Human Resource Management PMP Study Group Human Resource Management

Project Human Resource Management Definition “Project Human Resource Management includes the processes that organize, manage and lead the project team”. “The project team is comprised of the people with assigned roles and responsibilities for completing the project.” PMBoK® Guide, 4th Edition, p. 215

Human Resource Management Processes 9.1 Develop Human Resource Plan The process of identifying and documenting project roles, responsibilities, required skills, reporting relationships and creating a staffing management plan. 9.2 Acquire Project Team The process of confirming human resource availability and obtaining the team necessary to complete project assignments. 9.3 Develop Project Team The process of improving the competencies, team interaction and the overall team environment to enhance project performance. 9.4 Manage Project Team The process of tracking team members performance, providing feedback, resolving issues, and managing changes to optimize project performance.

Project Human Resource Management Overview PMBoK® Guide, 4th Edition, p. 217

9.1 Develop Human Resource Plan Human resource planning is used to determine and identify human resources with the necessary skills required for project success. The human resource plan documents project roles and responsibilities, project organization charts and the staffing management plan including the timetable for staff acquisition and release. The human resource plan may also include identification of training needs, team building strategies, plans for recognition and rewards programs, compliance considerations, safety issues, and the impact of the staffing management plan on the organization

9.1 Develop Human Resource Plan PMBoK® Guide, 4th Edition, p. 218

9.1.1 Develop Human Resource Plan Inputs Activity resource requirements Human Resources planning uses activity resource requirements to determine the human resource needs for the project. Enterprise Environmental Factors Organizational culture and structure Existing human resources Personnel administration policies Market conditions and unique challenges Organizational Process Assets Organizational standard processes and policies and standardized role descriptions Templates for organizational charts and position descriptions Historical information that has worked in previous projects

9.1.2 Develop Human Resource Plan Tools and Techniques Organizational Charts/Job Descriptions Document team members’ roles & responsibilities Some common types: Hierarchal type, ie: Organizational Breakdown Structure (OBS) Matrix Based, ie: Responsibility Assignment Matrix (RAM) Text Oriented format Hierarchal type Organizational Breakdown Structure (OBS) Shows positions and relationships in graphic format Arranged according to the organization’s existing departmental structure Project activities or work packages can be listed under each department Resource Breakdown Structure (RBS) used to breakdown the project by types of resources. RBS is helpful in tracking project costs within the organizations accounting system Matrix Based Responsibility Assignment Matrix (RAM) is used to illustrate the connections between the project work and the team members Can be developed high or low level depending on the complexity needed High level can be tied to each component of the Work Breakdown Structure (WBS) Low level can be tied to specific activities within the WBS Allows a view of all activities associated with one person or all people associated with one activity Text Oriented format Team members responsibilities that require detailed descriptions Usually in outline format

9.1.2 Develop Human Resource Plan Tools and Techniques Example of a Responsibility Assignment Matrix (RAM): The RACI Chart Responsible, Accountable, Consult, Inform

9.1.2 Develop Human Resource Plan Tools and Techniques Networking Formal and informal interaction with others within the organization or industry. A constructive way to understand political and interpersonal factors that may impact the effectiveness of various staffing management options. Activities can include: Informal conversations, meetings, trade shows Organizational Theory Provides information on the way in which people, teams and organizational units behave. Effective use of this information can shorten the amount of time, cost and effort needed for human resource planning.

9.1.3 Human Resource Planning Outputs “The human resource plan is a part of the project management plan that provides guidance on how human resources should be defined, staffed, managed, controlled and eventually released.” PMBoK® Guide, 4th Edition, p. 222

9.1.3 Develop Human Resource Plan Outputs The human resource plan should include: Roles & Responsibilities Role - Describes the portion of the project for which the person is accountable. Be sure everyone is familiar with their authority, duties and boundaries. Responsibility – The work a team member is expected to perform to complete the project’s activities. Authority – The right to apply project resources, make decisions and sign approvals Team members operate best when their authority matches their individual responsibilities. Competency – The skill and capacity required to complete project activities. When project team members do not have the required skills, performance can be jeopardized. Role Examples – Civil Engineer, Court Liaison, Business Analyst, Testing Coordinator.

9.1.3 Develop Human Resource Plan Outputs Project Organizational Charts A graphic display of project team members and their reporting relationships formal, informal, highly detailed, or broad Staffing Management Plan Part of the human resource plan Describes how and when human resource requirements will be met. Project org chart example – the project org chart for a 3,000 person disaster response team will have greater detail than a project org chart for an internal 20 person project.

9.1.3 Develop Human Resource Plan Outputs Staffing Management Plan - Items to consider include: Staff acquisition Can the company HR Dept help? Will resources be working remote or centrally located? Resource Calendars Describes necessary timeframes for project team members Staff Release Plan Determining and documenting the method and timing of releasing team members Controls costs by specifying release criteria upfront Training needs If training is needed, a training plan can be developed as part of this project Include ways to help team members obtain certifications that may benefit the project

9.1.3 Human Resource Planning Outputs Staffing Management Plan - Items to consider (continued): Recognition & Rewards Criteria for rewards and a plan for their use Create a plan with established times for distribution of rewards Compliance Strategies for complying with applicable regulations and human resource policies Use as appropriate depending on project needs Safety Protect team members from safety hazards Also may appear in Risk Register

9.1.3 Develop Human Resource Plan Outputs Example of Resource Histogram This bar chart shows the number of hours a person, dept or entire project team will be needed each week/month over the course of the project. A Bar can be used to show the max number of hours available from a given resource. Bars that extend beyond the max identify the need for resource leveling. PMBoK® Guide, 4th Edition, p. 224

9.1 Develop Human Resource Plan Miscellaneous Terms Roles & Responsibilities Project Sponsor/Initiator One who provides financial resources for the project. Can be the Customer or Senior Management. Team A group of people who will complete work on the project. Stakeholders Anyone who can positively or negatively influence the project. Functional Manager The individual who manages and owns the resources in a specific dept. The amount of involvement depends on the structure of the organization. Project Manager Responsible for managing the project to meet the projects objectives. Resource Histogram Represents in graphical format the hours and duration team members are needed throughout the project. Shows where there is a “spike” in the need for resources. Project Manager can arrange to minimize the “peaks and valleys” of resource usage (a.k.a. resource leveling).

9.1 Develop Human Resource Plan Miscellaneous Terms Resource Calendar A calendar of working days and non-working days. Defines resource availability periods Resource Leveling The schedule analysis of resources so that there is limited over/under allocation of resource at a given time throughout the project timeline. Recognition & Rewards How is the team going to be motivated? This is an alien concept to most Project Managers. Motivate each team member individually based on their own needs. Thank You, rewards for performance, desired training, flexible work environment.

9.2 Acquire Project Team Acquire Project team is the process of confirming human resource availability and obtaining the team necessary to complete project assignments. The project management team may or may not have direct control over team member selection for various reasons depending on the organizational structure Failure to acquire necessary resources may affect overall project success.

9.2 Acquire Project Team PMBoK® Guide, 4th Edition, p. 226

9.2.1 Acquire Project Team Inputs Project Management Plan Contains information that provides guidance on how human resources should be indentified, staffed, managed, controlled and eventually released Enterprise Environmental Factors Project team members come together from all available sources both internal and external. Assignments are based on many factors: Staff availability Staff location Staff Competency Outsourcing Organizational Process Assets One or more organizations involved in the project may have guidelines/policies/procedures governing staff assignments, ie: Personnel administrative policies, processes, procedures

9.2.2 Acquire Project Team Tools & Techniques Pre-Assignment Team members may be known in advance. Team members may be promised as part of the project proposal. Certain staff assignments can be part of the Project Charter. Negotiation Project Manager needs to negotiate with the functional managers and/or other project teams for the “best” team members in the timeframe set forth by the project. Acquisition Organization may lack internal resources to complete the project. Resources can be acquired from outside sources, subcontractors or consultants may be hired. Virtual Teams Teams not located within the same geographic area. The availability of electronic communication such as e-mail, audio conferencing, web-based meetings and video conferencing make these teams possible.

9.2.3 Acquire Project Team Outputs Project Staff Assignments Appropriate staff has been assigned. Create documentation of staff assignments, such as a team directory, memos to team members, project organizational charts. Resource Calendars Accurately document the time period team members are available to work on the project. Create a reliable schedule and understand possible conflicts and plan conflict resolution. Publish calendar to all team members. Project Management Plan updates Elements of the plan may need updating depending on the outcome of staffing requirements and availability.

9.3 Develop Project Team Develop Project Team is the process of improving the competencies, team interaction, and the overall team environment to enhance project performance. Project managers need to acquire skills to identify, build, maintain, motivate, lead, and inspire project teams to achieve high team performance to help meet project objectives. Teamwork is a critical factor for project success. Create an environment that facilitates teamwork.

9.3 Develop Project Team Flow diagram shows how the other processes feed into and out of HR processes PMBoK® Guide, 4th Edition, p. 230-231

9.3.1 Develop Project Team Inputs Project Staff Assignments List of the project team members that identify the people who are on the project team. Project Management Plan Human Resource Plan Identifies training strategies and plans for developing the project team. Rewards, feedback, additional training, and disciplinary actions can be added to the plan as a result of on-going performance assessments. Resource Calendars Identify when project team members can participate in development activities.

9.3.2 Develop Project Team Tools & Techniques Interpersonal Skills a.k.a. “Soft Skills” Important to team development. Understand the team, anticipate the team’s actions, acknowledge their concerns and follow-up on team issues. Training Enhance the competencies of team members: Formal or informal. Classroom, on-line, computer-based, on the job training from other team members. Skills can be developed as part of the project.

9.3.2 Develop Project Team Tools & Techniques Team-Building Activities Help individual team members work together effectively. Formal or informal. Do not forget to include remote team members. Build trust and establish good working relationships. Team should be encouraged to work collaboratively to resolve team issues. Need management support and team member buy-in. Talk about rewards & recognitions program. Provide good team leadership. Never ending process as project changes occur.

9.3.2 Develop Project Team Tools & Techniques Five stages of Team Development Forming Team meets and learns about the project. Learn roles & responsibilities. Storming Begin to address project work, technical decisions, and management approach. Environment can become destructive if members are not open to ideas. Norming Team members begin to work together and trust each other. Adjust work habits and behaviors. Performing Team starts to perform as well organized unit. Works through issues effectively. Adjourning Team completes the work and move on from the project.

9.3.2 Develop Project Team Tools & Techniques Usually these stages occur in order The duration of a stage depends on team dynamics, team size and team leadership

9.3.2 Develop Project Team Tools & Techniques Ground Rules Establish clear expectations for acceptable behavior. Early commitment to project guidelines decreases misunderstandings and increases productivity. Allow team members to discover values that are important to one another. All team members share responsibility for enforcement. Co-location All or most active members in the same physical location. Temporary during strategic times in the project or permanent. Enhance communication and sense of community.

9.3.2 Develop Project Team Tools & Techniques Recognition and Rewards Ways in which to reward team members are developed during the Develop Human Resource Plan process. Recognize and reward desirable behavior ONLY. Rewards will only be effective if it satisfies a need which is valued by that individual. Formal or informal. Based on continuing project performance assessments. People are motivated if they feel they are valued in the organization. Recognition should be given during the life cycle of the project rather than waiting until the project is completed. Be careful of cultural differences when developing rewards Willingness to work overtime to meet an aggressive project deadline should be rewarded Needing to work overtime because of poor planning should not be rewarded

9.3.3 Develop Project Team Outputs Team Performance Assessments During the project lifecycle the project management team makes formal or informal assessments of the project team’s effectiveness. Development strategies and activities are expected to increase the teams’ performance which leads to a more successful project overall. Team performance assessment criteria should be determined and incorporated in the Develop Project Team inputs. Most important in contract-related or collective bargaining projects. Must use agreed upon assessment objectives. May identify additional need for training, coaching, mentoring or changes to increase the teams’ overall performance. Performance assessments must be well documented and forward to the appropriate parties.

9.3.3 Develop Project Team Outputs Enterprise Environmental Factors Updates Employee training records Employee skills assessments General personnel records

9.3 Develop Project Team Miscellaneous Terms “Soft Skills” General management skills are important to team development: Empathy – “Identification with and understanding of another's situation, feelings, and motives” Influence – “Power to sway or affect based on prestige, wealth, ability, or position” Creativity – “Characterized by originality and expressiveness; imaginative” Group Facilitation – “A formal meeting controlled by an outside person” “War Room” A co-location where the project team can meet during important times of the project or for the entire project. A Place where project team can enhance communications and form a sense of community Recognition & Rewards Only desirable behavior should be rewarded, ie Willingness to work overtime Turning in reports on-time Rewards should be meaningful to the person given

9.4 Manage Project Team Manage Project Team is the process of tracking team member performance, providing feedback, resolving issues, and managing changes to optimize project performance. Managing the project team requires a variety of management skills to create high performance teams. Project Managers should provide challenging assignments to team members and provide recognition for high performance.

9.4 Manage Project Team The above diagrams show the inputs/tools & techniques/outputs and how Manage Project team works in conjunction with other processes PMBoK® Guide, 4th Edition, p. 236-237

9.4.1 Manage Project Team Inputs Project Staff Assignments Provides documentation which includes the list of project team members. Project Management Plan Contains the Human Resource Plan to include: Roles & Responsibilities Project Organization The staffing management plan Team Performance Assessments Formal or informal assessments of the team’s performance.

9.4.1 Manage Project Team Inputs Performance Reports Provide documentation about the current project status compared to project forecasts. Areas that help with project team management include results from: Schedule control Cost Control Quality control Scope verification The information from performance reports help to determine future resource requirements, recognition & rewards, and staffing management plan updates. Performance report help let the PM know how the project and the team are doing and enables the PM to correct as needed.

9.4.1 Manage Project Team Inputs Organizational Process Assets Process assets that can influence the Manage Project Team process include: Certificates of appreciation Newsletters Websites Bonus structures Corporate apparel Other perquisites (perks)

9.4.2 Manage Project Team Tools & Techniques Observation & Conversation Project Performance Appraisals Conflict Management Issue Log Interpersonal Skills 41 41

9.4.2 Manage Project Team Tools & Techniques Observation & Conversation Stay in touch with the work attitudes of the project team members. Project management team monitors progress of deliverables, accomplishments that are a source of pride for team members.

9.4.2 Manage Project Team Tools & Techniques Project Performance Appraisals Conduct performance appraisals during the course of the project Objectives can include: Clarification of roles & responsibilities Constructive feedback to team Discovery of unknown or unresolved issues Development of individual training plans Establishing goals for future Formal or informal The need for formal or informal appraisals depends of the length, complexity of the project as well as contract labor requirements and the amount and quality of communications.

9.4.2 Manage Project Team Tools & Techniques Conflict Management Results in greater productivity and positive working relationships. Conflicts are inevitable. Sources of conflicts include: Resource Scheduling Priorities Personal work styles Reduce amount of conflict by: Ground rules Solid project management practices Communication planning Role definition Address conflict early and in private Use direct approach and formal procedures if needed If conflict escalates, the project manager should help facilitate resolution agreeable by all.

9.4.2 Manage Project Team Tools & Techniques Conflict Management (continued) Recognize characteristics Natural, forces search for alternatives Team issue Resolved by openness Focus on issues not personalities Focus on present not past Depends on Project Manager’s ability to resolve conflict Importance & intensity of conflict Time pressure for resolution Position taken by players Motivation to resolve conflict short term or long term

9.4.2 Manage Project Team Tools & Techniques Conflict Management (continued) General techniques for resolving conflict Withdrawal (Avoidance) – Postponing a decision on a problem. Not the best choice for resolution, nothing is resolved. Smoothing – Stressing agreement rather than difference of opinion Compromising – find solutions with a degree of satisfaction to both parties. Neither party gets what they want completely. Forcing – Pushing one viewpoint over another Collaborating – Incorporate multiple viewpoints Confronting (Problem Solving) – Solving the real problem to make it go away. Win-Win.

9.4.2 Manage Project Team Tools & Techniques Problem Solving: Define the cause of the problem, not just the symptom Analyze the problem (root cause) Identify possible solutions Implement a decision Review the decision to see if it solves the problem Issue Log Issues arise in the course of managing the project team Issues during project should be documented Can block team from achieving their goals

9.4.2 Manage Project Team Tools & Techniques Interpersonal Skills Combination of technical, human, and conceptual. Using the appropriate skills aid the Project Manager in capitalizing on the strengths of all team members. Interpersonal skills most often used are: Leadership Influencing Effective Decision Making

9.4.2 Manage Project Team Tools & Techniques Interpersonal Skills (continued) Leadership Important in all phases of the project for high performance. Influencing In a matrix environment team members often do not report directly to the Project manager. Key influencing skills: Ability to be persuasive Effective listening Consideration of all perspectives Information gathering Reach agreements while maintaining mutual trust

9.4.2 Manage Project Team Tools & Techniques Interpersonal Skills (continued) Effective Decision Making The ability to negotiate and influence the organization and project management team. Guidelines include: Focus on goals Follow a decision making process Study the environmental factors Develop personal qualities of team members Stimulate team creativity Manage opportunity and risk

9.4.2 Manage Project Team Tools & Techniques Powers of the Project Manager The project manager needs to constantly convince people to cooperate and/or perform Types of Project Management power: Formal (Legitimate) – Based on your position Reward – Reward top performers by assigning them to projects they are interested in next time Penalty (Coercive) – Ability to penalize team members as needed to get what you need for the project to perform Expert – Being the subject matter expert Referent – PM using someone of authority above them. * BEST: Expert & Reward * Worst: Penalty

9.4.2 Manage Project Team Tools & Techniques Leaderships Styles Directing – Telling others what to do just because… Facilitating – Coordinating with the input of others. Coaching – Instructing others (mentoring). Supporting – Providing assistance. Autocratic – Deciding without input in a vacuum… Consultative – Bottom-up approach uses influence to get results. Acts a servant for the team. Consultative-Autocratic –Listens to team members, but reserves decision making authority for themselves. Consensus – Group decision making based on agreement Before speaking about this slide ask each student in class what leadership style they feel they represent.

9.4.2 Manage Project Team Tools & Techniques Leaderships Styles (continued) Delegating – PM gives the team sufficient authority to complete the work Bureaucratic – Following process or procedures exactly Charismatic – Energize and encourage team to perform Democratic or Participative – Encourage team to participate in decision making process Laissez-faire – Not directly involved in the work of the team but manages or consults as necessary Analytical – Make technical decisions for project based on their own knowledge of subject Driver – Constantly giving directions, competitive attitude drives team to win Influencing – Teamwork style, team decision making Before speaking about this slide ask each student in class what leadership style they feel they represent. 53 53

9.4.3 Manage Project Team Outputs Enterprise Environmental Factors Updates Changes as a result of the manage project team process Input to organizational performance appraisals Personnel skills updates Organizational process assets updates Historical information and lessons learned documentation Templates Organizational standard processes

9.4.3 Manage Project Team Outputs Change Requests Staffing changes are often unavoidable and are caused by uncontrollable events. Staffing changes can disrupt the project management plan by causing the schedule to be extended or budget to be exceeded Moving people to different assignments People leaving (voluntary or termination) Outsourcing of some of the work not previously intended Try to develop preventive actions to reduce risk. Project Management Plan updates Staffing management plan may be updated as a result of approved changes during the manage project team process.

Theories to Know Expectancy Theory Arbitration Employees who believe their efforts will lead to effective performance and who expect to be rewarded for their accomplishments remain productive as rewards meet their expectations. Arbitration The hearing a resolution of a dispute performed by a neutral party. Perquisites (aka: Perks) The giving of special rewards to some employees, such as assigned parking spaces, corner offices and executive dining. Fringe Benefits The “standard” benefits formally given to all employees such as educational benefits, insurance and profit sharing. Motivational Theory (What do people want?) Understand what motivates people in order to reward them.

Theories to Know McGregor’s Theory of X and Y All workers fit into one of two groups, “X” or “Y” Theory X (‘Authoritarian’ management style) The average person dislikes work and will avoid it he/she can. Therefore, most people must be forced with the threat of punishment to work towards organizational objectives. The average person prefers to be directed; to avoid responsibility; is relatively un-ambitious, and wants security above all else. Theory Y (‘Participative’ management style) Effort in work is as natural as work and play. People will apply self-control and self-direction in the pursuit of organizational objectives, without external control or the threat of punishment. Commitment to objectives is a function of rewards associated with their achievement. People usually accept and often seek responsibility. The capacity to use a high degree of imagination, ingenuity and creativity in solving organizational problems is widely, not narrowly, distributed in the population. In industry the intellectual potential of the average person is only partly utilized.

Theories to Know McGregor’s Theory of X and Y (continued)

Theories to Know Maslow’s Hierarchy of Needs People do not work for security or money. People work to contribute and to use their skills. “Self Actualization”. One cannot ascend to the next level until the levels below are fulfilled.

Theories to know Herzberg’s Theory Hygiene factors and motivating agents Hygiene factors Poor hygiene factors may destroy motivation, but improving them may not improve motivation Working conditions Salary Personal Life Relationships at work Security Status Motivating agents Responsibility Self actualization Professional growth Recognition

Terms & Common Acronyms OBS Organizational Breakdown Structure – A hierarchically organized chart of the project organization arranged to relate to the work packages of the performing organizational units RAM Responsibility Assignment Matrix – A structure that relates the project’s Organizational Breakdown Structure to the Work Breakdown Structure to help ensure that each component of the projects scope is assigned to a responsible person or “owner” RBS Resource Breakdown Structure – A hierarchical structure of resources by resource category and resource type. Helps in resource leveling and scheduling. WBS Work Breakdown Structure – Project deliverables broken down into smaller more manageable components Co-location An organizational placement strategy where the project team members are physically located close to one another in order to improve communication, working relationships and project productivity 360-degree feedback Feedback regarding performance is given from superiors, peers and subordinates. “from all sides”

Good Luck!! 63 63