Module 4 Session 4.1 Visual 1 Module 4 Analyzing the Project Context Session 4.1: Actors and Factors

Module 4 Session 4.1 Visual 2 Instructional Objectives At the end of this module, you should be able to:  Define: environmental scan (context analysis), actor, factor, stakeholder, informal linkage, and formal linkage  Use three environmental scanning tools to identify potentially relevant actors and factors  Evaluate potentially relevant actors and factors in terms of dependency, risk, and control  Determine which actors and factors need special attention from management  Proactively manage key actors and factors (or their effects on the project)

Module 4 Session 4.1 Visual 3 A Project as a System The Environment InputsProcessesOutputs The Project Boundary

Module 4 Session 4.1 Visual 4 The Environment Customers or Beneficiaries InputsProcessesOutputs The Project Inputs Outputs The Project Organization The Project as a System within a System

Module 4 Session 4.1 Visual 5 Actors and Factors as Inputs and Outputs The Environment Accounting Reports The Project Outputs The Project Organization Supplies Inputs Labor Facilities School Improved instruction Government agencies Improved economic growth Money

Module 4 Session 4.1 Visual 6 Actors (Stakeholders) and Factors as Inputs and Outputs Stakeholders: Actors with an interest in or who could be impacted by the project Project Outside Environment (outside of parent organization) Factors climate inflation... Actors Factors Actors people institutions... Inputs Outputs

Module 4 Session 4.1 Visual 7 Five-Step Process for Environmental Analysis 1. Scan environment and identify actors/factors 2. Screen in terms of dependency, risk, and power 3. Identify problem and beneficial actors and factors 4. Develop strategies and act 5. Repeat throughout implementation

Module 4 Session 4.1 Visual 8 Step 1: Scan and Identify Relevant Actors and Factors in the Environment Make a list Use three tools systems model geo/political sector analysis

Module 4 Session 4.1 Visual 9 Scan the Environment in Terms of Inputs and Outputs Project Conditions OutputsInputs

Module 4 Session 4.1 Visual 10 Scan the Environment Geo/politically World Region Nation State (province) Local

Module 4 Session 4.1 Visual 11 Scan the Project Environment by Sector project physical - cultural - social - psychological - political - legal technological - commercial - financial - economic infrastructure

Module 4 Session 4.1 Visual 12 Step 2: Screen Actors and Factors Rate in terms of Dependency: How important? Risk: Likelihood something will go wrong Power: Degree of control or influence Assign High, Low, or Medium rating to each

Module 4 Session 4.1 Visual 13 Identifying Problem Actors and Factor Actors and Factors Grid Degree of dependency Degree of risk Degree of power Degree of problem actor 1 mediumhigh actor 2lowmediumlow actor 3high lowhigh factor 1lowmediumlow factor 2lowhighlow factor 3high low

Module 4 Session 4.1 Visual 14 Estimate the Degree of Dependency Definition of dependency How important is the actor or factor to the successful completion of the project? Degree of Dependency (High, Medium, Low) Degree of dependency high low high low high Cement Plant actor 2 actor 3 factor 1 factor 2 factor 3

Module 4 Session 4.1 Visual 15 Evaluate Degree of Risk Definition of risk the chance that something will go wrong (hinder the completion of the project in a significant way) Degree of Risk (High, Medium, Low) Cement Plant actor 2 actor 3 factor 1 factor 2 factor 3 Degree of risk high medium low medium high

Module 4 Session 4.1 Visual 16 Power: Ability to Make Something Occur Control Influence Appreciation POWER: High = control Medium = influence Low (none) = appreciation

Module 4 Session 4.1 Visual 17 Power: The ability to get someone to do something one wants done Degree of Power (High, Medium, Low) Dependency Cement Plant actor 2 actor 3 factor 1 factor 2 factor 3 Risk Degree of power low high low

Module 4 Session 4.1 Visual 18 Step 3: Identify Problem Actors and Factors Look for High/High/Low pattern Degree of dependency high Cement Plant actor 2 actor 3 factor 1 factor 2 factor 3 Degree of risk high Degree of power low Degree of problem high

Module 4 Session 4.1 Visual 19 Use general strategies  Reduce dependency  Reduce risk  Increase power  Capitalize on beneficial actors and factors Formulate Specific Actions ? Step 4: Develop Strategies and Act

Module 4 Session 4.1 Visual 20 Use Linkages to Increase Influence Formal  committees  project coordinator  task forces  incorporation or merger Informal  meetings  plans  teambuilding  personality  rewards

Module 4 Session 4.1 Visual 21 ActorsDegree of dependency Degree of risk Degree of power Degree of problem Ministry of Finance High LowHigh Factors Rainfall (water) HighLow (storage dam) High (irrigation) Low Agriculture Project: Actors and Factors Grid

Module 4 Session 4.1 Visual 22  Scanning is not a one-time event  Circumstances change  Keep current  list of problem actors and factors  strategies  contingency plans Step 5: Continuously Scan

Module 4 Session 4.1 Visual 23 Worksheet 1: Sector Analysis Actors Sectors Factors Project: Infrastructure Commercial/ Financial/Economic Cultural/Social/ Psychological Political/Legal Physical Technology

Module 4 Session 4.1 Visual 24 Worksheet 2: Actors and Factors Grid Factors Degree of dependency Actors Degree of risk Degree of power Degree of problem Project:___________________________________ H=High M=Medium L=Low

Module 4 Session 4.1 Visual 25 Worksheet 3: Managing Problem Actors & Factors Factors Decreasing degree of dependency Actors Decreasing degree of risk Increasing degree of power Linkages Formal/ Informal Project:___________________________________