Chapter 9 Project Human Resource Management Information Technology Project Management Fourth Edition Learning Objectives Explain the importance of good human resource management on projects including the current state and future implications of human resource management especially on information technology projects Define project human resource management and understand its processes Summarize key concepts for managing people by understanding the theories of Abraham Maslow Frederick Herzberg David McClelland and Douglas McGregor on motivation H J Thamhain and D L Wilemon on influencing workers and Stephen Covey on how people and teams can become more effective Learning Objectives Discuss human resource planning and be able to create a project organizational chart responsibility assignment matrix and resource histogram Understand important issues involved in project staff acquisition and explain the concepts of resource assignments resource loading and resource leveling Assist in team development with training teambuilding activities and reward systems Explain and apply several tools and techniques to help manage a project team and summarize general advice on managing teams Describe how project management software can assist in project human resource management The Importance of Human Resource Management People determine the success and failure of organizations and projects Recent statistics about IT workforce The labor market changed a lot early in the new millennium with shortages and then an abundance of IT workers A 2004 ITAA report showed a slight recovery in 2004 The total number of IT workers in the U S was more than 10 5 million in early 2004 up from 10 3 million in 2003 and 9 9 million in 2002 Eighty nine percent of new jobs came from non IT companies such as banking finance manufacturing food service and transportation Information Technology Association of America ITAA Recovery Slight for IT Job Market in Hiring managers say interpersonal skills are the most 2004 September 8 2004 www itaa org important soft skill for IT workers Digital Planet Reports The global high tech industry generated more than 2 1 trillion in 1999 2 3 trillion in 2000 and 2 4 trillion in 2001 The Internet and e commerce were notable bright spots in the global economy Global e commerce increased 79 percent between 2000 and 2001 China Poland and other developing countries are playing an increasing role in the global IT market Information Technology Association of America ITAA Global IT Spending to Rocket from Current 2 Trillion to 3 Trillion New Study Finds Update for IT Executives 2001 p 6 15 www itaa org Long Hours and Stereotypes of IT Workers Hurt Recruiting Many people are struggling with how to increase and diversify the IT labor pool Noted problems include The fact that many IT professionals work long hours and must constantly stay abreast of changes in the field Undesirable stereotypes that keep certain people for example women away from the career field The need to improve benefits redefine work hours and incentives and provide better human resource management Media Snapshot Here s the dirty little secret U S productivity is No 1 in the world when productivity is measured as gross domestic product per worker but our lead vanishes when productivity is measured as GDP per hour worked Europeans take an average of six to seven weeks of paid annual leave compared with just 12 days in the United States Twice as many American as European workers put in more than 48 hours per week Sociologists have shown that many Americans especially men would like to have more family or leisure time Recent surveys show that many Americans are willing to sacrifice up to a quarter of their salaries in return for more time off Williams Joan and Ariane Hegewisch Confusing productivity with long work week Minneapolis Star Tribune September 6 2004 www startribune com What is Project Human Resource Management Making the most effective use of the people involved with a project Processes include Human resource planning Identifying and documenting project roles responsibilities and reporting relationships Acquiring the project team Getting the needed personnel assigned to and working on the project Developing the project team Building individual and group skills to enhance project performance Managing the project team Tracking team member performance motivating team members providing timely feedback resolving issues and conflicts and coordinating changes to help enhance project performance Keys to Managing People Psychologists and management theorists have devoted much research and thought to the field of managing people at work Important areas related to project management include Motivation theories Influence and power Effectiveness Intrinsic and Extrinsic Motivation Intrinsic motivation causes people to participate in an activity for their own enjoyment Extrinsic motivation causes people to do something for a reward or to avoid a penalty For example some children take piano lessons for intrinsic motivation they enjoy it while others take them for extrinsic motivation to get a reward or avoid punishment Maslow s Hierarchy of Needs Abraham Maslow argued that human beings possess unique qualities that enable them to make independent choices thus giving them control of their destiny Maslow developed a hierarchy of needs which states that people s behaviors are guided or motivated by a sequence of needs Figure 9 1 Maslow s Hierarchy of Needs Herzberg s Motivational and Hygiene Factors Frederick Herzberg wrote several famous books and articles about worker motivation He distinguished between Motivational factors Achievement recognition the work itself responsibility advancement and growth These factors produce job satisfaction Hygiene factors Larger salaries more supervision and a more attractive work environment These factors cause dissatisfaction if not present but do not motivate workers to do more McClelland s Acquired Needs Theory Specific needs are acquired or learned over time and are shaped by life experiences The following are the main categories of acquired needs Achievement nAch People with a high need for achievement like challenging projects with attainable goals and lots of feedback Affiliation nAff People with high need for affiliation desire harmonious relationships and need to feel accepted by others so managers should try to create a cooperative work environment for them Power nPow People with a need for