Topic 9 Reading Material

Topic 9 Reading Material - The Eye Diagram: A New...

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Unformatted text preview: The Eye Diagram: A New Perspective on the Project Life Cycle M anaging projects involves manag- ing change. Every project has a scope—the work that the project man- ager attd team ttlust complete to assure the customer that the deliverahlcs meet the acceptance criteria agreed upon at the onset of the project. Successful proj- ect managetnertt. deployed around the project scope. is complex and difficult. Project managers must pay attention simultaneously to a. wide variety of human. financial. and technical factors. Often. Lhey are responsible for project outcomes 1.vithout being given sufficient authority. money. or manpower. Nor sur— prisingly. the project manager's job is characterized by role overload, frenetic activity. and superficialin {Slevin dc Pinto. 193?]. In this article. 1.vc intro- duce an extension to the conceptual framework of the project life cycle to enhance the project manager's undera standing of the dynamic and complex job of managing projects. The concept of a project life cycle is well developed in project nuutagement literature. By their very nature, projects exist for a limited duratith of time— rhey are bout front an idea. developed into a Iinished product or service, and then terminated {Kloppenborg 3'. Pet- rick. 1999). Organization personnel who manage projects routinely divide each one into several phases to provide better control and appropriate links to the ID Journal of Education for Business BIN JIANG DANIEL Fl. HEISER DePaul University Chicago. Illinois ABSTRACT. The project life cycle. a well-established concept in project management literature and education. is used to highlight the dynamic requirements placed on. a typical proj- ect manager. As a project moves dtrough the selection. planning. execu- tion. and trnuination phascs. the proj- ect manager and learn are faced with different. Ivying areas of concern inclmling the immediate tstlr prioritiesI the probable sources of conflict. and the relevant critical factors for project suc— cess. Unfortunately. traditional repre- sentations of the project life cyclc emphasize acctnntting-orienled aspects ofthe life cycle that are less interesting. such as pcrcent complete and level of effon. In this article. the authors intro- duce a new frarne'rleorlr'I the eye dia- gram. that illustrates the more substan- tive aspects of the life cycle concept in an intuitive and accessible format. ongoing operations of the perfonning organization. The project lift: cycle prov vides a useful framework for the project manager to la] identify critical issues and probable sources of major conflict and an prioritize them over the process of the project implementation. We also readily acknowledge that in different life-cycle phases. the project will have different management requirements {Gray ll: Larson. 20433}. .'—‘ts a project moves through its life cycle. the project manager and senior management should continually refocus their attention. ener- gy, and resources on the special manage- ment requirements of the relevant phase of the project. In this article. we describe a new tool—the “eye diagram"—for enhanc- ing a project managers understanding of how his or her managerial perspec- tive should change as a function of the project life cycle. its the project life cycle transitions from one project phase to the nest. the eye diagrant also adjusts and resets its focus on a new perspective on the role of thc project tttattager. The eye diagram provides a practical, intua itivc tool for project managers to cope Itvith today‘s increasingly complex and dynamic project environment A New Perspective on Project Management No project exists in a vacuum: it is subject to art array of influences includ- ing its team‘s perceptions and emotions. its organisation's ctmlrol procedures. and economic and industrial interven- tion. To cope effectively. the project manager tnttst have sophisticated knowl— edge of psychological. sociopolitical. institutional. legal. economic. and tech: nical influences. Therefore. it suecessful project manager should he highly skilled. perceptivc. and display excellent boundary communication skills at the “institutional trtartagement level" tMor— ris. “3132‘; or the “strategic apes" {Mintsberg 19W}. A project manager must know hotv to plan effectively and act efficiently (Slevin tit Pinto. 193?} to coordinate project strategy and modes coherently in the relevant competiu've environment. In short. the project matt- ager must manage an area larger than the territory bounded by the scope of the project. The project manager faces a complex task requiring attention to many vari- ables. This inherent complexity arises frotn the diverse and novel nature of projects. The more fi|JEClfiC F1 manager catt be regarding the definition and monitoring of the pertinent variables. the greater the likelihood of a successful project outcome. It generally is useful to use a multiple—factor model, because it can help a project manager that under- stand the variety of factors affecting project success. then to be aware of their relative importance across project implementation stages. in Figure l, the eye diagram. we illustrate the tnttltifactor project envi- ronment, which we use to define and monitor the standard variables pertinent in project management. The black "ret- ina" of the eye represents the scope of the project. Project managers should have the skill set and ability to define the project scope, set tip the project team. identify and address project risks The retina: Project bounda ry Customers and constraints, and estimate and moni— tor time while staying within the bud- get. in recent years. researchers have focused on identifying the factors most critical to project success and failure {Thamhain 3t Wilemon. 19%}. The gray “iris” surrounding the proj— cct scope represents the parent organi— zation supporting the project. Although it would be unusual for a project man— ager to control the interface between the project and the parent organization [this arrangement nortnally is a matter of company policy decided by senior inau- agetrlent}, the nature of the interface has a major impact on the project. Accord- ing to the characteristics of this inter- face. the project manager will negotiate with functional departments, be subject to human resource directives. and bar— gain for and coordinate the organiza- tion’s scarce resources. The rapid growth in the use of projects to imple— ment strategic change, collapse product development cycles. and improve ongo— ing operations has made the traditional interface how-teen projects and their par- ent organizations inadequate in ntany cases (Mantel, Meredith, Shafer, 3.: But-- too. tool}. The surrounding "white of the eye" represents the external environment in which the project attd the organization tu'e located. This environment includes The Iris: flrganlzation boundary I1'1'iticttl stlrccss l'tlt'lol's 't l_"l'\'ll‘\' 1|ii:i_i|t|' t'ilril'lii'ls Technology White of the eye: Competitive environment FIGURE 1.The eye diagram of project management. the established and latest statewofwtbc- art technology relevant to the project; its custonters and competitors; and its geo- graphical. climatic, social, economic. and political settings—virtually every— thing that ean affect a project’s success. These factors can influence the plan- ning. organizing. staffing. and directing that constitute the project manager’s rnain responsibilities. Therefore, for die project managers to be consistently suc- cessful. they must take into account the effects of the wider environment. Changing Focus During the Project Life Cycle Successful project leaders are aware of the links between completion of the project life-cycle pltase and the chang ing internal and external variables affecting project management. For the present study. we employed a four— phase lifevcyclc model including project selection. planning. execution. and ter- mination. as suggested by Hormozl. MeMino, and Nxeogvvu {Emil}. fits a project moves through each phase. the project manager and senior management shonlrl continually monitor the project’s critical success factors to ensure it is still viable. As a result, the managers will need a variety of leadership and man- agcntent skills to guide the project through each phase of the project life cycle (hernia. I996). The life cycle must be understood and internalized by the project manager because the necessary managerial foci subtly shift at different phases lKaplan, With). when we read the “project life cycle" section in current project management textbooks and handbooks. we typically find the two illustrations shown in Fig- ure 2 {Meredith tilt Mantei, 2093]. These frameworks remain useful because they help to define the level of effort needed to perform the tasks associated Iwith each phase. During the early phases. requirements are minimal; however, they rapidly increase during late plan— ning and execution stages attd diminish during project termination [Pinto & Prescott. 19%}. However, although the traditional illustrations show that project manage- ment is attested try the clapsiag life cycle, they are so simple that they lose Septembet‘rfflcmber 2904 11 much of the underlying power of the life—cycle concept—and even may mis- lead inexperienced project managers. For example. according to the graphs in Figure 2, one easily could believe that a project's life cycle is used for measuring project completion as a function of either time or resources. However, the real purpose of a project life cycle is to provide project rnan- agers with an a priori strategic and tac- tical too] rather than a post hoc mea- surement scale. In this article, we point out the advantage of using the eye on — gram for tracking different phases of the project life cycle. 1tit'ith the eye dia- gram, we iind dtat each new perspec- tive sttpports the underlying concept and requirements oi‘ the indiv'idual life- cycle phases better than do traditional illustrations. Phase 1: Protect Selectt'on—Ottrtmrd- Loolring Eye Diagram Project selection, the initial phase, refers to the time frame dunng which a strachic need is recognized by top man- agement. lt stttrts with identifying the needs and desires of the user of the proj- cet deliverahtes—tlie customer. The company's major business objectives and strategies need to be identified and understood so that project gottls can be accurately associated with them. In this phase. top management needs to he cut- 1a-arvd kicking to serve as project chain- pion, publicist. and persuader. harness- ing the approval and commitment of investors. regulatory horiies. goyern- rnenl, interest groups, and even the gett- eral public. This phase demands flexi- bility, awareness, entrepreneurial skill. and political insight tThamhain at 1t‘i’iie- mon. Ill—ES}. The eye diagram relevant to the selection phase emphasizes the outward-looking, environmental scan- ning requirements of this initial phase of the life cycle [see Figure 3]. Phase 2: Planning—Iterative Eye Diagram During the planning phase. a more formalized set of project plans leg. schedule and budget) are established for accomplishing the intended project scope. "ft-yo main types of activities are 12 Journal of Education far Business accomplished: dealing with iterative planning and initiating the formation of die project learn. The project manager needs to stimulate the design profes- sionals, liaise and negodate with func- tional departments. and deal with any regulatory and other oversight bodies. The project manager and newly assigned team members meet to plan jointly at a macro level of detail the major activities that must he accom- plished. Then project team members. individually or in sntaller groups, often will flesh out the details of necessary wortt in their respective areas {Kloppen- horg d: Petricl-t, llllllal}. Then the team "rolls up" these detailetl activity plans to identify schedule, cost. and resource plans in detail. This phase requires the project manager to have otnpathy whett setting the design objectives and patience for coping with organizational bureaucracies [SitlwelL [990]. In Figure =l-, we illustrate this planning phase’s eye diagram and emphasize the iterative nature of activities required to refine project plans. As illustrated, the activity a...‘ Planning Ea'ecution Termination E Cl '1: g E G U E U E D. 1.? an E .- F'- ."' fl LI EL Project selection at this stage occurs outside the bound- aries of the project scope (the work to be performed for the end customer} and consists printerin of administrative tasks inside the sponsoring organization. Phase 3: Execution—Sequential Eye Diagram The third phase in the life cycle is pro- ject execution. During this phase. the actual work of me project is performed [Pinto 3t Prescott. I‘J‘Jll}. The main activities of this phase include securing the necessary resources to perform each project taslc. executing the activities identified in the project plan in the planned sequence, monitoring and reportith on progress. and replanning and adapting to flttirl conditions as need- ed Progress needs to be monitored and reported on a regular basis to track progress. This is generally the longest phase of the project both in terms oi'dura- [ion and effort tKloppenhorg & Petrielt, was}. The project manager must cope with a large, diverse, action-oriented Thailars or manhours a...‘ Project Planning Est-cation 'liertnination selection FIGURE 2. Traditional project lifocyele illustrations. FIGURE 3. Protect selection phase: Onward-looking eye diagram. FIGURE 4. Planning phase: Iterative eye diagram. team and often must operate under estrame time and cost pressures. ‘lhe pro— ject manager is involved in sintultane— ously monitoring and controlling the project and may need to become the pri— mary driver of the project {SidwclL 1WD]. The execution perspective of the eye diagram emphasizes the sequential nature of the project activity {see Figure 5}. Although the majority of the worlr occurs within the black retina of the eye diagram {the project scope}. the inter- face with the sponsoring organization [e.g.. coordinating with functional departments and reporting progress} remains an important element of the pro- ject rna nager‘s concern. Pit-use 4: Termination—Erica's Eye Ding mm The last phase in the project life cycle is the termination phase. During the transition front execution to termina- tion. the project manager leads the proj- ect learn in assisting the end users in operating the new product or service. Clnce d'tc project scope has been accom- plished, the resources assigned to the project tnust he released. Personnel from the project learn are reassigned to other duties. and ownership of the proj- ect output is transferred to its intended users. This phase is a valuable opportu- nity for evaluating and improving the organization‘s project management capability and capturing “lessons learned” for the organization‘s knowl— edge Irtanagement system. The intro- spective nature of the termination per- spective is shown by the inward flow of the eye diagram in Figure ti. When we place the four eye diagram pej'spectives in order. an interesting pro- gressive pathway of changing manager- ial foci emerges {see Figure 1). Begin- ning with all potential variables that influence a project and ending with an exclusive forms on a satisfied customer, the changing perspectives show how a project manager must change his or her focus from the initial macro level to the final nucro point. Additional Relationships Thus far. we have demonstrated that the changing perspective of the eye dia— gram provides improved guidance for managerial focus when compared with the traditional project life—cycle illustra- tions in Figure 2. However, the useful— ness of the tool can be extended into additional areas of interest that typically are provalent during each phase of the project management life cycle. The dynatnics of the project implementation process have been examined from a variety of perspectives, hut researchers often concentrate on two areas: critical success factors and dealing with con- flict. The eye diagram also can he lever- aged to represent characteristics rele- vant to both areas of concern. Critical Success Factors It is well recognired in project man- agement research that the project itnple— mentation process can be facilitated greatly if a variety of critical success factors are addressed {Boynton Er. Zmue. l934; Shank. Eoynton lit Zmuc. 1985}. One of the typical studies on this topic was reported lay Slevin and Pinto tlEl'E'll. after interviewing more than dilll project managers. Slevin and Pinto identified the if} most common critical factors relevant to project success: l. Project mission. initial clarity of goals and general directions. FIGURE 5. Execution phase: Sequential eye dlagram. Infinite space Envimtnmental scanning Resources in organization The Work packages 2. Top monagcmenrsupport. Willing- ness of top management to provide the necessary resources and authorityl power for project success. 3. Project schedule and plans. A detailed specification of the individual action steps required for project impler mentation. 4. Client consultation. Communica- tion. consultation. and active listening to all concerned parties and potential users of the project. 5. Personnel. Recruitment. selection. and training of the necessary personnel for the project team. l5. Technical tasks. Availability of the required technology and expertise for accomplishing the specific technical action steps. 'l. Client acceptance. The act of “sell- ing" the final project to its ultimate intended users. 8. Monitoring and feedback. Timely provision of comprehensive control information at each stage in the imple- mentation process. 9. Communication. The provision of an appropriate network and necessary data to all key actors in the project implementation. It]. troubleshooting. ability to handle unexpected crises and deviations from the plan. FIGURE 5. Terminatlon phase: Focused eye dlagram. A satisfied customer FIGURE 1'. Changing focus during the project life cycle. Kepler-ribs rfflctotter 2W4 1 3 Among the it) factors, the first three (mission, top management support, and project schedule and plans) are strate- gic: the remainder are tactical. Eteviii and Pinto {193?} also studied the shift- ing balance between strategic and tac- tical issues over the project‘s life cycle {see Figure 3}. During the two early phases, selection and planning. strate- gy is significantly more important to project success than tactics. fits die proj ect moves toward the final stage, strat- egy and tactics acltieve almost equal importance. The initial strategies and goals continue to “drive” or shape tac- tics throughout the project tSlevin d; Pinto). This view coincides with the eye dia- gram's changing perspectives. The focus shifts from broad scale (strategy) to small settle {tactics}, but the funda- mental goal—to satisfy the customer— is always driving the project manager's attention and activity. Corifiict and ijects Managing conflict is a fundamental part of overseeing complex projects. To anticipate and quickly address coniiicl, it not only is essential for project niaii- agcrs to he cognizant of the potential sources of conflict; theyr also n'ttlst know when in the life cycle such conflicts at'e most liitciy to occur. Such knowledge can help the project manager avoid unnecessary delays in dealing Ie-‘ith the detrimental aspects of conflict and tiias- lniire any opportunities presented to capture the beneticiai aspects of conflict {'i'liniitiiain 3r Wilenioii, 1915). The causes of project conflicts are varied. After investigating more than tilt} projects, Thainhain and Wilentou (1915} identified several different sources of conflict and notetl that the sources seemed to ditt'er when a project is in different phases of its life cycle {see Figure 9}. Despite the passage of several decades, 'l‘hamhain and Wile- mon’s findings are considered relevant to the modern project—management environment {Mantel et at, soot}. Again, many of the results of Tliainhain and Wilemon’s {IQTS‘J research align with the inultipie per- spectives of the eye diagram. i’ts strate- gic level conflicts te.g., conflict over 14 .fou moi of Education for Business project priorities and administrative interfaces} gradually fade, high—ranking conflicts shift to microlevel issues te_g., technical opinion, personality, man- power). Although other sources of con~ flict [such as those related to the sched— ule} always rank high, the eye. diagram helps to filter the probable areas of con- cern into :1 smaller, more digestible subset. The project selection phase. in this phase, the eye diagram suggests that the project manager and top management should focus on environmental scan- ning—assessiag both the opportunities and threats affecting the project. 235: t'J‘a-I E on 'E '5 l3 s Ll E a 'e" er, 3 lh'ojcc1 selection Planning Thamhain and Wilelnon [19?5} argued that if project managers are aware of the importance of each potential con- flict source by project life cycle. then they can employ more effective conflict minimization and resolution strategies. Therefore, during the selection phase. the project manager should focus on inacrnleve] issues. such as project mis- sion, top titaitagetnent support, project schedule. project priorities. and admin- istrative procedures. The planning phase. Once the selection is complete. the eye diagram refocttses from an outward scanning mode to an 'intraaorganirrational mode. This means .‘Slitttcgj Escctnion Tertrnitiltitlii Plinses FIGURE E. Changes in strategy and taotlcs across the project life cycle. I'ILIj-en'l selccritni I‘ltil'llil‘lg Conflict IrIDens . C'mrflrcl tlier Trionln's :. Conflict o'.cr tech. opinions . Conflict rut-er citatl Personalin conflict ENL‘t‘LIII-Il‘i T-,-,Itr-in:iti||j_.I E l‘. f'onl’lwt over :ulruinistiuliI-u HE“ cl l—tsnflicl rn't-r manpower E |. Conflict utter schedules Rank Project selection Planning Termination l-‘ro'ccl trioiilics Pitt'ccl riorities Schedules Schedules Administrauon Schedules Marinas-3r Schedules Administration I‘ersonalit - Tech. opinions Project priorities Pro'eci priorities Man ivcr .hdniinistraiitm chli. o Iiiions Pcrsonatii- Personality 'l'ech. oiinions Personality Cost Administration FIGUFIE a. Flat-tits of conflict intensities in different project "recycle phases. that the project manager needs to plan carefully how to make full use of the organization's resources. The project manager still needs to think at a strate- gic level to negotiate with functional departments for resources and capacity to support a practicai master plan. 1|iii'hile keeping the project mission in mind, the project manager should place attention on project priorities. sched— ules, administrative procedures, and communication. The execution phase. During project execution. the relevant critical success factors tcnd to emphasize the impor- tance of focusing on the “how” instead of the “what” [Slcvin r’i‘r Pinto. 1933}. Factors such as personnel, communica~ tion. and monitoring are concerned with better management of specific action steps in the project implementation process. Throughout this phase. the actual progress of the project, in terms of cost, schedule. and performance. is Life-cycle phases Selection Planning Execution Termination measured against the planned goals. The eye diagram shifts focus to the sequential activities necessary to drive project progress. High priorityr factors shoald he scheduling, monitoring and feedback. technical tasks, and trou- hleshooting. The rectification phase. By the time the project nears completion, many project team members are tired and hie-hind in other 1.vork {Kloppenborg d: Petrick. 1999]. Thus, the eye diagram suggests that the project manager and team should focus their limited energies on the funda— mental goal—satisfying the customer. As a result, the critical factors should be schedule completion. client acceptance. and personality ti.e_, team motivation and selling the solution to the client}. In Figure it}. We provide a summary of the relations among the eye diagram. critical success factors. and sources of project conflict across the project life- cycle phases. Critical success factors Project mission Top management support Project schedule Project mission Top management support Project schedule Conu'nunication Project schedule Monitoring and feedback Troubleshooting Technical tasks Personnel Client consultation Monitoring and feedback Client mceptance Communication Client consultation Personnel nouns in. Eve diagram, crltlcal cuccccc factors. and protect conflicts. Conclusions Compared with the traditional “per- cent complenon" or “level of effort” pro- ject life-cycle models, the eye diagram provides project managers with a more complete and intuitive framework to sup- port project management. lt guides the project manager to shift his or her thoughts from the broad competitive environment to the internal organization— al political framework. to the work asso- ciated with the project scope, and, final— ly. to an ultimate spotlight on customer satisfaction. The disciplined use of an eye diagram model. associated with crit- ical success factors and conflict predic— tion methods, will help project managers know honr and where to focus their ener- gies and resources during different proj— ect life-cycle phases. "flies, the eye dia- gram provides a clear and intuitive guideline to assist project managers as they cope with today‘s increasineg com- plex pmject-managerhhnt environment. Probable sources of conflict Project priorities Administration procedures Schedule Prnject priorities Schedule Administration procedures Schedule Technology opinions Manpower Schedule Manpower Personality Septcnrhe rfflci‘oher 2004 'l 5 REFERENCES Buyntnn. .95., :5! Entucr R. W. [1934. Summer). in assesamcnl of critical succcsa Eactcils. Elana Maamgemertr Review. J i- '1‘?- Gray, f.‘. E. S: Laraun. E. W. {2033]. Project man- agcmgm: like managerial pmcee: (2nd adj. Ncw Yark: Mcfiraw-Hill. Hnrmctzi. A. M.. McMinn. R. LL. St Nrcugwu. 0. {Ball}. Winter]. 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Topic 9 Reading Material - The Eye Diagram: A New...

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