Team-Based Structures

In a very large organisation including a multinational, we come across situations where there are
many teams within the organisation. The teams may be created for various purposes. Let us
briefly discuss some examples of teams in a practical organisation setting. To organise our
thoughts we shall define team-based structures as "employee teams". It is a design where work is
structured for groups. The groups are then given authority and discretion over matters such as
process improvement, service development, quality management or even new product
development. Team approach to management was developed mainly by Japanese companies like
Toyota, Honda, Mitsubishi, Sony, and a whole lot of others. What we see today are giant
Japanese firms which control a large segment of global trade?
Pure Project Teams
A pure project team is a specially constituted work group formed within the organisation and
given a special assignment or task. The assignment could be any of the following:
a. installation of a new computer system
b. design of a new product
c. design of a new service format.
Usually, members of a pure project team are nominated to join the team based on certain criteria.
A team leader or manager is usually placed at the head of the team. In most cases, after the
assignment has been completed, the team is disbanded.
Task Force Teams
A task force is created by top management to tackle or solve a major problem. In the Nigerian
setting, we have witnessed the advent of one task force or the other. There was the task force on
ports congestion. Members of a task force are usually drawn from various organisations with a
team leader as the head. Usually at the end of the assignment or when the task force loses focus,
it is disbanded.
Quality Improvement Teams
Today, quality has become an issue that has taken the front line in business discussions. Most
organisations are drawing heavily from the Japanese firms that have long imbibed quality as their
watch word. In Nigeria today, total quality management (TQM) has become an important issue
and many firms are setting up internal quality teams specially empowered to address ways to
improve quality.
Group Dynamics and Team Building
Recall that organisations grow out of the need for people to cooperate for the achievement of set
goals. The coming together is based on the fact that different people have different skills. That
precisely explains briefly the origin of teams or groups.
Although groups have been variously defined in the literature, our working definition is that a
group is a collection of two or more people who perceive themselves as a group, share a common
interest, goal, norm and a sense of belonging. They may have a leader. Invariably, the following
can be seen as groups: a. a computer steering committee
b. a product launch committee.
We have just defined a group but we need to go further to examine the group content. In an ideal
project team or group, there will be different people from different backgrounds and different
skills. When people join a project team or group, they may lose their work identity especially if
the group they joined has a work culture or ethics.
Practically, organizations use groups or teams for the following purposes:
a. To distribute work along clearly defined lines. In a bank, for instance, you could find the
energy group, treasury group, etc.
b. To monitor and control work. After a group has been formed, the group needs to be managed
and that is why every group or team should have a leader.
c. Problem solving. At times, groups are used to solve organizational problems as they arise.
Problems facing an organization are many. They may be major or minor. In most cases, when
major problems arise, management can set up a team to look into the problem.
Team Work Building
project teams are not the end of the task ahead. The most important task is how to build team
spirit. Like we said earlier, members of the team may come from various units or departments to
join a particular team set up at the head office. The critical task and which is the duty of the team
leader is to ensure that the group members see themselves as members of a team and also work
like a team. If members of a team are to perform as team players and work towards team
objectives, then certain things should be present in the team. Let us examine those things:
One Unit Goal
It is important that every member of a team perfectly understands the goals and objectives of the
team. Every action of each member must be directed towards the set objectives of the team.
Group Cohesiveness and Support
A group is made up of a number of people with different qualities and characteristics. A good
group is one in which there is that cohesiveness. This cohesiveness binds the group together and
makes them act in one direction and towards the same objectives.
Team Spirit
Individual spirit is not the same as team spirit. Team spirit is based on group affinity and
affection amongst members. Team spirit makes an individual member imbibe the spirit of a
group and behave like the group.
High Expectations
There must be high expectations amongst the various members of a team. For example, when
you form a 15-man football team to represent Nigeria, each team member usually will have high
expectations arising from team dynamics and spirit.
Willingness
Team members must be willing to be members of the team. They should not be unwilling
members because if they are, they will be frustrated and this will affect the team as a whole.
Communication within Project Team
In a project team, there will be a lot of people who need to communicate with each other.
Communication is the process of exchanging information between one person or another or
between one person and a group of persons. Communication also conveys knowledge of or
information about a subject matter. Communication is all about sharing information. Generally,
in a team situation, there is the need for effective communication amongst the members. The
importance of communication is that it is the life blood of any organization and by implication
the team. Communication as a process assists management functions to be accomplished.
Communication enables the team leader to communicate with other members of the team and
also enables other team members to communicate with the team leader. Communication provides
a link between people in a team or organization. The real purpose of communication is to effect
change in an organization and influence action towards organizational objectives.
Communication organizes the human resources in an organization or team
Vertical Communication
Vertical communication within the project team could be from the team leader to subordinates or
from the subordinates to the team leader. Vertical communication assists in passing information
on policies and provides feedback mechanism through which staffs respond to communication.
Horizontal Communication
In a project team, communication can flow horizontally across staff at the same level in the
project team. It could be communication to all the managers in the team or at the same level.
External Communication
Within a project team, external communication is a situation where the team or group exchanges
information with the larger organization. For example, when a team leader reports progress to the
managing director, we regard the information as a form of external communication as it is
outside the team.
Building Good Interpersonal Relations within the Team
An organization may possess enormous capital, good organizational structure, highly trained
manpower. But if the staff do not relate properly to one another, then problems may likely occur
frequently and retard corporate performance. And so, it is with a team. As discussed earlier, a
team can be made up of people from different units and backgrounds. It is therefore, very
important that at all times, managers should be aware of the need to build and maintain good
interpersonal relationship with their subordinates, bosses and peers within the organization. Put
simply, interpersonal relations are the way and manner people get along with one another. It
could be the relationship between one person and another or between one group of persons (e.g.,
staff) and another group of persons. If people are friendly and understanding, then good
interpersonal relations develop and everyone performs his or her tasks properly.
Effects of Poor Interpersonal Relations
a. Tension between staff and other fellow staff
b. Tension between staff and management
c. Tension amongst management staff
d. Unhealthy internal rivalry between all staff
e. Industrial misery and hostility
f. Strike
g. Corruption
h. General dishonesty
I. Crime in the work place
j. Disloyalty to the organization.
In a situation where there is no good interpersonal relation, obviously productivity is lowered
and this gives rise to lower earnings for the organization.
Principles of Interpersonal Relations
a. Act like a member of a team. Do not let personal interest affect that of the organization
b. Remember that other staff come from different backgrounds and will at times behave
differently from your expectations
c. Learn to be accommodative
d. Keep your boss informed of your movements at all times
e. Avoid gossips in the workplace
f. Display a positive attitude to your job
g. Be friendly and cooperative
h. Treat your subordinates with respect
I. Stick to the chain of command
j. Learn to wear a smile on your face always
k. Show interest in other peoples ‘problems
l. Always learn to say "thank you"
m. Avoid aggressive behaviour
n. Always learn to apologise when you are wrong
o. Greet people in the morning, afternoon and evening
p. Be polite
q. Be respectful
r. Be honest
s. Be responsive
t. Show good hygiene.
 COST ESTIMATES
Generally in project management, it is very important to accurately estimate the cost of a project.
It is even more necessary for management decision and control. Before a project comes on
stream, the cost implications must be known well in advance and properly estimated. This serves
as a guide to proper project management and control. Proper cost estimation will allow for
proper planning of costs, allocation of resources to various units of a project, cost control and
most importantly budgetary control.
Cost Definitions and Principles
The word “cost” when used in accounting conveys lots of meaning and so must be properly
qualified. There are many types of costs and part of our discussion in this unit is to properly
discuss various costs and see how they properly fit into the study of project management. It is so
because when we mention “cost”, we should clarify the type of cost we are talking about.
Direct Costs
Direct costs are those costs which are attributed directly to a job or project. For example, if an
engineer spends five hours to design an engineering column, then that time spent by the engineer
can be described as a direct labour and the cost can be recorded as a direct cost to be charged
directly to the design of the engineering column.
Factory Costs
The concept of factory cost is mainly applicable to manufacturing concerns. Factory cost is the
total cost of a job or project before the addition of a mark-up for the purpose of profit. Factory
costs will include the following:
a. direct materials costs
b. direct labour costs
c. indirect labour costs
d. design costs.

Fixed Costs
Fixed costs are those costs which remain virtually unchanged and must continue to be incurred
even though the workload might fluctuate between zero and the maximum or installed capacity.
Fixed costs will generally include the following:
a. management salaries
b. administrative salaries
c. heating and electricity expenses
d. insurance
e. maintenance of building, etc.
f. business permits.
Indirect Costs
In an ideal setting like a manufacturing facility, the provision of office accommodation,
management, welfare services, accounting, heating and lighting all constitute costs that must be
incurred in running the manufacturing facility. Others will include salaries and wages.
Generally, all these cost are termed indirect costs or overhead costs.
Standard Labour Costs
Labour constitutes a very critical component of project cost. It includes the labour of both junior
and senior personnel, engineers, accountants and the rest who are involved in a project. When
trying to estimate the labour cost for any project, it would be very difficult to use the different
rates of pay to be earned by every individual. There might be two engineers engaged in a project
but they may not be earning the same salaries. Generally, in project management, it is advisable
to use standard costing to estimate the cost of labour.
For labour costs, it is convenient to classify people according to some convenient rules based on
the type of jobs that they do.

For example, engineers in a project may be averaged out to cost N1,000,000 per annum.
Therefore, we can estimate that the standard cost for an engineer for a project is N1,000,000 per
annum. That is the cost that will be imputed in the cost estimate for engineers.
Also, for accountants involved in a project, there may also be the need to work out the standard
cost for an accountant. For example, we might estimate the standard cost for an accountant to be
N1, 500,000 per annum.
For all types of labour, we should have estimates of the standard costs. It enables the project to
be properly cost.
 MONITORING AND EVALUATION
A project is a temporary endeavor designed to produce a unique product, service or result with a
defined beginning and end (usually time-constrained, and often constrained by funding or
deliverables) undertaken to meet unique goals and objectives, typically to bring about beneficial
change or added value. The temporary nature of projects stands in contrast with business as usual
(or operations), which are repetitive, permanent, or semi-permanent functional activities to
produce products or services. In practice, the management of these two systems is often quite
different, and as such requires the development of distinct technical skills and management
strategies. Projects may be audited or reviewed while the project is in progress. Formal audits are
generally risk or compliance-based and management will direct the objectives of the audit. An
examination may include a comparison of approved project management processes with how the
project is actually being managed. Each project should be assessed for the appropriate level of
control needed: too much control is too time consuming, too little control is very risky. If project
control is not implemented correctly, the cost to the business should be clarified in terms of
errors and fixes. Monitoring is a deliberate systematic means of collection and analysis of
information as a project progresses which intended at adequate efficiency and effectiveness of a
project embarked on with thorough use of resources. It facilitates organization to determine
whether the resources available are enough and are being utilized satisfactorily. Project
monitoring is establishing measure that projects are on targets and indicators to measure
advancement and achievement. Evaluation involves conscious checking into project effects vis-
à-vis the agreed slated plans on accomplishment scale. It concern with outcome process of a
blueprint which can be done during and after the project. Evaluation is not an end product but a
process expected to take place throughout the stages of a project or action. Evaluation is a
process used to ascertain what has happened during a given activity, whether a programme or
activity is working, and whether the initial commitment has been carried out and achieved In the
course of the project it is done to ensure any contingency that can hamper the project is resolved
and plans are amended to suit goals of the project. While after project evaluation is aim at
understanding success or fail at the same time outline the means, measure and medium for
improvement ahead of next implementation of project plan.
The differences between Monitoring and Evaluation

Planning
After the initiation stage, the project is planned to an appropriate level of the main purpose is to
plan time, cost and resources adequately to estimate the work needed and to effectively manage
risk during project execution. As with the Initiation process group, a failure to adequately plan
greatly reduces the project's chances of successfully accomplishing its goals.
Project planning generally consists of:
 determining how to plan (e.g. by level of detail or Rolling Wave planning);
 developing the scope statement;
 selecting the planning team;
 identifying deliverables and creating the work breakdown structure;
 identifying the activities needed to complete those deliverables and networking the activities in
their logical sequence;
 estimating the resource requirements for the activities;
 estimating time and cost for activities;
 developing the schedule;
 developing the budget;
 risk planning;
 gaining formal approval to begin work.
Additional processes, such as planning for communications and for scope management,
identifying roles and responsibilities, determining what to purchase for the project and holding a
kick-off meeting are also generally advisable. For new product development projects, conceptual
design of the operation of the final product may be performed concurrent with the project
planning activities, and may help to inform the planning team when identifying deliverables and
planning activities
Executing

Executing Process Group Processes

The execution/implementation phase ensures that the project management plan's deliverables are
executed accordingly. This phase involves proper allocation, coordination and management of
human resources and any other resources such as material and budgets. The output of this phase
is the project deliverables.
Monitoring and Controlling
Monitoring and Controlling Process Group Processes
Monitoring and controlling consists of those processes performed to observe project execution so
that potential problems can be identified in a timely manner and corrective action can be taken,
when necessary, to control the execution of the project. The key benefit is that project
performance is observed and measured regularly to identify variances from the project
management plan
Monitoring and controlling includes:
 Measuring the ongoing project activities ('where we are');
 Monitoring the project variables (cost, effort, scope, etc.) against the project management plan
and the project performance baseline (where we should be);
 Identifying corrective actions to address issues and risks properly (How can we get on track
again);
 Influencing the factors that could circumvent integrated change control so only approved
changes are implemented.

In multi-phase projects, the monitoring and control process also provides feedback between
project phases, in order to implement corrective or preventive actions to bring the project into
compliance with the project management plan.
Project maintenance is an ongoing process, and it includes:
 Continuing support of end-users
 Correction of errors
 Updates to the product over time

Monitoring and Controlling Cycle

In this stage, auditors should pay attention to how effectively and quickly user problems are
resolved. Over the course of any construction project, the work scope may change. Change is a
normal and expected part of the construction process. Changes can be the result of necessary
design modifications, differing site conditions, material availability, contractor-requested
changes, value engineering and impacts from third parties, to name a few. Beyond executing the
change in the field, the change normally needs to be documented to show what was actually
constructed. This is referred to as change management. Hence, the owner usually requires a final
record to show all changes or, more specifically, any change that modifies the tangible portions
of the finished work. The record is made on the contract documents – usually, but not necessarily
limited to, the design drawings. The end product of this effort is what the industry terms as-built
drawings, or more simply, "as built." The requirement for providing them is a norm in
construction contracts. Construction document management is a highly important task
undertaken with the aid an online or desktop software system, or maintained through physical
documentation. The increasing legality pertaining to the construction industries maintenance of
correct documentation has caused the increase in the need for document management systems.
When changes are introduced to the project, the viability of the project has to be re-assessed. It is
important not to lose sight of the initial goals and targets of the projects. When the changes
accumulate, the forecasted result may not justify the original proposed investment in the project.
Successful project management identifies these components, and tracks and monitors progress so
as to stay within time and budget frames already outlined at the commencement of the project.

PROJECT IMPLEMENTATION STRATEGY SKILLS

Project implementation requires a different set of skills; such as leadership, communication,
facilitating and negotiating skills. Project managers must provide leadership to interpret the
project plans and the implementation guidelines, project managers must also be able to
communicate with the project team and stakeholders to develop and implement good project
plans. Project managers and their staff must possess the required expertise for successful project
implementation. If they don‘t, it is the projects manager‘s job to help develop the necessary
skills, or find somebody else who can to the job or alert the organizations management of the
problem. During implementation the best practices and good results from the early activities
needs to be documented as to benefit future activities and facilitate improvements to the project
plan.

Project Plan Monitoring and Control

Monitoring and controlling the project involves identifying, evaluating and managing changes
throughout the project management life cycle, the role of the project manager in this area
involves achieving the following objectives:
 Ensure that changes are beneficial and contribute to the project success; this is achieved by
influencing the factors that create changes and by making trade-offs among the projects
constraints such as scope, schedule, budget and quality.
 Communicate significant changes to management, beneficiaries and donors, especially the ones
that will impact the projects constraints.
 Update project plans and record changes.

Communicator
This is another important role of the project manager, but one that is often overlooked and not
properly taken in consideration when assigning a project manager to a new project.
Communication is providing relevant, timely information to the right people about the project.
Communication is used to inform and educate the project stakeholders about the project
objectives, risks, assumptions and constraints.
The communication or informational role is the most critical role for the success of the project.
The organization functional managers, project staff, donors and key stakeholders need to make
critical decision about the project, and the information they receive must be relevant, on time and
accurate. Project managers in the role of communicators take three functions: to gather
information from project staff and other people involved with the project; distribute the
information to stakeholders, which includes the donor, beneficiaries, and the organizations
functional managers; and the last function is to transmit the information to the external
environment, such as the general public to gain support to the project.
Project managers spend most of their time communicating. They hold meetings; develop reports
(writing as well as orally) to the, donors, beneficiaries or senior management; they listen to
issues; solve problems; provide direction and constantly negotiate for resources. Project
managers‘ success depends greatly on their ability to communicate. The project manager uses
two forms of communication:
1. Formal communications which include progress reports and presentations to management or
the beneficiaries
2. Informal communications which includes email messages, telephone calls, and team meetings
The effectiveness with which this role is used is important to the success of the project and the
project manager.

Leader
A project manager is above all a leader; the team needs direction for the life of the project and
the project manager is responsible for leading the team to achieve the vision that the project has
created, a project manager does this by facilitating, coordinating and motivating the team to
achieve the project goals; this is a central role of the project manager and her ability to influence,
inspire, direct, communicate will determine her effectiveness as a project manager. Leading is a
central role; it involves working with and through others to achieve the objectives of the project.
It is through the project manager‘s ability to lead will determine the success of the project. The
focus on this role is to ensure the project team and the project stakeholders have a clear vision of
the objectives the project aims to achieve. During the curse of the project is not unusual that the
team starts shifting its attention from the final objective; here is where the leadership role is
needed and the project manager needs to communicate and motivate the team to the ultimate
goal. The leadership role includes the facilitator, coordinator and motivator roles. Facilitator In
this role the project manager acts as an individual who enables the project team to work more
effectively; helps them collaborate and achieve synergy. The project manager is not responsible
to do all the tasks of the project, that is the responsibility of the project team, the project manager
role is to create the right conditions that enable the project team to carry their duties. The project
manager also contributes by providing the framework to facilitate the interactions among the
different groups so that they are able to function effectively. The goal of this role is to support
the project team and the beneficiaries so that they can achieve exceptional performance. The
project manager encourages full participation from the project team, promotes mutual
understanding with the beneficiaries and cultivates shared responsibility among all project
stakeholders. The facilitator role is mostly used when dealing with beneficiaries, since the
project manager doesn‘t have any form of authority over this group he must provide an
environment of trust where beneficiaries feel comfortable about contributing ideas and provide
input to the project and discover the solutions that can help achieve the projects objectives.

Coordinator
Coordination means integrating the goals and activities of the people and groups involved with
the project. The functional units in the organizations, such as finance, human resources and
procurement; and the beneficiaries and the partners involved with the project, need their
activities be coordinated in a way that benefit the project. This role demanded of the project
managers is needed to ensure all these groups are working towards the same goal. The project
managers has to inform each group about what is expected from the by the project, without
coordination these groups will loose sight of their role with the project and may pursue their own
interest at the cost of the project. The need for coordination depends on the extent to which they
need to be integrated with the activities of other groups; it depends on the degree of
interdependence and the nature of communication requirements. A high degree of coordination is
needed when factors in the project environment are changing and there exist a high level of
interdependence among the activities performed by the different groups. This is a case when one
group requires an output coming from another group in order to complete an activity.
Communication is the best tool to achieve an effective coordination, the project manager‘s role is
to ensure that information is received by all groups at the right time; the greater the level of
complexity and uncertainty about the project objectives the greater the need for information. The
project manager needs to evaluate the best approach to coordinate formal or informal
communications. The approach has to match the project‘s capacity for coordination with its need
for coordination; it is important to know if the need for coordination is larger than the ability to
coordinate then the project manager increases the resources to help him coordinate.
Motivator
Development projects are highly complex and demanding on the project staff, this is the reason
why the project manager has to act as a motivator to the team in times of difficulty. Working
with people is not always easy and the factors that provide them with motivation are different
from each other. The project manager‘s role as a motivator is to identify the factors that serve as
an incentive for a project team to take the necessary action to complete a task within the project
constraints. The nature of development projects; difficult locations, high security risks, extensive
travel, limited accommodations and other factors contribute to the low motivation of the team.
The project team is an integral part of the project, lack of motivation can lead to high turnover
and low morale which results in poor performance. Even if the project is able to develop the best
plans and has all the resources needed if people are not motivated the project will fail. Project
Managers also foster teamwork among all project participants, they act as catalyst of change to
get the beneficiaries, donor, project team and management of the organization to work and meet
the project goals.