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Session 6C: Project Management with Risk

Challenges of Virtual Project


Management In Developing
Countries
Suhail Iqbal, PE, PMP, MCT
Shazia Nauman

PRESENTATION SEQUENCE

INTRODUCTION
HYPOTHESIS
RESEARCH METHODOLOGY
PROPOSED MODEL
VIRTUAL TEAM PROJECTS IN SOFTWARE
INDUSTRY
THEORETICAL FRAMEWORK
RESEARCH FINDINGS
CONCLUSION

INTRODUCTION

HYPOTHESIS

HYPOTHESIS
Virtual project management is vital to

corporate growth and helps


teams to operate in the most
efficient and human - sensitive
way through information
technology, across continents or
across buildings within the
same geographic locations.

RESEARCH
METHODOLOGY

IN-DEPTH ANALYSIS

Discrete Structure Model was


correlated and validated by conducting
a primary research survey to document
results visually.
Factor Reinforcing relationship was
established between different elements
of virtual project management.

RESEARH TOOLS

Primary Research Survey of various software


houses in Pakistan
using pre-tested questionnaires with Open
ended and close-ended questions.
Formal, informal interviews were

conducted to support the findings.

PROPOSED
MODEL

PROPOSITIONS

Proposition 1: Effective Communication => Effective VPM


Proposition 2: Greater the degree of Virtual Project Management =>
Greater degree of multi-organizational culture/distributed organization
control
Proposition 3: Documentation OR Multi-channel communication =>
Information Redundancy
Proposition 4: Multi-channel communication AND Documentation
AND Information Security => Effective VPM
Proposition 5: Greater geographical distance (time zone differences)
OR non- existence of face-to-face interaction => Lower levels of
motivation among team members
Proposition 6: Greater degree of physical one to one interaction AND
Greater degree of flexibility among parties (conflict resolution) AND
Greater level of trust among geographically distributed teams => High
levels of motivation among geographically distributed teams
Proposition 7: Time zone difference advantage => High productivity
and profitability of an organization.

Greater
Motivation

IMPLIES

Effective
Communicatio
n

IMPLIES

AND
Multi-channel
Communication

Effective
VPM

AND

Documentation

Security

OR

Information
Redundancy

Factor Reinforcing Model for VPM elements

Less Face to Face


Interaction

IMPLIES

Greater Degree of
VPM

IMPLIES

Less Geographical
Distance

Greater Physical
Interaction

Lower Level of
Motivation

Greater Degree of
Distributed Org Control

Greater
Motivation

IMPLIES

AND

Greater Flexibility
Among Parties

AND

Greater Levels
of Trust

Factor Reinforcing Model for VPM elements

VIRTUAL TEAM PROJECTS


IN SOFTWARE INDUSTRY

VIRTUAL PROJECT TEAMS

The power of distributed development can increase an organization's


opportunities to win new work by opening up a broader skill and
product knowledge base, coupled with a deeper pool of potential
employees.
Reference: McMahon, P. E., "Distributed Development: Insights, Challenges, and Solutions,"
Cross Talk, from http://www.stsc.hill.af.mil/CrossTalk/2001/nov/mcmahon.asp, 2001.

Many organizations in Pakistan are creating virtual project teams, using


a mix of offshore, outsourced and key internal resources in an attempt
to provide a cost effective approach for meeting business needs.
Pakistan is a low wage country thus it is a source of attraction for low
cost software development industry.

THEORETICAL
FRAMEWORK

DEVELOPING THE
FRAMEWORK

Project Infrastructure
Communication
Language Barriers
Face to Face Communication
Information Redundancy
Time
Proper Security
Motivation
Cultural Differences
Conflict Resolution
Trust
Project Team Knowledge And Cross-Team
Collaboration

RESEARCH
FINDINGS

Proposition 1: Effective communication implies effective virtual project management.

Findings Supporting
Proposition One

Tacit knowledge is not shared in VPM. The lack of mutual knowledge


and shared language among team members impede communication.
Data warehouses provide real-time project information, via the internet
or telephone that connects team members, management and customers.
E-mail is most commonly used for sharing information with team
members in different time zones and working commitments.
Most virtual project teams prefer basic tools such as phone, e-mail, and
standard project management software like Microsoft Project/Prima
Vera.
Dedicated network connection and teleconferencing, a common feature
in large software houses
Small software houses use only e-mail and telephone.
In case of communication deadlock in virtual projects, physical visits
bridge the communication gap.
The language problem is overcome by agreeing upon a common
standard language English.
Great team communication also serves as the basis for building the
trust, group synergy and espirit de corpse required to be successful.

Proposition 2: Greater the degree of Virtual Project Management greater will be the
degree of multi-organization culture/ distributed organization control.

Findings Supporting
Proposition Two

75% of the organizations operate as pure geographically distributed


teams using VPM tools.
There is not usually enough time or close bonding between members
in a project involving virtual teams, for building and maintaining a
team culture.
Members in teams with a temporal nature usually appear less loyal to
the team and its goals.
There is low homogeneity among global virtual team members.

Proposition 3: Information redundancy is a side effect that is produced as a result of


documentation and multi-channel communication.

Findings Supporting
Proposition Three

Multiple communication channels although results in excessive


documentation yet it aid decision-making.
75% companies agree that excess documentation is produced as a
result of VPM.

Proposition 4: In order to have effective virtual project management, we must have


the presence of all the three factors namely multi channel communication,
documentation and measures for information security.

Findings Supporting
Proposition Four

To insure proper security, the project infrastructure uses industry


standard security approaches.
Firewalls and encryption software are the most commonly used
security measure.
In order to have effective virtual project management, we must have
the presence of all the three factors namely multi channel
communication, documentation and measures for information
security.

Proposition 5: Greater the geographical distance (time zone differences) or no face-toface interaction will lower the motivation among team members.

Findings Supporting
Proposition Five

We found that non-existence of face-to-face interaction is a


disadvantage for virtual projects and it lowers motivation level
among team members.
Motivation level is lower in small organization where ICT support is
insufficient and effective communication is absent.

Proposition 6: Greater one to one interaction and flexibility among parties and
greater level of trust implies high level of motivation among team members.

Findings Supporting
Proposition Six

Cultural differences are overcome by nourishing the belief of equality among


all the resources of a company.
Honesty in work and delivering the product up to contract and in time is
regarded important everywhere regardless of cultural differences.
75% of project teams function in a multi-organizational culture with a
moderate degree of organizational control.
80% of the organizations have high level of trust among their teams
implemented through formal procedures, visual templates and
documentation.
Building trustworthy relationships among virtual project managers is
dependent on the level of face-to-face communication support.
Large software houses in Pakistan have recognized the need of personal
contact and training workshops are now organized not only for top executives
but for other team members as well.
Lack of trust tends to discourage communication amongst team members.

Proposition 7: Time zone advantage leads to high profitability of an organization.

Findings Supporting
Proposition Seven

Time zone difference is an advantage for some software houses while


a disadvantage for others.
Delayed responses and a short window of opportunity to discuss
issues are the disadvantages of time zone difference.
Standard documentation, templates for each activity and deliverables
help in resolving the issue of time zone difference in large software
houses
Lack of standard documentation in small companies result in
productivity loss and conflict.
Moreover teleconferencing at mutual convenient time and good
documentation help in resolving this issue.

RECOMMENDATIONS

Members in a distributed project management environments often


have expertise in a specific area, so there is a great need for knowledge
sharing via effective communication and knowledge management
techniques.
Initial face-to-face communication is an essential prerequisite in
establishing higher levels of trust and motivation among mangers
working from geographically dispersed locations.
Managers or team leaders must play as a communication bridge
between the two developers of virtual teams in order to minimize
conflict.
A single communication point is a must to avoid redundancy and
conflict.
For effective communication, the appropriate use of telephones, videoconferencing and face-to-face meetings should be considered essential.
Clear ownership, roles and responsibilities are essential. Leaders
should play an effective role to implement these processes.

CONCLUSION

REVIEW
QUESTIONS

Contact Information
Session 6C: Project Management with Risk
Challenges of Virtual Project Management In Developing Countries

Suhail Iqbal, PE, PMP, MCT suhail@syscompk.com


Shazia Nauman

shaznaum@yahoo.com

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