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Hi Duane,

I suspect that asking students to prepare the project on an individual basis before coming to class may be demotivating them  because they must initially confront a complex project alone rather than in their teams. 

In my graduate class on Job Analysis, Recruitment and Selection, where the team projects are fairly complex, often requiring some maths, knowledge of statute law, and analysis of case law, I use the individual readiness assurance tests (iRATs) and team readiness tests (tRATs) to make sure teams have the basic knowledge needed for the project. The iRATs and tRATs are done during one 2.5 hour class, and typically students also start the project in their teams during that time. If they haven't started the project during the first class, I give them the project problem to read before the second class if they wish. There is no request to try to think it through individually before working on it as a team. Students  continue (or start) working on the project in the next 2.5 hour class, and also critique and challenge each other's solutions during that second class. I have had no problems with motivation.

I also think you might be asking the students too often to allocate points to their team members. I do this just once during the entire semester. And I ask for students to give points to their colleagues for their contribution to the group's work, not specifically for the extent to which each person contributed to achieving a 'right answer'. 

I hope this helps.

Best wishes,

Mary Barrett
Professor of Management
School of Management & Marketing
University of Wollongong NSW 2522
Australia
http://www.uow.edu.au/commerce/smm
Phone +61 (0)2 4221 4991
Fax +61 (0)2 4227 2785
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