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Chapter-6: Project Team Building, Conflict, and Negotiation

Building the Project Team

Learning Objective (LO 6.1): Understand the steps involved in project team building.

Effective project teams are not created by accident. They are carefully planned, selected, and
developed so that team members can work together and achieve project goals efficiently. The
ideal situation is when team members are highly motivated and request to be part of the team.
However, in many cases, teams are formed based on availability, not suitability.

The challenge for the project manager is to take a diverse group of individuals and turn them
into a unified, high-performing team.

Goal: Assemble the right people for the project and help them function as a cohesive unit.

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Flowchart: Basic Steps in Assembling a Project Team (Figure 6.2)

1. Identify skills required

• Based on the Work Breakdown Structure (WBS), determine what skills are needed.

2. Identify personnel to match the skills

• Look for team members from available staff or functional departments who have the
required skills.

3. Talk to potential team members

• Explain the project clearly.

• Gauge their interest and availability.

4. Negotiate with the functional supervisor

• Request the team members from the department heads.

5. Was the request successful?

• Yes: Proceed to assemble the team.

• No: Move to step 6.

6. Renegotiate with top management

• Seek higher-level support for your resource needs.

7. Was the second request successful?

• Yes: Assemble the team.

• No: Move to contingency planning.

If Unable to Assemble the Full Team:

➤ Try to get partial assistance

• Work with the resources available, even if only part-time.

➤ Adjust project schedule, budget, or priorities

• Reassess what's realistic with the current staffing.

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➤ Notify top management of consequences

• Inform them how the resource shortage will impact project goals.

Assembling the Team (Post-Selection Tasks):

• Develop a skills inventory matrix

• Assign clear responsibilities (responsibility matrix)
• Clarify roles and expectations
• Establish methods and procedures

Example:

Let’s say you’re managing a website development project.

1. From the WBS, you know you need a web developer, graphic designer, and SEO
specialist.
2. You identify available staff from IT and marketing departments.
3. You talk to them – the developer is interested, but the designer is already on another
project.
4. You negotiate with their manager but are denied.
5. You escalate to top management and get partial approval.
6. You build your team with available members and notify leadership that the project
delivery might be delayed without the designer.

Characteristics of Effective Project Teams

LO 6.2 – Know the characteristics of effective project teams and why teams fail

Overview:

Research shows that successful teams consistently exhibit common core qualities that
contribute to superior performance. When these are missing, teams tend to underperform or
fail.

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Key Characteristics of Effective Project Teams

1. A Clear Sense of Mission

• Everyone on the team understands and accepts the project’s goals.

• Why it matters: Shared goals align efforts and improve collaboration.
• Warning: Avoid giving members isolated tasks without context—this creates resentment
and reduces contribution.
• Tip for PMs: Clearly define how each task contributes to the bigger picture.

Think of a ship’s crew – they must all know the destination, not just their own role in rowing.

2. A Productive Interdependency

• Team members rely on each other to complete the project successfully.

• Encourages collaboration across departments.
• Builds mutual appreciation for each other’s strengths.

🛠 For example, in a tech project, developers, marketers, and accountants need to work in
sync—not in silos.

3. Cohesiveness

• The emotional bond and mutual attraction to the team and task.
• Members want to stay and contribute to the team.
• Project managers should use recognition, rewards, and appraisals to keep morale high.

People perform better when they feel like they belong and are valued.

4. Trust

• The foundation of healthy conflict, cooperation, and communication.

• Trust must be:
o Professional: Belief in each other’s competence.
o Ethical: Belief in each other’s honesty.
o Emotional: Comfort in decision-making and risk-taking.
• Takes time to develop; cannot be forced.

“What happens in the team, stays in the team.” Confidentiality builds confidence.

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5. Enthusiasm

• Drives the energy and motivation behind team performance.

• Created by a project environment that is:
o Challenging: Opportunities for learning and growth.
o Supportive: Shared identity and strong communication.
o Personally rewarding: Tied to personal and career growth.

Example: A project manager painted “YES WE CAN!” on the wall to boost morale—and it
worked!

6. Results Orientation

• Keeps the team focused on achieving the final goal.

• Prevents time being wasted on side issues.
• The PM’s job is to keep everyone’s “eyes on the prize”.

“Success is measured by delivery, not just effort.”

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Reasons Why Project Teams Fail

LO 6.3 – Know the reasons why project teams often fail

Overview:

Creating and maintaining a high-performing project team is difficult. Many teams fail due to a
combination of unclear goals, poor communication, lack of motivation, and leadership
issues. Recognizing these barriers helps project managers avoid or resolve them effectively.

Top Reasons for Project Team Failure

1. Poorly Developed or Unclear Goals

“If the destination isn’t clear, the journey will be chaotic.”

• Team members interpret goals differently, leading to misalignment.

• Ambiguity causes conflict and inefficiency.
• Low collaboration occurs when goals are not shared or commonly understood.

Example:
If one engineer thinks the goal is speed and another thinks it's quality, they’ll work in opposite
directions—creating tension and waste.

2. Poorly Defined Roles and Interdependencies

• Team members are unsure of responsibilities.

• Lack of role clarity leads to confusion, duplication, or gaps in work.
• Interdependency is lost, reducing coordination and flow.

Example:
Two designers both assume the other is handling client revisions. Result? Nothing gets updated.

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3. Lack of Project Team Motivation

“Why should I care?” is the silent killer of performance.

Causes:

• The project seems unimportant or unnecessary.

• It’s viewed as low priority by the organization.
• No personal or professional gain is perceived.

Solution:
The project manager must clearly communicate the value and impact of the project.

4. Poor Communication

• Team members don’t know who to talk to or what to share.

• Functional silos (technical, finance, marketing) speak different “languages.”
• Some members withhold information for power or security.

Solution:
PMs should establish information-sharing protocols and a culture of open dialogue.

5. Poor Leadership

A “one-size-fits-all” leadership style rarely works.

• PMs may use:

o Authoritarian or bullying tactics.
o Inflexible leadership not suited to team dynamics.
• Effective leaders adapt their style to:
o Team experience
o Motivation levels
o Project stage

6. Turnover Among Project Team Members

• Frequent staff changes disrupt momentum and delay progress.

• New members need time to learn project context and team dynamics.
• High turnover leads to lower trust and consistency.

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Mitigation Strategies:

• Cross-train team members to cover each other’s roles.

• Coordinate with departments to plan for transitions in advance.

7. Dysfunctional Behavior

• Caused by personality conflicts, hidden agendas, or lack of professionalism.

• Can create toxicity, slow down progress, and demoralize others.
• May require:
o Coaching and redirection
o In serious cases, removal from the team

PM Responsibility:
Identify, address early, and maintain a healthy, productive environment.

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Stages in Group Development

LO 6.4 – Know the stages in the development of groups

Overview:

All groups or teams go through a predictable series of developmental stages, often known as the
Tuckman Model:

Forming → Storming → Norming → Performing → Adjourning

Understanding these stages helps project managers guide teams effectively through challenges
and toward high performance.

Table 6.1 – Stages of Group Development

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Detailed Breakdown of Each Stage

Stage 1: Forming (Inclusion)

• Known as the "getting to know you" stage.

• Members are uncertain about the project, each other, and their roles.
• Early norms are set: who’s in charge, how to communicate, what’s acceptable.
• Leader’s role: Establish structure, provide clarity, and set a positive tone.

Typical behaviors:

Quiet, polite, guarded, businesslike

Stage 2: Storming (Control)

• Members begin testing boundaries and resisting control.

• Hidden agendas, personality conflicts, and past department rivalries may surface.
• Can be emotionally charged, with low morale.

Example:
A designer says, “Why are marketing people even here?” – signaling turf conflict.

Leader’s role:
Act as a mediator, address conflict early, and guide the team through turbulence.

Typical behaviors:

Confrontation, infighting, power struggles, personal agendas

Stage 3: Norming (Cooperation)

• Unwritten rules (norms) start to form.

• The team agrees on meeting schedules, decision-making methods, and trust levels.
• Relationships become cohesive, and morale rises.
• This is the foundation of team culture.

Leader’s role:
Facilitate openness, support emerging team identity, and encourage collaboration.

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Typical behaviors:

Trust building, mutual appreciation, resolving issues, growing morale

Stage 4: Performing (Productivity)

• Team is fully functional and focused on delivering project outcomes.

• Strong trust, shared goals, high efficiency, and problem-solving culture.
• Morale and performance are at their peak.

Leader’s role:
Support autonomy, remove roadblocks, and keep the team on course.

Typical behaviors:

Confidence, flexibility, efficiency, innovation, commitment

Stage 5: Adjourning (Adjournment)

• Project ends or team is reassigned.

• Members may feel uncertain or emotional about what's next.
• This stage needs to be handled with empathy and planning.

Leader’s role:
Celebrate success, acknowledge contributions, and help members transition smoothly.

Typical behaviors:

Reflectiveness, anxiety about future, appreciation for team efforts

Achieving Cross-Functional Cooperation

LO 6.5 – Describe how to achieve cross-functional cooperation in teams

Overview:

Effective project teams often consist of members from different departments or functions
(e.g., engineering, marketing, IT). To ensure collaboration, managers must promote cross-
functional cooperation—a critical factor for both task success and team satisfaction.

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Figure 6.5 illustrates a two-stage model:

1. Inputs that influence cooperation

2. Outcomes resulting from cooperation

Key Factors that Promote Cross-Functional Cooperation

1. Superordinate Goals

• A shared, overarching goal that all departments value and must work together to
achieve.
• Encourages unity despite different roles or priorities.
• Example: "Deliver a secure, user-friendly, and innovative app" unites tech, design, and
marketing teams.

2. Rules and Procedures

• Provide structure and clarity.

• Can be organization-wide or created by the team.
• Help define how decisions are made, how conflicts are resolved, and what’s expected
from everyone.

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• Example: “All departments must attend weekly sync-up meetings” is a team-specific rule.

3. Physical Proximity

• Teams that work near each other communicate more often and more naturally.
• Open spaces, shared floors, or “war rooms” (shared project spaces) increase informal
collaboration.

4. Accessibility

• Being available and approachable, regardless of physical distance.

• Influenced by schedules, hierarchy, openness, and willingness to help.
• Someone can be nearby but still inaccessible due to busy schedules or uncooperative
attitude.

The Feedback Loop (Figure 6.5 Explained)

• Positive psychosocial outcomes → team members start future projects with higher
motivation and trust.
• Negative experiences (e.g., conflict, burnout) → lead to poor cooperation in future
teams.
• That’s why both task and emotional outcomes matter for long-term project
performance.

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Conflict Management
LO 6.7 – Understand the nature of conflict and evaluate response methods

What is Conflict?

Conflict is a process that begins when an individual perceives that another party is frustrating or
about to frustrate a major concern of theirs.

• Conflict is dynamic, not static—it changes and evolves.

• Conflict is perceptual—it doesn’t matter whether harm was intended; if it’s perceived,
it’s real.
• Past reasons for conflict may become irrelevant over time—the conflict takes on a life
of its own.

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Sources of Conflict in Projects

Conflict in project management is inevitable due to its temporary, cross-functional, and
resource-dependent nature. Conflicts can arise from structural, organizational, and personal
factors.

Two Major Categories of Conflict Sources

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Methods for Resolving Conflict

LO 6.7 – Understand the nature of conflict and evaluate response methods

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Negotiation in Project Management

LO 6.8 – Understand the importance of negotiation skills in project management

Why Negotiation Matters

Project management = constant negotiation

From handling budgets, timelines, team resources, and client demands, negotiation is the art of
influence—and it's essential to project success.

Project managers often negotiate:

• For time and budget

• With clients to reduce scope creep
• With functional managers to borrow skilled team members

⚖️ Principled Negotiation – A Win-Win Approach

Adapted from Getting to Yes by Fisher & Ury

Principled negotiation is not about defeating the other side — it’s about solving problems
together. It focuses on collaboration, fairness, and long-term relationships, which is vital for
project managers who work across departments and stakeholders.

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Key Modifications & Insights

• Instead of focusing on who’s “right,” shift the conversation to what’s fair and
possible.
• Avoid emotional language like blame, accusations, or sarcasm — these shut down
collaboration.
• Prepare questions that explore both parties' underlying needs (interests), not just their
stated positions.
• Use shared goals as the foundation — e.g., "We both want this project to succeed."

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Invent Options for Mutual Gain

Common Roadblocks:

• Premature judgment
• Narrow thinking ("my way or no way")
• Belief in a fixed pie ("If you win, I lose")
• Self-centered problem-solving ("It’s their problem")

Solutions:

• Brainstorm together: Invite the other party to solve problems with you.
• Broaden options: Don’t settle on the first idea. Generate multiple possibilities.
• Identify shared interests: Start with common ground (small wins build trust).

Kazi Sifuzzaman Mim (20AIS033) @GSTU