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Managing Networks in Project-Based Organisations

The first book demonstrating how to apply the principles of social network analysis to managing complex projects This groundbreaking book gets project managers and students up to speed on state-of-the-art applications of social network analysis (SNA) for observing, analysing, and managing complex projects. Written by an expert at the leading edge of the SNA project management movement, it clearly demonstrates how the principles of social network analysis can be used to provide a smarter, more efficient, holistic approach to managing complex projects. Project managers, especially those tasked with managing large, complex construction and engineering projects, traditionally have relied upon analysis and decision-making based upon hierarchical structures and vaguely defined project systems, much of which is borrowed from historic scientific management approaches. However, it has become apparent that a more sophisticated methodology is required for observing project systems and managing relationships with today s more knowledgeable and demanding clients. Social network analysis (SNA) provides just such an approach. Unfortunately, existing books on social network analysis are written primarily for sociologists and mathematicians, with little or no regard for the needs of project managers until now. The first and only book of its kind, Managing Networks in Project-Based Organisations: Offers a framework and a fully-developed approach to applying SNA theory and methodologies to large, complex projectsDescribes highly effective strategies and techniques for managing the iterative and transient relationships between network-defining actor roles involved in the delivery of complex projectsUses numerous real-world examples and case studies of successful applications of SNA to large-scale construction and engineering projects around the worldDraws on its author s decades of experience managing complex projects for demanding clients, as well as his extensive academic research in Project Management Managing Networks in Project-Based Organisations is an important working resource for project management professionals and consultants, especially those serving the construction and engineering industries. It is also an excellent text/reference for postgraduate students of project management and supply chain management, as well as academic researchers of project management.
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Table of Contents

List of Figures xi About the Author xiii Preface xv Acknowledgements xvii 1 Introduction 1 Structure of the Book 2 2 Theoretical Context 11 Management Context 11 Project Transitions 12 Project Management as Practice 12 Systems Theory and Networks 13 Transient Relationships 13 Dyadic Contractual Relationships and Structure 14 Permanent and Temporary Organising 15 Structure and Networks 16 Information Classification 16 Nodes and Linkages 17 Summary 18 3 Networks and Projects 21 Definition 22 Origins and History of the Concept of Social Networks and their Analysis 22 Problems with Projects 24 Actor Role Classification and Ritualistic Behaviour 25 Routines 26 Are Networks a Response to Uncertainty in Projects? 27 Temporary Project Systems and their Replication 28 Beyond the `Iron Triangle' 28 Why Networks? 30 Individuals and Firms in Networks 32 Problems Associated with the Use of SNA in Project Research 32 Summary 33 4 Why Networks? 35 Definition 36 Why Choose Social Network Analysis? 36 Problems Associated with the Use of SNA in Project Research 37 Concepts and Terminology 38 Defining the Population for the Study 46 What is a Network? 46 Actor Characteristics 47 Network Characteristics 55 Some Final Thoughts 56 Conclusion 58 5 Self ]Organising Networks in Projects 61 Introduction 61 What Do Project Clients Want? 63 Dangerous Assumptions 66 Implications if these Assumptions are Incorrect 69 Networks and Uncertainty 70 Does it Matter How We Conceptualise the Project? 70 Procurement Through Markets and Hierarchies; Project Design and Delivery Through Networks 71 Summary and Conclusions 73 6 Game Theory and Networks 77 Introduction 77 To Begin: Some History 78 What is a Game? 79 Key Assumptions 83 Benefits of Applying Game Theory to Project Networks 85 Other Considerations in Applying Game Theory to Project Networks 85 Choices About Actions and Co ]Players 86 Nash Equilibrium 88 Anti ]Coordination Behaviour: `Hawk-Dove' and `Chicken' Games 89 Game Theory and Information Exchange Network Formation 89 Game Theory and the Five Dangerous Assumptions in Projects 90 Summary and Conclusions 93 7 Network Roles and Personality Types 95 Network Roles 98 Personality Traits 104 Humour and Behaviour in Networks 104 Profiling an Ideal Project Network Actor 109 Specific Personality Traits 109 Network Roles and Personality Traits 113 Summary 115 8 Network Enabling 117 What Do We Mean by Network Enabling? 117 Trust 119 Empathy 120 Reciprocity, Favours and Psychological Contracts 123 Implications of Violation of Psychological Contracts 124 Generosity 126 Characteristics of Individuals that are Destructive for Networks 128 Narcissism 129 Egotism 130 Summary 131 9 Project Networks and Building Information Modelling 133 BIM Origins 133 Building Information Modelling and Information Management 134 Information Management and Organisation Structure 135 BIM as an Artefact 135 Self ]Organising Networks in the Context of Design 137 BIM and Networks: A Research Agenda 139 10 Introduction to the Case Studies 143 Technical Overview of Case Studies 143 Research Funding 146 Summary 146 11 Case Study 1: Communities in Self ]Organising Project Networks 147 Data Collection 148 Data Analysis 150 Findings 150 Communities in Self ]Organising Project Networks 152 Summary 154 12 Case Study 2: Dysfunctional Prominence in Self ]Organising Project Networks 157 Data Collection 157 Data Analysis 158 Actor Prominence Measures 158 Organisational Networks 160 Summary 162 13 Case Study 3: Costing Networks 165 Conceptual Framework 165 Network Costs 166 Data Analysis 167 Summary 168 14 Summary and Conclusions 171 Introduction 171 Chapter Summaries 171 Conclusions 177 Appendix 181 References 183 Index 207

About the Author

Stephen Pryke, FRICS, MSc, PhD, PGCertEd, DipS, MCMI, is Professor of Supply Chain and Project Networks, Course Director of the MSc Project and Enterprise Management and Director of Postgraduate Teaching and Learning at University College London. He is also the Director of the Centre for Organisational Network Analysis (CONA@UCL). He has provided project management training and consultancy to a number of major European companies and has been a consultant with Durland Consulting in Chicago, a management consultant specialising in social network analysis.

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