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Is the Fact the Olympic Games

Run Late or Over Budget a Project Management Failure?

 

FEATURED PAPER

By Laurianne Vaity

SKEMA Business School

Paris, France

 


 
Abstract

Megaprojects are very common today, and the Olympic Games are amongst the most well-known of them. Appreciated by a very large and cosmopolite public, they take place every four years in a host country chosen by the International Olympic Committee.

However, the organization of such an event is far from being easy in term of Project Management. Indeed, it always suffers from cost overruns and delays.

To identify and understand what lead to such problems, and then finding what could be the best solution, several tools such as root cause analysis, and qualitative and quantitative methods will be used. The results coming from these studies will help us to understand why the IOC should implement some change such as the modifying of existing infrastructures by the host country instead of their construction.

Keywords: unrealistic schedule, megaproject, over budget, failure, delay

Introduction

It is official: for the second time of its history, Tokyo, Japan’s capital will welcome the Olympic Games of August 2020[1]. Every four years, this major event considered as the biggest rendezvous for sports lovers generally gathers hundreds of athletes and several thousands of tourists from all around the world. Strongly broadcasted, millions of people will be able to follow the competition daily and support their favorite athletes without even moving from their houses, and from their countries. Of course, the enthusiasm caused by the tumult of the Olympic Games will offer a magnificent advertising to the greeting country.

However, if this is an extraordinary opportunity for the Land of the Rising Sun to be in the spotlight, a hidden and big part of the iceberg needs to be more deeply analyzed. Indeed, the Olympic Games have very often been controversial because of its social fallouts: the destruction of houses to make the space free for the Olympic facilities in Brazil, massive deaths of stray dogs in Russia… the list is quite long and scary. And from an economical and project management point of view, the Olympic Games have always been a disaster as far as they have been created and as far as they have existed.

On the one hand, there are the Olympic swimming-pools, stadiums and velodromes, etc. – all sports infrastructures in other words – that have to be built for the continuity of the competition. On the other hand, there is the Olympic Village for the accommodation of the athletes, without forgetting the huge public infrastructures such as the construction of new bridges, railway lines, and the power station that will have to be thought to facilitate the transportation of the people present in the country for the occasion. This is obvious that these facilities are not heaven-sent and represent several thousand million euros for the organizing country.

The Olympic Games represent one of the biggest projects realized, from a project management perspective and it is what is called a megaproject, that is to say … large-scale, complex ventures that typically cost a billion dollars or more, take many years to develop and build, involving multiple public and private stakeholders, are transformational, and impact millions of people. »[2].

In term of project management, the Olympic Games are considered to be a programme if we consider the following definition: “a programme is a portfolio of projects selected and planned in a coordinated way so as to achieve a set of defined objectives, giving effect to various (and often overlapping) initiatives and/or implementing a strategy[3]. Simultaneously, the Olympic Games are related to project management as the vocabulary that follows and steps are applied during the creation of the event. During the initiating and planning phases, the IOC (International Olympic Committee) defines a project manager (which is the hosting country in our case) and becomes the sponsor of the latter. Then, in the executing phase, both work on how they are going to conduct the project efficiently. In the monitoring and controlling phases, all infrastructures are checked to make sure they are performant and safe. At last, in the closing phase, the project of the greeting country is delivered to the IOC under the form of the Olympic Games event.

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Editor’s note: This paper was prepared for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director [email protected].

How to cite this paper: Vaity, L. (2018). Is the Fact the Olympic Games Run Late or Over Budget a Project Management Failure?, PM World Journal, Vol. VII, Issue XII (December).  Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Vaity-are-olympic-games-project-management-failure.pdf



About the Author


Laurianne Vaity

Paris, France

 

 

 

Laurianne Vaity is a French university student, is 23 years old and comes from Reunion Island – a French Island located in the Indian Ocean next to Mauritius and Madagascar. She was born, grew and studied on this little and welcoming island before leaving for Skema Business School in 2015 after her economic preparatory class.

She has had had the opportunity to spend a semester in Raleigh, North Carolina (USA) during her studies in Skema, in partnership with an American university: NC State University. It was a rich human and professional experience. Then she realized a six-months internship in Project Management, in the field of Telecoms.

At the beginning of year 2018, she chose to study Project Management as a specialization and integrated Skema’s Master in Science in Project and Program Management and Business Development. She strongly believes that Project Management is more than a subject, a competence, that is absolutely needed today to make successful projects and have a clear approach of how to deal with schedule and stakeholders within projects in every single topic. Her studies have been really helpful for her to acquire and improve several values/qualities such as humility, team spirit, organization, autonomy and leadership.

Laurianne can be contacted at [email protected].  You can also have access to her LinkedIn profile by clicking on the following: https://www.linkedin.com/in/laurianne-vaity/

 

[1] Olympic.org, (2013, September 07), IOC Select Tokyo as Host of 2020 Summer Olympic Games.

[2] According to the definition of Bent Flyvbjerg, Professor & Chair at the University of Oxford

[3] Based on Wideman’s comparative Glossary

 

 

The Use of Drones

in the Oil and Gas Industry: A 4.0 Contract

 

FEATURED PAPER

By Penda Sow

SKEMA Business School

Paris, France

 


 
ABSTRACT

Over the past few years, the Oil and Gas industry has been evolving and has gone through significant legislative reform. With more and more environment, safety and security issues arising from this industry, we introduced new technologies projects such as Unmanned Aircraft Systems (UAS). This paper aims at understanding what regulation barriers the UAS faces. We identified the contractual progress that has been made in implementing this technology and evaluated how regulations needed to change.

Using different methodologies such as Root Cause Analysis, as well as quantitative and qualitative analysis, we were able to answer the question: How using drones in the Oil and Gas Industry can be a real challenge to contract? We understood how companies were technologies reluctant and we identified that a really effective manner to facilitate this process was to study international legislation and rules in which UAS are implemented and use it as best practice and guidelines.

Technology, with its exponential growth, needs to be regulated and implemented easily. It’s about considering sustainability, our safety, and the preservation of our environment.

Keywords: Oil and Gas industry, Drone Inspections, FAA Regulations, Technology, Copyright Law

INTRODUCTION

What does the Oil and Gas Industry mean to all of us? Mainly fuel, plastic and heaters. But if we take a look behind the scenes, this industry is also: “$37 billion a year spent by the market in monitoring Pipeline leaks[1]”; “200 thousand miles of oil pipelines to inspect”[2], “166,8 thousand of employees, 1501 cases of injuries and illness, 9 fatalities reported, just in the U.S., in 2016.”[3]

One of the main challenges for Oil and Gas companies is maintaining their infrastructures in optimal conditions. In order to do that, they use traditional asset inspections which are revealed to be:

Dangerous: Companies use human means to make inspections, which can be highly unsafe (risk of industrial accidents, health issues, etc.). Oil and gas extraction industries made up “74 percent of the total fatalities in the mining sector in 2015”.3

Performed in Inaccessible areas: Employees find themselves in risky situations such as being up on ladders or ropes, in helicopters, in the middle of the sea, and other perilous areas. In operations and maintenance, for example, using caged drones for confined spaces where there wouldn’t be any human, could lead to a quicker deployment.

Costly: These inspections generate high costs by the use of expensive material means, downtime, etc.

Time consuming: It takes time (planning, time required to erect ladders, access towers, swing stages, aerial lifts, and other heavy equipment).

Inaccurate: Traditional methods retrieve millions of data, but they are more likely to produce inaccurate data due to human error.

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Editor’s note: This paper was prepared for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director [email protected].

How to cite this paper: Sow, P. (2018). The Use of Drones in the Oil and Gas Industry: A 4.0 Contract, PM World Journal, Vol. VII, Issue XII (December). Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Sow-drones-in-oil-and-gas-industry.pdf



About the Author


Penda Sow

Paris, France

 

 



Penda Sow
is a French student, who after 3 years of studies in Economics is now currently enrolled in a Master of Science specialized in “Project and Programme Management and Business Development for Business Excellence” at SKEMA Business School in Paris. She is strongly interested in design and new technology projects, especially in artificial intelligence or cognitive sciences. Passionate about travels and photography, she discovers the world as soon as she has the opportunity (Spain, England, Italy, Thailand, Peru, Bolivia, Cambodia, Malaysia, China, USA, Senegal).

She enjoys generating new ideas, doing research and development, improving processes or renewing products and services. Her experience as a product manager in a software provider firm strengthened her willingness to involve herself in innovative and sustainable projects.

Penda can be contacted at [email protected] or https://www.linkedin.com/in/penda-sow-742290bb/

 

[1] Bernos, M. (2017, April 19). Canadian Company Proposes to Cut Pipeline Monitoring Costs with Automated Drones. https://www.enr.com/articles/41865-canadian-company-proposes-to-cut-pipeline-monitoring-costs-with-automated-drones

[2] Lack, S. (2016, September 25). There’s More to Pipelines Than Oil. https://sl-advisors.com/theres-pipelines-oil

[3] Bureau of Labor Statistics. (2017, July 7). Fact Sheet – Mining, Quarrying, and Oil and Gas Extraction – July 2017

https://www.bls.gov/iif/oshwc/cfoi/mining-fact-sheet.htm

 

 

A Perspective on Strategies of Shadowmatch

An Evolutionary Focus Within Organization Practice

 

FEATURED PAPER

by Dr. Erik D. Schmikl

South Africa

 



INTRODUCTION

What is Shadowmatch? Managers, HR practitioners, organizational development specialists, consultants and social science researchers who have not yet encountered this conceptual term may be puzzled. As far as can be traced, the concept Shadowmatch arose out of ideas and collaborative efforts flowing into a series of solutions sought for solving challenging problems around human performance and development centred within organization realities. The entanglement of evolving perspectives and thinking within management and social science revolved around how to create and introduce practical systems application models that allowed for an improved match between an individual’s creative talents, abilities and a job, and choice of a befitting career. Distilled job-criteria are used to match a new potential hire (referred to as the Shadow, or also visitor / employee), to the job.

As can be ascertained, job ‘Shadowmatch’ is a term which made its appearance within the field of the management sciences during the last two decades. When examining what it entails as process, and the diversely associated applications of this concept pertaining to human capital management, the practices involved are not new, but have become more refined over time as information and knowledge building within and between organizations has taken place. This is driven by technology evolution and enabling virtual collaborative network partnering within cyber space.

A survey of diversely available Shadowmatch products, best described as process tools and techniques which are job, team, or career related can be classified into four broad categories, namely: 1) educational institutions (which includes partnering with organizations): – scholars, students and internships; 2) various Shadowmatch programs within organizations themselves; 3) research and development, technology, and IT; and 4) in the arena of sport, art and culture.

The label Shadowmatch is a nifty choice for a variety of process tools and practices found within the field of Human Resources Capital Management stemming from behavioral science and psychology. As organizations learn and evolve, the concept itself and related products and systems tools will keep modifying and expanding into renewed and wider realms of application as individuals come into consort with matching their creativity and unlimited potential into an alignment with choices around a befitting career provided by work and job role opportunities which will allow them to expand and grow in their life’s experiences whilst they contribute towards an evolving world.

PURPOSE

The purpose of this paper is to explore some of the practises of Shadowmatch, reviewing and categorising and grouping the developments and shift in thinking into a more expanded conscious realm. Whilst evolutional transformational change is a slow process, a necessary response to an emergent dynamic shifting and evolving environment requires periodic stepping out from the entrapment of conventional linear and 3 D thinking into the multi-dimensional intuitive from which a renewed perspective and thinking is returned and reversed into transforming evolving world practice via newly articulated value adding applications within society specific time frames driven by every incoming successive generation. This is referred to as designing the next generation industry 4.0 and latest 4.1 (Steyn & Semolic, 2018). The business arena of today comprises of many virtual networks of partnerships driven by technology, information, and value chains – or now referred to as the 4th industrial revolution and robotics. As Ginni Rometty, CEO of IBM contends, – this is the era of challenging leaders of organizations how to skilfully refashion (transform) their organization around data protection with evolving technology and software solutions that guarantee confidentiality, integrity, and safe ownership of information (cybersecurity).

The latter aspect furthermore points to a shift of humanity in its steady evolution towards an expanded multi-dimensional level of thinking which is manifesting itself and can be more appropriately described as a confluence of current knowledge leading towards a new wisdom revolution. Some prefer to call it a 4th industrial revolution. As Netanyahu of Israel espouses, “it is the confluence of big data, connectivity, and artificial intelligence that revolutionizes old industries into new ones” (Chanel i24). Dated paradigms within the realms of an expanding human consciousness are shifting into an advanced conceptual way of thinking, bringing about change in a renewed way of generational thinking away from the old energy, life styles, and practices within our evolutional way of learning. Human consciousness is best described as current existing information of what we think and not the new evolutionary way of conceptual thinking.

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How to cite this paper: Schmikl, E. D. (2018). A Perspective on Strategies of Shadowmatch: An Evolutionary Focus Within Organization Practice; PM World Journal, Vol. VII, Issue XII (December). Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Schmikl-perspective-on-strategies-of-shadowmatch.pdf



About the Author


Dr. Erik Schmikl

South Africa

 

 


Dr Erik Schmikl
, of Austrian descent, was borne in South Africa and matriculated at Pretoria Boy’s High School in 1958. He spent 13 years in government, retailing, and manufacturing before joining the Graduate School of Business Leadership, UNISA in 1972. He completed over a period of 18 years of part-time study two masters degrees and a doctoral degree (MA Psychology; MBL; and D Lit et Phil in Psychology). During his academic period with the SBL at Unisa he took up a one-year contract as Professor of Organisational Behaviour to teach on the PED (Programme Executive Development) and a number of short seminars at Harvard University’s European based business school IMEDE (now IMD). He left the services of Unisa in 1992 to start up his own business consulting firm Synerlead International. He provided consulting, training and management development, and assessment services to a large number of small, medium and large organisations within South Africa, Africa, and Europe.

His specific focus areas are strategic management, organisational development and leadership, profiling and creating high performance project and programme management teams, and executive team building aimed at assisting organisations to enhance and sustain their competitive performance. Currently teaching at Cranefield College of Project and Programme Management and held the position of Vice Principal: Tuition and Programme Delivery at Cranefield College of Project and Programme Management until mid, 2016, and serves currently as a Board Counsel member of the College. In 2017 he formed the ‘ESsynergy e-Learning Business Academy’ which is now rolling out several leading-edge quality e-Learning courses.

Dr. Schmikl can be contacted at [email protected]

 

 

Pro’s and Con’s of Temporary vs Permanent

Employment Contracts for Project Managers

 

FEATURED PAPER

By Veena Sakunthala

SKEMA Business School

Paris, France

 


 
ABSTRACT

In a labour market characterized by search and matching frictions, it is difficult to make a choice of employment contracts. There is also a major problem existing regarding the failure of temporary contract even though a new economy of Gig workers is in the uprise and hence this paper will focus on finding the best alternative solution for failing temporary contracts. For this paper, the author initially picks out and analyses the various employment contracts and then makes a comparative study using the MADM methodology and summarizes the various Pros and Cons of temporary and permanent contract. Then with the help of attributes and selection criteria, each contract is ranked, and the best possible alternative is found out. This alternative can well-structure the way people are going to work in future.

Keywords: Advantages, Disadvantages, Temporary Contract, Permanent Contract, Employment contracts, Gig Economy

INTRODUCTION

A contract is not just a piece of paper. Just as a single word is the skin of a living thought, so is a contract evidence of a vital, ongoing relationship between human beings. An at-will employee is not merely performing an existing contract; he is constantly remaking that contract.[1] “There seems to be an upcoming transition in the way people are going to work in the near future, an era of Work-Life 3.0, where more people will be working on a Temporary contract basis rather than permanent ones characterized by less commitment between employer and employee coupled with increasingly portable employee skills.”[2] Many of these claims can be summed up as a move from strong internal labour markets to a system where outcomes are more closely related to those in the external labour market.

“It is widely believed that labour law is currently undergoing a ‘crisis’ of core concepts. This is exemplified, above all, by the growing number of labour relationships which fall outside the scope of protection provided by the concept of the contract of employment.”[3] The existence of two-tiered labour markets in which workers are segmented by contracts and the degree of job protection they enjoy is typical in many OECD countries.

A Permanent Contract is the type of Employment contract whereby an employee is employed by the company until the employer or the employee no longer wish to work there while a Temporary contract is one in which where an employee is expected to remain in a position only for a certain period. But the question lies in whether it is feasible enough to work on a temporary contract basis. Temporary contracts provide high flexibility in the labour market, but temporary workers can be laid off without incurring rightful payments or restrictions imposed by employment rights legislation. “In Britain, about 7% of male employees and 10% of female employees are in temporary jobs.”[4] While temporary contracts can avoid some labour market inflexibilities – (see for example Bentolila and Bertola (1990), Bentolila and Saint-Paul (1994) and Booth (1997) – there are potential costs. “Temporary contract-based employment possesses lack of opportunities for career advancement or quality of work”.[5]

Here we have done a Root cause analysis on temporary contract failures in OECD Countries. Based on the analysis, it is found that almost 70% of the temporary contract failure happens due to major factors such as lack of Job Security, Wages and overall satisfaction of the job. Lack of Benefits and Working hours contribute to other 30% of failure factors. “Temporary contract workers tend to be less satisfied with their jobs than permanent contract, according to survey evidence on job satisfaction levels in 14 European countries.”[6]

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Editor’s note: This paper was prepared for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director [email protected].

How to cite this paper: Sakunthala, V. (2018). Pro’s and Con’s of Temporary vs Permanent Employment Contracts for Project Managers, PM World Journal, Vol. VII, Issue XII (December). Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Sakunthala-temporary-vs-permanent-contracts-for-project-managers.pdf



About the Author


Veena Sakunthala

Paris, France

 

 


Veena Sakunthala
comes from an engineering background with a bachelor’s degree in Applied Electronics & Instrumentation engineering from Rajagiri School of Engineering & Technology, India. Born in Kerala, a Southern state in India, she is currently residing in Paris, France as a part of her MSc education. She has a work experience of 6 months as an Associate Engineer in an IT firm called Tech Mahindra Ltd where she was part of a Phase A development of the Website for automation of the dynamic pricing of Motor Spirits on daily basis for client Reliance Industries Ltd, India and 2 months of experience as a Strategy & Business Development Intern in an Energy based cable manufacturing company called Nexans S.A., France where she has done a market research and hence developed a strategy for expansion of one of their trademark cable into Asian market. She is currently pursuing her master’s in Project and Programme management and Business Development at SKEMA business school, Paris.

Veena lives in Paris and can be contacted at [email protected].

 

[1] Bird, R. C., Saunders, K., Cahoy, D., Newberg, J., Lester, T., Sullivan, C., & Arnow-, R. (2004). The Relational Theory of Contract, 95(2000), 94–95.

[2] Bollier, D. (2016). The future of work: issues at stake and policy recommendations from the employment industry, 1–39.

[2] Landscape, V. D., Cost, H., & Performance, L. (2018). Success in Disruptive Times.

[2] Dolado, J. J. (2015). EU Dual Labour Markets: Consequences and Potential Reforms (*), (June), 1–35.

[3] Deakin, S. (2005). the Comparative Evolution of the Employment Relationship. Labour, (317).

[4] No, I. Z. A. D. P., Booth, A. L., & Francesconi, M. (2000). Temporary Jobs: Stepping Stones or Dead Ends? Temporary Job: Stepping Stones or Dead Ends?, (205).

[5] OECD. (2002). Taking the measure of temporary employment. Employment Outlook. https://doi.org/10.1787/empl_outlook-2002-5-en

[6] OECD. (2002). Taking the measure of temporary employment. Employment Outlook.

 

 

Qualitative Study of Futuristic Technologies in the Workplace

Impact of AI/Drones on Project Management and Contracts

 

FEATURED PAPER

By Anthony Saba

SKEMA Business School

Paris, France

 


 
ABSTRACT

Technology has a massive effect on business operations. No matter what type of business a person has. Technology has proven that it will enable him to profit and create the outcomes his client’s request. Innovative foundation influences the way of life, proficiency, and connections of a business.

This Paper emphasis on the impact of AI/Drones and all the automation technologies on the project management and contracting procedures. Some argue that these new kinds of technologies are invading the business and harming it. While others believe that automation is the future that everyone should rely on. This paper explores different forms and usage of high techs in the industry while showing some alternative dispute resolution processes that might be feasible.

This paper shows why is a selected process better than others by focusing on the attributes and the selection criterion.

It is hoped that this study will help readers from a PM background choose a better approach and have a better insight regarding the usage of highly developed technologies.

Keywords:  Conflict, Dispute, Conflict resolution, Dispute resolution, Disagreement, Conflict of interest, AI, Drones, Mining, Technology

INTRODUCTION

Motivation:

There is no doubt of the impact that technology is having on the mining industry. Some argue that this change will surely be the start of the reliance of automated systems in the future of the mining business: cutting expenses while increasing productivity by helping mining organizations find all kinds of metals and minerals more efficiently.

Other advantages of the implementation of automated mining systems, drones, self-driven automated cars include:

  • Better eco-fuel efficiency
  • Better working conditions
  • Fewer impacts of work deficiencies
  • Enhanced use of the vehicles

Can automation and technology replace qualified experts, save lives and increase efficiency? Yes, it can. Technology is having a massing impact on contracting and the PM sectors. For instance, the mining industry has developed extremely during the past decade. This tremendous evolution of technology will firmly open the door to AI to play its role in the mining business.

“The next big industry that is going to benefit from AI is construction and mining” as Jesse Clayton, NVIDIA’s Sr. Manager of Products and business development said. [1]

These kinds of technologies will provide aerial views of the site and will have the capacity to give information that will enhance productivity. The drones can reach places where no other person or machine can reach by monitoring the utilization of the equipment on the site along with improving the work’s efficiency. AI nowadays is used in the automotive industry to prevent any collision in order to guarantee safety. Similarly to a car, AI can also be used on the site; it can serve as the brain of heavy machinery and thus assuring safety and profitability.

Artificial intelligence is changing the idea of nearly everything, which is associated with human life, employment, economy, security, medicinal services and so forth. Nonetheless, we are yet to see its development in the long term, if it is driving humankind towards improving this planet or bringing a catastrophic impact on life itself. All techs have flaws and advantages that will change humanity forever. As AI is improving rapidly, more robots are appearing in the human workplace. This is the present circumstance; I will cover the real areas where AI fundamentally influences human life in both the positive and negative aspects while emphasizing on the business and PM sectors.

Since many companies are using these new kinds of high techs in their businesses. We would like to challenge the use of these technologies in this paper. As a mechanical engineer, the purpose of this paper is to identify how to use AI, Drones, automation in order to increase the effectiveness and safety precautions in the worksite and how to make sure that these new technologies fit in my business?

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Editor’s note: This paper was prepared for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director [email protected].

How to cite this paper: Saba, A. (2018). Qualitative Study of Futuristic Technologies in the Workplace: Impact of AI/Drones on Project Management and Contracts, PM World Journal, Vol. VII, Issue XII (December).  Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Saba-futuristic-technologies-in-the-workplace.pdf



About the Author


Anthony Saba

Paris, France

 

 

 

Anthony Saba is a Mechanical Engineering graduate and a certified SAP Consultant. Currently pursuing a higher degree at Skema Business School, Paris Campus in order to adapt, and work as a manager and a leader in the management of complex projects in any international and multicultural environment.

Born and raised in Lebanon, he is a multilingual graduate with a passion for management and the consulting sector. Anthony serves in many international companies such as Mercedes Benz, Dar Group, National MEP, and SAP Technologies, which helped him gain an international exposure by working with multi-national professionals with different cultures. During his time at SAP, he was part of SAP’s Young Professionals Program (YPP) in Beirut, where he developed the soft skills needed to start a professional career as an Associate consultant. Currently, furthering his education by learning the fundamentals of eventually becoming a project manager.

Anthony Saba currently lives in Paris and can be contacted at [email protected] or via LinkedIn https://www.linedin.com/in/anthony-saba/

 

 

Smart Contracts for Project Managers

Boom or Bust?

 

FEATURED PAPER

By Mégane Gouin

SKEMA Business School

Paris, France

 


 
ABSTRACT

Nowadays, projects operate in a growing global, complex, networked and regulated scope. Thus, there is an increasing importance for synchronization, communication, and control. Contracts need to fit in this changing environment. Contracts can play a meaningful role in the project’s success.  Smart contacts hold tremendous potential in improving project management. The fundamental aim of this research is to evaluate how and to extend smart contracts can affect project management. The paper ran a literature review on recent research to assess the main challenges with traditional contracts. Then, the paper established the awaited impact of smart contracts on several aspects of the project manager’s activity. Finally, the paper analyzed how each effect and action of smart contracts can contribute to project management performances. The obtained results have shown that smart contracts could literally improve project management in many ways such as the automation of transactions, the monitoring, and management of data.

Keywords: Smart contract, Contractors, Contracts automation, Blockchain in project management, Distributed workflow, Contractual practices.

INTRODUCTION

‘’Pacta sunt servanda[1]’’, early rules of trades and barter have existed since ancient times. Modern laws of contracts are traceable from the industrial revolution (1750 onwards). From decades to decades, as society has advanced and technology has evolved, both the aspect and the role of contracts changed. Today, the Internet is just emerging and traditional contracts start to show their limitations.

Figure 1: Fishbone diagram (By author)

Traditional contracts, as an old and complex process, is facing increasing issues, as shown in figure 1. For project managers, these problems result in delivered past deadlines, over budget and/or which end in lengthy legal battles over contractual disputes. Meanwhile, an emerging type of contract is taking advantage of technology improvement, and starts to be in the heart of today’s business landscape.

‘’Some people say that 2017 is the year of the pilot for blockchain technology’’[2]. That means that anytime in the near future will be the year of production. Blockchain is starting to change the way we do business, and will soon change the way we manage projects. Project management tools start with Blockchain using features known as smart contracts. In 1994, Nick Szabo published an article in which he outlined the concept of Smart Contracts[3]. Today, dozens of year later, as technology has caught up, smart contracts came back and served as the subject of different experimentations. At first, Szabo defined smart contracts as machine-readable transaction protocols which create a contract with pre-determined terms. Within a newer definition, a smart contract is ‘’a set of promises, specified in digital form, including protocols within which parties perform on these promises’’[4]. Simply, a smart contract is a self-executing contract with the term of agreement between buyer and seller being directly written into lines of code. Since a smart contract removes reliance on a third party, when establishing business relations, the parties making an agreement can transact directly with each other. Smart contracts are described as the most significant transformation of commerce since the Internet. They are even causing experts to rethink how legal documents are written.

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Editor’s note: This paper was prepared for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director [email protected].

How to cite this paper: Gouin, M. (2018). Smart Contracts for Project Managers – Boom or Bust? PM World Journal, Vol. VII, Issue XII (December).  Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Gouin-smart-contracts-for-project-managers.pdf



About the Author


Mégane Gouin

Paris, France

 

 



Mégane Gouin
is a 21 year old French student, currently pursuing a Master of Science degree in Project and Programme Management and Business Development at Skema Business School.

Since her youngest age, she has a strong entrepreneur mindset and a powerful passion about digital.   After gaining significant experience from different positions in different industries, she is now managing her own online media cofounded company, which specializes in live broadcasting horseball competitions and providing a Video On Demand Platform. As a strategic director, she is mainly responsible for implementing web projects, by managing a team of 5 people. With a huge competitive and team spirit, after being French Champion, she is playing her sport, horseball, at a professional level. Her numerous international experiences (internships, exchange semester) gave her the opportunity to develop her adaptability and to become a confident problem solver. Being open-minded and world oriented increased her innovative skills. Highly interested in project management and his main upcoming challenges, she is getting certified by Prince2, AgilePM, CAPM.

You can contact her at: [email protected] or,  https://www.linkedin.com/in/meganegouin/

 

[1] ‘’Agreements must be kept’’ in Latin.

[2] Merriam Webster, 2011: ‘’A digital database, containing information (such as records of financial transactions) that can be simultaneously used and shared within a large decentralized, publicly accessible network.’’

[3] Nick Szabo, American cryptographer. The original text ‘’Smart Contracts’’ is available at: http://www.fon.hum.uva.nl/rob/Courses/InformationInSpeech/CDROM/Literature/LOTwinterschool2006/szabo.best.vwh.net/smart.contracts.html

[4] Szabo, 1996

 

Balancing the Business Case

for BIM in Project Environments

 

FEATURED PAPER

By John McGrath and Jansi George

Dublin, Ireland

 



According to research by McKinsey & Co (2016), construction projects are typically delivered late and over budget. Large construction projects have a 20% schedule and 80% cost over-run. McKinsey also highlight that since the 1990s construction productivity has declined in some markets, often resulting in relatively low financial returns for construction firms. They have identified that one of the main reasons for such problems is paper based processes, which don’t allow teams to collaborate in real time (Imagining construction’s digital future, 2016).

In the digital age, paper-based processes are a detriment to sharing information with stakeholders. We have all experienced first-had the confusion of version control and that sinking feeling during a project review when it becomes apparent, we implemented a redundant revision.  Some construction companies have moved onto digital formats of drawings, documents and reports but the information is held in different forms, versions and locations that are not structured and centrally co-ordinated. This leads to conflicts of information and risks of inconsistency and incoherence in data (AECOM, 2012).

In contrast, BIM as a digital database creates, manages and operates information in a centralised area, making it available for sharing. It facilitates the participants to cooperate more efficiently and to integrate their processes, leading to less chance of losing information (Autodesk, 2002).

Building Information Modelling (BIM) is seen as one of the processes and tools which can help to digitise and manage information and improve collaboration between stakeholders in construction projects throughout the project lifecycle

Autodesk (2106) explains how collaboration and project information is managed using the BIM process:

“BIM is not one technology but instead introduces a data-driven, rather than drawing-driven, approach to enable practitioners to execute work more efficiently and effectively; integrate contributions from others; make changes; explore alternatives and deliver more suitable solutions that address needs from all stakeholders”.

Thus BIM can enhance the process of generating, sharing, integrating and managing project information among project phases. It can act as an information bridge between different disciplines in a project.

BIM definition

The definition of BIM is often misinterpreted and misunderstood by people (Aubin 2012, p44). It is often understood as a 3D model but it offers much more to project teams. The “information” component has more importance. It is more the harnessing of data for information sharing, regardless of whether it is presented in a graphical model or not.

BIM is a widely accepted tool to overcome many hurdles currently facing the Architecture, Engineering and construction industries (Morlhon, Pellerin & Bourgault, 2014) but it is prudent to note there are different interpretations of BIM:

BIM is a rich information model, consisting of potentially multiple data sources, elements of which can be shared across all stakeholders and be maintained across the life of a building from inception to recycling. (NBS, 2012)

Eastman, Teicholz, Sacks & Liston (2008, p.1) explains that:  “BIM accommodates many of the functions needed to model the lifecycle of a building, providing the basis for new construction capabilities and changes in the roles and relationships among a project team. BIM facilitates a more integrated design and construction process that results in better quality buildings at lower cost and reduced project duration.”

“BIM is a paradigm shift in the architectural, engineering and construction industries which transforms processes to achieve greater efficiency and effectiveness” (Wong, Wong and Nadeem, 2011).

The aim of BIM is to improve the overall project process following the slogan “Better! Faster! Cheaper!” (Saxon, 2013).

While the development of the 3D BIM model is an important component, BIM should also be understood as a process change, not just a new tool or technology. The model has the capacity to act as a Single Source of Truth for all project participants. BIM also enhances collaboration resulting in improved information management and an overall leaner process (Computer Integrated Construction Research Program (CICRP), 2013).

From the various definition of BIM, we propose a three-pillar approach to defining BIM: (1) “digital model”, (2) “new collaborative business process” and (3) “information management and control tool”.

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How to cite this paper: McGrath, J. (2018). Balancing the Business Case for BIM in Project Environments; PM World Journal, Vol. VII, Issue XII (December).  Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-McGrath-George-balancing-business-case-for-bim.pdf



About the Authors


John McGrath

Dublin Institute of Technology
Dublin, Ireland

 

 

John McGrath has over twenty years’ experience teaching, coaching and consulting on project management issues. His track record includes over 250 global companies, government agencies, state enterprises, Engineers Ireland, the United Nations, the London and Rio Paralympics, and the World Bank.  John has a particular interest in developing PPM competency within organisations and gaining true visibility of the project/program pipeline, a process that he commonly refers to as “searching for a Single Version of the Truth”.  20+ years of experience has taught John that excellence in project execution rarely happens without first achieving excellence in project planning.  He develops master schedules for large programs of work and acts as an expert witness for forensic schedule analysis and delay claims. He has deployed Microsoft Project and Project Vision for projects in excess of €100 million.  John is now a full-time project management consultant and lecturer at the Dublin Institute of Technology. John McGrath can be contacted at [email protected]

 


Jansi George

Dublin, Ireland

 

 

Jansi George is a Civil Engineer and an aspiring Project Manager. She has nearly 12 years’ experience as a Civil Engineer in public sector organisations. She is experienced in Engineering Design of Light Rail projects and at present working in a role of management and delivery of National Road projects. Her education background includes MBA and Msc in Construction Informatics from Dublin Institute of Technology, Ireland. Also, she holds B.E in Civil Engineering from Manonmaniam Sundaranar University, India. Her interests include BIM, Project Management and Strategic Management. Jansi can be contacted at:  [email protected]

 

 

Building Information Modelling

and its Application in Building Construction Projects

 

FEATURED PAPER

By *1Benedict Amade, 2Ulari Sylvia Onwuka, 3Joy Okwuchi Chizitere Oguzie, 4Effiong David Umoh and 5Prince Nathan Uduma

*1,2,3,Department of Project Management Technology
Federal University of Technology, P.M.B. 1526 Owerri, Nigeria

4,5, Graduate Student, Department of Project Management Technology
Federal University of Technology, P.M.B. 1526 Owerri, Nigeria

*Corresponding author email: [email protected]

 



ABSTRACT

Building Information Modelling (BIM), an emerging tool for collaboration within the Architectural Engineering and Construction industry, has been adjudged as one of the models for containing information within the nooks and crannies as well as the lifecycle of a building construction project.BIM has been proven to have contributed to the optimization of the construction process via, the collaboration and integration of all building information management processes necessary for ensuring that all project variables are delivered via a range of digital approaches. This study looked at the application of BIM in planning and controlling of building construction projects, BIM tools deployed by practitioners within Port Harcourt, Rivers State. Survey research design using structured questionnaires was deployed as means of data collection from construction professionals in some selected construction firms. A sample of 95 respondents was determined using Yamane’s formula. Data for the study were presented using frequency table, percentage, charts. Key variables were analysed using Relative Importance Index (RII). The result from the study shows a general awareness of BIM with 97% of the respondents indicating a good knowledge and use of BIM. On enquiry about BIM tools used by respondents, AutoCAD Architecture was adjudged one of the most used BIM tool with 68% usage, followed by Revit Architecture and ArchiCAD with 46% and 45% respectively. Other tools had usage rate below 30%. The result of BIM application to construction processes revealed that BIM is mostly applied in design, visualisation and creation of digital mock-up as these processes had a RII of 0.85 and 0.79 respectively. Quantity take-off and estimation, and engineering analysis showed fair usage with RII of 0.55 and 0.50 respectively. Other construction processes tested all showed low usage with RII below 0.44.

Keywords: Building Information Modelling, Planning and Control, Building Construction Projects,

INTRODUCTION

Construction projects are aimed at realizing predefined goals and objectives that are laced with risks, these risks are further compounded by the existence of some project constraints viz; time, cost, scope and the project delivery methods deployed (Foster, 2008). To maximize the twenty first century digitalized problem-solving opportunities of combating inefficiencies and reducing errors, omissions and wastages caused by the application of traditional methods of constructing, the construction industry must not be left out in the digitization crusade.  As opined by Kiprotich (2014), the contributions of wider use of technology, digital processes and automation to our economic, social and environmental future cannot be overemphasized. BIM radically changes the way building designs are made, communicated and constructed (Isikdag, 2015). BIM is a technological advancement that has improved how building projects are planned, designed, communicated and constructed by integrating Architectural, Engineering and Construction (AEC) related practices that are traditionally fragmented (Cramer, 2010). Over the years, the use of paperwork has been the method of communication between key players in the built industry.

Building projects are designed as single units such that conflict, errors of omission that leads to alteration of a parameter automatically leads to alteration of related parameters and objects, including drawings, renderings, specifications and schedules. If such adjustment is made during the execution phase, the resulting effect could range from extension of project duration to incurring of extra costs. This therefore highlights the need for an integrated system that can foster collaboration of different stakeholders, giving them access to every information pertaining to the project as the need arises.

According to ASHREA (2009), a building information model, is a digital depiction of the physical and functional features of a facility which is accessible to all stakeholders and forms a reliable base for decision making throughout the life cycle of the facility. The notion of BIM emerged and was developed at the Georgia Institute of Technology in the late 1970s and it grew rapidly thereafter. BIM evolved from being a shared information resource to an information management strategy and further into becoming a construction management method (Isikdag, 2015).

According to Hassan and Yolles (2009), BIM follows a seven-dimensional process which can be portrayed thus: 3D – Modelling; 4D – Scheduling; 5D – Cost Estimating; 6D – Sustainable Design (Green Design); and 7D – Facility Management. This lends credence to the argument against the misconception that limits BIM to being a 3D Modelling tool and associate computer aided design (CAD) with 2D drawing. CAD technology also offers 3D renderings, the difference being that in CAD, building elements are represented by lines and geometric shapes, while in BIM, the elements hold specifications such as height, width, interior or exterior, fire rating, etc (Dastbaz, Gorse &Moncaster, 2017). BIM offers parametric integrity which relates to the connection and relation between elements which are maintained consistently even when the model is being manipulated (Succar, 2009). In the application of BIM, each party carries out its own responsibility while actively cooperating with other parties to ensure a smooth flow of work. (António& António 2014;Yanran, Guogang&Jingru, 2015). Yanran et al.(2015) further asserted that since BIM presents the physical and functional features of a construction work in a digital format, conflicts encountered while applying the traditional decentralized construction approach are easily observed and corrected while the project is yet in its planning phase.

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How to cite this paper: Amade, B.; Onwuka, U.S.; Oguzie, J.O.C.; Umoh, E.D.; Uduma, P.N. (2018). Building Information Modelling and its Application in Building Construction Projects; PM World Journal, Vol. VII, Issue XII (December).; Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Amade-et-al-bim-and-its-application-in-building-construction-projects.pdf



About the Authors


Benedict Amade, PhD

Federal University of Technology
Owerri, Nigeria

 

 

 

Dr. Benedict Amade is a Project Manager by Profession. He read and obtained a PhD (Doctor of Philosophy) Degree in Project Management Technology from the Federal University of Technology, Owerri, Nigeria. He is a member of the Project Management Institute (PMI) U.S.A. and presently lectures in the Department of Project Management Technology of the Federal University of Technology, Owerri, Nigeria for the past 9 years. His areas of research interest include construction project management, computer-based project management and construction supply chain management. He has authored over 20 scientific publications in international refereed journals and is actively involved in other consultancy works. He can be reached on [email protected] or [email protected]

 


Ulari Sylvia Onwuka

Owerri, Nigeria

 

 

 

Mrs. Ulari Sylvia Onwuka received her B.Sc. in Building from Abia State University, Uturu, Nigeria. She was awarded an M.Sc. degree in Project Management Technology from the Federal University of Technology, Owerri, Nigeria. She is currently a Ph.D. candidate in Construction Project Management. She joined Federal University of Technology, Owerri as an Assitant Lecturer in 2014, where she currently serves as a Lecturer. Her research interests are in the areas of building construction projects. She is a registered builder and is married with children. She can be reached on [email protected]

 


Joy Okwuchi Chizitere Oguzie

Owerri, Nigeria

 

 

 Mrs. Joy Okwuchi Chizitere Oguzie is a Lecturer II in the Project Management Technology Department of the Federal University of Technology, Owerri, Nigeria. She received her B.Tech. in Project Management Technology from Federal University of Technology, Owerri, Nigeria and immediately went on to pursue her Master’s and currently her Ph.D. Her research proficiency is in the area of project management, tendering and cost estimation. She can be reached on [email protected].

Mr. Effiong David Umoh and Prince Nathan Uduma, are graduates of the Department of Project Management Technology, Federal University of Technology, Owerri, Nigeria. They obtained their Bachelor of Technology degrees in the same discipline.

 

 

Delay Factors

Impacting Construction Projects in Sana’a-Yemen

 

FEATURED PAPER

By Wael Alaghbari1, Rasha S. N. Saadan2, Wail Alaswadi3 and Basel Sultan4

1 Assoc. Prof. at the Architectural Department, Faculty of Engineering, Sana’a University, and International University of Technology Twintech –IUTT, Yemen – Corresponding author

2 Master Graduated, MBA Program, Faculty of Business and Finance,International University of Technology Twintech –IUTT, Yemen

3 Assist. Prof. at the College of Business Administration, Shaqra University, Saudi Arabia.

4 Engineering Management Department, College of Engineering, Prince Sultan University, P O Box 66388, Riyadh 11586, Saudi Arabia.

 


 
ABSTRACT

In Yemen the delay in the implementation of construction projects has become a widespread phenomenon, especially in public projects This research intends to identify the most significant factors causing delay in construction projects in Sana’a- Yemen. A survey questionnaire was structured and distributed to architectural and structural engineers who were working in construction projects. The questionnaire included of 32 predefined causes, which were grouped into five major factors, managerial, financial, technical, materials & equipment and external factors. The relative importance index (RII) was determined and the causes were ranked within their groups and overall. The results showed that the group of financial factors ranked first among the five groups. The top five factors causing delay of construction projects in Sana’a – Yemen: (1) delay in receiving progress payments by contractors, (2) financial difficulties faced by clients, (3) inadequate experience of contractor/ consultants, (4) poor site management and supervision, and Lack of sufficient cash for project implementation, and (5) lack of sufficient cash for project implementation. This study highlights the importance of acknowledging the most significant factors and their causes leading to the delay overarching issues in order to achieve a successful implementation of construction projects.

Keywords: Construction, Delay factors, Construction Projects, RII, Sana’a, Yemen

INTRODUCTION

Construction industry is considered to be a major contributor as well as an integral ingredient of the development of economies especially developing ones, yet many construction projects experience extensive delays as well as a noticeable stumbling and thereby exceeds the projects’ initial time and cost estimated (Hussin et al., 2017). Moreover, as construction projects get larger and more complex, clients are also increasingly demanding higher standards whenever it comes to their preferences of the products and services provided in the world of the real-estate (Chan et al., 2004). Meanwhile, cost, time, and quality have increasingly become the main features of competition in the business world. According to Hoonakker et al., (2010) rapid growth and competitiveness have made the industries and organizations throughout the world adapt “Quality” as a strategic weapon for market share, profitability enhancer of their organizations, and clients’ sophisticated specifications fulfiller. Despite well-known research findings and decades of individuals and team expertise of project management, construction project outcomes continue disappointing the projects stakeholders (Bodicha, 2015).

According to previous studies, construction delay is not a local fact in Yemen only, but an international reality that often results in time overrun, cost overrun, disputes, litigation, and complete abandonment of projects (Fugar&Agyakwah-Baah, 2010). What is more, both public and private sectors’ infrastructure investment in developing countries has been unstable over the last decade, with perennial infrastructure gap of USD 31 billion per year (Asante, 2014). This seeming instability in infrastructure delivery has been largely attributed to the obvious delays in project delivery (Fugar et al., 2010), which in most cases result in woefully construction cost and time escalations and, thus, to the projects failure. The failure of some projects and the complete shutdown of others indicate that there are also many hidden factors behind such scenarios in specific stages; even sometimes at the very beginning, some of which are project-related factor, project managerial factor, recourses-related factor, and external factor (Nallathiga et al., 2012).

Thus, an in-depth scan through the previous literatures shows a convergence in the causes of construction projects’ delay in both developed and developing countries (Asante, 2014). Recent studies provided a comprehensive list of project delay factors, and they were expounded in terms of project factor, managerial factor, human factor, technical factor, materials and equipment factors, financial factor, and external factor (Desai &Desale, 2013; Doloi et al., 2012; Hasan et al., 2014).

Despite the fact that the three attributes in the so-called Iron Triangle which are cost, time, and quality are essential criteria for projects’ success Hughes et al.,(2017) especially those characterized by having a high level of complexity, increased uncertainty and unlimited diversity, construction projects in Yemen are unfortunately stumbled and often beset with severe problems (Sultan, 2013;  and Alaghbari et al., 2017).

The previous studies by (Sultan, 2005; Al-Seraji, 2010; Al-Fadhali, et al., 2016; Al-Fadhali, et al., 2018; Sultan and Alaghbari, 2017; Alaghbari, et al., 2017; Almaktar, et al., 2017; Al-Yousfi, 2018; Al-Sabahi, et al., 2014) indicated the problems of construction projects in Yemen, including delays and / or non-completion of projects. There is a remarkable gap between the construction needs and the domestic resources, which in turn result in complete failure to meet the increasing and the required demands. In addition, like other developing countries, the construction sector in Yemen is undeveloped where there is a remarkable gap between the construction needs and the domestic resources, which in turn result in complete failure to meet the increasing and the required demands.

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How to cite this paper: Alaghbari, W.; Saadan, R. S. N.; Alaswadi, W.; Sultan, B. (2018). Delay Factors Impacting Construction Projects in Sana’a-Yemen; PM World Journal, Vol. VII, Issue XII (December); Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-delay-factors-impacting-construction-projects-in-yemen4.pdf



About the Authors


Assoc. Prof. Wael Alaghbari

Sana’a University and International University of Technology Twintech
Sana’a, Yemen

 

 

Dr. Alaghbari is an Assoc. Prof. of Architectural Studies and Project Management in the Architectural Department, Sana’a University. He received his B.Sc. in Architectural Engineering (the 1st with the honour degree) in 1995. Then in 2005, he received his M.Sc. in Project Management in 2005 and his PhD in architectural Studies in 2010 from University Putra Malaysia. Additionally, Dr. Alaghbari is the chief editor of the Journal of Engineering Sciences and he is an editorial board member and reviewer for many international journals. Dr. Alaghbari has very good experience in academic and consultancy works in architectural engineering, urban studies and construction management for more than 20 years.Currently, he is the President of the International University of Technology Twintech – IUTT (private university).Contact with Dr. Alaghbari via e-mail; [email protected]

 


Ms. Rasha S. N. Saadan

International University of Technology Twintech
Sana’a, Yemen

 

 

Ms. Rasha is working as an Interior Architect and is a project manager for some projects in the private sector. She received her MBA in 2018 from the International University of Technology Twintech – IUTT, Yemen. She obtained her Bachelor’s degree in Interior Architecture from the University of Technology Mara UiTM, Malaysia.  Contact with Ms. Rasha Saadan via e-mail; [email protected]

 


Dr. Wail Alaswadi

Shaqra University
Saudi Arabia

 

 

Dr. Alaswadi is an Assist. Prof. at the College of Business Administration, Shaqra University, Saudi Arabia. He got his Master and PhD in Business Administration from University Utara Malaysia. He worked as a visitor Assist. Prof. in the International University of Technology Twintech and the Emirates International University in Yemen.Contact with Dr. Alaswadi via e-mail; [email protected]

 


Assoc. Prof.  Basel Sultan

Prince Sultan University,
Riyadh, Saudi Arabia

 

 

Dr. Sultan is an Assoc. Prof. at the Engineering Management Department, College of Engineering, Prince Sultan University. He obtained his Bachelor and Master’s degrees in Civil & Structural Engineering from the United Kingdom and was awarded a PhD in Project Management from Queensland University in Australia. Dr. Sultan was an Assistant Professor, Civil Engineering School, Faculty of Engineering, Sana’a University, Yemen, 2006-2013. Course topics include Project Management, Engineering Contracts and Building Specifications, Building Technologies and Sustainable Development. Introduced a new topic of study in sustainable construction. Moreover, he worked as a Senior Consultant in Sana’a, Yemen, until 2010. He was providing consulting services to local companies, as well as, taking the lead in estimating and putting forward the commercial & technical proposals for many major petroleum projects. Dr. Sultan was the chief Editor of the Journal of Engineering Sciences between (2012-2014). Contact with Dr. Sultan via e-mail; [email protected]

 

 

Failed Governance

A major contributor to failed projects in Africa

 

FEATURED PAPER

By O. Chima Okereke, PhD

UK and Nigeria

 



Introduction

Most of the failed projects in Africa belong to the public sector and are owned by the various national governments. Multinationals such as Shell, Chevron, Total, Agip, etc., plan and implement projects but do not experience the failures that occur in government-owned projects.

In 2002, an Australian business and project director, driving with us through the Shell residential area (RA) in Port Harcourt, Nigeria, was so impressed with the infrastructure we were seeing that he commented that the Shell RA was a “city within a city”. In other words, it is comparable to excavating a residential village in the UK, US, Germany or any of the large cities in the First World, that is the western world, and planting it in a Third World country which is deficient in stable and sustainable power supply, water, good roads, etc.

In 1980-81, it was observed that a new set of gas turbine electric generators was being installed to replace the generators in operation at Shell Nigeria Forcados Terminal. The explanation was that the existing generators would no longer be supported after a few years, it was therefore essential to install the gas turbine generators which could be sustained for many years in the future. To ensure sustainability of electric power supply, both immediately and in the future, they started upgrading the existing generators in spite of the fact that they were still generating as designed.

The two incidents discussed in the foregoing paragraphs demonstrate evidence of good foresight in governance. Governance describes processes undertaken by a government or a board of directors and such other bodies to direct management or the body being governed to conduct actions or policies for the achievement of the desired objectives of the nation or organisation. In effect, the board or national or federal executive council (in Nigeria), authorises and delegates the executive management of federal government parastatals, organisations, or companies, the power to carry out programmes, projects and operations. Members of the executive or top management of the government organisations are appointed by the government. They are responsible to the government and can be sacked or redeployed as the relevant government minister decides.

This arrangement underscores the need to investigate and explore the contributions of the actions or inactions of government ministers and their representatives in the failure and abandonment of projects. To do this, the following topics will be investigated and analysed:

  1. Governance as it relates to government ministries and government parastatals and companies
  2. Examples of actions or inactions of government ministries
  3. Failed governance, a symptom of a corrupt and failed democracy
  4. Concluding remarks including suggestions for improvement

Most of the materials in this paper is based on the experience of this writer or taken from research papers published after a real-life survey of people who had worked in public organisations in their respective African countries.

  1. Governance as it relates to government ministries and government parastatals and companies

Appointments in parastatals are based on political inclination. Some of the interviewed persons described the roles of the boards to include the following:

  • Formulation of policies for parastatals and government organisations;
  • Appointment of members of the board and of the top management
  • Approving the promotion of staff;
  • Considering and approving budgets of parastatals;
  • Awarding contracts;
  • Approving the disciplines of staff;
  • General regulation of the activities of parastatals.

In effect, the board, by the above roles, governs parastatals. Governance as defined by one of the interviewed persons is: “a process of administering organisations, people or society using the resources available to ensure that the resources are properly used” Or simply put “administering people and resources to achieve certain results.”

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How to cite this paper: Okereke, O. C.  (2018). Failed Governance: A major contributor to failed projects in Africa; PM World Journal, Vol. VII, Issue XI – November.  Available online at https://pmworldjournal.net/wp-content/uploads/2018/11/pmwj76-Nov2018-Okereke-failed-governance-featured-paper.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. 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/

 

 

Responsibilities for “project” successes/failures?

 

FEATURED PAPER

By Alan Stretton, PhD (Hon)

Sydney, Australia

 



INTRODUCTION

I first discussed project successes and failure in a series of six articles in this journal, starting with Stretton 2014j. In the second article of that series (Stretton 2015a) I assembled a list of 42 different causes of “project” failures, derived from the quite sparse data then available in the project management literature.  I emphasised at the time that these causes of “project” failure did not claim to be necessarily representative of projects at large, but that they appeared to be indicative enough to be worth further consideration. Importantly, it was also evident that many of these causes of failure were not due to deficiencies in project management itself, but were actually due to other non-project parties.

I returned to these materials in Stretton 2018a, in which I related these causes of project failure to an organisational strategic business framework. The latter derived from two articles immediately preceding Stretton 2018a, which were expanded on later in a series of five articles on Organisational strategic planning and execution, starting with Stretton 2018d.

Stretton 2018a indicated that pre-execution causes of failure (strategy- and project-initiation causes) comprised nearly 40% of the total. It also indicated that project management was seldom involved in these pre-execution activities. However, I did not discuss key decision-making responsibilities in such pre-execution activities – which is one of the topics to be addressed in this article.

Since compiling the original lists of causes of project failure, the most detailed general discussion of such causes I have seen is Jenner 2015. He has researched project failures in much more depth and detail than I attempted, and identified many causes of project failure, including some not covered in Stretton 2018a. This has widened the scope of my enquiries about successes and failures, and associated responsibilities. I therefore propose to relate Jenner’s causes of “project” failure to an upgraded organisational strategic business framework, and then to look at how, and to whom, responsibilities for certain groups of failures could (or should?) be assigned.

THE NATURE AND INCIDENCE OF PROJECT SUCCESSES/FAILURES

First, it should be said that there is very little validated data on project successes and/or failures in the project management literature, as I discussed in Stretton 2014j. Additionally, criteria for defining project success or failure vary very substantially.

Project failures tend to be expressed in terms of cost over-runs, late completion, and/or failure to deliver expected outcomes. However, acceptable tolerance levels in relation to what constitutes failure appear to vary widely. For example, as indicated in Stretton 2014j, in the cases of the two types of projects about which we have the most information on incidences of failure, tolerance rates for mega-projects appear to be substantially more liberal than for software development projects.

However, there are also other substantial differences in criteria used, including a category in the Standish Group data for software projects between “success” and “failure” which they call “challenged”, by which they mean completed and operational projects which are over budget, late, and with fewer features and functions than initially specified. So, overall we are far from having consistent criteria for defining project successes and failures. Currently, as Jenner 2015 puts it, “’Success’ and ‘failure’ are …. often contestable notions”.

None-the-less, irrespective of the criteria used, there is wide-spread agreement that the incidence of failed projects and programs is much higher than could be reasonably expected. However, when it comes to quantifying these, we simply do not have sufficient validated information to be able to make confident assessments. Jenner 2015 summarises many contributions on the subject, which appear to indicate an overall failure rate of 50%-70%. But he then comments as follows:

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How to cite this article: Stretton, A. (2018). Responsibilities for “project” successes/failures? PM World Journal, Volume VII, Issue X – October. Available online at https://pmworldjournal.net/wp-content/uploads/2018/11/pmwj76-Nov2018-Stretton-responsibilities-for-project-successes-failures.pdf

 

 



About the Author


Alan Stretton, PhD

Faculty Corps, University of Management
and Technology, Arlington, VA (USA)
Life Fellow, AIPM (Australia)

 


Alan Stretton
is one of the pioneers of modern project management.  He is currently a member of the Faculty Corps for the University of Management & Technology (UMT), USA.  In 2006 he retired from a position as Adjunct Professor of Project Management in the Faculty of Design, Architecture and Building at the University of Technology, Sydney (UTS), Australia, which he joined in 1988 to develop and deliver a Master of Project Management program.   Prior to joining UTS, Mr. Stretton worked in the building and construction industries in Australia, New Zealand and the USA for some 38 years, which included the project management of construction, R&D, introduction of information and control systems, internal management education programs and organizational change projects.  He has degrees in Civil Engineering (BE, Tasmania) and Mathematics (MA, Oxford), and an honorary PhD in strategy, programme and project management (ESC, Lille, France).  Alan was Chairman of the Standards (PMBOK) Committee of the Project Management Institute (PMI®) from late 1989 to early 1992.  He held a similar position with the Australian Institute of Project Management (AIPM), and was elected a Life Fellow of AIPM in 1996.  He was a member of the Core Working Group in the development of the Australian National Competency Standards for Project Management.  He has published over 190 professional articles and papers.  Alan can be contacted at [email protected].

To see more works by Alan Stretton, visit his author showcase in the PM World Library at http://pmworldlibrary.net/authors/alan-stretton/.

 

 

Evaluating aspects of power plant performance

Using Project Success Life Cycle Model (PSLCM)

 

FEATURED PAPER

By Lalamani Budeli and Prof J H Wichers

South Africa

 



Abstract

The Project Success Life Cycle Model (PSLCM) is aimed at ensuring that critical factors are considered when the success of power plant is measured. This model uses data envelopment analysis (DEA) to measure task, activity, process, product or firm input, output as well as process efficiency at any stage of project, product or business development. It integrates technical performance and financial performance measures so that projects in different industries can be compared objectively and inefficiencies in areas where resource availability is high can easily be identified.

This paper shows how integrating effective technical and financial performance measures (TFPM), data envelope analysis (DEA) and design of experiments (DOE), as well as the use of standard processes, can dramatically improve plant life cycle management through an integrated life cycle management model.

The outcome of the model is a success performance measure which incorporates project performance measure, product performance and corporate performance into a single value. This model will make it easy to compare projects, product and organisations performance in different stages of the life cycle.

Keywords: Life cycle management, Data envelop analyses, Performance measurement, life cycle model.

Introduction

Power generating plants require large initial investment and significant further expenditure to continue operations over its intended life cycle. This means that the cost requirements for the continuing operations should be determined in order to sustain the plant output over its intended life cycle. In addition, regular detailed life cycle plans that reflect essential refurbishment and replacement activities of all relevant plant systems are needed. These plans must reflect modifications, projects and technological improvements that may be required to address any changes in plant conditions, operations, capacity, and legislative requirements, as well as primary energy supply or operational life span.

It is important for utilities to determine standard practice involved in the plant life cycle management process, which include the inputs and expectations of key stakeholders, as well as proposed methods to ensure process effectiveness. It is vitally important that the technical planning process must follow all the critical steps to ensure that an effective and efficient plan is achieved by establishing correct planning assumptions and inputs when developing the life cycle management plans. These include the planned operational life of the power plant, economic evaluation parameters, plant maintenance strategies, legislative and statutory requirements, as well as the future production regime, performance targets, primary energy requirements and quality. Power utilities require these inputs to integrate information systems into a database in which all project proposals, as well as finalised technical and life of plant plans are in place to avoid developing technical plans from zero bases every year. Financial targets are applied to sections over the period of the technical plan to optimise the plan within the available funding, while project proposals are prioritised according to approved ranking methodologies.

The power industry landscape continuously experiences disruptions mostly due to existing business models, systems and methods of operation and a blend of players and electricity subsectors. In developing countries, energy efficiency can be realized quickly because the potential for energy efficiency improvements are high. Due to the constraint in which power plants are constructed and operated, it can be expected that there will be differences in efficiency and performance from one plant to another. Real plant design constraint also limits power plant efficiency beyond the control of utilities, which is not necessarily a result of ineffective design or operation. Various factors are perceived to affect the efficiency of power plants. However, this study will focus on technical efficiency problems due to design and maintenance which is subdivided into:

  • Plant design – the efficiency of a power plant is largely dependent on the basic plant design and how well it has been maintained.
  • Deterioration – equipment deterioration over the years of operation could affect plant efficiency and performance significantly.
  • Plant maintenance – comparing actual performance to design is important because equipment distorts, leaks, wears, fouls, corrodes and as calibrations drift, the plant becomes less efficient.
  • Component availability – non-availability of certain plant components and equipment can affect efficiency, which requires maintaining proper cleaning of equipment to avoid degradation.

In this paper, a project success life cycle model (PSLCM) is developed to measure, control and manage power plant performance. The model is achieved by combining variance, process and system theoretical approaches which will offer a particularly significant opportunity to improve theory in light of the results. It can be argued that the insistence on exclusion of variables from process research unnecessarily limits the variety of theories constructed. In this research, the concept will be developed, key relationships identified, model developed and the study conclusions provided…

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How to cite this paper: Budeli, L. & Wichers, J. H. (2018). Evaluating aspects of power plant performance using Project Success Life Cycle Model (PSLCM); PM World Journal, Vol. VII, Issue XI – November. Available online at https://pmworldjournal.net/wp-content/uploads/2018/11/pmwj76-Nov2018-Budeli-Wichers-evaluating-aspects-of-power-plant-performance.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).

 

 

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.

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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)