Project Management
In principled negotiation, "focusing on interests, not positions" means ___.
focusing on what both parties are trying to achieve
In a partnering relationship, ________ forms the basis for strong working relationships.
mutual trust
Effective ___ is critical to successful collaboration.
negotiating
When dealing with unreasonable people who take a win/lose attitude in negotiations, Fisher and Ury recommend ___.
negotiation jujitsu
Companies can secure competitive prices for contracted services, especially if the work can be outsourced ___
offshore
Companies are using ___ surveys to collect data from all project participants about the quality of working relations.
online or internet
The term ____________ has traditionally been applied to transferring business functions or processes (e.g., customer support, IT, accounting) to other, often foreign companies.
outsourcing
Too often _____ ______ become entangled with the substantive issues under consideration.
personal relations
When a partnering charter is developed as a result of a team-building session, the charter includes common goals for the project and _____.
procedures to achieve these goals
Outsourced projects may experience conflicts when employees have different values and perspectives from one organization to the next. Successful partnering firms establish ________ up front, so that disagreements can be handled constructively.
rules of engagement
Once the individuals involved have identified their interests, then they can explore options for _____ _____
Blank 1: mutual Blank 2: gain
Requesting ___ ____ involves obtaining information, quotes, bids, or proposals from sellers and providers.
Blank 1: seller Blank 2: responses
_____ extends beyond competitive secrets and technology to include access to information systems.
Security
What is the final step in the request for proposal (RFP) process?
Select the contractor.
Fisher and Ury advocate "be hard on the problem, soft on the people." This fits into which key point of principled negotiation?
Separate the people from the problem.
There are distinct differences between partnering and traditional approaches to managing contracted relationships. Identify the characteristic(s) of a partnering relationship.
Shared goals Collaborative relationships
Which of the following is NOT a characteristic of the traditional approach to managing contracted relationships?
Shared goals and objectives
Team-building sessions often culminate with the creation of a _______ signed by all the participants.
partnering charter
Fisher and Ury from the Harvard Negotiation project champion an approach called ______________ negotiation.
principled
Once an organization decides to outsource project work, bids will be solicited by using a ___, which is often developed by the project manager.
request for proposal (RFP)
A synonym for a "fixed-price contract" is ___
"lump sum agreement"
What is negotiation jujitsu?
A technique for negotiating with unreasonable people
Your ___ reflects how dependent you are on the other party.
BATNA
A change to a project and/or contract is called a ___ ____.
Blank 1: change Blank 2: order
Which project created a transportation tunnel between France and England and involved more than 250 organizations?
Chunnel
When outsourcing project work, which of the following are best practices?
Co-location of team members Extensive training and team-building activities
______ as partners is considered a legitimate project priority which is assessed along with time, costs, and performance.
Collaborating
____ is a concern and companies have to be very careful when outsourcing processes like payroll, medical transcriptions, and insurance information.
Confidentiality
What type of contract will not have a final price known until the end of the contract term?
Cost-plus
The two basic types of contracts are ____ .
Cost-plus Fixed-price
What types of contracts are commonly used for projects?
Cost-plus Fixed-price
____ satisfaction is the bottom line.
Customer
A contract does which of the following?
Defines the rights of the parties involved Codifies private law which governs the relationship of the parties involved Defines responsibilities of the parties involved
Which project would be the best fit for a fixed-price contract?
Executing a training program
What types of penalties may be included in a performance-based contract?
Failure to meet deadlines Failure to control costs Failure to perform up to standard
In the request for proposal (RFP) process, the winning bid should be selected based on price.
False
Outsourcing always involves sending work offshore.
False
The saying "Seek first to understand, then to be understood" reflects which of the four key principles of negotiation?
Focus on interests, not positions
The formula Perceived Performance / Expected Performance is part of what model of customer satisfaction.
Met-expectations
____ significant segments of project work to other companies, is commonplace.
Outsourcing
Who bears the majority of the risk in a fixed-price contract ____
The contractor
To be successful in negotiations, a project manager should approach negotiations as a noncompetitive process.
True
When an organization decides to outsource project work to a company in another country, training on how to work effectively with that company should be provided to
anyone who will interact with the company
In addition to win/win, Fisher and Ury advocate protecting yourself against ___, as part of principled negotiation.
being taken advantage of
Recent industry polls indicate a shift away from simply nailing the best low-cost deal to securing services from companies that provide ___
best value in terms of cost and performance
Cost-plus contracts put the burden of risk on the ____
client
Contracts are often modified after the project is initiated because ___ .
clients want to alter the scope
When partnering organizations enable people from each organization to work side-by-side, this is an example of using ____ to increase project coordination.
co-location
A/n ____ is a formal agreement between two parties wherein one party obligates itself to perform a service and the other party obligates itself to do something in return.
contract
The purpose of a contract change control system is to ____
define the process for changing the original contract
When outsourcing project work, integrating different firms' project management systems is a key factor in ____
developing well-defined requirements
Co-location is less relevant for ____ work.
independent
The key to brainstorming is separating the ____ from the ___ .
inventing deciding
Major benefits can be enjoyed when outsourcing arrangements are ___
long term
On small projects, a "cost-plus contract" is also called a ____ .
time and materials contract
The primary disadvantage of a fixed-price contract for contractors is that they run the risk of ____
underestimating.
Many outsourced projects operate in a ___ environment in which people are linked by computers, faxes, computer-aided design systems, and video teleconferencing.
virtual
The best practices being used by firms that excel in project management and have extensive outsourcing experience include:
well defined requirements and procedures frequent review and status updates long-term outsourcing relationships fair and incentive laden contracts extensive training and team building activities co-location when needed well established conflict management processes in place
BATNA stands for ____ _____ to a ___ _____.
Blank 1: best Blank 2: alternative Blank 3: negotiated Blank 4: agreement
Clients are able to get a minimum price for a fixed-price contract by putting out the contract to --- ----- .
Blank 1: competitive Blank 2: bid
Project managers must be skilled at managing customer ___ and ___.
Blank 1: expectations Blank 2: perceptions
____ ____ involves describing the requirements for products or services desired from outsourcing and identifying potential suppliers or sellers.
Blank 1: Planning Blank 2: Contracting
Webber and Torti observed that instead of maintaining a clearly defined relationship with the client, project managers often become part of the client organization. Match the role these project managers often assume, on the left, with its strategy on the right.
Entrepreneur ---- Use persuasion to influence others Politician ---- Align with powerful individuals Friend --- Identify common interests and experiences Marketer --- Align new ideas/proposals with strategic objectives Coach - - - Provide challenging tasks to build the skills of team members
Which of the following are typically included in a request for proposal?
Evaluation criteria Costs and payment schedule Type of contract Summary of needs and request for action Deliverable specifications Statement of work Project schedule Experience and staffing Responsibilities—vendor and customer
One of the strategies for communicating with outsourcers is to "Confirm your requirements (Strategy 3)". Which of the following are recommended steps in this strategy?
Have your outsourcer re-document your requirements Document your requirements Request a prototype
When an organization decides to outsource project work overseas, what type of training is necessary to enable a successful outsourcing relationship?
How to work with people from other countries
Which of the following are true statements about partnering?
In partnering, long-term commitments are made. In partnering, project teams consist of all participating organizations. In partnering, risk is shared which encourages innovation and continuous improvement.
Which statement is true of partnering in outsourcing project work?
Partnering requires an extensive commitment of time and energy.
Why do project managers accept negotiation as a noncompetitive process?
People on the project are allies and partners. Everyone loses if the project does not succeed. Everyone will continue to work together after the project ends.
Webber and Torti observed that instead of maintaining a clearly defined relationship with the client, project managers become part of the client organization. Match the project role on the left, with its challenge that faces these project managers, on the right.
Politician ---- Understand diverse cultures between the parent and client organization. Friend ---- Determine the important relationships to build and sustain Marketer - - - Understand the strategic objectives of the client organization Coach - - - Motivate client team members without formal authority
_____ negotiation emphasizes collaborative problem solving.
Principled
Which of the following is a false statement?
Project managers do not need to involve the customer until the project deliverables are ready for acceptance.
When selecting a contractor, the selection criteria is given in the _____
RFP or Request for Proposal
Match the advantages of establishing long-term partnerships, on the left, with the appropriate description on the right.
Reduced administrative costs - - - The costs associated with bidding in selecting a contractor are eliminated. Contract administration costs are reduced as partners become knowledgeable of their counterparts' legal concerns More efficient utilization of resources - - - Contractors have a known forecast of work, while owners are able to concentrate their workforce on core businesses and avoid the demanding swings of project support. Improved communication - - - As partners gain experience with each other, they develop a common language and perspective, which reduces misunderstanding and enhances collaboration. Improved innovation - - - The partners are able to discuss in a more open manner and share risk and rewards fairly.
What is NOT a disadvantage of outsourcing project work?
Reduced flexibility
What has traditionally been the primary motive behind outsourcing project work?
Reducing costs
Negotiation is pervasive in project management. Which of the following do project managers negotiate for?
Support and funding Priorities and commitments Staff and technical input
One simple but useful way of viewing customer satisfaction is in terms of met expectations. According to this model, customer satisfaction is a function of the extent to which perceived performance (or outcome) exceeds expectations. Mathematically this relationship can be represented as the ratio between proceed performance and expected performance. When performance exceeds expectations this ratio is _____ .
greater than 1
Dr. Adam Kolawa offers strategies for overcoming communications difficulties with off shore project partners. Which of the following is not one of the strategies he suggests?
Use a translator
Resolving a dispute by deferring to formulas established by the Financial Accounting Standards board reflects which of the four key principles of negotiation?
Use objective criteria when possible
In a cost-plus contract, the contractor is reimbursed for ____ .
direct allowable costs plus an additional fee for overhead and profit
Companies recognize that contracts can ___ continuous improvement and innovation.
discourage
For every happy customer who shares their satisfaction regarding a particular product or service with another person, a dissatisfied customer is likely to share his/her dissatisfaction with ____ other people
eight
Whenever possible, you should insist on using _____, objective criteria to settle disagreements.
external
According to the met expectations model, customer satisfaction is a function of the extent to which perceived performance (or outcome) exceeds expectations. Mathematically, this relationship can be represented as a ratio. When performance falls short of expectations this ratio is ______
less than 1