Larson

Project Management
Chapter 10
Leadership:
being an
effective
project
manager

Copyright © 2014 McGraw-Hill Education (Australia) Pty Ltd

Larson, Project Management 10-1
1–1

Managing vs leading a project

Managing: coping with complexity Leading—coping with change

Formulate plans and objectives Recognise the need to keep the

project on track
Monitor results Initiate change

Take corrective action Provide direction and motivation

Expedite activities Innovate and adapt as necessary

Solve technical problems Integrate assigned resources

Serve as peacemaker

Make tradeoffs among time, costs

and project scope

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Project management maxims
– You can’t do it all and get it all done.
§ Projects usually involve a vast web of relationships.
– Hands-on work is not the same as leading.
§ More pressure and more involvement can reduce
your effectiveness as a leader.
– What’s important to you likely isn’t as important
to someone else.
§ Different groups have different stakes (responsibilities,
agendas and priorities) in the outcome of a project.

Remember: project management is tough, exciting and

rewarding—endeavour to persevere.

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Network of stakeholders

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Importance of stakeholders
• Stakeholders are individuals and organisations who
are involved in the project and who exert influence
over the results.
– Project specialists
– Professionals who work on parts of the project
– Senior management
– Functional managers and/or departments
– Contractors involved with the project
– Customers for whom the project is designed
• A project manager must understand how
stakeholders affect the project and develop methods
for managing interdependencies.

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Larson, Project Management 10-5

Types of project stakeholders

Project team Manages and completes the work Doing a good job, personal goals and aspirations

Project Manage the project and compete Compete and share resources, exchange information
managers for resources

Admin Provide valuable support services Can impose constraints: documentation, updates
support
Functional Can play major or minor role Co-operate up to a point. Concerned with preserving
managers depending on structure status and minimising effect on own team

Senior Approve and fund the project; Want project success but have broader organisational
management define success and rewards concerns

Project Champion the project Reputation tied to success. Defend project; key ally
sponsors
Contractors Varied responsibilties Must balance theircontributions with their own profit
margins and their commitments to other clients

Government Policy and legislative requirements Ensuring compliance with regulations and safety
agencies
Other May directly or indirectly affect Timelines, suppliers, quality and interest groups can
organisations project all impact a project

Customers Define the project scope and Concerned with obtaining a good outcome and a good
ultimate success deal

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Influence as exchange
• The law of reciprocity
– One good deed deserves another, and
likewise, one bad deed deserves another.
• Quid pro quo
– Mutual exchanges of resources and services
(‘back-scratching’) build relationships.
• Influence currencies
– Cooperative relationships are built on the
exchange of organisational ‘currencies’, or
favours.

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Larson, Project Management 10-7

Organisational currencies:
Task
Resources

Information
Task- Assistance

related

Cooperation

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Organisational currencies:
Position
Advancement

Visibility
Position- Recognition
related

Networks

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Larson, Project Management 10-9

Organisational currencies:
Inspiration

Excellence

Inspiration-
related
Vision Ethics

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Organisational currencies:
Friendship
Acceptance

Friendship-
related
Personal
support Understanding

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Larson, Project Management 10-11

Organisational currencies:
Personal

Learning

Personal-
related
Involvement Gratitude

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Social network building

• Mapping dependencies
– Project team perspective:
§ Whose cooperation will we need?
§ Whose agreement or approval will we
need?
§ Whose opposition would keep us
from accomplishing the project?

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Larson, Project Management 10-13

Social network building

• Mapping dependencies
– Stakeholders’ perspective:
§ What differences exist between the team
and those on whom the team will depend?
§ How do the stakeholders view the project?
§ What is the status of our relationships with the
stakeholders?
§ What sources of influence does the team have
relative to the stakeholders?

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Dependencies:
Financial software example

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Larson, Project Management 10-15

Social network building

Management by wandering around
(MBWA)
– Involves managers spending the majority
of their time in face-to-face interactions
with employees building cooperative
relationships

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10–16

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Social network building
Managing upward relations
• Project success = top management support
– Appropriate budgets
– Responsiveness to unexpected needs
– A clear signal to the organisation of the importance of
cooperation
• Motivating the project team
– Influence top management in favour of the team:
§ rescind unreasonable demands
§ provide additional resources
§ recognise the accomplishments of team members

Copyright © 2014 McGraw-Hill Education (Australia) Pty Ltd

Larson, Project Management 10-17

Leading by example

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Characteristics of an effective
project manager
• Initiates contact with key players
• Anticipates potential problems
• Provides encouragement
• Reinforces the objectives and vision of
the project
• Intervenes to resolve conflicts and
prevent stalemates .

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Larson, Project Management 10-19

Significance of a project
sponsor

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Ethics and project management
• Ethical dilemmas
– Situations where it is difficult to determine
whether conduct is right or wrong
§ Padding of cost and time estimations
§ Exaggerating pay-offs of project proposals
§ Falsely assuring customers that everything is on track
§ Being pressured to alter status reports
§ Falsifying cost accounts
§ Compromising safety standards to accelerate progress
§ Approving shoddy work
– Code of conduct
§ Professional standards and personal integrity

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Larson, Project Management 10-21

Qualities of an effective project

manager
1. Systems thinker
2. Personal integrity
3. Proactive
4. High emotional intelligence
5. General business perspective
6. Effective time management
7. Skillful politician
8. Optimist

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Contradictions of project
management
• Innovate and maintain stability
• See the big picture while getting your
hands dirty
• Encourage individuals but stress the
team
• Hands-off/hands-on
• Flexible but firm
• Team versus organisational loyalties

Copyright © 2014 McGraw-Hill Education (Australia) Pty Ltd

Larson, Project Management 10-23

Suggestions for project

managers
• Build relationships before you need
them
• Sustain trust through frequent
face-to-face contact
• Realise that ‘what goes around
comes around’

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