Conflict management with lessons from history by Mark Kozak-Holland, 18 Oct 2016, APM Thames Valley and Wessex branch

© 2016 Mark Kozak-HollandConflict Management in Projects www.lessons-from-history.com
Conflict management
within Projects
October 18th, 2016
Mark Kozak-Holland
PhD, PMP, IPMA-D,
Cert.APM
Taken from research into
organizational design and
project management
“Lessons From the Past that Assist the Projects of
Today to Shape the World of Tomorrow”
http://learn.genxus.com/

© 2016 Mark Kozak-Holland
Table of contents
1. Conflict management within projects
2. Historical and contemporary project case studies
3. Effective strategies to
– reduce the destructive side and
– enhance the constructive side
4. Summary
2 Conflict Management in Projects www.lessons-from-history.com

Definitions of conflict management - (APM)
 The process of identifying and
addressing differences that, if left
unresolved, could affect objectives.
 2.1.2 Conflict management
– Conflict can be defined as different
objectives and attitudes between two or
more parties.
– Conflict management is the process of
identifying and addressing differences
that, if left unresolved, could affect
objectives.

Definitions of conflict
1. One party perceives that its
interests are opposed or
affected by another party
2. Perceived difference
between two parties
3. Benefit or interest cannot
be achieved simultaneously
4. Each party is unique

© 2016 Mark Kozak-Holland5 Conflict Management in Projects www.lessons-from-history.com
Turning conflict management within projects into a positive
element to improve learning and effectiveness in organisations.

Root causes to conflict – it arises when
 Parties involved in any argument
perceive it as a conflict.
 There is interdependence between
the parties, which allows for
mutual influence over one another.
 Scarcity of resources, (monetary,
human, or prestige).

What triggers conflict in a project?
 Internal or external change,
cause or result of
– communication,
– emotions, values,
– organisation structure,
– workgroups diversity or
– personal experience
 Factors determining conflict
complexity are:
– the source, size,
– number of individuals or
groups involved, and
– the type of conflict

Classifications for conflict within projects as:
Interpersonal, Intergroup, Inter-organisational
 Interpersonal
 Intergroup
 Inter-organisational
Business
representa
tives
Project Stakeholders
Executive
Sponsors
DirectorsProject Managers
Managers &
Leaders
Third
parties,
Contractor
Project Teams
& Individuals
Members
(internal &
External)

Virtual projects in a changing world
 Successful project
outcomes require
effective work
interactions
 These facilitate the
transfer of
geographically
distributed
information and
knowledge

© 2016 Mark Kozak-Holland10 Conflict Management in Projects www.lessons-from-history.com
Virtual networkers may not be familiar with their geographically
distributed co-workers
 Geographical
boundary
 Cultural diversity

An approach to conflict management within projects

Conflict Management strategies for resolution include
mechanisms for managing conflict
 Formal
– negotiation,
– arbitration, or
– mediation
 Informal - behavior
or styles to deal
with conflict:
– Avoiding,
– Accommodating,
– Forcing,
– Collaborating, and
– Compromising

Table of contents
– Hoover Dam Project
– Golden Gate Bridge Project
– Florence Cathedral Duomo Project
– Transcontinental Railway Project
– Bygga Villa Project
3. Effective strategies
4. Summary

Hoover Dam world’s largest (tallest) dam seen as extremely
dangerous work – difficult geologic/topographic features
 One of the greatest engineering &
construction projects of 20th
Century
 Project size made delivery of
project impossible for 1 company
 The project team had to address
conflict between public against
private interests and state against
state benefits.

Issues from macroeconomic and companies' point of view for
strategic value creation
 Consortium puts big effort to win contract
– 8 firms/6 partners joint venture
– largest federal contract $165m ($2.3b today)
 Economical and managerial challenges
– Profitability due to uncertainty of buyers
– Dividing water/power equally - 7 Basin states
– Assigning consulting engineers to Congress
 Government relations
– Link gov’t funding private-sector expertise
– Persuade flexibility for 8 hr day to offset fines
 Frank Crowe PM
– determined to bring project in, his way

Supporting construction activities in Black Canyon was a
major challenge, located in a remote area
 Harsh
climatic
conditions
 Safety and
health issues
of workers

The project innovated both technologies and project
management practices
 Multiple bit jumbo drills – 32 holes
 Concrete bucket overhead cable way delivery
 Cable-car system – material delivery
 Cooling pipes for concrete
 High bid for rock excavation work
 Low bid for concrete placement

The project failed in managing workers relations, providing
healthcare, and an overall safety programs
 Frank Crowe (a.k.a Hurry Up)
– pushed workers on output & taking
non-negotiation stance with unions,
– attempted to maximize jobsite
productivity.
 A significant FAILURE of project
was safety and care of workers
– Workers became well compensated
with housing benefits,
– many workers died,
– carbon monoxide poisoning in
tunnels inadequate ventilation

The workers relations worsened as conditions deteriorated in
housing and basic healthcare
 Workers’ strike
(August 1931) –
– Unskilled labor paid
$4/day and minimum
wage cost was <$6/hr
– triggered by deaths of
workers’ wives &
children
– extreme heat,
sanitation in the
campsite area
 Boulder City
– Housing facilities built

Project lessons - Characteristics with highest contribution to
project success were related to CONFLICT MANAGEMENT
 Project development activities
– Feasibility study, site selection, and
conceptual design essential for satisfying
legislative requirements
 This clarified
– project mission, scope, and challenges
for all project stakeholders and
– helped overcome project issues
 Close relationship between project
participants
– Bureau of Reclamation and Six
Companies at field and executive level

Project lessons - Most important characteristics that helped
complete the project
 Ensuring design and engineering activities
– assign design review board and implement
effective change management processes
– minimize rework and delay during construction
 Establishing a clear chain of command in
owner and contractor organizations
– to adjust relationships both internally and
externally
 Supporting project by
– securing adequate annual funding and
– relevant legislative and regulatory facilities

Hoover Dam completed 2 years early & under budget despite
political, economical, technical, and organizational obstacles
 x

Summary of conflict management in project
 Negatives
– Handling of project workforce was
appalling & a significant project failure
 Positives
– Handling of project stakeholders was
perceptive and worked well
• Intergroup
• Inter-organisational

Table of contents
4. Summary

Golden Gate Bridge – world’s longest bridge considered
highly dangerous work (storms, currents, fault line)
 Started in 1935
 Much opposition
 Divers were crucial to plan
 Death toll expected in 100s

Joseph Strauss (PM) dealt with the most significant issue
(health and safety) – 19 men joined Halfway-to-Hell Club
 He invested $130,000 to improve safety
standards & equipment for his workers.
 Creates conducive environment
– Hardhats mandatory & safety net

With lives saved great support for Strauss
 Admired by
workforce and
conflict avoided
through
preventative
measures

 Positives
– Strauss invested $100,000 to improve
equipment and safety standards for his workers
– Handling of project workforce was a significant
project success
 Negatives
– None found

Table of contents
4. Summary

Florence Cathedral Duomo Project - world’s largest dome
considered highly dangerous work
 Brunelleschi realized he was
going to have a conflict with
stakeholders and had to
manage it
 Brunelleschi dispute with
stakeholders escalated with an
assigned assistant
 Brunelleschi's communication
strategy with workforce using
models closely showing and
explaining reduced conflict
 Brunelleschi managed a serious
conflict with foremen

Business pressures to complete project by finishing the dome
 Cathedral completed in
1367 and for 50 years it
was unfinished, no dome
 Aesthetically unpleasing
 Not attracting hoards of
pilgrims
 Not generating revenue
 Major blow to civic pride
 Project had stalled
creatively
 Stakeholders looking for
someone to “kick-start” &
rapidly complete project

Project Constraints – two most significant constraints were
time and scope
 Constructing at great heights off the
ground complicates project and
substantially increases scope
 Concerted effort required to
manage scope
 Whole range of issues working at
these heights,
– from safety,
– to getting the volume of material
required,
– to manoeuvring men,
– materials and equipment
– in a very confined space.
30 Meters
100 Feet
25 Meters
85 Feet
25 Meters
85 Feet

Project Constraints – a dome so high off the ground, literally
suspended in mid-air
 42 meter wide hole
in the chancel roof
 No timber could
span the diameter
 Bridge not feasible
 Scaffolding from the
ground would have
been substantial,
intricate, unstable &
even collapse under
its weight
30 Meters
100 Feet
42 Meters
130 Feet
42 Meters
130 Feet
42 Meters
130 Feet
42 Meters
130 Feet

Consensus of prominent architects
 Pier built in the center, with the dome
raised in shape of groined joint or vault
 Wood-work (scaffolding)
 Fill centre with earth mingled with coins

Brunelleschi had challenging time managing his skeptical
project sponsors and stakeholders
– 7 guilds (Wool responsible),
– Wardens of Works (Supervisory Board),
– Opera (the Governing Board)
 They lacked confidence that project
would be completed, even after he
presented his design

Brunelleschi was given the job on a trial basis, which did not
please him
 Some craftsmen & citizens complained,
that appointment was too quick
– “One man alone should not carry out the
project with an abundance of excellent
masters”
 If project fails sponsors will be blamed
for giving too much control to 1 man
 Brunelleschi given assistant on same
salary, Lorenzo Ghiberti, to restrain his
impulsiveness
 Ghiberti’s friends called him a master
equal in stature to Brunelleschi
 This infuriated Brunelleschi

Brunelleschi feigned an illness and removed himself from the
project
 Masons and master builders
were at standstill
 Brunelleschi returned and
offered Ghiberti 1 of 2 activities
1. Chain of ties to surround and
bind together the 8 sides of
dome and clamp fabric
together
OR
2. Stable scaffolding for workers

Brunelleschi built with great ingenuity work-platforms rather
than scaffoldings
 Safe octagonal work-platforms
 Team could adjust as dome grew
– “where the workforce stood on
them as securely as if they had
been on the ground”
A. Joists in put log holes in
masonry
B. Protective parapets ran on
inside edge
C. On outside shell ran framework.
D. Work-platforms against the
inside of the inner shell.
E. Supporting framework
underneath a work-platform

Ghiberti opted to complete the chain of ties, but failed to meet
expectations
 Sponsors recognized great mistake
in favoring Ghiberti
 Brunelleschi made overseer & super-
intendent of entire project for life,
 Voted allowance of 100 florins a year
for life
 Project sponsors very protective of
their interests
 Brunelleschi ran into many conflicts
 Sponsors concerned about work
sequence and delivery so they could
tightly manage it and changes

The great heights required Brunelleschi to pay attention to
health, safety, and protection of workforce
 Any accidents negatively affected morale
 As project progressed, risks increased,
so did requisite safety measures
 With work platform elevation protective
parapets were added and screening
boards to block the view
 Workers wore leather safety harnesses
 Wine consumption was restricted when
working at these heights

Why were teams so important to the project?
 Brunelleschi appointed 8 master-
builders, one for each octagon side
 He organized skilled workforce of 60
men into the 8 teams
 The worked in parallel at all 8 sides so
each side was built at the same pace
 Curving walls meant that bedding
angle of the bricks increased from zero
to sixty degrees at the oculus
 Risk - bricks too quickly laid before
mortar set would distort & topple walls
1 side
~7 men

Conflicts - industrial disputes - foremen concocted a
grievance against Brunelleschi
 They declared work
laborious & dangerous,
wanted greater payment,
although their pay was
higher than normal
 He understood their
game, cleverly
sidestepped them by
dismissing them
 He hired a workforce of
apprentices & worked
closely with them so they
quickly acquired
necessary skills

Brunelleschi taught apprentices much in one day as if they
had worked there for weeks
 The disgraced masons deprived of work, sent
mediators saying they would willingly return
 Brunelleschi kept them for many days in
suspense & reinstated them at lower wages
 In taking vengeance on Brunelleschi they
brought harm and disgrace on themselves

The height was a problem as it was greatly inconvenient for
the workforce to climb up and down
 They lost much time going for food &
drink and suffered the heat of the day
 Brunelleschi opened canteens high
up in the dome with fully equipped
kitchens so no one had to leave work
until evening

Brunelleschi had to establish clear and open communications
between him the master builders, and the workforce
 The dome’s design complexities needed
clarification so he was onsite daily, sharing
models & directing the master builders
 He had to be clear about how they should
fulfill the design and approach the project
 A high level of trust developed

 Negatives
– Brunelleschi took major risks to win the contract & took
on the project without full stakeholder support
 Positives
– He constantly managed the sponsors through project’s
life cycle and overcame their concerns
– Handling of project workforce was a significant project
success
– By constantly communicating with workforce,
stakeholders & sponsors he was able to identify and
manage potential conflict
– He removed hurdles and built confidence that the
project could be completed
– He was open to and expecting conflict

Table of contents
4. Summary

Transcontinental Railway Project - world’s longest railway –
The impossible project with challenges facing it
 Environmental
– Inhospitable terrains
– Supply chain 29,000 km
 Political
– Civil war 1861-65
 Economic
– War economy - massive inflation
– Railroad industry embryonic
– Project cost $60m
 Other similar projects
– Grand Trunk railway (1852) -“the
world’s worst commercial failure”

The scope was impacted by the build from the West and the
required supply chain
 East coast steel mills had to ship
materials
– The project had a substantial supply
chain, 18,000 mile
 Workforce East and West
– East - Civil war veteran (altruistic)
– Difficult to transfer workers West

Hell on wheels – Towns sprung up as entrepreneurs rushed in
to take advantage of the idle labor force
 East cost workforce (ex army),
Irish and European, and Freedmen
(freed from slavery)
 High death rate in these towns that
grew up on Eastern side

Very little confidence in the project as the project costs
escalated out of control as the Civil War raged
 Workers demanded their
pay before they even
performed the day’s
work.
 Out west in towns where the project was
going to provide significant benefit, workers
still demanded pay in advance.

As the project got underway the labor shortage was desperate
The project workforce was obtained from everywhere
 including some from
California which was
– thinly populated,
– had very high wages, and
– could not spare workers
due to the gold mining.
 Laborers came from New
York, and the east coast

The U.S. government initiated a scheme with the Chinese
government for a project workforce
 10,000 workers
were procured
for the project
 Incentive for
individuals
workers were
high, to travel
5000 miles.
 Paid $30/month
in gold, & with
work camps
provided they
could save $20
/month, a
substantial
amount.

The Chinese workforce had less pay but the workers proved to
be model workers
 At its peak, the workforce --
primarily Chinese on the
Central Pacific,
 Irish on the Union Pacific --
approached the size of Civil
War armies, with as many as
fifteen thousand workers on
each line.
 The Chinese workers were
punctual, willing, and well-
behaved -- sometimes
referred to as "Celestials"

Quite remarkably the project was completed eight years ahead
of schedule

 Positives
– Handling of project workforce was a
significant project success
– Chinese workforce potential source of
conflict, not overly paid but well
supported
– Turned out to be perfect worker
– Project had high cultural diversity
Chinese workforce vs Irish/European
 Negatives
– Some unethical practices by today’s
standards

Table of contents
4. Summary

Bygga Villa’s – Custom built homes Public–private partnership
(PPP) in e-government in Sweden
 Objective – develop an innovative
internet portal for private
construction industry so
– “clients can effectively plan, build,
and live in their house”.
 The PPP had 16 organizations
from academia, government
 The greatest challenge to
developing a collective
competence was due to
1. differing goals,
2. resource scarcity, and
3. interdependence of tasks

Bygga Villa’s ability to develop collective competence while
the partnership overcame this challenge through
1. co-developing a clear
project charter,
2. recruiting a project
leader with strong
knowledge broker skills,
3. conducting joint
problem-solving tasks
sketching the final portal
4. ensuring understanding
of the “big picture”
through continuous open
and balanced
communication.

 Positives
– Project success was due to members’ ability to embrace conflict & turn it
into creative conflict through dialogue & ensuring high level project
satisfaction by partnership’s individual members.
– What to look for in project proposals by national and EU funding agencies?

Is conflict bad? Many people and organizations view conflict
as a negative, or something to be avoided
 If the management of conflict is not effective, it can totally
disrupt the entire project.
 BUT many people and organizations view conflict as a
negative, or something to be avoided.
 Yet conflict, differences, or disagreements are a natural
result of people working together.
 Also, without conflict, teams can become complacent and
not perform at optimum levels.

Table of contents
4. Summary

Conflict management vs conflict resolution

Studies show the presence of two types of conflict in any
group setting and its role in decision-making

Conflict can be termed constructive or destructive
(functional or dysfunctional)

Differentiating destructive from constructive conflict
 Constructive conflicts exists
when…
– People change and grow personally
from the conflict
 Destructive conflicts exists
when…
– No decision is reached and problem
still exists

Why is constructive conflict useful?
List of constructive conflict benefits to consider:
1. Increased participation in decision making
2. Better information
3. Better choices
4. Reduces anxiety
5. Encourages collaboration
6. Increases understanding

Table of contents
4. Summary

Embracing Conflict management – going through a
retrospective
 Four distinct, but interrelated
phases:
1. identification
2. resolution
3. enactment
4. evaluation

Use a step-by-step process in projects
1. Set up a process where the goal for all parties is to resolve
2. Make sure all parties want to resolve it
3. All parties must accept the conflict as a mutual problem- not win/lose
4. Explore the reasons for the conflict
5. Generate solution options
6. Involved parties must agree on which solution is most appropriate
7. Implement the selected solution
8. Evaluate the success/failure of the solution
9. Celebrate or go back to #6

Effective PREVENTATIVE strategies to deal with conflict - at
project start prevent or minimize it
 Develop ground rules with behaviors
that project will allow or prohibit.
 Develop a team agreement on how the
group will resolve conflict and
prepares the team with a process.
 Develop training in conflict resolution
or communication skills for a team
(attend training as a team).
 Focus on project goals as conflict
arises from goal mis-alignment.
 Take precautionary steps to ensure
constructive outcomes.
 Show bright side to encourage facing
& resolving conflict in a managed way.

Effective REACTIVE strategies to deal with conflict – during
project
 Acting - Exercising an
authoritarian approach, simply
tell the group what the
resolution will be.
 Adjusting - Splitting differences,
exchanging concessions, or give
and take to reach a middle
ground.
 Accommodating - Sacrificing
self concerns in yielding to
another person.
 Avoiding - Withdrawing,
sidestepping or postponing the
issue.

Summary with
4. Summary

© 2016 Mark Kozak-Holland82 The Future of the Business World & PM www.lessons-from-history.com
Questions
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Email: mark.kozak-holl@sympatico.ca

Sources
 McQuivey, J., (2011), Innovating The Adjacent Possible,
Forrester
 Cameron, B., (2016), The CIO Mandate: Engaging Customers
With Business Technology Vision: The Business
Technology Agenda Playbook, Forrester
 Gazala, M,. (2015), Winning In The Age Of The Customer,
Forrester

© 2016 Mark Kozak-Holland84 Innovation in Projects www.lessons-from-history.com
Innovation in projects elearning course
 This course is unique as
it examines how to take a
proactive approach to
incorporating innovation
into projects
 LFH eLearning is an
ambitious project to
create a series of
contemporary
management courses
based on a collection of
historical case studies.
 http://learn.genxus.com/

Lessons-from-History is a series of publications for today’s
business world, established in 2001.
 Our authors are from the business world
but, with a deep passion for history.
 The authors are highly experienced and
working project managers, consultants,
business analysts.
 This combination of business and history
provides a deeper understanding of
challenges faced by today's business.
85 Lessons From History Overview www.lessons-from-history.com
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relevant ideas that have been forgotten or overlooked over
the years.
B. Build on the past and not ignore it, to provide a baseline
for evaluating extent of change over time, and how “novel”
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C. Critically revisit the past to understand our contemporary
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© 2016 Mark Kozak-Holland88 Lessons From History Overview www.lessons-from-history.com
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Conflict management with lessons from history by Mark Kozak-Holland, 18 Oct 2016, APM Thames Valley and Wessex branch

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Conflict management with lessons from history by Mark Kozak-Holland, 18 Oct 2016, APM Thames Valley and Wessex branch