10 9 8 7 6 5 4 3 2 1
Keywords
Project; Project management; Global project management; Culture;
Customs; Global process capability
Contents
Part I Strategy and Planning in the Global Project
Context������������������������������������������������������������������������ 1
Chapter 1 Starting and Planning the Global Project.........................3
Appendix��������������������������������������������������������������������������������������������147
Bibliography���������������������������������������������������������������������������������������153
About the Authors................................................................................155
Index�������������������������������������������������������������������������������������������������157
Part I
Political
Legal/Regulatory
Intellectual property
Corruption
Technological Economic
Telecommunications Complexity Inflation
Infrastructure Currency valuation
Intellectual capital Taxation
Standards
Social
Language
Culture
makes it possible to travel from any major city in the world to any other
major city in less time than it was required to travel between the original
Greek city states in antiquity. The world is effectively smaller—but since
the world is round and it is not physically smaller, the apparent smallness
enables global projects but leaves the additional stresses, strains, and com-
plexities in place. Jumping into a global project without serious consid-
eration of the many facets of the global macroenvironment is much like
planning a project that includes a significant component of scope that is
hidden and not revealed until later in the project. There is more at stake,
more at risk, and more for the project manager to do in a global project
than any project that is carried out on a purely local scale.
Complexity = Risk
The many additional factors that a global project manager must consider
effectively increases the overall project risk. Like any project risk uncovered
by the project team, the risks associated with the global environment may
be identified, analyzed, ranked, and linked to appropriate risk responses.
Given the special nature of the global macroenvironment, a separate and
distinct “global risk register” may be created to track and keep an ongoing
appraisal of global risks. Further, in large-scale projects—which global
Starting and Planning the Global Project 5
Political
Risk owner Risk owner
Legal/Regulatory
Intellectual property
Risks Corruption Risks
Technological Economic
Social
Risk owner Risk owner
Language
Risks culture Risks
Integration
Who will participate in the development of the overall project plan, and
how will globally distributed teams contribute to it?
What decisions will need to be made in the development of the project
plan, and to what extent will local teams participate in such decisions?
What language, culture, or distance barriers stand in the way of develop-
ing the overall project plan?
Scope
Schedule
To what extent does international logistics and travel impact the project
schedule?
Starting and Planning the Global Project 9
Cost
Quality
Resources
Communication
Risk
Will the project require additional insurance to deal with travel and
extended local residence of team members?
What additional resources must be assigned to risk mitigation plans?
What measures must be undertaken in order to ensure the personal safety
of team members around the world?
10 Executing Global Projects
Procurement
From where will the project obtain hardware and software components,
materials, and subcontractors?
What additional steps must be taken by the project to ensure quality of
vendor-supplied components and labor?
How will the project team assess the financial health and process maturity
of globally distributed suppliers?
Stakeholders
Considering Options
The next stage in the strategic management process is strategy formulation.
In global project management, this roughly equates to outlining several
generic options that may be applied in responding to the risks identified
in the analysis phase. One approach for considering response plan possi-
bilities is to conduct scenario planning (Figure 1.3).
For every risk scenario, the project team creates several possible
approaches to dealing with the risk. Further, an overriding risk philoso-
phy or policy approach to various categories of identified risk may begin
to gel. At the formulation stage, the more global project strategic risk
response options available from which to select the better for the project.
Selecting Options
After analysis and formulation, the strategic management process requires
a choice of strategy. In global project management terms, strategic choice
Starting and Planning the Global Project 11
Scenario planning
Macroenvironment states
Outcome
Outcome
Option A
Outcome
Pessimistic
Optimistic
ptimisti
ssimistic
Outcome
50/50
Option B
Outcome
Outcome
Option C
Outcome
Global project manager
Possible Outcome
options
Possible
outcomes
Implementation
The final stage of the strategic management process is strategy imple-
mentation. This stage involves putting in motion the strategies that were
decided from analysis, formulation, and choice. The analog in the con-
text of global project management is to charter subprojects designed to
plan and implement responses to global risk scenarios. Since in each case
the plans are addressing risks (rather than risks that have materialized to
become issues), implementation at this stage may be as simple as creat-
ing subproject charters and accompanying scope statements to have on
standby should they become necessary to employ.
and as well, identify, analyze, and plan risk responses for risks unique to
the global environment (Table 1.2)
Personal Safety
The personal safety of project team members when travelling the globe
on project business cannot be taken for granted. The international envi-
ronment may present challenges for personal safety that may not exist to
the same degree in the home country. Safety concerns may involve crime,
but other concerns exist as well and include fundamental concerns such
as the presence of disease and the lack of food safety due to unsanitary
conditions. Other more fundamental physical concerns such as extreme
heat, cold, or excessive humidity may present unexpected challenges if
not considered in advance. There may also be significant seasonal changes
depending upon the hemisphere destination. Prior to sending anyone to
another country for work on a project consider such factors as possible
risks to personal safety. Examine reports published by the State Depart-
ment and the Center for Disease Control on the state of crime, terrorism,
and other physical and health concerns for personal safety to expect in
the given country. Also confirm with a local doctor what vaccinations
and medications should be used by the project team member before or
perhaps during travel.
evident that there are many commonalities. In all cases projects must
be started, planned, executed, monitored, controlled, and closed—even
though the terminology associated with this sequence may differ. Also,
even though the PMBOK outlines 10 knowledge areas with specific skill
requirements for managing each of the process groups. Such skill require-
ments are not uncommon in most of the international standards. Two of
the more common international project management standards include
PRINCE2 and the International Project Management Association stan-
dard (Figure 1.6) (Global Alliance for the Project Professions 2019).
The fact that fundamental differences in project management stan-
dards suggests that the team leading the global project should take time
to meet with local teams in order to agree upon which standard will be
used and, if necessary, harmonize an approach to developing the global
plan. Just as importantly, the team leading the global project should not
assume that globally distributed teams, partners, or suppliers follow the
same project standard that the team in the head office follows. Finally, an
awareness of the terminology and the process steps employed in global
project standards may help with the translation process when communi-
cating the project lifecycle and the governance process. It is possible that
different project management standards may use different terminology
for commonly used processes. Developing an understanding of the dif-
ferences in terminology may help considerably in reducing confusion and
miscommunication.
PRINCE2
IPMA
IPMA
Project Management
Project Management
Institute (PMI)
Institute (PMI)
PRINCE2 P2M
SAQA
Project Management
National
Institute (PMI)
Qualifications
Level 5 AIPM
Standard
ANCS p.m.
Communication with
remote teams
Project plans
Internet
Internet
Communication
server
Home team