, institutions, nations Best practices for influencing behavior can be measured, quantified, articulated and learned Creating and promoting visionary ideas is difficult to measure, quantify or teach. Changing an organizations culture is

 DISRUPTIVE  UNCOMFORTABLE  RISKY  Visionary leaders tend to be passionate, committed and emotional
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Pygmalion Principle and

Visionary Leadership
Applying Expectation Theory into
visionary ideas that transform and change and organizations

Visionary/Transformational Leadership

The Pygmalion Principle Principle


1. 2. Leader expresses vision
Beneficial future outcome Positive Expectations of achievement Energizes others

Followers accept vision


Vision does NOT have to be based on present realities or constraints Vision may be based on false assumptions

3. Vision is achieved
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Pareto Principle
80/20 Rule
80% of important results from 20% of people 20% of remaining results from 80% of people

Pareto Principle (80/20 rule) QUALITY VS QUANTITY


80% results from 20% people 80% of people get 20% of results 80% wealth owned by 20% people 80% of people share 20% of wealth 80% natural events caused by 20% of nature 80% of nature accounts for 20% natural events 80% of work success from 20% of work 80% of work accomplishes only 20% of results
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or QUAD E Model
Cultural legal complexity market stakeholders and customers

Developing World-Class Leadership


Environment

Expectations
 

internal external

Efficiencies
technologies labor pool resources

Effectiveness
talent vision good fortune

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Situational Leadership

Leading people in Projects

Situational Leadership Evolution


Influences
Contingency Theory Expectation Theory

1st Generation SL
Life-cycle theory of leadership

2nd Generation SL
SL II Leadership and the One-Minute Manager Developed by Dr. Ken Blanchard and BTD in 1980s

3GSL
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What is Situational Leadership?


A behavioral approach to leading and motivating people Focuses on mastering 3 behaviors/skills
FLEXIBILITY in using a variety of leadership styles DIAGNOSIS in analyzing development level to subordinates CONTRACTING FOR LEADERSHIP STYLE by negotiating leadership style and goals
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Leader attitudes VS behaviors


Classical leadership theories focused on attitudes SLII focuses on behaviors
Behaviors of subordinate (developmental level) Behaviors of leaders (leadership style)
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What is 3GSL?
Best PM Practices ---2002-----2002---

What is 3GSL or
3rd Generation Situational Leadership?
Modified SLII - 15 years of experiences
Impact of various cultures in motivating and influencing others Impact of Globalization on leadership

Changing people VISIONARY LEADERSHIP


Transformational vision Energizing others to believe and achieve the vision Ethical character and positive values for Global culture Positive role model

Changing Organizations or Nations


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3GSL - Changing Organizations with


Visionary and Transformational Ideas
Changes create and accelerate
Conflicts Confusion Risks Ambiguity Successful survival and critical breakthroughs

Visionary/Transformational leaders are emotional, energizing and disruptive


yet indispensable for long-term success and future of modern organizations
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3GSL - World-class Visionary and Transformational Leadership


Ethical Character and motives DO matter
Leaders are always modeled and imitated Certain values and behaviors are important and correct in all organizations and cultures Leaders set the standards for others behavior Leader behaviors are magnified many-fold by subordinates
Good behaviors benefit many people Bad behaviors cause much suffering
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Detailed look at

SITUATIONAL LEADERSHIP II

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THEME OF SL II

DONT WORK HARDER----HARDER----WORK SMARTER

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3 Leader Skills in SLII


1. Flexibility in using various leadership styles 2. Diagnosing which style to use 3. Contracting for Leadership Style
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Skill 1 Flexibility
Recognition that there is no best style in leading or supervising others Theory X and Theory Y Directing and Supporting behaviors Developing the ability to use a variety of leadership styles comfortably
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Leadership Styles
S3 Supporting S2 - Coaching

S4 - Delegating

S1 - Directing

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The Four Leadership Styles S1 or Directing


Leader provides instructions and closely supervises

S2 or Coaching
Leader directs but also explains, asks and supports

S3 or Supporting
Leader supports and shares decision-making

S4 or Delegating
Leader turns over decision-making and problem solving
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Skill 1 FLEXIBILITY
cont. Different Strokes for Different Folks Different Strokes for the Same Folks There is nothing so unequal as the Equal Treatment of Unequals
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Leadership Consistency
Consistency is NOT behaving same way all the time or same way with person Consistency is behaving same way in SIMILAR CIRCUMSTANCES OR SITUATIONS
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Skill 2 - Diagnosing
Knowing when to use the correct leadership style When I slow done I go faster
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Leadership Style depends on

DEVELOPMENTAL LEVEL
People performance consists of Competence Commitment

Competence (gained from training or experience)


Knowledge Skills

Commitment
Confidence (work without supervision) Motivation (interest in and enthusiasm for)
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Developmental Level cont.


D1
Enthusiastic beginners

D2
Disillusioned learners

D3
Reluctant contributor

D4
Peak performer
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Skill 2 DIAGNOSING and Developing People


COMPETENCE COMMITMENT
HIGH HIGH SOME LOW

HIGH

VARIABLE

LOW

HIGH

-------------------------------------------------------------

DEVELOPMENT LEVEL

D4

D3

D2

D1

Growing and Developing People


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Developing People
Grow people from D1s into D4s

To diagnose Development Level


Determine Knowledge of task
Technical skills People/organizational skills

Determine Motivation level


Desire Enthusiasm

Determine Confidence to do task Determine if Performance improving or not improving


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Developing Peak

Performers

Everyone has Peak Performance potential You just need to know where they are coming from
(developmental level)

and meet them there


(leadership style)
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A Final Word from

Chairman Mao Tse-tung


When the best leaders work is done, The people say We Did It Ourselves!
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5-Minute Check

AT THIS TIME, LIST THE MOST IMPORTANT CONCEPTS YOU HAVE LEARNED SO FAR

List any questions you have on next page.


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CHECK ON LEARNING
1. List some differences between managers and leaders. 2. What are the 2 types of POWER? 3. Which type of POWER do PMs absolutely have to learn? 4. How do you do the Pygmalion Principle? 5. Why does the Pygmalion Principle work?
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CHECK ON LEARNING SOLUTIONS


1. 2. 3. 4. List some differences between managers and leaders.
1. 2. 1. 2. 1. 1. 2. 3. Managers are dispassionate and require structure, order and conformity Leaders are energized, encouraging, emotional, disruptive and inspiring Position Personal Personal power Express the successful outcome of the project at all times (vision) Be positive and enthusiastic about success Energize and inspire others to accept vision Visionary leaders have clear focus of a future outcome People accept then expect vision to happen Knowing a future event attracts resources to accomplish it
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What are the 2 types of POWER? Which type of POWER do PMs absolutely have to learn? How do you do the Pygmalion Principle?

5.

Why does the Pygmalion Principle work?


1. 2. 3.

Cultures
Leadership and Cultural Differences

Cultures
3 types of cultural differences can affect a virtual team:
1. National 2. Organizational 3. Functional

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National Cultures
Power Distance: the degree of power inequity among team members.
High Power: Authoritarian; manager decides himself. Few challenges. Brazil, China, India, France, Mexico, Arab countries. Low Power: Participative; manager seeks input. Freely challenge. Great Britain, Germany, Finland, Norway, U.S.

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National Cultures
Uncertainty Avoidance: the extent to which members are comfortable with uncertainty.
High Avoidance: Seek details and plans, predictability, closure. Nervous when uncertain. Belgium, Japan, France, South Korea, Italy Low Avoidance: Less need for total definition. Comfortable with uncertainty. Great Britain, Hong Kong, Ireland, Canada, U.S., India
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Project HRM Presented by Dr. Herb Brooks--2003

National Cultures
Individualism Collectivism: The degree that people prefer to act as individuals or a group.
Individualism: Loose ties between people; people take care of themselves; value personal time. Great Britain, Australia Italy, Germany, France, U.S. Collectivism: People form strong, groups; value team identity; put team first. Most Asian and Central American countries

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National Cultures
Masculinity - Femininity: Masculine or Feminine feelings dominate.
Masculine: Concern for earnings; visible success signs; possessions. Japan, Mexico, Italy, Germany, U.S. Feminine: Nurturing, caring, cooperation.. East Africa, Thailand, Norway, Sweden

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National Cultures
Long Term Short Term: Orientation toward immediate or long term returns.
Long Term: Motivated by long term successes. Most Asian countries. Short Term: More impatient; need immediate reinforcement. English-speaking countries.

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National Cultures
Context: How people view different communication cues.
High Context: Messages have little meaning without context; prefer historical data and subjective opinions. Japan, China, Mexico, Greece, French Canada, Great Britain. Low Context : Prefer objective and factbased messages; the message itself is sufficient. Germany, U.S., English Canada

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Organization Culture
Clan Team is an extended family Leaders are parent figures Members are highly committed Emphasize teamwork and participation. Market Results oriented Competitive members Aggressive leaders Emphasis is on winning.

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Organization Culture
Hierarchy Formal, governed by procedures Stability and control Low risk; no surprises Adhocracy (temporary) Dynamic; adaptive High risk taking and innovation Try new things

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Functional Culture
Functional experts develop their own way of doing things. Mergers of diverse cultures produce conflict over best way to approach problems. HR, Marketing and Sales prefer more contextual information than I.T., Engineering and Finance
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