CODON - Code On Your World…. (By: Behnam Adib)

A project manager is responsible for coordinating across functional lines to specify objectives, define start, stop and dates, define cost and fund limitations, consume resources to achieve the best performance and provide multifunctional coordination to deliver the project successfully.

In project management these elements are essentials to achieve success:

1- Consider Cost - A PM should consider the project to be under/ equal to the estimated cost

2- Provide an optimized Schedule - How to run the steps and tasks by when and who

3- Achieve the best Performance - Meet the proper satisfied performance

4- Provide Customer Acceptance - Satisfy customers based on the requirements and deliverables

How can one notice early when a conversation is going to become unsafe? ‘The art of looking’ is the key to ensure a good and healthy conversation. Noticing the moment early when a conversation becomes crucial is the main factor which differentiates between the good and the best. When you notice that moment quickly and soon enough, you have opportunity to make it safe and control before it becomes too late.

When there is a feeling of absolutely safety, people often talk and share more without any fear.

What to look and how to control is not simple or an easy skill. It needs practice and patience. The best people in conversations have a model for understanding the process and know how to control and make the conversations safe. Like old experienced mountain climbers who know how to make the climbing safe by looking and observing the path and the process before it becomes too late, the best people in conversation also know how to look and observe the reactions, body languages and control the conversation by making it safe and bringing the mutual respect.

Never let a healthy conversation turns into a power game debate. Dialogues are always better and more sustainable than debates. In a debate one person wins and others lose. People shoot at others’ ideas. However in a dialogue, people do not impose ideas rather explore the mutual purpose.

When safety is gone or respect is missing, people stop sharing and start attacking each other with cheap shots.  The dialogue-smart people recognize when the safety or respect is in danger early and respond quickly and skillfully.

The further we move toward silence or violence the harder it is to move back to the productive dialogue.

• Marketing

1. Why Marketing is important?
2. What does End of Life of product or Exit Strategy mean?
3. What is Multi Level Marketing?
4. Name the steps of the Marketing Strategy Process. (Describe each step; discuss the importance of each step)
5. What is Marketing Mix?
6. In “Consumer Analysis” what does “Annuity” mean?
7. What is the “Product Life Cycle” PLC? Is it possible to be effective in all part of PLC?
8. What SWOT stands for? Why is it important to perform SWOT analysis?
9. What is the “4Ps” in marketing?
10. Name two different type of pricing and describe what do they mean.
11. What does “Break-even” mean?
12. What “Pragmatic Marketing Framework” is all about and why it is important?
13. What is the “Gate Process” in product management and what are the steps?

• Product Life Cycle

1. Describe what “Stage Gate” process is all about. Describe what Funnel effect is.
2. Explain the Product Life Cycle (PLC), the curves, the slopes of each step.
3. Describe what does the “Barrier to Entry” in marketing mean? Give an example. Describe its effect in PLC.
4. What is the “Technology Adoption Life-cycle” (with the chasm)? Explain each segment (buyers) and their role in product life-cycle. What chasm and crossing the chasm mean in this model?
5. Name 2 or 3 benefits of implementing the pragmatic marketing and full life cycle model.
6. What the “Leadership Continuity” is? Name couple of advantages? (Stovepipe analogy)

• Economics

1. What is the difference between “Micro and Macro” economics? Why do we study macro economics? How do you apply macro economics to your team project?
2. Explain what “Brand Reputation” means in business and marketing.
3. What are the rules of “Supply and Demand”?
4. What does “Opportunity Cost” mean? Give an example.
5. What is the “Marginal Cost”?
6. Name couple of things that are not price elastic in demand? Explain.
7. What does “Commodity” mean in economics?
8. Describe the competitive market structure and explain each structure. Which one do you think is going to be the structure in your company (project)?
9. Explain “Marginal Utility” give an example. (This was not discussed in the class tonight but would like you to discuss by reading the book…)
10. Define:
    1. Gross National Product, versus Gross Domestic Product.
    2. What is Net National Product?
    3. What is Consumer Price Index? What is the intention of measuring this index?
    4. What is Producer Price Index?
11. Give some explanation about the “Money Policy Tools” (Change Discount Rate, Trade Gov. Securities, Changing Reserve Requirements)
12. Describe the two most common economic models (Keynesian, Monetarist). Describe the differences and details. (Explain what “Multiplier Effect” is and belong to what model)

•  Optional questions (extra credits - Open discussion):

1. Assume you are an investor, what would you expect to see in a project/ team to convince yourself for investing and taking a risk in that project?
2. In your project, what are your short and long term strategies based on your established mission and vision statements? These strategies should attract investors even more.
3. In your project, what would you do to prevent any competitor (at least for a period of time) to provide the same service or product by just copying your idea?
4. How would you plan in your future company (team project) to drive innovation?
5. What do you personally think of the most top reasons behind the success of a company such as “Facebook” among other rivals in such a short period of time? List top most reasons and explain each one as why they play such an important role. How can you incorporate these strategies in your project?
6. List phrases which should be avoided in your final presentation. (example, “We Think”, “We Hope”)

• Finance

1. Name the major US business structures and describe each one. Pros/ cons for each structure.
2. What is the idea behind the “TIME VALUE OF MONEY”? And why is it an important concept? How can it apply to your company that you are building?
3. Describe the term “Risk and Returns” in an investment process. What do you think the risk level in your project is (low/ high/ medium) and why?
4. What does the “Efficient Market Hypothesis” mean?
5. There are two major types that people can invest money, Bond and Stock market. Describe each and explain what is/ are the main difference(s)?
6. What does “Maturity” mean in a bond?
7. Describe at least two of the following stock types:
   1. Growth Stocks
   2. Blue – Chip Stocks
   3. Cyclical Stocks
   4. Penny Stocks
8. What is the “Price Earnings Ratio” (PE) ? How the PE ratio can apply into an investment decision?
9. What does “Capital Rationing” mean (in financial management)?
10. Payback and Net Present Value concepts are very important. Describe them and explain which method would you use to evaluate payback of the investment in your idea (project)?
11. Describe two “business financing decisions” for raising money. Which decision would you choose for raising money for your company (project)
12. What does IPO means?

• Legal

1. What is a Consensual Agreement?
2. What a “Contract” needs at least to include/ have? (Items that a contact should have)
3. What is the Uniform Commercial Code? UCC
4. Explain the following Intellectual Properties:
5. Patents (How long do they last?)
6. Copyrights
7. Trademarks
8. Trade Secrets
9. Elaborate on what “Security Law” means in corporate law.
10. Can an employer fire an employee for an irrelevant reason that is not even part of a protected status? How can that be avoided? Give an example.
11. Describe what “Zoning” means in real state law.
12. In Product Liability: describe what “Inadequate Warning” is?
13. What “Arbitration” and “Mediation” mean? What is the difference between them?
14. Explain the main three general major legal systems and describe each one.
15. Explain what Treaties and International Contract are?
16. What are the main differences between Criminal and Civil law? Can one be innocent of a crime but still be guilty of the tort?
17. Describe what antitrust law is.

• Business Strategy

1. Describe what “Business Strategy” is and what is the main difference between that and SWOT analysis?
2. What does ‘Seven S Model’ in Business Strategy tell you? Describe in one or two brief sentences.
3. Describe two items of the ‘Seven S Model’ and explain how they can be useful in your project/ business.
4. Explain two styles of integration, i.e. Horizontal and Vertical. Which style would you choose in the future for expanding your product/ project? (If applicable)
5. What are the three main levels of strategy? Explain a bit about each one.
6. What is the “Porter’s Five Forces” theory in industry analysis? Why is it important? Describe one or two items in which can be useful in building business strategy for your business/ project. What do/ will you do to mitigate the threat of those items? (You also have a group exercise on this item)

• Organization Behavior

1. Creating & leading the start-up business (Guest Speaker)
2. In business organization/ structure is this true or false: Resource should be allocated centrally. Describe why?
3. Describe the difference between “Market Pull” and “Technology Push” strategy in business and marketing.
4. Explain what Online Text Analytics Systems are and why businesses should use them?
5. Describe the analogy behind P.E.S.T analysis (Political, Economic, Society and Technology) in starting a new business.
6. What is the difference between “Invention” and “Innovation”? Which one is more important?
7. What is the difference between “Intrapreneurship” and “Entrepreneurship”?
8. Describe who the “Venture Capital” groups are? - Explain what a VC partner demands usually for investing in your business?

• Organization Behavior

1. Describe the APCFB model in organization behavior. (How people deal w/ events). why is this model important?
2. Describe three styles of management: Theory X, Y and Z - Which style of management would you choose for your company/ project?
3. Explain what type A and B are in individual behavior. What are the pros and cons.
4. Describe the V-C-M model. For your start-up which part (V,C or M) you put more time and effort in the beginning? How that changes over the time (explain)
5. Organization and Accounting
6. Describe the V-C-M model. For your start-up which part (V,C or M) do you put more time and effort in the beginning? How the model changes over the time (explain)
7. Name and describe at least two different “Organizational” models? Which kind of organization are you set yourself to start in your project? If it is possibly going to change over the time, what will it change to?
8. Name and describe at least three different types of “Systems for Allocations”.
9. What does GAAP mean? Please explain. Where does it apply?
10. Explain a “Balance Sheet”? What is the usage and benefits?
11. What is an “Income Statement”? Explain, what is the usage and benefits?
12. What is a “Cash-Flow” Statement? Explain, what is the usage and benefits?
13. Explain the main difference between “Cash Basis” and “Accrual” accounting?
14. What does “Accounting Conservation” term mean?
15. Define “Objectivity” in accounting (transaction)
16. Explain what does “Going Concern” mean?
17. Describe at least two of the following Financial Ratios: (Liquidity Ratio, Financial Leverage, Long term debt to capital, Assets turnover per period, Return on Sale / Equity)
18. What is the difference between “Activity Based Costing” and “Cost Based Accounting”?
19. Describe what does “Cooking the Books” mean and give at least three examples.

• Business Ethics and Morals

1. In general, what does it mean to have an ethical business?
2. Why do unethical organizations unable to sustain themselves over the long time?
3. Explain what “Code of Conduct” means?
4. Name two different “violations” from the top seven violations list conducted as a study in 1999 National Business Ethics Study which was discussed in the class by the guest speaker. Can you give an example for each one?
5. Name 2 or 3 different violations which are not on the above list and concern you personally. Give an example for each.
6. Give an example for “Conflicts of Interests” in business ethics.
7. List few kinds of things that you need to consider as ethical engineering behavior in an organization.
8. What do you foresee as important ethics in your business/ project and how do you plan to enforce a right discipline to be able to sustain your company in a long term?
9. What is Sarbanes Oxley/ SOX compliance?

• Operations, Starting a start-up business

Guest Speaker:

1. Are Entrepreneurs born or made?
2. Why most of start-ups usually fail?
3. Does the best Technology always win? Give an example
4. Elaborate the phrase “Cash is King” in business
5. In the class the guest speaker described the strategy of “Try to stay focused and just say no” Please explain.

Operations:

1. Explain the Elton Mayo’s theory about productivity of workers. What do you take from his idea?
2. Describe what Douglas McGregor’s theory X, Y and Z-Kaizen jobs are?
3. Name and explain 2 of 5 items in “Problem Solving Framework”.
4. Explain what Job-Shop is? (In different method)
5. Name three different type of Inventory. When and why would one business hold inventory?
6. What does CRM mean? How does it work? What is the benefits of implementing of CRM technology?

• Collaborations

1. In one sentence, why collaboration is important in a business?
2. What has been changed in past few years that makes collaboration even more important?
3. What does “No Anonymity” mean in a work environment?
4. How teams develop? (The Bruce Tuckman’s model) Elaborate each element of this model. If a team member leaves, what happens to the process?
5. Describe the “Cash Flow Analysis”. What is it used for?

Logit (Π) = Log [ Π/( 1-Π) ] = α + ßx

Π = Probability of Success

Π = e^{(α + ßx)}  /(1+ e ^{(α + ßx)} )

Odds= Π/( 1-Π)

If ß>0, Π increases when X increases.

Odds Ratio: e ^ß =For every single unit increases in X, the odds is multiplied by e ^ß

In logistic regression: H₀ : ß=0  i.e. explanatory variable X does not have significant effect on Π or probability of success.

Test statistic z = b/s.e _b

s.e _b = Standard Error for ß

Alternatively we may use Wald Statistic – Wald = z²

Test for choosing between the Complete or the Reduced models:

Your null hypothesis should be: H_0: ß_2,3,….=0  i.e. All the additional parameters in complete model are not significant.

The alternative hypothesis: At least one extra parameter is significant.

L= Likelihood function

Your Chi-Square distribution will be the result of: [-2Log(L_R)] - [-2Log(L_C)]

(L_C=Likelihood for Complete model)

(L_R=Likelihood for Reduced model)

DF (degrees of freedom) =The number of extra parameters in complete model

Get the P-Value from P-value calculator for Chi-Squared distribution

If P value is low, reject the H₀

Following list shows different methods for selecting the best fitted model:

1-Backward Elimination

Include all potential predictors, if all predictors make significant in partial contribution then stop; if not remove the one with the smallest contribution (i.e. larger P value); repeat this till all have significant effect and then choose this model

2-Forward Selection

Start with zero, add one predictor at the time, the one that increases R² the most, continue until no additional variable would make a significant change in R².

3-Stepwise Regression

Start w/ zero, add one predictor at the time like forward selection but every time look at the variables that are added and drop the one that no longer makes a significant contribution.

Notes:

All these methods may not result the same model.

Do not drop a main effect if it is part of interaction term that added to the model.

Cp – A statistic number, comparing how a model is fit. In a full model, Cp= number of P (parameters)

Smaller value in Cp indicates better fit.

Residuals: Observed Y value – Predicted Y value

If you divide the Residuals by Standard Deviation you will have ‘Studentized Residuals’.

DFFITS: Gives the effect on the fit by removing that observation from the dataset. This has the same sign as residuals

DFBETAS: Gives the effect om model’s parameter estimates, when an observation is removed.

Hat Value: It is similar to DFFITS - the greater of Hat value the greater of the effect. the Hat value decreases as n increases.

WSS: AKA Error Sum of Squares
BSS: AKA Treatment
Total Sum of Squares: WSS + BSS

N=Total Sample Size

g= Number of groups

To choose your statistical model:

1-Use simple linear regression model if: both response variable and explanatory variables are quantitative.

2-Use  ANOVA or ANalysis Of VAriance if: response variable y is quantitative but explanatory variables are qualitative.

3-Use ANCOVA or ANalysis of COVAriance if: response variable y is quantitative and explanatory variables are the mixture of qualitative and quantitative.

4-Use Logistic regression if: response variable y is binary like Yes or No.

Crucial Conversation

Anytime you find yourself stuck in any area in your organization or a relationship, it is because you are not holding a crucial conversation or not holding it well.

A conversation can become crucial from a casual state if at least one of the following ingredients is involved:

• High stakes
• Strong emotions
• Apposing opinions

Experience shows that when the stakes are high and we are required to do our best at those moments, instead we use our brain the least. The blood stream that needs to be going to our brain instead rushes to other organs like muscles, heart and skin and leave our brain with less fuel and so we may act like a monkey.  I guess this is a flaw in our design. Actually this is the fight response in the animal model. Animals need more blood in their extremities to act quickly and strongly during the confrontations. That is the reason we most act like an idiot in certain high stake moments. When it matters the most, we do our worse.

Why would a well-trained professional and a decent human being witnesses discrepancies or a flaw in a process and say nothing about it? The reason is very simple, because folks cannot handle crucial conversations well.

·         Giving the boss feedback about how his/ her poor performance or action makes you feel unsafe and undervalued, talking to your coworker about how his/her comments about something were offensive to you, or confronting your roommate or talking to your spouse who is highly super sensitive or inconsiderate, challenging a leader who isn’t walking his talk and many more circumstances are the examples of crucial conversations.

To summarize, if you see hypocrisy, you most likely are facing a “crucial conversation” moment. If you do not hold a conversation about it or do not hold it well, you are defiantly stuck with the situation.

In the best innovative organizations, titles and ranks in making decisions do not really matter. Ideas that maybe threatening some people’s turf can be discussed openly without challenging or violating relationships. Basically anyone can challenge any idea and the goal is that the best idea wins. That crucial conversation is in the heart of these dialogues.

What about your organizations or your relationships? Are you good in all areas or some areas are poor and not perfect. I am sure you agree that there are moments in day to day life that you feel like you need to speak up but holding it back.

The difference between productive organizations is about how folks can handle risky and high stake conversations. The worse around influence run away from the conversations, the good, sugarcoat and express their opinions but not well or complete. The best, handle the conversation with utmost control and respect and get the results without damaging the relationship.

In the worse relationships, people either hit and run or become silent and work around each other. In the good relationship they identify the problems and seek help and hope to resolve the issue. In the best relationship, they get the results without damaging the respect.

Pool of Shared Meaning

Now we know what the crucial conversations are and why they are very important. Our objective is to make a good dialog. When it matters the most, the best people find a way to identify and get all the meaning and pull them to the common shared pool. That makes our shared motivation to be effective.

These are the seven main principals:

Start with heart: Getting your heart right first is the key to identify and clarify what you want, what is the motive or purpose of the conversation? Most of the times folks are drunk with the adrenaline and blind by emotions and forget about the main important concept and reason behind their conversations.  You should “Focus on yourself” and do not assume stories about others. You have to find a way to ask yourself this question: “What is my role here?” - Your number one priority in your conversation should be to focus on “What you really want?” You have to ask this question over and over from yourself during the crucial conversation. You have to make sure your main motive or purpose is not getting faded out by other non sense motivations such as” I should win, want to show them my power” or “I want to knock down this person to show my power” , “To look good in front of others” and etc.

When you recognize yourself or the other moving to silence or violence mode, you need to step back and evaluate your main motive. Stay focused. You have to tell yourself that this is not a physical threat but it is just a complex social conversation.

Answer these questions:

• What do I really want here? What do I really want for me and you?
• What do I really want for the relationship?

Remember to refuse the sucker’s choice, it is to choose between two bad alternatives.  Should I win or let you win? Should I be silent or should I violently attack? The smart person refuses to choose either. You have to ask this question all the time:”Is it possible for both of us to win?” Never get trapped by the sucker’s choice within your mind. Common sucker’s choices are: Should I be controlled or let you control me” – Should I take all the blame or put it all on you? If we change the “OR” in these statements to “AND”, we can free ourselves from the emotional moments.

Learn to look: One of the main differences between good and best is that the best see more; they have a hidden leash for themselves and can jerk the leash on themselves very fast before the conversation gets out of their hand.

 Make it safe: Make sure to provide a safe atmosphere for all parties in the conversation.

 Master my Stories: learning techniques for overcoming the emotions and impact with the strongest influence.

State my Path: How to say things that may be very offensive in a way to make the other person less defensive.

Explore the other’s path – What do you do when others are in silence or violence mode?

 Move to action: At the end you need to draw productive results.

 _________________________________________________________________________________________

References:

Crucial Conversation – Joseph Grenny – Vital Smarts

• (1) Global test for independence: Means if any Xi’s are having any relationship with response variable. 
  • Assumptions:
    • 1-The Sample is selected randomly
    • 2-For all the xi’s combination, y has normal distribution
    • 3-For all the xi’s combination, y has constant variance
  • Establish the Null Hypothesis
    • All the ß’s = 0 i.e. ß₁, ß₂… ß_k = 0
    • H_a = ß is not 0  At least one explanatory variables is associated with y controlling for others 
  • Establishing the test statistics (F test) – F (Fisher) distribution is a skewed to the right
    • F= (R²/k) / (1-R²) /[n-(k+1)]
    • R²= Coefficient of multiple determination
  • P-Value is the upper tail probability above the observed F-value for an F distribution with the two degrees of freedom terms K and n-(k+1)
  • And conclude the P-value based on your confidence level.

NOTE: F Distribution: If a statistic has a T-Distribution with DF=d, then the squared of that statistics has a F-Distribution with DF1=1 and DF2=d

• (2) Test for partial independence: Means if a partial independent Xi is having any relationship with response variable while controlling other variables.
  • Assumptions:
    • 1-The Sample is selected randomly
    • 2-For all the xi’s combination, y has normal distribution
    • 3-For all the xi’s combination, y has constant variance
  • Establish the Null Hypothesis
    • ß_i = 0
    • H_a = ß_i is not 0  - There is evidence that there is association between xi and response variable.
  • Establishing the test statistics
    • t = b_i/ð^{^}_bi
    • Which b_i is the partial slope estimate and ð^{^}_bi is the standard error of the partial slope estimate
  • P-Value has a T distribution with  DF = n-(k+1) –> Use the T-Value with half the error probability in each tail.
  • And conclude the P-value based on your confidence level.

NOTE1: When Multicollinearity exists all of the individual partial effects may have large P-values. This implies that each xi may uniquely explain small variation in y but collectively explain the large part in variation.

NOTE2: Confidence interval is almost the same as simple linear regression.

• (3) Test for interaction: Means if a partial independent Xi is having an interaction effect to the response variable –> y = α + ß₁x₁+  ß₂x₂+ ß₃ x₁x₂
  • Assumptions:
    • 1-The Sample is selected randomly
    • 2-For all the xi’s combination, y has normal distribution
    • 3-For all the xi’s combination, y has constant variance
  • Establish the Null Hypothesis
    • ß₃ = 0 – that is : that the interaction is not present
    • H_a = ß₃ is not 0  - There is evidence that there is association between interaction and response variable.
  • Establishing the test statistics
    • t = b₃/ð^{^}_b3
    • Which b₃ is the partial slope estimate for interaction term and ð^{^}_b3 is the standard error of the partial slope estimate for interaction term
  • P-Value has a T distribution with  DF = n-(k+1) –> Use the T-Value with half the error probability in each tail.
  • And conclude the P-value based on your confidence level.

• (4)  Test to compare the complete model and reduced model:
  • • Complete Model: y = α + ß₁x₁+  ß₂x₂+…..+ ß_k x_k
    • Reduced Model:  y = α + ß₁x₁+  ß₂x₂+…..+ ß_g x_g
    • Where g<k
  • Assumptions:
    • 1-The Sample is selected randomly
    • 2-For all the xi’s combination, y has normal distribution
    • 3-For all the xi’s combination, y has constant variance
  • Establish the Null Hypothesis
    • ß_g+1 = 0 = ß_g+2 = 0 = ….ß_k = 0 that is : that extra partial variables are not useful. Means we can use reduced model.
    • H_a => at least one ß_i is not 0 where g<i<=k - There is evidence that there is association between at least one extra variable and y.
  • Establishing the test statistics
    • F= [(R²_c - R²_r  ) /(k-g)] / (1-R²_c) /[n-(k+1)]
    • R²_c = Coefficient of multiple determination for Complete Model
    • R²_r = Coefficient of multiple determination for Reduced Model
  • P-Value is the upper tail probability above the observed F-value for an F distribution with the two degrees of freedom terms K-g and n-(k+1)
  • And conclude the P-value based on your confidence level.

1. Consider the assumptions
2. Establish your null and alternative hypothesis
3. Assume your null hypothesis is true and calculate your test statistics
4. Calculate the P-value based on your test statistics
5. Compare the P-value to your alpha (1-confidence level) and drive your conclusion

Behnam