Showing posts with label managing stakeholder expectations. Show all posts
Showing posts with label managing stakeholder expectations. Show all posts

Saturday, December 17, 2011

Chapter 30: Communications Management during Monitoring & Controlling the Project


Aim: To understand the Report Performance process

Communicating How Your Project Is Performing

Communicating with the project team and the outside world is one of the project manager’s primary jobs. As a communicator, the project manager must understand the mechanics involved in sending a message. There has to be an initiator, encoding of the message, sending of the message, and the receiver whom decodes the message, acknowledges the message, and, last but not least, confirms receipt of the message. It is important to maintain open communication with the stakeholders to provide timely and informative updates of the project’s progress. The report performance process addresses issues with communicating with the stakeholders.

The table below shows the inputs, tools and techniques, and outputs for the report performance process.

Report Performance
Inputs Tools & Techniques Outputs

Project management plan
Work performance information
Work performance measurements
Budget forecasts
Organizational process assets

Variance analysis
Forecasting methods
Communication methods
Reporting systems

Performance reports
Organizational processes assets updates
Change requests
In the normal exchange of information with the stakeholders, the project manager will use methods and techniques that help with formal and informal communication. Formal methods include items such as contracts, status reports, public speeches, and performance appraisals. Informal methods are those such as “The Scuttlebutt,” email, and telephone conversations.
One way to determine how complex communication will be in a project is to determine its communication channels by using the formula (n*(n–1))/2, where n represents the number of participants in a project. For example, a project with 10 participants will require 45 communication channels.

With this in mind, it is important to adjust the message and its delivery method based on the audience and the level of impact the project might have on the individuals with whom the project manager is communicating. For example, consider a board member versus the person doing the work. For the worker, getting information about revenue projections and return on investment might be of little or no consequence in her daily duties. However, providing figures on how many additional widgets can be made in an hour would definitely have an impact on her duties and equipment maintenance cycles.

In addition, the project manager must be cognitive that when delivering a message, nonverbal communication and physical appearance have a direct effect on the message been delivered. For example, the project manager delivers a message to a construction team. First, ensure that language and colloquialism used are appropriate to the group. Bear in mind, though, that the same approach might not work when giving a project update to the company senior team. It is important to ensure that the message and intentions are clearly understood by the audience who is the target of the message.

To know more about the Report Performance process Click Here

Prev: Chapter 29

Next: Chapter 31

Friday, December 16, 2011

Chapter 23: Communications Management During Project Execution



Aim: To understand the following two Communication Management related processes
• Distribute information
• Manage stakeholder expectations

Communicating with the project team, and with any other stakeholders, is one of the project manager’s most important tasks. In fact, a project manager spends the majority of his time communicating. Some say as much as 90% of a project manager’s time is spent communicating. Exchanging information is the only way a project manager can know how the project is progressing. The distribute information process keeps stakeholders informed. This includes communication outlined in the communication plan as well as responding to ad-hoc requests. The communication must be both timely and accurate.

The table below shows the inputs, tools and techniques, and outputs for the distribute information process.

Distribute Information
Inputs Tools & Techniques Outputs

Project management plan
Performance reports
Organizational process assets

Communication methods
Information distribution tools

Organizational process assets updates
Communication management is a crucial topic due to both its importance to the smooth operation of the project team and its complexity.

Communication Channels

Based on the number of people in a team, the number of communication channels would vary. The total number of channels increases exponentially as the number of individuals in the team increases. The number of channels can be calculated as:

No. of Channels = N * (N – 1) / 2

Where N is the number of people in the team.

For ex:
For 3 people = 3 * (2) / 2 = 3
For 4 people = 4 * (3) / 2 = 6
For 5 people = 5 * (4) / 2 = 10
For 6 people = 6 * (5) / 2 = 15

As you can see, when the team doubled in size from 3 to 6, the number of channels went up 5 times from 3 to 15.

Exam Watch:
You must be able to calculate the number of communication channels given the number of team members. Don’t be in a hurry to use the formula. Sometimes, the question maybe like: “Team A had 3 members last week and 3 more people joined this week. How many new communication channels were created?”. If you use the formula in a hurry you will end up with 15 as the answer and unfortunately it will be a choice as well. But the question isnt about the total number of channels but the new channels. So, the answer will be 12 (the increased number). Be careful while answering such questions.

Tools and Techniques for Distributing Information

Did you see “Communication Methods” and “Information Distribution Tools” in the Tools & Techniques section of the previous table? If not, I suggest you go back and scan through the table before proceeding further.

Both Communication Method and Information distribution tools are used in the Distribute Information process.

Communication Methods

Communication methods are a part of general management skills. Communication is comprised of a sender, a receiver, and the communication channel. The sender is responsible for making the message clear and accurate. The receiver is responsible for understanding the message. Communication can include the following:
• Written and oral
• Listening and speaking
• Internal and external
• Formal and informal
• Vertical and horizontal

Issues can result if communications are not managed effectively on the project. For example, because email cannot easily convey emotions, an email could be sent with a comment meant to be sarcastic, but the receiver doesn’t understand that and is upset based on the content of the email. The project manager should plan out communications to avoid these types of issues, including the best method for delivering messages based on the audience and content.

Information Distribution Tools

The project manager must ensure that information is effectively collected and distributed to project stakeholders. There are a number of tools to accomplish this:
• Face-to-face project meetings
• Virtual meetings using conference bridges, web conferencing, or video conferencing
• Distribution and filing of printed documents
• Shared access to electronically filed documents and document repository tools
• Email and fax
• Telephone and voice mail
• Access to project scheduling and other project management tools

To know more about the Distribute Information process Click Here

Manage Stakeholder Expectations

A good project manager must do more than just send out timely status updates. In addition to keeping the team informed and ensuring all stakeholders have the necessary information, the project manager must also manage the impact of the information. It is important that the stakeholders remain committed to the project. One of the project manager’s jobs is to recognize and shift in stakeholder commitment and react in an effective manner. The manage stakeholder expectations process addresses exactly that.

The table below shows the inputs, tools and techniques, and outputs for the manage stakeholder expectations process.

Manage Stakeholder Expectations
Inputs Tools & Techniques Outputs

Stakeholder register
Stakeholder management strategy
Project management plan
Issue log
Change log
Organizational process assets updates

Communication methods
Interpersonal skills
Management skills

Organizational process updates
Change requests
Project management plan updates
Project document updates
Notice that the tools and techniques exclusively address the issues of interacting with other people. That’s what managing stakeholders is all about. It is the job of the project manager to ensure all of the stakeholders continue to contribute in a material manner to the success of the project.

To know more about the Manage Stakeholder Expectations process Click Here

Prev: Chapter 22

Next: Chapter 24

Thursday, July 7, 2011

Important Terms and Definitions - Managing Stakeholders

As with all sections, let us wrap up the section on Stakeholder Management with the important terms we learnt in this section.
• Asynchronous communication - Communication in which the sender and receiver don’t have to be present at the same time, such as written paper or electronic documents, online bulletin boards, e-mail, and the World Wide Web in general.
• Distribute information - The process of making information available to stakeholders according to the project management plan.
• Issue - An item or a matter that is under discussion or dispute and for which there are most likely opposing views and disagreements among the stakeholders.
• Issue log - A tool used to manage issues that includes opening, modifying, tracking, documenting, and resolving issues.
• Managing stakeholder expectations - A process used for communicating and working with stakeholders to stay on the same page with them on the project requirements by addressing their needs and issues as they arise.
• Performance report - A document or a presentation that provides information about the performance, progress, and status of the project.
• Synchronous communication - Communication in which both the sender and the receiver have to be present at the same time, such as face-to-face project meetings and teleconferencing.

Prev: Summary - Managing Stakeholders

Next: Introduction to Monitoring & Controlling Project Work

Summary - Managing Stakeholders

Let us wrap up the section on Managing Stakeholders by summarizing what we learnt in the previous few chapters.
• It is crucial to the success of the project that stakeholder expectations be managed through distribution of the right information to the right stakeholders at the right time by using the right communication methods.
• Processes of managing stakeholder expectations and distributing information are called Manage Stakeholder Expectations and Distribute Information, and they belong to communication management.
• The communication management plan, a part of the project management plan, and performance reports are the major input items to the Distribute Information process.
• The information can be distributed by using various methods, such as reports and presentations.
• The communication management plan and stakeholder management strategy are major inputs to managing stakeholder expectations.
• Management and interpersonal skills are crucial to successfully managing stakeholder expectations.
• Performance reports, a major input to the Distribute Information process, come from monitoring and controlling the project. We haven't covered the monitoring & controlling part yet, but don't worry its coming up very soon.

Prev: Information Distribution

Next: Important Terms - Managing Stakeholders

Tuesday, July 5, 2011

Chapter 70: Managing Stakeholder Expectations

Managing stakeholder expectations means communicating and working with stakeholders to stay on the same page with them on the project requirements by addressing their needs and issues as they arise. What do you really do when you manage stakeholder expectations? This is a three-pronged task:
1. Containment - Monitor and keep the expectations of the stakeholders within the project scope and project management plan through active communication.
2. Concerns - Address the stakeholder concerns that have not become issues yet; for example, anticipate problems in the near future. Addressing such concerns may uncover some potential risks that will need to be addressed. An issue is an item or a matter that is under discussion or dispute, and there are most likely opposing views and disagreements about it among the stakeholders.
3. Issues - Understand, clarify, and resolve issues raised by the stakeholders. Some of the resolutions can give rise to change requests; other issues may be postponed to the next project or the next phase.

Trivia:
The importance of resolving issues in a timely fashion cannot be overstated. An unresolved issue can grow into a major source of conflict and a delay in completion of project activities. Not to mention the negative impact in the customer satisfaction area.

You can see that managing stakeholders’ expectations will keep them on the same page with you by ensuring that they understand the internal dynamics and realities of the project, such as risks and interdependencies. Keeping them in touch with the project reality and on the same page with you will increase the probability of project success.

It’s the responsibility of the project manager to manage stakeholder expectations. We do it using the Manage Stakeholder Expectations process.

The picture below explains the process.


Managing stakeholders’ expectations is crucial for project success because it keeps their expectations in line with the project goals, objectives, and requirements in the project management plan. Otherwise, their definition of success will be different from your definition of success, and the project will fail in their eyes even if it succeeded according to the project management plan.

Inputs to Managing Stakeholder Expectations

Just at the beginning of the chapter, I mentioned that managing stakeholder expectations is a three-pronged task. That was the “What of managing stakeholder expectations”. But how do you actually do the managing part? The how of the task also has three dimensions to it:
1. Manage stakeholders according to a strategy - This strategy is documented in the Stakeholder Management Strategy that you developed in the stakeholder identification process during project initiation.
2. Identify the right stakeholders to communicate with - A list of stakeholders and information about them is in the stakeholder register that you created during the initiation stage when you were Identifying Stakeholders.
3. Communicate with the stakeholders according to the Communication Management Plan - This plan was developed during project planning. That means you are communicating the right information at the right time to the right stakeholders by using the right methods.

You can use the issue log, also called the action item log, to open the issue, monitor it, resolve it, and close it. Issues should be clearly stated, categorized, and prioritized. An action item (or issue) log is a tool used to document and monitor actions that need to be taken or issues that need to be resolved. This is an essential tool to ensure that important items do not fall through the cracks of communication.

Similarly, you can maintain a change log to document the changes that are requested, have occurred, or have been implemented during the project lifecycle.

The organizational process assets that can affect managing stakeholders’ expectations include the following:
• Organizational change control procedures - These are important because some change requests may arise in the process of managing stakeholder expectations.
• Issue management procedures - You should comply with these procedures while managing stakeholder issues.
• Organizational communication requirements - These requirements must be met while communicating with the stakeholders.
• Information from previous projects - It’s always useful to learn from the experience in order to do better.

Tools & Techniques used to Manage Stakeholder Expectations

The tools and techniques that you can use in managing stakeholder expectations include the following:
• Management skills, including interpersonal skills - You will need these skills to manage change, resolve conflicts, and build trust. These skills include presentation, writing, and public speaking skills.
• Communication methods - You will use the appropriate communication methods as described in the communication management plan.

Output of Managing Stakeholder Expectations

The obvious output is the fact that stakeholders are managed properly and are fully aware of what is happening in your project. Additionally, as a result of managing stakeholder expectations, some changes can occur. For example, you may need to make some changes to the stakeholder management strategy in order to accommodate unexpected situations and needs. Furthermore, you may find a communication method ineffective and want to replace it with a more effective method, which will cause an update to the communication management plan. You may end up identifying a new stakeholder, and that will require a change in the stakeholder register, and so on. Obviously, you will be updating the issue log as the issue proceeds toward resolution. The point here is that when a change occurs, you should think through it and update all the documents and plans that need to be updated to ensure consistency after the change has been accommodated.

You should also document your experience of managing stakeholder expectations, which includes causes of issues, how the issues were resolved, lessons learned, and so on. This will add to the organizational process assets and will be useful for upcoming projects and as a record through the lifecycle of the current project.

Prev: Big Picture of Stakeholder Management

Next: Distributing Information
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