Applying Human Resource Tools to Promote the Effective Management of Project-Based Organizations: a Case Study of Development Agency of Valkeakoski Region, Ltd
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Applying Human Resource Tools to Promote the Effective Management of Project-Based Organizations: A Case Study of Development Agency of Valkeakoski Region, Ltd. Bachelor's thesis International Business Valkeakoski 2.2010 Shiran Xu BACHELOR'S THESIS International Business Valkeakoski Title Applying Human Resource Tools to Promote the Effective Management of Project-Based Organizations: A Case Study of Development Agency of Valkeakoski Region, Ltd. Author Shiran Xu Supervised by Liisa Henttonen Approved on 26.02.2010 Approved by Liisa Henttonen ABSTRACT Valkeakoksi International Business Author Shiran Xu Year 2010 Subject of Bachelor’s thesis Appling Human Resource Tools to promote the effective Management of Project-Based Organizations: A case study of Development Agency of Vakeakoski Region, Ltd. ABSTRACT Development agency of Valkeakoski region, Ltd. is mainly a public con- sulting agency, which is a temporary employment organization, and also defined as project organization. The qualification and life-cycle employ- ment of staff in project-based organization differ from regularly one. Since people play a major role in the project implementation, it is worthy to eva- luate human resource efficiency in the project work, so as to improve ef- fectiveness of project work. The mainly idea of the thesis is to investigate how does human resource and leadership plays a role in a project employment organization. Firstly, objective is to describe the field of a project organization. Secondly, the thesis aims to evaluate the life-cycle employment of the project manager and the team. Furthermore, a questionnaire will be conducted to analyze current situation of the project manager and team within the company. Fi- nally, a strategy on how to improve the development of Vaske from HR point of view will be devised. In this thesis, both theoretical and operational research is used. In the desk research, literature from course books, magazine articles, Intent research are intended to contribute to the work’s philosophy, definition, and con- cept. Special interviews were conducted during the field research, together with a series of questionnaires that aims to use specific case sample to ob- tain better understanding. Implied by the research, it is understand that employed life cycle in project-based organization definitely vary from ordinary organization structure. Project-based organization has two essential elements: project manager and the project team. Project manager, especially plays a vital role in the project implementation. To promote management of project-based organization, it is recommended to self-appraise of three crucial issues, such as to organize effective team- work, to promote communication efficiency, to conduct proper leadership strategy. Keywords project-based organization, project manager, project team, teamwork, communication, network, leadership, human resource Pages 64 pp. + appendices 4 pp. CONTENTS 1 INTRODUCTION ....................................................................................................... 1 1.1 Background information ..................................................................................... 1 1.2 Introduction to commissioning organization ...................................................... 1 1.3 Purpose and objectives of the thesis .................................................................... 3 1.4 The basis of the thesis ......................................................................................... 4 1.5 The research method ........................................................................................... 5 2 PROJECT-BASED ORGANIZATION ...................................................................... 6 2.1 Definition of a project ......................................................................................... 6 2.2 Definition of a project-based organization .......................................................... 6 2.3 Types of project based organizations .................................................................. 6 2.3.1 The matrix project organization .............................................................. 6 2.3.2 A pure project organization ..................................................................... 7 2.3.3 A line project organization ...................................................................... 8 2.3.4 A stuff line project organization .............................................................. 9 2.4 Comparison with conventional organization....................................................... 9 2.4.1 Advantages ............................................................................................ 10 2.4.2 Disadvantages ........................................................................................ 11 2.5 Project manager ................................................................................................. 11 2.5.1 Definition ............................................................................................... 11 2.5.2 Nature role of project manager .............................................................. 11 2.5.3 Required working attitudes and skills ................................................... 12 2.6 Project team ....................................................................................................... 16 2.6.1 Definition ............................................................................................... 16 2.6.2 Life-cycle of teams ................................................................................ 17 2.6.3 Team role ............................................................................................... 20 2.7 Future prospect of project-based organization .................................................. 21 3 LIFE-CYCLE OF THE PROJECT MANAGER AND THE TEAM........................ 21 3.1 Teamwork.......................................................................................................... 21 3.1.1 Team orientation .................................................................................... 21 3.1.2 Effectiveness of teamwork .................................................................... 23 3.1.3 Working culture ..................................................................................... 25 3.2 Communication and networking ....................................................................... 26 3.2.1 Communication system ......................................................................... 26 3.2.2 Communication within the team ........................................................... 27 3.2.3 Meeting as a communication tool in project work ................................ 27 3.3 Leadership ......................................................................................................... 28 3.3.1 Leadership style ..................................................................................... 29 3.3.2 Leading the team ................................................................................... 30 3.3.3 motivation .............................................................................................. 31 3.3.4 Leadership in project work .................................................................... 31 3.3.5 Culture influence on leadership ............................................................. 32 4 ANALYSIS OF VASKE’S ACTUAL SITUATION ................................................ 33 4.1 Project organization structure............................................................................ 33 4.2 Networking ........................................................................................................ 34 4.3 Bureaucracy ....................................................................................................... 36 4.4 case project analysis .......................................................................................... 37 4.4.1 description of case project ..................................................................... 37 4.4.2 Project team ........................................................................................... 37 4.4.3 Productivity of the project team ............................................................ 38 4.4.4 Issues of managing the team .................................................................. 39 4.4.5 Culture implications .............................................................................. 39 4.4.6 Vaske’s organization culture ................................................................. 40 5 QUESTIONNAIRE ANALYSIS .............................................................................. 40 5.1 Method to research ............................................................................................ 40 5.2 Reliability of the resource and information....................................................... 41 5.3 Questionnaire analysis....................................................................................... 41 6 SUGGESTIONS AND CONCLUSION ................................................................... 59 6.1 Suggestions........................................................................................................ 59 6.2 Conclusion ......................................................................................................... 61 APPENDIX 1 Sample of questionnaire feedback Applying Human Resource Tools to Promote the Effectiveness Management of Project-Based Organizations: A