A year ago, I was actively involved in the oppression and enslavement of men, women, and children around the world. Every day, decisions that I made and money I mindlessly spent supported evil businessman that used people in desperate situations to get rich. And I had no idea.
One fall afternoon I was looking for something to watch on Netflix and began streaming the film The True Cost. What I saw over the next hour and a half incited feelings of nausea, devastation, and rage. And the way I view clothes has not been the same ever since.
The film gives an overview of the fashion industry, and how the majority of clothes around the world are produced. They interviewed actual factory workers who told of their experiences. One woman’s story, in particular, chilled me to the bone. She told of how she tried to unionize for fairer pay, as most garment workers make roughly $2 per day. Due to her request, she and her coworkers were locked in a room, beaten, struck with scissors, and forced to continue working. As she told her story, choking back tears, she cried, “I don’t want people to wear clothes that were made with our blood.”
This is a normal occurrence around the world in garment factories and cotton farms. Children are forced out of school to pick cotton in brutal conditions. People are forced to work in dangerous conditions for little to no money.
On the other side of the globe, we are fueling this horrible industry. We buy clothes as a hobby, and we never have enough. We trample people for the best Black Friday deals, as if the stuff we can buy is more important than the people around us, and the people making these items for us to purchase.
Google “Rana Plaza Collapse”. Rana Plaza was a building that housed multiple garment factories in Bangladesh. The factory owners received several warnings about the structural integrity of the building, as large cracks in the building were discovered. Regardless, the garment factory bosses ordered their workers to continue coming to work. It collapsed in 2013, killing 1,134 people and injuring thousands more. Many companies were having clothes made in these factories, including J.C. Penney, Walmart, The Children’s Place, Primark, Zara, and more.
Isaiah 1:17 says, “Learn to do right; seek justice. Defend the oppressed. Take up the cause of the fatherless; plead the case of the widow.”
Injustice and oppression are the driving forces of much of the clothing industry. Let’s refuse to turn a blind eye to this. Instead, let’s commit to seek justice and defend the oppressed. Here are a few steps that I have found helpful in this journey:
1. Buy less. How many clothes do you actually need? Most people around the world, outside of North America and Europe, have a minimal number of outfits if they have more than one. I’m not saying get rid of all your clothes and become a minimalist. But before you buy your fourth pair of black shoes or your seventh blue t-shirt, ask yourself, “Do I really need this?”
2. Buy Fair-Trade. Clothes that are certified Fair-Trade ensure that people are treated well. By buying these clothes, you can actually support the garment worker themselves, and allow them to continue their craft.
3. Find a few companies that are committed to treating people well, and become a committed customer. A few that I have started shopping at are Everlane, Krochet Kids International, Pact, and Oliberte.
This may be all new for you, and you are processing the devastating reality of the clothing industry. If you are coming to grips with this reality, I encourage you to commit to the charge of Isaiah 1:17. Seek justice. Defend the oppressed.
Some senior members of staff see procurement expenses as a necessary evil and overlook any efficiency improvement methods for this sector. This is not an uncommon way of thinking, as procurement and the supply chain is a massive part of any company’s costs and can total up to 70% of an organisation’s total spend.
These managers are missing out on effective changes that can shift procurement to a significant supplier of growth and profit for any business.
Follow these 7 steps to improve your procurement team.
1. Embrace Change
It’s so important for procurement managers to embrace and invest in technology changes currently taking place in the industry.
Managers should hold a full assessment of deficiencies in their processors and search for technology that meets the needs of the business, rather than fitting the business around new technology. For example, if you are having trouble with historic and retrospective analysis, invest in predictive analytics.
2. Consider Outsourcing
Outsourcing may not be an avenue you have ever considered in regards to procurement, even though it happens all the time with HR and IT departments. Even so, many procurement managers are still apprehensive to apply it to their supply chain.
Outsourcing certain aspects of procurement can be a way of improving existing systems and processors rather than a cost reduction measure. It can also allow your business to access highly skilled procurement experts when it would be counter-productive to hire someone internally. These individuals are often very focused on delivering results, and if you plan outsourcing correctly, the increase in productivity will outweigh the costs of outsourcing.
If a procurement manager feels like there are areas in the business where costs can be cut, it might be worth bringing in a consultant. There are also outsourcing services that offer expert domain knowledge and vendor contact opportunities.
3. Ensure Your Supply Chain Is Properly Staffed
The efficiency of a supply chain is very much dependent on the quality of its staff. As a procurement manager, it’s important to ensure that the supply chain is staffed with highly skilled individuals, and that these staff have regular access to education and training.
Procurement professionals will be tasked with a wide variety of roles, including:
Planning delivery timetables
Ensuring stores have enough stock
Overseeing the arrival of shipments
When hiring employees, it’s important to ensure they have skills such as communication, attention to detail and teamwork. They must also be willing to learn and improve throughout their career.
4. Create Risk Management Policies
One of the key ways of making a procurement team more efficient is to prepare for the unexpected. Procurement managers should establish proper levels of control to manage risk and ensure that all these policies are periodically reviewed. These risk management fail safes should include:
The financial impact a risk might have
The likelihood to the risk occurring
A priority list for managing risks
All staff members should be aware of these risks, and the processes in place if the risks occur. For example, if a major supplier goes out of business, your staff should be aware that there is a process for contacting secondary suppliers so you are never left without stock.
5. Establish Relationships with Key Suppliers
Staff who deal with suppliers on a daily basis need to have brilliant relationship building skills. Procurement employees need to work closely with suppliers to try and keep communication consistent and amicable, even if issues arise at either end.
Suppliers can help procurement teams reach their performance goals, and they are often very knowledgeable, with expertise to share about their products. Procurement teams can learn a lot from them, like the audience, seasonality and key selling points of products; it’s worth working on these relationships.
6. Stick to Ambitious but Manageable Targets
If a team has a tough but not unattainable goal to work towards they can prioritise, measure and focus on their tasks with a clear end in mind. This helps staff members feel more motivated and gives meaning to their work.
There will also be a sense of achievement when the targets are met, bringing your team closer together and improving teamwork.
7. Efficiency Is Attainable
The creation of a brilliant supply chain depends on your company’s understanding of procurement, along with the procurement team’s estimation of the total costs associated with each supplier and their contacts.
With help from technology, outsourcing, a great team and strong relationship building skills, your procurement team should improve its efficiency and business impact.
A Japanese architecture firm Nikken Sekkei and Barcelona studio Pascual i Ausió Arquitectes have been selected to renovate the Camp Noustadium, home of FC Barcelona following a joint bid.
Europe’s Biggest Stadium Will Be Even Bigger Within Five Years at Reported Cost of Nearly ┚¬420 Million ($460 Million)
Camp Nou, often referred to as the “Nou Camp” in English is a football stadium in Barcelona, Catalonia, Spain. It has been the home of FC Barcelona since its completion in 1957. With a current seating capacity of 99,354 and is the largest stadium in Spain by capacity. It’s also the largest stadium in Europe and the second largest association football stadium in the world in terms of capacity. In additional it has hosted numerous international matches at a senior level, including a 1982 FIFA World Cup semi-final match, two UEFA Champions League finals and the football competition at the 1992 Summer Olympics.
Barca is expected to sell the stadium’s naming rights to help fund the new construction.
Nikken Sekkei, one the world’s third largest architecture firm according to the World Architecture 2016, is known for its construction of stadiums and skyscrapers and were chosen out of a list of 26 candidates. Nikken is over 100 years old and has offices in China, Vietnam, Korea, Saudi Arabia and Dubai, in addition to its headquarters in Japan.
Construction is to start in the 2017-18 season and be completed for the 2021-2022 season, but will not keep the club from hosting games.
The iconic home of the Spanish and European champions will involve increasing seating capacity from 99,354 to 105,000. The reigning European and Spanish champions promise that every seat will offer an unobstructed view of the pitch and new high-definition video scoreboards. Barca is on course to repeat its treble of last season, winning the La Liga title, Spanish Cup and European Champions League.
A Statement on the Club’s Website Said, “the Nikken Sekkei [and] Pascual I Ausio Arquitectes Proposal Stands out for Being Open, Elegant, Serene, Timeless Mediterranean and Democratic.
“The proposal presents a very subtle attempt to intervene in the environment to facilitate circulation and achieve diverse urban usage in the Barça Campus and guarantees a clear and safe construction.” according to the club.
The new roof will measure more than 47,000 square meters and the stadium will have an emphasis on energy saving technology and environmental sustainability.
The triple-tier structure will remain, but the third tier will be extended and a roof covering more than 47,000 square metres will be added to make sure all seats are sheltered from the weather.
The project also includes an ice rink, basketball court and an auxiliary multipurpose court capable of hosting 2,000 spectators. The Espai Barça also foresees construction of an underground parking lot.
Other current high-profile football stadium projects include the new Chelsea FC ground by Swiss architects Herzog & de Meuron, a stadium for Tottenham Hotspur by Populous, and Arup’s design for AC Milan’s new building.
The Nigerian construction industry is mostly concerned with the development and provision of projects such as roads, bridges, railways, residential and commercial real estates, and the maintenance necessary for the socio-economic developments contributes immensely to the Nigerian economic growth (Bureau of Statistics, 2015). Butcher and demmers (2003) described projects as an idea which begins and ends by filling a need. However, a project fails when its idea ends without meeting the needs and expectations of its stakeholders.
Nigeria Has Become the World’s Junk – Yard of Abandoned and Failed Projects worth Billions of Naira!
Hanachor (2013), revealed that projects form part of the basis for assessing a country’s development. However, a damming report from the Abandoned Projects Audit Commission which was set up by the Ex-President Goodluck Jonathan in 2011 revealed that 11,886 federal government projects were abandoned in the past 40 years across Nigerian (Abimbola, 2012). This confirmed the assertion by Osemenan (1987) “that Nigeria has become the world’s junk –yard of abandoned and failed projects worth billions of naira”.
Abandoned projects including building and other civil engineering infrastructure development projects now litter the whole of Nigeria.
Physical projects do not only provide the means of making life more meaningful for members of the community where the projects are located, successful projects also result in empowerment and collective action towards self improvement (Hanachor, 2013).
This Issue of Abandonment Has Been Left Without Adequate Attention for Too Long, and Is Now Having a Multiplier Effect on the Construction Industry in Particular and the Nigeria’s National Economy as a Whole. (Kotngora, 1993)
PROJECT FAILURE
Project Failure might mean a different thing to different stakeholders. A project that seemed successful to one stakeholder may be a total failure to another (Toor and Ogunlana, 2008). Some stakeholders, more especially the project users and some private owners, think of failed projects as a situation where a completed building project collapsed, a situation where by a completed dam project stopped working after few days of completion, or a completed road project that broke down after few months of completion. Other experienced stakeholders, such as engineers and architects conform to the iron triangle by Atkinson (1999) which states that the most strategically important measures of project failure are “time overrun”, “cost overrun”, and “poor quality”.
Turner (1993) noted that a project fails when the project specifications are not delivered within budget and on time;the project fails to achieve its stated business purpose; the project did not meet the pre-stated objectives; the project fails to satisfy the needs of the project team and supporters; and the project fails to satisfy the need of the users and other stakeholders. Lim and Mohamed (1999) cited in Toor and Ogunlana (2009) clarified that there are two possible view points to project failure namely; the macro-level and the micro-level. They further explained that the macro view point reviews if the original objectives and concepts of the project was met. Usually the end users and the project beneficiaries are the ones looking at the project failure from the macro view point, where as the project design team, the consultants, contractors, and suppliers review projects from a micro view point focusing on time of delivery, budget, and poor quality.
In the early 1990s, the failure as well as the success of any project was determined by the project duration, monetary cost, and the performance of the project (Idrus, Sodangi, and Husin, 2011). Belout and Gauvrean (2004), also confirmed that the project management triangle based on schedule, cost, and technical performance is the most useful in determining the failure of a project. Moreover, a project is considered as an achievement of specific objectives, which involves series of activities and tasks which consume resources, are completed within specifications, and have a definite start and end time (Muns and Bjeirmi 1996, cited in Toor and Ogunlana, 2009). Reiss (1993) in his suggestion stated that a project is a human activity that achieves a clear objective against a time scale. Wright (1997) taking the view of clients, suggested that time and budget are the only two important parameters of a project which determines if a project is successful or failed. Nevertheless, many other writers such as Turner, Morris and Hough, wateridge, dewit, McCoy, Pinto and Slevin, saarinen and Ballantine all cited in Atkinson (1999), agreed that cost, time, and quality are all success as well as failure criteria of a project, and are not to be usedexclusively.
FACTORS OF PROJECT FAILURE
Cookie-Davies (2002) stated the difference between the success criteria and the failure factors. Hestated that failure factors are those which contributed towards the failure of a project while success criteria are the measures by which the failure of a project will be judged. The factors constituting the failure criteria are commonly referred to as the key performance indicators (KPIs).
Timeand Cost Overrun
The time factor of project failure cannot be discussed without mentioning cost. This is because the time spent on construction projects has a cost attached to it. Al-Khali and Al-Ghafly, (1999); Aibinu and Jagboro, (2002) confirmed that time overrun in construction projects do not only result in cost overrun and poor quality but also result in greater disputes, abandonment and protracted litigation by the project parties. Therefore, focus on reducing the Time overrun helps to reduce resource spent on heavy litigation processes in the construction industry (Phua and Rowlinson, 2003). Most times, the time overrun of a project does not allow resultant system and benefits of the project to be taking into consideration (Atkinson, 1999). Once a project exceeds the contract time, it does not matter anymore if the project was finally abandoned or completed at the same cost and quality specified on the original contract document, the project has failed. Furthermore, Assaf and Al-Hejji, (2006) noted that time overrun means loss of owner’s revenue due to unavailability of the commercial facilities on time, and contractors may also suffers from higher over heads, material and labour costs.
Poor quality/Technical Performance
The word “Performance” has a different meaning which depends on the context it is being used and it can also be referred to as quality. Performance can be generally defined as effectiveness (doing the right thing), and efficiency (doing it right) (Idrus and Sodangi, 2010). Based on this definition of performance, at the project level, it simply means that a completed project meets fulfilled the stakeholder requirements in the business case.
CAUSES OF PROJECT FAILURE
A lot of research studies have investigated the reasons for project failures, and why projects continue to be described as failing despite improved management. Odeh and Baltaineh, 2002; Arain andLaw, 2003; Abdul-Rahman et al., 2006; Sambasivan and Soon, 2007; all cited in Toor and Ogunlana, 2008, pointed out the major causes of project failures as Inadequate procurement method; poor funding and availability of resources; descripancies between design and construction; lack of project management practices; and communication lapses
The contract/procurement method
A result obtained from two construction projects which were done by the same contractor but using different procurement methods showed that rework, on the design part which occurs when the activities and materials order are different from those specified on the original contract document, makes it difficult for the project to finish on the expected time (Idrus, Sodangi, and Husin, 2011). This is as a result of non-collaboration and integration between the design team, contractor, and tier suppliers. The rework on the design portion has a huge impact on project failure leading to the time overrun. The traditional method of procurement has inadequate flexibility required to facilitate late changes to the project design once the design phase of the construction project has been concluded.
Nigerian most widely used procurement method is the traditional method of procurement (design-bid-construct) which has been confirmed to be less effective to successfully delivery of a construction project (Dim and Ezeabasili, 2015). And, the world bank country procurement assessment report (2000) cited in Anigbogu and Shwarka, (2011) reported that about 50% of projects in Nigeria are dead even before they commence because they were designed to fail.
The way the construction projects are contracted, in addition to the way the contracts are delivered, contributes to the causes of projects failure. Particularly, among the methods of project contracting is lump-sum or a fixed-price contracting method, in which the contractor agrees to deliver a construction project at a fixed price. The fixed-price contract can be low-bid or not however, once the contract cost has been agreed upon the contract award, it cannot be changed. And, contractors are expected to honor and deliver the contract agreement, failure to do so can result in a breach of contract which can result in the contractor being prosecuted.
Awarding a contract to an unqualified personnel also contributes to project failures. When a contractor places more emphasis on money and the mobilization fee after a construction project has been initiated instead of getting the right workforce and skilled professionals that will execute the project. Instead the workforce chosen will often not be base on competence and required skills rather it will be based on availability. Moreover, poor strategy and planning by contractors who have overloaded with work also contributed to one of the causes of project failure.
Poor funding/Budget Planning
A lot of public projects in the Nigerian construction industry failed as a result inadequate funding, and the difference between the national annual budget and the budget actual released. Most of the Nigerian public projects are signed even before the actual release of the national budget. The difference in budget of the contracted project and the actual budget release can get the contracted company stuck as a result of inflation of prices, scarcity of construction material at the time of the budget release and mobilization to site. Also un-planned scope of work which can be as a result of the contractor working on another contract when he is called back to mobilization to start work. Moreover, poor budget planning is a regular mistake made by some contractors by not undertaking feasibility assessments before starting the design. The construction project should be planned according to the available resources and not according to the unrealistic expectations a client has in mind.
Discrepancies Between the Design and Construction
Limited collaboration between the contractors, engineers, and the architect results in discrepancies between the project designs and construction on site, and further leads to rework. Changes on a project designs, and changing to the scope of work in the middle of construction processes on site can be dangerous, and can lead to time overrun, increase in cost, and most of all can lead to abandonment. Moreover, many cases have been seen where the designs from the architects are not buildable on site, whileIn some cases, most contractors are unable to adequately specify the scope of work for the construction processes on site. Therefore any default on the design by the architect can be an opportunity for the contractor to make more money which might cause the project duration to exceed the time specified on the contract document.
RESEARCH METHODOLOGY
This research starts with a general reasoning or theory which says that the major cases of project failure in the Nigerian construction industry are defined based on time overrun and cost overrun. The findings from the data analysis will help on the decision to accept the theory or not. The research data was collected from the progress report for the month ending of October, 2015 published by the Nigeria of Federal Ministry of works on thirty-nine on-going highway construction projects at the South-South geopolitical zone. The table 1 below shows the information on the data collected which comprises of the project title, contract Number, project description, the contractor that was awarded the projects, the date of project commencement, date of completion and the extended date if any. The scheduled time for each project was specified as follows: project commencement date labeled as “a”,project completion date labeled as “b”, and the extended date labeled as “c”.
Table 1: The analyzed data on the highway project at the South-South zone in Nigeria.
DATA ANALYSIS
The data analysis was done with the use of Microsoft excel. The analysis started by obtaining the number of days between the date of commencement of each project and the date of completion to show the duration of each highway project. And, the number of days between the project completion date and the extension date showed the time-overrun. The project duration and the extended days were obtained with the use of NETWORKDAYS function in Microsoft Excel which calculates the number of working days between two dates excluding weekends and any dates identified as holidays.
The standard deviation between the specified project duration for each highway projects and the extended days was calculated to obtain the extent to which each highway project contract failed on its time of delivery. This was denoted as the degree of failure. The table 1 above showed the projects ranking which was done based on the degree of failure of all the highway projects. The highway projects that were ranked from one to sixteen have low degree of failure and are represented with green color, while the rest are those with high degree of failure and are represented with red color.
FINDINGS
The findings made showed that the successfully completed highway projects have no extended days or time overrun, and the successful on-going highway projects are still on schedule and have no extended days unlike the on-going highway projects that have already failed as a result of the extended dates. Other projects have been abandoned because they have exceeded the delivery date as specified on the contract document, and have no extended date of completion. Thus, no work is going on.
Figure 1: Abundance of failed highway projects at south-south zone, Nigeria.Figure 2: On-going failed highway projects
Figure 2 above showed that 14% of highway projects are still on-going projects because they have not exceeded the original date of completion as specified on the contract document. However, they are heading towards failure because they have been given an extended date of completion which can be as a result of some critical activities running behind schedule, causing delay on the critical path network of the projects. Moreover, the other 86% completely failed because they have exceeded their completion date specified on the contract document.
Figure 3: Successful on-going highway projects
The figure 3 above showed that 63% of the successful highway projects are still on-going because they have not exceed their completion dates, and they are not yet completed. However, those on-going highway projects might end up as failed projects as a result of poor funding, discrepancy between the design and the construction on site, and conflict between the construction parties or stakeholders.
“Say what you will do, and do what you said” or “Say as you will do it, and do it as you said”
CONCLUSION AND RECOMMENDATION
The idea of knowing what a failed project is, the factors and the causes is very important in project management. Success in project management can neither be achieved nor measured without the knowledge of project failure, its factors, and causes in the Nigerian construction industries. This work has shown that project failure is as a result of exceeded time of delivery, cost overrun, and poor quality. However, the analysis was only done based on exceeded time of project delivery because of the nature of the data collected.
This work suggested a few approaches to help reduce the number of failed projects in the Nigerian construction industry if properly implemented. Firstly, Having good collaboration between the project stakeholders involved in a construction project at the early stage of project conception is most important in order to accomplish the project objectives, and deliver the project on time, within budget, and quality specified on the original contract document (Othman, 2006).
Secondly, Adopting the ISO 9000 technique which is used for quality management will also help in achieving a successful project delivery. This technique states “ say what you will do, and do what you said” or “say as you will do it, and do it as you said”. This technique is not an indication of high quality but it promotes control and consistency which leads to specialization, and improved productivity and quality. Also, adopting the principles of lean construction will help to reduce waste within the construction and stream-line activities in order to improve the on-time delivery of projects.
Thirdly, Learning from the precedent failed projects, how those projects failed, and the reason for their failures. This will help the project manager to plan and mitigate the risks of project failures in the future. And, finally, more seminars and workshops will help to educate and enlighten clients (the federal government representatives), users, contractors, engineers, and architects on what is project failure, the factors that contributes to abundant failed projects, and their causes.
REFERENCE
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Al-Khali, M.I and Al-Ghafly, M.A. (1999). Important Causes of Delays in Public Utility Projects in Saudi Arabia. Construction management and Economics, 17, 647-655
Aibinu, A.A and Jagboro, G.O. (2002). The Effects of Construction Delays on Project Delivery in Nigeria Construction Industry. International journal of Project management, 20(8), 593- 599.
Anigbogu, N. and Shwarka, M. (2011). Evaluation of Impact of the Public Procurement Reform Program on Combating Corruption Practices in Public Building Project Delivery in Nigeria. EnvirontechJournal, 1(2). 43-51.
Assaf, S. and Al-Hajji, S. (2006). Causes of Delays in large Construction Projects. International Journal of Project Management, 24, 349-357.
Atkinson , R. (1999). Project management: Cost, time, and quality, two best guesses and a Phenomenon, it’s time to accept other success criteria. International Journal of project Management, 17(6), 337-342.
Belout, A and Gauvrean, C. (2004). Factors Influencing the Project Success: The impact of human resource management. International Journal of project Management, 22, Pp. 1-11.
Butcher, N. and Demmers, L. (2003). Cost Estiumating Simplified. Retrieved from www.librisdesign.org.
Cookie-Davies, T. (2002). The Real Success Factors on Projects. International Journal of Project management, 20(3), 185-190.
Dim, N.U. and Ezeabasili, A.C.C (2015). Strategic Supply Chain Framework as an Effective Approach to Procurement of Public Construction Projects in Nigeria. International Journal of Management and Susutainability, 4(7), 163-172.
Hanachor, M. E. (2012). Community Development Projects Abandonment in Nigeria: Causes and Effects. Journal of Education and Practice, 3(6), 33-36.
Idrus, A., Sodangi, M., and Husin, M., H. (2011). Prioritizing project performance criteria within client perspective. Research Journal of Applied Science, Engineering and Technology, 3(10), 1142-1151.
Idrus, A. and Sodangi, M. (2010). Framework for evaluating quality performance of contractors in Nigeria. International Journal of Civil Environment and Engineering. 10(1), 34-39.
National Bureau of Statistics (January, 2015). Nigerian Construction Sector Summary Report: 2010-2012.
Kotangora, O. O. (1993). Project abandonment, Nigerian Tribune.
Osemenan, I. (1987). Project Abandonment. New Watch Magazine, Vol. 1, pp. 15.
Phua, F.T.T and Rowlinson, S. (2003). Cultural Differences as an Explanatory Variable for Adversarial Attitude in the Construction Industry: The case of HongKong. Construction Management and Economics, 21, 777-785.
Reiss, B. (1993). Project Management Demystified. London: E and FN Spon Publishers.
Toor, S. R. and Ogunlana, S. O. (2008).Problems causing Delay in Major Construction Projects in Thailand. Construction management and Economics, 26, 395-408.
Toor, S. R. and Ogunlana, S. O. (2008). Critical COMs of Success in Large-Scale Construction Projects: Evidence from Thailand constructuction industry. International Journal of Project management, 26(4), 420-430.
Toor, S. R. and Ogunlana, S. O. (2009).Beyound the “Iron Triangle”: Stakeholder perception of key performance indicators (KPIs) for large-scale public sector development projects. International Journal of Project management, doi: 10.1016/j.ijproman.2009.05.005.
Toor, R. and Ogunlana, S. (2009). Construction Innovation: Information, process, management. 9(2), PP. 149-167.
Turner, J. R. (1993). The Handbook of project-Based Management: Improving the process for achieving strategic objective. London, McGraw-Hill.
Wright, J., N. (1997). Time and Budget: The twin imperatives of a project Sponsor. International Journal of Project Management, 15(3), 181-186.
Prefabricated homes have been available for years and date back at least a century. The Sears Roebuck index made and offered prefab homes to the public as early as 1908, and Prefab was later explored by famous twentieth-century architects, such as, Walter Gropius, Le Corbusier, Marcel Breuer, Frank Lloyd Wright, who saw the method as a likely solution to the dilemma of housing in modern society. Interest in Prefab grew in the first half of the twentieth-century, with the outburst of manufacturing expertise and the creation of the assembly line.
Historically the mention of prefabricated houses invokes memories of housing built to cover in the temporary a deficiency of housing in the UK following the World Wars.
The Government promised ‘homes fit for heroes’, however, negative public attitudes surfaced towards prefabricated housing because of substandard building materials used and poor workmanship.
A staggering 1 million of these homes were built during the 20th century and more than half a century on, many are still standing despite no foundations. A few are listed while others have been demolished.
Today people remember the shabby mobile classrooms as in, bitter cold in winter and like an oven in summer. Therefore, memories have rendered the concept of prefabricated houses an unattractive idea. Talk about the term prefabricated housing to an architect, and their eyes will beam with visions of fascinating contemporary homes. However, talk to the ordinary person on the street and people immediately think that we are going down the same path, a pretty hard image to shake off. The very factors that are presented as positive advantages of prefabricated homes became liabilities in the eyes of homeowners who wanted a durable appreciating asset.
An example can be found by looking at the prefabricated houses on Catford estate built by German and Italian prisoners of war in 1946.
Catford prefab estate. Robin Bell: 2008
‘They were not built to last and need regular maintenance. They are just large sheds really and taking up a lot of space. They should really be demolished.’ (Drake 2008)
Over the ten years, Lewisham Council has tried to develop the site many times and a review found none of the dwellings met Decent Homes Standard.
So why do more and more developers choose prefabricated construction?
First and foremost – Speed. “It may take a bit longer in terms of design, preparation and planning but site based activities are taking up to 30% less time and allowing homes to reach the market sooner. Other reasons cited include, in order of preference:
Design Quality
Cost
Previous Experience
Funding
Source: Design and Modern Methods of Construction. The Housing Corporation and CABE 2004″
Bridge House (Example)
Croydon Vision 2020 is a regeneration programme by the London Borough of Croydon for the centre of Croydon in South London. The Old Town Masterplan focused on the area between the High Street and Roman Way, one of the oldest areas of Croydon.
Formerly the site of a telephone exchange, Bridge House is a £20 million development that has provided 27 private and 48 affordable apartments, above ground and mezzanine retail spaces.
The block wraps around an existing multi-storey car park and offers the opportunity for cafs and shops to open onto the new square. A mix of green and brown roofs, to support biodiversity, form part of a series of environmental measures and the scheme is to be of modular construction.
The Croydon chose the modular approach principally because of the speed of construction offered. The project began on site in the spring of 2006 and the 75 flats were stated to have been erected in approximately 26 days, vastly outperforming the time taken by traditional construction.
The project management landscape is changing with an increased emphasis on productivity, reporting, and information technology. A number of studies have been completed that look into the success and failure rates of projects.
Below are 15 shocking statistics that reveal how project management has changed and is performing across various industries over the last 5 years.
There is projected to be 15.7 million new project management roles to be added globally across seven project-intensive industries by 2020 reaching an economic impact of over $18 trillion, across seven project-intensive industries including Manufacturing, Finance & Insurance, Information Services, Utilities, Business Services, Oil & Gas and Construction (Project Management Institute)
75% of IT executives believe their projects are “doomed from the start. (Geneca)
The healthcare industry is projected to increase project management roles by 30%, a higher growth rate than any current project intensive industry between 2010 and 2020. (Project Management Institute)
A third of all projects were successfully completed on time and on budget over the past year. (Standish Group)
80% of “high-performing” projects are led by a certified project manager. (PricewaterhouseCoopers, Insights and Trends: Current Programme and Project Management Practices 2012)
One in six IT projects have an average cost overrun of 200%. (Harvard Business Review 2004)
44% of project managers use no software, even though PWC found that the use of commercially available PM software increases performance and satisfaction. (Pricewaterhouse Coopers)
More than 90% of organizations perform some type of project postmortem or closeout retrospective. (The Standish Group: CHAOS Research Report 2013)
On average, it takes 7 years in the profession to go from entry-level to managing large, complex projects. (ESI International: Annual Salary Survey 2013)
The average large IT project runs 45% over budget, 7% over time, and delivers 56% less value than expected. (Project Management Institute: Pulse of the Profession 2015)
Only 64% of projects meet their goals. (Project Management Institute: Pulse of the Profession 2015)
60% of companies don’t measure ROI on projects. (KPMG New Zealand: Project Management Survey 2010)
The United States economy loses $50-$150 billion per year due to failed IT projects. (Gallup Business Review)
In just a 12 month period 49% of organizations had suffered a recent project failure. In the same period only 2% of organizations reported that all of their projects achieved the desired benefits. 86% of organizations reported a shortfall of at least 25% of targeted benefits across their portfolio of projects and many organizations failed to measure benefits so they are unaware of their true status in terms of benefits realization. (KPMG – Global IT Project Management Survey 2005)
According to an IBM study, only 40% of projects meet schedule, budget and quality goals. (Harvard Business Review 2004)
If you have any other project management statistics please share them with us.
Only one in three software projects will turn out to be successful. According to Standish Group’s 2015 Chaos report, 66% of technology projects (based on the analysis of 50,000 projects worldwide) end in partial or total failure. More surprisingly, these statistics have been the same for the last five years, the report shows. Furthermore, 17% of large IT projects go so badly that they can threaten the very existence of a company.
On Average, Large It Projects Run 45% over Budget and 7% over Time, While Delivering 56% Less Value than Predicted
Despite such failures, huge sums continue to be invested in IT projects and written off. For example the cost of project failure across the European Union was ┚¬142 billion in 2004.
It Projects Always Come with an Element of Risk, but There Are Huge Gains to Be Had If We Can Just Avoid Some of the Factors That Contribute Frequently to Project Failure
What makes a IT project successful, though?
According to the Standish Group, a successful project is on time, on budget and has satisfactory results (value, user and sponsor satisfaction, and meets target requirements). Other measures of success are widely known and accepted as true such as getting requirements right, providing effective leadership, and having full support and engagement from sponsors and users. Without these, it’s unlikely that any project would succeed.
But there’s more to success than what is widely known and, apparently, rarely followed. To reduce the risk of failure for your tech project, here are six key actions to take on the road to success.
1. Executive Vision and Involvement
Without a Executive Senior Sponsor Its Easy for Projects to Fail with the Organizational Resistance That Accompanies Large Change
Executive involvement is a primary variable in predicting the success of an IT project. Having a leadership team aligned across an organization articulating the purpose, value, and rationale for a project goes a long way towards getting stakeholders and end-users pulling the proverbial rope in the same direction.
2. Have a clear view of scope and timetable
Oftentimes, a tech project flops because its developers fail to plan and rush forward with an idea. However, some project managers plan so meticulously that they end up falling behind and lose momentum. The best approach is somewhere in between.
Interviewing team members, documenting requirements, prioritizing what is “mission critical” versus “nice to have,” getting agreement across stakeholders can feel like a never-ending cycle. As a result, requirement gathering has fallen out of fashion with many organizations in the past few years.
However, the ideal starting point for a successful technology project is to have a set of fundamental requirements with sufficient detail to develop against.
Requirement Gathering Is Labour-intensive and Challenging but Remains the Roadmap and Measuring Stick for Software Projects
This approach allows you to maintain sight of the business benefits as well as engaging stakeholders and responding to their feedback. In combination with a clear business case, a well-defined set of requirements also simplifies design and testing, two areas where projects tend to go sideways.
Ensure that requirements for the project are clearly defined and agreed upon among stakeholders and that you have a way to track, measure, and manage changes in requirements as appropriate during the project.
3. Define how you will deliver
When it comes to delivering a major project, one size does not always fit all. All products are customizable to some degree, so what might have worked in one company may not work in another company.
That being said, why reinvent the wheel if it’s already proven successful? Sometimes it can be more beneficial to use an existing off the shelf solution. Whichever direction you take, choose the delivery mode that works best for your company.
4. Risk Identification and Management
Every project has risk and there are many factors out of your control. People leave the organization, for better or worse, leadership changes, budgets get cut, however, many risks to projects can be mitigated or even eliminated with some forethought and on-going management. For example, do you have the resources you need to deliver the project (resource risk). Are project goals clearly understood and requirements clearly defined (scope risk). Do you have a realistic project plan and timeline (time risk).
Mitigating Risk Is a Combination of Science and Art, and Always a Balancing Process
5. Test your product again and again
A technology project is something that should overall support your business. It should not be something that dictates and forces you to change your operations. If this is happening, you should shift gears and focus on tweaking the technology, rather than lowering expectations and adopting less ideal requirements.
Adequate testing is a must for any tech project. While some features may be fine with automated testing, the best approach is to have a dedicated testing team. Testing activities should mirror those with the development team throughout the project’s lifetime. With thorough testing, a project should deliver with less design flaws or missing requirements.
6. Prioritize simplicity and performance
Developers often leave the external look and feel of a product to the wayside thinking these things are not necessities for the consumer to enjoy. However, user experience is absolutely critical to the success of the project.
Developers must consider things like storage, network requirements, processing speeds and overall performance in order to satisfy the customer. If users are going to have to wait for an extended period to allow information to load, there must be a good reason for the wait, otherwise they won’t return for future products.
Simplification and Improved Efficiency Is What Adds Value
Ultimately, using the product should be a smooth and intuitive experience. Additionally, tools and alternative routes must be placed logically without being intrusive. The process can be complicated, but the finished product should emit simplicity. After all, that’s what makes companies like Apple so successful. Simplification and improved efficiency is what adds value.
There’s a reason why Mega-projects are simply called “Mega-projects.” Extremely large in scale with significant impacts on communities, environment and budgets, mega-projects attract a lot of public attention and often cost more than 1 billion. Because of its grandiose, a successful mega-project requires a lot of planning, responsibility and work. Likewise, the magnificence of such projects also creates a large margin for failure.
Mega-projects Come with Big Expectations. But a Project’s Success Is Often in the Eye of the Beholder
Despite their socio-economic significance mega-projects – delivering airports, railways, power plants, Olympic parks and other long-lived assets – have a reputation for failure. It is thought that over optimism, over complexity, poor execution, and weakness in organizational design and capabilities are the most common root causes of megaproject failure.
Blinded by enthusiasm for the project, individuals and organizations involved with mega-projects often miscalculate the complexity of the project. When a mega-project is pitched, its common for costs and timelines to be underestimated while the benefits of the project are overestimated. According Danish economist Bent Flyvbjerg, its not unusual for project managers who are competing for funding to massage the data until it is deemed affordable. After all, revealing the real costs up front would make a project unappealing, he said. As a result, these projects are destined for failure.
For example, building new railways spanning multiple countries could prove to be disastrous if plans are overly complex and over-optimized. Such a large-scale project involves national and local governments, various environmental and health standards, a wide range of skills and wages, private contractors, suppliers and consumers; therefore, one issue could put an end to the project. Such was the case when two countries spent nearly a decade working out diplomatic considerations while building a hydroelectric dam.
Complications and complexities of mega-projects must be considered thoroughly before launch. One way to review the ins and outs of a project is through reference-class forecasting. This process forces decision makers to look at past cases that might reflect similar outcomes to their proposed mega-project.
Poor execution is also a cause for failure in mega-projects. Due to the overoptimism and overcomplexity of a project, it’s easy for project managers and decision makers to cut corners trying to maintain cost assumptions and protect profit margins. Project execution is then overwhelmed by problems such as incomplete design, unclear scope, and mathematical errors in risk assessment and scheduling.
Researchers at McKinsey studied 48 struggling mega-projects and found that in 73 percent of the cases, poor execution was responsible for cost and time overruns. The other 27 percent ran into issues with politics such as new governments and laws.
Low productivity is another aspect of poor execution. Even though trends show that manufacturing has nearly doubled its productivity in the last 20 years, construction productivity remains flat and in some instances has even declined. However, wages continue to increase with inflation, leading to higher costs for the same results.
According to McKinsey studies, efficiency in delivering infrastructure can reduce total costs by 15 percent. Efficiency gains in areas like approval, engineering, procurement and construction can lead to as much as 25 percent of savings on new projects without compromising quality outcomes. This proves that planning before execution is worth its weight in gold.
We Tend to Exaggerate the Importance of Contracting Approach to Project Success or Failure
Finally, weaknesses in organizational design and capabilities results in failed megaprojects. For example, organizational setups can have multiple layers and in some cases the project director falls four or five levels below the top leadership. This can lead to problems as the top tier of the organizational chain (for example, subcontractors, contractors and construction managers) tend to focus on more work and more money while the lower levels of the chain (for example, owner’s representative and project sponsors) are focused on delivery schedules and budgets.
Likewise, a lack of capabilities proves to be an issue. Because of the large-scaled, complex nature of mega-projects, there is a steep learning curve involved and the skills needed are scarce. All the problems of megaprojects are compounded by the speed at which projects are started. When starting from scratch, mega-projects may create organizations of thousands of people within 12 months. This scale of work is comparable to the significant operational and managerial challenge a new start-up might face.
In the end, it seems that if organizations take the time to thoroughly prepare and plan for their mega-projects, problems like overcomplexity and overoptimism, poor execution, and weaknesses in organizational design and capabilities could be avoided. After all, mega=projects are too large and too expensive to rush into.
Due to the large scale and outlook attached to them, mega-projects have a large opportunity for failure. Typically, the failure begins at the outset of the project, whether that be due to poor justification for the project, misalignment among stakeholders, insufficient planning, or inability to find and use appropriate capabilities.
Underestimated costs and overestimated benefits often offset the baseline for assessing overall project performance. This is why it is important for organizations to first establish social and economic priorities before even considering what projects will answer their needs. Once social and economic priorities are established, only then can a project be considered. Selecting projects must be fact-based and transparent in order to ensure accountability with stakeholders and the public.
Successful Megaprojects Must Have Robust Risk-analysis or Risk-management Protocols
It’s also important to maintain adequate controls. Successful megaprojects must have robust risk-analysis or risk-management protocols and provide timely reports on progress relative to budgets and deadlines. Typically, progress is measured on the basis of cash flow, which is less than ideal as data could be out of date and payments to contractors do not correlate construction progress. Instead, project managers should deliver real-time data to measure activity in the field. For example, cubic meters of concrete poured relative to work plans and budgets.
Overall, improving project performance requires better planning and preparation in three areas: doing engineering and risk analysis before construction, streamlining permitting and land acquisition, and building a project team with the appropriate mix of abilities.
Project developers and sponsors should put more focus into pre-planning such as engineering and risk analysis before the construction phase. Unfortunately, most organizations and sponsors are reluctant to spend a significant amount of money on early-stage planning because they often lack the necessary funds, they are eager to break ground and they worry the design will be modified after construction is underway, making up-front designs pointless.
However, it’s proven that if developers spend three to five percent of capital cost on early-stage engineering and design, results are far better in terms of delivering the project on-time and on-budget. This is because through the design process, challenges will be addressed and resolved before they occur during the construction phase, saving both time and money.
It’s not unusual for permits and approvals to take longer than the building of a megaproject. However, if developers look to streamline permitting and land acquisition, that would significantly improve project performance. Best practices in issuing permits involve prioritizing projects, defining clear roles and responsibilities and establishing deadlines.
In England and Wales, developers applied these approaches to cut the time needed to approve power-industry infrastructure from 12 months to only nine months. On average, timelines for approval spanned four years throughout the rest of Europe. Likewise, the state of Virginia’s plan to widen Interstate 495 in 2012 was able to cut costs and save hundreds of homes thanks to land acquisition planning by a private design company.
Investors and Owners Must Take an Active Role in Creating the Project Team
When it’s all said and done, projects cannot deliver the best possible return on investment without a well-resourced and qualified network of project managers, advisers and controllers. Investors and owners must take an active role in creating the project team.
It’s not enough to have a vague overview of what the project might look like in the end. Instead, it’s necessary to review risks and costs and draft a detailed, practical approach to tackle various issues. An experienced project manager cannot do it all alone. The project team must include individuals with the appropriate skills, such as legal and technical expertise, contract management, project reporting, stakeholder management, and government and community relations among others.
Failure to Properly Plan for These Projects Could Have a Negative Impact on Society
While mega-projects are important in filling economic and social needs, failure to properly plan for these projects could have a negative impact on society. Take Centro Financiero Confinanzas (Venezuela), the eighth tallest building in Latin America at 45 stories, located in the financial district of Venezuela’s capital, Caracas for example.
To those unaware of its history, the Centro Financiero Confinanzas is actually home to over 700 families, a “vertical slum” that is a truly fascinating example of reappropriation of space in an urban environment. An ironic symbol of financial failure that was intended to represent the unstoppable march of Venezuela’s booming economy.
It’s much more than an unbuilt building, bridge or tunnel, failed mega-projects are a blow to the economic growth and social improvements of communities around the world.
Small projects often embody more innovation than larger more costly or high profile ones.
Innovation is a wide concept that includes improvements in processes, products and services. It involves incorporating new ideas which generate changes that help solve the needs of a company and so increase its competitiveness. That’s hardly big news. But what may be surprising to some is that innovation has itself, well, innovated and it isn’t what it used to be.
New materials and energy, design approaches, as well as advances in digital technology and big data, are creating a wave of innovation within the construction industry. These new ideas are increasingly often tested and proven on smaller and agiler projects. Investing time and money is well spent on these ideas and technical improvements can then be used on large-scale developments.
Here are three exciting small projects:
Vanke Pavilion – Milan Expo 2015 / Daniel LibeskindVanke Pavilion – Milan Expo 2015 / Daniel LibeskindVANKE PAVILION Milan, Italy
1. Vanke Pavilion – Milan Expo 2015
The corporate pavilion for Vanke China explores key issues related to the theme of the Expo Milano 2015, “Feeding the Planet, Energy for Life”.
Situated on the southeast edge of the Lake Arena, the 800-square meter pavilion appears to rise from the east, forming a dynamic, vertical landscape.
The original tiling pattern would have resulted in thousands of ceramic tiles of different sizes and shapes. The resulting complexity and lack of repetition could have led to high costs and a longer erection time.
Working with Architects Studio Libeskind, Format Engineers (Engineering Designers with backgrounds in structural engineering, coding, mathematics, and architecture) changed the pattern from thousands of different tiles to less than a dozen and simplified the backing structure generating huge cost savings. Format Engineers also proposed ‘slicing’ of the building and then fabrication of the primary structure of steel ribs using low tech flat steel plate elements. These were then used in a series of long span portalised frames reminiscent of the ribs and spars in traditional boat building resulting in a column-free area for the display of Chinese Cultural Heritage.
The frame was built to a budget and without difficulty ahead of the neighboring Expo buildings.
Building Size
12 meters high
740 mq gross floor area (exhibition, service & VIP levels)
130 mq roof terrace
The Rain Pavilion is an urban forest sculpture forming the front entrance to Oxford Brookes University’s Architecture Faculty.
“Rain Pavilion artwork is a sensory experience for the community.”
The complex form required extensive wind modeling and comprehensive structural analysis within a generative 3d model. This was allied with Format Engineers in-house code for the self-organization of voids and their subsequent redistribution.
.At each stage of the design process different modeling and analysis techniques were used to exploit the form and to optimise the structure. The considerable challenges posed by the slenderness of the structure and its dynamic behavior under wind were resolved by combining Computational Fluid Dynamics (CFD) (a branch of fluid mechanics that uses numerical analysis and algorithms to solve and analyze problems that involve fluid flows) with a generative design environment. Conceptual design introduced the ideas of tubular stems and folded steel canopies, both of which were perforated by circular holes arranged to allow the interplay of light and water through the structure. The voids were generated using a self-organizing process.
Grasshopper (a graphical algorithm computer 3-D modeling tool) was used to produce a mesh that could include the voids in both the stems and the petals.
The Rain Pavilion is designed to celebrate the sound of rain, and the noise of water interacting with different sections of the installation is part of the experience of passing through it. The structure has a design life of five years and can be transported to other locations.
Architect: Oxford Brookes University, Oxford, UK
Engineer: Format Engineers
KREOD PavilionKREOD PavilionKREOD Pavilion
3. KREOD Pavilion
The KREOD pavilions were first erected on the London Greenwich Olympic site in 2012. Easily rearranged, three pod-like pavilions were formed with a wooden structural framework comprised of an open hexagonal composition.
Standing three meters tall, each double-curved wooden shell enclosed a footprint of 20 square meters, totaling 60 square meters. A waterproof tensile membrane sealed the interior from the elements fully portable with demountable joints, the individual components can be stacked for efficient transportation.
Chun Qing Li the architect required a temporary exhibition or function space that could be erected and demounted mostly by hand and by untrained staff. The quality of finish needed to echo that of handmade furniture and had to be low cost and quick to erect. The continuously changing double curved form of the enclosure meant that in theory, every nodal connection was different. A conventional bolted solution would have cost hundreds of pounds per fixing. Format Engineers suggestion of a ‘reciprocal’ jointed timber grid shell required standard bolts which equated to a fraction of the normal cost. It also allowed the structure to be built from simple and light flat timber elements.
The structure used Kebony timber throughout, a sustainable alternative to tropical hardwood. As this material had not previously been used in a structural context Format Engineers undertook load testing of the material and the connections at the University of Cambridge. The timber was fabricated using CNC routing (a computer controlled cutting machine) allowing a highly accurate fit between members and basic erection on site.
Since the dawn of time, mankind has used myths to make sense of the uncertainty that surrounds us. In the early 1990s a lot of people believed that project management was the best kept secret in business. However, because project management was not seen as a prevailing profession at that time, it suffered from a lack of awareness which was in a sense, a double edged sword. Those who were knowledgeable in the practice of project management became extreamly valuable to organisations and pioneers for the profession.
These early adopters were able to convince organisations that project management practitioners were needed. Myths around project management began to form in the business community and as the role of the project manager was unclear, questions were raised as to what project management was and what it could offer organisations.
The definition of the word myth is a “widely held, but false belief or idea.” Here, we’re going to examine 10 of the most pervasive PM myths that have emerged.
Myth #1 – Contingency pool is redundant
This is one of the most ‘mythical’ myths that has plagued the industry for a long time. Coupled with the tendency to presume that ‘real work’ is tantamount to implementation or building something concrete and you have the perfect recipe for project disaster. The thought pattern behind this approach typically originates from budget constraints and/or having unrealistic expectations. As we all know, or should know, the unexpected happens quite regularly. An effective contingency plan is important as it aims to protect that which has value (e.g., data), prevent or minimise disruption (e.g., product lifecycle), and provide post-event feedback for analysis (e.g., how did we fare? did we allocate funds correctly?).
Myth #2 – Project Management software is too expensive
If your idea of project management software involves purchasing servers, and purchasing a software application from a major vendor for a small practice with 10 practitioners then, yes, it is too expensive. If, however, you have gone cloud and elected to use a powerful web-based project management solution (such as Smartsheet), then you are likely to save thousands of pounds while reaping the benefits of a pay-as-you-go price structure. The present, and future, lie in cloud solutions that provide equal, or superior, functionality at a fraction of the cost.
Myth #3 – Project Management methodologies will slow us down
Project managers have a reputation of using process-intensive methodologies that favour ideology over pragmatism. In some instances this may, indeed, be the case when there is a mismatch between a specific project management approach and the organisation’s acutall needs (e.g., a process-driven method, such as PRINCE2, may not be appropriate for a slightly chaotic environment that favours an adaptive approach, such as Scrum). So, in sum, put down the paint roller (“Project Management isn’t for us!”) and take out your fine-bristled brush (“The Critical-Chain method may not be our cup of tea, but Agile on the other hand”¦”).
Myth #4 – Facts and figures are more important than feelings and perceptions
While facts are very important, projects are often derailed and sabotaged because of false perceptions. The PM must pay attention to both fact and fiction to navigate through turbulent organisational change.
Myth #5 – Project managers need to be detail oriented and not strategic in nature
While it is of the utmost importance for the project manager to understand how to read the details of the project, they must also understand how the project supports organisational objectives. Having a strategic perspective adds great value to the skill-set of the project manager.
Myth #6 Rely on the experts in everything that you do
It is true, we do need to rely on the experts but our trust can not be a blind faith. The job of the project managers in this area is twofold. First we must extract information and second we must verify that the information is accurate. A good example of this is asking a planner to provide an estimate on the effort required to perform a task. In some instances team members forget to include tasks which ultimately results in a faulty estimate.
Myth #7 All the battles have to be fought and won so that we can succeed
Project managers sometimes make the assumption that they need to stand firm to get the job done, however, coming to compromise on a particular issue is often a better course of action in order to win the war.
Myth #8 Project Managers can wear multiple hats
Wearing different hats can be extremely confusing. This is especially true if the project manager is asked to be a business analyst or technical expert on top of serving in their PM role. They end up doing both roles with mediocrity. When we “wear two hats” we essentially tell ourselves that both hats fit on one head at the same time. However, what happens if the demands of two roles conflict and what assurances do we have that we’re managing the inherent conflict of multiple roles and the risks the roles introduce? Sadly, multiple roles become more common as we move up the management hierarchy in an organisation, and that’s exactly where potential conflicts of interest can do the most harm.
Myth #9 Once the risk register is created, it’s full speed ahead
Risk management provides a forward-looking radar. We can use it to scan the uncertain future to reveal things that could affect us, giving us sufficient time to prepare in advance. We can develop contingency plans even for so-called uncontrollable risks, and be ready to deal with likely threats or significant opportunities. Too often, it’s not until a catastrophic event occurs and significantly impacts project progress that ongoing risk reviews are conducted.
Myth #10 Project managers can not be effective in their role unless they have specific technical expertise in the given field that the project falls within
You don’t need to be an engineer to manage a construction project or a IT technician to manage a software development project. All you need is a fundamental understanding with strong PM skills to manage the team. Experience in the field helps but does not guarantee success.
Project management is challenging enough without the myths. The profession has come a long way since the 1990s and some of these myths are fading. However, we still see remnants of them in one form or another. Great projects cut through false assumptions and confusion, allowing their teams to make smart decisions based on reality.
These are just 10 project management myths, what are yours?
Modular homes sometimes referred to as “factory-built construction“, encompass a category of housing built in sections typically at a factory location. These houses must conform to local and regional building codes for the country the buyer plans to situate the dwelling.
Just like site-built housing, construction teams build modular homes tolast and increase in value over time.As the factory finishes building sections of the house, each piece is transported to the homeowners build site on large truck beds.Local building contractors then assemble the house and inspectors ensure the manufacturer has built your residence to code.Most customers find that modular housing is less expensive than site-built homes.
1. Benefits of Construction
One of the benefits of construction is that manufacturers build them indoors in an enclosed factory setting, where the materials used to build the homes are not subject to adverse weather during construction.
Most building contractors can finish erecting a house in as little as 1-2 weeks, though it may take up to 4 weeks or more for local contractors to finish building the dwelling on-site once it has been delivered.
2. Differences Between Modular and Site Built
Modular homes are not the same as site-built homes, which contractors create 100% at the build site.That means the contractor must collect all the materials for a house and built it on-site. Like a modular home, the site-built home must conform to all regional, state and local building codes. Many refer to site-built construction as stick-built homes. Stick built housing is also well-built and designed to last a lifetime.
3. Difference Between Modular and Manufactured
Manufactured housing is another form of factory construction. Many consumers have mistakenly referred to these homes in the past as mobile homes. Others refer to manufactured homes as trailers. Manufacturers do build these houses in a factory like modular homes on a steel chassis.
The manufacturer then transports sections of the home to the building site as completed.These dwellings are usually less expensive than both modular housing and site built housing, in part because they don’t come with a permanent foundation.Trailers and mobile homes are more likely to depreciate than modular or site built homes.
4, Advantages of Modular Construction Over Site Built
Modular homes offer many advantages over traditional site built dwellings. Many consider modular homes a hybrid breed of housing.Not a manufactured house and not a site built house, these homes offer consumers multiple benefits including costs savings, quality and convenience.In many ways modular homes surpasses site built housing in quality and efficiency.
Modulars have grown up. They are more and more becoming a mainstreamselection for first time and secondary homebuyers.Most people now realise they don’t’ have to give up design quality or customization to buy a prefabricated house.One of the biggest misconceptions people have of prefabricated housing is they are look alike.“Boxy” is not a word that can begin to describe prefab dwellings. In fact, more suitable descriptions of these buidlings would include: “Elegant, durable, customised and high-class”.Many people find they can afford to include more specialization and customization when they buy a factory built house over a traditional stick built construction.
5. Cutting-edge Designs
Looking for a building design with a little pizzazz?You need to check out the latest architectural designs associated with prefabricated buildings.Firms are now building more elegant and unique designs to meet the increasing demands of selective customers.People are selecting modular designs over stick built designs to build their dream homes.
6. Customised Design and Modification
There are hundreds of companies that offer modular prefabricated construction kits and plans, and most employ various architects and specialized designers to help customize yourhome.That means you have more choices and a wider selection of designers to choose from.If you don’t find a style you like with one designer you can often move onto another, without even switching manufacturers.
7. Huge Range of Selection
Its always best to select a home that matches your lifestyle and design preferences.
8. Rapid Customisation
These are often the ideal selection for homeowners in need of a speedily designed homes.You simply can’t build a dwelling faster.Site built housing can take months to design and build.A manufacturer can design and place a prefab house in a few short weeks. You can pick from just as many different styles as you would a site built home if not more, but don’t have to wait weeks for contractors to build your custom house.
9. Precise Budgeting and Timing
Yet another benefit of these designs is the lack of guesswork involved.You don’t have to worry about how something will look.You know that everything will arrive to the build site complete and you will know the exact outcome. You also don’t need to worry about unexpected expenses, which is commonly the case with site built homes.With a prefabricated house, you know exactly what your home will cost and can control that cost from the point of buying to final construction.This isn’t the case with stick built housing. With stick built housing you also have to worry about surprises in the middle of construction.It isn’t uncommon for example, for a contractor to quit in the middle of a project.If this happens you have few choices.
Your home will sit partially built until you are able to find a new construction team.This alone may cost you valuable time and money.
10. Improved Energy Efficiency
Many prefab houses also come with what manufacturers call the “Energy Star” certification.This is a national company that promotes energy efficiency.Buildings with this label use 30-40 percent less energy yearly than traditional stick built housing.
This saves you time and money.Some key features of prefabricated housing that help improve energy efficiency include tight installation,high performance and weather resistant windows, controlled air systems and duct systems, upgraded air-conditioning and heating units and use of efficient lighting and heating appliances.As a bonus, these features not only save on annual energy costs but also improve the quality of your indoor air. Think energy efficiency isn’t significant?Think again.Over the lifetime of your house you could save thousands of pounds in energy bills by buying a prefabricated dwelling.
11. Design Modification is Easier
Most prefab homemakers now use computer aided design systems when conducting operations.This adds to the efficiency of construction and improves the appearance and architectureof homes.Prefabricated construction ranges from plain vanilla styling to intricate and complex modern designs.
12. On Time and on Budget
Perhaps the two biggest features or benefits of prefabricated housing that manufacturers hone in on are the speed thatthey can be built with and the competitive pricing they can offer on the final product.This is one reason that modular homes are gaining popularity.
13. Appreciate in Value
These dwellings also appreciate much like sitebuilt housing designs.Most homeowners are interested in building value in their house over time.Prefab housing afford you the opportunity to do this (keep in mind however much appreciation is dependent on real estate location).Select a good build site and your house will gain significant value over time. Other factors may also affect appreciation including landscaping and how well the house is cared for year after year.These factors also affect site built housing.Unlike mobile homes, which depreciate, a modular homeowner can expect to gain value from their home year after year. Study after study suggests that modular homes appreciate just as well as site built homes.They are also just as easily insured and financed.
As far as risk goes, you are no more at risk buying prefabricated housing than site built construction.
Modular Home Facts
Modular homes appraise the same as their on-site built counterparts do.
Modular homes can be more easilly customised.
Most modular home companies have their own in-house engineering departments that utilize CAD (Computer Aided Design).
Modular home designs vary in style and size.
Modular homes are permanent structures – “real property.”
Modular homes are considered a form of “Green Building.”
Modular homes are faster to build than a 100% site-built home.
Home loans for modular are the same as if buying a 100% site-built home.
Insuring your modular home is the same as a 100% site-built home.
Modular homes can be built to withstand 175 mph winds.
Modular homes can be built for accessible living and designed for future conveniences.
Would you consider a modular home for yourself, or are you more of a traditionalist?
The term ‘Modern Methods of Construction’ (MMC) embraces a range of technologies involving various forms of prefabrication and off-site assembly.
MMC is increasingly regarded as a realistic means of improving quality, reducing time spent on-site, improving on-site safety and addressing skills shortages in the construction of UK housing.
Bridge Crossing Modern Design
The variety of systems now available potentially allows the designer enough choice to sidestep problems deriving from constraints posed by the use of any one method. MMC systems, from closed-panel timber framed systems to bathroom pods are a palette from which designers can make choices. They are not necessarily stand-alone solutions that anticipate all the needs of an individual site and can be mixed and matched as appropriate.
These limitations are not obstacles to achieving the good design in MMC-based schemes, but may hinder the incorporation of more complex and innovative types of MMC from which greater overall benefits may be obtained which are considered under the following headings:
1. COST UNCERTAINTY
There is no doubt that, given products of comparable performance the key issue in purchases of MMC construction systems is the price. At present not enough is known about the potential costs of using volumetric and closed panel systems to enable confident specification at an early date. This inhibits designers from exploring the full potential of MMC systems. This is particularly true of the less repetitive, small, one-off scheme, where a smaller margin of benefits is gained from using MMC. The principal barrier to the uptake of MMC, therefore, seems to be the perception of cost uncertainty with respect to using more complex systems. Without doing substantial project-specific research, consultants and their clients simply do not know with enough degree of certainty how much the volumetric or closed panel systems are likely to cost, and what would be the savings to overall project costs produced by potential speed gains to offset against increased capital expenditure.
This is due to the complexity of assessing the ratio of cost of repetitive elements where pricing is relatively straightforward to the cost of adjusting elements or building in another method for the abnormal condition. Decisions to use innovative systems are likely to be made once designs are well progressed to enable teams to be more certain of costs. This can increase the potential for change or result in design compromise as the designer attempts to incorporate the specific limitations of a particular system in their design.
In an attempt to improve this situation, the MMC consultant and or clients could pull together a directory of MMC expanded to include cost comparison data. The huge range of variables involved inevitably makes this difficult, but a database of current construction cost information would be an invaluable resource.
Contemporary Building Facade
2. PLANNING PROCESS AND EARLY COMMITMENT TO A SYSTEM
The time it can take to obtain planning permission has obvious implications both for project cost but also, in some circumstances, for architectural design innovation.
Most of the more complex types of MMC have an impact on dimensioning, the choice of external finish and detailing may have some effect on the buildings mass. Therefore, the construction system should be chosen prior to a planning application to avoid abortive work, redesign or amendment, or even resubmission for planning permission.
However, developers whose money is at risk, frequently hold off deciding on the construction technique until the last practicable moment, in order to get any advantage from fluctuations in material or component pricing.
Given the potential for lengthy duration of planning applications, this means that there is little incentive to prepare initial designs for planning with a prior decision to incorporate MMC firmly embedded. In cases where the developer has a financial or business link with the supplier, this is less likely to be the case. As the majority of commercial or residential developments involve some kind of arrangement with a developer, agreement on construction systems is often left to the stage after planning.
3. TIME INVESTMENT
Another very significant factor is the time investment required at the early stages of projects. This is needed to develop the design when the project is still at risk. There is a direct relationship between the scale and complexity of MMC component and the amount of time required to develop a design at an early stage.
The introduction of advanced or complex MMC techniques into the design process is potentially costly to the design team. A significant amount of research is needed to explore alternative systems, to obtain verification of suppliers’credentials, investigate mortgage and insurance issues, visit previous sites, talk to system suppliers, obtain technical performance guidelines, understand junctions and interfaces, coordinate other consultants, obtain building control input and so on.
For a consultant, the only way of investing in this research is either through timely payment of increased fees by a visionary understanding client or through the anticipation of increased future productivity through repetition when a project is phased, or large enough, or likely to be followed by another similar project.
The potential of learning a system and then being able to repeat lessons learned efficiently is a powerful incentive for both client and consultant. By contrast, HTA’ s project at Basingstoke is an example of a phased project with a three to four-year duration allowed the design team to repeat various elements of the design, and the manufacturer to develop improved solutions to technical and supply problems.
HTA’ s project at Basingstoke
4. INSUFFICIENT COMMUNICATION
Improved dialogue at the outset of the project is vital if design quality is to be maximised. Constraints and opportunities implicit within a particular system are more easily incorporated into design if partners communicate pre-planning. Increased early communication can be fostered through improved long-term partnering relationships.
Clients should also partner with a range of suppliers and architects so that choice and flexibility is not restricted.
5. INEXPERIENCE
Generally, the inexperienced client or design team will have to do more research, with the result that there is likely to be significant design development without a specific system being incorporated.
This is a disincentive to using a more complex system involving a higher proportion of MMC, where early decision making and knowledge of a system’ s capabilities have a decisive influence on the nature of the architecture. However, encouraging the take up of MMC through the use of a dedicated funding mechanism may assist clients in finding time for research into suitable MMC techniques.
Dome Construction Berlin
6. SUPPLIER’S ROLE
Site capacity studies and early stage pre-planning design studies could be undertaken directly by system suppliers on behalf of clients, cutting out the usual procedure of commissioning design work by independent consultants.
7. ASSUMPTIONS
There are a number of assumptions that are generally held about certain types of MMC that may have been valid at one time but are no longer true today. There is a need for reliable and up to date information comparing system criteria, performance data, timescales, lead in times, capacity, construction time, sequencing issues, limitations, and benefits.
Therefore it would be helpful if a forum for discussion and experience exchange was set up.
8. DEMONSTRATING THE BENEFITS OF MMC
There is still a large amount of skepticism about the need to go very far down the line with MMC. This is reflected in the acceptance of the desirability of maintaining or indeed enhancing the pool of traditional craft skills throughout the UK.
A balanced view is that there is a demonstrable need for the wider use of MMC which is recognized by both industry and government. The best way for clients and the public generally to become more confident and knowledgeable about the quality of design achievable through MMC is to see it demonstrated.
9. FINANCIAL INCENTIVES
There is no doubt that spreading the burden of investment through the life of a project helps to ensure a higher standard of specification and hence quality. In the Netherlands, a ‘ Green Financing’system has been developed by the Dutch government that provides favorable loan finance when certain sustainable standards are reached. In the UK, the Gallions HA has pioneered a study of this, based on a scheme in Thamesmead, ‘ the Ecopark project’.
Eco Park is an eco-friendly business park built on the False Bay coast. This business park is at the cutting-edge of sustainable design and offers a unique working environment in a secure, well-managed facility.
Big Project Failures Claim Their Victims in Spectacular Fashion
You’ve just been assigned a high visibility failing project and you’re working round-the-clock to get the work to the client on time, despite the fact that the job bears barely any resemblance to the project you initially discussed. The scope keeps creeping, the risk and issue alerts are coming in thick and fast, the project is already two months past the original deadline, the clients are getting antsy even though they’re yet to provide you with various key pieces of information in order to baseline the project. Is this your chance to shine and showcase your skills?
If You Don’t Know Where You’re Going, You Will Probably End up Somewhere Else – Laurence J. Peter
If you manage to turn the project around and the project is successful, you will attract many fathers. However, if the project fails, you will probibly be offered up as the sacrificial lamb (scapegoat), there is absolutely no way around it. A high percentage of projects fail to deliver useful results, that’s a fact.
Project managers are regularly blamed for schedule delays and cost overruns for projects they inherit by no fault of there own, however, in most cases, the fault for such issues rarely lies with just one person.
Sufficient data has been gathered to indicate that blockers such as unsupportive management, senior sponsorship or low resource availability are as much to blame for project failure as ineffective stakeholder management or poor communication.
Capture all decisions
The only way to protect yourself is to ensure that you capture all decisions made in the project. In most cases many of these decisions will have been made by people above you. While you can influence decisions made by people under you. Get into the habit of building a dashboard early in the project and updating it each week with actuals. Also consider using a standard repeatable technique to analyse the health of your project.
Constrained resources
If you are in a project where resources are constrained, clearly outline the resources that you require to deliver the project in terms of time, scope, budget, risk and quality. If resources are pulled from your project, clearly articulate the affect of that in delivery terms and measure that to time delayed or cost added.
Risk and issues register
Operate a strong risk and issue register, ensure it is both visible and assessable so your team can actively participate in updating it.
Stop the project
Always remember, cancelling the project is not always a failure. There can be many reasons why the project may no longer be desirable now. If you have done your job well, you can be really successful by ensuring a project does not continue to meander along, wasting time and money when there is no possibility of completing the project.
Organisational change management
Unfortunately, the same can’t be said when there are organisation change management issues. While there are a few project managers who feel their jurisdiction ends at the triple constraint, most now understand the need to achieve the expected benefits from their projects.
So when is it fair to blame a project manager for poor implementation of a project’s deliverables, this is assuming that they were employed at the beginning of the project?
If they didn’t perform good stakeholder analysis during the project initiation stage as well as at regular intervals.
If they turned a blind eye and deaf ear to factors that could impact value achievement
If they didn’t insist on a clear communication strategy and progressive information sharing with relevant stakeholder groups.
If they didn’t engage influencers from key stakeholder groups throughout the project lifecycle.
If the organisation management deliverables were not built into the project’s scope definition and work breakdown structure.
Assuming the project manager was appointed at the start of the project and had undertaken all of the above, what are invalid reasons to blame the project manager if the project failed?
A lack of timely resource availability or commitment by the organisation
Directives to the project manager to not engage certain stakeholder communities
Ignorance by senior sponsors to management risks raised by the project team
A management decision that is too bitter a pill to swallow in spite of how much it has been sugar coated
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