MODULE- III

CHAPTER- 01
PROJECT NETWORK TECHNIQUES
Once a project is selected, the focus shifts to its implementation. This involves the completion of numerous
activities by employing various resources. So, that project on paper is translated into reality. The activities of
a project have inter-relationships on the basic of physical, technical and other consideration. For proper
planning, scheduling and control of the activities; network techniques are useful. Project network techniques
provide a framework like: -
 Defines the jobs to be done;
 Integrates them in a logical time sequence;
 Affords a system of dynamic control over the progress of the plan;
Types of Network Techniques
1. Program Evaluation Review Technique (PERT)-
PERT was developed in 1950’s by the US Navy; as a network flow chart with time as the critical factor for
planning and controlling the project. The ‘PERT’ technique is a method of minimizing trouble, delays and
interruptions- by determining critical activities in the project can be coordinated. Hence, the orientation of
PERT is ‘probabilistic’. ‘PERT’ is useful for analyzing project scheduling problems in which the completion
time of the different activities, and therefore the whole project, is not certain. It thus emphasizes the
uncertainties of the completion times of the activities. This method uses three time of estimates for an
activity, rather than a single estimate. They are-
 Optimistic Time (a): - This is the shortest time the activity can take to complete. It represents an
ideal estimate.
 Most Likely Time (m): - This refers to the time that would be expected to occur most often if the
activity were frequently repeated under exactly the same condition. It is the modal time.
 Pessimistic Time (b): - This is the longest time the activity could take to finish. It is the worst time
estimate and represents the time the time the activity would take if bad luck was faced. It occurs
with the probability of less than one percent.
“Estimating the Activity Time”
Assigning time to individual activity is essential in order to complete the network. Therefore, an estimate
must be made to show how long time each activity will take for its completion. This is done by discussing
with the people responsible for the completion of the specific activity.
Te = a + 4m + b
6
Here, a = optimistic time; m = most likely time; b = pessimistic time & te = expected time of the activity
Dr. Meghashree Agarwal
2. Critical Path Method (CPM) –
CPM was developed in 1956-57 by Du Pont Company in the US to solve scheduling problems in the
industrial settings. If the time can be estimated perfectly well and the cost can be calculated accurately, CPM
approach would be superior to ‘PERT’. It has been applied mostly to projects that employ a stable technology
and relatively risk free. ‘CPM’ is most appropriately used in projects in which the activity durations are
known with certainty. Hence, its orientation is deterministic. This technique is basically concerned with
obtaining the trade-offs between the project duration and cost.
“Determination of Activity Floats”
1. Earliest Start Time: - Time at which an activity can start (immediately after start has occurred).
EST = Starting time of the particular activity
2. Earliest Finish Time: - It must start at the earliest time and will take its own time to accomplish event.
EFT = EST + Activity’s Duration
3. Latest Start Time: - This is the latest time at which the activity can start without delaying the project
completion time.
LST = LFT – Activity’s Duration
4. Latest Finish Time: - the latest time at which the activity can finish is immediately before the latest time an
end event can take place.
LFT = Latest expected time of end event
Thus whereas variation in the project time is inherent in the projects where PERT is used, the time is
systematically varied (using additional resources) where CPM is employed. In essence, then, while PERT is
probabilistic in nature and as such is used more in research and development projects. The CPM is a
deterministic technique and thus finds application mostly in the constructions projects.
Widely diverse kind of projects can be analyzed by the techniques of PERT and CPM. In fact, they are
suitable for any situation where: -
 The project consists of well-defined collection of activities or tasks.
 The activities can be started and terminated independently of each other, even if the resources
employed on the various activities are not independent.
 The activities are ordered so that they can be performed in a technological sequence. Thus, precedence
relationships exit which preclude the start of certain activities until others are completed.
The initial step in both of these techniques is to portray the given project graphically by mean of a network
which provides the basic tool for analysis. We shall first consider the construction of networks and principles
underlying them. Next, determine critical activities of a given project, and therefore, lie on the critical path,
together with the scheduling time of activities.
Dr. Meghashree Agarwal
 Rules of Network Construction
There are number of ground rules in connection with the handling of events and activities of a project
network that should be followed:-
 Each defined activity is represented by one and only one arrow in the network.
 The predecessor-successor relationships between the various activities clearly lay down.
 The arrows depicting various activities are indicative of the logical precedence only.
 The arrow direction indicates the general progression in time. The events making the start of the
activities are called ‘tail events’ while those making the completion of activities are known as ‘head
events’.
 Events are identified by numbers. In assigning numbers to the event, care should be taken that there is
no duplication of event numbers in a network.
 A network should have only one initial and one terminal node.
 An event which represents the joint completion of more than one activity is known as ‘merge event’.
An event which portrays the initiation of more than one activity is called ‘burst event’.
 Two or more activities can not be identified with the same beginning and ending events. By
implication, any two events should not be directly connected with more than one arrow.
Application of ‘PERT’ and ‘CPM’ involves the following steps
 Separating the project to be scheduled with small and independent jobs / activities;
 Determining an order of precedence i.e. which job need to be done before undertaking other job;
 Representing diagrammatically the activity sequence;
 Assessing the time required for each activity;
 Finding the earliest time by which project would be completed;
 Shorten the duration of critical activities by developing more resources;
A project network provides a means to derive a lot of information about the project involved. After the
network plan is completed and activity times are known, we analyze it to obtain answers to questions like
when the various activities can be scheduled to be performed, how long it will take the project work to be
completed, and how much cushion is available for performing the activities.
Differences between PERT & CPM
There are some noticeable differences in PERT and CPM-
1. The PERT is probabilistic in nature. It acknowledges and considers the variability in completion times of
activities. On the other hand, the CPM is determined in nature. It is most appropriately useful in projects
in which activity duration are known with certainty.

Dr. Meghashree Agarwal

2. The PERT is useful for projects that are new, non-repetitive or which involves R&D. While, the CPM is
useful for repetitive and standardized projects such as construction projects.
3. The PERT focuses primarily on time element and attaches lesser significance to the cost. On the contrary,
the CPM puts strong emphasis on cost and specifically considers the time-cost relationship and trade-off.
4. The PERT is event-oriented so that probabilities of reaching various events by certain dates may be
calculated through event-variances. The CPM is activity oriented.

Dr. Meghashree Agarwal

 CHAPTER- 02
PROJECT AUDITS: POST PROJECT REVIEWS
The project audit is the process of verification of the extent to which the project realization complied with the
rules and principles of project management for the concrete project. The audit methodology is based on the
following norms and standards governing the project management. Project auditing is a formal type of
"project review", most often designed to evaluate the extent to which project management standards are being
followed. Audits are typically performed by a designated audit department, the "Project Management
Office", an empowered Steering Committee or an external auditor. The audit "entity" must have the
designated authority to conduct the audit and make related recommendations.
Going beyond practice verification, project audits are also performed as a "check and balance" to evaluate
project quality, necessity, value, and to examine the root cause of known project problems and reported
failures. In order to meet these varied uses, audit scope may vary based on type, purpose and timing.
Verification audits are pre-planned, with the "subject project" selected according to established criteria. On
the other hand, quality assurance and problem response audits are initiated in response to the pressing needs
of a troubled project, and in that sense, the project "selects itself".
Whatever the driving force may be, project audits should follow standardized guidelines, to ensure that they
are properly planned, executed fairly, and that all announced results and recommendations are given
appropriate weight and deserved credibility. The audit is a tool, and like any other tool, proper usage is the
key to effective results.
4 Keys to Project Audit Planning
Every effective audit operation will be defined by four (4) key characteristics - alignment, independence,
transparency and institutional support. Reality dictates that audits will never be welcome, and audit staff
will always be looked upon with uncertainty. Can they be truly independent? Why are they always picking on
me? How can I get this project done with all these interruptions? These are the natural thoughts that come
with external scrutiny and it's quite understandable. Negative audit results, particularly as part of a pattern,
can damage one's career, or even bring about dismissal in more extreme cases.
On balance, audits are essential, and legally imperative. But just having audit capability is not enough. Audit
staff must be able to cut through the fear, negativity and skepticism to bring about positive results. The only
way to achieve this is to empower auditors to do their job, and allow project managers to share in the audit
process through training, communication and feedback.

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 Audit Policies and Activation Procedures
What will it take to make project auditing a standard part of your approach to managing successful projects?
To realize expected benefits, every step, element and deliverable of the audit process must be clearly defined
and openly communicated, including:
 Auditing Mission Statement- The audit organization mission statement must clearly define the goals,
objectives, authority, and boundaries of the audit operation, as well as the type of audits to be conducted.
 Audit Skills Specification- A detailed specification of auditor skills and experience, demonstrating that
audit staff have sufficient expertise in project review, project standards, and if required, technical
experience with the project subject matter.
 Stakeholder Roles and Responsibilities- A detailed specification of all audit related roles and
responsibilities, for both audit staff and project staff (to include project managers, team members, project
sponsors, customers and other stakeholders as needed).
 Audit "Trigger" Criteria- A full listing of all criteria by which projects will be selected for an audit. You
cannot audit every project - it would be too costly and time consuming, defeating the purpose of the audit
process itself. Specific criteria should be established to identify projects for auditing according to risk,
complexity, internal value, cost, and the past "record of results" of the performing organization.
 Audit Initiation Procedures- A detailing specification of audit initiation procedures, including the process
by which individual project managers are notified of a pending audit and related preparation
requirements.
 Audit Execution Procedures- A full listing of audit execution procedures, covering the methods and
procedures to be employed during the audit itself. Audit procedures mat vary based upon the type and
timing of any given audit but can include, personal interviews with project staff, review of documents,
questionnaires, and other related techniques.
 Audit Reporting Procedures- A complete specification of audit reporting procedures, covering the
manner and method by which audit results will be reported and reviewed. In order to minimize the
threatening nature of the project audit, all parties should be fully aware of how results will be reported and
used within the organization.
 Audit Appeal Procedures- A full specification of all procedures to be followed to appeal and/or challenge
reported audit results.
5 Basic Objectives of Project Audit
For a project manager, an audit is like a judgment day. This is because huge amounts of work, time and
money are at stake. Project audits aim to meet their objectives to ensure success of a project.

Dr. Meghashree Agarwal

The word audit sometimes has a negative connotation to it, especially to the ears of the person undergoing it.
Fearing an audit is a natural reaction. Many people who failed an audit in the past can only attest to how
nerve-wracking the process can be. For a project manager, an audit is like a judgment day. This is because
work, time and money are at stake. Although it is not always a much anticipated event, a project audit can
result in a positive outcome, whether a project manager passes or fails it.
The ultimate goal of a project audit is to ensure that the project is meeting project management
standards through investigations and evaluations. The following are five main objectives of a project audit:
1) Assure Quality of Products and Services
A project audit acts as a quality assurance instrument. It scrutinizes the project life cycle system by evaluating
the deliverables produced during various phases of the project from the design phase all the way to the
implementation phase. During the design phase review, a project audit assesses the completeness of the
design concepts including analyzing alternative designs. It also conducts a complete technical assessment of
the design before purchasing or coding software.
2) Assure Quality of Project Management
A project audit assures that project management is meeting the standards by evaluating if it follows the
organization’s policies, processes and procedures. It scrutinizes the methodology used to help identify the
gaps in order to make the necessary improvements.
3) Identify Business Risk
Project audits help identify business risks that may involve budget, time, scope and quality. After all, the
company is the client itself, which has a bigger stake at the outcome of the project. The project
audit evaluates the feasibility of the project in terms of affordability and returns by providing transparency to
the project status and performance by evaluating the cost, time and resources. It does a check-and-balance
approach when it comes to scrutinizing the budget by reviewing data that includes estimated and actual costs
as well as target completion costs. It reports to the company its findings and provides an outlook of the
budget. It reports the business risks to help the company decide whether to proceed with the project or not.
4) Enhance Project Performance
Auditing the various phases in the project life cycle can help improve performance of the project team. It also
improves resource and budget allocation. Identifying priorities, corrective measures and preventative actions
can lead to a successful project outcome. Discovering problems along the way allows the project team to
provide solutions. It also helps prevent future recurrence of similar issues.
5) Learn
A project audit can lead to learning opportunities through assessments of project management (organizational,
team and individual) competency. Providing reviews and feedbacks allow individuals and project teams to

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reflect on their performance. The results aim to re-energize the project teams to improve their performance,
resolve conflicts and learn from their past mistakes.
Undertaking a Successful Project Audit
A project audit provides an opportunity to uncover issues, concerns and challenges encountered during the
project lifecycle. Conducted midway through the project, an audit affords the project manager; project
sponsor and project team an interim view of what has gone well, as well as what needs to be improved to
successfully complete the project. If done at the close of a project, the audit can be used to develop success
criteria for future projects by providing a forensic review. This review identifies which elements of the project
were successfully managed and which ones presented challenges. As a result, the review will help the
organization identify what it needs to do to avoid repeating the same mistakes on future projects.
Regardless of whether the project audit is conducted mid-term on a project or at its conclusion, the process is
similar. It is generally recommended that an outside facilitator conduct the project audit. This ensures
confidentiality, but also allows the team members and other stakeholders to be candid. They know that their
input will be valued and the final report will not identify individual names, only facts. Often, individuals
involved in a poorly managed project will find that speaking with an outside facilitator during a project audit
allows them to openly express their emotions and feelings about their involvement in the project and/or the
impact the project has had on them. This "venting" is an important part of the overall audit.
A successful project audit consists of three phases:
PHASE- I: Success Criteria, Questionnaire, and Audit Interview Development
1. Success Criteria-
Interview the core project sponsor and project manager to determine their "success criteria" for the project
audit, find out what they expect to gain from the audit. This ensures that their individual and collective needs
are met.
2. In-depth Research-
Develop a questionnaire to be sent to each member of the core project team and to selected stakeholders.
Often, individuals will complete the questionnaire in advance of an interview because it helps them to gather
and focus their thoughts. The actual interview will give the facilitator the opportunity to gain deeper insights
into the team member's comments. The questionnaire simply serves as a catalyst for helping team members
and stakeholders reflect on the project's successes, failures, challenges and missed opportunities.
3. Report Development-
There are many questions that can be asked in an audit interview. It is most effective, however, to develop
open-ended questions, i.e., questions that cannot be answered with a simple "yes" or "no." Develop interview
questions that will help identify the major project successes; the major project issues, concerns and

Dr. Meghashree Agarwal

challenges; how the team worked together; how vendors were managed; how reporting and meetings were
handled; how risk and change were managed, etc.
PHASE-II: In-Depth Research
1. Conduct individual research interviews with the project sponsor, project manager and project team
members to identify past, current and future issues, concerns, challenges and opportunities.

2. Conduct individual research interviews with stakeholders, including vendors, suppliers, contractors, other
internal and external project resources and selected customers.
3. Assess the issues, challenges and concerns in more depth to discover the root causes of any problems.
4. Review all historical and current documentation related to the project, including team structure, scope
statement, business requirements, project plan, milestone reports, meeting minutes, action items, risk logs,
issue logs and change logs.
5. Review the project plan to determine how the vendor plan has been incorporated into the overall project
plan.
6. Interview selected stakeholders to identify and determine their initial expectations for the project and
determine to what extent their expectations have been met.
7. Review the project quality management and the product quality management to identify issues, concerns
and challenges in the overall management of the project. Identify any opportunities that can be realized
through improvements to the attention of project and product quality.
8. Identify any lessons learned that could improve the performance of future projects within the
organization.
PHASE-III: Report Development
1. Compile the information collected from all of the interviews.
2. Compile the information collected from individuals; who only completed the questionnaire.
3. Consolidate the findings from the project documentation review.
4. Identify the issues, concerns and challenges presented through the review of the project quality
management and product quality management plans and isolate the opportunities you believe may be
realized.
5. Identify all of the project's issues, concerns and challenges.
6. Identify all of the project's opportunities that can be realized through the report's recommendations.
7. Identify the lessons learned that can improve the performance of future projects within the organization.
8. Finalize the creation of the report and recommendations based on the findings and present the detailed
report and recommendations, including a road map to get future projects to the "next level" of
performance.

CONCLUSION

Dr. Meghashree Agarwal

The purpose of a project audit is to identify lessons learned that can help improve the performance of a
project or improve the performance of future projects by undertaking a forensic review to uncover problems
to be avoided. In this way, project audits are highly beneficial to the organization and provide the following
outcomes:
 Development of lessons learned on the project that can be applied to both the organization and its
vendors.
 Development of strategies which, if implemented within the organization, will increase the likelihood of
future projects being managed successfully.
 Development of strategies which, if implemented within the organization, will increase the likelihood of
change initiatives being managed successfully.
 Development of project success criteria which might include on-time, on-budget, meeting customer and
other stakeholder requirements, transition to next phase successfully executed, etc.
 Recognition of risk management so that risk assessment and the development of associated contingency
plans becomes commonplace within the organization.
 Development of change management success criteria which might include how staff are involved, how
customers are impacted, how the organization is impacted, transition to next level of change to be
initiated, etc.
 Development of criteria that will continue the improvement of relationships between the organization and
its vendors, suppliers and contractors regarding the management of projects.
 Application of the lessons learned on the project to future projects within the organization.

PROJECT MANAGEMENT INFORMATION SYSTEM (PMIS)

A Project Management Information System (PMIS) is the coherent organization of the information
required for an organization to execute projects successfully. A PMIS is typically one or more software
applications and a methodical process for collecting and using project information. These electronic systems
"help [to] plan, execute, and close project management goals." PMIS systems differ in scope, design and
features depending upon an organization’s operational requirements.
Five Components of the Project Management Information System
Based on the above requirements the consultants developed five modules for assisting the project
management team to improve the quality of the information used in management planning, control and
reporting. The design principle using rapid prototyping techniques stressed the ease of use, use of existing
formats and procedures while requiring the minimum of effort in maintaining the systems. The following
paragraphs briefly describe the components that were developed and adopted. Efforts will be made in the

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future to integrate the components into a single system when the organization's Local Area Network (LAN) is
operational.
1. Project Performance Indicator Tracking System
The project managers are required to report to the top management about the status of each Performance
Indicator from the project's Hierarchy of Objectives and management actions taken towards their
achievement. The report must be on a semi annual basis and in an agreed format. As the report has a column
on comments by the project manager on the status of each indicator, the project manager had to devote
considerable time in the production of this report.
The new Project Performance Indicator Tracking System (PPITS), stores the indicators in a database format,
and codifies the status into five outcomes: Accomplished Successfully, Being Achieved (on course),
Experiencing Minor Problems (being addressed), Experiencing Major Problems and Rescheduling of Target
Date Required, and Not Yet Due. With a graphic interface in MS Access, the project manager updates the
status of each indicator as events occur, inputs the comments, and records the management actions
undertaken. At the end of each reporting period, the required report is produced automatically (an internal
feature of the system) with all the up-to-date information.
2. Procurement Planning and Monitoring System (PPMS)
Procurement is a major part of the project activities. The procurement activity involves a number of discrete
steps to be followed in sequence leading from development of specifications through bidding to contract
signing with the suppliers who win the bid. The acquisition of goods and services essential to the
implementation of the project will be delayed if the timetable of events is not followed. However, in many
projects, procurement staffs simply follow the process in a step-by-step manner, finishing one step before
tackling the next, with neither systematic planning nor tracking. It also produces a list of procurement
activities for a specified time period, thus providing a calendar of all procurement activities required for the
next month. This serves as a reminder of critical procurement tasks that the project staff has to perform on a
day-to-day basis.
3. Disbursement Planning and Tracking System (DPTS)
The DPTS is a system designed to enable the planning of the payment schedule of each contract for works,
goods and services and entering the dates of actual payments against this schedule. The system automatically
analyzes the data and produces the reports in the required format. Together with the Procurement Planning
and Monitoring System (PPMS), all the required LACI reports can be produced directly from the database.
4. Procurement Activity Tracking System (PATS)
Apart from the major contracts, each project management unit also undertakes a number of relatively small
contracts. Although the process for procuring an individual item is not complicated, when the number of
items required for a particular date becomes large.
Dr. Meghashree Agarwal
5. Project Planning and Scheduling System (PP&SS)
A complete critical path based project plan and schedule was developed using MS project. The schedule for
the items of procurement, transferred from the PPMS, is presented on one line in the CPM chart using the
rollup technique in MS Project.

CONCLUSION:
A PMIS is typically a computer-driven system (though it can be paper-based) to aid a project manager in the
development of the project. A PMIS is a tool for, not a replacement of, the project manager. The PMIS
cannot, however, replace the expert judgment of the project manager and the project team. The goal of a
PMIS is to automate, organize, and provide control of the project management processes. The PMIS is used
by the project management team to support generation of a project charter, facilitate feedback as the
document is refined, control changes to the project charter, and release the approved document.

Dr. Meghashree Agarwal

 CHAPTER- 03
PROJECT COMMUNICATION & TEAM MANAGEMENT
Project Communication
Like it or not, communication is the most important component within any project. The success of most
projects, whether handled by a dedicated project team or a cross-departmental team, depends upon a set of
crucial communication skills and techniques. Project communications refer to the specific behavior and
techniques used to motivate, lead, delegate, and report back to all stakeholders working on the project. There
are three clear communication channels that managers need to establish once the project has started.
Managing and improving these channels can dramatically increase the chances of success. The key to
successful communications is to keep information flowing in the right direction. A successful project
manager must be a great communicator! Project Management Communication is a skill that is never
perfected, can always be improved and is pivotal in being able to initiate and mobilize a project effectively.

Dr. Meghashree Agarwal

A project team is generally quite a diverse group of people. Project teams are usually thrust together to deliver
a tailored and unique benefit to an organization, something new and different to the day to day activities
undertaken.
Diversity within a project team can be cultural, geographical, organizational, functional, age related, level of
education and so on. Project management communication within such diverse groups is a challenge at the
best of times. Communication affects performance. Therefore, if the project manager wants high-performance
teams working on a project, then project manager need effective communications. Without well-established
channels, it is likely that the project will fail. Successful project managers typically have good
communications skills that include being able to effectively present the issues, listen and act on feedback, and
foster harmony among team members.
Project Management Communication Issues
Successful project management communication relies on being able to discuss the current issues and
economic challenges facing the sponsoring organization and its industry on one hand. Consider the following
5 project management communication issues that are typical of all projects:
 Communication of the Vision: - For the team to all pull in the desired direction, the team needs to
understand what its objectives are and how the team can deliver the benefits expected of the project. One of
the best ways to conveying this important level of understanding is to communicate clearly the vision of the
end result and describe the route to achieving the vision. 'Vision' implies being able to see something - and
that's exactly what should be achieved by the Project Manager in communicating the vision and objectives.
 Communicating Progress& Project Status: - Progress and project status reports are generated regularly at
varying levels of detail and at various stages through a project's monitoring and reporting cycle. All project
reports should take a minimum of effort to generate and should, more importantly, be very easy to read and
understand what the key messages are. Depending on whether a progress report or status report is produced
for the benefit of the Sponsor's Senior Management Team, or whether it is produced for review within one
specific area of the project delivery team.
 Presentations of the Project Status: - By applying a combination of tables, charts and graphs,
supplemented with the techniques, one can produce a Project Management DASHBOARD. Project
Dashboards are exactly like the dashboard of a car or a plane - a set of control read outs which, when viewed
as a whole, communicate the full status and performance of the vehicle, in this case the entire Project. Project
Dashboards themselves, are a great way of visually compiling the Executive Summary of project
management progress reports, and can be used to give a visual snapshot of the overall status of the project.
Strong presentation skills are therefore a prerequisite for the successful project manager.
 Methods of Communication: - Given the geographical and organizational diversity within typical project
teams today, successful project managers should also consider how the team can best communicate, and to
Dr. Meghashree Agarwal
put in place tools to facilitate efficient and frequent communication. A communication strategy should be
conceived at the project planning stages, so key is its influence on the success of the project. The Project
manager could consider communication methods to be either ACTIVE or PASSIVE. ACTIVE
communication methods being those used to communicate in the here and now, for example the use of:
 Face to Face meetings;
 Video conference, meeting - one on one, or group;
 Telephone conference, or voice only web conference;
 Webinars, becoming increasingly popular for the delivery of presentation based activities;
 Telephone - Old School! granted but still better than not speaking to someone;
 Stand Up presentations in person;
PASSIVE communication methods would be those which recipients can adopt in their own time, for example:
 Pod cast;
 Web cast;
 Email;
 Intranet bulletin boards;
 Blogs;
 Website;
 Project Newsletter - paper based;
 Table top presentation
However, given the multitude of options available to a Project Manager, it's important to pick methods that
will add value.
 Listening & Being there: - The ability to listen is the biggest factor affecting effective communication.
Active listening involves being 100% present in the communication process and allowing others to have their
say - one important body language aspect demonstrating engagement in the listening process is eye-to-eye
contact whilst you are listening. A big end result of communication is the ability to understand what is being
communicated. Given that a lot of the time, understanding what people are saying involves appreciating the
feelings that lie behind the reason for the discussion (share an understanding of the feelings behind what they
are saying).
Reinforcing Project Communications
or
An Effective Communications Plan
The key types of communication a project manager must employ in defining and implementing projects are
as follow: -

Dr. Meghashree Agarwal

 Facilitate Team Development: Proper communication actually provides the basis for the project team to
work together and understand objectives and tasks to be completed. Better communication means better
performance.
 Be used throughout the Software Development Process: From defining the user requirements to
implementing the product, a proper communication plan aids in informing all project stakeholders what
communication channels will be used on the project, who will report to whom, and the frequency, type,
and format of project meetings.
 Make it easier to Update Stakeholders: Frequent communications keep stakeholders in the loop.
 Save on Creating Additional Project Documentation: By taking effective communication steps from
the day the project starts, the project manager may see a reduction in project documentation.

Project Team Management

A team is defined as “an interdependent collection of individuals who work together towards a common goal
and who share responsibility for specific outcomes of their organizations”. The central characteristic of
project teams in modern organizations is the autonomy (self-sufficiency) and flexibility availed in the process
or method undertaken to meet their goals. A Project Team is an organized group of people who are involved
in performing shared/individual tasks of the project as well as achieving shared/individual goals and
objectives for the purpose of accomplishing the project and producing its results. The team consists of the
full-time and part-time human resources supposed to collaboratively work on producing the deliverables and
moving the project towards successful completion.
A project team is a team whose members usually belong to different groups, functions and are assigned to
activities for the same project. A team can be divided into sub-teams according to need. Usually project teams
are only used for a defined period of time. They are disbanded after the project is deemed complete. Due to
the nature of the specific formation and disbandment, project teams are usually in organizations.
Most project teams require involvement from more than one department; therefore most project teams can be
classified as cross functional team. The project team usually consists of a variety of members often working
under the direction of a project manager or a senior member of the organization. Projects that may not receive
strong support initially often have the backing of a project champion. Individual team members can either be
involved on a part-time or full-time basis. Their time commitment can change throughout the project
depending on the project development stage.
Project teams need to have the right combination of skills, abilities and personality types to
achieve collaborative tension. Teams can be formulated in a variety of ways. The most common method is at
the discretion of a senior member of the organization.

Dr. Meghashree Agarwal

 There are many components to becoming a top performing team, but the key is working on highly
cooperative relationship. The job of management is to create relaxed and comfortable atmosphere where
members are allowed to be themselves and are engaged and invested in the project work. All team members
are encouraged for relationship building. Each member is responsible to give constructive feedback,
recognize, value and utilize unique strengths of each other. The whole team is tuned on trust and cooperation.
A group of people turns into a team when every person of the group is capable of meeting the following
conditions:
 Understanding the work to be done within the endeavor,
 Planning for completing the assigned activities,
 Performing tasks within the budget, timeline, and quality expectations,
 Reporting on issues, changes, risks, and quality concerns to the leader,
 Communicating status of tasks,
 Being a person who can jointly work with others
So when a project manager look for candidates, first make sure a candidate is ready to meet all the conditions;
otherwise switch to another candidate. If a project manager understands this, them he will get more chances
to find the best candidates.

Project Team Operating Rules

Or
Rule for Project Team Management
People with diverse professional experiences and background have totally unique perspective on any issue.
When a new team is assembled for any project, its vital for the success of that project that all team
member are aware of the ground-rules for the project; similar to any sport. You may have to read it to team
and give a copy for reference. Following are the rules in favor to keep team aligned: -
1. Exchange Contact Information: - Project manager is the primary contact for any project related
communication.
2. Team Contact: - Every member of the group is required to actively contribute to the project, no sleeping
partners. All team members maintain their contact info on the team contact list with contact preference.
3. Regular Meeting Schedule: - All members attend required meetings and conference calls; if unable to
attend, meeting organizer to be notified. If key contributor is unable to attend, request to reschedule the
meeting.
o The group will meet every Saturday from 10am to noon.
o The schedule of the meeting can be changed if everyone agrees to it.

Dr. Meghashree Agarwal

 o These meeting are mandatory for all the members to attend.
o The location of the meeting will vary and would be decided by the group before the meeting until a more
permanent location is identified.
o This meeting would be canceled only if everyone agrees to it.
4. Documentation: - All project team members have access to project plan and project logs (in a standard
document format) and are aware of the assigned tasks and due dates. All team members are to be consulted
about the reasonableness of the plan prior to management approval. All team members are required to
validate their assignments and time allocated prior to the plan is baseline. All project team members have the
responsibility to proactively notify the project manager about tasks, duration or dependencies they believe are
missing (or any other needed changes to the plan) and confront issues directly and promptly.
o Every member of the group is required to contribute to all the documentation.
o One member would be identified as the keeper of the document.
o The keeper of the document is responsible to compiled the document and submit it on time.
o The keeper of the document can set reasonable dead lines for contributions to the document, if any
member submits their comments after the dead line it is up to the keeper discretion to make those
changes.
5. Conflict Resolution: - Each project team member is responsible for ensuring anticipated workload
conflicts with other assignments are brought to the attention of the project manager. Team members should
ask for help if feeling “stuck” or falling behind the schedule instead of waiting for miracle. All project team
members confront issues directly and promptly.
o In case of any conflict, the general rule is majority wins. Incase of a tie, the keeper of the document can
make the executive decision.
o Any conflict needs to be resolved collectively by the group.
6. Leading the Group: - All project team members understand the scope of work. Any work performed
must be in the project plan and is in the project scope. Anything that is absolutely needed but not part of the
project plan must be brought into project manager’s attention.
o Every team member gets a chance to lead the group as a project manager every month.
o The lead of the group is responsible to coordinate activities, assign tasks, get feedback and do
presentations to the sponsor, etc.
o Lead of the group would also coordinate weekly meetings by arranging the meeting location and time
with the group.

Dr. Meghashree Agarwal

 CHAPTER- 04
VARIOUS FORMS OF PROJECT ORGANIZATION
Organization structure describes how the overall work of the organization is divided into sub-units and how
these sub-units are coordinated for task completion. Project structure must be designed to fit with at
least five factors- the environment, organization size, technology, organization strategy and worldwide
operations.
Successful completion of a project requires a great deal of planning. Management is tasked with deciding the
best way to utilize employee resources so the project can be finished on time, in a high-quality manner,
without disrupting normal business functions. A company does not have to choose one method of
project organization - the type chosen may vary according to the scope of the project and the available
resources.
1) Matrix Structure
A matrix arrangement is the most common type of project organization. It superimposes a lateral structure
that focuses on project coordination on a vertical functional structure; where changing customer demands and
technological conditions caused managers to focus on lateral relationship between functions to develop a
flexible and adaptable system of resources and procedures, and to achieve a series of project objectives. A
project manager is charged with ensuring the group completes the assignment on time that it does not go
over-budget and meets company standards. Matrix project organization can be a good choice as team
members are experts in their field, but can be a challenge as employees may have conflicting job-related
priorities, which can delay project completion. Matrix structures now are used widely in manufacturing,
service, non-profit, governmental and professional organizations.
2) Divisional Structure
Divisional structure is also known as self-contained or self-directed structure. It groups organizational
activities on the basis of products, services, customers or geography. All or most of the resources and
functions are necessary to accomplish a specific objective. A self-directed team has the freedom to make its
own decisions on how a project will be completed. At the beginning of the project, team members receive a
goal and are allowed to determine the best way to achieve it. There is typically no one person in charge, but
one team member usually evolves into a leadership role as the project progresses. Team members are
responsible for recruiting any additional employees they believe would be a valuable asset to the group and
providing feedback on their work.

Dr. Meghashree Agarwal

3) Project-Based Structure
A radically new logic for structuring organizations is to form multidisciplinary teams around core processes
such as product development, order fulfillment, sales generation and customer support. In a project-based
team, functional departments are formed within the project team itself. All functions necessary to produce a
product or service are placed in a common unit usually managed by the ‘process owner’. Project structure or
Process structure eliminates many of the hierarchical and departmental boundaries that can impede task
coordination and slow decision making and poor performance. The use of process based structure is growing
rapidly in a variety of manufacturing and service companies. Typically referred as “horizontal,” boundary-
less,” or “team based” organization. For example, the project team would have its own marketing, IT and
finance teams, instead of sharing resources with the rest of the department. This type of organization is
typically only used in very large & long-term projects. It can be advantageous, because all employees are
solely dedication to the project, instead of having to split time between other job-related priorities. It can also
an unfavorable idea, because a company may end up with duplicate resources. For example, if a company has
marketing, IT and finance team solely dedicated to a project, it will also need to hire another group of people
to perform these functions to meet the remaining business needs.
4) Problem Solving
When a company has a problem that can’t be solved through traditional methods, it can create a problem-
solving team. This type of project team brings representatives from different areas of the company together to
find a solution. Members are tasked with solving the problem in an efficient manner while working to meet
the needs of all functional areas of the company.
5) Functional Structure
The most widely used organizational structure in the world is the ‘functional structure’. The organization
usually is divided into functional units such as marketing, operations, R & D, HR and Finance. This structure
is based on early management theories regarding specialization, line and staff relations, span of control,
authority and responsibility. In functional project organization, the major functional units of teams are
coordinated and directed by specialists from such disciplines as engineering and accounting. All the resources
needed to complete the project come from one single department. If a large project requires work from
multiple departments, the work is completed independently by each department. This can make project
completion more efficient, as team members are used to working with one another and are often dedicated
solely to working on the project. It is considered easier to manage specialists if they are grouped together
under the same head. It can also cause challenges if help is needed from workers outside the department, as
team members may not know who to contact for specific information. Functional teams are most effective
with routine projects that require little variation.
6) Virtual Organization
Dr. Meghashree Agarwal
This type of the organization, does not look like to be physically operating but very well works like the one,
due to the modern communication equipment which may include the following functions –
 Digital mail
 Voice
 Communication
 Cameras
 Projection systems
 Audio and video conferencing
Project Organization Charting

An organization chart or org chart is a diagram that shows the hierarchical structure of an organization.
Usually a chart starts with a higher or superior level and branches downward to subordinate levels.
An organizational chart of a company usually shows the managers and sub-workers who make up an
organization. It also shows the relationships between the organization's staff members. Such charts are helpful
to show a new employee where he fits in the organization. In many large companies the organization chart
can be large and incredibly complicated and is therefore sometimes dissected into smaller charts for each
individual department within the organization.
Limitations: -
There are several limitations of organizational charts:
 If updated manually, organizational charts can very quickly become out-of-date, especially in large
organizations that changes their staff regularly.
 They only show "formal relationships" and tell nothing of the pattern of human (social) relationships
which develop. They also often do not show horizontal relationships.
 They provide little information about the managerial style adopted (e.g. "autocratic", "democratic" or an
intermediate style).
 They often do not include customers.

Note: - Can refer chapter-14 “Organization Development and Change,” 8th Edition- Cummings & Worley, Page no. 336 to Page no. 336 to 350.

Dr. Meghashree Agarwal