YOU HAVE TO USE BOTH CHAPTERS TO WRITE THE SUMMARY

Weekly Summary 2.1

Due: Sunday, End of Module by 11:55 p.m. EST

Each week you will write and submit a brief summary of the important concepts learned during the week. The summary will include a summary of the instructor’s weekly lecture including any videos included in the lecture.

Writing Requirements

• Use the APA template located in the Student Resource Center to complete the assignment.

DEFINING THE INTERNATIONAL
PROJECT

Chapter

3

WHAT IS HAPPENING AT THE START OF AN INTERNATIONAL PROJECT?

With reference to the project management life cycle, we are
in the initiating phase.

The project starts with an idea, a customer demand, a bid
issued by a government or other opportunities.

As each international project is unique, creativity is important
at this stage. Special techniques are helpful (see companion
website).

The project objective has to be in line with the organizational
strategy.

It is extremely important for the overall project success, that
the scene is set well at this stage of the project.

This is especially true for stakeholder involvement, and the
accuracy of the first rough schedule and budget.

2

Output
(deliverables)

Input

Initiating Phase: Input, Output, Controls and Mechanisms

Mechanisms:
Tools & techniques

(e.g. fishbone diagram) for

concept development

Controls:
Organization‘s project mgmt

standards/ procedures

Constraints: strategic, financial,

time, legal, cultural,

environmental, ethical

Initiating Phase

• Scope Statement

• Scope Acceptance

• Project Proposal

• Stakeholder Matrix

• Culture Gap Analysis

• Diversity-Complexity-

Assessment

• Organization’s Strategy

• Customer’s Requirements

• Market Demand

• Opportunities Provided

by Globalization

3

ATTENTION TO SCOPE MANAGEMENT

The project manager has to clarify from project start as clearly
as possible what the project should do, and what it should not
do.

Due to the heterogeneity of the stakeholders in an international
project, special care is due related to scope definition.

The danger of differences in associations, attached meanings
and general misunderstandings is high.

The SMART tool may be helpful:

 S = Specific

 M = Measurable

 A = Attainable

 R = Realistic or Relevant

 T = Tangible or Time bound

4

DEFINING MILESTONES

A milestone is a major pre-defined event that represents
measurable accomplishment toward the project’s completion.

Milestones need to be passed in order to continue with the
project.

They divide the project into more manageable sub-parts.

Milestones are defined at the beginning of the project.

It is important to formulate them as clearly as possible.

It is also important to communicate them well within the project
team.

5

THE WORK BREAKDOWN STRUCTURE (WBS)

The milestones are typically the pillars of the so-called Work
Breakdown Structure.

It structures the entire project into little, manageable chunks.

The WBS creates a linked, hierarchical series of activities, which
are independent units but at the same time part of the whole.

The Work Breakdown Structure typically looks like a tree diagram
(see companion website). It can also take the form of a check list.

The process is as follows:

 State the project scope and make sure that all stakeholders have
the same understanding.

 Decompose the project into major elements of work.

 Decompose each level one work element into detailed tasks.

 Write a task description for each task.

6

MAPPING CULTURAL PROJECT CONTEXT

Among others, international projects are characterized by
diversity and complexity.

This is largely due to cultural heterogeneity.

Major stakeholders need to be understood as well as possible,
including their social identity.

All stakeholders’ behaviour is embedded in context.

An important part of context in international projects is local or
national culture, organizational culture, and professional culture as
outlined in the next slide.

7

Individual (human nature,
personality)

Professional/

Functional Culture

Organizational

Culture (Corporate culture)

Sub-

cultureSub-

culture

National Culture

Sub-
culture
Sub-
culture
Sub-
culture

CULTURES WITH IMPACT ON
INTERNATIONAL PROJECTS

8

1. Power Distance

Hofstede‘s model to map differences in national
culture

9

Universalism Particularism

Individualism

Communi-

tarianism

Neutral Affective

Specific Diffuse

Achievement Aspiration

Internal locus

of control

External locus

of control

Sequential Synchronic

Future

orientation

Past

orientation

Trompenaars‘ model to map differences in national
culture

10

Managing risk and uncertainty (4)

Defining & planning the project (3, 5)

Organizing the project (6)

Leading and managing the team (8)

Communicating (9); Co-operating (10)

Equality Hierarchy

Defining the project (3)

Managing risk and uncertainty (4)

Planning the project (5)

Organizing the project (6)

Implementing & controlling the project (7)

Embracing

Risk

Avoiding

Risk

Managing risk (4)

Organizing the project (6)

Implementing & controlling (7)

Motivating and leading the team (8)

Communicating (9); Co-operating (10)

Learning (11)

Individual Group

Matching strategy with projects (2)

Defining the project (3)
Planning the project (5)
Implementing & controlling the project (7)
Learning (11)

Universal
Circumstan-

tial

The Cultural Gap Tool to systematically analyse the
national culture environment of international projects (1)

The figures in brackets (this slide and next) indicate the book chapters in which the topics are mainly

discussed. 11

Defining scope (3)

Leading and managing the team (8)
Communicating (9); Co-operating (10)

Conflict Consensus

Managing stakeholders (3)

Planning the project (5)
Implementing & controlling (7)
Leading and managing the team (8)
Learning (11)

Task Relationship

Planning the project (5)
Organizing the project (6)
Implementing & controlling (7)

Motivating and leading the team (8)

Achievement
Standing /

Status

Defining the project (3)
Planning the project (5)
Implementing & controlling (7)
Sequential Synchronic
Planning the project (5)

Executing & controlling the project (7)

Learning (11)

Theoretical Pragmatic

The Cultural Gap Tool to systematically analyse the
national culture environment of international projects (2)

12

THE CONTEXT OF INTERNATIONAL
PROJECTS IN TERMS OF

ORGANIZATIONAL STRATEGY AND
CULTURE

Chapter

2

HOW ARE INTERNATIONAL PROJECTS LINKED TO ORGANIZATIONAL
STRATEGY?

An organization has a vision it pursues.

To achieve its vision, it has a kind of roadmap or plan: this
is also called its strategy.

To implement its strategy, the organization uses
(international) projects.

During the project and at the end of the project, the
organization checks whether the project has delivered the
desired results.

This is an ongoing cycle we also call strategic
management cycle.

2

Project

3

Project 2
Strategic Management Cycle

Business

Planning

Communi-

cating

and

high-level

aligning

Feedback

and

Learning

Translating

the Vision/

Mission

1

3 2

Project 1

4

Executing

Completing

Planning

Initiating

How (international) projects are part of the

organization’s

strategy

3

THE CONNECTION BETWEEN (INTERNATIONAL) PROJECTS AND
(INTERNATIONAL) PROGRAMS

A program can be defined as a bundle of projects.

Compared to a project, a program typically is bigger, requires more resources,
and is crucial for the success of organizational strategy.

The projects within a program serve the same strategic objective.

Projects in a program are interdependent. They share the same objectives and
scarce resources.

They typically have a common infrastructure and share a certain set of risks.

Programs have the following advantages:
 Ensuring strategic alignment through interdependency of objectives.

 Reducing the complexity of ‘large projects’ by clearly breaking them down
into smaller, easy-to control projects contributes to clearer responsibilities,
minimizes risks, and boosts morale and motivation. It also improves the quality
of the results.

Programs are essentially managed in the same way as projects.

4

PROJECT PORTFOLIO MANAGEMENT (PPM)

A project portfolio is a collection of projects managed under
one umbrella. These projects may be interrelated or not.

Purpose of PPM is to maximize the efficacy of projects in the
light of strategy execution.

There are two main management processes within project
portfolio management:

1. Selection and prioritization of projects.

2. Management of the projects within the portfolio by
monitoring target achievement.

A project portfolio is periodically adapted to the
organizational strategy.

The main activities of the PPM process are shown on the
following slide.

5

Required inputs:

1. Program/ project title

2. Project objective in light of

overall

strategy

3. Risk level

4. Timeframe

5. Dependencies with other

programs/

projects

6

. Estimated budget or ROI

7

. Impact of not delivering the

program/project

1

3
2

4

Build or

Update

Project

Portfolio

Analyze

& Prioritize

Project

Portfolio

Monitor

& Adjust

Project
Portfolio

Consider

new

proposed

projects

The Project

Portfolio

Management

Process

1. Categorization of

program/project

3 . Organizational

capability and

capacity information

2. Program and project

information

1. Business requirements in

form of organization’s

strategy

3. Prioritization of programs/projects

according to criteria as:

•pressure from the market

•capability of the

organization

•risks

•timescale for delivery

•impact of not doing the programs/projects

2. Determination of complexity

and challenge of portfolio

Required activities:

1. Monitoring objectives of single project

2. Monitoring combination of projects in

light of organizational success

3. Monitoring project selection in light of

change

Required tools & techniques:

Same as for project

management, cf. Chapter 7

Critical aspects to be monitored:

Required inputs:
6

PROJECT MANAGEMENT MATURITY

An organization gains experience about project management
over time.

Usually, the organization starts with single projects.

First, it develops an efficient way of project management.

Then, it reaches the stage in which projects perform well as an
entirety.

The final stage is a continuous selection of projects which
contribute to sustainable competitive edge of the organization.

The prerequisite for the last stage is well implemented and

smoothly working project portfolio management.

7

– Existence of processes to measure project effectiveness and efficiency

– Continuous improvement of the efficiency of project portfolio
management

– Project management processes integrated in the corporate processes

– Synchronization of projects with corporate strategy

– Solid analysis of project performance

– Standardization and institutionalization of project management

– Informal and unsystematic collection of project performance data

– Project estimates and schedules based on industry standards

– Introduction of a structured project management methodology

– Inconsistent application (mainly for large visible project)

– Many ad-hoc processes in the organization

– Awareness development through senior management regarding the
importance of structured project management

Level

5

Level
1
Level
4
Level
3
Level
2

In
c
re

a
s
e
o

f
p
ro

je
c
t
m

a
tu

ri
ty

Example of a 5 stage project management maturity model

8

PROJECT MANAGEMENT AND ORGANIZATIONAL CULTURE

Organizational culture can be defined as the way an
organization is doing things.

A critical success factor of international projects is a supportive
project culture.

This has to be based on ethnorelativism: values as open
mindedness, respect, and trust.

Organizational culture goes like a common theme through
projects, programs, and project portfolios.

All members of the organization need to have a special set of
values, attitudes, and behaviours in order to help the
implementation of the organizational strategy.

Strategy and culture need to be in tune for maximal
organizational success.

9

4. Employee

welfare,

fairness and

trust

1. Degree of

internal

integration

5. Diversity

2. Autonomy

and

involvement

3. Adaptability:

speed,

innovation and

risk

ADEQUATE ELEMENTS OF ORGANIZATIONAL CULTURE FOR
SUCCESSFUL INTERNATIONAL PROJECTS

10

Project

Management

Program

Management
Project
Portfolio
Management
Management

by Projects

Main Content of

Concept

Managing a single

project efficiently

within given

organizational

constraints and

context.

Clustering projects

pursuing the same

objectives into a

program to support

alignment with

overall

organization’s

strategy and to

increase flexibility.

Clustering projects

into portfolios to

ensure alignment

with organization’s

strategy. PPM

supports

coordinated

resource allocation,

increases flexibility

of

the whole

organization and

leads to sustainable

project success.

Managing the whole

organization as a

bundle of projects

based on a

supportive

organizational

culture. At the

extreme, the

organization

consists of one

complex project.

Scope

Limited to a set of

objectives linked to

one single project.

Business-unit or

organization-wide,

depending on

content of program.

An organization-

wide management

system.

A management

approach affecting

the whole

organization, also

inter-organizational.

Required Project

Maturity Level

Level 1 – 3:

Minimum level 1,

ideal level 3

Level 3 – 4 Level 4 – 5 Level 4 – 5

Overview of relevant project management methods – all aiming at

strategy implementation

11