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Alternative dispute resolution

in the contracts of international package delivery

 

STUDENT PAPER

By Shuoting Zheng

SKEMA Business School

Lille, France and China

 


 
ABSTRACT

As the rapid development of cross-border e-commerce, the industry of international package delivery is growing at a surprising speed. As contractual disputes within this industry are omnipresent and often lead to serious results, this paper is aimed at finding out the best resolution for these disputes. By the end of this paper, we will be able to know what the alternatives are for resolving disputes in the contract of international package delivery as well as which alternative is the most appropriate one to implement. In order to evaluate the six possible alternatives which are proposed, we give eleven different attributes that can assess the alternatives effectively. Throughout this paper, with the help of Disjunctive Reasoning Technique, Addictive Weight Technique, Pareto Analysis and other efficient techniques, we discover that prevention which focuses on the effective cooperation and information-sharing between the parties interested is the best alternative. However, if disputes have arisen, negotiation and standing neutral are the most appropriate dispute resolutions in the industry of international package delivery.

Keywords: Alternative Dispute Resolution/ADR, International package delivery, Cross-border e-commerce, Contract, Standing neutral, Arbitration, Negotiation, Prevention, Litigation.

INTRODUCTION

In recent years, with the rise and the rapid development of cross-border e-commerce, the industry of international package delivery is developing in a high speed: “it is growing at a rate of 10 billion pieces per year in China”.[1] “In 2014, the trading volume of international package delivery accounted for 24.6% of global GDP. Actually, this industry is driven by China, Japan and USA”.[2] “According to AliResearch, in 2020, the trading volume of global e-commerce will reach 3,4 trillion US dollars and the number of cross-border e-commerce users will be estimated to reach 2,1 billion.”[3] In addition, “the trading volume of global B2C e-commerce is expected to be 3,4 trillion US dollars and the logistics cost will reach 1,02 trillion US dollars”.[4]

Indeed, international package delivery is much more complex than we can imagine, it not only involves many people from customers to deliverers but also involves lots of processes like warehousing, transportation, distribution, taxation across national borders… In order to ensure the safe transportation of the cargo or define the related responsibilities, contracts are usually signed. Generally, a contract is the key to avoiding possible disputes in the coming future. However, the package delivery among countries is much more complex than that within a country, lots of possibilities will happen during the whole process.

“As a result, lots of serious conflicts arising between the related parties (the consignor, the carrier, the consignee, the insurer…) and contract usually can’t meet the demand to resolve this kind of complicated disputes among several related parties”.[5] Since disputes are common, one of the main objectives in international package delivery industry is to clarify the root causes of different disputes.

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Zheng, S. (2019). Alternative dispute resolution in the contracts of international package delivery, PM World Journal, Vol. VIII, Issue II (February).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/02/pmwj79-Feb2019-Zheng-alternative-dispute-resolution-in-contracts.pdf

 



About the Author


Shuoting ZHENG

SKEMA Business School
Lille, France

 

 

 

Shuoting Zheng is a 22-year-old Chinese student, currently pursuing a Master of Science degree in Project & Programme management and Business Development at SKEMA Business School in France. She graduated from Central South University of Forestry and Technology in 2018 in China and obtained the Bachelor’s Degree of French Language. During the last year of her university, she had grasped the precious opportunity to study as an exchange student in University of Reims Champagne-Ardenne in Reims, France. Thanks to her educational background, she is a trilingual speaker.

During her period of university in China, she has worked as intern in several companies like China Telecom and earned lots of precious experiences of social practice.

She has excellent skills about problem-solving and adaptability. She is also good at communicating as well as listening and this makes her own strong ability to work in a team.

As a postgraduate student of Project Management, she has obtained some professional certifications like PRINCE2, AgilePM, GPM-b which prove that she is qualified to be a part of a project management team. View more about her on LinkedIn: Shuoting ZHENG.

Feel free to contact her on [email protected]u

 

[1] 2017 China Express Industry Development Overview. (n.d.). Retrieved from http://www.chyxx.com/industry/201711/586648.html

[2] China Post Bureau: The growth rate of express delivery is 6 times faster than GDP. (n.d.). Retrieved from http://politics.people.com.cn/n/2015/0327/c70731-26757161.html

[3] [Global Cross-border Logistics Industry Report] “Three Giants” and “Postal Network”. (n.d.). Retrieved from https://www.sohu.com/a/156041400_354900

[4] [Global Cross-border Logistics Industry Report] “Three Giants” and “Postal Network”. (n.d.). Retrieved from https://www.sohu.com/a/156041400_354900

[5] How to deal with disputes in delivery industry. (n.d.). Retrieved from http://www.66law.cn/fangan/anli_353/

 

Sustainable Construction

What must be included in sustainable contractual clauses

 

STUDENT PAPER

By Céleste Gonnon

SKEMA Business School

Paris, France

 


 
ABSTRACT

Because of the public pressure and the increase of social and environmental awareness, companies that are creating new projects must include sustainability-related clauses in their contracts. This is true for the construction field that has to respect the Corporate Social Responsibility during the construction process as well as deal with the impact the building will have on the future.

There are several elements that need to be considered in construction contracts in order to respect sustainable principles and be accredited as a green building. We will conduct a study on construction standards contracts (AIA, CSI, FIDIC, EJCDC and Consensus Docs) to determine which one suits the best for sustainability.

We will use the Multi-Attribute Decision Making method to analyze these standards contracts through the scoring attributes of the LEED Certification, which is a green building rating system. The method will show us that in the construction field, the Consensus Docs are the most complete about sustainability, as some clauses in these standards contracts are linked with the LEED.

Keywords: Contracts, sustainability, sustainable contractual clauses, project, project management, construction, Multi-Attribute Decision Making.

INTRODUCTION

“In 2011, Apple has been incriminated because of terrible working conditions in one of its factories in China. Indeed, from to 2010, many assembly-line workers began committing suicides, sometimes throwing themselves off the dorm building in daylight.”[1]  This phenomenon caused great scandal worldwide, the international media spread the information and Apple had to respond to its working conditions. The public wanted to know about the causes of such stress and depression at work and also what the multinational company was willing to do to redress the situation and what measures would be applied.  This example shows how the access to information has a huge impact on what companies do in the “privacy” of their business. Ethics, social and environment are now topics companies must be concerned about because citizens can hear about a scandal in seconds. “Private commercial contracts now cover public dimensions that can’t be ignored, for example, a wood exploitation exists to make profit but also has an impact on biodiversity”[2]. Because of this indirect pressure and the increase of social and environmental awareness, companies that are creating new projects must include these topics in their contracts.

The following fishbone diagram shows why it is now necessary to include sustainability as clear and systematic information in contracts:

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Gonnon, C. (2019). Sustainable Construction: What must be included in sustainable contractual clauses, PM World Journal, Vol. VIII, Issue II (February).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/02/pmwj79-Feb2019-Gonnon-sustainable-construction-student-paper.pdf

 



About the Author


Céleste Gonnon

Paris, France

 

 

 

Céleste Gonnon is a French student at SKEMA Business School. She studied one year and a half in Lille before doing an academic semester in Raleigh, North Carolina (United States of America). This is where she discovered the power of Project Management through efficient teamwork with international students.

Coming back to France, Céleste specialized in Project and Programme Management and Business Development. In 2019, she will write a Master’s thesis about Project Management in order to graduate with an MSc in that branch. She is also certified Prince2 and Agile PM.

Passionate about Project Management, she had several experiences in companies such as the bank ING Luxembourg, where she did a 6-month internship. She was in charge of launching new campaigns and dealing with the entire production process from brainstorming concept to implementing it with internal communication to all branches.

With the increasing awareness about climate issues, she has a keen interest in sustainability and wants to dedicate the rest of her carrier to green and social projects.

Céleste can be contacted at [email protected].

 

[1] Merchant, B. (2017, June 18). Life and death in Apple’s forbidden city. The Guardian.

[2] Mitkidis, K. P. (2014, January). Sustainability clauses in international supply chain contracts: regulation, enforceability and effects on ethical requirements. Nordic Journal of Commercial Law.

 

ADR, the new skyrocket

to solve e-commerce conflict

 

STUDENT PAPER

By Bastien Bonneau

SKEMA Business School

Paris, France

 


 
ABSTRACT

The e-commerce industry is expanding in the world. we are focusing in this paper on the binding contract dispute in the e-commerce industry. We found seven different alternatives methods of settlement among the most used extra-judicial ways of contract issues solving. After a brief description of each one, we have compared them regarding nine criteria specific to the e-commerce. Our analysis allowed us to affirm that the negotiation is the most efficient way to solve a contract dispute even if prevention is the most used by the different companies.

Keywords: E-commerce, Online buying, Dispute, dispute process, Dispute resolution, E-commerce project manager.

INTRODUCTION

The advent of the internet in the 2000s and e-commerce have led to several changes in the consumers’ minds. A shift has been observed in the consumer buying behaviour and a transformation of traditional stores into a virtual place called website. “According to a Wavestone study, in France, 58% of consumers interrogated, buy on the internet each month”[1]

“For e-commerce industry the main project is to sell products and services on the Internet via a platform and through a licence to operate. Even if your business doesn’t have a physical location, an asset that often has an intrinsic effect on the value of your business is its URL. The other assets are the platform, the traffic and all the product present in on the e-commerce platform.

The Programme will deliver assets and benefits that are critical to the sponsoring organization’s day to day operation, the role of the programme manager within the e-commerce company will be to ensure all stakeholders (internal & external) are engaged in the program, He will be responsible for shipping new features, for new product introductions. He will be involved in requirements analysis, functional and technical design discussions, testing, proof-of-concept and working with partners.

The portfolio of projects is no different than any investment portfolio; the objective is to minimize the risk and maximize the return. Any organization, be it Owner or Contractor, has a portfolio of assets (resources) available to dedicate to projects, with the objective being to develop the best “mix” of projects which will generate the most favorable return on those assets. In e-commerce they will create a safe platform, user friendly and simple to create.

The portfolio of assets constituted by the Information Assets are normally controlled by functional groups such as IT or Engineering; in e-commerce it will be all the information concerning the customer, their credit cards and e-mail. Human Assets are controlled by HR, it’s all the employees working for the e-commerce platform and finally the Financial Assets are controlled by accounting or finance that will record all the transactions in the platform.

The legal framework is created by the signature of a binding agreement between the platform, the sellers and the buyers. This agreement includes the Transactional Terms and the General Terms that describe the terms and conditions on which you can conclude online transactions for products and services by using the online transaction site.”[2]

However, conflict may arise between these 3 parts contracts. For the project managers, these problems are the result of misleading on product information, lack of checking, defective products or delivery delay due to an intentional misbehavior or mistake. The role of the project manager is a key liaison between the product, marketing, vendor and buyers. This position enables him to develop solutions to ensure that the internal and external resolution of conflict are the most suitable for the business, benefits customers, sellers and the e-commerce platform.  Logically, with an increase in the number and rapidity of contracts, traditional ways to solve conflict appear inefficient.

To preserve his company, interest the asset manager and the project manager must determine the asset allocation and balancing risk against performance and find the most suitable processes: the alternatives to resolve disputes in e-commerce platforms. They will have to identify several alternatives for dispute resolution in order to facilitate the process, take into account the cost, the flexibility of the procedures, the duration, the empowerment of the verdict and the discretion. It is imperative that the disputes are resolved adequately, to create a legal framework that secure both consumers and companies to do business in the e-commerce marketplace.

Through our paper we will answer these questions:

  • What are the different alternatives to resolve disputes on online purchasing on e-commerce platforms?
  • Which one of these alternatives is the most efficient and adapted to the e-commerce industry?

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Bonneau, B. (2019). ADR, the new skyrocket to solve e-commerce conflict, PM World Journal, Vol. VIII, Issue II (February).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/02/pmwj79-Feb2019-Bonneau-adr-the-new-skyrocket-to-solve-ecommerce-conflict.pdf

 



About the Author


Bastien Bonneau

Paris, France

 

 

Bastien Bonneau is currently an Msc student in Project and Program Development and Business Development at Skema Business School, Paris. After several experiences in the banking industry as a fixed term employee.  He realized that big companies need to reinvent their way of functioning to face new challenges. These experiences have developed his leadership and communications skills and sparked his interest in management consulting.  He has spent 5 months in New Zealand and 4 months in Taiwan.  He is currently looking for consulting/project management/HR opportunities in Taiwan.

Bastien can be contacted at [email protected]

And on LinkedIn at https://www.linkedin.com/in/22bastienbonneau22/

 

[1] 1 Echos, L. (n.d.). 58 % des consommateurs achètent sur internet chaque mois. Retrieved from https://business.lesechos.fr/directions-marketing/commercial/e-commerce/0301433984208-58-des-consommateurs-achetent-sur-internet-chaque-mois-319487.php

[2] 2 GUILD OF PROJECT CONTROLS COMPENDIUM and REFERENCE (CaR) | Project Controls – planning, scheduling, cost management and forensic analysis (Planning Planet). (n.d.). Retrieved from http://www.planningplanet.com/guild/gpccar/introduction-to-managing-project-controls

 

 

 

Comparison of the Payment Terms and Conditions

of FIDIC, AIA, EJCDC, CSI and Consensus Docs Contracts with an actual contract

 

STUDENT PAPER

By Yasmine Laraki

SKEMA Business School

Paris, France and Morocco

 


 
ABSTRACT

A contract is an agreement by which parties undertake and bind themselves to respect certain things. It usually includes several clauses, and we will mainly focus on the payment clause. Nowadays, a payment clause is often included in a contract, and present several terms and conditions which help the two parties to define exactly what they are expecting. Terms and Conditions help the contractor and the owner to avoid conflicts, thus they need to be as detailed as possible in order to make the situation clear between the two parties.

Our problem is that the payment terms and conditions is a delicate clause and it is a major source of disputes. This paper allows us to realize how complex this clause can be, and how we should pay attention to the details we write on it. In fact, millions of contracts are written daily and the terms and conditions differ from one contract to another. This paper aims to analyze the differences that we can find in the payment clause by the comparison of an actual contract and five scientific documents and find which is the best alternative to help us improve our baseline contract. By using the Multi-Attribute Decision Making (MADM method), we easily eliminate two alternatives, and then the additive weighting technique helped us to choose Engineers’ Joint Contract Document Committee (EJCDC) document as the best alternative. This document is the most suitable alternative and helps us improve our baseline document, it shows us how to perfectly write the payments terms and conditions and the level of details the clause should contain.

Keywords: Payment, owner/contractor, refund, contract, conflict, claims, milestones, clause, dispute, conditions.

INTRODUCTION

Every time we use the internet, we end up signing contracts meaning that we agree to some very long terms and conditions. In today’s world, when signing a contract, a conflict often occur between the contractor and the owner. Most of the time, the conflict arises regarding the method of payment clause which seems to be the main cause of the conflict. A contract is a voluntary commitment, formal or informal, between two or several parties. It is recognized and therefore sanctioned by the law and needs to be the more specific as possible. The clause of Terms and Conditions is mandatory in all contracts in order to make the situation clear between the two parties but in practices, several misunderstandings, missing elements, and ambiguity from the contract can cause disputes.

In order to avoid any potential conflict, contractors and owners should use the terms and conditions clause properly. Indeed, with complete and detailed contracts addressing specific conditions, the two parties can define clearly the responsibilities regarding a contractor payment issue. In fact, it can be about a default in payment from the contractor but it can also concern the owner.  To address, and mostly avoid, these potential conflicts, several new processes of payment have been created.

This paper addresses Requirements Agreement With Eligible Independent Providers/ Agencies for the Provision of Related Services to Students With Disabilities. The scope of the paper is the integrality of the information related to payment terms and conditions.  In fact, it is a comparison between the subject chosen contract’s payment term & conditions clause, compared to the four following documents: “the American Institute of Architects (AIA)”[1] , “the Engineers’ Joint Contract DocumentCommittee (EJCDC) “[2]the document, “the International Federation of Consulting Engineers (FIDIC) “[3] , the “CSI documents [4]”  and “the Consensus Docs” [5] . Regarding the scope of this paper, it will address first the analysis and comparisons of the payment terms, then the evaluation process of the conflict and lastly the potential ways to avoid it.

Disputes and conflicts arise inevitably in any type of projects and understand how to resolve them correctly is very important. It is very crucial to know how to write properly the payment terms and condition as it is an important cause of dispute in a contract of any type of projects.

Here we are going to compare the diverse ways to write payment terms and conditions and how to manage a conflict during a project and to choose the right way to write it according to the different comparative documents. Project Management help to deal with conflict and to avoid them it is also about paying attention to the possible risks and resolving conflicts in order that the payment terms and conditions are respected.

Studying here what is the best alternative for a conflict resolution in the payment terms and conditions, will afford us the needed tools, in order to best write payment terms and conditions, whatever type of market the contracts belongs to.

Step 1 Problem statement:

This Fishbone Diagram [6]below illustrates the problem and its main causes:

 

More…

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Laraki, Y. (2019). Comparison of the Payment Terms and Conditions of FIDIC, AIA, EJCDC, CSI and Consensus Docs Contracts with an actual contract, PM World Journal, Vol. VIII, Issue II (February).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/02/pmwj79-Feb2019-Laraki-comparison-of-contract-terms-and-conditions.pdf

 



About the Author


Yasmine Laraki

Paris, France

 

 

Yasmine Laraki is an enthusiastic student in SKEMA Business School. Born in Morocco in 1994, she studied Economics in Montreal, Canada where she gratuated in 2016. She gained significant strategic consulting experience in a large consulting firm in Morocco in 2017. This experience consists in large consulting project as a development regional plan. Yasmine also worked as a community manager in the biggest mall of morocco and for a Canadian brand in New York City. She entered SKEMA Business School in 2018 for a one year Msc in Project and Programme Management and Business Development. During this master she is studying mainly project management and attending the following courses: portfolio management, leadership skills, sustainability, global project management and international contract management.

She can be contacted at [email protected] or [email protected]

 

[1] American Institute of Architects. (2009). The American Institute of Architects official guide to the 2007 AIA contract documents. Hoboken, NJ: John Wiley & Sons. General Conditions of the Contract for construction

[2] Engineers’ Joint Contract Documents Committee, Professional Engineers in Private Practice, American Consulting Engineers Council, American Society of Civil Engineers, & Construction Specifications Institute. (1996).

[3] International Federation of Consulting Engineers (1999). The Global Voice of Consulting Engineers.

[4] Construction Specifications Institute. (2005). The project resource manual: CSI manual of practice. New York: McGraw-Hill.

[5] Consensus Docs Standard Agreement and General Conditions Between owner and constructor Retrieved from https://www.consensusdocs.org/Downloads/Preview/629d61cb-ff79-494c-9b10-d7f231761e01?Initials=yl

[6] By author

 

 

Sustainability

When companies take over the state responsibility

 

STUDENT PAPER

By Victoire Berger

SKEMA Business School

Lille, France

 



ABSTRACT

This paper aims at finding solutions for companies to make sure that their business partners respect their clients’ always higher sustainability standards. Indeed, as the usual legal regulation are not law-binding enough, companies have to take the matter on their own hands.  To do so, we will first try and find the different possible alternatives and then, the best attributes to assess each of those alternatives. We will then use several Multi-Attribute Decision Making (MADM) methods to find out what is the best solution. We will finally show that the best solution is to include sustainable clauses in project management contracts, thanks to a Pareto analysis.

Keywords: Economic, Social, Environment, Transparency, Sustainability standards, Ethic, Law, Stakeholders, Business, Interests, Regulation, Planet, People, Profit, Obligation

INTRODUCTION

“By early August of each year (soon to be late July), humans will have consumed what the planet can regenerate. […] In all, we consume the natural resources of 1.7 earths a year.”[1] And the consequences are huge. The exponential growth of the global population and the ineffective use of the planet’s resources are the two main things responsible. All around the world, concerns are rising for the long-term viability of life-as-we-know-it. Global warming, deforestation, pollution, biodiversity losses are as many issues that need to be dealt with if we want our planet to remain viable. As lives are at stake – in 2012, around 6.5 million deaths were associated with air pollution[2] – people are becoming more and more willing to implement changes in order to adopt a more sustainable way of living. There is a real global trend towards a more transparent and respectful way to consume and produce. Companies that do not comply with the globally accepted sustainability standards suffer the consequences, such as taxes, benefices losses, and bad brand reputation.[3]

Sustainability is a broad and complex notion. The most often quoted definition comes from the UN World Commission on Environment and Development: “sustainable development is a development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”[4]

For many specialists, the concept of sustainability is associated with three main pillars, namely, economic and social development and environment protection. All economic actor, should, if applying this concept, not only consider the economic impact of its actions but also their environmental and social consequences, companies included.[5] The future of our planet and the life of our grandchildren are at stake. Yet, it seems that without a compelling regulation, some economic actors will keep looking for a short-term economic profit. This is a big issue in project management. Indeed, in each large-scale project, stakeholders are numerous and often of different nationalities. The fact is that, depending on their culture, or their different interests, all stakeholders will not have the same sustainability and ethical standards. So, how can companies make sure that their business partners respect their clients’ always higher sustainability standards?

More…

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Berger, V. (2019). Sustainability: when companies take over the state responsibility, PM World Journal, Vol. VIII, Issue II (February). Available online at https://pmworldjournal.net/wp-content/uploads/2019/02/pmwj79-Feb2019-Berger-sustainability-when-companies-take-over-state-responsibilties.pdf

 



About the Author


Victoire Berger

Lille, France

 

 

 

Victoire Berger is a PGE Student at SKEMA Business School currently in Msc Project and Program Management and Business Development in Lille France.

After graduating from High school and passed her scientific “baccalaureate” with distinction, she did a Preparatory class for competitive entrance into French Business School during 2 years in the well-recognized “lycée du Parc” in Lyon. She integrated the “Programme Grande Ecole” of SKEMA BS in Management in 2016. After a year spent in Sophia Antipolis, she had the opportunity to go to Madagascar for a 2-months humanitarian internship. She spent the first semester of her Master’s degree in the famous Queen’s University in Kingston, Ontario, Canada and the second, on the Skema’s campus of Belo Horizonte, Brazil. She is currently finishing her Msc in Project and Program Management and Business Development in Lille, France, where she develops her leadership skills and project management knowledge. She is currently working on the PRINCE 2 and AGILE PM certifications.

Victoire can be contacted at victoire.berger@skema.edu, you can also send her a message via her Linkedin: https://www.linkedin.com/in/victoire-berger-a79b13128/

 

[1] Carboni, J., Duncan, W., Gonzalez, M., Milsom, P., & Young, M. (2018). Sustainable Project Management: The GPM Reference Guide (2nd ed.). Novi, USA: GPM Global.

[2] WHO releases country estimates on air pollution exposure and health impact. (2016, September 27). Retrieved on, October 23, 2018, from http://www.who.int/news-room/detail/27-09-2016-who-releases-country-estimates-on-air-pollution-exposure-and-health-impact

[3] Roberts, J. (n.d.). Lack of transparency – Writing for Strategic Communication Industries. Retrieved November 2, 2018, from https://ohiostate.pressbooks.pub/stratcommwriting/chapter/lack-of-transparency/

[4]What is Sustainability? | UCLA Sustainability. (n.d.). Retrieved on, October 23, 2018, from https://www.sustain.ucla.edu/about-us/what-is-sustainability/

[5] [Sustainability definition & criteria]. (n.d.). Retrieved November 2, 2018, from https://www.epa.gov/sites/production/files/2015-05/documents/sustainability_primer_v9.pdf

 

 

 

Analysis of construction disputes

shows what decision is the most suitable to undertake

 

STUDENT PAPER

By Ugo Grahek

SKEMA Business School

Paris, France

 


 
Abstract

In our days, construction projects are everywhere around the world, whether in depend on building a school, a building or even a house. However, this sector currently suffers from many big issues which are the disputes that occur in its very own project and contract management.

The main objectives are to identify and understand the leading causes of disputes in construction projects. To do so, we will have to establish a root cause analysis, then identify and analyze the different alternatives solutions that are suitable to deal with the latter. At the end of those research and analysis, it will result in an indication on a clear understanding of the issues and on what solution to implement in project management such as the arbitration alternative or the prevention of disputes.

Keywords: Construction disputes, contractors, owners, contract issues, causes of disputes, alternative solutions, justiciable issues.

Introduction

We all one day asked ourselves “How long is it going to take?”, “Is the construction not finish yet?” or even “Why is there anybody working on this site anymore?”. In our society, Construction sites aren’t uncommon nor unfamiliar to citizens and are now occupying a big part in the daily life of an inhabitant of a city. Whether it is concerning an urban renewal, a road development, and repair or the creation of a new building, constructions are now everywhere around us. But the three previously asked questions are not often answered the right way as the response lives in the contracts and the management of the construction project.

Numbers are indeed blatant as in France, the number of litigations in this field has increased and represented more than “80% in 2014 while the delays and the abortions of projects have seen an increase of 20% between 2015 and 2017”[1]. However, when it comes to resolving issues to achieve constructions, it requires a lot of resources and time as in the USA, “it takes an average of 16.2 month and an average value of 29.6 million to resolve disputes”[2], while “in the Middle East, 13.7 months are required in order to solve an issue.”[3]

In fact, it is important to know that working on a construction project will include many different parameters and criteria that are going to decide whether it keeps a good timing, a sufficient budget and quality on what have been previously planned.

However, construction is one of the sectors that is commonly facing a lot of issues on several aspects, especially when it comes to disputes, which will impede the achievement and success of a project. As in every construction project, it requires different parties such as the owner, the contractors and the subcontractors which can lead to plenty of disagreement, disputes and justiciable issues.

As the latter is closely linked with justiciable issues and dilemmas, it requires a solution which is usually brought by a 3rd party such as a negotiation arbitration or a mediator which will assist the owners and contractors.

Project management and managers in construction are facing major issues in terms of how to approach the problem. As it is concerning the contracting steps and different criteria of such a project, contract and project managers must be in constant awareness of risks, matters and causes of disputes. In fact, they must integrate into their work that non-consideration of those causes, can lead to a project delayed or even the end of it. On another hand, if the causes and risk are acknowledged and known by the project members, it is easier to prevent the consequences that can lead to disputes.

Additionally, as future project manager in this area, it is important to highlight the different cases that can occur during a project or in a contract to avoid them.

To understand the latter and the previously stated numbers, we have to go through the main causes of disputes and issues that are, in fact common and well-known in this industry. The main reasons for failure come from mainly people, environment and measurement.

Indeed, the lack of education, experience and knowledge between contractors and employees, especially managers are relevant causes of disputes and lead to errors and omissions in the contract document. Those are one of the most common and major disputes in the construction area.

Also, and as said before, the environment has also a big role to play in root causes, differing site conditions is included in major causes and is becoming a more and more important problem to take into account in this project.

Finally, and without forgetting the measurement that leads to the failure of understanding each criteria of the contractual obligations by each contractor and the failure to correctly handle all the parameter written in the contracts are both issues that are appearing in this sector.

The aim of this paper will be to have a complete understanding and a strong analysis of the major causes of disputes and justiciable issues in the construction industry that leads to delays and failure of projects and work field.

A second goal is to understand how to facilitate the project management in this sector by identifying issues that impede the updates, creation and acquirement and the achievement of organization project strategic and tactical benefits.

We can now easily establish the question that we will be able to answer through this paper: How to understand the leading causes of construction disputes in project management?

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Grahek, U. (2019). Analysis of construction disputes shows what decision is the most suitable to undertake, PM World Journal, Vol. VIII, Issue II (February).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/02/pmwj79-Feb2019-Grahek-analysis-of-construction-disputes-shows-decision.pdf

 



About the Author


Ugo Grahek

Paris, France

 

 

 Ugo Grahek is a French student at SKEMA Business School in Paris. For his two first year as a college student, he studied economic and management in ESDHEM (Lille, France) before been enrolled in an exchange program for one semester in North Carolina State University (NCSU, North Carolina, Raleigh, USA) in the same degree.

Then he enrolled in SKEMA Business School (Lille, France) where he started to follow the business track “Programme Grande Ecole” and integrated an exchange program of one semester in Suzhou (China). He recently pursued his education by integrating the specialization “Msc Project and Program Management and Business Development” in SKEMA BS Paris.

After finishing his studies and graduating, his main objective is to continue his adventure and improve his experiences in project management. He is willing to integrate a company in the construction sector.

Ugo Grahek can be contacted at [email protected] or on LinkedIn https://www.linkedin.com/in/ugo-grahek-a09701130

 

[1] A.F – The Monitor, (25/08/2017) Case study – The number of disputes in construction has increased: https://www.lemoniteur.fr/article/le-nombre-de-litiges-par-travaux-a-explose-en-deux-ans-selon-une-etude-de-la-clcv.838634

[2] E. Misonzhnik – National Real Estate Investor, (29/05/2015) – 5 most common causes of construction disputes: https://www.nreionline.com/construction/5-most-common-causes-construction-disputes

[3] R. Nelson Williams – Arcadis, (09/05/2017) – What are the most common causes of construction disputes in the middle east: https://www.arcadis.com/en/middle-east/our-perspectives/2017/05/what-are-the-most-common-causes-of-construction-disputes-in-the-middle-east-/

 

 

 

Disputes in Construction Contracts

Commonly experienced but not fully understood?

 

STUDENT PAPER

By Quentin Duchaussoy

SKEMA Business School

Lille, France

 



ABSTRACT

This paper aims at understanding the most common disputes in construction contracts and especially know the alternatives dispute resolution to consider when a dispute arises. A dispute is common and not always well managed. Do causes of disputes in construction contracts make the project reaching a dead-end? To answer this general question, we focused, all along this paper, on assessing and analyzing the concerned alternative dispute resolution. To deeply analyze them, we used a Root cause analysis to understand the leading cause. Then, we used specific tools such as non-compensatory model, a multi-attribute decision-making grid, a matrix analysis and, an additive weighting technique model. We used them to assess each scoring attributes, each alternative, and finally the best alternative dispute resolution. Then, we have made a Pareto analysis to highlight the impact of disputes with Mediation and without it.

Finally, we discovered that Mediation was the best alternative dispute resolution thanks to many aspects explained in the following paper. Even if, Mediation seems to be the best, other alternatives are necessary to be understood and taken into account. Conciliation, almost the same process, and method as Mediation is slightly less relevant than Mediation but offers an efficient solution to resolve disputes.

Keywords: Construction industry, Disputes, Errors, Alternative, Projects, Obligations, Claims

INTRODUCTION

Construction is a complex but still booming industry which “expenditures have reached over 1,231 billion U.S. dollars”[1] in 2017 in the United States of America. Indeed, this sector is driven by China, India, and the USA and according to the Global Construction 2030, it will reach the historic number of 15.5 billion[2] of dollars by 2030. Construction involves many people, from owners to subcontractors and a certain complexity in terms of cost and time. Indeed, this complexity is also present in construction contracts and can lead to conflicts between the different parties involved. Nevertheless, conflicts are highly common in this industry because of the number of participants, self-interest, huge project, and tremendous costs. Hopefully, conflicts can be managed through negotiation. In fact, the project’s fulfilment is not impossible if conflicts are well and quickly handled. If not, the contract could reach a turning point in its realization.

“Projects, by their definition, have a defined start and end date. (…) Projects also include a defined scope, finite budget, and assigned resources. Another characteristic of a project is that they always build something”[3]. The construction contract is a mutual agreement encountered between two parties. Requirements, the length of the project and the cost are recorded into the contract. Indeed, the project manager is the “person responsible for leading, directing and managing the project and project team to deliver the project deliverables to an agree time, cost and quality/performance.” [4] Thus, construction makes entirely part of project management, as time, budget and resources need to be managed.

Moreover, “Disputes are one of the main factors which prevent the successfully completion of the construction project.”[5] A dispute is a disagreement regarding the said contract terms. It could also occur if a party doesn’t meet its obligation. According to this definition, disputes are not constructive conflicts but destructive ones. As disputes are also common in the construction industry and difficult to get out of it, one of the main objectives of a construction project is to avoid any mistakes. Disputes can be caused for many reasons and globally, like Matthew Devries said it is often about three specific variables such as “problems with the contract, problems with the people, and problems with the unknown”.[6]

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Duchaussoy, Q. (2019). Disputes in Construction Contracts: Commonly experienced but not fully understood? PM World Journal, Vol. VIII, Issue II (February). Available online at https://pmworldjournal.net/wp-content/uploads/2019/02/pmwj79-Feb2019-Duchaussoy-Disputes-in-Construction-Contracts.pdf

 



About the Author


Quentin Duchaussoy

Lille, France

 

 

 

Quentin Duchaussoy is a PGE Student at SKEMA Business School currently in Msc Project Management and Program Management and Business Development in Lille, France. He has a strong background in Business development and in Project Management. In 2016, with four partners, they created and launched a website and a smartphone application which localize all places that would interest students from Amiens (France). This project was launched during his two-year degree in Sales Technic at the University of Picardie Jules Verne in Amiens. He integrated SKEMA Business School in September 2016 and will start an internship in January 2019 at Telys as an Internal Project Manager. He is deeply interested by Project Management since he launched Guid’Am and fulfilled numerous projects. He is currently working on the PRINCE 2 and AGILE PM certifications for this semester.

Quentin Duchaussoy can be contacted at

[email protected]
[email protected]

Also available via his Linkedin: https://www.linkedin.com/in/quentin-duchaussoy-324085131/

 

[1] Statista (n.d). U.S. Construction Industry – Statistics & Fact. Retrieved from https://www.statista.com/topics/974/construction/

[2] Graham Robinson. (n.d.). Global construction market to grow $8 trillion by 2030: driven by China, US, and India. Retrieved from https://www.ice.org.uk/ICEDevelopmentWebPortal/media/Documents/News/ICE%20News/Global-Construction-press-release.pdf

[3] John Brasuell. (2014, April). The Difference Between Projects, Programs, and Portfolios. Retrieved from https://www.ims-web.com/blog/the-difference-between-projects-programs-and-portfolios

[4] Harpham, A. (n.d.). Wideman Comparative Glossary of Project Management Terms v5.5. Retrieved from http://www.maxwideman.com/pmglossary/PMG_P16.htm – Project Manager

[5] Emre Cakmak and Pinar Irlayici Cakmak, An analysis of causes of disputes in the construction industry using analytical network process. Retrieved from https://www.sciencedirect.com/science/article/pii/S1877042813050738

[6] Matthew Devries, The Top Three Causes of Disputes On A Construction Project. Retrieved from https://www.bestpracticesconstructionlaw.com/2010/05/articles/project-management/the-top-three-causes-of-disputes-on-a-construction-project/

 

 

Benefits of using Lean IPD

as a Strategy for Better Project Management

 

STUDENT PAPER

By Saimon Satyanathan

SKEMA Business School

India and Paris, France

 


 
ABSTRACT

The construction industry sees tremendous potential to improve the effectiveness and performance of projects. Thus, there is much wisdom in adopting Lean IPD which offers lean principles and a focus on collaboration and work flow reliability. In this paper, the benefits and restrictions experienced by participants in implementing Lean IPD are analysed. The paper eventually focuses on demonstrating that Lean IPD provides a better approach much effective towards Project Management.

The author will identify various project delivery methods including Lean IPD and then make a comparative study using the Multi-Attribute Decision-Making (MADM) analysis to illustrate the coherence with respect to some attributes. Further utilising these attributes and some selection criteria, the best possible alternative for businesses to consider for their project strategies is convincingly proved to be Lean IPD.

Keywords: Integrated Project Delivery (IPD), Lean Management, Lean IPD, Project Management, Business Strategy, Collaborative Contracting, Trust based Collaboration

INTRODUCTION

Motivation: A 2017 McKinsey study about capital-intensive Infrastructure Projects reported that only 2% of construction projects worldwide are completed and delivered within the estimated time and budget frames and to the satisfaction of all stakeholders![1] Why do we still continue to see this unsettling lack of positive results, and such bad Project Management outcomes?

One way to see a feasible answer to this issue is by adopting Integrated Project Delivery (IPD) in combination with a Lean approach to be executed as a part of the Business Strategy itself.

The AIA’s Centre for Integrated Practice (CIP) defines Integrated Project Delivery (IPD) as: “IPD is a method of project delivery distinguished by a contractual arrangement among a minimum of owner, constructor and design professional that aligns business interests of all parties.[2]

It contains the following contractual and behavioural principles:

Table 1: Principles of IPD [3]

According to the Guild of Project Controls Compendium and References (GPCCaR),IPD is a unique collaboration of people, systems, business structures and practices as a method that utilises the best skills of all participants to achieve the result, increase value to the owner, minimise waste, and maximise efficiency throughout all stages of project management, which can be distinguished into 8 main Phases as mentioned below:

  • Conceptualization
  • Criteria Design
  • Detailed Designing
  • Implementation Documentation
  • Agency Review
  • Buyout
  • Construction
  • Closeout”[4]

This project delivery method was formulated just about two decades back. The objective of such a venture is to increase value (efficiency in terms of cost-time-quality-stakeholder and customer satisfaction factors) and reduce waste while ensuring that productivity improves.

When continued to apply the Lean Principles to maintain focus on Customer Value, Streamlined Processes and Continuous Improvement, we can also approach all IPD Projects for waste elimination.[5] [6] [A huge opportunity: Figure A (Appendix) shows that only around 19% time is currently spent on lean execution.[7]]

A detailed work on the similarities between the philosophy approach of Lean and IPD (reduce waste, maximise efficiency); for good Project Management, can be studied from Table A (Appendix): ‘Comparative Analysis of Lean & IPD Principles’. It is safe to agree on the fact that both eventually promulgate a change in mindsets from ‘individual’ to ‘collective’.

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To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Satyanathan, S. (2019). Benefits of using Lean IPD as a Strategy for Better Project Management, PM World Journal, Vol. VIII, Issue I (January).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/01/pmwj78-Jan2019-Satyanathan-benefits-of-using-lean-ipd-for-better-pm-1.pdf

 



About the Author


Saimon Satyanathan

Paris, France

 

 

 

Saimon Satyanathan is a multilingual project management and business development professional specialising in the engineering domains and related consulting sector. He holds a B.Tech. in Aerospace Engineering and is currently completing his M.Sc. in Project and Programme Management & Business Development, from SKEMA Business School, Paris. Saimon is also certified in several credentials including PRINCE2, AgilePM, Six Sigma-Green Belt, and Environmental Management Systems.

Born and raised in Mumbai, he has lived in several other cities in India including Delhi and Bangalore, and is currently residing in Paris, France to pursue his M.Sc. Saimon also possesses a wide array of professional experience of approximately 5.5 years in total, at some prestigious mechanical/industrial engineering and aerospace engineering related firms in India initially, in the capacities of Intern, Project Engineer and Assistant Manager (Projects). His last experience in France was a 2 months’ Internship in Strategy & Business Development at Nexans S.A., France’s biggest cable conductors manufacturing and energy company, where he conducted extensive market research (Asian markets) and developed an entry and growth/expansion strategy for the firm.

Saimon can be contacted at [email protected]  or https://www.linkedin.com/in/saimonsatyan/

 

[1] Banaszak, J., Palter, R., Parsons, M. (2017). Stopping the insanity: Three ways to improve contractor-owner      relationships on capital projects. Voices on Infrastructure: McKinsey & Company. (p. 8-12).

[2] Cohen, J. (2010). Integrated Project Experiences in Collaboration: On the Path to IPD Delivery: Case (January) 4.

[3] Fish, A. (2011). IPD – The obstacles of Implementation, 9.

[4] Integrated Project Delivery (IPD) | Project Controls – planning, scheduling, cost management and forensic analysis  (Planning Planet). (n.d.), 12.6.3.2.

[5] Create a Lean, Construction Building Machine with Integrated Project Management. (2018, May 8).

[6] Pease, J. (n.d.). What is Integrated Project Delivery Part 2: Lean Operating System.

[7] Lean, I. (2017). Lean Construction & Integrated Project Delivery ( IPD ) Overview, 33.

 

Alternative Dispute Resolution at trade shows

What are the options for your events?

 

STUDENT PAPER

By Adriana Rabe

SKEMA Business School

Paris, France

 


 
ABSTRACT

Trade shows industry is a growing industry where disagreements between stakeholders can compromise the events. This paper presents the different approaches to a dispute to find the more appropriate method while managing conflict in events organizing. The research on this paper is based on the Multi-Attribute Decision Making (MADM) process, both the non-compensatory model and compensatory model techniques are applied. The different approaches to a dispute will be defined and assessed to understand which one is the more interesting to use. The results of this paper show that prevention is the preferred option. We will have a look at the benefits of using prevention as a dispute resolution method and the possible clauses that can be included in a written contract to prevent conflict from happening.

Keywords: Arbitration, Alternative Dispute Resolution, Conflict, Event Management, Event Organizing, Hospitality Industry, Litigation, Mediation, Trade Shows.

 

INTRODUCTION


“In mid-October, almost 14,000 persons coming from 100 different countries attended MIPCOM 2018, a trade show that gathers professionals from the TV industry in Cannes, in the well-known region the French Riviera”[1]. Among the attendees, we can find heads of acquisitions, commissioning editors, sales director, and other representatives. During the event, there were more than 2,000 exhibitors and approximately 4,700 companies that came to network, discover brand-new programs and build international partnerships. Since it involves numerous stakeholders, and at the same time divergent and probably conflicting interests among the parties, it is difficult to organize such a big event. Organizing an event of this size requires the promoters to entail numerous service providers that include car drivers, catering staff, goodies producers, hotels personals, registration staff, setting arrangements designers and many more. For Reed MIDEM, the company behind this entertainment content market, we can imagine that it represents thousands of interlocutors and hundreds of contractual agreements to deal with during all the preparation of the yearly project.

When the manager is assigned with a trade show (e.g. MIPCOM 2018), he or she is dealing with a project as defined in Wideman Comparative Glossary: “Any undertaking that has a defined objective, a cost parameter, and a time element for its development. A cluster of activities that are pulled together to deliver something of value to a customer”[2]. The organization of the trade show depends on assets (an asset is “anything owned that has a monetary value”[3]). For the trade show industry, the portfolio of assets are: the project team (human assets), software to plan and schedule, and the clients list (information assets), the venue the company books and the head-quarter of the company (physical assets), a budget allocated to the creation of the event (financial assets) and then the brand image or reputation of the company (intangible assets). According to GAPPS Program Typology[4], there are four types of programs. A program can be defined as a “collection of projects that together achieve a beneficial change for an organization”[5].

For the trade show industry, the program is a multi-project program. Indeed, each event is unique, but the company uses the same resources to achieve each trade show, and thus projects are interdependent. In the trade show industry, the portfolio of projects relates to the fact that the projects are “being undertaking by an organization unit”[6]: the Project/Program/Portfolio Management Offices. Each year, the trade events are organized in the same month. In the process of creating a trade show, we see that a certain number of persons with different roles and responsibilities are gathered, and they assemble resources to work together achieving coordinated activities. The team involved in the completion of the project gathers physical resources such as a venue, tables and chairs for the booths, accreditations and welcome packs (bags). During the preparation of the project, the team needs to consider possible constraints as soon as the project is initiated. Among the constraints, the risk of dispute, for example when you did not receive the bags and the accreditations you ordered, is an aspect analyzed by the project manager. He or she controls the execution and the quality of every deliverable to assess and avoid the happening of such risk.

More…

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Rabe, A. (2019). Alternative Dispute Resolution at trade shows: What are the options for your events?, PM World Journal, Vol. VIII, Issue I (January).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/01/pmwj78-Jan2019-Rabe-alternative-dispute-resolution-at-trade-shows.pdf

 



About the Author


Adriana Rabe

Paris, France

 

 

 

Adriana Rabe is a French student enrolled in SKEMA Business School since 2015 (Programme Grande Ecole). In 2018, after one semester in Brazil, she joined the Master of Science Project and Program Management and Business Development in Paris. Adriana has one year of experience in events organizing (mainly in conferences and trade shows). During her gap year, in 2017, she worked at the Forum des Images to plan the Co-Production Forum of Series Maria festival and at TV France International to organize booths for the French delegates. She has gotten the PRINCE2® and AgilePM® Foundation Certificates. She is looking forward to improving her knowledge in events organizing and start another adventure with new project teams.

Adriana lives in Paris, France and can be contacted at [email protected] or https://www.linkedin.com/in/adriana-rabe.

 

[1] Reed MIDEM. (n.d.). Discover MIP Entertainment Content Markets. Retrieve from http://www.mipcom.com/RM/RM_MIPCOM/marketing/2018/pdf/mip-markets-brochure-2018.pdf?v=636633495992575659

[2] Wideman, M. (n.d.). Wideman Comparative Glossary of Project Management Terms v5.5. © R. Max Wideman, 2000-2017. Retrieved October 31, 2018, from http://www.maxwideman.com/pmglossary/PMG_P12.htm#Project

[3] Wideman, M. (n.d.). Wideman Comparative Glossary of Project Management Terms v5.5. © R. Max Wideman, 2000-2017. Retrieved October 31, 2018, from http://www.maxwideman.com/pmglossary/PMG_A05.htm

[4] Planning Planet. (n.d.). Guild of Project Controls Compendium and Reference. Retrieved October 30, 2018, from http://www.planningplanet.com/guild/gpccar/introduction-to-managing-project-controls

[5] Wideman, M. (n.d.). Wideman Comparative Glossary of Project Management Terms v5.5. © R. Max Wideman, 2000-2017. Retrieved October 31, 2018, from http://www.maxwideman.com/pmglossary/PMG_P10.htm – Program Director

[6] Wideman, M. (n.d.). Wideman Comparative Glossary of Project Management Terms v5.5. © R. Max Wideman, 2000-2017. Retrieved October 31, 2018, from http://www.maxwideman.com/pmglossary/PMG_P04.htm

 

Staffing Project Teams

The difference between being employed in France and China

 

STUDENT PAPER

By Ling Li

SKEMA Business School

Paris, France and China

 


 
ABSTRACT

The global talent market is increasingly competitive. In order to attract high-valued talents for a global project and remain competitive, it is essential to understand the better why employees stay in a company and help the company to future improve the people management skills. This paper aims to find out the best choice better for project staffing based between France and China, and actions the companies should take to remain competitive for hiring international project team members.

Through literature review, disjunctive method and the additive weighting analyses, we find out that France is the preferred alternative for attracting high valued project staff among the four investigated countries. China can be the preferred project staff-based place in the perspective of saving staffing cost. Organizations should enhance better benefits through the employment contract to remain or be more competitive. The Follow-on research on employment contract is suggested to conduct as a new economy mode emerges.

Keywords: Employment, Contract, International Talent, Attract, Project Team Members

INTRODUCTION

The employees are unique assets for a project, programme, and portfolio. A project can be “An investment that requires a set of logically linked and coordinated activities performed over a finite period of time in order to accomplish a unique result in support of a desired outcome”[1] . Without employees, to be more precisely, project team members, the project is impossible to achieve any objectives. According to Guild, there are four types of programme – Strategic programme, operational programme, multi-project programme, and Megaproject. The higher the complexity of the programme, the more organization assets need to acquire, create, expand upon and dispose of. Moreover, one of the five assets classes of the portfolio is the human asset which is controlled by HR. “Any organization, be it owner or contractor has a portfolio of assets (resources) available to dedicate to projects, with the objective is to develop the best “mix” of projects which will generate the most favourable return on those assets”[2]. It is essential to recruit and hire talents with high-valued expertise for the successes of project, programme, and portfolio for the HR managers so to achieve the objective.

The search for talent is becoming increasingly global. According to a survey by The Economist Intelligent Unit, “over half of the surveyed firms will look beyond their home regions to fill talent gaps. US and Japanese firms will increasingly look to east and south Asia (China and India, for example) for new talent, while the UK, German and French firms will look actively to eastern Europe for recruits[3]. Moreover, attracting various skills and diversified expertise and knowledge has become a significant element in the economic development process for many countries.

In recent decades, large projects tend to involve people from all around the world, extending the breadth of skills that a Project Manager or project team member should have. In particular, for the organizations who want to use talented people from the different cultural background and different skills at low cost, as an international project team could overcome the barriers of time and geographical location and efficiency, effectiveness and innovation follow. Global projects and geographically dispersed project team seems to be the norm in today’s globalized economy[4].  However, to attract and hire high-valued project team member remain the difficulty for most companies.

After conducting root cause analysis of attracting international project team member, it can be settled as follows:

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Li, L. (2019). Staffing Project Teams – The difference between being employed in France and China, PM World Journal, Vol. VIII, Issue I (January).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/01/pmwj78-Jan2019-Li-staffing-project-teams-france-vs-china-student-paper.pdf

 



About the Author


Ling Li

Paris, France

 

 

 

Ling Li is a talent acquisition professional with 4 years of experiences in Human Resource Management. Born in the south of China and raised in Shenzhen – a gleaming manifestation of China’s economic miracle, she gained a Human Resource Professional Certificate after university and started her HR career in Walmart China Headquarters. After worked in different industries – retail, trading service, ecommerce and digital marketing, currently she is completing her MSc in Project and Programme Management & Business Development from SKEMA Business School.

Ling has rich experience on Human Resource Management projects such as massive campus recruitment and internal HR operation innovation; she is also familiar with digital marketing operations. Ling is PMI CAPM, PRINCE 2, Agile PM and PEP Credentialed。

Ling Li lives in Paris, France and can be contacted at Email: [email protected]  or LinkedIn: https://www.linkedin.com/in/liling92/

 

[1] Source: Adapted from a Linked In discussion initiated by William R. Duncan  1/13/2018-  https://www.linkedin.com/feed/update/urn:li:activity:6357416976318558208/

[2] Forrest, D., Williams, J., LeServe, M., Dua, M. R ., Giammalvo, D. P. D., Pope, R., … Yasir, R. (n.d.). GPCCAR M01-1 Introduction to managing project controls, Revision 1.02. In GUILD OF PROJECT CONTROLS COMPENDIUM and REFERENCE (CaR).

[3] “talent wars: The struggle for tomorrow’s workforce”. (2008). Retrieved from The Economist Intelligent Unit website: http://graphics.eiu.com/upload/sap_talent.pdf

[4] PMI. (November 11). Global projects: how to manage them successfully – Project Teams. Retrieved from https://www.pmi.org/learning/library/global-projects-manage-successfully-team-7146

 

 

Explore different contracts of intellectual property

in movie industry (USA) for Project Managers

 

STUDENT PAPER

By Colombe Gruau

SKEMA Business School

Paris, France

 


 
ABSTRACT

As the project management science evolved, the influence of intellectual property components and contracts over the objectives of the projects has increased. Contracts need to fit in this changing environment. Contracts can play a meaningful role in the project’s success. Specific IP contacts hold tremendous potential in improving project management. The fundamental aim of this research is to evaluate how and to what extent specific IP 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 specific IP contracts in movie industry on several aspects of the project manager’s activity. Finally, the paper analyzed how each effect and action of IP contracts can contribute to project management performances. The obtained results have shown that IP contracts could literally improve project management in many ways such as the efficiency and transparency in the management of project.

Keywords:  IP contract issue, Rights, Process, Script, Screen, USA, International, Copyrights, Movie Industry, knowledge, Intellectual Property

INTRODUCTION

Intellectual property is protected by law, for example through patents, copyrights and trademark registrations, which provides recognition and financial benefit to these creators. American cinema is now considered to be the industry that has most profoundly shaped and transformed cinema during its first century of existence, both in terms of content and techniques and in economic and cultural terms. In this profession, project management exists in a spectrum of industries, ranging from engineering and construction to information technology and manufacturing.

Table 1 Comparison of the Guild definition and the Movie industry definition [1]

Figure 1: Forms of contracts of Intellectual Property[2]

Here shown in Figure 1 are the main different contracts between the actors and the producer in the movie industry but also the forms of contracts between the actors and the theaters.

The purpose of intellectual property is to protect all forms of work such as series, documentaries, feature films, and short films and to avoid copying them in order to protect the creator.

The American film industry today holds a major place in our societies. He is internationally recognized, and his films are translated into different languages. According to the statistics of the National Film Centre in Paris, it can be seen that in the majority (if not all) of European countries the place of the American film industry overshadows that of the local one. The issue of copyright is an important element in the United States that has changed significantly over the past century, from 75 years from the date of publication to now 70 years after the author’s death if it is an individual author or from 95 to 120 years from the date of creation if it is a collective work. These last modifications try to cope with the digitization of data. Hollywood has recently pointed to some platforms in this new era of digitization, including Watch Series, Put locker”, TUBE+, Couch Tuner, Watch32, Project Free TV and Watch Free. The latter infringe copyright rules.

Managing well the different clauses in the movie industry are related to the way to manage a project in business development. Understanding that it’s essential to have clauses that protect both parties if there is a violation of the intellectual property of an artwork. In fact, the purpose of these contracts is to protect the creator’s work and give him rights to defend himself. The copyright owner may be the author, producer or publisher of the work in the cinema industry. A good understanding of intellectual property in cinema requires us to know a wide range of copyright relating to different elements of production, namely the script music, the director’s work, and the actors’ performance. However, it is important that each of these rights is properly described, transferred and assigned so that the producer can claim ownership of the film and license the related distribution rights.

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Gruau, C. (2019). Explore different contracts of intellectual property in movie industry (USA) for Project Managers, PM World Journal, Vol. VIII, Issue I (January).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/01/pmwj78-Jan2019-Gruau-intellectual-property-contracts-in-movie-industry.pdf

 



About the Author


Columbe Gruau

Paris, France

 

 

 

Colombe Gruau is a 24 year old French student, currently pursuing a Master of Science degree in Project and Program Management and Business Development at Skema Business School.  Since her youngest age, she has a strong entrepreneural mindset and a powerful passion about digital technology and the Movie Industry.   After gaining significant experience from different positions in different industries, such as movie production, she worked closely with the best production managers.

Her numerous international experiences (internships, exchange semester) gave her the opportunity to develop adaptability and to become a confident problem solver. Being open-minded and world oriented increased her innovative skills. She is highly interested in project management and her main upcoming challenges, and is getting certified by Prince2, AgilePM, CAPM.

Colombe is not only defined by professional experiences. She has also several hobbies, including water skiing and wakeboarding, scuba diving and surfing. She loves to travel the world (Africa, Taiwan, Thailand, Vietnam, USA, Europe, etc.) and discover new fields.

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

 

[1] (By Author)

Adapted from a Linked In discussion initiated by William R. Duncan  1/13/2018-https://www.linkedin.com/feed/update/urn:li:activity:6357416976318558208/

Extraterritorial Applicability of U.S. Privacy Laws – Proskauer on International Litigation and Arbitration. (n.d.). Retrieved from https://www.proskauerguide.com/law_topics/28/I

Folger, J. (2010, March 31). The Economics Of Summer Blockbuster Movies. Retrieved from https://www.investopedia.com/financial-edge/0410/the-economics-of-summer-blockbuster-movies.aspx

Giammalvo, Paul D. (2015). Course Materials. Contributed Under Creative Commons License BY v 4.0. Retrieved from http://www.planningplanet.com/guild/gpccar/introduction-to-managing-project-controls

Infographic: Disney-Fox Deal to Shake Up the Movie Industry. (n.d.). Retrieved from https://www.statista.com/chart/12307/market-share-of-major-film-studios/

17 Inspiring Online Marketing Strategies For Your Film Or TV Show. (2018, August 28). Retrieved from https://www.ventureharbour.com/ultimate-guide-marketing-films-tv-shows-online/

[2] 10 Main Forms of Primary Rights | Intellectual Property. (2016, July 12). Retrieved from http://www.biologydiscussion.com/biotechnology/intellectual-property-rights/10-main-forms-of-primary-rights-intellectual-property/38153

 

 

Litigations between artists and recording companies:

A trial of strength

 

STUDENT PAPER

By Vali Rachel Eymard

SKEMA Business School

Lille, France

 


 
ABSTRACT

This paper was written as part of the international project contract class conducted by Dr Paul Giammalvo within the Msc Project and Program management and business development in SKEMA Business school.

This paper will enable artists and recording companies to manage successfully a project. Since litigations in the music industry is the key to whether the project is successful or not this paper will highlight the feasible alternatives that can be used by both parties to avoid disputes.

Thanks to a deep study using non-compensatory and multi-attribute decision-making models and the additive weighting technique we will be able to choose the best option to avoid expensive and time-consuming disputes. Among those feasible alternatives we have: prevention, negotiation, standing neutral, non-binding solution, private binding resolution and litigation.

This paper recommends both parties to use the prevention alternative in order to avoid any dispute to arise during the project management process. However, when a dispute does arise we recommend to use the alternative: standing neutral or non-binding solution.

Keywords: Disputes/ Music / Agreement / Artist / Contract / Intellectual property / Labels

 

INTRODUCTION

The music industry is a prosperous sector which generates each year billions of dollars. In fact in 2017 “the turnover for this industry reached $ 17.5 billion and the selling increased by 8%”[1]. However, this flourishing industry hides a much darker aspect that was during many years hidden from the public opinion but which tends now to be mediatized: the trial of strength between artists and recording companies. It is common nowadays to hear about litigation in the music industry, but sometimes those disputes involve more than a simple contract issue. The real challenge for artists and recording companies is to prevent those disputes and/or to resolve them which most of the time is not an easy task to do. This stake is even bigger for recording companies since “the increase of their already existing unpopularity in the eyes of the public opinion”[2].

A recording company is in charge of the development of the artist, his promotion, the diffusion and so on, basically, it monitors and follows the artist through his work and post work. The artist is the creative person whose goal is to produce a musical deliverable, he is linked to the recording company by a contract. “Recording companies and artists when engaged each other through a contract, commit themselves to the production of a deliverable and its diffusion”[3].

This contract between both parties organize itself around the management of a project which can be the production of a CD for example. In fact, we can regard the contract between an artist and its recording label as a real and concrete project. “A project is a temporary and unique end over” [4] and Project management can be defined as “the application of knowledge, skills, tools and techniques to project activities in order to meet or exceed stakeholder needs and expectations for the project”[5], thereby it is applicable here in the sense that producing a recorded song or a CD is unique (that is to say the deliverable produced is unique) and it is a temporary project since the contract defines the relationship and the tasks for a limited time.

Then it is not rare to see conflicts occurring between artists and recording companies, as in any project and contract, disagreements are numerous. In fact the sources of conflict in that kind of project are diverse: creation, promotion, marketing, sales, intellectual property… Most of the disputes take roots in the contract itself or in the managing way of the recording company regarding creative control for example.

Thereby, studying the litigations in this industry required to understand the main roots of the conflicts (cf diagram) and the possible resolution ways that can be implemented. According to Kaleena Scamman in ADR in the music industry “one of the unavoidable ways to resolve disputes is based on the use of arbitration and mediation”[6]. As in all contracts, arbitration is in fact really useful when it comes to resolving disputes before and after the contract is signed, but there are also other ways to tackle the subject such as negotiation clauses, prevention, non-binding solutions… The resolving method depends obviously on the dispute itself and its states.

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Eymard, V.R. (2019). Litigations between artists and recording companies: a trial of strength PM World Journal, Vol. VIII, Issue I (January).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/01/pmwj78-Jan2019-Eymard-litigations-between-artists-and-recording-companies.pdf

 



About the Author


Vali Rachel Eymard

Lille, France

 

 

 

 

Vali Eymard is a PGE Student at SKEMA Business School currently in Msc Project and Program Management and Business Development in Lille, France. She has a strong international background since she lived in Morocco for 8 years and in the USA for half a year. After graduating from the French High school of Marrakech she came back to France to do a Preparatory class for competitive entrance into French Business School during 2 years. She did a License in SKEMA BS in Management and she will be starting an Internship at GL Events as a business developer in January 2019. She has experience in event planning and business development since she worked as a consultant during one semester at HQ Raleigh USA an incubator for startups. She is currently working on the PRINCE 2 and AGILE PM certifications for this semester.

Vali Eymard can be contacted at [email protected] or at [email protected], you can also send her a message via her Linkedin: https://www.linkedin.com/in/vali-eymard-24539a12a/

 

[1] Thomas Renard (April-2018) – L’industrie musicale a pesé 17.3 milliards de dollars en 2017- Booska Data on the music industry. Retrieved from: https://www.booska-p.com/new-l-industrie-musicale-a-pese-17-3-milliards-de-dollars-en-2017-n89716.html

[2] Arnaud Ferreri (august-2008) – Nouvelobs Les maisons de disques ont fait leur temps. Retrieved from:https://www.nouvelobs.com/rue89/rue89-rue89-culture/20080825.RUE5452/internet-et-la-musique-les-maisons-de-disques-ont-fait-leur-temps.html

[3] Didier Félix (2004) – Le contrat de travail de l’artiste-interprète – Report on the state law and the necessity to change it in the future. Retrieved from: https://www.cairn.info/revue-legicom-2004-3-page-65.htm

[4] William R. Duncan (1996) – A guide to the project management body of knowledge http://www2.fiit.stuba.sk/~bielik/courses/msi-slov/reporty/pmbok.pdf

[5] William R. Duncan (1996) – A guide to the project management body of knowledge http://www2.fiit.stuba.sk/~bielik/courses/msi-slov/reporty/pmbok.pdf

[6] Kaleena Scamman – ADR in the music industry: Tailoring dispute resolution to the different stages on the artist-label relationship. Retrieved from: https://cardozojcr.com/vol10no1/269-304.pdf

 

 

How to turn Brexit’s devastating impacts into opportunities?

 

STUDENT PAPER

By Jules Dorlin

SKEMA Business School

Paris or Lille, France

 


 
ABSTRACT

Brexit will take place by March 2019 and deeply impact project management contracts. Thus, as it is an important part of any project managers’ job to plan and limit the risks that could negatively impact the project, visualize Brexit’s possible specific scenarios to develop the most adapted responses shows crucial advantages to face this unique situation. The main purpose of the research is to demonstrate the effectiveness of this method and the positives impacts it provides to project management. The paper ran a literature review of Brexit’s possible impacts on contracts based on recent research. Then, the paper highlights different behavior project managers can adopt to answer to this situation. Finally, the paper analysis the possible solutions and which one of them provides the best performances to project management. The results have shown that visualizing Brexit’s possible specific scenarios to develop the most adapted responses considerably reduces risks for project management.

Keywords:  Brexit – Impact – Commercial Contract – Forecast

 

INTRODUCTION

A referendum was held on Thursday 23 June 2016, to decide whether the United Kingdom will remain a member of the European Union or if it will leave it. “With a turnout reaching 71.8%, the leave won by 51,9% to 48,1%”.[1] These results triggered the first step of a long-term negotiating process planned to last several years. Do you know that contracts will get impacted by Brexit and that it is crucial to anticipate the potential outcomes to stay keep businesses safe after the United Kingdom leaves the European Union?

By March 2019, the United Kingdom won’t be part of the European Union anymore. Among the multitudes of treaties, bilateral and multilateral contracts that are going to be renegotiated, there are some commercial contract clauses that are going to be impacted. It appears that the United Kingdom will lose more than 750 international arrangements and will have to renegotiate many of them. Businesses between the United Kingdom and the European Union were highly facilitated by common treaties. Project managers from both the European Union and the United Kingdom will observe an impact on their contract’s clauses.

Most companies are already preparing themselves for this important event and are trying to forecast the potential impact Brexit will have on their contracts. Additionally, Brexit is a lesson to all project managers all over the world: “As a project manager, this is a chance you can’t afford to take. Even when you’re absolutely certain something won’t happen, always have a back-up plan ready just in case that “impossible” thing comes to pass”[2]

DIAGRAM 1. Brexit potential impact on contracts.[3]

Contractors from both the United Kingdom and the European Union must anticipated the impact caused by Brexit on major clauses and define strategic solutions if they want to stay efficient and profitable. Few major clauses are already identified and should trigger contractor’s attention such as contract pricing, DATA protection clauses which depend on whether a country is part of the European Union or not, compliance obligation especially regarding licenses but also dispute resolution clauses which are crucial in this very complex situation.

By the end of this research, we should be able to take the right decisions about post Brexit contracts especially about specifics clauses: contract pricing, DATA protection, compliance obligations and Governing Law and dispute resolution. This paper will focus on potential solutions for all these clauses and enable project managers to anticipate Brexit’s impact on these clauses.

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Author Dorlin, J. (2019). How to turn Brexit’s devastating impacts into opportunities? PM World Journal, Vol. VIII, Issue I (January).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/01/pmwj78-Jan2019-Dorlin-how-to-turn-brexit-impacts-into-opportunities.pdf

 



About the Author


Jules Dorlin

Paris, France

 

 

 

 Jules Dorlin is a French Business Student at SKEMA Business school in Paris. He spent more than a year in Asia (India, Vietnam, Cambodia, Malaysia, Indonesia, Myanmar, Thailand, Laos) to discover new cultures and learn to think differently. He keeps a close connection with foreign countries which are the foundation of his open-mindedness. After getting his bachelor’s degree in business administration within a one-year apprenticeship program, he had the opportunity to keep working as a salesman or to join a French Business School. He decided to join SKEMA Business School in 2017 to improve his problem-solving skills and general knowledge of business. After an entire semester in Raleigh, North Carolina, he has most recently enrolled in a master’s degree at SKEMA Business School pursuing the specialization “MSc Project and Program Management & Business Development”. He will then pursue his studies in Corporate Social Responsibilities (CSR) to complete his theorical background before entering the labor market.

Jules can be contacted at [email protected] or on LinkedIn.

 

[1]  EU Referendum Results. (2018, October). Retrieved from https://www.bbc.com/news/politics/eu_referendum/results

[2] EU Referendum Results. (2018, October). Retrieved from https://www.bbc.com/news/politics/eu_referendum/results

[3] By author

 

 

Is the current FIFA regulation equally fair

for players and clubs?

 

STUDENT PAPER

By Anta Diop

SKEMA Business School

Paris, France

 



ABSTRACT 

Underneath the sport aspect of football and the well-known FIFA competitions like the Football Worldcup or the UEFA Champions League, lays another aspect which we could call the « business » aspect of Football. Indeed, the football world is one of competition and rivalry as the clubs are continuously in a race to get the best players in the transfer market. In this world, most of the relationships are governed by contracts, which leads to disputes in case of disagreements. Disputes are particularly frequent between a club and a player because of contract termination linked with an injury or negative results in a medical examination. Therefore, the FIFA regulation includes several clauses to protect both parties from breach of contract.

However, some still argue that FIFA’s regulation benefits the players more than the clubs. To identify what would be the potential other alternatives to deal with disputes in football and understand which alternative is the best one, we will use several methods of qualitative and quantitative analysis and comparison in this paper.

The results of this analysis show us that the current regulation actually protects both clubs and players equally and that keeping the regulation as it is now is the best alternative.

Keywords: contracts, disputes, football, FIFA, dispute resolution, RSTP, breach of contract

 

INTRODUCTION

A few months ago, on July 15th 2018, France won the Football Worldcup. For one month, from June 14th to July 15th, the Worldcup was all that the whole world was talking about. This football competition is the second most followed sport event in the world behind the Olympic Games. Indeed, football is the most popular sport in the world and is even a part of the culture in certain countries.

The international governing body of football is the FIFA (the International Federation of Association Football). This federation gathers 211 national football associations around the world, which make up 6 confederations that represent the FIFA at the continental level. The FIFA’s authority in the football world is complete as this federation is responsible for organizing major football competition and governing football worldwide. It is also responsible for solving disputes and has a specific body to that effect: the Dispute Resolution Chamber (DRC). The main legal document that governs the status and transfers of football players is the « Regulation for the Status and Transfer of Players » (RSTP). The DRC refers to this document to make its decision during dispute resolution.

Disputes are not rare in the football world because most relationships are governed by contracts. Indeed, the relationship between a player and a club for example, or the transfer of a player between two clubs are both governed by contracts. When there is a disagreement between two parties linked by a contract, there is a need for proper dispute resolution. As per Max Wideman’s Comparative Glossary, « a contract is a legally binding agreement between two parties or more, which creates an obligation to do or not to do a particular thing »[1]. It is characterized by competent – that is to say not under age or insane – parties, a subject matter, a legal consideration and a mutuality of agreement and of obligation. In a contract, each party acquires rights and duties relative to the rights and duties of the other parties.

Root cause analysis[2] – 5 Why’s:

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Diop, A. (2019). Is the current FIFA regulation equally fair for players and clubs? PM World Journal, Vol. VIII, Issue I (January).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/01/pmwj78-Jan2019-Diop-is-current-fifa-regulation-fair-student-paper.pdf

 



About the Author


Anta Diop

Paris, France

 

 

 

Anta DIOP is a French graduate student pursuing a Master of Science in Project Management at Skema Business School in Paris. She completed two years of preparatory class in economics before entering Skema BS. During her education in Skema, she had the opportunity to travel around the world and live in different countries, she studied in China for one semester and in the United States for another semester. She also gained experience in event and project management thanks to the internships she has integrated in her educational pathway. She passed the PMI exam during her MSc in Project Management and is now a Certified Associate in Project Management. After she finishes school, she would like to go back to Asia and work as a project manager in different industries to build a diverse experience in project management.

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

 

[1] Max Wideman’s Comparative Glossary (http://www.maxwideman.com/pmglossary/)

[2] By Author

 

 

Model for professionals’ sports,

it could be a dream

 

STUDENT PAPER

By Romain Chapron

SKEMA Business School

Paris, France

 



ABSTRACT

When I was young, I said, “Why could I not become a professional soccer player?”. But how many kids, students or teenagers have already thought of that? It’s a dream for everyone who are passionate for a sport to live thanks to it. Nowadays, players show their daily life in the social network and obviously it’s a dream life, everything it’s possible. Most of the footballer player earn very well his life. Unfortunately, it is not easy as it seems. Those top players represent the emerged part of the iceberg, the other has forgotten their study in order to focus their career in football, but it never happens anything after. That’s why making from your passion your own job is a tough career path. However, if you work hard and you make the right decisions at the good moment, it could be one of the most lucrative job in the world. Neymar is currently earning the amount of 1 € per second, only with his salary (which doesn’t cover his sponsorship compensation and rewards). But people forget one thing. He is one of the best guys in his job! We are used to comparing us (and our wages) to them and to say, “he is paid too much, just to kick a ball around”. But Neymar is not a common guy, he is one of the best soccer players in the world, he is valuable.

Keywords: Compensation, Contracts, Sports, Professional, Payment, FIFA, Sport clause, Contracts issue.

 

INTRODUCTION

Football is a global marketplace and top players relocate constantly. “Zinedine Zidane, for example, played for clubs in the Spain, Italy and France over the course of his career”[1]. Professional players sign contracts with clubs for a fixed term of up to five years. If a player transfers before their contract expires, the new club pays compensation to the old one. This is known as a transfer fee. Twice a year. FIFA regulation set out two annual periods during which clubs can buy in foreign players, known as transfer windows. The longer transfer window falls between seasons and the shorter one falls mid-season. In the space of ten years, the price of football transfer has totally skyrocketed. Each season, hundreds of millions of dollars are spent in order to engage the best footballer’s services possible. Last summer the transfer window is entered in a new era, the one of excesses. Indeed, “Paris Saint Germain has laid out more than 220 million to pay the buyout clause of the Brazilian superstar Neymar with a wage of £2.7m a month before tax”[2]. Obviously, there are much secret bonuses which is included in the Neymar contract. But how Neymar and his agent has negotiated perfectly his contract? If you want to do the same, you have to read this document.

In order to understand this phenomenon, it’s important to know the specificity of the sports contract. When you play for a professional sports team, you are the employee of a company (the club), as a consequence, you have also an employer. Like a traditional job, you have to sign a contract with your boss (the president of the club) and respect the different clause presented in your contract. But one of the particularities is that there are so many actors during a transfer. Indeed, not only the player has to sign the contract but also their agent, the club and all their lawyers.

The football agent act like a project manager in order to manage his player. The Career of the player is considered like a project where the main goal is to allow him to achieve his dream (it can be to join a club or to earn a huge wage). According to the Guild of Project Controls an asset is “a tangible or intangible resource with economic value that an individual, corporation or country owns or controls with the expectation that it will provide future benefit”[3].Nowadays the professional player is considered as a real human asset for the agent. Most of the time project manager in sport use the strategic program which is linked to a specific goal, increase the value of his portfolio. The Global Alliance for Project Performance Standards (GAPPS) based on research by Sergio Pellegrinelli offer a definition of the strategic program « Deliver assets and benefits that are directly linked to attaining the sponsoring organization’s future state » [4]..

In this way, the project manager (agent) has a portfolio of asset (player) where the main objective is to place them in the best club in order to get back a huge amount of money. Obviously, he has to represent their client, to act as the mediator between their client and his club, negotiate new deals with his present club on matters such as salary and personal terms and to help finalize new transfers. In the player contract, this includes details of salaries and bonuses, such as signing-on and loyalty bonuses. Players also undergo medical examinations to check they are fit to play. If this reveals previously undetected injuries, it can affect the size of the transfer fee.

More…

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Chapron, R. (2019). Model for professionals’ sports, it could be a dream, PM World Journal, Vol. VIII, Issue I (January).  Available online at https://pmworldjournal.net/wp-content/uploads/2019/01/pmwj78-Jan2019-Chapron-model-for-professional-sports-student-paper.pdf

 



About the Author


Romain Chapron

Paris, France

 

 

 

Romain Chapron is a 23 year old French student, currently pursuing a Master of Science degree in Project and Programme Management and Business Development at Skema Business School.

After graduating at the university catholic of Lille, Romain joined the French Business School SKEMA. At the beginning of 2017, he did an internship in a start-up called Synbud as a Business Developer. This innovative company consists of a search engine working the same way as Google but specialized in travels. This experience was a way for him to confirm his interest in Project Management and innovation.

He has excellent problem-solving skills and is an effective team member with a strong ability to work in a team. Overall, Romain’s energy, his remarkable ability to learn and to catch new key accounts will make him an excellent collaborator with strong leadership.

As a student of Project Management, he has gotten the certifications of AgilePM and Prince 2 Foundation, which proves he is qualified to be a project team member.

You can contact him at: [email protected]

 

[1] This information comes from: https://fr.wikipedia.org/wiki/Zin%C3%A9dine_Zidane

[2] Matthew Smith, 2018, the original text is available at: https://www.dailymail.co.uk/sport/football/article-5357087/PSG-star-Neymar-earns-double-Mbappe-Cavanis-wages.html

[3] The original definition is available at: http://www.planningplanet.com/guild/gpccar/introduction-to-managing-project-controls

[4] The original definition is available at: http://www.planningplanet.com/guild/gpccar/introduction-to-managing-project-controls

 

 

Can Project Management Dispute Resolution Methods

be Used to Resolve Disputes in the Esports Live Streaming Industry?

 

STUDENT PAPER

By Guohao Su

SKEMA Business School

Paris, France

 



ABSTRACT

The esports industry is thriving in the last couple of years. Esports live streaming is also becoming well known and popular, especially among young people. However, cheating by live streamers is a tough and unavoidable problem that leads to contract disputes between the live streamer and the live streaming platform. This paper aims to find the most efficient alternative to resolve these disputes. To do so, we list six different alternative methods in the project management dispute resolution level. Combing with certain criteria, we select prevention as the best alternative after deeply analysing these six ways. We also provide with tools for live streaming platforms to monitor the result of the alternative in the end.

Keywords: Video games, Contract disputes, Cheating, Esports, Sports, Live streaming, Live streamers, Competition.

INTRODUCTION

The path for professional esports gamers was not flat. My dad’s colleague’s son decided to chase his esports dream 12 years ago and was supported by no one. Different from sports like football or basketball, video game players were not accepted at that time. Fortunately, from dim small rooms to gorgeous stadiums, esports is widely accepted by people today and esports players are finally treated as real sports athletes. The esports have be counted as a demonstration sport in Jakarta Palembang 2018 Asian Games.

2017: League of Legends Worlds season 7 finals in Olympic Stadium of Beijing in China[1]
2018: League of Legends finals in Jakarta Palembang 2018 Asian Games.[2]

Thanks to the development of video games industry, esports live streaming platform like Twitch becomes extremely popular among young people. The live streaming attracts a huge number of viewers and wields a lot of influence.

Table: Top 10 Most Watched Twitch Streamers of the Week, June 04 – June 10, 2018[3]

Ninja 5.6M
Shroud 2.2M
Tsm_myth 1.7M
dakotaz 1.2M
timthetatman 1.1M
Summit1g 1.1M
lirik 1.0M
imaqtpie 987.8K
B0aty 950.4K
sodapoppin 772.1K

This chart shows the influence of live streaming and the importance of the subject of this paper. The cheating behavior by esports streamers can cause adverse impacts. Cheating will absolutely ruin not only the steamer’s reputation but also the image of the live streaming platform. The live streaming platform might be no longer interested in signing contracts with the streamer or penalizing the streamer due to the decreasing of viewers. At this moment, the contract disputes could happen between the live streaming platform and the streamer.

In this paper, we will mainly focus on analyzing the contract violations of cheating by esports streamers and finding resolutions to manage the contract disputes and reduce bad public influence.

Feasible alternatives and analyzing methods are the tools needed for this research. The term of use or term of service is the contract signed between players and game companies. The partner contract is the agreement between live streamers and live streaming platform. A term of use/ partner contract is a contractual document that aims to regulate the interactions between the game/ live streaming service provider and its users.  These contracts are also needed for this paper.

‘The planning, scheduling, and controlling of project activities to achieve performance, cost, and time objectives, for a given scope of work, while using resources efficiently and effectively.’ [4] Project management is defined according to brochure by Management Concepts Inc. 1999. We consider that the development of a live streamer’s personal channel as a long-term project. The controlling of the cheating behavior is obviously included in the process of project management. We are going to have a look at how this definition works as selection of criteria in the next part of paper called ‘METHODOLOGY’ to help us analyze the outcomes of feasible alternatives.

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Su, G. (2018). Can Project Management Dispute Resolution Methods be Used to Resolve Disputes in the Esports Live Streaming Industry? PM World Journal, Vol. VII, Issue XII (December).  Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Su-dispute-resolution-in-esports-live-streaming-industry.pdf



About the Author


Guohao Su

Paris, France

 

 

Highly motivated to be a successful project manager in the future, Guohao Su is currently an MSC student in Project and Program management in SKEMA business school, Paris, France. He graduated from South Paris University and holds a Bachelor’s degree in international business. He has worked for BAOBATEX, a clothes creation and design company, as commercial management assistant in Paris, France. He likes working in multicultural environment and participating in projects. His dream is working in a big international company and challenging complex projects.

Guohao lives in Paris, France and can be contacted at [email protected]

 

[1] RACHEL KASER. (October 17, 2018). Yes, esports are big enough to fill an Olympic stadium — can we shut up about that now? from https://thenextweb.com/gaming/2017/11/03/esports-fill-olympic-stadium/

[2] 17173 News (August 30, 2018). 亚运会LOL决赛你可能没有注意到的细节:RNG队员的王子复仇记. from http://news.17173.com/content/08302018/115900865_all.shtml

[3] The Esports observer. (June 10, 2018). Top 10 Most Watched Twitch Streamers of the Week, June 04 – June 10, 2018 from https://esportsobserver.com/top-10-streamers-june-04-june-10-2018/

[4] Definition of Project management from brochure by Management Concepts Inc. 1999 Retrieved October 17, 2018, from http://www.maxwideman.com/pmglossary/PMG_P16.htm

 

 

Using Multi-Attribute Decision Making

to Define, Prioritize and Manage Software Requirements

 

STUDENT PAPER

By Haoyu Wang

SKEMA Business School

Paris, France

 



ABSTRACT

In the development process of software projects, requirement management runs through the entire life cycle of software projects. In software project management, requirements engineering is the first step in software development, which is a key step and the most difficult step. The quality in requirement management directly affects the quality of software and even the success or failure of software projects. This determines that the project team must have a requirement management strategy and effective implementation.

This paper uses multi-attribute decision making to define and prioritize several behavioral development models that manage software requirements and will help users understand the most critical criteria they should choose (from the customer’s point of view), the advantages and disadvantages of various methods in different aspects. This should allow a team to achieve barrier-free communication, error-free delivery.

Keywords: Specification by Example (SBE),Requirements, information technology, Software, System product, agile, behavioral development models

INTRODUCTION

As IT systems become more and more critical competitive factors in the industry, the scale of the IT project is more and more prominent, involves the organization level is higher and higher, the risk of the project is becoming more and bigger. As one of the fastest growing areas in the world today, the failure of the project also represents a large amount of capital loss and time cost and the waste of labor costs. According to the PMI industry statistics, ‘the average waste of IT industry project expenditures in 2017 was as high as $78 million per $1 billion. Among them, the average waste was the highest regarding geographical distribution and European project expenditure, and $131 million was wasted for every $1 billion.[1]

Then in the field, there are many examples of companies being dragged down by the IT project or the returns were much lower than expected. The data in Figure 1 is the result of the IT project in earlier years. We can see that only 39% of IT projects were successful in that year. This figure means that more than 50% of the IT projects did not achieve the expected results.

Figure 1: Software development project results[2]

Then the software that has been successfully developed must be no problem, without the doubt? However, it is not. According to statistics, there are still many customers not satisfied with the final delivery software. And after customers use the software for two months, the percentage of dissatisfaction can double. This figure is a horrifying number and lets us take a look at the situation of industry practitioners. In the project development work, many programmers have not understood the target results. With this requirement, people can start development. However, the reality is that people do not know what to do, but they continue to develop. When the project is postponed, or there is a problem with the project test, time and money have been lost, and Inconsistent with the original intention.

The technology is advanced, the team is strong, and the products have a market. However, it still failed because – “delivered the wrong software.” However, for a project that delivers a piece of software, “delivering the wrong software” is often the origin of the dispute. However, it is also a difficult problem to solve. For the owner, he is paying for a “right software.” However, there are often hardships for the developers who are entrusted, because they are given instructions to “act the software according to the precise functional description of the owner.” “Correct or not” is not their ultimate responsibility. Whether or not “correct” usually has to wait until after the online, the customer can know according to the user’s actual measurement response (although the developer is often the development stage can usually guess the group of people who failed). However, this is never within the responsibility of the contract.

STEP 1: Problem Definition

How did this happen, why did it become like this? Let us have a look at some of the features of IT project to help us sort out the problems.

In the IT project, the following points are different from the general project:

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Wang, H. (2018). Using Multi-Attribute Decision Making to Define, Prioritize and Manage Software Requirements, PM World Journal, Vol. VII, Issue XII (December). Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Wang-define-prioritize-manage-software-requirements.pdf



About the Author


Haoyu Wang

Paris, France

 


Haoyu Wang
, Chinese, 23 years old, major in Project and Programme Management & Business Development (PPMBD) at Skema Business School in Paris, France. He has a background in business and IT education.

Before coming to France, Haoyu completed his studies at ZhaoQing College in China and hold a bachelor’s degree in the Internet of Things. Haoyu has been working for ‘Network Information and Security Research Institute’ (China) and ‘Internet of Things Collaborative Innovation Center Embedded Systems Application Institute’ (China) for many years. During this time, he assisted in the completion of the ‘SMS-based smartphone virus propagation analysis and simulation system research’ and the ‘Unmanned Helicopter Quadrotor,’ ‘WiFi student attendance system.’ From 2015 to 2016, Haoyu hosted the provincial assignment tasks ‘climbing plan’ and ‘Challenge Cup.’ Finally, the task is perfectly delivered with ‘small block type wireless LED display design’ and ‘smart home remote monitoring system development.’ After that, he assisted the professor in publishing an article entitled “Spi / Uart and Zigbee Protocol Conversion Module Design” in the IoT Journal. In 2016, he became an executive intern at Hong Kong AXA Insurance Company. Participate in the ‘fund selection plan and solve the difficulties and countermeasures of financial planning in mainland China.’

Haoyu has the potential to be a promising project manager. At the same time, he has great enthusiasm and interest in the IT field.Haoyu is now working on a master in sciences in Skema business school.He lives in Paris now and can be contacted at [email protected]  or https://www.linkedin.com/in/haoyu-wang-0a21b1161/

 

[1] Pulse of the Profession | Project Management Institute. (November 11). Retrieved from https://www.pmi.org/Pulse

[2] Sweeney, M. (2015). 3 Reasons Why Software Development Projects Fail – Clearcode Blog. Retrieved from https://clearcode.cc/blog/why-software-development-projects-fail/

 

Using Islamic Law

for Alternative Dispute Resolution: Is Sharia Sufficient?

 

STUDENT PAPER

By Abdul Wahid

SKEMA Business School

Paris, France

 



ABSTRACT

The importance of adequate mitigation of disputes between two opposing parties is hugely important in any circumstance, and in particular in business. With more than 1.6 billion followers and a steep history, the Islamic faith has a long-held tradition of resolving disputes without formal court proceedings. The goal of this paper was to explore whether or not the principles of Dispute Resolution advocated by Islam was sufficient when comparing to those found in Western Law.

Comparing the Islamic principles and processes of Dispute Resolution against a baseline from English Common Law, and using a MADM Dominance Analysis, the two legal systems were judged on how they suggest disputes can and should be resolved. It was found that Sharia Law is more than adequate in its instructions on how to resolve a number of disputes. It was clear that Sharia law is not at odds with Western legal principles but can be modernized to further improve.

Keywords: Disputes, Dispute Resolution Methods, Sharia, Alternative Dispute Resolution, Mediation & Arbitration Guidelines, Resolution Benefits

INTRODUCTION

The nature of all businesses is the desire to build capital & gain prosperity, and therefore any such obstacle to achieving this is strongly undesirable. It can be suggested that the key to attaining this success lies in the smooth relationships between all parties.  Nonetheless, within any realm of life, especially within the business world, disputes and claims arise, and inevitably they result in great losses, both in terms of time and, more importantly, lead to unnecessary costs.

Traditionally the approach to resolving disputes between any parties who are in disagreement has been to proceed to litigation. However, as this formal process itself can unarguably be time-consuming and costly, alternative approaches have been explored and developed.

Alternative Dispute Resolution (ADR) is a broad term referring to any method of resolving disputes outside of litigation. Typically, ADR processes involve mediation, arbitration and conciliation. Its origins, especially the concept of arbitration, goes back to the great Ancient Greek philosophers Plato and Aristotle, and references to arbitration in issues relating to commerce can also be found in biblical passages. Whilst ADR has been used for centuries, it has gained a steadily increasing popularity throughout the 20th century as an alternative to the litigation process and now is often the mandatory pre-cursor to seeking formal action in the courts.

While ADR has observed somewhat of a renaissance as an alternative access to justice, ADR’s underlying processes have formed the principals of dispute resolution for many early civilizations’ societies, one of which is the Islamic civilization.

Sharia, or Islamic law, is the religious law that forms part of the Islamic faith. Deriving from the main principles of teachings of Islam, particularly the Holy Qur’an and Hadith (sayings and teachings of the Prophet Muhammad), sharia “produces criminal and civil law, religious mandates and personal codes of conducts” for which society can be governed.

Step 1 – Problem Definition

In the 1400-year existence of Islam, Muslims have consistently focused on reaching consensus between disputing parties; the overriding premise has been that compromise has always been preferred over confrontation.

With its long history of using ADR-type methods to come to amicable solutions to their differences, this paper will explore whether or not the principles, practices and processes that underpin Dispute Resolution in Sharia match up to those we use in the 21st century. Additionally, considering that the duration these methods have been used, it is vital to explore whether or not anything can be gleaned from them to further improve the ADR processes we implement in the West today.

In a world, where the tide of Islamophobia continues to rise, and one where people are increasingly, and unknowingly, becoming ever more afraid of Sharia and ultimately Islam and Muslims, the intent of this paper is to bridge the gap and see if, and how, we can learn from its principles to improve our very own methods of Dispute Resolution.

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Wahid, A. (2018). Using Islamic Law for Alternative Dispute Resolution: Is Sharia Sufficient? PM World Journal, Vol. VII, Issue XII (December).  Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Wahid-sharia-law-for-alternative-dispute-resolution.pdf



About the Author


Abdul Wahid

Paris, France

 

 

Abdul Wahid graduated from the MSc Project and Programme Management & Business Development student at SKEMA Business School with a 3.9 GPA including receiving a grade of 90% for his Thesis on Social Mobility. Prior to this he graduated from Birkbeck, University of London in 2013, and holds a BSc (Hons) in Psychology.

He currently is employed at France’s largest bank in a role as Relationship Manager; prior to this he worked in the Financial Services and Insurance sector, at two of the largest financial institutions, The Royal Bank of Scotland Group and Lloyds Banking Group in his home country of the United Kingdom. He now resides in Paris, France and can be contacted at [email protected].

 

 

Cost of Creating Winning Proposals

for Oil and Gas

 

STUDENT PAPER

By Abhinav Sharma

SKEMA Business School

Lille, France

 



ABSTRACT

Cash flows from projects are the lifeline for all contractors, in this age of competition and reverse auction processes across contracting increases the pressure on contractors to keep margins lower and costing as close to reality as possible. There are multiple approaches which can be used for the estimation of project cost, but with so many options to choose from it becomes difficult to select only one estimation and just rely on it. Some methods just take the historical input which are not time consuming and can be automated to come up with estimation whereas there are other methods which need more effort from the side of the contractor but give results which are close to real costs if something extraordinary event does not take place. As per AACE guidelines 0.005% of the total cost of project is the optimum cost of estimation for the project, this number comes up to be very low for the second kind of estimation which includes all the plausible scenarios for the project. This paper is an attempt to evaluate multiple methods on this criterion and come up with the probability of winning a project based on the estimation, an imaginary scenario with real numbers as possible are used but a real project is more complex and need more input for evaluation. The probability of winning a bid is the highest in the Definite Estimate as per the analysis. Further, comprehensive research is required to come up with exact time and cost parameters which is out of scope of this research paper.

Keywords:      Bidding, Oil and Gas, Construction, Proposals, Cost, EPC, Outsourcing, Optimum bidding, Cost of Bidding, Winning Bids

  1. Introduction

Energy need of the world is growing immensely with each passing year[1]. Oil and Gas are still among the key energy resources of the world[2]. Each O&G project involves resources and capabilities of people from multiple disciplines. Many different companies across the globe come together to make these projects successful. Engineering Procurement and Construction companies are the first to carry out the estimations for these megaprojects. Many small vendors and contractors are used to carry out the last leg construction of these projects.

With such scale of projects, there is always the possibility of miscommunication and misinterpretation of expectations. The stakeholder to suffer the most because of these issues is the contractor because the livelihood of these contractors is based only on the cash flows from projects. A small misjudgment in bid calculation may lead to the death of such contractors.

A question arises from complexities of these projects; How long should be given to these contractors to make an optimum bid which keeps every stakeholder happy?

There are many assumptions during bid phase of the project[3], which results in contractors using different ways of tackling with uncertainties. Some contractors use the “Magic Number”[4] technique, where they multiply an arbitrary number based on experience with each calculated cost to come up with the final bid price. On the other hand, some contractors dig down to each activity and price the bid based on the calculated cost of each of these activities. The first kind of estimation is quick but may result in very wage bid for large projects whereas the second kind of estimation takes more time but is close to actual cost + profit for the project. There is also a question of the Cost of drafting the bid proposal; these proposals may take hours or months to draft depending on the complexity of projects and type of proposal.

This paper is an attempt at understanding the reasonable time frame and cost which is optimum for all the stakeholders of projects. A study of the type of proposals, the complexity of projects and historical bid errors would help in shedding light on these complex questions.

  • Objective statement

What is optimum time and cost associated with a winning proposal?

  1. Firstly, evaluating present types of methods used for making proposals based on guidelines given in AACE Education Board Skills and Knowledge document.
  2. Secondly, understanding the cost associated with each method.
  3. Thirdly, assessing the cost to benefit ratio for each method and present optimum time and cost associated with a winning proposal.

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Sharma, A. (2018). Cost of Creating Winning Proposals for Oil and Gas, PM World Journal, Vol. VII, Issue XII (December).  Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Sharma-cost-of-creating-winning-proposals-for-oil-and-gas.pdf



About the Author


Abhinav Sharma

Lille, France

 

 

Abhinav Sharma is a student of Post Graduate Program in Management offered by Indian Institute of Management, Trichy. He was an exchange student at Skema Business School, Lille in 2017. He has 38 months’ work experience with Weir Minerals India in Mining Equipment design and Oil and Gas piping design. He finished his internship with Deloitte USI where he worked on implementation of ERP systems for High-Tech industry. Abhinav can be contacted at [email protected]

 

[1] See EY publication on Spotlight on Oil and Gas Megaprojects http://www.ey.com/Publication/vwLUAssets/EY-spotlight-on-oil-and-gas-megaprojects/$FILE/EY-spotlight-on-oil-and-gas-megaprojects.pdf

[2] See EY publication on Spotlight on Oil and Gas Megaprojects http://www.ey.com/Publication/vwLUAssets/EY-spotlight-on-oil-and-gas-megaprojects/$FILE/EY-spotlight-on-oil-and-gas-megaprojects.pdf

[3] See EY publication on Joint Ventures for Oil and Gas Megaprojects http://www.ey.com/Publication/vwLUAssets/ey-joint-ventures-for-oil-and-gas-megaprojects/$FILE/ey-joint-ventures-for-oil-and-gas-megaprojects.pdf

[4] See Guide to bidding by Steven E Moore http://www.irrisoft.net/news/newsletters/january2010/Guide to Bidding.pdf

 

 

Is Estimating the Cost of a Mobile Application Development

really so Easy?

 

STUDENT PAPER

By Shuchi Sethi

SKEMA Business School

Paris, France

 



ABSTRACT

The traditional information systems are undergoing a rapid transformation as per the environmental needs, and undergoing an adaptation process. But many mobile application development projects are failing because of inaccurate cost estimation. The paper addresses the problems of the different methods of cost estimation that can be used for mobile application development as well as which method gives the most efficient and accurate cost estimate. Different methods give different results basis the attributes and the method which abides by the maximum attributes gives the most accurate cost estimation. The following methods were used in the research namely Expert Judgement (Delphi technique), COCOMO II, Estimation by Analogy, Top-Down Approach and Bottom-Up Approach. However, a single method isn’t sufficient to solve the purpose, hence, the best method to follow is by combining two or more alternatives which would give us a HYBRID method, which has also been proven with the help of the Additive Weightage MADM Technique.

Cost estimation is a tedious task and each method has its own pros and cons, and satisfies a different criterion depending on the requirement of the mobile application which is being worked on. Therefore, we finally can conclude that no one single method can satisfy all the project’s requirements and give an accurate cost estimation.

Keywords: Cost Estimation, Mobile application development, Software cost Estimation, time estimation, Delphi technique, IT project, Project success, COCOMO II model, MADM methodology

INTRODUCTION

Ever wondered the overshooting costs of projects in the world of today, especially in the field of IT. As per an article in Harvard Business Review, “it was revealed that, one in six IT projects has a cost overrun of 200%,” which is a quite high rate of failure for estimation.

Cost estimate is quantitative assessment of forecasting cost and analysis of the work required by the design documents. Cost estimation is used for evaluating individual component values and thereby estimates the total value of the project. It is a continuous process which is carried out throughout the project’s life starting from planning stage.

The cost estimation of a mobile application development starts with the reviewing of concepts with designers and developers, and identifying the size of the app. Then the time schedule is forecasted which is needed for design, development and QA. These steps are bifurcated as Design Estimate, Development Estimate and QA, Testing and Debugging Estimate. On the basis of these steps, Project Cost is estimated.

The cost of developing a mobile application is based on many factors like complexity, features and the platform. Of this, the most important factor which contributes to accurate cost estimation is the complexity of the app. As a general thumb rule, the cost of building a mobile app usually moves up the scale the more robust and complex it is. Another factor which contributes to the cost estimation is the platform, for which the mobile application is being developed for. The Android version of the app usually costs more than the iOS version. Also, the features added to the app, adds more cost.

  1. Problem Definition

Cost estimation is considered to be one of the most challenging tasks in project management. It depends on accurate effort estimation and time estimation for development of mobile application development projects. The development of a mobile application process includes size of the mobile app, effort estimation, project schedule, and overall cost estimation of the project.

There are many methods for estimating the cost of a mobile app project, but only few gives the accurate results. Inaccurate cost estimation is one of the major reasons of a project’s failure.

There are adverse consequences of inaccurate Cost Estimation techniques:

  1. Profitability- Inaccurate cost estimation will impact the profitability of the project. If cost is overestimated or underestimated, profit will be understated or overstated respectively.
  2. Inefficient Distribution of Resources- An inaccurate allocation of resources also results in inaccurate estimation of cost which results in over or under utilization of resources affecting the productivity of the project.
  3. Poor Decision Making- Inaccuracy in cost estimation causes inaccurate financial information which also effects in making poor decision-making processes which affects the projects. These incorrect figures may result in unnecessary or detrimental effects on the project and the organization, ultimately affecting the profitability.

In this context, it can be summarized that the research is addressing the problem of:

  1. What different methods can be used to do mobile app development cost estimation?
  2. Which method gives the most efficient and accurate cost estimate?

More…

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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable 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: Sethi, S. (2018). Is Estimating the Cost of a Mobile Application Development really so Easy?, PM World Journal, Vol. VII, Issue XII (December).  Available online at https://pmworldjournal.net/wp-content/uploads/2018/12/pmwj77-Dec2018-Sethi-estimating-the-cost-of-mobile-app-development.pdf



About the Author


Shuchi Sethi

Delhi, India

 

 

Shuchi Sethi, student of SKEMA Business School, France is pursuing “Masters in Project and Programme Management and Business Development”. She is certified in AGILEPM Foundation, PRINCE2 Foundation, Lean Six Sigma Green Belt, CAPM and ISTQB- Foundation Level. She originates from Delhi, India where she studied B. Tech (Electronics and Communication) from Banasthali University. She has an experience of over 5 years working as Sr. Test Engineer at HCL Technologies. You can contact her on her email at [email protected], and also on LinkedIn at 60a32430.