Book Review: Second Order Project Management

100 April 2013 ■ Project Management Journal ■ DOI: 10.1002/pmj A lthough there are many books written on leading and managing complex projects, Michael Cavanagh, in Second Order Project Management, has illustrated this complex topic remarkably well by the plentiful use of anecdotes and aphorisms, making this book a useful read. It is a short book on the art as opposed to the science of project management. While “First Order” project management is about having compliance and competent management to lead projects, “Second Order” project management requires a high level of organizational capability to handle increased project complexity. In the first chapter, which discusses project complexity, Cavanagh introduces readers to the concept of the “project complexity measure,” which is a 2 2 matrix composed of project-specific complexity drivers and the organizational capability to deal with them. In the second chapter, Cavanagh advocates that managing complex projects requires a trade-off between doing the right thing and doing things right. Second Order project management requires improvisational or “adhocratic” leadership with emphasis on outcome and not just requirements management. In the next chapter, Cavanagh elaborates on leadership for managing uncertain and complex projects, specifying it as second order leadership that has a well-defined and clearly articulated vision for the stakeholders’ community. This second order leader is not hesitant to deal with risks and is not afraid to change his or her approach to deliver the desired outcomes. In the fourth chapter, Cavanagh transitions into the topic of outcomes management that focuses on results that matter. Outcomes need to be continuously revalidated against both the current business situation and future strategy. It is cheapest to fix errors in the early stages of the project; desirable outcomes may change over time, and it is necessary to compare immediate benefits to the final outcome on a regular basis. Cavanagh advocates the use of a “systems anatomy” approach that is derived from recognized methods such as soft systems methodology, viable system model, and integration definition family. This approach identifies interactions between components to discover what happens when they are combined as compared to classical analysis that attempts to understand how things work by decomposing them. Cavanagh contends, in Chapter 6, that experiential learning is required for Second Order project management, and irrespective of the size of the project, there are three types of learning: (1) enquiry, (2) execution, and (3) reflection and analysis, all of which take place within each phase and over the life of projects. This makes it necessary to have “lessons learned” at the end of each project phase that have senior management’s commitment and participation, rather than just lip service. There is a detailed discussion in Chapter 7 on contracting and the need for trust to have appropriate contracts. Inappropriate contracting is likely to happen in situations where financial aspects become more important than the fit-for-purpose. Contracts must establish a framework for success that includes scope and goals, responsibilities, performance indicators, and rights and remedies. An appropriate contract is underpinned by attributes like imagination, creativity, flexibility, mutual language, and unconditional trust, and is focused on successful outcomes. In the last chapter, Cavanagh illustrates the importance of having a vision for the project that must be shared with project team members so they may relate their work to the vision. The second key element is a values statement that defines the principles that underpin decisions taken during the life of the project. The third element is the relationship map, and the fourth is establishing the readiness to terminate the project if it is far off-track. Cavanagh emphasizes the importance of planning and weighing alternatives before making decisions as the key to leading uncertain and complex projects. This book offers valuable insight on the art of managing projects and makes a significant contribution to the modern project management practitioner.