PPMP 20011 Commercial Project Negotiation for Project Managers-Deliver
For Project 1 the negotiating position recommended should be strategic approach. As this project is about incorporating suitable strategy for payroll system; therefore, the project Negotiation Interaction Process should be in strategic approach. The project manager should consider strategies in order to propose Payroll System Improvement techniques.
Strategic approach should include steps as to review existing strategies, to create unique system, to incorporate staged implementation, along with training for stakeholders. Furthermore, strategic approach should be able to identify the weaknesses of existing strategies in payroll system. Strategic approach is justified as it emphasizes over committing steps with reviewing each phase results.
For Project 2 the negotiating position recommended should be structural approach. The project is about stating governance for managerial approach and decision-making to project management. Therefore, Negotiation Interaction should be structural approach as it requires systematic coordination to the issue for focusing over the situation.
Decision-making can be performed once the situation is analysed and furthermore, the structural approach relates the entire situation with decision needs. In some certain stage, manager sometimes, decides most haphazardly making clumsy mistakes, therefore, structural approach reduces mistakes from decision-making. Governance of project is based on decisions having critical impact on it as well.
Answer:
The Projects Negotiation and Conflict Report is a communication tool that is used as the basis for managing negotiation, identifying conflict areas and stakeholder engagement.
Peña-Mora and Tamaki (2001) provide a model (p. 106) described as a “Generic Negotiation Model”. In their model they identify that there are five basic elements: (1) the project; (2) the participants; (3) the negotiation interaction process; (4) the collaborative negotiation methodology; and (5) the outcome.
These five elements have been used to create this report. You should complete each of the sections below regarding:
- Program Information
- The Projects
- The Participants
- The Negotiation Interaction Process
- The Negotiation Methods
- The Outcome
This report is based on the contents of Peña-Mora F., and Tamaki T. 2001. Effect of Delivery Systems on Collaborative Negotiations for Large -Scale Infrastructure Projects; Alfredson T., & Cungu A. 2008. Negotiation Theory and Practice; Walker and Walker 2015 Collaborative Project Procurement Arrangements; Directing plus Managing Successful Projects with PRINCE2 (2009); A Guide to the Project Management Body of Knowledge (PMBOK Guide) 5th Edition (2013); and Kerzner Project Management: A Systems Approach to Planning, Scheduling and Controlling (2013). Please complete this report for the Recommendations (p. 9 & 36-38) contained in the KPMG 2012 Review of the Queensland Health Payroll System.
Guidance boxes like this should be deleted when you have finished with the contents: position the cursor on the border, left click when a cross appears and press delete.
QLD Health implemented a payroll system in 2010. The history and impact of this system has been reported in documents uploaded to Week 6 in the Moodle web site:
- Case Study Files for Practical Assessments - QLD Health Payroll:
- 2012-05-31 KPMG QLD Health Payroll Implementation Review.pdf
- 2012-11-01 Secret Cabinet documents emerge - Courier Mail.pdf
- 2013-07-31 Queensland Health Payroll System Commission of Inquiry Report.pdf
- 2014-01-23 Grosser M 2014 Legal lessons - Government News.pdf
- 2014-12-14 Eden Sedera 2013 The Largest Admitted IT Project Failure in the Southern Hemisphere.pdf
In the KPMG (2012) QLD Health Payroll Implementation Review there are a number of recommendations and next steps made (p. 36-38):
- Forward strategy for payroll system;
- Governance and decision-making;
- People and change;
- Funding;
Each of the recommendations can be thought of as a project.
In chapter 2 of the PMI Published Research: Theory and Practice - the book Collaborative Project Procurement Arrangements (2015) by Derek H. T. Walker and Beverly M. Lloyd Walker, the authors present a number of project characteristics:
- The Shenhar et al. Diamond Perspective: NCTP (p. 7);
- The Turner and Cochrane Four-quadrant Perspective (p. 9);
- Projects from an Organizational Learning Process Perspective (p. 9);
- Projects from an Identity Perspective (p. 10);
- Projects from a Complex Product-Services Perspective (p. 12);
Based on the information from the KPMG Review and other Case Study files on the Moodle Web site please identify and justify which of the above project characteristics per Walker & Walker (2015) can be applied to the each of the four projects.
Delete this guidance box when you have finished with the contents.
he Participants.
Peña-Mora and Tamaki (2001) state (p. 107-108) that:
- project participants’ roles, responsibilities, and relationships are used to identify their interests, positions, and attitudes;
- …and the potential conflicts in those relationships.
For each of the four projects; identify the possible negotiating position of the project participants, and potential conflicts in relationships that may exist.
The identification of the three participants has been taken from Peña-Mora and Tamaki (2001), namely Owner, Designers, Contractors. However, you can substitute names that you think are more practical from the Case Study concerning QLD Health Payroll files on the Moodle web site.Delete this guidance box when you have finished with the contents.
For Project 1 the negotiating position and conflicts in relationships of the participants of this project are described below.
1.1.1 Owner
The negotiating position of the owner will be…
The potential conflicts in relationships that the owner may have are….
1.1.2 Designers
The negotiating position of the designers will be…
The potential conflicts in relationships that the designers may have are….
1.1.3 Contractors
The negotiating position of the contractors will be…
The potential conflicts in relationships that the contractors may have are….
1.1 Project 2: Governance and decision-making
For Project 2 the negotiating position and conflicts in relationships of the participants of this project are described below.
1.1.1 Owner
The Negotiation Interaction Process.
Alfredson & Cungu (2008) in their paper Negotiation Theory and Practice identify that there are a number of schools of thought regarding the approaches in negotiation (p. 9-18):
- a structural approach;
- a strategic approach;
- a behavioural approach;
- a concessional exchange approach;
- …and an integrative approach.
For each of the four projects; identify the negotiating position you would recommend, and the justification for that negotiating position.Delete this guidance box when you have finished with the contents.
The Negotiation Methods.
Alfredson & Cungu (2008) in their book Negotiation Theory and Practice provide summaries of their negotiation approaches (p. 18). Kerzner (2013) also identifies six items to be addressed in his small stion titled Negotiation Phase (p. 1164). For each of the four projects; identify the negotiating methods you would recommend, and the justification for those negotiating methods.
If you wish to illustrate the method through a diagram or mind map then please insert the diagram as a JPG image in the each project below.Delete this guidance box when you have finished with the contents
The Outcome.
The final outcome from a negotiation process may be varied; however Walker and Walker (2015) identify three broad procurement approaches (p. 16-37).
- Traditional—Segregated Design and Delivery Procurement Forms;
- Focus on Integrated Design and Delivery Procurement Arrangements—Emphasising Planning and Control;
- Focus on Integrated Project Teams—Emphasizing Collaboration and Coordination
With each of the approaches breaking down to a number of sub-forms:
- 1A Design Bid Build (DBB) (p. 17);
- 1B Cost reimbursement (Cost-Plus) (p. 18);
- 2A Design and Construct (D&C) (p. 19);
- 2B integrated Supply Chain Management (SCM) (p. 20+);
- 2C Management Contracting (MC) (p. 21);
- 2D consortia of Joint Venture (JV) contractors (p. 21+);
- 2E the Build-Own-Operate-Transfer (BOOT) family (p. 23+);
- 3A partnering philosophies (p. 25+);
- 3B integrated solutions; including Competitive Dialogue (CD), Integrated Project Delivery (IDP) and delivery consortia/partner philosophies (p. 27+);
- 3C alliancing including Project Alliances (PA), Design Alliances (DA) and program Service Alliances (SA) (p. 29+);
- 4 Early Contractor Involvement (ECI) (p. 35);
- 5 Framework agreements (p. 36).
Recommend and advise your preferred form of procurement as an outcome from the negotiation process for each project.
Delete this guidance box when you have finished with the contents.
1.1 Project 1: Forward strategy for payroll system
The preferred form of procurement as an outcome from the negotiation process for Project 1 is…
1.2 Project 2: Governance and decision-making
The preferred form of procurement as an outcome from the negotiation process for Project 2 is…
1.3 Project 3: People and change
The preferred form of procurement as an outcome from the negotiation process for Project 3 is…
1.4 Project 4: Funding
The preferred form of procurement as an outcome from the negotiation process for Project 4 is…
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