
An illustration of the concepts of local maximum and global maximum. Some enterprise decision making entails choosing strategies that optimize specific organizational attributes, such as the cost of production, or revenue. Optimization, generically, is the search for a maximum with respect to certain parameters. A local maximum is a maximum in a localized region, which is not the maximum of a more global region. Viewed as "summits" local maxima are false, in the sense that they do not represent the "best" value obtainable over the entire parameter space. Discovering that a strategy has led the enterprise to a local, but not a global, optimization, can be just as debilitating as the false summits described here.
Image courtesy SoSailAway.
We began an exploration of the value of the false summit metaphor last time, focusing on reducing the probability of surprise in projects by gathering intelligence in advance. That does help, but because false summit surprises can still happen, we can increase our chances of success by preparing for them. Here are some tips for preparing project teams and management teams — and the attitudes of the people involved — so that when false summits occur, we can better take them in stride.
- Accept that mountains have false summits
- When you set out to climb a mountain, you'll be better prepared for false summits if you accept the fact that some mountains have false summits — and maybe this one does. When you look ahead and see what looks like the summit, remember that it might not be.
- Because projects are inherently risky, it's unreasonable to expect or demand rigid adherence to budgets and schedules. Reserves are essential, because there are always — always — unknowns. Budgeting and scheduling as if there were no unknowns is naïve, if not unethical or criminal. This applies at every time scale. For example, allocating resources across multiple projects with the assumption that everything will be completed as projected is unrealistic. But scheduling meetings back-to-back all day long is also unrealistic. We need slack at all time scales to enable us to deal with the unexpected.
- Manage expectations
- In climbing, assuming that no false summits remain, or that "it's easy from this point on," exposes the party to the risk of disappointment. Climbing is an adventure. The unexpected can always arrive.
- In project work, where it can be unusual for even a single day to go as planned, we nonetheless cling to the attitude that when the unexpected does happen, something has "gone wrong." Usually, nothing has gone wrong. That's just the way things are when we On the mountain, when undesirable
situations develop, we must have
the psychological reserves necessary
to cope effectivelywork on projects. The occurrence of unexpected events is not in itself an indicator of substandard performance on anyone's part. Rather, it is an indicator that the organization is engaged in project work, and typically, nothing more. On the other hand, stretching resources — or over-committing the organization — so severely that people are unable to deal with unexpected events is an indicator of substandard performance. - Manage stress
- On the mountain, when undesirable situations develop, we must have the psychological reserves necessary to cope effectively. Pushing people to their limits exposes the entire party to unmanageable risks.
- When project team members, leaders, managers, or sponsors experience elevated levels of stress day after day, for months or years, one disappointment can be enough to trigger behaviors that threaten not only the success of the project, but also the organization's ability to execute future projects. Manage stress. Operating too lean and too mean is too dumb.
Well, we've reached the end of this discussion — the summit. Really. First in this series Top
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Related articles
More articles on Project Management:
The Cheapest Way to Run a Project Is with Enough Resources
- Cost reduction is so common that nearly every project plan today should include budget and schedule
for several rounds of reductions. Whenever we cut costs, we risk cutting too much, so it pays to ask,
"If we do cut too much, what are the consequences?"
Dispersity Adversity
- Geographically and culturally dispersed project teams are increasingly common, as we become more travel-averse
and more bedazzled by communication technology. But people really do work better together face-to-face.
Here are some tips for managing dispersed teams.
Project Improvisation Fundamentals
- Project plans are useful — to a point. Every plan I've ever seen eventually has problems when
it contacts reality. At that point, we replan or improvise. But improvisation is an art form. Here's
Part I of a set of tips for mastering project improvisation.
How We Waste Time: II
- We're all pretty good at wasting time. We're also fairly certain we know when we're doing it. But we're
much better at it than we know. Here's Part II of a little catalog of time wasters, emphasizing those
that are outside — or mostly outside — our awareness.
Should We Do This?
- Answering the question, "Should we do this?" is among the more difficult decisions organizational
leaders must make. Weinberger's Six Tests provide a framework for making these decisions. Careful application
of the framework can prevent disasters.
See also Project Management and Personal, Team, and Organizational Effectiveness for more related articles.
Forthcoming issues of Point Lookout
Coming May 25: On Reporting Noncompliance
- Regulating compliance with process design in organizations requires monitoring process usage. Typically, process monitors depend on reports by process participants. In blame-oriented cultures, fear of retribution can limit what these reports contain. Available here and by RSS on May 25.
And on June 1: Mental Accounting and Technical Debt
- In many organizations, technical debt has resisted efforts to control it. We've made important technical advances, but full control might require applying some results of the behavioral economics community, including a concept they call mental accounting. Available here and by RSS on June 1.
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