3 International Projects Project Management 6e.International ProjectsTypes of ProjectsDomesticOverseasForeignGlobalIssues in Managing International ProjectsEnvironmental factors affecting projectsGlobal expansion considerationsChallenges of working in foreign culturesSelection and training of overseas managers
4 Environmental Factors Project Management 6e.Environmental FactorsLegal/PoliticalPolitical stabilityNational and local laws and regulationsGovernment, state and local bureaucraciesGovernment interference or supportGovernment corruptionSecurityInternational terrorismNational and local securityLocal crime and kidnappingRisk management
5 Environmental Factors (cont’d) Project Management 6e.Environmental Factors (cont’d)GeographyClimate and seasonal differencesNatural obstaclesEconomicGross domestic product (GDP)Protectionist strategies and policiesBalance of paymentsCurrency convertibility and exchange ratesInflation ratesLocal labor force: supply, educational and skill levels
6 Environmental Factors (cont’d) Project Management 6e.Environmental Factors (cont’d)InfrastructureTelecommunication networksTransportation systemsPower distribution gridsUnique local technologiesEducational systemsCultureCustoms and social standardsValues and philosophiesLanguageMulticultural environments
7 Cross-Cultural Considerations: A Closer Look Project Management 6e.Cross-Cultural Considerations: A Closer LookCultureA system of shared norms, beliefs, values, and customs that bind people together, creating shared meaning and a unique identity.Cultural Differences:Geographic regionsEthnic or religious groupsLanguageEconomic
8 Cross-Cultural Considerations… (cont’d) Project Management 6e.Cross-Cultural Considerations… (cont’d)Ethnocentric PerspectiveThe tendency to believe that one’s cultural values and ways of doing things are superior to all othersWanting to conduct business only on your terms and stereotyping other countries.Ignoring the “people factor” in other cultures by putting work ahead of building relationships.Adjustments Required:Relativity of time and punctualityCulture-related ethical differencesPersonal and professional relationshipsAttitudes toward work and life
9 The Hofstede Cultural Dimensions Framework Project Management 6e.The Hofstede Cultural Dimensions FrameworkIndividualism versus collectivismIdentifies whether a culture holds individuals or the group responsible for each member’s welfare.Power distanceDescribes degree to which a culture accepts status and power differences among its members.Uncertainty avoidanceIdentifies a culture’s willingness to accept uncertainty and ambiguity about the future.Masculinity-femininityDescribes the degree to which the culture emphasizes competitive and achievement-oriented behavior or displays concerns for relationships.
10 Working in Different Cultures Project Management 6e.Working in Different CulturesRelying on Local IntermediariesTranslatorsSocial connectionsExpeditorsCultural advisors and guidesCulture ShockThe natural psychological disorientation that people suffer when they move into a different culture.A breakdown in a person’s selective perception and effective interpretation system induced by foreign stimuli and the inability to function effectively in a strange land.
11 Working in Different Cultures (cont’d) Project Management 6e.Working in Different Cultures (cont’d)Coping with Culture ShockCreate “stability zones” that closely create homeModify expectations and behaviorRedefine priorities and develop realistic expectationsFocus on most important tasks and relish small accomplishmentsUse project work as a bridge until adjusted to the new environmentEngage in regular physical exercise programs, practice meditation and relaxation exercises, and keep a journal
12 Selection and Training for International Projects Project Management 6e.Selection and Training for International ProjectsSelection FactorsWork experience with cultures other than one’s ownPrevious overseas travelGood physical and emotional healthKnowledge of a host nation’s languageRecent immigration background or heritageAbility to adapt and function in the new culture
13 Selection and Training for International Projects (cont’d) Project Management 6e.Selection and Training for International Projects (cont’d)Areas for Training to Increase Understanding of a Foreign Culture:ReligionDress codesEducation systemHolidays—national and religiousDaily eating patternsFamily lifeBusiness protocolsSocial etiquetteEqual opportunity
14 Selection and Training for International Projects (cont’d) Project Management 6e.Selection and Training for International Projects (cont’d)Learning Approaches to Cultural FluencyThe “information-giving” approach—the learning of information or skills from a lecture-type orientation.The “affective approach”—the learning of information/skills that raise the affective responses on the part of the trainee and result in cultural insights.The “behavioral/experiential” approach—a variant of the affective approach technique that provides the trainee with realistic simulations or scenarios.