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Has Nigeria Become the World’s Junk Yard of Abandoned and Failed Mega Projects worth Billions?

Dim1, N. U., Okorocha2, K. A., & Okoduwa3 V. O.

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 used   exclusively.

FACTORS OF PROJECT FAILURE

Cookie-Davies (2002) stated the difference between the success criteria and the failure factors. He   stated 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).  

Time   and 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 and   Law, 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, while   In 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.
Table 1: The analyzed data on the highway project at the South-South zone in Nigeria.

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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 1: Abundance of failed highway projects at south-south zone, Nigeria.
Figure 2: On-going failed highway projects
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
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

Abimbola, A. (Novermber 24, 2012). About 12,000 Federal Projects Abandoned across Nigeria. Premium times (November 16, 2015). Retrieved from www. Premium timesng.com/news/108450-about-12000-federal-projects-abandoned-across-nigeria.html.

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. Environtech Journal, 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.

Othman, M.,R. (2006). Forging main and sub-contractor relationship for successful projects. Retrieved from http://rakanl.jkr.gov.my/csfj/editor/files/file/projek/lessonslearned/MAIN&SUB_2.pdf

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.

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How to Cope with a Mis-Sold Job

How to cope with a mis-sold job

Everyone knows a story about a smart and talented professional  who has lost his or her passion for a role, who no longer looks forward to going to the office yet remains stuck without a visible way out.  Getting on the career ladder is a great thing, you start off at the bottom and work your way up, but sometimes you can get stuck and do not even realize it.

“One in Five Employees Claim They Were Mis-sold Opportunities When They Joined Their Organisation – Kelly Global Workforce Index (Kgwi).”

Commenting on the findings,  Debbie Pettingill, Director, Kelly Services UK and Ireland said

“Employee retention will become an increasing challenge for employers as we move out of the recession. As we move into a more candidate driven market, this trend is likely to accelerate. Our findings indicate that this problem is being exacerbated by the misrepresentation of job role or company culture at the interview stage, leading to the dissatisfaction of new hires.”

Most of us know what we are trying to escape a “mis-sold” job  resulting in a  narrowly defined career, inauthentic or unstimulating work, numbing corporate politics, and  perhaps  blackmail including direct  threats of being used as a scapegoat. A job where you are both overlooked and underappreciated.  One may ring true for some of you.

“Fewer than Half of Uk Employees Are Happy with the Way Their Careers Are Progressing According to New British Research.”

Why Would A  Company or Person Block Your Move?

Well, this could be because of his or her personal insecurity  i.e. as the team works well, why rock the boat? Comfort zone: sometimes the team gets too comfortable? Golden child syndrome: you’re working your butt off and your sponsor or other senior  is reaping the recognition from your amazing deliverables?

Working a job you don’t like can leave you feeling stuck, forgotten by God, and asking yourself questions like:

Why hasn’t God opened another door for me yet?  

Why is God not moving?  

Why would God leave me here in this job I hate?

But the truth is God has not left you. He’s not holding back on you. When you feel God is silent, that’s exactly when He’s moving!  Your situation does not change God. He still loves you and is with you no matter what.

Instead of looking at our situation from a perspective of fear and worry, we need to look at it through faith and hope.

What Can You Do About it?

Don’t fret, you can handover your work or completely leave the organisation and still stay sane. You might worry that announcing your intentions will cause your company grief, but ultimately you have to do what’s best for you no matter what!

Think and pray long and hard about how you’re going to drop this bombshell  as you  will need  to give notice. A  sound method is required to overcome the assault and possible backlash – including of course more prayer and fasting.

So how are you going to approach it? What’s your reasoning going to be?  How are you going to get them to understand exactly why you’re doing this?  What do you need to do in order to prepare for the big day?

Easy, you’re going to read this guide.

Strategy 1 – Remote Working Arrangement

This could  be a great approach if 80% of your  work can be  undertaken  remotely. However, while there is a very logical argument to be made in favor of working from home, many people equate remote work to a lack of productivity and laziness. These people do not realize that the switch from an office to working from home can actually lead to significant increases in productivity.

Strategy 2 – What’s in It for Me?

What’s in it for me?   That question sounds a little selfish, doesn’t it?  Maybe you  aren’t being compensated fairly, or you’re not happy with the effort vs return.  When you know your client and team needs you and you’re willing to stay for a price, don’t mess around.  Give them the real number or offer that will make it worth your while to stick it out for awhile.

Strategy 3  –  The Budget Cut

The re-structuring.  The downsizing.  The dreaded budget cut.  Whatever name you want to give it, this  can be terrifying  for a lot of professionals.  However,  if you’re  already thinking about leaving, so maybe it doesn’t have to be such a scary thing.  In fact, maybe it can be  extremely  positive for both  parties.

Strategy 4  –  The Ease Out

Still feeling weary  about leaving the organization.  Propose easing yourself out of the post.  Pick a time frame, maybe four weeks or so, and come up with a plan for slowly taking yourself out of the position.  This also allows you some time to slowly ramp down your time commitment.

Strategy 5 –  Burning Bridges in the Industry  

“Sometimes it’s about networking and being nice to people and not burning any bridges – but remembering to draw line where you must.”

There’s no harm in an early exit from a job you never plan to mention again or an interim role where you have clearly agreed on a start and finish date.  But if your manager is well connected to your industry you should try to leave on a good note.  Why? Because it’s a small world and the next hiring manager may put in a call to his or her former colleague  (a.k.a., your new manager) to get the unofficial scoop.  It happens, so if you’re going to leave anyway then try to fulfill your end of the deal.

Strategy 6  – Get Moving Fast

Imagine, for example, that you were hired to help the company manage multiple programmes and projects  across the globe, but a recent change in leadership means all efforts moving forward will be focused locally.

If you’re spending your days just trying to find ways to be productive or are undertaking a role you never signed up for, you have every right to pursue new opportunities. Of course, the first course of action should normally be to  discuss this with your manager to see if there are other roles you can take on. But if you know that this isn’t going to happen in the new world, get moving fast.

Strategy 7  – Your Dream Job Awaits

“When you’re being interviewed, always treat the interview as a 50-50 thing,” says Andy Dallas, a director at Robert Half International, recruitment consultants. “Ask what you can expect to be doing in your first week, month and three months. Ask what a successful year looks like.”

Dream jobs don’t come every day. So, if you have a chance at yours, take it quickly  and congratulate yourself for being strong enough to leave when you were unhappy.

Strategy 8 – Remeber to Be Patient  

We will not always be in a job we desire. Maybe you are fresh out of school and are working a job that has nothing to do with the degree you just earned. Maybe you are in a situation where you are working at a job where you are overqualified, overworked, and fed up. Maybe, for the most part, you love your job but get discouraged by the mundane tasks that take up time from doing the aspects of your job you love most.    

“Humble yourselves before the Lord, and he will exalt you.” – James 4:10 NIV

Here’s the thing: God will still use this season to grow, develop, and prepare you. Any season that humbles us is preparing us for what God has next.

Any thoughts to share?

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A Day in the Life of a Project Manager

Managing Daily Routines: A Day in the Life of a IT Project Manager

We all know that project managers are responsible for managing projects through to completion while remaining on time and within budget, but how exactly do they do it? What does a typical day look like for a project manager?

Here’s a sample of what a typical day might look like for a project manager.

The Early Bird Gets the Worm, Success Comes to Those Who Prepare Well and Put in Effort

8.30  am: Starting the day
After settling in for the day’s activities, it’s time to plan out the day. Start up the computer, email clients, draft team schedules, organize time sheets and  create the to-do list.

To-do lists help managers and their teams stay on track. If a manager notices that one team member has yet to deliver an assignment, they can address this issue first thing in the morning; otherwise, delays can build up and affect the project. Likewise, lists help managers see the next course of action for projects.

9:15 am: Time to get moving

Efficiency is a must and there is no time to be wasted in project management. After a quick review of project plans and to-do lists, the manager must be prepared to get his team moving right away.

Round up team members, review the project’s current position and emphasize the next course of action. In order to get the team moving on assignments, strong project managers set deadlines throughout the day.

Morning team meetings are also necessary to make sure each member understands the project and their assignments. It’s also a time to answer any questions for clarity or to get feedback or concerns from individuals.

While daily group meetings can be important, they are not always necessary and can be counter-productive. If the team is on the same page and everyone is ready to tackle the tasks of the day, spend a short period re-grouping so that the team can get on and complete their assignments. There’s no need to spend hours planning and reviewing.

10 am: Meetings, meetings, meetings
More than one project manager will be  more than likely  in the office  and they will all need to work together for the benefit of the programme. This is why meetings with other managers and higher ups are necessary in a project manager’s day.

Meetings allow each project manager to go through the status of their respective projects and to track the weekly schedule and other deadlines. It is also a time to address any business-critical tasks that might come up.

It’s worth considering that only 7% of communication is spoken. The other 93% is made up of tone (38%) and body language (55%). So although facts and figures are easily communicated via email, letter or phone, an actual discussion or negotiation is best handled where you can see the other person and therefore are able to see for yourself what their tone and body have to say on the matter.

10:30 am: Tackling the small stuff
Meetings will be on and off throughout the day for project managers, which is why it’s important to tackle the small tasks in between appointments. Small tasks include wrapping project reports, booking future meetings, answering correspondences with other colleagues, reviewing items and team reports among other things.

It’s also important to schedule post-mortem meetings with the project team  to review the success of  projects  in order  to apply any  lessons learnt to future projects.

11 am: Project kick-off meeting
When one project ends, another begins, which means it’s time for yet another project kick-off meeting. Kick-off meetings can take on various forms, depending on the type of business. However, they all share the same basic needs.

Every individual involved with the new project should be in attendance and have the latest version of project specifications in written form. As project manager, it might be wise to send this to team members several days before the kick-off meeting to ensure everyone has time to review.

During a kick-off meeting, it’s important to review the overall goals for the project, both commercial and technical details, break down functional requirements, and spend time for discussion and questions. By allowing team members to communicate questions and share ideas, it opens the lines of communication and may bring up potential concerns that might have been missed in the initial planning stages.

Conclude kick-off meetings with a definition of the next steps and be sure individuals are aware of deadlines and their assignments.

11:30 am: Reviewing project specs, budgets and scheduling submissions
Other important tasks to tackle in between meetings include reviewing specifications and budgets and schedules for future projects. If a project begins that day, now would be a good time to  apply the  finishing touches to the project documentation before presentation and approval.

When it comes to establishing project estimates and budgets, a project manager must bring all of his experience into play in order to create a realistic budget that includes wiggle room for factors such as project complexity, team experience and skill levels, stakeholders involvement, time needed, third-party services needed, and contingency allowances among many other things.

It’s Not Easy to Squeeze in a Lunch Break, but It’s Often Necessary for the Project Managers Health and Sanity

12 pm: Lunch
In the midst of the seeming chaos that is project management, be sure to fuel up for the rest of the day’s work. Lunch is also a great span of time to check in with team members to make sure they are still on target for later-day deadlines.

2 pm: Launching the next project
After digesting lunch, it’s time to launch the next project. Get the whole team ready to go live and present the project to the client and begin testing aspects of the project in a live environment. It’s a time to spot problems and address them and review schedules and deadlines and other project needs.

3 pm: Time for everything else
The final two hours in the office are spent addressing everything else on the project manager’s plate. A project manager must be good at multi-tasking and whatever duties couldn’t be accomplished throughout the day are reserved for the final hours. Most of the time, lower priority tasks are reserved for afternoon hours. These tasks could include project update meetings with various departments, logging finances, reviewing monthly project schedules, approving time sheets, writing weekly reports, sorting purchase orders and communicating with suppliers. There are so many other small to-do list items that project managers are responsible for, but are often overlooked.

Spending Time at the End of the Day as Well as the Beginning to Review and Plan Will Only Help You Succeed as a Project Manager

5 pm: Review the day, plan for tomorrow
Before heading home, review the day’s list and what’s been accomplished. Anything that has been added or was left unfinished should be scheduled for the next day or sometime throughout the week. Reflect on your team’s work and clear the email inbox. Use a filing system that makes sense for you and be ruthless about deleting stuff. The beauty of an empty inbox is a thing to behold. It is calming, peaceful and wonderful.

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65% of Mega-projects Fail

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.

 

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Why Should I Hire a Project Manager for My Church Project?

Is it worth hiring a project manager when any seemingly knowledgeable pastor or church member might do?

The truth is, project managers can be a valuable asset to any organization. Whereas the average church member who is only familiar with certain tasks might be overwhelmed by the complexity of major organizational assignments, project managers are trained to handle programs with elaborate factors such as high budgets, increased manpower and layers of duties.

An Astounding 97% of Organizations Believe Project Management Is Critical to Business Performance and Organizational Success. (Source: PricewaterhouseCoopers)

On the flip side, some professional bodies disagree, arguing that professionals like pastors, marketers, and accountants are able to manage projects just as well as any project manager with some effort.

Barely over Half (56%) of Project Managers Are Certified  (Source: Wrike)

“It’s a raging debate,” said Tony Marks, author of the 20:20 Project Management guide.

“Some industries, such as oil and gas, are hesitant to hire outside project management specialists because they may lack industry knowledge. Instead, these industries prefer to employ technical experts and put them through project management training.”

“The danger is that these  people  are more likely to get  sucked into their comfort zone dealing with the nitty-gritty and technical detail they understand and are fascinated by when they should be managing the project,” said Tony Marks.

In addition to being trained to juggle tasks efficiently, project managers spend an enormous amount of time honing their skills. Much more goes into the craft than obtaining Prince2 or APM certifications.

According to Mike Savage of Thales Training and Consultancy, the International Project Management Association requires its professionals to have at least 15 years of experience and training. The association has four grades from D to A. At the A level, project managers must have a minimum of five years project management experience, five years of program management and five years of portfolio management.

“So to Say That Anyone Can Be a Project Manager Is like Saying Anyone Can Be a Brain Surgeon, Said Savage.”

But just because there are individuals specializing in project management doesn’t mean non-specialists can’t learn the techniques as well. Ian Clarkson of training course provider QA encourages everyone to learn project management practices.

“The skills, leadership, planning and stakeholder engagement techniques are vital to all disciplines,” he said.

“Projects which are run by engineers with project management training are less likely to be successful than the reverse,” said Lloyd’s Register energy program director Roger Clutton. “If there is a lack of technical expertise that will show up in the risk assessment. But a lack of project management skills is much less likely to be detected.”

With that, it seems that the argument on whether or not hiring an outside project management is necessary will continue. But the debate only seems relevant to rival professions as there is projected to be 15 million new project management jobs within the decade. (Source: Project Management Institute).

No matter how you look at it, though, it seems that trained and experienced project managers  must be  worth their weight in gold.

 

 

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