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7/27/2019 Unit 7_People Management in Projects
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Course: PROJECT MANAGEMENT
Unit 7
People Management in Projects
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Contents
7.1 Learning Objectives .......................................................................................................................... 3
7.2 Leadership Introduction................................................................................................................ 3
7.3 Teamwork....................................................................................................................................... 14
7.4 Conflict Management..................................................................................................................... 17
7.5 Summary......................................................................................................................................... 22
7.6 References ...................................................................................................................................... 23
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7.1 Learning ObjectivesBy the end of this unit, you should be able to:
Revisit the concept of leadership Know the various leadership styles in managing a project Explain the importance of team work Specify how team motivation and synergy are important in a project Know how to motivate teams for attaining success in projects Understand the origin of conflicts and their resolution
7.2 LeadershipIntroductionExample of good leader for a project
Here is an example of a good leader for a project. Mr. Sreedharan was appointed asProject manager and Managing Director of DMRCL (Delhi Metro Rail Corporation
Limited) in 1997. He had a reputation for completing major projects on time and within
the budget.
The following is an extract from Delhi Metro Project: Indian Project Managers Show
the Way by India Brand Equity Foundation.
The real marvel of the Delhi Metro project is the way in which a foreign dependent
project has been localized and re-engineered. This was done by roping in Indian
companies as consortium members at each stage of the project.
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When E. Sreedharan took over as the managing director of Delhi Metro Rail
Corporation in November 1997, two doubts were raised about the subway rail venture:was it worth the effort? Equally important, would it finish on time?
After all, putting together a subway railway system in a crowded metropolitan city isnt
easy. A large number of utilities like water pipes, sewerage lines, telephone and electric
cables need to be relocated to facilitate the construction work; people have to be
relocated In fact, Indias first metro project in the eastern city of Kolkata took more
than 25 years to complete.
Quotes on Leadership
Leadership and learning are indispensable to each other John. F.Kennedy in a speech
in Dallas, USA, in 1963.
Leadership is not about bullying people, it is about getting people to respect you with
your leadership skills and qualities Dwight D. Eisenhower
In the words of Jack Welch, previous CEO of General Electric, Dont manage! Lead!
7.2.1 Leaders and associated characteristics
A leader is one who sets the direction and exerts influence on the people to follow that
direction.
The key characteristics of leaders are discussed below:
Characteristic DescriptionMaintaining
cohesiveness within
the team
A leader ensures that the team is cohesive (i.e. stays as one
unit) even in a crisis and when the members of the team
become less optimistic.
Focusing on the big
picture
A leader needs to focus on the big picture and the value that
would be provided by the project. The focus has to be on the
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vision and meeting the objectives of the project rather than
getting into micro-level details.Remaining calm A leader has to be calm so that thinking is rational and right
decisions are made thus ensuring that the end objectives are
successfully achieved.
Being the first to
sacrifice
When there is a problem, a leader is always there to share the
pain and even take more of it. For example, when a project is
behind schedule and needs working on the week-end, the
leader should also be available and not just leave it to the team
to workMotivating the team There could be challenges in a project and team members
could lose hope. A leader needs to provide motivation to the
team and explain how the end result could still be achieved.
While remaining positive, a leader also needs to ensure that
team members have a positive frame of mind.
Creating small wins A leader needs to look at achieving wins, even if they are
small. The leader needs to look at interim victories, since it
helps to develop self-esteem and a positive frame of mind
within the team
Having a sense of
humor
It is important for a leader to identify opportunities for fun and
also maintain a sense of good humor
7.2.2 Need for Leadership in projects
A leader visualizes something that is required to be done, knows that it could be made tohappen, and gets started. The following figure depicts the types of problems being
faced in a project management scenario.
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F igure 7.1Problems frequently occurring in Project Management
(Source: James Taylor, A Survival Guide for Project Managers,AMACOM Div American
Management Association, 2006)
Hence, it is important to have the right leadership to ensure a successful outcome for a
project.
The growing significance of project leadership is depicted in the figure below:
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F igure 7.2Growing significance of Project leadership skills
(Source: Larry Richman, Improving Your Project Management Skills, AMACOM DivAmerican Management Association, 2006)
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7.2.3 Important project leadership skills
Some of the most important leadership skills for managing a project are discussed below:(Source: Bennis, W., "Learning to Lead," 1997, Addison-Wesley,MA.)
Skill Description
Vision Ability to see the big picture (i.e., visualizing the overall
objectives and a macro-level view of the project)
Energetic Possessing the ability to drive others forward
Being a role model Set an example for others to follow and lead from the front
Delegation Ability to delegate tasks to the right people
Positive attitude Maintaining a positive frame of mind even during crisis and
problems and ensuring that the team members do not give up hope
A good communicator Having the ability to clearly communicate on the goals,
performance, expectations, etc. with people at all levels
Integrity Commitment to ethical practices and demonstrating it
Enthusiastic Having a can-do attitude and expressing commitment to the goals
with optimism
Empathy Having concern for the team and acknowledging their feelings
Competence Competent in leading others and capable of inspiring, enabling and
encouraging others
Calm under pressure Maintaining a calm and composed approach under pressure and
taking problems / stressful events as opportunities to influence their
outcome
Team building skills Ability to hold the team together in a common purpose towards the
right objective.
Problem solving skills Having excellent skills in solving problems
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7.2.4 Leadership Styles
The style of leadership (i.e., the way in which leaders function) could be different. It is
important to know the various leadership styles so that it helps in becoming a more
effective leader.
The various leadership styles include the following:
Autocratic leadership Democratic leadership (Participative leadership) Charismatic leadership Bureaucratic leadership Task-oriented leadership People-oriented leadership Laissez-faire leadership Servant leadership Transactional leadership Transformational leadership
We will now see the differences regarding the various leadership styles from project
management perspective.
The following table depicts the leadership style, its relevance from a project perspective,
and limitations:
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Leadership Style Relevance from a project
perspective
Limitations
Autocratic leadership
Leaders have total power over their
teams or staff. Decisions are usually
made without consulting the team
When quick decisions arerequired in the project (if
decisions are not quickly
taken, the project could
collapse)
When no inputs areneeded from the team
When no inputs areneeded from the team
When agreement from theteam is not required for a
successful outcome
Autocratic leadership
results in employee
demotivation and
resentment, high levels
of absenteeism, and
attrition
Democratic leadership
(Participative leadership)
In democratic style of leadership,
team members also contribute to
decision-making. The leader takes
the inputs from the team before
taking a final decision. This provides
motivation and job satisfaction to
team members and also facilitates
skill development.
A democratic style of
leadership is more relevant
when it is important to have
the agreement of the team,
and also when quality is of
higher priority than
productivity or the speed of
task completion
This style of leadership
could result in a longer
time for decision-
making especially when
a large number of people
are involved in decision-
making and when there
are widely different
ideas/suggestions
Charismatic leadership
These types of leaders provide This is more appropriate when Since these leaders have
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inspiration and lots of enthusiasm in
their teams, and have the energy in
driving things forward. These
leaders also have a lot of
responsibility and need to
demonstrate commitment in the
long-term.
the followers believe that
success is directly linked to
the presence and charisma of
the leader
a greater belief in
themselves than in their
teams, it is risky. When
the leader leaves, it
could cause the project
to collapse
Bureaucratic leadership
Leaders practicing this style of
leadership stick to the rules and
ensure that the staff also follow the
procedures.
It is more appropriate when
the project involves high
safety risks (e.g. operating
with machines, poisonous
substances) or when a large
quantum of money is
involved.
Bureaucratic leadership
style could cause
problems due to lack of
flexibility. There could
also be delays due to
rigidly following rules
without considering the
current scenario.
Task-oriented leadership
Leaders who are task-oriented focus
to a large extent on ensuring that the
work is done. They could exhibit
elements of autocratic style of
leadership.
It is more appropriate when
tasks in the project somehow
need to be completed and also
when the focus is on putting
structures in place and
needing very close planning,organizing and monitoring.
The leaders practicing
this style of leadership
do not focus on the
welfare of the team, and
focus only on tasks. This
could result in issuessimilar to that faced in
an autocratic style of
leadership such as
difficulty in retaining
and motivating
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employees.
People-oriented leadership
This style of leadership is directly
opposite to that of task-oriented
leadership. It is also a participative
style of leadership. The leaders focus
on team development and in
providing support. It encourages
teamwork and enhances motivationof members in the team. Leaders
generally use a task-oriented and
people-oriented style of leadership.
This style of leadership is
directly opposite to that of
task-oriented leadership. It is
also a participative style of
leadership. The leaders focus
on team development and in
providing support. It
encourages teamwork and
enhances motivation of
members in the team. Leaders
generally use a task-oriented
and people-oriented style of
leadership.
This style of leadership
could result in a longer
time for decision-
making, especially
when a large number of
people are involved in
decision-making and
when there are widely
different ideas /
suggestions
Laissez-faire leadership
In this style of leadership, the leader
does not interfere and team members
work on their own. If there is
monitoring from the leader regarding
what is being achieved and provides
feedback to the team regularly, this
style could be effective. It might
also occur when the managers do not
apply adequate control.
This style of leadership is
more effective when the team
members are very
experienced, capable, and
self-motivated, and also when
close monitoring / supervision
is not required.
This approach could fail
in situations where the
team is inexperienced
and not capable and also
when the managers get
distracted often.
Servant leadership
A servant leader is one who is
usually not formally recognized as
This style of leadership is
applicable when there is no
specified leader and one
This approach could fail
in a highly competitive
scenario since servant
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one. It is a case of a person at any
level in the organization leading to
meet the needs of the team. It is also
a type of participative leadership
since the entire team generally gets
involved in the decision making
process.
person achieves power based
on values and ideals. For
example, a project to be
undertaken from a social
responsibility perspective
could have one person
functioning as a leader
considering his/her values and
ideals.
leaders could be left
behind by leaders who
utilize other styles of
leadership.
Transactional leadership
In this style of leadership, the team
members agree to obey the leader
completely. The leader has the right
to award punishment to the team
members if the work does not meet
the pre-defined standard.
This style of leadership is
applicable when the focus is o
routine tasks in the short-
term and it is critical to
complete these tasks within
the limited timeframe.
In a transactional
leadership approach,
team members may not
have much job
satisfaction. Further, it
is not suitable to be
applied in the case of
knowledge-based work
or tasks involving
creativity.
Transformational leadership
True leaders exhibit this leadership
style. They provide inspiration to
teams consistently with a shared
vision of the future. The enthusiasm
of the leader gets usually passed
onto the team members.
Transformational leaders are real
motivators and are trusted.
This style of leadership is
applicable when it is required
to take up new initiatives that
add value, and also in projects
that require a lot of creativity
and innovation.
It may not be very much
relevant when routine
and unskilled tasks are
to be performed.
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Which is the right leadership approach in a project scenario?
The transformational leadership approach is usually effective, but `there is no specific
leadership formula that would be suitable for all scenarios. Sometimes, a combination of
leadership styles is used. A project manager needs to consider the following key aspects
while selecting an appropriate leadership approach:
Organizational environment (stable or dynamically changing, conservative, etc.). Skill levels and experience of the team Nature of work (creative work, routine work, etc.) His/her preferred or natural style
7.3 TeamworkTeamwork involves performing an activity or a group of inter-related activities by more
than one person towards achievement of common objectives.
The concept of teamwork is not new and has been in existence since the days of ancientcivilization. However, it has gained significance as a management concept in recent
times.
Importance of Teamwork
Teamwork is very important in a project scenario. Let us look at the example of the Tata
Nano project.
[Source: Regional ReportIndiaFebruary 2008, Published in PM World TodayFeb 2008 (Vol X, Issue II) ]
Girish Wagh, the leader of the Tata Motors engineers who built the Nano, repeatedly
used two words to describe how they helped turn Ratan Tatas dream into reality, Team
work... team work ... team work,.
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The team work could be considered as a combination of innovation in design anddevelopment, component engineering, and the skilful management of vendors who are
supplying components for the Nano.
7.3.1 Concept of synergy in a team environment
The concept of synergy could be better understood through effective teamwork.
According to the concept of synergy, the performance of the combined parts is much
higher than the sum of the individual parts. In other words, the output from an effectiveteam would be much higher than the sum of outputs of the individual members within the
team.
Let us understand the significance of synergy through the following illustration:
Mathematical principles 1 +1 = 2
Concept of synergy 1 + 1 > 2
In other words, the output of two individuals is much more when they operate as
members within an effective team, rather than working in an isolated mode.
7.3.2 Building effective teams
It is required to build effective teams since it is one of the key influencing factors in the
successful outcome of a project.
If a group of individuals need to function as a single cohesive unit, this transformation
needs building of effective teams. It is important to consider the following while building
effective teams:
o Deploy the right leadership style during each stage of team buildingo Understand the styles of the various members of the team
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o Know how to leverage the style of each team member at the appropriate timefor resolving problems
Reference from PMBoK
According to PMBok (Project Management Body of Knowledge), the Human Resource
Management knowledge area has four processes.
The following diagram depicts the overall Project Human Resources Managementknowledge area:
Figure 7.3: Project Human Resource Management (PMBoK)
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We would focus on two of them which are related to the topic under discussion, namely:
Develop Project team
Manage Project teamDevelop Project Team
This is the process of improving the competencies, team interaction, and the overall team
environment to enhance project performance
Team building activities are encouraged during this process. Some aspects that facilitate
team building include having an orientation meeting, facilitating communication betweenmembers, and engaging members in games designed to build a bonding between team
members.
When there is a conflict, it must be resolved. It is required to handle potential problems
between resources early before they go out of control.
Manage Project Team
The process of tracking team member performance, providing feedback, resolving issues, and
managing changes to optimize project performance
According to this process, the project manager has to ensure that teamwork exists
between all team members. The project manager also needs to ensure the productivity
and efficiency of the team while performing tasks.
7.4 Conflict ManagementIt is necessary for project managers to deal with conflict. Some conflicts are easy to
manage while others could be quite challenging to handle.
Let us look at a real-life example for a totally challenging conflict.
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The Tata Nano project was initially declared at Singur. Subsequently a conflict arose
related to land acquisition. Some farmers refused to provide land on account of theirlivelihood. The conflict increased with a demand for return of 400 acres of land from the
acquired land for the farmers who were not willing to provide their land for the project.
Dialogues and discussions did not help and the only resolution strategy was withdrawal,
wherein the Tata Nano plant had to be shifted to Sanand in Gujarat, where the remaining
portion of the work was completed.
Why does conflict arise?
Conflict could arise when a group of individuals come together as a team. It occurs in
relationships of any kind. This is because there could be differences in terms of authority,
values, and attitudes that give rise to conflict. The conflict could arise from internal
sources or could be due to external factors.
Conflict management A business scenario
Let us consider a business scenario wherein a new product has to be rolled out within the
next two months. A few team members in the project have been late with deliverables.
Further team meetings degraded to sessions of argument and shouting. The features and
functions required in the project have also got missed. Further, team members were not
attending meetings or providing a report on the status. It was also known that some of
them were working against the interests of the team.
Positive Conflict Vs Negative Conflict
Conflict could lead to a positive or negative outcome. Let us look at the differences
between them.
Positive conflict Negative conflict
Has a tendency to strengthen the team after Could destroy a team
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resolution of the conflict
Forces people to identify causes and look
for solutions; Leads to new ideas and
approaches to organizational processes
Focus may shift away from the issue on
hand
Facilitates bringing out important issues Important issues may get sidelined due to
insignificant issues taking a priority
Provides opportunities for people to
enhance their communication and
interpersonal skills
People begin to feel defeated; Increase in
distrust and suspicion leading to a war-like
environment
A positive conflict could lead to learning,
creativity, and growth
A negative conflict creates an environment
of fear
7.4.1 Sources of conflict in a project
The following are some of the sources of conflict in a project scenario:1. Communication-related conflict2. Project structure-related conflict3. Conflict due to personal factors
Communication-related conflict
Conflict could arise due to communication-related aspects that include:
Poor listening skills Inadequate sharing of information Interpretational differences Differences in perception Ignoring nonverbal communication (e.g. body language, signs, etc.)
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Project structure-related conflict
Conflict could also arise due to Project-structure related aspects such as:
Size of the project Extent of participation within the team Systems for reward and recognition Extent of interdependence within the team
Conflict due to personal factors
Conflict could arise due to personal factors such as:
Individual goals of team members Self-esteem of members within the team Values and needs of individuals within the team
7.4.2 Need for managing conflict
Conflicts cannot be avoided as it could occur whenever a group of people are involved.
This is true in a project scenario as well. Hence, it is important to manage conflicts.
If conflict is managed adequately, it could provide benefits to the team. The negative
consequences of a conflict could be avoided by dealing with disputes in a quick and open
manner. If conflict is to be dealt with successfully, managers and team members must
understand its unpredictability and its impact on individuals and the team as a whole. If
conflicts are inappropriately handled, it could lead to dissatisfaction and demotivation
within the team.
7.4.3 Conflict management approaches
The following are some of the approaches for managing conflicts:
Providing training on communication and interpersonal skills
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Emphasis on appreciation of the value of differences
Increased volume of effective team communication, upward and downward Team meetings and status review meetings in greater frequency to minimize any
inconsistency in the way the project goals and priorities have been perceived
Focus on human relations and teambuilding skills Mutual respect for each other Willingness to resolve disagreements
7.4.4. Techniques for managing conflicts within teams
The four aspects to be considered while managing conflicts within teams are:
[Source: Donald Weiss, president of Self-Management Communication, Inc.,, 1997]
1. Listen2. Acknowledge3. Respond4. Resolve the remaining differencesWe will now briefly discuss each of the above principles for managing conflicts:
1. ListenThis does not mean just hearing to what others say but means listening
effectively. It is important to focus on the words spoken and also on the nonverbal
gestures.
2. AcknowledgeThis does not mean agreeing with what is said by others but recognizing their
point of view. Examples of these include statements such as We may need to
explore your point of view further, If I have understood you right, you are
indicating that we need to do it this way.
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3. RespondIt is not sufficient to just listen and acknowledge. We also need to provide our
response. It is required to provide constructive criticism, or if we are disagreeing
with what has been said, we should readily provide an alternative.
4. Resolution of remaining differencesThe overall problem has to be looked at from an understanding of the causes of
disagreement. It would also be required to decompose the problem into multiple
manageable chunks. This enables generating alternative solutions to the defined
problem.
7.5 SummaryA leader is one who sets the direction and exerts influence on the people to follow
that direction. Some of the key characteristics of leadership include aspects such
as focusing on the big picture. There are various leadership styles which include
Autocratic leadership, Democratic leadership, Charismatic leadership,
Bureaucratic leadership, Task-oriented leadership, People-oriented leadership,
laissez-faire oriented leadership, Servant leadership, Transactional leadership and
Transformational leadership. There is no specific leadership formula that would
be suitable for all scenarios. Sometimes, a combination of leadership styles is
used.
Teamwork involves performing an activity or a group of inter-related activities by
more than one person towards achievement of common objectives. The concept of
synergy could be better understood through effective teamwork.
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Conflict could arise when a group of individuals come together as a team. It
occurs in relationships of any kind. Hence, conflict management is also applicablewhile managing projects. The source of conflicts could be either internal or
external. Conflicts are classified as positive and negative. It could be categorized
as Communication-related, Project structure-related, and conflict related to
personal factors. Conflicts within a team could be managed by applying the 4
principles, namely, Listen, Acknowledge, Respond, and Resolution of the
remaining differences.
7.6 ReferencesRecommended books
Sl.
No.
Text books / Reference books Year Publisher Edition
1 Project Management for Business,
Engineering & Technology by Nicholas,
Steyn 2008
Elsevieer
(Butterworth) 3rd edition
2 Project Management - A Managerial
Approach by Meredith, Mantel Jr. 2007 Wiley India 5th edition
3 Projects - Planning, Analysis, Section,
Financing, Implementation & Review by
Prasanna Chandra 2006 CFM-TMH 6th edition
Articles / Information for additional reading
1. Six ways to give proper project leadership -http://www.projectsmart.co.uk/six-ways-to-give-proper-project-leadership.html
2. From Manager to Leader -http://management.about.com/od/leadership/a/FromMgr2Ldr05.htm
http://www.projectsmart.co.uk/six-ways-to-give-proper-project-leadership.htmlhttp://management.about.com/od/leadership/a/FromMgr2Ldr05.htmhttp://management.about.com/od/leadership/a/FromMgr2Ldr05.htmhttp://www.projectsmart.co.uk/six-ways-to-give-proper-project-leadership.html7/27/2019 Unit 7_People Management in Projects
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3. How to motivate your project team -http://www.helium.com/items/1057583-how-to-motivate-your-project-team
4. Teamwork - http://www.effectivemeetings.com/teams/teamwork/teamwork.asp5. Managing conflicts in projects
http://www.expresscomputeronline.com/20071126/technologylife02.shtml
6. Conflict resolutionhttp://www.mindtools.com/pages/article/newLDR_81.htm
Web References
1. http://www.projectsmart.co.uk/articles.html2. http://project-management.bestmanagementarticles.com/3. http://www.gantthead.com/4. http://www.pmi.org/5. http://www.maxwideman.com/6. http://www.allpm.com/Videos
1. Jack Welch on leadership and management - http://work911.com/leadership-development/video/welch.htm
2. Leadership characteristics - http://work911.com/leadership-development/video/leaderscharacteristics.htm
3. Difference between project leadership and project management -http://www.youtube.com
4. Conflict managementwww.youtube.com5. Teamwork - www.youtube.com6. Simple truthsThe power of teamwork Movie - www.powerofteamworkmovie.com
http://www.helium.com/items/1057583-how-to-motivate-your-project-teamhttp://www.effectivemeetings.com/teams/teamwork/teamwork.asphttp://www.expresscomputeronline.com/20071126/technologylife02.shtmlhttp://www.mindtools.com/pages/article/newLDR_81.htmhttp://www.projectsmart.co.uk/articles.htmlhttp://project-management.bestmanagementarticles.com/http://www.gantthead.com/http://www.pmi.org/http://www.maxwideman.com/http://www.allpm.com/http://work911.com/leadership-development/video/welch.htmhttp://work911.com/leadership-development/video/welch.htmhttp://work911.com/leadership-development/video/leaderscharacteristics.htmhttp://work911.com/leadership-development/video/leaderscharacteristics.htmhttp://www.youtube.com/http://www.youtube.com/http://www.youtube.com/http://www.powerofteamworkmovie.com/http://www.powerofteamworkmovie.com/http://www.youtube.com/http://www.youtube.com/http://www.youtube.com/http://work911.com/leadership-development/video/leaderscharacteristics.htmhttp://work911.com/leadership-development/video/leaderscharacteristics.htmhttp://work911.com/leadership-development/video/welch.htmhttp://work911.com/leadership-development/video/welch.htmhttp://www.allpm.com/http://www.maxwideman.com/http://www.pmi.org/http://www.gantthead.com/http://project-management.bestmanagementarticles.com/http://www.projectsmart.co.uk/articles.htmlhttp://www.mindtools.com/pages/article/newLDR_81.htmhttp://www.expresscomputeronline.com/20071126/technologylife02.shtmlhttp://www.effectivemeetings.com/teams/teamwork/teamwork.asphttp://www.helium.com/items/1057583-how-to-motivate-your-project-team