IT Project Management and Virtual Teams

Catherine M. Beise, PhD

Salisbury University
Salisbury, MD 21801 USA
01-410-548-4034
cmbeise@salisbury.edu

ABSTRACT At the same time, the globalization of project teams has increased
Project management methods and tools are increasingly relevant demographic and cultural diversity, which can create obstacles to
as today’s globalized organizations accomplish more of their the smooth functioning of team processes, but also can provide
goals using cross-functional, and often cross-cultural, benefits in creativity, innovation, and problem-solving. Project
geographically dispersed, project teams. The increased diversity management methodologies are intended to maximize the benefits
of skills, knowledge, cultures, and perspectives of these project of teamwork (process gains) while preventing and addressing
teams can potentially have both positive and negative influences potential barriers due to misunderstanding, disagreements, even
on group processes and outcomes. The question that this personality clashes among stakeholders and team members
research-in-progress intends to address is: To what extent can and (process losses). Little research, however, has examined the
do project management methods and tools benefit diverse virtual potential effects of formal project management methods on
teams while mitigating its challenges? In order to begin to answer diversity-related conflict, for example, particularly in a virtual
this question, this paper presents relevant background, a research team context. The aim of this study is to begin to fill that gap. The
model, a methodology (currently in progress), and potential rest of this paper presents relevant background, a research model,
contributions. The initial methodology involves a study of IT the study methodology, and potential implications.
project teams working on a common database design project
whose members are using electronic tools to communicate, 2. BACKGROUND / RESEARCH CONTEXT
collaborate, and coordinate. The results of the study should IT projects have a long history of being late, over budget, and
provide useful information to practitioners and researchers often resulting in less than high quality outcomes [2] [3].
regarding project management and virtual teams. Solutions to this problem have included the development of
formal approaches to software process improvement [4] and the
Categories and Subject Descriptors: application of formalized project management (PM) methods to
K-6.1 [Project and People Management] plan, monitor, and control cost, time, and quality [1]. Recent
efforts have begun to integrate software process improvement
General Terms:
Management, Performance, Design methods with more generic PM methods [5]. The evolution of
project teams to more diverse, global, geographically dispersed
Keywords: environments presents new challenges to traditional PM
Project management, virtual teams, software teams. approaches [6] [7].

1. INTRODUCTION 2.1 Project Management

Much of the work done in today’s increasingly geographically Projects are distinguished from on-going operational tasks in that
distributed organizations is accomplished by work groups, often they are temporary, have a unique and specific goal, have a
formalized as project teams. In order to achieve the assigned tasks specific start date and end date, and require a diverse set of human
and goals, a cross-section of skills, knowledge, and perspectives is resources, each of whom brings specified needed skills and
often required. Thus, team members may be selected from knowledge to the project tasks [1]. Successful project managers
multiple functional areas, from different locations, and often from plan and implement formal communication and coordination
diverse demographic and cultural backgrounds. Project teams are processes that include both task-related and process-related
often managed using formal project management methodologies, information.
such as those derived from the Project Management Body of
Knowledge (PMBOK) [1]. Such methods have evolved due to the The Project Management Body of Knowledge (PMBOK) [1]
need to monitor and control complex projects, and to maintain includes, in addition to cost, time, and quality, methods for
budgets and schedules while ensuring quality, which have all managing integration, scope, resources, risk, people, and
grown in importance as critical success factors in the competitive communication. These methods are integrated via five processes
global workplace. that apply to all the knowledge areas: initiating, planning,
executing, controlling, and closing. The intent of the
Permission to make digital or hard copies of all or part of this work for methodology is to acknowledge and accommodate the fact that
personal or classroom use is granted without fee provided that copies are projects operate within an organizational context with resource
not made or distributed for profit or commercial advantage and that copies
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specific permission and/or a fee.
SIGMIS’04, April 22–24, 2004, Tucson, Arizona, USA. Little research has actually tested the effectiveness of these
Copyright 2004 ACM 1-58113-847-4/04/0004…$5.00. methods as a whole, particularly for distributed teams, although

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individual dimensions of the PMBOK, such as time, risk, and [27]. At the same time, however, CMC tools could potentially
communication have been linked to project outcomes. For reduce diversity-related conflict [28]. Diverse groups may even
example, scheduled milestones and firm deadlines can positively become less diverse over time as they develop a team culture
affect team performance [8] [9]. Project teams with assigned which gradually predominates in relation to individual cultures
roles and responsibilities produce higher quality deliverables than that the members initially bring to the team, which may also apply
those without [10]. Communication and information flows must to virtual teams [29].
be more frequent, even continuous, in distributed contexts, in
order to maintain commitment and build trust [11]. Risk 3. CONCEPTUAL MODEL
management is often considered a critical success factor for Project team success is contingent upon a variety of factors that
software project effectiveness [12]. Development of a clear, interconnect in complex ways. These include the task, formal and
measurable performance reporting system that links project informal team processes, individual team member characteristics
objectives to critical actions needed to perform them can and contributions, resource constraints, organizational context
overcome culture differences and other barriers [13]. Thus, much factors, and, in the case of distributed, or “virtual,” teams, ICT
of what is known regarding the effectiveness of PM methods availability and use. Figure 1 represents a systems view (input-
comes from studies about these individual dimensions of PM, process-output) of group work supported by a number of research
drawn from a wide range of reference disciplines [14], rather than streams [30-32].
PM as an integrated, comprehensive set of applied structures.
Inputs include task; individual characteristics; group
2.2 Diversity characteristics, such as size and history; and technology, which
Dimensions of diversity studied by a variety of researchers in a broadly defined includes electronic tools as well as process
wide range of fields include demographic factors such as race, methods (manual or automated). Project management methods
sex, ethnicity, and age. These diversity dimensions are what the fall under this definition of “technology.” Team processes include
management literature categorizes as high visibility, whereas low stages of development (“form, storm, norm, perform, close”)
visibility dimensions include values, attitudes, education, which often entails surfacing and resolving conflict, developing
functional experience, skills, and knowledge. Other terminology trust and cohesion, and creatively generating problem solutions.
used to characterize these types of diversity include less highly Team outcomes include performance (budget, schedule, quality)
and highly job-related [15], surface-level and deep-level [16], and and member satisfaction, as well as emergent adaptive structures
observable and non-observable [17]. Most researchers agree that [33]. Finally, teams operate within an organizational context,
more visible dimensions are likely to correlate with less visible which influences all three dimensions (inputs, processes, and
dimensions, and two theories, the trait model and the expectations outputs). Within this conceptual context, then, the research
model, support this contention, although in different ways [15, question asked in this study is: How do Project Management and
18]. team diversity interact to produce team outcomes?

Several comprehensive reviews indicate mixed results regarding In order to address this question, this study focuses on and
effects of diversity on work group processes and outcomes [15, measures Project Management methods and collaborative tools
17], concluding that their interaction is complex and mitigated by (technology), diversity (individual characteristics), group
organizational and social contexts. Diversity may increase processes (creativity, conflict, and cohesion), and group outcomes
conflict and thus result in process losses [19]. However, conflict, (performance and satisfaction, shown in gray in the model.
when surfaced and resolved, can result in greater creativity, more
learning, and better decision-making, through generating more Figure 2 summarizes the dimensions of the model and identifies
and better alternatives and through greater external specific measures that are used in this study to represent those
communication [20] [21]. Increasing some types of diversity on dimensions.
IT project teams, specifically diverse perspectives in terms of
technical versus social, may reduce project risk [22]. The initial hypotheses that this study intends to address are:
1. PM methods will reduce diversity-related conflict.
Little is known regarding computer-mediated communication
2. PM methods will positively influence cohesion,
(CMC) and effects of diversity on team outcomes. Cultural
regardless of diversity.
diversity is frequently cited as a barrier to team, especially virtual
team, performance [23] [24]. Reliance on electronic tools such as 3. PM methods will positively influence performance and
e-mail may increase conflict due to limitations of such satisfaction.
communication channels [25], and the lack of face-to-face contact
could reduce individual team members’ identification, trust, and
commitment to the team, resulting in reduced performance [26]

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 Organizational
Context

Task:

Group Process:, Group

Individual Conflict, Cohesion Outcomes
Characteristics:
Diversity

Technology
PM Group
Characteristics

Figure 1: Research Context - Conceptual Model

Concept Meaning/Dimensions Measures in This Study

Task Generic: Brainstorming, Problem-
solving
Domain: System design, product
innovation
Technology Project Management Formal methods re: PMBOK
Individual and Group Tools e.g., Agenda, Schedule,
ICT Infrastructure, access, Milestones, Role Definitions,
training Group Contract
Organizational Context Culture, Structure, Resources,
Management
Group Characteristics History, Size
Individual Characteristics Skills, Knowledge, Personality, Demographics
Demographics, Cultural
Background
Group Conflict Conflict, Cohesion, Stages of
Process Cohesion Development
Trust
Stages of Development
Group Outcomes Performance (Quality, On-time, Performance (Deliverable
Within Budget) Quality), Satisfaction
Satisfaction
Emergent Structure

Figure 2: Dimensions and Measures

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