BSBPMG507A Manage Project Communication Manage Project Communication Project Communication Processes – Part 2 Diploma of Project Management Qualification Code BSB51507 Unit Code BSBPMG507A

BSBPMG507A Manage Project Communication Project Communication Processes – Part 2 PMBOK Project Communication Management Processes Identify Stakeholders 10.2 Plan Communications 10.3 Distribute Information 10.4 Manage Stakeholder Expectations 10.5 Report Performance PMBOK 4 th Edition

BSBPMG507A Manage Project Communication Learning Objectives 1.Explain the project communication planning process and describe the contents of a Project Communication Plan 2.Understand how to identify project stakeholders and their communication requirements 3.Understand effective communication and different communication techniques 4.Understand of the processes required to manage stakeholder expectations on a project 5.Be able to identify resistance factors that may cause negative stakeholder reactions 6.Understand different techniques for conflict resolution and negotiation 7.Understand the importance of project communication for overall project success

BSBPMG507A Manage Project Communication Reading – Communication Processes Please take some time to review the PMBOK Chapters 10.1, 10.2, 10.3, 10.4 and 10.5 This could take 45 to 60 minutes

BSBPMG507A Manage Project Communication 10.4 Manage Stakeholder Expectations The process of improving the competencies, team interaction and the overall team environment to enhance project performance Includes teamwork and developing effective project teams to improve project success Project Manager’s need to motivate, develop, support, recognise and reward team members Other critical factors for good teamwork include communication, trust and conflict resolution Occurs during Execution InitiationPlanning ExecutionClose Monitor Control Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.4 Manage Stakeholder Expectations Inputs to Develop Project Team - Project Staff Assignments Project Management Plan Resource Calendars Organisational Process Assets –HR policies and procedures –Templates for organisation charts and position descriptions –Competency frameworks –Lessons learned from previous projects –People and performance management procedures –Change management methodologies Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.4 Manage Stakeholder Expectations Tools and techniques for Develop Project Team Adapted from PMBOK 4 th Edition Interpersonal Skills Development Activities Training Team Building Activities Team Charter Co-location Recognition & Rewards Collaboration Tools Conflict Resolution Framework

BSBPMG507A Manage Project Communication 10.4 Manage Stakeholder Expectations Training – One of the primary ways to enhance skills for team members and to address skill gaps for current positions Can be on-the-job style training or external courses, which are considerably more expensive Development Activities - Alternative ways to fill skill gaps or to obtain new skills, includes mentoring and coaching, self study, secondments etc Often overlooked in development plans as most team members tend to look for external training opportunities (which are much more costly) Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.4 Manage Stakeholder Expectations Team-Building Activities – Can vary from a short kick of meeting for a project to off-site, to regular team drinks, to externally facilitated workshops Critical in the early stages of team formation to ensure that the team can become productive and needs to continue throughout the project Often includes setting of Ground Rules and common objectives, as well as mechanisms to discuss issues and to resolve conflict Team Charter or Ground Rules - Formal document developed at the inception of the project team that defines behaviours and expectations for team members – decreases misunderstandings and increases productivity Needs to be consistent with the organisational culture Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.4 Manage Stakeholder Expectations Co-location – Where possible it is a good idea to place all of the active project team members in the same work place Greatly enhances team work but may not be possible due to distributed workforce, space limitations and virtual teaming Collaboration Tools - Essential communication mechanisms and repository for all project deliverables, procedures and documentation Especially important where the team members cannot be co- located Includes tools such as SharePoint, Intranet etc Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.4 Manage Stakeholder Expectations Outputs of this process include – Team Performance Assessments –Formal and informal assessment of project team and individual performance –Often governed by organisational performance management policies and procedures –Enables identification of training and development requirements, or assistance that may be required to improve effectiveness Change Management Activities –Improves the team’s ability to perform at a high level –Assesses resistance factors and provides an environment where concerns can be addressed –Assists in identification of optimal team building activities Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication What is Conflict on Projects? A conflict exists when two people wish to carry out acts which are mutually inconsistent. They may both want to do the same thing, such as to deliver a project, but in fundamentally different ways. Or they may want to do different things where the different things are mutually incompatible, such as increase scope or decrease the timeframe. A conflict is resolved when some mutually compatible set of actions is worked out. The definition of conflict can be extended from individuals to groups (such as teams and organisations) and more than two parties can be involved in the conflict.

BSBPMG507A Manage Project Communication The Benefits of Conflict Conflict is inevitable and often good, for example, good teams always go through a "form, storm, norm and perform" period. Getting the most out of diversity means often-contradictory values, perspectives and opinions. Conflict is often needed and can - Help to raise and address problems Energizes work to be on the most appropriate issues Help people "be real", for example, it motivates them to participate Help people learn how to recognize and benefit from their differences Conflict is not the same as discomfort. The conflict isn't the problem - it is when conflict is poorly managed that it becomes a problem. Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC

BSBPMG507A Manage Project Communication Conflict is a problem when it… 1.Hampers productivity 2.Lowers morale 3.Causes more and continued conflicts 4.Causes inappropriate behaviours 5.Causes delays or cost overruns 6.Causes scope or quality issues Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC

BSBPMG507A Manage Project Communication Major causes of conflict in teams… Poor Communication Team members experience continuing surprises, they aren't informed of new decisions, programs, etc Team members don't understand reasons for decisions, they aren't involved in decision-making As a result, team members trust the "rumor mill" more than management Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC

BSBPMG507A Manage Project Communication Poorly defined roles and responsibilities Disagreement about "who does what“ Lack of respect for decision making powers and authority Interpersonal chemistry Arising from conflicting values or approaches Strong personal natures that clash Failure to acknowledge and value experience of team members Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC Major causes of conflict in teams…

BSBPMG507A Manage Project Communication Under Resourcing Stress from working with inadequate resources Avoidance of assigned work tasks Ineffective project sponsorship Inconsistent expectations Inexperienced with projects Avoiding decision making Lack of trust Lack of understanding of team roles and project activities Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC Major causes of conflict in teams…

BSBPMG507A Manage Project Communication Tips to Reduce Team Conflict Regularly review job descriptions Seek team member’s input and agreement Document, distribute and date them Review roles to ensure no overlaps, gaps or conflict Build relationships Execute Communication Plan with stakeholders and team members Conduct team member one on ones Conduct regular team meetings Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC

BSBPMG507A Manage Project Communication Get regular status updates including – Accomplishments and progress Current risks and issues Plans for the upcoming period Needs for assistance Conduct basic training about – Interpersonal communication Conflict management and resolution Delegation and decision making Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC Tips to Reduce Team Conflict

BSBPMG507A Manage Project Communication Develop team rules for working together Procedures for key tasks based on team input Agreements about how the team will operate – Team Charter Clearly communicate behavioural expectations Make easily accessible Feedback and review protocols Conflict resolution frameworks Escalation procedures Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC Tips to Reduce Team Conflict

BSBPMG507A Manage Project Communication Encourage feedback and input Be prepared to act on good ideas Ensure rationale behind suggestions that are not taken up are clearly communicated Consider an anonymous suggestion box in which employees can provide suggestions Tips to Reduce Team Conflict Source: Adapted from Carter McNamara, MBA, PhD, Authenticity Consulting, LLC, Basics of Conflict Management, Carter McNamara, MBA, PhD, Authenticity Consulting, LLC

BSBPMG507A Manage Project Communication 5 Common Responses to Conflict 1.Competing 2.Avoiding 3.Accommodating 4.Compromising 5.Collaborating Source: Adapted from Negotiation Theory and Techniques, Spegel et al, Butterworths, 1998

BSBPMG507A Manage Project Communication 5 Common Responses to Conflict 1. Competing is a style in which one's own needs are advocated over the needs of others. It relies on an aggressive style of communication, low regard for future relationships, and the exercise of coercive power. Those using a competitive style tend to seek control over a discussion. They fear that loss of control will result in solutions that fail to meet their needs. Competing tends to result in responses that increase the level of threat. Source: Adapted from Negotiation Theory and Techniques, Spegel et al, Butterworths, 1998

BSBPMG507A Manage Project Communication 5 Common Responses to Conflict 2. Accommodating also known as smoothing or appeasing, is the opposite of competing. People using this style yield their needs to those of others, trying to be diplomatic. They tend to allow the needs of the group to overwhelm their own, which may not ever be stated, as preserving the relationship is seen as most important. Source: Adapted from Negotiation Theory and Techniques, Spegel et al, Butterworths, 1998

BSBPMG507A Manage Project Communication 5. Responses to Conflict 3. Avoiding a common response to the negative perception of conflict – perhaps it will go away feelings get pent up, views go unexpressed, and the conflict festers until it becomes too big to ignore. Perhaps it could have been overcome if tackled early Can break relationships and severely impact project success. Because needs and concerns go unexpressed, people are often confused, wondering what went wrong? Source: Adapted from Negotiation Theory and Techniques, Spegel et al, Butterworths, 1998

BSBPMG507A Manage Project Communication 5. Responses to Conflict 4. Compromising is an approach to conflict in which people gain and give in a series of tradeoffs. While it gets an outcome, compromise is generally not satisfying for all parties Often there is a lack of trust and risk taking involved in more collaborative behaviours is avoided Source: Adapted from Negotiation Theory and Techniques, Spegel et al, Butterworths, 1998

BSBPMG507A Manage Project Communication 5. Responses to Conflict 5. Collaborating is the pooling of individual needs and goals toward a common goal. Often called "win-win problem-solving," collaboration requires assertive communication and cooperation in order to achieve a better solution than either individual could have achieved alone. It offers the chance for consensus, the integration of needs, and the potential to exceed the original possibilities. Dispute are resolved more meaningfully Source: Adapted from Negotiation Theory and Techniques, Spegel et al, Butterworths, 1998

BSBPMG507A Manage Project Communication Negotiation Principles Negotiation is a sophisticated form of communication, a part of the constructive management of conflict. It is important that conflict management skills be used throughout the negotiation process. The Conflict Resolution Network suggests five basic principles of negotiation to adopt a win/win approach and ensure an outcome that all parties agree on. Be hard on the problem and soft on the person Focus on needs, not positions Emphasise common ground Be inventive about options Make clear agreements Source: The Conflict Resolution Network –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 1. Preparation Do your homework and know as much as possible about yourself and the other parties. What is each party's Best Alternative to a Negotiated Settlement (BATNA) i.e. can any of the parties walk away from the negotiations? Your best and worst case scenarios (your settlement range) Your options and the pros and cons of each The other parties' reputations and negotiation models (win/win? win/lose?) Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 2. Create an appropriate climate and environment Physical: location, venue, seating arrangements should be neutral, non-threatening, calm, supportive. Verbal: use language appropriate and understandable to both parties; use interpreters if necessary. Time frame: be flexible and don't rush to an outcome - successful negotiation requires time and effort and quick fixes may be only short term solutions. Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 3. Establish the ground rules Behavioural: not interrupting; taking turns; respect; no abuse. Procedural: clarify roles of various parties - facilitator, chairperson, experts, absent partners. Substantive: what can be discussed and decided; confidentiality; privacy; permission to speak to the media. Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 4. Adopt conflict resolution strategies including - Commit to a win/win solution Fight fair Manage your emotion Be honest Get your facts right Focus on the issue not the person Maintain the relationship (create empathy by seeing yourself and the other party from their point of view) Identify unfair tactics and deal with them Use active listening (noting non-verbal as well as spoken messages - facial expressions, voice inflexions, body language) Use a variety of questioning techniques Make it possible for parties to back down at any stage without feeling humiliated Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 5. Confirm the authority the participants have to negotiate Do all participants have the authority to negotiate a mutually acceptable agreement and see that it is implemented? 6. Identify the non-negotiables What can the meeting discuss and decide? What is not negotiable for you and the other parties (is this immutable)? Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 7. Identify the issues and agree on them Clarify the areas where you disagree Divide the issues into parts During the negotiation, address a less difficult aspect when stuck Throughout the process, refocus on the issues and try to resolve them based on what's fair for all parties. Explore best and worst alternatives to negotiating an acceptable agreement Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 8. Clarify each party's needs and wants/interests and positions and explore them Wants are not the same as needs; Explore why the parties have these needs/wants - it may end the conflict (as the story of the two cooks who wanted an orange reveals - one needed the juice and the other needed the rind). Base the negotiation on the basic needs and true interests of the parties Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 9. Find the common ground and establish a common purpose You will now have defined the scope of the dispute and set a more balanced tone for the negotiation If possible, establish some objective fair standards against which your final solution can be judged 10. Explore the options Suggested options must satisfy the parties' needs Be as inventive and creative as possible in suggesting and exploring all options Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 11. Discuss possible solutions, including their viability Which solutions address most of what you all want? Which most create a win/win situation? Review common ground 12. Select areas of agreement and commit to these Make clear agreements Check that all parties understand and confirm these agreements Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Negotiation Process - 14 Steps 13. Record these agreements. Ensure all parties have copies of the record of agreements 14. Decide on follow up action and time frame Negotiators will need to report outcomes to other stakeholders If there is media interest, decide who will be the spokes- person/people Decide on a time for implementation of the agreement Source: Adapted from Negotiation Toolkit, Roslyn McDonald, Community Builders, NSW Premier’s Department –

BSBPMG507A Manage Project Communication Channels for Negotiation Source: Adapted from Negotiation Theory and Techniques, Spegel et al, Butterworths, 1998 Communication ChannelAdvantagesDisadvantages Face to Face Promotes good communication Allows co-operative and interactive problem solving Tends to be flexible Promotes honesty Agreements can be executed immediately Travel and accommodation costs Artificial time restrictions Harder to confer with advisers and absent team members Can be stressful for some participants Telephone or Teleconference Immediate response Normally easy to establish contact Artificial time constraints Unable to see non verbal queues East to misunderstand meaning Can be expensive if long distance Easier to be less truthful Correspondence – Hardcopy, etc Time to consider proposals Less misunderstandings Permanent record Difficult to misrepresent ot lie Outcome more certain and enforceable No immediate response Normally takes longer Slows down negotiations May not generate as many options as not interactive Doesn’t promote co-operative problem solving Very inflexible

BSBPMG507A Manage Project Communication Uses of Negotiation Skills 1.Conflict Resolution 2.Contract Negotiation 3.Salary Negotiation 4.Others?

BSBPMG507A Manage Project Communication 10.5 Report Performance The process of collecting and distributing performance information, including status reports, progress measurements and forecasts Involves the periodic collection and analysis of actual data versus baseline data for Time, Cost, Scope and Quality Performance reports provide different levels of information for different audiences Undertaken during Monitoring and Control InitiationPlanning ExecutionClose Monitor Control Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.5 Report Performance The inputs into Report Performance are – Project Management Plan Work Performance Information and Measurements –Deliverable status –Planned versus actual schedule performance –Planned versus actual cost performance –Planned versus actual technical performance Budget Forecasts Organisational Process Assets –Project Reporting policies and procedures –Report templates –Defined variance and tolerance limits InitiationPlanning ExecutionClose Monitor Control Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.5 Report Performance Tools and techniques to Report Performance include - Adapted from PMBOK 4 th Edition Variance Analysis Communication Methods Forecasting Methods Reporting Systems Status Reports Steering Committee Meetings

BSBPMG507A Manage Project Communication 10.5 Report Performance Variance Analysis – After the fact look at what caused a difference between the baseline and actual performance Common steps are - –Verify the quality of the information –Determine the variances, comparing actual information with the project baseline –Determine impact and resolution options Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.5 Report Performance Forecasting Methods - The process of predicting future project performance based on the actual performance to date Time Series Methods – use historical data to predict future outcomes Causal or Econometric Methods – underlying factors that might influence the deliverable are used to predict future performance Judgemental Methods – incorporate intuitive judgements, opinions and probability Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.5 Report Performance Reporting Systems – Standard tool for the Project Manager to capture, store and distribute information to stakeholders about budget, timelines and performance Enables data and report consolidation and distribution - different levels of information can be distributed to different audiences according to different timeframes Status Reports - Manual production of status reports by the Project Manager normally using some form of standard template Differing levels of information and timeframes depending on the audience Can be a very intensive process, proceeded by status meetings and capturing of performance data Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.5 Report Performance Steering Committee Meetings – Steering Committees are commonly part of the project governance structure and require particular reporting and status updates Senior stakeholders may not have time to read and interpret detailed status reports and often convene monthly meeting where the status is presented along with risks, issues and change requests for assistance and decision making purposes Often requires the preparation of a high level status report, status update presentation, action items and decision logs Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication 10.5 Report Performance Outputs of this process include – Performance Reports or Status Reports –Status and progress information Steering Committee Presentations and Updates –Standard agenda –Status Report and Presentation –Actions Items –Decision Log –Meeting Minutes Organisational Process Assets –Reporting formats –Lessons learned –Causes and resolution of issues Change Requests –Recommended corrective and preventative actions required to bring project back on track Adapted from PMBOK 4 th Edition

BSBPMG507A Manage Project Communication Steering Committee Meetings Regular meetings with the Project Sponsor, major client and key senior stakeholders Hybrid between a presentation and a report Standard Agenda PowerPoint Presentation Status Report Minutes Action Items Decision Log

BSBPMG507A Manage Project Communication Steering Committee Agenda Flexible depending on type of project and style of organisation, typically includes – Key Messages Project Status – Time & Costs Summary Performance Metrics Scope Management and Change Control Risks and Issues Decisions Required Optional appendices with more detail – –Project Structure –Detailed Performance Metrics –Detail to support decisions –Change Control Impact Assessments

BSBPMG507A Manage Project Communication Steering Committee Outputs Minutes Attendees Summary of discussion Action Items Action item progress from last meeting New action items assigned at meeting Decision Log All key decisions made at all meetings New decisions made at this meeting

BSBPMG507A Manage Project Communication Effective Reports Basic good practice includes – Use ‘Plain English’ Include a Glossary Table of Contents, Purpose, Summary, Content, Conclusion, Appendices Right justify text Use standard styles for consistency Vary content elements to engage reader e.g. text, dot points, tables Use Appendices for supporting detail

BSBPMG507A Manage Project Communication Effective Reports There are many different types of reports used throughout the project lifecycle and in the general business environment including- Performance Reports – Status Reports Project Deliverables e.g. Project Charter, Project Management Plan, Requirements, Proposals Project Finalisation Reports – Post Implementation Review Regular vs One Of Reports Update Log and Version Control Distribution List

BSBPMG507A Manage Project Communication Project Reporting Project reporting is an essential aspect of project management Key to stakeholder expectation management and tailored to their requirements and expectations Preparing a Project Status report is more than the time taken to type up the report, it also involves monitoring and controlling the project, risk review, financial review etc Negotiate at start of project and include in the Communication Plan

BSBPMG507A Manage Project Communication Project Status Reports Performance against plans needs to be assessed and reported at regular intervals to suit the project and stakeholders Frequency and detail included depend on project characteristics such as – Project Size – Timeframe and Budget Established organisational project governance processes Risk Level

BSBPMG507A Manage Project Communication Project Status Reports Always include the following standard content and then variations based on stakeholder expectations – Project Name, Project Manager and reporting period Progress against plan for deliverables and timeframes Project budget tracking Explanation of variances Major Risks, major issues and change requests Summary status indicators such as traffic lights etc

BSBPMG507A Manage Project Communication Project Performance Metrics Vary depending on the project management environment of the organisation and the preferences of the Project Manager and Stakeholders Most projects aspire to some form of Earned Value Analysis – refer to Australian Standard - Project Performance Earned Value AS

BSBPMG507A Manage Project Communication Document Management and Control It is possible that all documents issues during a project could be subject subpoena to be used as evidence in litigation Document Management and Control is critical – Project documents must be easily found and retrieved Specific versions of documents as particular dates must be identifiable It must be clear that everyone is working from the correct version of the document

BSBPMG507A Manage Project Communication Document Management Process Requires formal standards and process flow All project staff need to adhere to standards for – Document storage and archival Document format Details of author, reviewers and authorisers Document identification and naming Document revisions and version control Document distribution processes Document security

BSBPMG507A Manage Project Communication Project Communication 1.Take some time to reflect on the communication that has occurred on projects that you have been a part of, what aspects were good and which areas could have been improved. 2.Do you think that project success would have been improved if more communication planning had been carried out and then effectively executed? 3.Then go to the Forum on Project Communication and provide comment on the questions that are posed. You can also respond the comments and observations made by other learners in the course. Research PracticeComment

BSBPMG507A Manage Project Communication Next Steps Please proceed to Tests & Tasks and take the Project Communication Quiz and the Project Communication Knowledge Test Be sure that you have participated in the Forums. Best of Luck! These are all due during Weeks 15 and 16 in the Course Delivery Schedule