Introduction to people management in projects - Key principles of team interactions

Learning Outcomes

After reading this article, you will be able to describe the core principles of people management in project environments. You will understand how team interactions impact delivery, the features of high-performing teams, key leadership styles, approaches to motivation, sources of conflict, and the importance of ground rules and team agreements. These skills are essential to manage people effectively and answer PMP exam questions on team performance and leadership.

PMP Syllabus

For PMP, you are required to understand the foundations of people management and team interactions as they apply to project work. This article supports revision on the following syllabus points:

• Define the project manager’s key responsibilities regarding people management.
• Recognize the characteristics of high-performing project teams.
• Identify key factors that influence team effectiveness (diversity, inclusion, psychological safety, team agreements).
• Explain different leadership and motivation models (servant leadership, emotional intelligence, motivation theory).
• Distinguish different conflict resolution approaches and their application to project scenarios.
• Understand the purpose and implementation of team ground rules and charters.
• Apply knowledge of teamwork and leadership to scenario-based PMP questions.

Test Your Knowledge

Attempt these questions before reading this article. If you find some difficult or cannot remember the answers, remember to look more closely at that area during your revision.

1. Which leadership approach focuses primarily on serving the team’s needs, removing impediments, and enabling team members to perform at their best?
   1. Authoritative
   2. Servant leadership
   3. Transactional
   4. Laissez-faire
2. What is the main purpose of establishing team ground rules at the start of a project?
   1. Monitor task progress
   2. Define escalation paths
   3. Create shared expectations about acceptable behavior
   4. Allocate project budgets
3. According to Tuckman's model, what is the correct order of the classic team development stages?
   1. Forming, Norming, Storming, Performing, Adjourning
   2. Forming, Storming, Norming, Performing, Adjourning
   3. Storming, Forming, Norming, Performing, Adjourning
   4. Norming, Forming, Adjourning, Performing, Storming

Introduction

People management is a core responsibility for every project manager. Projects depend on individuals working together to reach objectives. Effective people management means understanding how teams work, what makes them perform well, and how leadership influences results. On the PMP exam, you must recognize how people factors such as motivation, leadership, collaboration, and conflict affect project outcomes and the way you apply project management processes.

Characteristics of Project Teams

Projects are delivered by teams—groups of people with diverse knowledge, skills, and working styles. Team interactions refer to how these people interact, share information, make decisions, resolve disagreements, and support each other in reaching shared targets. Project team composition can vary by organization, approach (predictive or agile), and project phase.

Key Term: Team Interactions The patterns of interaction, attitudes, and behaviors between project team members, which affect how well a team collaborates, solves problems, and achieves goals.

Key Term: High-Performing Team A group that exhibits strong collaboration, trust, shared ownership, and continuous improvement, leading to superior results.

Building a High-Performing Team

Project managers aim to build high-performing teams by:

• Establishing a clear vision and purpose.
• Supporting open communication and mutual trust.
• Recognizing individual strengths and creating opportunities for team members to develop.
• Ensuring roles, responsibilities, and expectations are understood.

A high-performing team is likely to be diverse (skills, background, experience), inclusive (all members are valued and involved), and psychologically safe (people can express ideas, ask questions, and share concerns without fear).

Core Team Principles

Effective teams commonly show:

• Shared goals and common understanding of project vision.
• Diversity and inclusion, with respect for individual viewpoints.
• Psychological safety so members feel secure to propose ideas or admit mistakes.
• Explicit ground rules and team agreements that clarify expectations.

Key Term: Team Charter Document developed collaboratively by the team that sets out shared values, working agreements, and expectations for behavior.

Leadership in Projects

How a project manager leads the team greatly affects performance. There is no single “correct” leadership style; effective leaders adjust. However, on the PMP exam, servant leadership is frequently the most appropriate style for project teams, especially in modern, agile, or knowledge-driven projects.

Key Term: Servant Leadership A leadership approach where the project leader focuses on serving the needs of the team by removing blockers, advancing progress, and supporting team growth.

Other leadership qualities valued in projects include transparency, integrity, emotional intelligence, and the ability to match leadership technique to circumstances.

Emotional Intelligence

Successful project leaders demonstrate emotional intelligence by:

• Being aware of their own feelings and reactions.
• Reading team members’ emotions and responding appropriately.
• Remaining calm during stress and conflict.
• Showing empathy.

Key Term: Emotional Intelligence The skill of recognizing and managing one’s own emotions and the emotions of others to facilitate productive relationships and teamwork.

Motivation in Project Teams

Motivated teams are more likely to achieve success. Project managers use several motivation models to understand what drives team members. Classic models include Maslow’s Hierarchy of Needs, Herzberg’s Motivation-Hygiene Theory, and McClelland’s Theory of Needs. For the exam, remember that motivation is mostly internal (from within the person) for knowledge work—opportunities for achievement, recognition, growth, and autonomy.

Conflict Management and Team Performance

Disagreements are normal in projects. Effective teams resolve conflict early and constructively, rather than letting problems escalate. Project managers apply active listening, mediation, and, if necessary, specific conflict resolution techniques.

Key Term: Conflict Resolution The methods used to deal with disagreement between team members, ranging from collaboration, compromise, and smoothing to forcing or withdrawal.

Common sources of conflict in projects are:

• Competing priorities or unclear requirements.
• Resource constraints.
• Conflicting personalities.

Team Ground Rules and Agreements

Ground rules clarify acceptable behavior, support psychological safety, and reduce misunderstandings.

Key Term: Ground Rules Explicit statements agreed by the team that define acceptable norms of behavior and communication.

Ground rules are most effective when developed collaboratively at the project start and revisited as needed.

Establishing Team Agreements and Psychological Safety

Team agreements provide clear, shared expectations and help establish a safe environment for everyone’s contribution. Psychological safety means all members feel comfortable speaking, challenging, and learning—essential for innovation and problem solving.

High-Performing Teams: Features and Symptoms

High-performing project teams:

• Work collaboratively and communicate openly.
• Share ownership of outcomes (“shared ownership”).
• Apply critical thinking, challenge assumptions, and learn from failure.
• Celebrate both success and progress, not only final completion.

Symptoms of poor team interactions include lack of trust, frequent unresolved conflicts, lack of direction, “blame culture,” or disengaged members.

Worked Example 1.1

Scenario:
A technology project involves teammates from several countries. Early meetings are dominated by two experienced developers who interrupt others and insist on their approaches. Several quieter members do not contribute. Progress slows, misunderstandings increase, and the product does not meet user needs.

Question:
What actions should the project manager take to improve team interactions?

Answer: Gather the team to develop shared ground rules and a team charter. Encourage inclusive participation by clarifying that every voice matters. Use emotional intelligence to address dominant behavior, and support psychological safety so all members can contribute and challenge ideas without fear. Monitor discussion in meetings and intervene if ground rules are broken.

Worked Example 1.2

Scenario:
A project team frequently misses deadlines—some team members blame others, trust is low, and meetings become unproductive arguments. The project manager wants to move the team toward higher performance.

Question:
Which principles should be applied to improve team effectiveness?

Answer: Establish psychological safety so mistakes can be addressed openly. Review and clarify the project vision and team’s shared purpose. Introduce ground rules for communication and accountability. Recognize positive achievements to increase motivation. Mediate conflict early, focusing on issues not individuals, and encourage collaboration on solutions.

Exam Warning

On the PMP exam, avoid selecting autocratic or highly directive leadership as the “best” style unless the question specifies crisis or an inexperienced team. "Servant leadership," emotional intelligence, and empowerment are most often correct. Do not confuse ground rules (about team behavior) with work processes or technical project controls.

Revision Tip

High-performing teams are built intentionally. For the exam: psychological safety, openness, ground rules, servant leadership, and continuous feedback are essential for effective people management in any project.

Summary

Effective people management means understanding and shaping team interactions. The project manager builds a high-performing team by clarifying vision, supporting open communication, introducing strong ground rules, and providing the right leadership and motivation. Conflict is expected and is best resolved early and constructively. Psychological safety and accountability are critical for innovation and success. These principles are tested throughout PMP scenarios—look for them as the “best next step” in people-focused exam questions.

Key Point Checklist

This article has covered the following key knowledge points:

• The project manager has primary responsibility for people management and team interactions.
• High-performing teams are diverse, inclusive, psychologically safe, and guided by clear ground rules and team agreements.
• Servant leadership style is generally best for supporting team success in projects.
• Emotional intelligence and internal motivation drive team engagement and performance.
• Strong teams resolve conflict early, focus on issues not individuals, and share ownership for delivery.
• Team ground rules and charters clarify shared expectations and acceptable behavior.
• Psychological safety enables learning, creativity, and problem solving.
• People management principles are central to all PMP questions about teamwork, leadership, and project delivery.

Key Terms and Concepts

• Team Interactions
• High-Performing Team
• Team Charter
• Servant Leadership
• Emotional Intelligence
• Conflict Resolution
• Ground Rules