Alternative Project Systems

for Private Sector Participation in Road Infrastructure Delivery in Nigeria

 

FEATURED PAPER

1Samuel Ekung, 2 Ejike Okonkwo and 3Ejekwu Tobechi

1,3Department of Quantity Surveying, Imo State University
Owerri, Nigeria

2Department of Quantity Surveying, Faculty of Environmental Studies
University of Uyo
Uyo, Nigeria

 



Abstract

Cybernetics from road research in Nigeria indicates the road network totalled 200,000Km; and over 50% are unpaved. Faced with systemic pressure to close deficiency gap, Nigeria embraced policy to boost private sector’s participation. Public private partnership (PPP) evolved into two broad categories concession and purchase of service (private finance initiative (PFI). The models used in Nigeria tend to favour concession. The problems faced in current practice suggest fundamental incongruity with concession and in-country’s systemic variables including cultural fitness and procurement practice. Studies that explore these dimensions are rather very few. The aim of this paper was to critically evaluate PFI ethos for suitability as an alternative PPP model for road infrastructure delivery in Nigeria. The study was an explorative literature review and SLEEPT tool was adopted to analyse the social, legal, environmental, economic, political and technological dimensions of the Nigeria supra system. The study revealed the social, legal, technological, environmental and political institutions are fragile to support private investment in road infrastructure. This study identifies PFI as a robust model for checking leakage in the weak institutions. There is also strong meta-analysis correlation between PFI and cultural fits and procurement practice in Nigeria. These variables require clear identification through empirical studies. These dimensions are currently being investigated to unravel the cultural ingredients that prevailed against the concession model.

Introduction

Nigeria road network totalled about 200,000km and over 50% are unpaved (Onolememen, 2012; Ubogu, Ariyo, and Mamman, 2011). Financing infrastructure development globally remains a major fiasco to its provision and efficiency. The situation is not faring better in the face of dwindling resources. Till date, the provision of infrastructure remains the responsibility of the public sector in many places including Nigeria. Public work construction in Nigeria is funded through budgetary provisions in the short term yearly appropriation. Successive studies have identified budget-financing as one of the leading barriers to infrastructure provision in the country (Olayiowola & Oyegoke, 2010; Opawole, Jagboro, Babalola and Babatunde, 2012; and Onwusonye, 2015). Related outcome is reported elsewhere in Ghana (Mensah, Dansoh. and Amoah, 2011). Schwarka & Anigbogu (2012) found that budgetary releases impact on project performance. The challenge is not just in releases, but also insufficient allocation. The dominant reason is that there are competing needs to allocate resources. Sanusi (2012) stated the federal government of Nigeria spends 7.5% GDP on infrastructure development, a proportion which is quite significant and compares with best in class allocation worldwide. Alufohai (2012) acknowledged substantive contribution to GDP of 2% by the construction sector in Nigeria. This proportion translates to 27% releases if the two reports are examined side by side. Faced with challenges of unsatisfactory performance in projects delivery and deficiency gap to close for sustained economic growth and development; Nigeria keyed to developing policy to boost private sector participation.

The involvement of the private sector in the provision of public infrastructure is not new. Evidence of the use of public-private partnership (PPP) in Nigeria abound. What is not apparent is whether the context upon which PPPs are implemented in Nigeria actually recognises the peculiarities of existing procurement practices and cultural ethos.  The developing nations including Nigeria tend to be in haste in accelerating development. The systemic competition predisposes stakeholders to practice dubbing. Not much attention is given to carefully examine practices in relation to their cultural fits. How well the dubbed practices have fared is a subject of multiple research papers. Failures of concession model are plethora. However, the leading example well pronounced, is the Lagos-Ibadan Express way. Stakeholders have attempted to account for the cause of failure (Babatunde, 2013, 2014). Despite pockets of few successful endeavours in the related sectors including housing, application of PPP in Nigeria is simply re-channelling of public fund directly or indirectly into private hands and commercialization (NIQS, 2010). This experience might be ubiquitous in many places including Hong Kong (Hayllar and Wettenhall, 2010). The eschewing argument supports the different arrangements that heralds PPP structure across the globe. For instance in China, Beh (nd) cited in Hayllar and Wettenhall (2010) assert the ‘so called private context in PPP is partially government-owned corporation than a pure private enterprise. In this way, the term PPP is used as a ‘language game’ that helps politicians conceal the reality of the long term financial debts they are incurring (Hayllar and Wettenhall, 2010).

There are basically three models of PPP including joint venture, financially free standing projects (concession) and private finance initiatives (Cartlidge, 2011). Joint venture and concession have witnessed expansive adoption in the Nigerian infrastructure concession regime including the oil sector. Current models of PPP used in the Nigeria road sector shows inclination towards concession. The incompatibility of this model and its cultural unfitness for the Nigeria’s system is pronounced. By concession, the users pay directly for the service (Blanc-Brude, Goldsmith and Välilä, 2006). In other words, the project is recourse financed and is financially free standing. The private finance initiative (PFI) is used to describe the service buying or ‘purchase of service contract’ (POS). This model simply makes the granting authority (government) rather than users responsible for payments, whilst demand risk is transferred to the private sector (Cartlidge, 2011). Careful examination of the Nigeria’s failed endeavours was intended to foist the burden of payment on the users of the facilities. In analysing factors associated with the failure of concession in Nigeria, issues of cultural compatibility have seen limited discussion.

This study is therefore an explorative review of PPP current practice in Nigeria using both empirical and literature based facts. The objective is to explore the areas needing further studies and to identify and illustrate that PFI can be beneficial to Nigeria as an alternative to concession. The goal of the study is a factor of importance given current dwindling resources of the states. The status quo persists in the face of wide deficit in road infrastructure need. Greater participation of the private sector using in-country special purpose vehicles is more important now than ever.

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How to cite this paper: Ekung, A., Okonkwo, E., Tobechi, E. (2018). Alternative Project Systems for Private Sector Participation in Road Infrastructure Delivery in Nigeria; PM World Journal, Vol. VII, Issue X – October.  Available online at https://pmworldjournal.net/wp-content/uploads/2018/10/pmwj75-Oct2018-Ekung-Okonkwo-Tobechi-Alternative-Project-Systems.pdf

 



About the Authors


Samuel Ekung

Owerri, Nigeria

 

 

Samuel Ekung is registered Quantity Surveyor certified by Quantity Surveyor Registration Board of Nigeria. Mr. Ekung obtained his first degree in Quantity Surveying from the University of Uyo, Uyo, Nigeria with Second Class Upper Division in 2008. He bagged double Master Degrees in Quantity Surveying from the University of Salford, United Kingdom with Distinction in 2013 and Construction Management from the University of Uyo, Uyo, Nigeria in 2014. He is currently studying for PhD in Construction Management with interest in Cost Management of Sustainable Buildings in the Tropics. Mr. Ekung is deeply rooted in construction and cost management discourse. He is currently a Lecturer in the Department of Quantity Surveying Imo State, Owerri, Nigeria. Mr. Ekung is an experienced Quantity Surveyor with industry footprint in many high profiled projects. His research interests include procurement, stakeholder management and sustainability cost management. His research outputs are published in many refereed international journals and peer reviewed conferences proceedings. Samuel Ekung can be contacted at [email protected].

 



Ejekwu Tobechi

Owerri, Nigeria

 

 

Ejekwu Tobechi holds BSc. and MSc. degrees in quantity surveying and is a registered member of the Nigerian Institute of Quantity Surveyors (MNIQS). He is a lecturer within the Department of Quantity Surveying at Imo State University in Owerri, Nigeria. Ejekwu can be contacted at [email protected]

 

 

Critical Success Factors

to Optimise Power Plants Life Cycle Management

 

FEATURED PAPER

By Lalamani Budeli and Prof J H Wichers

South Africa

 



Abstract

For power utilities to secure a competitive edge in the energy sector, improving efficiency of life cycle management programmes must be achieved through successful execution of projects. In today’s competitive environment, producing products that are fit for purpose, meet or exceed quality requirements, as well as being cost competitive, are key factors to determine organisational failure or success.

Effective project management practices require a project management system that supports management to achieve its organisational project goals in order to position the organisation strategically for future performance. However, because of projects inaccurate monitoring resulting improper management, the project success rate is very low with great economic impact on organisations.

These papers demonstrate how utilities can achieve sustained project performance by identifying how the combination of project management best practices and life cycle management methodologies can recognise process improvement opportunities.

Keywords: Critical success factors, life cycle management, variation management, performance management.

Introduction

According to Gadonneix et al (2010-14), the development of power plants started in 1866 with a coal-fired power plant. The first central power station in New York was built in 1882. Gadonneix et al 16 (2013-33) indicates that the unit capability factor (UCF) monitors progress in attaining high unit and industry energy production availability. This indicator reflects the effectiveness of plant programmes and practices in maximising available electrical generation and provides an overall indication of how well plants are operated and maintained during their life cycles. The unplanned capability loss factor (UCLF), monitors industry progress in minimising project/outage time and power reductions that result from unplanned equipment failure or other conditions. This indicator reflects the effectiveness of plant programmes and practices in maintaining systems for safe electrical generation. The planned capacity loss factor (PCLF) is energy that was not produced during the period because of planned shutdowns or load reductions due to causes under plant management control. The relationship between UCF, PCLF and UCLF is represented by the equation below:

UCF + PCLF + UCLP = 100%                  (1)

The objective of the power plant life of plant plan (LOPP) is to ensure the sustainability of future energy supply. Every LOPP starts with a set of user’s requirements which are translated into unique technical specifications for a specific environment for implementation purposes. As a result, the execution of a life cycle project is subject to numerous constraints that limit the commencement or progression of field operations, which invariably have a significant negative impact on overall project performance.

This study aims to provide basics for measurement and control of efficiency generating project where operating hours is proportional to system performance. System engineers design and prioritise the system requirements ensuring that the different system attributes are appropriately weighed when balancing the various technical efforts by deciding which risks are worth taking. They also determine whether a new approach to the problem is necessary, whether intense effort will accomplish the purpose, and whether the requirements can be surmounted to relieve the problem. The application of system thinking in project management will improve project delivery because all project stakeholders will focus beyond their direct responsibility.

Key concept definition

According to Gadonneix et al (2010-14), different project management scholars take different factors into account that affect the progress and the overall success of a project. Prabhakar (2008-7) believes that budget compliance and accurate schedules will matter less if the project results do not meet the project goals and expectations. Kerzner (2001-48) holds that factors that create an environment which ensures that projects are managed in a consistently successful way, are critical. Humphrey (2005-27) indicates that critical success factors are those factors that will significantly improve the chances of project success if addressed appropriately, which requires choosing processes and activities that will address critical factors.

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How to cite this paper: Budeli, L. & Wichers, J. H. (2018). Critical Success Factors to Optimise Power Plants Life Cycle Management; PM World Journal, Vol. VII, Issue X – October. Available online at https://pmworldjournal.net/wp-content/uploads/2018/10/pmwj75-Oct2018-Budeli-critical-success-factors-to-optimise-power-plant-life-cycle-management.pdf

 



About the Authors


Lalamani Budeli

South Africa

 


Lalamani Budeli
obtained his degree as an Engineer in Electrical Engineering at the Vaal University, BSc honour in Engineering Technology Management at University of Pretoria, Master in engineering development and Management at North West University, Master of business administration at Regent Business School and currently busy with Doctor of Philosophy in Engineering Development and Management at North West university, Potchefstroom, South Africa. Currently, he is a technical support manager at Eskom. His research interests include plant life cycle management, advanced systems analytics, project early warning system and the use of artificial intelligence in project management.  Lalamani Budeli can be contacted at [email protected]

 



Prof J H (Harry) Wichers

South Africa

 


Prof.
Harry Wichers has been a part-time lecturer at the North West University (NWU), former Potchefstroom University for CHE, on pre- and postgraduate levels in Systems Engineering and Reliability Engineering from 1986 – 2000.  He continued to lecture on pre and postgraduate level at the same university in various Engineering Management subjects from 2003 to 2010.  These subjects included Creative Entrepreneurship, Maintenance Management and Entrepreneurial Career Skills. He has also lectured at the Vaal University of Technology (VUT), Vanderbijlpark, in the subjects Maintenance Engineering. He was instrumental in 2004 in the establishment of the Centre for Research and Continued Engineering Development in the Vaal Triangle, (CRCED Vaal), focusing on delivering Master and Doctoral degrees in Engineering Management to Industry. Prof. Wichers is a registered Professional Engineer with ECSA, member of the Institutes of Business Management and Mechanical Engineers (SAIME) and founder member and ex-president of the Southern African Maintenance Association (SAMA).

 

 

By 2025

a significant number of Project Management roles will disappear. Will yours be one of them?

 

FEATURED PAPER

By Martin Paver
CEO/Founder, Projecting Success Ltd

England, UK

and

Dr. Stephen Duffield
Bogangar
New South Wales, Australia

 



Abstract

Data analytics is beginning to have a significant impact on a number of professions, but project management is a relatively late adopter. This paper outlines the potential impact on specific project management roles, ranging from supplementing current roles through to radically transforming them.   We highlight the need for project managers to acquire new advanced digital skills or face the risk of obsolescence as data scientists and analysts provide evidence-based insights tailored to the conditions of the project. 

Keywords: Project Management, Risk Management, Project Assurance, Cost & Schedule,  Project Planning,  Agile, P3M, Python, R, natural language processing, machine learning algorithms, Power BI, Benefits management

 

A statement from a prophet of doom or a realistic vision of the future? In this paper, we make the case that a transformational approach to project, programme and portfolio management will be required in the short to medium term or our profession will wither on the vine. We must adapt.

We have already seen that the introduction of agile method have transformed traditional project management roles and in some instances these roles have disappeared completely. As data science and analytics becomes increasingly accessible, does this pose a new threat to established project management jobs? This paper will examine how these roles are likely to develop over the coming years. Will data scientists and analysts begin to fulfil these new roles or will project managers reskill and adapt?

 

Project Support Officer   

Project administration roles typically provide the first step on the ladder for junior project management professionals. If these roles are significantly impacted there is potential to destabilise career progression for talented project managers unless we rethink the overall career path.

Within Table 1 we outline typical roles for a project administrator and how we envisage the potential impact of data science and analytics.

Table 1. Impact of advanced analytics on project support officer roles

 

Roles Potential impact of data science and analytics
Tracking and administration of contractual deliverables ·        Text analytics can be used to identify when a new deliverable is received. Topic modelling can be used to identify tags and summarise the document, prior to executing a workflow to assign reviewers.

·        Scripts can be developed to assess compliance against particular standards or contractual requirements and identify omissions.

·        Machine learning can be used to assess the quality of each section when compared against a body of training material.

Change control log ·        Potential for blockchain[1] approach to manage change end to end. Payments are automatically approved when defined conditions are met.

·        Change requests become increasingly workflowed and automated.

·        Algorithms check the change management documentation to ensure compliance, accuracy and compliance.

·        Risks with specific changes are compared against a known dataset of similar changes. Impacts statements are tempered accordingly.

·        Approvals are automatically crossed checked against centrally held levels of delegated authority.

Forecasting, budgeting, ·        Budgets and forecasts can be automatically developed from known benchmarks, amended to take account of the specific attributes of the projects. The role of the project manager will be to explain the rationale for the divergence from the benchmark and what action is being taken to improve delivery performance.

·        Cost data will be centralised. Tracking variance between forecast and outturn, enabling each project to work to a common set of (tailored) assumptions.

Development of briefs, reports and dashboards, ·        Capabilities such as PowerBI or Tableau can already autogenerate textural insights from data, adapting the insights in real time based upon applied filters.

·        Automatic text summarisation algorithms review documents and summarise the salient points. These algorithms can be tailored to focus on specific areas of concern.

·        Projects such as the A14, the UK’s largest road construction project, are moving away from powerpoint and narrative based reports to interactive business intelligence based on (near) real time data.

Meeting administration, minutes and actions. ·        Products such as Microsoft flow can be used to schedule, set up and invite attendees to a meeting, book meeting rooms. Chatbots and virtual assistants are easing the burden.

·        Voice recognition is already providing transcripts of meetings.

·        Virtual assistants can capture actions from a meeting and summarise them before the meeting closes.

·        Workflow automation can be used to track action performance and report Key Performance Indicators (KPIs) via Power BI.

·        Machine learning can be used to provide an indicator on the quality of the response to the action, identifying when intervention may be required and influencing / advising on a particular course of action.

Project history, ·        By identifying key events in the schedule, key meetings in the diary, key documents (e.g. all those sent to the project Sponsor) it is possible to automatically populate the project history.

·        By using a knowledge graph it is also possible to identify any related documents, decisions or artefacts.

·        By reviewing the cause and effect of major variance it is also possible to identify key risks, schedule decisions etc which led to the variance and use these documents to inform future decisions.

Monitoring resource utilisation, ·        Automatic review of timesheets and comparison of variance against budget.

·        Recommendations on resource allocation based upon operational priorities but tempered against evidence that illustrates the impact of working below irreducible minimums.

·        Workflows to progress chase outstanding time sheets.

·        Enhanced KPIs on areas such as open meeting actions, open risk management actions, frequency of schedule updates, schedule performance vs baseline or benchmark.

Quality reviews, ·        Python[2] can be used to identify frequency of updates of documents, the extent of updates and whether they are materially significant. Whether key policy documents have been updated. By comparing against a training data set it is also possible to characterise the quality of the narrative.

Within the insurance industry Artificial Intelligence (AI) is already reducing the administrative burden of a number of roles. AI can analyse documents to ensure they have been signed, completed and validated; linking with workflows to ensure that follow up actions are tailored to results. The impact of different campaigns can be measured and adapted in real time to improve participation, the quality of online support and autocompletion of fields. Medical insurance is moving towards automatically approving claims based upon the completeness and accuracy of the claim forms and supporting evidence, combined with comparisons against similar claims for known medical conditions.  In the legal profession McKinsey estimate 69% of time is automatable for paralegals and 23% of time is automatable for lawyers.

Project administration roles have the potential to repeat the history of the project typing pool unless they adapt.

More…

To read entire paper, click here

 

How to cite this article:  Paver, M. and Duffield, S. (2018). By 2025 a significant number of Project Management roles will disappear. Will yours be one of them?, PM World Journal, Volume VII, Issue X – October; Available online at https://pmworldjournal.net/wp-content/uploads/2018/10/pmwj75-Oct2018-Paver-Duffield-significant-project-management-roles-will-disappear-by-2025.pdf

 



About the Authors


Martin Paver

United Kingdom

 

 



Martin Paver
, Data Scientist, Registered Project Professional, Chartered Engineer, BEng, MBA, MAPM, MIMechE, is CEO of Projecting Success Ltd. and Founder of the London Project Data Analytics meetup.

Martin is a Registered Project Professional with the APM and a Chartered Engineer with the IMechE. He is the CEO/Founder of a P3M and data science consultancy called Projecting Success who help project organisations to connect and understand their data for a more certain, evidence-driven project delivery by analysing historical and real-time data to discover insights and make recommendations with improved confidence in outcomes. He has 30 years of delivery experience spanning senior strategic roles across government and the private sector, led projects of up to $1bn, both client and supply side and he also led a PMO for a $multi-billion portfolio of ICT projects.

In late 2017 Martin established the London Project Data Analytics Meetup, the UK’s largest community that combines the cutting edges of data science and project management ranging from hosting talks, delivering hackathons through to influencing future thinking on project data science. He has also been instrumental in establishing a project data analytics work stream within the APM, helping to shine a light on the art of the possible and facilitate the development of a new cadre of professionals.

He is on a mission to leverage the benefits of advanced data science for the benefit of the project management profession, ensuring that we shape the direction of the industry and prepare us for a new future.

Martin can be contacted at [email protected]

 


Dr Stephen Duffield
, MPM, FAIPM, AFALARA, CPPD

New South Wales, Australia

 

 



Stephen Duffield
completed a PhD with the University of Southern Queensland and has a research interest in organisational knowledge and lessons learned. Stephen has 38 years’ experience with both the public sector (Royal Australian Air Force, Queensland Department of Transport and Main Roads, Queensland Health and the Civil Aviation Safety Authority) and private sector (British Aerospace, AWA and the Boeing Company) organisations with a major focus on program/project management, governance, risk and safety management.

Stephen can be contacted at [email protected]

 

[1] “The blockchain is an incorruptible digital ledger of economic transactions that can be programmed to record not just financial transactions but virtually everything of value.” Don & Alex Tapscott, authors Blockchain Revolution (2016)

[2] Python is a general-purpose programming language. It has a range of native libraries and 3rd-party frameworks to enable developers to perform a range of activities from scraping the content of web sites to cleaning data.

 

Being Proactive or Reactive

What Works?

 

FEATURED PAPER

By Dr. Vanita Bhoola

S.P. Jain Institute of Management and Research

Mumbai, India

 



In a constantly changing environment, project-oriented organizations scuffle to achieve their Critical Success Factors (CSF) – the key result areas to be achieved before the closure of each phase of the project life cycle (Węgrzyn, 2016). T. Venkatesh, the chief operating officer of infrastructure development in a multinational project-based organization states, “Effective project management that can prevent cost and time overruns without compromising on quality and risk management standards, is sporadic. It is incongruous that despite so much of advancement in research and discussions in corporate and academia, efficient management of projects still remains a fallacy,” The reality is not very different than the way Venkatesh opines. This article discusses certain simple, yet effective and proactive mechanisms that project teams can adapt to meet the CSF.

Aligning projects to CSFs is often intimidating, when uncertainties grow exponentially, with increased complexities (Saleh and Watson, 2017). In order to overcome these stumbling blocks, CSFs have been a topic of discussion in board rooms and project status review meets. Interesting, as CSFs can offer high value propositions, they can be achieved even when projects do not meet timelines or budget constraints (Park, 2009). Such value propositions can be both at organizational and society levels, e.g., infrastructure and social amenity projects. If completion of a project is strategic to the overall long term objectives of the organization, limited schedule and budget overruns can be permissible (Swain, Cao and Gardner, 2018). Misalignment of a project’s CSFs with the overall organizational goals could lead to catastrophic results, especially, with no social contribution.

Karan Bansal, a Project Leader in an Indian IT company asserts, “Misalignment of social or organizational goals can destroy the entire thrill of working in a project – project leaders work on multiple deadlines. Focus gets diverted or diluted, when some projects have less organizational support compared to others. Inefficient allocation of team members and resource constraints can also add to the desolation in such cases. Generally speaking, a project with high social relevance catches the cynosure of organization’s strategic goals.” Leaders managing projects can create a culture that will derive the values of the project. Simple, yet effective measures can help meet these CSF of societal values, future values, financial values and the project constraints (Jerono and Kimutai, 2018). Creating a culture to certain practices, for example, risk identification from project initiation stage – throughout project life cycle and meticulously revisiting it probability of occurrence, including likelihood of recurrence and estimating the consequences thereby, can be part of the overall project management culture. Often stakeholders’ (both internal and external) interests and association with risks in projects and their power to influence outcomes have significant bearings on the overall risk.

While it is understandable how internal stakeholders can be responsible for project delays due to their direct involvement, the construction projects of Bandra-Worli Sea Link, Mumbai Metro Rail in India or the Big Dig, Boston tunnel project, or the Sagrada Família, Barcelona, Spain – are examples how external stakeholders can disrupt projects leading to massive cost and time overruns (Nguyen, Chileshe and Rameezdeen, 2018). Environmentalists approached courts over threats of flooding of Mithi river and Mangrove damage – resulting is a delay of five years. Issues like unavailability of land, records of underground utilities, safety certifications, delay in project financing from Asian Development Bank (ADB), and so on further caused interruptions.

Being proactive

Some of the causes of delays can be averted by being more proactive, sensitive and mindful about immediate environment and changing circumstances (Guofeng, Lingyun and Nan, 2015). Hence, dynamic risk assessment, management and mitigation keeping all stakeholders in mind can get to the roots of being proactive and taking corrective measures (Sols, 2018). Periodic review meetings that discuss: (a) gaps and glitches in executing current plans, (b) long-term strategic roadmap keeping in mind the changing business landscape, (c) short-term future plans, in line with the strategic roadmap, and (d) execution process of current plans and anticipated hiccups.

More…

To read entire paper, click here

 

How to cite this paper: Bhoola, V. (2018). Being Proactive or Reactive: What Works?, PM World Journal, Vol. VII, Issue X – October.  Available online at https://pmworldjournal.net/wp-content/uploads/2018/10/pmwj75-Oct2018-Bhoola-being-proactive-or-reactive-what-works.pdf

 



About the Author


Dr. Vanita Bhoola

Mumbai, India

 

 

 

Dr. Vanita Bhoola is Associate Professor, Head of the Centre for Project Management (CPM), and Principal Coordinator for the Management Development Programme (MDP) at S.P. Jain Institute of Management and Research (SPJIMR) in Mumbai, India.

With a Doctorate in Project Risk Management and over 20 years of experience in Project Governance, Project Management, and Decision Support Systems, Dr. Bhoola works as a Professor at SPJIMR. Apart from teaching across programs at SPJIMR, she mentors students and publishes in leading international journals; she offers tailored courses across different programs at the Institute and customised management development programs (MDP). Her expertise in the area of Project Management is based on prior research about company, sector and the immediate business environment that influences the business.  She has published dozens of articles, research papers and case studies on project management. Her current research deals with team dynamics in project environment with emphasis on value creation, management, and governance of projects. In addition to this, she has given talks in various forums and seminars to champions of project management. She is also involved in voluntarily teaching in schools and colleges as Train the Trainer to bring awareness of the current trends of Project management in the VUCA world.

She currently heads the Center for Project Management & Principal coordinator at SPJIMR. The Center offers PMP® Training and Certification in Advanced Project Management. Dr. Bhoola has handled training & development projects and consultancy assignments with corporate clients, such as, CGI Group Inc. (India), Pfizer India, Siemens India, ICICI Securities, Deutsche Bank, Procter & Gamble, Colgate-Palmolive, Tata Housing Development Company, Brigade Group, KEC International, Quality Kiosks, Mahindra & Mahindra, Verchuska Infotech and Godrej Infotech and many more. She is responsible for the short-term Executive education programs at the institute, from conversion to implantation and closure.

Courses:

  • International Project Management (being conducted for IMBA, Nyenrode)
  • Project Management for Infrastructure / Construction / IT / Pharma / Services
  • Project Governance
  • Decision Modeling and Information using Spreadsheet
  • Project Planning and Monitoring using Tools and Techniques

Dr. Bhoola can be contacted at [email protected]

 

 

Process and Communication Serving as Catalysts

for Successful Capability Management in the Department of Defence

 

FEATURED PAPER

By Maj Jason Povey, SANDF
ARMSCOR, South Africa

Prof. André Watkins. D.Phil., D.Com., Ph.D
Cranefield College, South Africa

Prof Jan A. Meyer, PhD
North West University: Business School, South Africa

 



ABSTRACT

Given the current economic conditions in the world and, specifically, in South Africa, all organisations are trying to focus on saving costs and  particularly getting more for less with decreasing budgets. The way to start achieving this difficult task is to streamline processes and communication within organisations so as not to have unnecessary or fruitless expenditure. The prominent research question that has been investigated is, “Can the current process for acquiring, integrating and implementing new weapon systems be streamlined and communication improved in order to ensure effective operational capabilities, thus allowing the DOD to fulfil its mandate successfully?” The research conducted is focused on an applied research paradigm; it has been designed to apply its findings to solving a specific, existing problem. Applied research, furthermore, involves the application of existing knowledge to improve management practices and policies. While the research is empirical by nature, the phenomenological paradigm serves as a basis for the research. As a result, the type of data, which is used to support the research findings, is qualitative. Action research serves as the research method. A total of 11 questionnaires was distributed, all of which were returned. The following main recommendations were made, based on the research:

  • Lack of Capability Manager – A capability manager will be responsible for the main activities:
  • The Need for a Capability Centre of Excellence – This centre of excellence would allow for central command and control over all activities relating to capability management, and, in this way, would improve communication and the consolidation of effort.

Keywords: Process, communication, capability management, Military, centre of excellence

INTRODUCTION

For the South African National Defence Force (SANDF) to carry out its functions, the availability of appropriate armaments is essential. On a governmental level, the national security strategy and the defence review amongst other things provides guidelines to the Department of Defence (DOD) to develop policy, doctrine and strategy to ensure the safety and security of its citizens. The applicable strategies developed will require possible re-structuring and re-planning within the DOD.

Armaments are obtained through a process of armaments acquisition. The acquisition projects are managed and executed by the Defence Matériel Division (DMD) with the view to improving the battle preparedness of the DOD by way of the addition of new main equipment or by upgrading existing main equipment.

Together with the applicable DOD project officers appointed to execute the acquisition projects for the DOD, the DOD makes use of Armscor as its acquisition agent, ultimately to assist in providing a level 5 product system to satisfy the operational need as defined. This product system must, however, be delivered and integrated into the level 6 user environment for use in addressing the following areas (commonly known as “POSTEDFITB”):

  • Personnel (all people within the Arms of Service, both military and civilian, responsible for operation, maintenance and repair of the product system);
  • Organisation (flexible functional groupings with an appropriate balance of competency, structure and command and control to support the product system);
  • Supply and support (the supply of commodities and products as required for the execution of military operations, which includes warehousing of items of supply, infrastructure and support services required to ensure the availability of equipment, wherever deployed and employed);
  • Training (technical and operational training to users to ensure the effective use of the product system);
  • Equipment (the physical equipment designated to enhance military power);
  • Doctrine (encapsulating regulatory framework, strategies, policies and procedures, principles and other related prescripts justifying the existence of Arms of Service capabilities and readiness);
  • Facilities (encapsulating buildings, structures, property, equipment, training areas, civil engineering works through life support infrastructure and utilities necessary to support capabilities, both at static and operationally deployed locations);
  • Information technology (encapsulating defence intelligence, information, data and data processing systems, including computer applications, manual information systems, data and information content, timeliness, presentation, format, reliability and validity, data correlation and fusion);
  • Technology (encapsulating commercial and/or military technologies required, including research and development, technology growth paths, cycles and trends, technology reliability, affordability, cost effectiveness, technical opportunities and risks); and
  • Budget (encapsulating and relating to the planning, identification and allocation of funds to finance acquisition and operations during the life cycle).

The process of identifying, developing, acquiring and using the weapon systems involves various role players who work somewhat in isolation and where each has his/her own roles and responsibilities. DMD develops and acquires the specific capability determined as a shortcoming or new requirement by the applicable user, while the User System Manager (USM) is the person responsible for the effective utilization of the weapon system through its life cycle once it has been delivered. Product System Management (PSM) aids the USM in mastering the systems management approach to SANDF equipment over the total life cycle of the equipment.

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How to cite this paper: Povey, J., Watkins, A., Meyer, J. A. (2018). Process and Communication Serving as Catalysts for Successful Capability Management in the Department of Defence; PM World Journal, Vol. VII, Issue IX – September.  Available online at https://pmworldjournal.net/wp-content/uploads/2018/09/pmwj74-Sep2018-Povey-Watkins-Meyer-process-and-communication-featured-paper.pdf



About the Authors


Maj Jason Povey, SANDF

ARMSCOR, South Africa

 

 

Jason Povey, MComPM, is currently a project officer in the Defence Matériel Division where he is responsible for the execution of 2 Acquisition Projects within the South African Department of Defence since 2007, and holds the military rank of Major. He started his military career in 1992 where he completed his National Service. He then enrolled in an apprenticeship in 1995 and qualified as a Radar Artisan in 1998. He later was appointed as the Squadron Commander at 3 Electronic Workshop in the SA Army Signal Formation, looking at the technical maintenance and repair functions for all Radio and Electrical products and systems.  He holds a MComPM from Cranefield College of Project and Programme Management in Pretoria (2014), and a National Diploma in Engineering Studies at the Tshwane South College in Pretoria (2006). Jason can be contacted at [email protected]

 


Prof. André Watkins. D.Phil., D.Com., Ph.D

Cranefield College, South Africa

 

 

Professor André Watkins holds major tertiary qualifications in Applied Mathematics, Engineering, Computer Science and Economics. Most of his working life was spent in the USA, where he served as technical operations director for a number of American institutions. Since 2009 he serves as head of research for a large German tertiary institution and holds the title Professor for Operations Management and Information Technology. In addition, on an ongoing basis, he serves as technical director and as consultant to the European technology industry. He can be contacted at [email protected].

 


Prof Jan A. Meyer, PhD

North West University: Business School
South Africa

 

 

 Jan Meyer is an Associate Professor and the Deputy Director of the NWU Business School; North West University, responsible for coordinating Teaching and Learning for the School. He completed his South African Air Force career (21 years) as the Logistics Coordinator, AFB Swartkop with the rank of Colonel. He then joined Xcel IT as a Project Manager on logistics projects for a period of 7 years moving on to the academia as a Senior Lecturer at Monash (SA) School of IT. After and moving to Milpark Business School and the IIE, finally taking up a position at North West University GSB&GL in 2012. He was Acting Director of the GSB&GL until the unitary school (NWU Business School) came about and appointed the Deputy Director in April 2018.

He holds a PhD from the University of Pretoria (2002), Masters in Business Leadership from UNISA (1995), Certificate in Logistics Management from the University of Pretoria (1991) and a Bachelor’s Degree in Political Science (UNISA, 1990). He also completed the Graduate Certificate in Higher Education at Monash (Melbourne, 2006). His research interests include the Project Management, Supply Chain Management and Data Security. Other fields of interest centre on ICT4D, Information Knowledge Management, e-Governance and e-Government as well as issues in the public sector.  Prof Meyer has published in peer reviewed journals in the above fields. Prof Meyer is also on the editorial committee of accredited journals and conferences.

Prof Meyer can be contacted at [email protected]

 

 

Agile in ERP Projects

 

FEATURED PAPER

By Stefano Isetta and Marco Sampietr

Milan, Italy

 



ERP Implementation Projects

Implementing an ERP system is a major project requiring a significant level of resources, commitment and changes throughout the organization. Often an ERP implementation project is the single biggest project that an organization has ever launched (Moon 2007) and very often performance is less than expected.

The performance analysis of ERP implementation projects is probably the most discussed aspect in the literature on this topic.

For example, McNurlin (2001) found that only 34% of the companies were satisfied with their ERP system. Loonam & McDonagh (2005) found that 90% of the ERP systems implemented were late and more expensive than the companies had expected. In addition, 25% of the money invested in ERP system was considered as wasted and less than 75% of the ERP system’s effectiveness was utilized (Ettlie, 1998). Betts (2001) indicated that 80% of the ERP system failed to achieve the business objectives expected from the system. Notwithstanding this, many companies have implemented ERP systems, but few are effectively used (Yu, 2005).

Panorama Consulting Solution carried out a research where 215 respondents were collected.

Table 1. Project performance of ERP projects. Source: Panorama Consulting

According to Panorama Consulting, overall project cost has decreased while the percentage of respondents experiencing cost overruns has increased. Another issue that can be discussed is the sharp increase in the average duration from 2012 to 2015. However, this figure should not be interpreted as a negative trend, according to Panorama Consulting, this may be the acquisition of greater awareness of implementation timing by estimating longer and more realistic than the past.

The authors of the Panorama Consulting report, however, conclude this analysis with an observation that will be crucial to the analysis of ERP implementation projects: “The majority of organizations do not have the internal expertise needed to achieve ERP success. When they do not hire an experienced third party, they limit their level of benefits realization and reduce their potential ROI.”

To support the data reported with concrete examples of failures that have marked, and in some cases ended, the history of large organizations, it is convenient to cite some examples:

  • Unisource’s Worldwide, Inc., a $7 billion company that produces paper-based products. The company’s management has decided to abandon a national SAP implementation project after having spent $168 million;
  • FoxMeyer Drug the former $5 billion drug distributor went bankrupt in 2006 and has completed a $500 million lawsuit against SAP (Monk & Wagner, 2006). The company identified the ERP system vendor as one of the key reasons that led the company to bankruptcy;
  • Dell Computer Corp has abandoned SAP implementation after months of delays and extra costs;
  • Dow Chemical, after spending half a billion dollars over seven years of implementing SAP ERP R / 2, decided to start all over again on the new SAP R / 3 platform (Soh & Sia, 2007).

According to Kremzar & Wallace (2001), the implementation of ERP system revolutionizes the way a business operates. However, in order to grasp the highly positive aspects of using these software, management and organization as a whole must be ready to appreciate and accept the great change that implementation will have on enterprise and on day-to-day operations. All the data reported and the real cases of failed investments of big company in ERP system urge a need for better understanding of ERP implementation process.

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How to cite this paper: Isetta, S. & Sampietro, M. (2018). Agile in ERP Projects; PM World Journal, Vol. VII, Issue IX – September. Available online at https://pmworldjournal.net/wp-content/uploads/2018/09/pmwj74-Sep2018-Isetta-Sampietro-agile-in-erp-projects-featured-paper.pdf



About the Authors


Dr. Marco Sampietro

Milan, Italy

 

 

 

Marco Sampietro obtained a Ph.D. at the University of Bremen, Germany. Since 2000 he has been a professor at SDA Bocconi School of Management, Milan, Italy. SDA Bocconi School of Management is ranked among the top Business Schools in the world (Financial Times, Forbes, Bloomberg, and The Economist rankings). He is a Core Faculty Member at SDA Bocconi School of Management and teaches Project Management in the MBA – Master of Business Administration, and GEMBA – Global Executive Master of Business Administration programs. He is Faculty Member at MISB – Mumbai International School of Business, the Indian subsidiary of Bocconi University, and Visiting Professor at IHU – International Hellenic University, Greece. He is also a Contract Professor at Bocconi University and Milano Fashion Institute for the Project Management courses.

He was a speaker at the NASA Project Management Challenge 2007, 2008, and 2011, in the USA, and a speaker at the PMI Global European Congress, Italy, 2010.

He is Member of the Steering Committee of IPMA-Italy. He is co-author and/or editor of 10 books on project management and 7 books on IT management. Among them: Empowering Project Teams. Using Project Followership to Improve Performance. CRC Press, 2014. He is the author of award-winning case studies and papers.  Dr. Sampietro can be contacted at: [email protected]

 


Stefano Isetta

Milan, Italy

 

 

 


Stefano Isetta
obtained a Bachelor degree at the Bocconi University of Milan in 2015 in Economics and Business Administration.  In 2016 he held a period of 5 months in India at the Indian Institute of Management (IIM) taking part in the Exchange program. During this period he attended several courses of the Post Graduate Program including the Project Management course held by Professor Sushil Kumar to deepen the issues related to project management.

In February 2017 he began working as a consultant in a company, based in Milan, specialized in the implementation of ERP systems where he learned about the issues and features related to this type of projects.

In March 2018 he obtained a Master’s Degree in Management at the Bocconi University in Milan with a thesis project entitled “Agile Methodology in ERP system Implementation”.

Contact: [email protected]

 

The Effect of Talent Management

on Employee’s Job Performance in Banking Sector of Pakistan: Mediating Role of Training

 

FEATURED PAPER

By Adil Hayat, Ajaz Sadiq, Hiba Shahid

Pakista

 



Abstract

Change is oftentimes seen as fundamental for improvement forward as well as basic for life (Haueng, Stensaker, Meyer & Falkenberg, 2005). Talent management refers to the skills of attracting highly skilled / profitable workers, integrating new  workers,  and  developing  and  retaining  current  workers  to  meet  current  and  future  business objectives. The high ratio of progress for organizations starts from having more imperative Talent and supervising it reasonably. (Michaels & Axelrod, 2001) The professional definitions have a tendency to shield into several forms, for instance, work commitment, duty and the educational definition is more accurate, however when all is said in done, together they try for the measurement of the course of action as well as for the enthusiasm of an employee struggle towards his/her business as well as the destinations of an association. (Saks, 2006)

This study explored the relationship of talent management with employees’ job performance, and the mediating role of employees training on relationship between talent management and job performance in banking sector of Mardan region, Pakistan. A collection of 320 self-administered and well-structured questionnaires were distributed among the employees of of banking sector of Mardan region. Only 265 forms were got back. Later on 5-Point Likert Scale analysis were used to analyze the data. The results revealed strong agreement of respondents to positive relationship between talent management and employees job performance. Moreover it was concluded that trainings can enhance the overall performance of the employees.

Keywords: Talent management, Job performance, employees’ trainings, Workforce planning, banking sector, Pakistan.

Introduction

To work and compete in a global market the interest for predominant talent has expanded as an ever increasing number of organizations are feeling the effect of contention for work. Showcase for work has been entered into another time of development, learning change, globalization and expanded rivalry (Sheehan, 2012). The development of Talent Management inspiration in companions is winding up observably much mind boggling, disruptive and conflicting than at any other time in aggregation to creating new systems on the most proficient method to oversee Talent (Cheese et al., 2008.) The clarifications behind improving the data of talent administration and its application are various, and found both in business nearness and in insightful research. Right when the World Federation of People Management Associations and Boston Consulting Group and in 2012 requested HR specialists from around the world to rank their most gigantic needs, the three most crushing locales were seen to manage Talent, upgrading activity change and key workforce orchestrating. On the other hand, acing HR frames and streamlining the affiliation were seen to be of low need. Necessities of condition hugeness existed e.g. upgrading chief stamping and dealing with arranged qualities and consolidation. Coherently, ability administration is on the guide and a creating stress for associations of today.

(Sheehan, 2012) states that Business pioneers perceive that worker’s information, power and capacities are the basic origin to associations aggressive advantage. The workers are the organization’s most essential basic quality and access to accomplishment. To build benefit and upper hands, human asset advancement has moved toward becoming priority for associations around the globe (Mellahi & Collings, 2009).

The Pakistan industry constitutes a complete of around thirty one banks, of that 5 are public-sector and four are foreign, whereas there are twenty two native non-public banks. The bulk of the banking business is targeted during a choose few within the industry six banks are the biggest competitors within the economy and hold a serious stake of the banking assets in Pakistan. To be additional specific, these banks jointly form up quite 57 % of deposits and 53 % of advance within the economy. They are:

Habib Bank Limited (HBL), National Bank Limited (NBL), United Bank Limited (UBL), MCB Bank Limited, Allied Bank Limited (ABL) and Bank Alfalah Limited.

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How to cite this paper: Hayat, A., Sadiq, A. & Shahid, H. (2018). The Effect of Talent Management on Employee’s Job Performance in Banking Sector of Pakistan: Mediating Role of Training; PM World Journal, Vol. VII, Issue VIII – August. Available online at https://pmworldjournal.net/wp-content/uploads/2018/08/pmwj73-Aug2018-Hayat-Sadiq-Shahid-talent-management-in-pakistan-banking-sector.pdf

 



About the Authors


Adil Hayat

Islamabad, Pakistan

 


Adil Hayat
 is a highly motivated research scholar and project management specialist who is currently working in the public sector of Pakistan.  He has been above 7 years of experience in different roles. His academic profile includes Mphil / MS in Project Management from COMSATS University Islamabad, Pakistan, Master of Education from SUIT Peshawar, Bachelor of Education from SUIT Peshawar, and Bachelor of Science (Computer Sciences) from University of Peshawar.  He has been interested in the research area such as Project Management, Enterprise Management, Engineering Management, Risk Management, Quality management, Human Resource Management, Customer relationship management and supply chain management. He can be contacted at [email protected]

 


Ajaz Sadiq

Rawalakot (AJK), Pakistan

 

 


Ajaz Sadiq
is a research scholar with many years of working experience in the academic sector of AJK, Pakistan. He has been graduated with MS/Mphil Degree in Project Management from COMSATS University Islamabad, Pakistan. He can be contacted at [email protected]

 


Hiba Shahid

Lahore, Pakistan

 


Hiba Shahid
is a research scholar and an engineer by profession with above 2 years of experience in Software quality assurance. She has been graduated with Mphil / MS in Project Management from COMSATS University Islamabad, Pakistan and with a bachelor degree in Computer Engineering from UET Lahore. She is eager to direct her career towards project management and obtain PMP certification. She can be contacted at [email protected]

 

 

 

Industry 4.0 Collaborative

Research, Innovation and Development (RID) Projects

 

FEATURED PAPER

By Dr. Brane Semolic

LENS Living Lab, Slovenia

and

Prof Pieter Steyn

Cranefield College, South Africa

 



Abstract

Post-globalisation industry, called “Industry 4.0” (there are some forecasts of Industry 5.0 already), characterised by digitalised high-technology and instability of business environments, demands continuous inflow of novelties, innovative improvements, and change. Modern technology products and solutions are geared by the mix of interrelated technologies, powered by different professions and industries. Digital and innovation literacy, supported by a collaboration culture on all levels and areas of business is becoming the critical enabling competencies of societies. Open the boxes and collaborate with the partners in your value chain. Find new authentic business models for exchange of information and ideas. Establish collaboration with stakeholders (customers, end-users, suppliers, partners, technologies, developers, etc. These are the main challenges of contemporary organisations and their environments. Modern effective and efficient organisations are becoming more cross-functional, flexible, agile and virtual. Their boundaries are blurred and not closed as they were at the time of the early industrial eras. This paper discusses management and leadership complexity challenges of collaborative industry research, innovation and development projects, its innovation ecosystems, and related emerging competencies.

Keywords: projects, project management, collaboration, virtual organisation, research and innovation, open innovation environment, communities, complexity

Introduction

In recent years the world is witnessing simultaneous and profound changes in all areas of private and public corporate activities. Organisational and private lives are becoming highly volatile and value-driven, demanding continuous innovation and learning. These changes, caused by the inflow of new digital enabling technologies[1] intertwining with our daily lives, influence the way we are performing our organisational activities and daily chores (Semolic and Steyn, Sept. 2017). Moreover, this is only the first taste of dramatic changes in the years to come.

The key research findings in the  2016 Global Industry 4.0 Survey Report, published by PWC (Geissbauer, Vedso, Schrauf, 2016), reflect the following needs or situations:

  • Industry 4.0 moved from theories and strategies to the real investments and actions.
  • Companies that successfully implemented Industry 4.0 no longer need to choose between focusing on a better top or bottom line. They can improve both at the same time.
  • Deepen digital relationships with more empowered customers. Customers will be at the centre of changes to value chains, products, and
  • Focus on people and culture to drive transformation. This survey output shows that industry’s most profound implementation challenge is not the right technology, but a lack of digital culture and skills in their organisations.
  • Data analytics and digital trust are the foundation of Industry 4.0.
  • Robust, enterprise-wide data analytics capabilities require significant change. Companies need to develop robust organisational structures to support data analytics as an enterprise-level capability.
  • Industry 4.0 is accelerating globalism, but with a distinctly regional flavor.
  • Significant investments with big impacts are required: It is time to commit. It is estimated that global industrial product companies will invest USD 907 billion per year through 2020. The primary focus will be on digital technologies like sensors or connectivity devices, as well as on software and applications like manufacturing execution systems (MES). Moreover, companies are investing in the education and training of employees, and driving organisational

The Roundtable on Digitizing European industry – Work Group 1 Report, avers that “digitalization is essentially an innovation issue”, and organisations are approaching it with the usual wide variety of attitudes, methods and expectations encountered in managing innovation.  These attitudes depend on the organisation’s digital maturity[2]. The urgent need for such innovation and change should rather be explained and motivated by the language of increasing profitability, competitiveness or customer satisfaction rather than hard technologies. Abstract terms such as “Industry 4.0” or “digital transformation” are likely to be unattractive in some business environments, like small and medium-sized enterprises (WG1 Report, 2017).

Global intensive digitalisation processes and technical complexity of industry products and services are generating the new landscape of Industry 4.0 markets. The global and regional markets are in the process of radical strategic change and transformation. Big companies will not solely dominate on these markets anymore. There is a place for innovative small and medium-sized companies that are becoming global leaders with their innovative products.  Capacities to generate market attractive products and services by exploitation of the creative mix of own, regional and global technology resources formed in the innovative, flexible digitalised processes of agile, value and supporting supply chains, will be preconditions of business success. Allocation and sustainable exploitation of the regional innovation potential can generate benefits for all involved parties in such endeavors.

Industry 4.0 businesses are flourishing in regions and countries with adequate competencies, available resources, transformational leadership, sound corporate culture and sustainable regional support.  Modern Industry 4.0 organisations in regions and countries are searching for new mechanisms to create favourable business conditions by providing adequate supporting services (Steyn and Semolic, March 2017).

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How to cite this paper: Semolic, B. & Steyn, P. (2018). Industry 4.0 Collaborative Research, Innovation and Development (RID) Projects, PM World Journal, Vol. VII, Issue VIII – August.  Available online at https://pmworldjournal.net/wp-content/uploads/2018/08/pmwj73-Aug2018-Semolic-Steyn-Industry4.0-Collaborative-RID-Projects-featured-paper.pdf

 



About the Authors


Prof Dr Brane Semolic

Founder and Head of LENS Living Lab –
International living laboratory
Celje, Slovenia

 

 

Brane Semolic studied mechanical engineering, engineering economics, and informatics; he holds a scientific master degree and doctorate in business informatics. His focus of professional interest is industrial and system engineering, innovation and technology management, virtual organizations and systems, project and knowledge management. He has 40 years of working experiences in different industries (industrial engineering, IT, chemicals, household appliances, government, and education), as an expert, researcher, manager, entrepreneur, counselor to the Slovenian government and professor.  He operates as head of the open research and innovation organization LENS Living Lab. LENS Living Lab is an international industry-driven virtual living laboratory. He is acting as initiator and coordinator of various research and innovation collaboration platforms, programs and projects for the needs of different industries (ICT, robotics, laser additive manufacturing, logistics, education). He was co-founder and the first director of the TCS – Toolmakers Cluster of Slovenia (EU automotive industry suppliers). Since 2004 he is serving as the president of the TCS council of experts. Besides this, he is operating as a part-time professor at the Cranefield College.

He was head of project and information systems laboratory at the Faculty of Mechanical Engineering, Head of the Project & Technology Management Institute at the Faculty of Logistics, University of Maribor and professor of project and technology management at the graduate and postgraduate level. He acted as a trainer at the International »European Project Manager« post-graduated program, organized jointly by the University of Bremen.

He was the co-founder and president of the Project Management Association of Slovenia (ZPM), vice president of IPMA (International Project Management Association), chairman of the IPMA Research Management Board (2005-2012), and technical vice-chairman of ICEC (International Cost Engineering Council).  Now he is serving as a director of the IPMA & ICEC strategic alliance. He actively participated in the development of the IPMA 4-level project managers’ certification program. He introduced and was the first director of the IPMA certification program in Slovenia. He has been serving as the assessor in this certification program since 1997. He performed as assessor in the IPMA International PM Excellence Award Program in China, India, and Slovenia.

He is a registered assessor for the accreditation of education programs and education organizations by the EU-Slovenian Quality Assurance Agency for Higher Education.

He was a Member of Strategic Advisory Board of European Competitiveness and Innovation, as well as the president of the Slovenian Chamber of Business Services.

He got the award as ICEC Distinguished International Fellow in 2008. He received the »Silver Sign« for his achievements in research, education, and collaboration with the industry from the University of Maribor in 2015.

Professor Semolic is also an academic advisor for the PM World Journal.  He can be contacted at brane.semolic@3-lab.eu.   Additional information about the LENS Living Lab can be found at http://www.3-lab.eu/ .

To view other works by Prof Semolic, visit his author showcase in the PM World Library at https://pmworldlibrary.net/authors/brane-semolic/

 


Prof Dr Pieter Steyn

Founder, Director, Principal
Cranefield College of Project and Programme Management
Pretoria & Western Cape, South Africa

 


Dr
Pieter Steyn is Founder and Principal of Cranefield College of Project and Programme Management, a South African Council on Higher Education / Department of Education accredited and registered Private Higher Education Institution. The Institution offers an Advanced Certificate, Advanced Diploma, Postgraduate Diploma, Master’s degree, and PhD in project and programme-based leadership and management. Professor Steyn holds the degrees BSc (Eng), MBA, and PhD in management, and is a registered Professional Engineer.

He was formerly professor in the Department of Management, University of South Africa and Pretoria University Business School. He founded the Production Management Institute of South Africa, and in 1979 pioneered Project Management as a university subject at the post-graduate level at the University of South Africa.

Dr Steyn founded consulting engineering firm Steyn & Van Rensburg (SVR). Projects by SVR include First National Bank Head Office (Bank City), Standard Bank Head Office, Mandela Square Shopping Centre (in Johannesburg) as also, Game City- and The Wheel Shopping Centres (in Durban). He, inter alia, chaired the Commission of Enquiry into the Swaziland Civil Service; and acted as Programme Manager for the Strategic Transformation of the Gauteng Government’s Welfare Department and Corporate Core.

Pieter co-authored the “International Handbook of Production and Operations Management,” (Cassell, London, 1989, ed. Ray Wild) and is the author of many articles and papers on leadership and management. He is a member of the Association of Business Leadership, Industrial Engineering Institute, Engineering Association of South Africa, and Project Management South Africa (PMSA); and a former member of the Research Management Board of IPMA. He serves on the Editorial Board of the PM World Journal. Pieter is also Director of the De Doornkraal Wine Estate in Riversdale, Western Cape.

Professor Steyn can be contacted at [email protected]. For information about Cranefield College, visit www.cranefield.ac.za.

To view other works by Prof Steyn, visit his author showcase in the PM World Library at https://pmworldlibrary.net/authors/dr-pieter-steyn/

 

[1] Enabling Technologies – Equipment and/or methodology that, alone or in combination with associated technologies, provides the means to generate giant leaps in performance and capabilities of the user. For example, the coming together of telecommunication technologies, internet, and groupware has leveled the field so that even smaller firms are able to compete in areas where they otherwise could not (Business Dictionary, 2018)

[2] Digital Maturity – “Digital maturity is about adapting the organization to compete effectively in an increasingly digital environment. Maturity goes far beyond simply implementing new technology by aligning the company’s strategy, workforce, culture, technology, and structure to meet the digital expectations of customers, employees, and partners. Digital maturity is, therefore, a continuous and ongoing process of adaptation to a changing digital landscape” (Kane et al, 2017)

 

 

Chief Portfolio Officer

The Industry 4.0 Value Chain Change Agent

 

FEATURED PAPER

By Dr Julian Van den Berg (Australia)

Prof Pieter Steyn (South Africa)

and

Dr. Brane Semolic (Slovenia)

Cranefield College

 


Abstract

The Fourth Industrial Revolution (Industry 4.0) is characterised by increasing digitisation and inter-connection of products, value chains and business models. Competitiveness is improved through collaboration by mustering inter-organisational resources in the form of virtual networks of partners. It leads to profound transformation and change in the paradigms and structuring of modern organisations, demanding the introduction of horizontal supply and value chains overseen by a Chief Portfolio Officer. This shapes organisations into strategic, collaborative, value driven entities where a competitive edge is gained by performing strategic activities more effectively and efficiently.

INTRODUCTION

Petersen and Autry (2014), observe that supply chain management (SCM) scholars are truly at the crossroads of opportunity and stagnation. If integrative knowledge can be expanded and functional biases discarded, then stagnation will be circumvented. In their conclusion they point out that SCM as a new discipline is approaching theoretical, ontological, and methodological crossroads and is rich with opportunity at the same time. Decades ago Forrester (1958) proposed that after a period of research involving basic analytic techniques, pioneering management who are first to improve their understanding of the interrelationships and integration between separate organisation functions, will enjoy an economic advantage.

Steyn (July, 2010) alludes to the importance of a Chief Portfolio Officer (CPO) as a key member of executive leadership. The emergence of Industry 4.0 in 2011 accelerated the demise of bureaucracy and the creation of cross-functionally shaped knowledge-based learning organisation value chains. This transformation and change resulted in organisations structuring their supply chain- and project portfolios cross-functionally, profoundly stimulating the need for the introduction of a CPO. Moreover, it reinforced the need for further research into building a management framework and model to advance the body of knowledge supporting the role of CPO.

It became evident from the literature that the academic discourse on the process of strategy selection renders little agreement amongst various prominent authors in the field. The discourse on strategy implementation through projects, programmes and portfolios also render little agreement. Further investigation into the literature was performed with the intent of describing the dominant approaches to strategy and how these divergent approaches can be grouped and crystallised on a continuum of strategic approaches, as shown in Figure 1 (see more detail in Figures 2, 3, 4 and 5).

Figure 1: The Value Continuum of Portfolio Managed Supply Chain Management Strategy Options. (Adapted: Van den Berg, 2017)

The strategy value continuum describes various artefacts relating to the types of strategic options chosen by organisations. The strategy value continuum also illustrates the moderating factors (moderators) that are believed to be some of the mechanisms that form the main contributors to the cause-effect relationship that leads to many of the alleged organisational failures within the context of a multinational supply chain portfolio. These moderators also have an impact on the supply chain portfolio business models proposed by Steyn (2003, 2010, 2012 and 2013) and Steyn and Semolic (2016) illustrated in Figures 2, 3, 4 and 5.

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How to cite this paper: Van den Berg, J., Steyn, P., Semolic, B. (2018). Chief Portfolio Officer: The Industry 4.0 Value Chain Change Agent, PM World Journal, Vol. VII, Issue VII – July. Available online at https://pmworldjournal.net/wp-content/uploads/2018/07/pmwj72-Jul2018-VandenBerg-Steyn-Semolic-chief-porfolio-officer-industry4.0.pdf



About the Authors


Dr Julian Van den Berg

Executive Consultant, Global IT Manager
and SCM Researcher

 

 

Dr Julian Van den Berg has experience working in various IT capacities, supply chain management (SCM), consulting and general management stretching across diverse sectors such as mining, manufacturing, warehousing, retail, banking, pharmaceuticals and education.

Dr Van den Berg began his career in electrical engineering working in an electronics design laboratory developing high-current testing equipment. He changed the focus of his career towards IT and began working as a COBOL programmer. He later moved into the ERP space and worked as an SAP ABAP programmer and later as an SAP functional consultant focussing on SCM applications.

Julian has worked as an upper-level manager in global management capacities for some of the largest multinational organisations in the world directing teams and virtual team structures across numerouscountries. His portfolio of employment also includes working for some of the big 5 consulting firms such as Accenture and Deloitte.

Over the years, Julian has focussed on developing a solid understanding of the supply chain and the various best practices, frameworks, corporate governance and management techniques to ensure business success. His industry exposure, IT and business experience and academic pursuits have provided him with valuable competencies and insights to how different industries function, the interlocking complexities they face, and the team dynamics required to get the job done.

Dr Van den Berg can be contacted at [email protected] or you are welcome to connect on https://www.linkedin.com/in/julianvandenberg

 

 
Prof Dr Pieter Steyn

Founder, Director, Principal
Cranefield College of Project and Programme Management
Pretoria & Western Cape, South Africa

 


Dr
Pieter Steyn is Founder and Principal of Cranefield College of Project and Programme Management, a South African Council on Higher Education / Department of Education accredited and registered Private Higher Education Institution. The Institution offers an Advanced Certificate, Advanced Diploma, Postgraduate Diploma, Master’s degree, and PhD in project and programme-based leadership and management. Professor Steyn holds the degrees BSc (Eng), MBA, and PhD in management, and is a registered Professional Engineer.

He was formerly professor in the Department of Management, University of South Africa and Pretoria University Business School. He founded the Production Management Institute of South Africa, and in 1979 pioneered Project Management as a university subject at the post-graduate level at the University of South Africa.

Dr Steyn founded consulting engineering firm Steyn & Van Rensburg (SVR). Projects by SVR include First National Bank Head Office (Bank City), Standard Bank Head Office, Mandela Square Shopping Centre (in Johannesburg) as also, Game City- and The Wheel Shopping Centres (in Durban). He, inter alia, chaired the Commission of Enquiry into the Swaziland Civil Service; and acted as Programme Manager for the Strategic Transformation of the Gauteng Government’s Welfare Department and Corporate Core.

Pieter co-authored the “International Handbook of Production and Operations Management,” (Cassell, London, 1989, ed. Ray Wild) and is the author of many articles and papers on leadership and management. He is a member of the Association of Business Leadership, Industrial Engineering Institute, Engineering Association of South Africa, and Project Management South Africa (PMSA); and a former member of the Research Management Board of IPMA. He serves on the Editorial Board of the PM World Journal. Pieter is also Director of the De Doornkraal Wine Estate in Riversdale, Western Cape.

Professor Steyn can be contacted at [email protected] For information about Cranefield College, visit www.cranefield.ac.za.

To view other works by Prof Steyn, visit his author showcase in the PM World Library at https://pmworldlibrary.net/authors/dr-pieter-steyn/

 

 
Prof Dr Brane Semolic

Founder and Head of LENS Living Lab –
International living laboratory
Celje, Slovenia

 

 

Brane Semolic studied mechanical engineering, engineering economics, and informatics; he holds a scientific master degree and doctorate in business informatics. His focus of professional interest is industrial and system engineering, innovation and technology management, virtual organizations and systems, project and knowledge management. He has 40 years of working experiences in different industries (industrial engineering, IT, chemicals, household appliances, government, and education), as an expert, researcher, manager, entrepreneur, counselor to the Slovenian government and professor.  He operates as head of the open research and innovation organization LENS Living Lab. LENS Living Lab is an international industry-driven virtual living laboratory. He is acting as initiator and coordinator of various research and innovation collaboration platforms, programs and projects for the needs of different industries (ICT, robotics, laser additive manufacturing, logistics, education). He was co-founder and the first director of the TCS – Toolmakers Cluster of Slovenia (EU automotive industry suppliers). Since 2004 he is serving as the president of the TCS council of experts. Besides this, he is operating as a part-time professor at the Cranefield College.

He was head of project and information systems laboratory at the Faculty of Mechanical Engineering, Head of the Project & Technology Management Institute at the Faculty of Logistics, University of Maribor and professor of project and technology management at the graduate and postgraduate level. He acted as a trainer at the International »European Project Manager« post-graduated program, organized jointly by the University of Bremen.

He was the co-founder and president of the Project Management Association of Slovenia (ZPM), vice president of IPMA (International Project Management Association), chairman of the IPMA Research Management Board (2005-2012), and technical vice-chairman of ICEC (International Cost Engineering Council).  Now he is serving as a director of the IPMA & ICEC strategic alliance. He actively participated in the development of the IPMA 4-level project managers’ certification program. He introduced and was the first director of the IPMA certification program in Slovenia. He has been serving as the assessor in this certification program since 1997. He performed as assessor in the IPMA International PM Excellence Award Program in China, India, and Slovenia.

He is a registered assessor for the accreditation of education programs and education organizations by the EU-Slovenian Quality Assurance Agency for Higher Education.

He was a Member of Strategic Advisory Board of European Competitiveness and Innovation, as well as the president of the Slovenian Chamber of Business Services.

He got the award as ICEC Distinguished International Fellow in 2008. He received the »Silver Sign« for his achievements in research, education, and collaboration with the industry from the University of Maribor in 2015.

Professor Semolic is also an academic advisor for the PM World Journal.  He can be contacted at brane.semolic@3-lab.eu.   Additional information about the LENS Living Lab can be found at http://www.3-lab.eu/ .

To view other works by Prof Semolic, visit his author showcase in the PM World Library at https://pmworldlibrary.net/authors/brane-semolic/

 

 

Bankable and sustainable solar projects

as a panacea for environmental pollution and unemployment for millions of African youths

 

FEATURED PAPER

By O. Chima Okereke, PhD

UK and Nigeria

 



Introduction

A conference to enhance the knowledge of project management among African entrepreneurs, businesses, and professionals took place in Yaounde, Cameroon, in May 23rd to 25th 2018.  This was the 2nd Pan- African Conference on Project Management. The theme was: “Successful Preparation of Bankable Projects in Africa.”  The objective could be summarised as: To provide African entrepreneurs and businesses with information on how to prepare bankable projects to enable them to attract funding for industrial and infrastructure projects that will accelerate the economic transformation of the continent.

In this article, necessity for bankable solar projects is discussed with a view to achieving the following objectives:

  • Discussing alternative power supply to Sub-Saharan Africa
  • Reviewing some of the relevant events resulting from the Paris Conference on Climate
  • Exploring employment for African youths through collateral products of, and applications from, solar power.

In order to achieve these objectives, the topics to be considered in this paper are as follows:

  1. Unemployment among African youths
  2. Sub-Saharan economic development constrained and retarded by poor power supply
  3. Environmental damage created by fossil fuel, greenhouse effect, Paris Conference Agreement, some resulting events, and campaign for renewable energy
  4. Renewable energy, solar power supply,
  5. Achieving bankable projects and bankable solar projects, products, applications and jobs
  6. Conclusion and going forward
  1. Unemployment among African youths

The necessity to provide employment for millions of youths in Africa cannot be over emphasised.

Despite being a leading economy in Sub-Saharan Africa, with almost 50% unemployed youths in 2014, and 52.4% in first quarter of 2018, South Africa has one of the highest levels of youth unemployment in the region [1]. Moreover, according to Mr. Kelvin Balogun, President of Coca-Cola for Central, East and West Africa, “Almost half of the 10 million graduates churned out of the over 668 universities in Africa yearly do not get job” [2]. In June 2017, it was reported that 61.6 percent of Nigerian youths were unemployed. This was as contained in a report released on Monday, June 5, 2017, by the National Bureau of Statistics (NBS)[3].

In some advanced nations where youths’ unemployment may occur, it may be seen as an aberration, an unusual feature, a spike from the normal because such countries already have stable politico-economic systems that facilitate economic stability and growth. As a result, in a few years, the relevant national government could introduce measures that should help eliminate or at worst, reduce the unemployment.  While, it may be overly optimistic to accord such ability of turning around their national economy to an African government, it is the case that in course of conducting the research for this paper, a number of commendable programmes and projects for the youths, and by the youths, in many African countries on solar power supply have been discovered. These have been initiated in some cases by banks, national government agencies, and African youths both in Africa and in Diaspora.  In spite of these efforts, a lot still remains to be done to engage more unemployed youths. The thrust of this paper is the necessity to establish sustainability of solar programmes in Sub-Saharan Africa; this requires effective investments for the long-term solution to the problems of youths’ unemployment and our grossly inadequate power supply.

More…

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How to cite this paper: Okereke, O. C. (2018). Bankable and sustainable solar projects as a panacea for environmental pollution and unemployment for millions of African youth; PM World Journal, Vol. VII, Issue 7 – July.  Available online at https://pmworldjournal.net/wp-content/uploads/2018/07/pmwj72-Jul2018-Okereke-solar-projects-as-panacea-for-pollution-and-unemployment-in-africa.pdf



About the Author


Chima Okereke, PhD, PMP

Herefordshire, UK

 

 

 

 Dr. O. Chima Okereke, Ph.D., MBA, PMP is the Managing Director and CEO of Total Technology Consultants, Ltd., a project management consulting company working in West Africa and the UK.  He is a visiting professor, an industrial educator, a multidisciplinary project management professional, with over 25 years’ experience in oil and gas, steel and power generation industries. For example, On December 26th 2013, he completed an assignment as a visiting professor in project management; teaching a class of students on Master’s degree in project management in the Far Eastern Federal University, Vladivostok, Russia.  In August and September 2013, he conducted an innovative, and personally developed training programme for seventy six well engineers of Shell Nigeria to enhance the efficiency of their operations using project and operations management processes.

Before embarking on a career in consulting, he worked for thirteen years in industry rising to the position of a chief engineer with specialisation in industrial controls and instrumentation, electronics, electrical engineering and automation. During those 13 years, he worked on every aspect of projects of new industrial plants including design, construction and installation, commissioning, and engineering operation and maintenance in process industries.  Chima sponsored and founded the potential chapter of the Project Management Institute (PMI®) in Port Harcourt, Nigeria, acting as president from 2004 to 2010.

Dr. Okereke has a Bachelor of Science Degree in Electrical Engineering from the University of Lagos, and a PhD and Masters in Business Administration (MBA) degree from the University of Bradford in the UK.  He also has a PMP® certification from the Project Management Institute (PMI®) which he passed at first attempt.  He has been a registered engineer with COREN in Nigeria since 1983.  For many years, Total Technology has been a partner for Oracle Primavera Global Business Unit, a representative in Nigeria of Oracle University for training in Primavera project management courses, and a Gold Level member of Oracle Partner Network (OPN. He is a registered consultant with several UN agencies.  More information can be found at http://www.totaltechnologyconsultants.org/.

Chima is the publisher of Project Management Business Digest, a blog aimed at helping organizations use project management for business success.  Dr. Okereke is also an international editorial advisor for the PM World Journal and PM World Library. He can be contacted at [email protected]   or [email protected].

To view other works by Dr. Okereke, visit his author showcase in the PM World Library at https://pmworldlibrary.net/authors/dr-o-chima-okereke/

 

Practical Approach towards Project Control Systems

Using EVM & CCPM Integration

 

FEATURED PAPER

By Essam Mohamed Lotfy, PMP, CCP

ELV – Projects Manager, NAFFCO

Abu Dhabi, UAE

 


Introduction

Despite widely-accepted project control systems utilities & ways of doing things being used to watch (for changes, unusual things, etc.) the project performance, it was seen/obvious that a large number of projects do not complete on time & within budget (For every $1 billion invested in the United States, $122 million was wasted due to missing project performance. (Source: Pulse of Profession Report 2016 PMI.org) However, Earned Value Management (EVM) ways of doing things are used to watch (for changes, unusual things, etc.) project performance the chances to have performance shortages still exist. Since most Project Managers focus only on gain & loss since EVM is cost-oriented this way most of Project managers might select wrong priorities and ignore the resource constraints and Actual site conditions.

It’s very important to successfully identify the good Projects control systems & progress review ways of doing things that promise that something will definitely happen or that something will definitely work as described the project completion on time, within budget. In order to tell apart the needed/demanded good project management solid basic structure on which bigger things can be built and sustained project controls system it is preferred to move beyond traditional scheduling processes. Usually, most of projects have no ideal conditions for the activities of many possible/likely such as but not limited to, Project complex difficulty level, useful thing/valuable supply types and site location.

The main concern of using traditional scheduling process is that most of the planners and/or schedulers ignore or do not think about/believe uncertainties.  However; PERT (The Program Evaluation and Review Technique) model is being used to calculate construction activity duration as an average of Optimistic, Pessimistic and Most likely duration of the activity. This model is being calculated to give a weighted average of activity duration it is a classic model that usually gives optimistic results. Another classic model is being used is CPM (Critical Path Method) which still ignores the previously-mentioned uncertainties. The need for change from traditional scheduling process to a modern and practical model is to think about the uncertainties that may affect the project activities estimated duration and cost also, and Project Managers with their teams have to have an agreed-upon process that allows all of the project risk areas to be uncovered, tested/evaluated and dismissed or mitigated (Pre-Mortem managerial strategy – Source Wikipedia).

The approach to this idea depends on TOC (Theory of Constraints or Explanation of why something works or happens the way it does of Restrictions) to put into use CCPM (Critical Chain Project Management) which were developed by Goldratt. This practical scheduling process applies the resource constraints on the project Critical Path to finally develop a Critical Chain.

The goal of this technical paper is to:

  • Make the case for using a scheduling technique that considers uncertainties and natural variability that may impact the project activities, especially in the construction field.
  • Highlight hidden risks of using earned value management only.
  • Make the case for implementing an integrated model of earned value management with critical chain project management that gives better early warnings to project management teams about any possible impact on the project completion date and budget.

“Apply Critical Chain Project Management and Utilize Collaboration between Project Stakeholders to get your Projects completed with less time and money”

More…

To read entire paper, click here

 

How to cite this paper: Lotffy, E. M. (2018). Practical Approach towards Project Control Systems Using EVM & CCPM Integration, PM World Journal, Vol. VII, Issue VII – July. Available online at https://pmworldjournal.net/wp-content/uploads/2018/07/pmwj72-Jul2018-Lotffy-project-control-using-evm-and-ccpm-integration-featured-paper.pdf



About the Author


Essam Mohamed Lotffy

Abu Dhabi, UAE

 

 

 

Essam Lotffy, PMP, CCP is ELV Projects Manager, BSc. in Electrical Engineering, Power Distribution through Zagazig University, Egypt since 2001. He has pursued and achieved his certificates in Project Management (PMP®) from PMI-USA since 2013, and certificate in Cost Management (CCP®) from AACE International since june-2014. Essam has 15 years extensive hands on experience in various aspects of projects and project management within maintenance, power distribution networks, monitoring and supervision, and construction projects as well.

He has volunteered at PMI-Global Congress EMEA-2014 – Dubai during 5th to 8th May 2014. He has made technical presentations at PMI-AGC 15th International conference –Bahrain 19th to 21st January 2015; the 54th AACEi-SF Bay Annual Western Winter Workshop, Lake Tahoe, Nevada, USA; and the 55th AACEi-SF Bay Annual Western Winter Workshop, Indian Wells, CA, USA. He has authored and co-authored papers previously published in the PM World Journal and now contained in the PM World Library at https://pmworldlibrary.net/authors/essam-lotffy/

An independent project management, cost engineering and cost control consultant and instructor, Mr. Lotffy can be contacted at [email protected]

 

Valuation of the Impact of Sawmill Industry

on Ambient Air Quality in Ikot Ekpene, Nigeria

 

FEATURED PAPER

By Chicheta F. Nissi, PhD
Department of Estate Management
University of Uyo

and

Mbosowo Ebong Ekpo, Corresponding Author
Department of Estate Management,
Akwa Ibom State Polytechnic

Akwa Ibom State, Nigeria

 



Abstract

The major problem in most towns and cities in Nigeria is that of ambient air pollution. Therefore, this work valued the impact of sawmill industry on ambient air quality in Ikot Ekpene Local Government Area of Akwa Ibom State. Nigeria. The methodology involved the collection of detailed property information from housing units randomly selected in the study area. The major areas covered are Utu Ikpe, Utu EdemUsung, Nsiak, AbiakpoEdemIdim, Ikot Ekpene Main Town, Nkap, Ukana Ikot Ntuen. Moreover, a control point – Utu Ikot Ekpenyong, about 900m away from the study area was chosen. Ten (10) properties were sampled from each of the villages. For the purpose of this research, the average rental values per annum of the sampled properties were obtained using the current rental value. Findings revealed that a sawmill located in Utu community generates a lot of waste including saw dusts, wood barks, palm shavings, among others; which are disposed of through in-situ burning. In addition, activities and processes in the industry produce various gaseous pollutants that are continuously emitted into the atmosphere. The results obtained in this study are not only useful in providing information on the prevailing air quality but also justify the need for epidemiological research in the area to value the impact of continuous gaseous emissions from the sawmill on the populace.

Keywords: Valuation, Sawmill, Industry, Ambient Air Quality, Ikot Ekpene

1.0       Introduction

The contribution of industry to local and national economy in all facets is not in doubt. The impact of industrial activities is felt in a variety of ways. Presence of any industry in any community has recorded substantial impact on the economy in the area of employment generation, infrastructural provision and boost in the residents’ socio-economic status. On the other hand, concerns have been expressed over the years on the negative impacts of industries, most especially on the host communities (Needham and Louw, 2003; Louw et al., 2004, Olaleye and Oluyemi, 2009). Due to the fast growth recorded in the building construction sector, there has been high increase in the establishment of sawmills in different parts of the country to satisfy the growth demand for wood (Aroofor, 2000). Sawmills accounted for 93.32% of total number of wood-based industries in Nigeria in 2001 (Fawupe, 2003). These industries are mainly located in the wood producing rain forest areas of the country with largest concentrations in Lagos, Ekiti, Osun, Cross River, Akwa Ibom, Ogun and Delta States, accounting for 90% of all sawmills in the country (Dosunmu and Ajayi, 2002). The activities and processes in the sawmill industry produce known and unknown gaseous pollutants that are emitted into the atmosphere that may be hazardous to humans. Studies have shown that nasal cancer and asthma are highly associated with continuous exposure to wood dust and other substances that are used in the wood industry (Anavberokhai, 2008). The increased activities in these sawmills as well as the continuous emissions of these pollutants in the South-South Nigeria over the years have not been properly examined especially in the context of their impact on the ambient air quality. It is in this context that this study was carried out.

1.1       Aim

This work valued the impact of sawmill industry on ambient air quality in Ikot Ekpene with a view to providing information on environmental pollution in the study area and Nigeria at large. In order to achieve the stated aim, the following objectives were set;

1.2       Objectives

  • To explore the various methods of valuing environmental goods and services.
  • To examine the Challenges and opportunities of using the identified methods
  • To demonstrate the use of one of the methods so identified to value the impact of sawmill industry on ambient air quality in the study area.
  • To develop a model for determining Rental Values of properties in the Study area.

More…

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How to cite this paper: Nissi, C. F. and Ekpo, M. E.  (2018). Valuation of the Impact of Sawmill Industry on Ambient Air Quality in Ikot Ekpene, Nigeria; PM World Journal, Vol. VII, Issue 7 – July. Available online at https://pmworldjournal.net/wp-content/uploads/2018/07/pmwj72-Jul2018-Nissi-Ekpo-impact-of-sawmill-ambient-air-quality-featured-paper.pdf



About the Authors


Chicheta F. Nissi, PhD

Department of Estate Management,
University of Uyo
Akwa Ibom State, Nigeria

 

 

 

Dr. Mrs. Chicheta F. Nissi holds a Bachelor degree in Estate Management from the University of Uyo, Nigeria. She holds both Masters and Doctor of Philosophy degrees in Estate Management from Nnamdi Azikiwe University, Awka, Anambra State in Nigeria.  She is an Associate of the Nigerian Institution of Estate Surveyors and Valuers, and a registered Estate Surveyor and Valuer. ESV. Chicheta F. Nissi is a Lecturer in the Department of Estate Management, University of Uyo, Uyo and can be contacted at [email protected].

 


Mbosowo Ebong Ekpo

Akwa Ibom State Polytechnic
Ikot Osurua, Ikot Ekpene
Akwa Ibom State, Nigeria

 

 

ESV. Mbosowo Ebong Ekpo holds both the Bachelor and Master of Science degrees in Estate Management from the University of Uyo, Nigeria. He is currently pursuing a Doctoral degree programme in Estate Management in the same university.  His area of interest is in Real Estate Investment Valuation. He is an Associate of the Nigerian Institution of Estate Surveyors and Valuers, and a registered Estate Surveyor and Valuer. ESV. Mbosowo Ebong is a Lecturer in the Department of Estate Management, Akwa Ibom State Polytechnic, Ikot Osurua and can be contacted at [email protected].

 

 

 

Time and Cost Performance of Oil Wells

Drilling and Completion Projects in Warri Delta State, Nigeria: A Situational Analysis

 

FEATURED PAPER

By Ibeawuchi Ifeanyi Echeme

Department of Project Management Technology
Federal University of Technology

Owerri, Nigeria

 



Abstract

This study focused on the time and cost performance of Oil Well Drilling and Completion projects in Warri Delta State as to the success or failure of Aroh- 1 and 2 Oil Well projects.  The aim basically is to assess the performance of these projects with regards to cost and schedule requirements and the possible causes of variation, if any. Earned value analysis (EVA) model was the major tool used for the project monitoring and it was also used to analyze the performance of these projects. Aroh-1 and 2 Oil Well drilling and completion projects were selected for the analysis using judgmental sampling base on the availability of necessary data. The analysis revealed that most of the activities undertaken by the contractors show some elements of “fatigue” as they experienced cost and time overrun. This problem seems to come from the mechanical and logistics arrangement which appears in the form of equipment breakdown and delays by the staff of Joint Tax Force (JTF).    

Keywords: time and cost overrun; project performance; Aroh-1 and 2; oil well drilling and completion; cost and time performance; earned value analysis.

Introduction

Nigeria is developing country that is heavily dependent on petroleum resources for development. This much awaited development can only be achieved if projects, especially the oil and gas projects, can be realized free of any negative variations in cost, time and quality performances. This is because they are the major criteria for judging projects success. Project is therefore seen as a proposal for an investment to increase, expand and/or develop certain facilities in order to increase the production of goods and/ or services in a community during a given period of time (Echeme, 2015). Again for evaluative purposes, a project is a unit of investment, which can be distinguished technically, commercially and economically from other investment. Akpan and Chizea (2013) explained the term project to connote any unique activity, situation, task , programme, scheme, or any human endeavour in which human, time and other resources are utilized to satisfy a definable and definite one-off (single or multiple) objective, the realization of the set objective generally signals the completion of this unique activity.

Furthermore, it was added that the word “completion” as used may not be implicit and could be discriminatory as it can come out to be unsatisfactory completion depending on the set criteria. An unsatisfactory completion connotes that though the project was realized, its realization did not adhere to the set criteria of cost, schedule and quality. However, Kezner (2009) added that a successful project implementation occurs if the project, comes on-time, on-budget, achieves all the goals originally set for it, and is adopted and used by the clients for whom the project is intended. It implies the successful achievement of time, cost and quality objectives, as well as the quality of the project process. Since the existence of a project is for development purposes, the determination of the time and cost performance becomes very necessary, especially for oil and gas projects in Warri, Delta state.

This study analyzed the level of performance of time and cost indices in the Oil Well Drilling and Completion project execution in Warri, Delta State. The benefits derivable from a successful project management, especially in the area of execution have renowned multiplier effects on the economies of our various societies.

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How to cite this paper: Echeme, I. I. (2018); Time and Cost Performance of Oil Well Drilling and Completion Projects in Warri Delta State, Nigeria: A Situational Analysis, PM World Journal, Vol. VII, Issue VI – June. Retrieved from https://pmworldjournal.net/wp-content/uploads/2018/06/pmwj71-Jun2018-Echeme-time-and-cost-performance-of-oil-projects-in-warri-delta-state.pdf



About the Author


Ibeawuchi Ifeanyi Echeme, PhD

Federal University of Technology, Oweri

Nigeria

 

 

Ibeawuchi Ifeanyi Echeme is a lecturer in the department of Project Management Technology, Federal University of Technology, Owerri. Echeme has a B.Tech, MSc, and PhD in Project Management Technology and has published more than fifteen (15) articles in both international and national reputable journals. Dr. Echeme has published a textbook on Project Time, Cost and Quality Management. He is a Certified Project Director (CPD) and a member of International Project Management Professionals (IPMP). Dr. Echeme has presented papers in conferences and workshops within and outside Nigeria. He can be contacted through; [email protected]

Tel +2348032403835.

To view other works by Dr. Echeme, visit his author profile in the PM World Library at https://pmworldlibrary.net/authors/ibeawuchi-i-echeme-phd/

 

 

The Application of Cash Flow Analysis

in Real Estate Investment Appraisal

 

FEATURED PAPER

By Francis P. Udoudoh, PhD
Department of Estate Management, University of Uyo
Uyo, Akwa Ibom State, Nigeria

Mbosowo Ebong Ekpo, M.Sc.
Department of Estate Management, Akwa Ibom State Polytechnic
Ikot Osurua, Nigeria

 

 


 
Abstract

The aim of this paper is to examine the application of cash flow analysis in real estate investment appraisal. In every appraisal exercise, there are cash outflows and cash inflows; and the appraiser may adopt the discounting or non-discounting methods. The non-discounting methods differ from the discounting methods mainly on the premise that they do not take into account the timings of the returns from various projects and the risk factor associated with these returns. The discounted cash flow techniques can be used to produce Gross Present Value (GPV), Net Present Value (NPV), Internal Rate of Return (IRR) and External Rate of Return (ERR); while the typical examples of non-discounting appraisal techniques are Rate of Return (RR) and the Payback Period (PP) models. Based on the computation carried out, this research has shown that cash flows analysis is the basic prerequisite to determine the attractiveness or otherwise of a contemplated project. It concluded that discounted cash flow techniques do not tell an investor which scheme to invest in, but rather provide very useful financial information on which investment decision is based.

Introduction

Real estate investment appraisal is critical in any project proposal and execution, though the process differs from one investment to another. Cash flow analysis is one of the techniques of pre-investment appraisal as the primary concern of any appraiser is on how to estimate the cash inflows and cash outflows in order to determine the attractiveness or otherwise of a contemplated project. The analysis of cash flow helps in determining whether development proposals meet project requirements, that is, whether the project attains a certain level of returns within the specific timeframe. This method of analysis requires the use of appropriate discount rate. The discount rate is the cost of capital adjusted to reflect the degree of risk inherent in the particular investment proposal. It involves the explicit tabulation of all incomes and outgoings, and appropriate made where necessary to arrive at reasonable values. The technique is time-adjusted in that the analysis takes into consideration the effect of time on the value of money.

The aim of this paper is therefore to examine the application of cash flow analysis in real estate investment appraisal. The paper seeks to examine the various types of cash flows and their analytical techniques in real estate investment. A few case studies are employed to demonstrate their applicability.

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How to cite this paper: Udoudoh, F.P. & Ekpo, M. E. (2018); The Application of Cash Flow Analysis in Real Estate Investment Appraisal; PM World Journal, Vol. VII, Issue 6 – June. Retrieved from https://pmworldjournal.net/wp-content/uploads/2018/06/pmwj71-Jun2018-Udoudoh-Ekpo-cash-flow-analysis-in-real-estate-appraisal-featured-paper.pdf



About the Authors


Francis P. Udoudoh, PhD

University of Uyo, Nigeria
Uyo, Akwa Ibom State, Nigeria

 


Dr. Francis P. Udoudoh
holds B.Sc, M.Sc and Ph.D degrees in Estate Management from the University of Nigeria, Nsukka with specialization in Real Estate Development Appraisal and Urban Infrastructure Economics. He is an Associate Member of the Nigerian Institution of Estate Surveyors and Valuers, and registered with the Estate Surveyors and Valuers Registration Board of Nigeria (ESVARBON). He had served as the Secretary, Nigerian Institution of Estate Surveyors and Valuers, Akwa Ibom State Branch from 2006 – 2010; Chairman, Mandatory Continuing Professional Development (MCPD) for the same Branch from 2014 to date; and as Editorial Board member of many journals including Journal of the Nigerian Institution of Estate Surveyors and Valuers, Real Estate Journal, Artist Journal, among others. Dr. Udoudoh is the author of Real Estate and Infrastructure Economics in Urban Nigeria, and Co-Editor of Real Estate Development and Issues of Sustainability in Nigeria. He is currently a Senior Lecturer and Head, Department of Estate Management in the University of Uyo. He can be contacted at [email protected].

 

 


Mbosowo Ebong Ekpo

Akwa Ibom State Polytechnic,
Ikot Osurua, Nigeria

 

 

Mr. Mbosowo Ebong Ekpo holds both the Bachelor and Master of Science degrees in Estate Management from the University of Uyo, Nigeria. He is currently pursuing a Doctoral degree programme in Estate Management in the same university.  His area of interest is in Real Estate Investment Valuation. He is an Associate of the Nigerian Institution of Estate Surveyors and Valuers, and a registered Estate Surveyor and Valuer. Mr. Mbosowo is a Lecturer in the Department of Estate Management, Akwa Ibom State Polytechnic, Ikot Osurua and can be contacted at [email protected].

 

 

Behavioral Change Metrics

in an Engineering & Construction Environment

 

FEATURED PAPER

By Bob Prieto

Chairman & CEO
Strategic Program Management LLC

Florida, USA

 



The engineering & construction industry is a project based industry and one which must undergo major transformation to deliver the projects of tomorrow.

Behavioral change is just one of the change dimensions associated with organizational transformation. Others include new tools, new process development, and new skill training that happen in parallel and influence and are influenced by the behavioral change dimension. Metrics must be carefully chosen recognizing their ability to drive behaviors and inadvertently drive unintended consequences. For example, activity measures may result in a lack of results and busy staff, while result measures may involve a limited understanding of the results, why are they not being achieved and large amounts of duplicative or uncoordinated activity. A balance is required.

Finally, transformation efforts involve a series of beginnings, middles and ends and the transitions between each phase as well as each set comprising the overall transformation effort is extremely important. (Beginnings, Middles and Ends: A Systematic Approach to Organizational Transformation; Prieto; PM World Journal; Vol. III, Issue VI – June 2014)

https://pmworldjournal.net/wp-content/uploads/2014/05/pmwj23-jun2014-prieto-beginnings-middles-ends-FeaturedPaper.pdf

In generalizing the design of behavioral metrics we can think of them as grouping into three broad categories:

  • Doing the right things
  • Doing enough of the right things
  • Doing right things right

For organizational transformation to be effectively managed, it must be measured around individual behaviors and then aggregated for project, business unit and overall organizational measurement. Metrics must be traceable to top level strategic business objectives and reflect a cascading down of KPI’s.

Let me use an example that would relate to a top level KPI on profitability. One change to improve top level profitability would be to reduce the percentage of revenue written off to bad debts. We would find that write-off levels are influenced by the age of the account, amount of communication with the debtor, and the effectiveness of the billing department. Normal KPI’s would track the amount written off and even the aging of the account (as a leading indicator) but neither of these metrics drives the desired behavioral changes we require to improve outcomes. Let’s look at the behaviors we might wish to instill (at the responsible individual level) in the transformed organization for each of the three influencers of write-off levels:

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To read entire paper, click here

 

How to cite this paper: Prieto, B. (2018). Behavioral Change Metrics in an Engineering & Construction Environment. PM World Journal, Vol VII, Issue VI – June. Retrieved from https://pmworldjournal.net/wp-content/uploads/2018/06/pmwj71-Jun2018-Prieto-Behavioral-Change-Metrics-featured-paper.pdf



About the Author


Bob Prieto

Chairman & CEO
Strategic Program Management LLC
Jupiter, Florida, USA

 


Bob Prieto 
is a senior executive effective in shaping and executing business strategy and a recognized leader within the infrastructure, engineering and construction industries. Currently Bob heads his own management consulting practice, Strategic Program Management LLC.  He previously served as a senior vice president of Fluor, one of the largest engineering and construction companies in the world. He focuses on the development and delivery of large, complex projects worldwide and consults with owners across all market sectors in the development of programmatic delivery strategies. He is author of eight books including “Strategic Program Management”, “The Giga Factor: Program Management in the Engineering and Construction Industry”, “Application of Life Cycle Analysis in the Capital Assets Industry”, “Capital Efficiency: Pull All the Levers” and, most recently, “Theory of Management of Large Complex Projects” published by the Construction Management Association of America (CMAA) as well as over 600 other papers and presentations.

Bob is a non-executive director of Cardno (ASX) and an Independent Member of the Shareholder Committee of Mott MacDonald. He serves on the Millennium Challenge Corporation Advisory Board and a member of the ASCE Industry Leaders Council, National Academy of Construction, a Fellow of the Construction Management Association of America and member of several university departmental and campus advisory boards. Bob served until 2006 as a U.S. presidential appointee to the Asia Pacific Economic Cooperation (APEC) Business Advisory Council (ABAC), working with U.S. and Asia-Pacific business leaders to shape the framework for trade and economic growth.  He had previously served as both as Chairman of the Engineering and Construction Governors of the World Economic Forum and co-chair of the infrastructure task force formed after September 11th by the New York City Chamber of Commerce. Previously, he served as Chairman at Parsons Brinckerhoff (PB).

Bob can be contacted at [email protected].

 

 

To study and analyze Information Filtering approaches

for Emergency responders during Crisis Management

 

FEATURED PAPER

By Vedna Sharma

Institute of Technology Management
Defense Research & Development Organization

Mussoorie Uttarakhand, India

 



Abstract

Information filtering is a function to select useful information for the user among a large amount of information. Among Organizations major distinctive feature of information filtering is transition from the classical activity of Information Retrieval to organized information Filtering, then conversion of filtered information into Knowledge to help decision making. This function has become very important as network technology develops rapidly and to making fast decision with overcome cost of time with the increasing value of time among organization. This paper focuses on information filtering for emergency management. When a large-scale disaster happens, the problem of information flood can be very serious because a great deal of information occurs in a short time and is sent to a person or an organization that is responsible for managing the situation. Information filtering systems filter data items by correlating vector of terms that represents data items e.g. documents, emails.

In previous years, neural networks have yielded immense success on speech recognition, computer vision and natural language processing. However, the exploration of deep neural networks on Information Filtering systems has received relatively less scrutiny. Many IF Systems have been developed in previous years for various application domains. Some examples of filtering applications are searching personal mails based on personal profiles or newsgroup filter for groups or individuals. In this paper we emphasis to study and analysis techniques for acquiring knowledge of user for information filtering, various concepts, approaches and components in IF System.

Keywords:  Information Filtering, Emergency Management, user profile, Deep Learning, Information filtering Types

  1. Introduction

Information filtering (IF) is one of the methods that are rapidly evolving to manage large information flows. It deals with the delivery of information that the user is likely to find interesting or useful. Because knowledge represents an important aspect for an organization and a way to compete more efficiently, strategic information systems. In front of the critical proliferation of electronic information and the underlying difficulty to manage this information in a relevant way, the usual answer is to reduce drastically the volume of documents available to the end users using abstracting or filtering process.

Information filtering combines tools from the field of Artificial Intelligence (AI), such as intelligent agents or software robots, with information retrieval approaches, indexing and retrieving of content [3].

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How to cite this paper: Sharma, V. (2018). To study and analyze Information Filtering approaches for Emergency Responders during Crisis Management; PM World Journal, Vol. VII, Issue VI – June. Retrieved from https://pmworldjournal.net/wp-content/uploads/2018/06/pmwj71-Jun2018-Sharma-information-filtering-for-emergency-responders-featured-paper.pdf



About the Author


Vedna Sharma

Mussoorie Uttarakhand, India

 

 

Ms Vedna Sharma received M.tech & B.tech degrees in Computer Science from Himachal Pradesh Technical University & HPU Shimla respectively. She is currently working as Junior Research Fellow (JRF) at the Institute of Technology Management, Mussoorie Ministry of Defense (DRDO), Landour Cantt. Mussoorie Uttarakhand, India. She can be contacted at [email protected]

 

 

Aspects Influencing Enterprise Resource Planning Projects Performance

in Retail Supermarkets in Nairobi County, Kenya

 

FEATURED PAPER

by Maureen Njoki Munyori and Dr. Karanja Ngugi

Jomo Kenyatta University of Agriculture and Technology

Nairobi, Kenya

 


ABSTRACT

This study was carried out on aspects influencing enterprise resource planning projects on the performance of retail supermarkets in Kenya. The study had four objectives: To assess the influence of team project leadership on Enterprise Resource Planning projects project performance in Enterprise Resource Planning projects, to investigate the influence of strategy alignment on Enterprise Resource Planning projects performance, to examine the influence of stakeholder participation on Enterprise Resource Planning projects performance and to evaluate the influence of firm resources on Enterprise Resource Planning projects performance.

The research adopted a descriptive approach in trying to establish aspects influencing Enterprise Resource Planning projects on the performance of retail Supermarket branches in Nairobi. The study targeted 53 supermarkets in Nairobi. A sample frame was drawn from the target population using a census survey. A pilot study was conducted to pretest the validity and reliability of data collection instruments.  After data, had be collected it was prepared in readiness for analysis by editing, handling blank responses, coding, categorizing and keying into statistical package for social sciences (SPSS) computer software for analysis.  SPSS software version 21.0 was used to produce frequencies, descriptive and inferential statistics were used to derive conclusions and generalizations regarding the population. A multiple regression model was used to show the relationship between the independent variables to the dependent variable.

Data was presented using tables to make it reader friendly. The study found that project leadership, stakeholder participation, strategy alignment and firm resources had a positive and significant effect on enterprise resource planning projects on the performance of retail supermarkets in Kenya. The study recommends; that a competent project leader be given the responsibility to oversee the performance of the Enterprise Resource Planning project, proper guidance on the utilization of firm resources to meet the project requirements hence improving performance, the project manager and the team should formulate project strategies based on project objectives, and develop interconnections between IT projects and the organization’s performance outputs to increase project success rates, development of best measures for stakeholder participation be identified to avoid conflict of interests among the project stakeholders. Lastly, there should also be adequate preparation and communication before project initiation to ensure that the project acceptance does not experience major setbacks by the project stakeholders.

Background of the Study

Projects are activities or an undertaking that need to be accomplished by certain date, for a certain amount of money and within some expected level of performance. Important aspects of a project includes “inputs” in the form of men, money, materials, and plans and “outputs” in the form of activities, products or services (Asfandyar, 2012). Abuya, (2016) argues that development projects in Kenya have become the principal mechanisms through which governments deliver public services. Understanding this strategic role is important because few politicians and citizens appreciate the role that development projects play in the delivery of essential public services.

The globalization of competition means that apart from ensuring their own successful operation, firms that hope to survive must establish highly responsive supply chains, with upstream, midstream, and downstream partners (Yang, 2009). The Enterprise Resource Planning (ERP) system plays the role of central nervous system in promoting globalization of enterprise operations and shortening product lifecycle. Therefore, the ERP system has become popular. Li (2009) considered ERPs enveloped software that provides various internal information for an enterprise using an efficient means that enables units at different organizational hierarchies to effectively make business or daily operational decisions.

Conceptually, many firms have implemented company-wide systems called Enterprise Resource Planning systems, which are designed to integrate and optimize various business processes, such as order entry and production planning, across the entire firm (Mabert et al., 2001). This investment has also made possible the sharing of large amounts of information along the supply chain, and has enabled real-time collaboration between supply chain partners, providing organizations with forward visibility, thus improving inventory management and distribution (Mbogori, 2010). Furthermore, many firms deploying ERP systems considered extending system scope mainly to integrate their suppliers, customers or both to the system, to provide additional e-commerce or e-business operations and to increase supply chain functionalities (Olhanger & Selldin, 2003).

When enterprise resource planning systems are fully realized in a business organization, they can be expected to yield many benefits, such as reduction of cycle time, faster transactions, better financial management, the laying of the groundwork for e-commerce, linking the entire organization together seamlessly, providing instantaneous information, and making tacit knowledge explicit (Mabert et al., 2001; Davenport and Brooks, 2004; Shang and Seddon, 2000; Murphy and Simon, 2002; Al-Mashari et al., 2003). ERP can provide the digital nervous system and the backbone in an organization to respond swiftly to customers and suppliers (Cox et al., 2000; Mabert et al., 2001).

As reported in Akkermans et al. (2003), ERP systems are widely believed to support operations in technical areas such as standardization, transparency and globalization. ERP systems are a leading tool for this purpose, and are always expected to be an integral component of operations (Nah et al., 2001; Themistocleous et al., 2004). The potential benefits of an integrated ERP system are such that many organizations are willing to undertake the difficult process of conversion.

Yurtkoru (2015) state that there have been a large number of studies on the success factors of ERP implementation .The basic underlying premise of most of these studies is that the success of ERP is largely determined by initial implementation. For this reason, most of these studies focus on the implementation activities and tend to ignore the role of the post-implementation stage that can either improve or impair the performance of ERP regardless of how successful the initial implementation was.

Statement of the problem

The Financial Year ending 2005 was a challenging one for Uchumi Supermarket Ltd. The rise in operational costs was among the factors that affected its profitability and this heavily resulted from amortization of ERP/Computerization costs, a higher depreciation charge and a number of one-off costs that included derecognizing of the deferred tax assets. The insolvency caused Uchumi Supermarkets to close for a month in 2006 but reopened after the Government lent it Ksh675 million and receiving Kshs 300 million from its shareholders (Kadzo, 2011). Uchumi has already made a retreat from Uganda, while Nakumatt is facing problems in the same market. Two of Kenya’s largest retail supermarkets have closed two of their stores within a fortnight while the third one is still struggling to sell its assets to turn around its fortunes, exposing the woes facing the retail industry. Nakumatt has shut its Ronald Ngala branch among others while Tuskys Supermarket closed its Sheikh Karume branch both in Nairobi (Achuka, 2017).

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How to cite this article:  Munyori, M.N., Karanja N. (2018); Aspects Influencing Enterprise Resource Planning Projects on Performance of Retail Supermarkets in Nairobi County, Kenya; PM World Journal, Vol. VII, Issue 6 – June. Retrieved from https://pmworldjournal.net/wp-content/uploads/2018/06/pmwj71-Jun2018-Munyori-factors-influencing-erp-project-performance-retail-supermarkets-nairobi.pdf



About the Authors


Maureen Njoki Munyori

Nairobi, Kenya

 




Maureen Njoki Munyori
is a graduate student at Jomo Kenyatta University of Agriculture and Technology, Kenya, studying for a MSc. Project Management degree. She previously earned a Diploma in Procurement and Supply from the Chartered Institute of Purchasing and Supply (May 2015 – Dec 2016); Bachelor of Business Administration (Procurement and Supply Chain Management option) from Kenya Methodist University (2012 – 2015). She resides in Nairobi, Kenya and can be contacted at [email protected]

 


Prof Patrick Karanja Ngugi, PhD

Jomo Kenyatta University of Agriculture & Technology
Nairobi, Kenya

 


Patrick Karanja Ngugi
is a professor at the Jomo Kenyatta University of Agriculture & Technology, from which he earned a PhD and MSc degrees in Entrepreneurship.  He also holds a Bachelor of Business Administration degree from the University of South Africa, a Diploma in Electrical Engineering from Kenya Polytechnic and a Diploma in Theology from Presbyterian College.  He has authored numerous presentations and papers at international conferences and in international journals on business, education, public health and other topics.

 

Leading Enormous and Complex Projects or Programs

The standard development methodology fails unique, enormously big and complex projects

 

FEATURED PAPER

Charles Villanyi Bokor

Ottawa, Ontario, Canada

 



Lessons to learn

  1. Extremely large system development projects (the technology part of a business solution that is to facilitate and/or enable a vision or a new paradigm) are not only complicated but are also complex.
  2. Most organizations do not know how to successfully develop enormously large and consequently complex application systems, but because they think they know, they attempt them and hence, fail them by design.
  3. In order to develop enormously large and consequently complex projects, we have to reduce their size, use a unique customized for the project methodology, and project governance structure, that reflects the organization’s capability, its capacity, the project and the people involved.
  4. We may not be ready to accept (beside the need for climate change, or gun control) that the current system development methodology needs significant changes when used to develop extremely large and consequently complex projects.

Abstract

In the last two decades, the size of many system development projects grew and exceeded all upper bounds. These enormous and complex projects (programs) have unmanageably large number of: functions and resulting lines of code; development teams comprised of people with different skills; stakeholders; and different and changing requirements that define the expected outputs. These projects cost hundreds of millions of dollars and take many years to develop and deploy and impact the organization in such a fundamental way that most operational people resist them. They are analogous to the most exciting concept in the universe and so, we will call these totally overwhelming, all consuming, centers of the organization’s focus, Black Hole Projects (BHP). [7- Villanyi Bokor, 2017]

Developing BHPs with a standard development methodology that is focused on producing outputs based on requested requirements, under a governance structure that is slow and mostly administrative, has proven to result in outcomes that are less successful than desired. BHPs take significantly longer to develop than planned in the initial estimate of the schedule, cost more than initially estimated and do not deliver the critical success criteria of the vision set at the start. “According to a 2013 Strategy&/Katzenbach Center survey of global senior executives… the success rate of major change initiatives [BHPs] is only 54 percent”. [A- Katzenbach, 2014] According to this, only 54% of the BHPs deliver their expected outcome. According to empirical evidence, only the exceptional BHP is successful, often due to luck.

In short, most organizations do not know how to develop BHPs that are built to enable a new paradigm, but as they think they know, they attempt them and hence, fail them by design. The worldwide cost of failing very, very large projects is between $3 and $6.2 trillion per year. This is unconscionable.

The most significant cause of such poor results (we suspect) includes: our tolerance for even smart people, to do stupid things; the (enormously large) size of these projects and the resulting complexity; the long development time scheduled; inadequate pre-development problem and business requirements definition; an output focused requirements management process; and a project management plan that overlooks the organizational capacity (due to the portfolio of projects already underway) and capability (limited by the available skill sets) to undertake such projects. In other words, using a methodology that was not designed for BHPs, in its standard (i.e. not unique to the organization and the project) form, and a project governance structure that does not support the project’s needs.

As a project’s probability of success varies inversely with its size, we need to limit the non-vital functionality we develop in order to reduce the size, complexity and length of time needed to develop these mega-projects. We must assemble the solution out of smaller projects rather than subdivide the BHP into sub-projects and use a customized, unique and iterative BHP development methodology, project specific governance structure that empowers and responsibilizes Business Analysts and calls to replace the Project Manager with a Project Leader.

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How to cite this article:  How to cite this paper: Bokor, C. V. (2018). Leading Enormous and Complex Projects or Programs; PM World Journal, Vol. VII, Issue VI – June. Retrieved from https://pmworldjournal.net/wp-content/uploads/2018/06/pmwj71-Jun2018-Bokor-leading-enormous-complex-projects-or-programs-featured-paper.pdf



About the Author


Charles Villanyi Bokor

Ottawa, Canada

 


Charles Villanyi Bokor
is a Strategic Management Consultant focused on Leading to Better Decisions. Principal activities include Business Transformation, Problem Project Recovery & Leadership, Strategic Planning. Charles works mostly in Ottawa but has successfully completed assignments in Florida, Wales, Malaysia, Sweden and Australia, and was key-note speaker in Johannesburg South Africa and Victoria BC. Formal education includes an Executive Development and Diploma in Management (McGill University), M.Sc. Mathematics (Université de Grenoble, and U. de Montréal) and B. Sc. Mathematics (Concordia University). He was: Program Director of the Corporate Performance Management Program, Sprott, Carleton; Director of IS/IM at Royal Trust; and at Northern Telecom; CMC; CMC Board Member; PMI-OVOC Board Member; Governor of ICCC; is ITIL Certified and a TBS Independent Project Reviewer. Charles can be contacted at [email protected]

 

 

Exploring the effects of the economic crisis

on the way construction projects are managed: The case of Greece

 

FEATURED PAPER

By Stavros G. Barmpas

Thessaloniki, Greece

 



Abstract

The objective of the specific research is to identify how the economic crisis has affected the way construction projects are managed and to determine how project management should be exercised amid an economic crisis.

The research identifies the adoption of more consistent project governance, more rigorous risk management techniques and a more careful project portfolio management as the main areas on which the economic crisis affected the way construction projects are managed. Most importantly it shows that the economic crisis has contributed to the reemergence of project management as a key competency within the organisational culture of construction companies.

In terms of how project management should be exercised amid an economic crisis, the research shows that the main actions to be taken should include the development of an early warning system, the formation of crisis scenarios and the formation of a crisis management team in a context of tighter cost and risk control procedures throughout all the phases of the crisis.

Keywords: project management, economic crisis, construction industry, crisis effects.

Introduction

The financial crisis, which followed the collapse of the subprime mortgage market in the US in 2008, very quickly spread all over the world with disastrous consequences for many countries and a lot of people. One of the most severely hit industries both internationally and in Greece was the construction industry with thousands of jobs lost and hundreds of companies shutting down.

A lot has been written about the macroeconomic effects of the economic crisis on the construction industry. A quick statistical data search can provide useful information on how many employees have been fired, how many companies have shut down and how much value added has been lost in the construction industry all over the world during the crisis years.

Regardless of how useful these statistical data are, they do not allow the understanding of how the economic crisis has affected the way construction projects are managed and how construction project management has changed and evolved during the crisis years. The specific research deals with this very subject and explores the effects of the economic crisis on project management, using the Greek construction industry as a case study. The objective of the research is to identify project management strategies adopted as a result of the economic crisis and to propose an appropriate approach from the project management perspective for dealing with economic crisis situations. In this sense the research questions to be answered are as follows:

  • How has the economic crisis affected the way construction projects are managed?
  • How should project management be exercised amid an economic crisis?

Understanding how the economic crisis has changed the way construction projects are managed is of vital importance, because it will allow the development of a roadmap from a project management perspective for confronting economic crises of similar size/nature and the identification of post crisis project management techniques adopted. The latter is also very important, because it will highlight whether the limitation of resources caused by the crisis has negatively affected the efficiency of the industry or else its capacity to deliver quality projects. It is the ultimate responsibility of the researcher to bring such inefficiencies (if applicable) to light and to propose corrective action.

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How to cite this article:  Barmpas, S. G. (2018). Exploring the effects of the economic crisis on the way construction projects are managed: The case of Greece; PM World Journal, Vol. VII, Issue VI – June. Retrieved from https://pmworldjournal.net/wp-content/uploads/2018/06/pmwj71-Jun2018-Barmpas-effects-of-economic-crisis-on-construction-project-management-in-greece.pdf



About the Author


Stavros G. Barmpas

Civil Engineer, BEng, MSc, MBA
Thessaloniki, Greece

 




Stavros G. Barmpas
is a civil engineer with more than 10 years of working experience as a site engineer in big infrastructure construction projects. He has worked in highway, building and bridge construction projects and he currently works for one of the biggest Contractors in Greece. He holds a Bachelor’s Degree (BEng) in Civil Engineering from the University of Portsmouth (UK), an MSc in Civil Engineering from the same university, an MSc in Construction Economics and Management from University College London, (UCL, UK) and finally an Executive MBA from the International Hellenic University (Greece), graduating first in his class. He can be contacted at: [email protected].

 

 

Designing Industry 4.0 Virtual Networks

of Partners Value Chains

 

FEATURED PAPER

by Dr. Pieter Steyn

Cranefield College, South Africa

and

Dr. Brane Semolic

Lens Living Lab, Slovenia

 



Abstract

Industry 4.0 organisations are increasingly becoming integral parts of regional and global value chains. It is imperative for modern organisations to have competitive products, services and processes supported by effective and efficient value chain business models. An organisation can act as integrator, organiser, or partner of a value chain engaged in new technology development and improvement. All value chain partners are required to harmonise their contributions to the chosen initiative.

A virtual value chain consists of an array of organisations, each contributing unique strategically relevant collaborative value driven activities with respect to technological, behavioural and structural elements.  Partnering organisations gain a competitive advantage through collective orchestration of strategically essential activities and standards. Moreover, joint collaboration and governance of related partnering projects and programmes are of paramount importance.

FUNDAMENTALS OF VIRTUAL NETWORKS OF PARTNERS

In an earlier topic virtual networks of partners were discussed as a relatively new concept in organisational design and development. In the Industry 4.0 economy an increasing number of organisations realise that networking with partners can lead to innovation and turn out to be profoundly beneficial. Smart organisations utilise the capability of resources from partner organisations and knowledge workers to optimise their own potential. Teams from different locations create opportunities for participating in the design and development of products, services, manufacturing processes and supply chain operational activities. Figure 1 illustrates how the value chains of the initiating organisation and partner organisations combine to create virtual networks of partners (Semolic, 2012).

Figure 1: Combining Initiating and Partner Organisations’ Virtual Value Chains (Semolic, 2012)

Outsourcing has been practiced by organisations in the private and public sectors for many decades. The mode was mainly sub-contracting. At the start of the new millennium organisations began to realise that outsourcing has to be seen as a strategy in their relentless search for competitive advantage. Hence, organisations recognised the limits of their own distinctive competencies and started looking at outsourcing and partnering for boosting the needed skills, products and services. According to Steyn ed. (2012), quoting Knod and Schonberger, the strategic significance of partnering and outsourcing is demonstrated by the large number of possibilities as shown in Figure 2 (as adapted).

Figure 2: Partnering Possibilities (adapted from Steyn ed., 2012)

The possibilities extend along the transformation processes from the initial design all the way to serving and delivering to the customer and include, inter alia, design services, parts procurement, sourcing sub-assembly and component partner capacities, and logistics. Moreover, all the above transformation process elements need to be effectively and efficiently integrate and coordinated in a sound flow-control system to ensure timely, accurate, value-adding movement of products and services through various stages of processing. The appropriate vehicle is the cross-functional Manufacturing Flow Management supply chain process.

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How to cite this article:

Steyn, P., Semolic, B. (2018), Designing Industry 4.0 Virtual Networks of Partners Value Chains, PM World Journal, Volume VII, Issue 5, May 2018. https://pmworldjournal.net/wp-content/uploads/2018/05/pmwj70-May2018-Steyn-Semolic-industry-4.0-virtual-networks-partners-value-chains.pdf



About the Authors


Prof Dr Pieter Steyn

Founder, Director, Principal
Cranefield College of Project and Programme Management
Pretoria & Western Cape, South Africa

 


Dr
Pieter Steyn is Founder and Principal of Cranefield College of Project and Programme Management, a South African Council on Higher Education / Department of Education accredited and registered Private Higher Education Institution. The Institution offers an Advanced Certificate, Advanced Diploma, Postgraduate Diploma, Master’s degree, and PhD in project and programme-based leadership and management. Professor Steyn holds the degrees BSc (Eng), MBA, and PhD in management, and is a registered Professional Engineer.

He was formerly professor in the Department of Management, University of South Africa and Pretoria University Business School. He founded the Production Management Institute of South Africa, and in 1979 pioneered Project Management as a university subject at the post-graduate level at the University of South Africa.

Dr Steyn founded consulting engineering firm Steyn & Van Rensburg (SVR). Projects by SVR include First National Bank Head Office (Bank City), Standard Bank Head Office, Mandela Square Shopping Centre (in Johannesburg) as also, Game City- and The Wheel Shopping Centres (in Durban). He, inter alia, chaired the Commission of Enquiry into the Swaziland Civil Service; and acted as Programme Manager for the Strategic Transformation of the Gauteng Government’s Welfare Department and Corporate Core.

Pieter co-authored the “International Handbook of Production and Operations Management,” (Cassell, London, 1989, ed. Ray Wild) and is the author of many articles and papers on leadership and management. He is a member of the Association of Business Leadership, Industrial Engineering Institute, Engineering Association of South Africa, and Project Management South Africa (PMSA); and a former member of the Research Management Board of IPMA. He serves on the Editorial Board of the PM World Journal. Pieter is also Director of the De Doornkraal Wine Estate in Riversdale, Western Cape.

Professor Steyn can be contacted at [email protected]. For information about Cranefield College, visit www.cranefield.ac.za.

To view other works by Prof Steyn, visit his author showcase in the PM World Library at https://pmworldlibrary.net/authors/dr-pieter-steyn/

 


Prof Dr Brane Semolic


Founder and Head of LENS Living Lab –
International living laboratory
Celje, Slovenia

 

 

Dr. Brane Semolic studied mechanical engineering, engineering economics, and informatics; he holds a scientific master degree and doctorate in business informatics. His focus of professional interest is industrial and system engineering, innovation and technology management, virtual organizations and systems, project and knowledge management. He has 40 years of working experiences in different industries (industrial engineering, IT, chemicals, household appliances, government, and education), as an expert, researcher, manager, entrepreneur, counselor to the Slovenian government and professor.  He operates as head of the open research and innovation organization LENS Living Lab. LENS Living Lab is an international industry-driven virtual living laboratory. He is acting as initiator and coordinator of various research and innovation collaboration platforms, programs and projects for the needs of different industries (ICT, robotics, laser additive manufacturing, logistics, education). He was co-founder and the first director of the TCS – Toolmakers Cluster of Slovenia (EU automotive industry suppliers). Since 2004 he is serving as the president of the TCS council of experts. Besides this, he is operating as a part-time professor at the Cranefield College.

He was head of project and information systems laboratory at the Faculty of Mechanical Engineering, Head of the Project & Technology Management Institute at the Faculty of Logistics, University of Maribor and professor of project and technology management at the graduate and postgraduate level. He acted as a trainer at the International »European Project Manager« post-graduated program, organized jointly by the University of Bremen.

He was the co-founder and president of the Project Management Association of Slovenia (ZPM), vice president of IPMA (International Project Management Association), chairman of the IPMA Research Management Board (2005-2012), and technical vice-chairman of ICEC (International Cost Engineering Council).  Now he is serving as a director of the IPMA & ICEC strategic alliance. He actively participated in the development of the IPMA 4-level project managers’ certification program. He introduced and was the first director of the IPMA certification program in Slovenia. He has been serving as the assessor in this certification program since 1997. He performed as assessor in the IPMA International PM Excellence Award Program in China, India, and Slovenia.

He is a registered assessor for the accreditation of education programs and education organizations by the EU-Slovenian Quality Assurance Agency for Higher Education.

He was a Member of Strategic Advisory Board of European Competitiveness and Innovation, as well as the president of the Slovenian Chamber of Business Services.

He got the award as ICEC Distinguished International Fellow in 2008. He received the »Silver Sign« for his achievements in research, education, and collaboration with the industry from the University of Maribor in 2015.

Professor Semolic is also an academic advisor for the PM World Journal.  He can be contacted at brane.semolic@3-lab.eu.   Additional information about the LENS Living Lab can be found at http://www.3-lab.eu/ .

To view other works by Prof Semolic, visit his author showcase in the PM World Library at https://pmworldlibrary.net/authors/brane-semolic/