Negotiation (for Resources)
Negotiation for resources is the process by which the project manager discusses and agrees upon resource assignments with functional managers, other project teams, or external organizations to obtain the needed team members and physical resources.
Explanation
In most organizational structures, particularly matrix organizations, the project manager does not have direct authority over resources. Instead, resources must be negotiated with functional managers who control staff assignments across projects. The project manager must clearly articulate the project needs, demonstrate why specific resources are important, and work toward agreements that satisfy both the project and the functional organization.\n\nEffective negotiation requires understanding the priorities of the other party, presenting compelling arguments for resource needs, and being willing to explore creative alternatives. The project manager may need to negotiate on timing (when a resource is available), duration (how long the resource is assigned), skill level (senior versus junior team members), or percentage of allocation (full-time versus part-time assignment).\n\nNegotiation is a tool and technique of the Acquire Resources process. The project manager ability to negotiate effectively can significantly impact the project success. Poor negotiation may result in less experienced team members, delayed resource availability, or insufficient allocation, all of which affect schedule and quality.
Key Points
- •Critical skill in matrix and functional organizations
- •Project manager negotiates with functional managers and other project teams
- •Covers timing, duration, skill level, and allocation percentage
- •Tool and technique of the Acquire Resources process
Exam Tip
In a matrix organization, negotiation is the primary way project managers acquire resources. Know that functional managers typically have the final say on resource assignment.
Frequently Asked Questions
Related Topics
Acquire Resources
Acquire Resources is the process of obtaining team members, facilities, equipment, materials, supplies, and other resources necessary to complete project work.
Pre-Assignment
Pre-assignment is the practice of assigning specific team members to a project before resource planning is complete, often because they were promised in the project charter, proposal, or contract.
Test your knowledge
Practice scenario-based questions on this topic with detailed explanations.