The Project Management Cer;ficate Program. Project Stakeholder Management
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1 PMP cross-cutting skills have been updated in the PMP Exam Content Outline June 2015 (PDF of the Examination Content Outline - June 2015 can be found under the Resources Tab). Learn about why the PMP exam is changing in Download the new Exam Content Outline to study cross-cutting skills here: 1
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4 Review these learning objec;ves carefully. The learning content contained within this module is based on these learning objec;ves. At the end of this module or the end of the course, you should be able to answer quiz or test ques;ons related to these learning objec;ves. If you are par;cipa;ng in this course for cer;fica;on, you will be beqer prepared to pass a cer;fica;on exam by recalling these learning objec;ves. 4
5 includes the processes required to iden;fy all people or organiza;ons impacted by the project, analyzing stakeholder expecta;ons and impact on the project and developing appropriate management strategies for effec;vely engaging stakeholders in project decisions and execu;on. PMBOK Guide FiWh Edi;on, Glossary 5
6 The PMBOK Guide FiWh Edi;on describes the key benefit of this process as enabling iden;fica;on of the appropriate focus for stakeholders. PMBOK Guide - FiWh Edi;on, p
7 The PMBOK Guide FiWh Edi;on defines the following for this first Project Stakeholder Management process: Inputs Project charter Procurement documents Enterprise environmental factors Organiza;onal process assets Tools & Techniques Outputs Stakeholder analysis Expert judgment Mee;ngs Stakeholder register 7
8 While the project charter s primary objec;ve is to authorize the project, authorize the project manager, and to authorize the project manager to expend resources on behalf of the project, it may also include some of the key stakeholders involved in the project such as: Execu;ves Clients Team members Procuring services, personnel and materials from outside the organiza;on adds a number of new stakeholders to the project. These can include a general contractor, foreman, workers, tradesmen, lawyers, etc. 8
9 Iden;fying stakeholders begins with collec;ng informa;on about who the project stakeholders might be and then collec;ng informa;on that will assist with analyzing how stakeholders might impact the project. These stakeholders include decision makers, anyone affected by the project, and others that may have a role to play on your project. Next, it is important to iden;fy the impact or support that could be given by each stakeholder. You will begin to understand how each stakeholder might respond to various s;muli within the project environment. We will explore a couple classifica;on models that can be used for stakeholder analysis. These modes are the Power/Interest grid and the Salience model. Your instructor may wish to describe other models ;me permihng. It is important to iden;fy all your stakeholders. Missing a stakeholder means missing poten;al requirements. Therefore you should talk to as many people as possible to insure you iden;fy all the stakeholders. Other tools you can use to iden;fy stakeholders include brainstorming and networking. 9
10 Step 1: Iden/fy poten/al stakeholders and associated informa;on (e.g., role, department, interests, knowledge level, expecta;ons, influence. Step 2: Iden/fy poten/al impact or support stakeholders could generate, and classify them to help define an approach strategy. Step 3: Assess poten;al stakeholder reac;ons to use in developing a plan for influencing them and elici;ng their support. The informa;on needs of the various stakeholders should be analyzed to develop a methodical and logical view of their informa;on needs and sources to meet those needs. The analysis should consider methods and technologies suited to the project that will provide the informa;on needed. Care should be taken to avoid was;ng resources on unnecessary informa;on. 10
11 Iden;fying stakeholders begins with iden;fying individual and groups of stakeholders. Wri;ng stakeholder names or groups on Post- It notes is a convenient way to place them on the Power/ Interest Grid. You may want to also include the classifica;on from the Stakeholder Engagement Assessment Matrix men;oned in the next sec;on. This kind of analysis facilitates traceability with requirements and deliverables. Understanding who provided a requirement and where they sit on this grid, can help you when a change in scope or a priori;za;on of requirements is ini;ated. It also is useful when planning how to manage stakeholder ahtudes. For instance, if you have a stakeholder in the high power, high concern area who is resistant, you may need to begin building a rela;onship. 11
12 The intent of the model is to allow the project manager to decide upon the rela;ve salience of a stakeholder, which is the degree to which managers give priority to compe;ng stakeholder s claims or expecta;ons. Salience Model, by Puneet Kuthiala, PMP, published in JustPM Blog, October 8, 2009 Each circle has a unique label: Power, Urgency, or Legi;macy. Power is the ability to impose one s will, i.e. the ability of the stakeholder to influence the organiza;on; Urgency is the ability to command aqen;on, because of the cri;cality and ;me- sensi;vity of the requirements being set for by the stakeholder for the organiza;on; Legi;macy is the right one has to be involved the legi;macy of the rela;onship and ac;ons of the stakeholder with the organiza;on in terms of desirability, properness or appropriateness. Adapted from hqp:// methods_stakeholder_mapping.html Each circle includes four numeric values that represent different salient (the degree to which managers give priority to compe;ng stakeholder s claims) classifica;ons, and of the four, one is unique to each circle. 12
13 Classifica;on 1 indicates a Dormant Stakeholder who has the ability to impose their will, but they have neither the ability to command aqen;on nor right to be involved Classifica;on 2 for a Discre;onary Stakeholder has neither the ability to impose their will nor the ability to command aqen;on, but they do have right to be involved Classifica;on 3 that is for a Demanding Stakeholder does not have ability to impose their will nor the right to be involved, but they have ability to command aqen;on Classifica;on 4 is a Dominant Stakeholder has the ability to impose their will and the right to be involved, but the inability to command aqen;on Classifica;on 5 is for a Dangerous Stakeholder has the ability to impose their will and the ability to command aqen;on, but they have no right to be involved. Classifica;on 6 is a Dependent Stakeholder has the ability to command aqen;on and the right to be involved, but an inability to impose their will. Classifica;on 7 indicates a Defini;ve Stakeholder has all three: the ability to impose their will, the right to be involved, and the ability to command aqen;on. You can have number 8 outside the Venn diagram to indicate a Non stakeholder, if needed. 13
14 Stakeholder Register- A project document including the iden;fica;on, assessment, and classifica;on of project stakeholders The stakeholder register is a living document that lists various pieces of informa;on about stakeholders that will be used during the life of the project to manage the team s interac;ons with stakeholders. This informa;on includes, but is not limited to: Stakeholder names Posi;on Titles and roles Expecta;ons Influence Drivers How they are classified The register is a tool to aid in gaining support and minimize nega;ve impacts of stakeholders during the life of the project. The idea behind the stakeholder register is to capture: Iden;fica;on informa;on Assessment informa;on Stakeholder classifica;on Other fields that you may want to have in a stakeholder register include: Stakeholder interest(s) in the project Assessment of impact 14
15 The PMBOK Guide FiWh Edi;on describes the key benefit of this process as providing a plan to engage stakeholders to support the project s interests. PMBOK Guide FiWh Edi;on, p
16 The PMBOK Guide FiWh Edi;on defines the following for this second Project Stakeholder Management process: Inputs Project management plan Stakeholder register Enterprise environmental factors Organiza;onal process assets Tools & Techniques Outputs Expert judgment Mee;ngs Analy;cal techniques Stakeholder management plan Project document updates 16
17 The project management plan provides much of the informa;on to put the management of stakeholders in context. The project management plan will describe the lifecycle used and this can point to stakeholders that need to be involved. The project management plan will also describe the work to be done and how it will be done. If changes are requested, the project management plan will describe how they are to be processed. Finally, the it defines how communica;ons between stakeholders will be handled. The stakeholder register was described in the previous process. 17
18 A stakeholder engagement matrix is used to map stakeholder s current level of engagement and their desired level of engagement. Informa;on from this matrix is used when planning how to manage stakeholder engagement throughout the project. Stakeholder Engagement Levels: Unaware: Unaware of project and poten;al impacts Resistant: Resistant to the project Neutral: Not Suppor;ve or Resistant Suppor2ve: Suppor;ve to the project Leading: Takes a leadership role to ensure the success of the project Your organiza;on may have its own classifica;on scheme that you may wish to use. 18
19 Communica;on with stakeholders begins with understanding the nature of the stakeholder. There are many tools for characterizing the nature of individuals. Myers Briggs Test, DiSC IV, Personalysis, and Social Styles are a few of the more common tools.. Analysis of a stakeholder and his communica;on style can help you deliver informa;on in a way that the stakeholder can best process and accept the informa;on. 19
20 The Stakeholder Management Plan is part of the progressively elaborated Project Management Plan. The stakeholder management plan provides the necessary background to intelligently engage the project stakeholders. A by- product of the process of building the Stakeholder Management Plan may lead to a need to update requirements and the stakeholder register, schedule, budget, etc. 20
21 The PMBOK Guide FiWh Edi;on describes the key benefit of this process is allowing the project manager to increase support and minimize resistance from stakeholders. PMBOK Guide - FiWh Edi;on, p. 404 Ac;vely managing stakeholder expecta;ons increases the likelihood that the project will stay on track. 21
22 The PMBOK Guide FiWh Edi;on defines the following for this third process: Inputs Stakeholder management plan Communica;ons management plan Change log Organiza;onal process assets Tools & Techniques Communica;on methods Interpersonal skills Management skills Outputs Issue log Change requests Project management plan updates Project documents updates Organiza;onal process assets updates 22
23 The communica;on management plan is an excellent example of where parts of the Project Management Plan become inputs to other subsidiary plans to the plan. The communica;on management plan directs how stakeholders should be communicated with, the informa;on they should be given, the proper level of informa;on, which individuals should receive the informa;on, and how escala;on over issues should take place. Remember that any changes to the project scope should be communicated to the appropriate stakeholders. 23
24 The communica;on plan provides informa;on on how stakeholders need to be communicated to. This may include mee;ngs, conference calls, wriqen means, , collabora;on tools, etc. We will discuss the communica;ons management plan in more detail in a later lesson. 24
25 Trust, as described in the American Heritage Dic/onary is confidence in the integrity, ability, character, and truth of a person or thing. Trust is the genesis of leadership and is built by every ac;on, every ini;a;ve and every word of the project manager. Albert Schweitzer, the humanitarian, theologian, missionary, organist, and medical doctor, said, Example is not the main thing in influencing others, it s the only thing. Trust works both ways. If you are in a leadership posi;on, trust will keep you there, or the lack of trust in you will diminish your capabili;es as a leader. A good moqo is: Trust un;l you have a compelling reason to mistrust. 25
26 One of the best ways to think of this model is from the core (inner ring) and a set of rela;onship- based skill families (central core). But since it will take the whole module to get there, we wanted to provide a brief preview of it here. Let s keep the four families of rela;onship skills anchored while we look out through the project lifecycle (PLC) layer, which can be spun to align with the current PLC phase. In turn, the outer circle can also be spun so that each family of skills in some way supports every combina;on of Stakeholder category/plc phase. However, if we tried to cover all that territory, we would need a two- week workshop. So, in our model, we have posi;oned each family of rela;onship skills opposite the major categories for which that family provides the most effec;ve solu;ons. In some cases, there is also a primary PLC phase, e.g., we see the Advocacy family of skills having the most impact with Governing Bodies, especially in the early stages or Concept phase. That does not mean that the skills that we describe as being in the Advocacy family will not be needed for other combina;ons of stakeholder category/plc phase, but that the par;cular combina;on we have iden;fied will be used to demonstrate the skill, in what we think is the most effec;ve scenario for prac;ce and successful knowledge transfer. 26
27 Dealing with stakeholders takes good management skills to bring harmony, agreement and coordina;on to bring about the project s objec;ves. 27
28 The issue log (or register) can minimize the impact of schedule, cost and resource issues by documen;ng the issue, assessing the impact, and assigning a responsible party to take correc;ve ac;ons. 28
29 The PMBOK Guide FiWh Edi;on describes the key benefit of this process as efficiently and effec;vely engaging stakeholders as the project evolves. PMBOK Guide - FiWh Edi;on, p
30 The PMBOK Guide FiWh Edi;on defines the following for this fourth process: Inputs Project management plan Issue log Work performance data Project documents Tools & Techniques Informa;on management Expert judgment Mee;ngs Outputs Work performance informa;on Change requests Project management plan updates Project document updates Organiza;onal process assets updates 30
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34 Expert judgment extends not only to industry and project knowledge, but how to accomplish things in your environment. When most people hear the word Poli;cs and par;cularly Office Poli;cs, they conjure up nega;ve thoughts of self- interest and betrayals. Instead, try to think of organiza;onal poli;cs as using the interpersonal skills you ve obtained to help achieve the strategic objec;ves of the organiza;on. This is a worthwhile and noble pursuit and will keep you on the right path. For more informa;on on the topic, see Jeffrey K. Pinto s book en;tled POWER & POLITICS in Project Management. 34
35 Stakeholder mee;ngs are used for: Informa;on sharing Planning/coordina;ng Problem solving Decision making Team building Prior to a stakeholder mee;ng, an agenda should be provided to all aqendees, especially for virtual mee;ngs. Be sure to include: Name of mee;ng Loca;on (if virtual provide all connec;on informa;on) Time (zone if necessary), dura;on and date Objec;ve to be reached during mee;ng Who is aqending Content If the mee;ng is offsite, be sure to provide direc;ons to the mee;ng loca;on. Send and collateral material that is needed, including suppor;ng material for discussion. If the mee;ng is virtual, have aqendees arrive early to solve connec;on problems and avoid interrup;ons during the mee;ng. 35
36 Work performance informa;on is derived from the data that is collected throughout the project. While data is just the raw material of informa;on, informa;on, when crawed properly, prevents stakeholders from misinterpre;ng the data. Informa;on about performance is focused on ensuring that stakeholders correctly understand the context and status of the project and can make proper decisions concerning the project. Frequently, in the execu;on of a project, it is learned that there might have been a beqer procedure for execu;ng a task or dealing with a risk. Feedback from stakeholders and the outcome of lessons learned mee;ngs should be recorded by upda;ng any of the project documents that are impacted. 36
37 RESPECT STANDARDS We inform ourselves about the norms and customs of others and avoid engaging in behaviors they might consider disrespecnul. This ethics standard goes beyond cultural diversity. It requires that we proac;vely understand the customs of our stakeholders and demonstrate respecwul behavior. We approach directly those persons with whom we have a conflict or disagreement. It can be difficult to confront colleagues that we disagree with. Many ;mes people gossip behind coworker s backs rather than confront a disagreement head on. However, it is more respecwul to work with the person we have a disagreement with to try and resolve the situa;on. We conduct ourselves in a professional manner, even when it is not reciprocated. One of the most challenging situa;ons we find ourselves in is when someone is behaving poorly or being cri;cal of our work or our decisions. None the less, we should hold ourselves to a higher standard and demonstrate professional conduct even when others aren t. We do not act in an abusive manner toward others. Related to conduc;ng our selves professionally, we must never behave abusively towards others. This includes not being disrespecwul, openly cri;cal in front of others, or rude. We do not exercise the power of our exper2se or posi2on to influence the decisions or ac2ons of others in order to benefit personally at their expense. Slide 54 discusses the various types of power. As project managers we owen have expert power and to an extent, posi;on power. It is important to exercise that power with integrity rather than to benefit personally. 38
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