David Baccarini

The concept of project complexity—a review

Abstract Reference to the project dimension of complexity is widespread within project management literature. However the concept of project complexity has received little detailed attention. This paper reviews the literature on project complexity relevant to project management, with emphasis towards the construction industry. The paper proposes that project complexity can be defined in terms of differentiation and interdependency and that it is managed by integration.

The Logical Framework Method for Defining Project Success

Project success is a core concept of project management but its definition remains elusive. The project team must have a clear understanding of their project success objectives. This paper uses the logical framework method (LFM) as a foundation for defining project success. Using LFM, four levels of project objectives are identified: goal, purpose, output, and input. It is proposed that project success consists of two components—product success and project management success. Product success deals with goal and purpose; project management success deals with outputs and inputs.

Management of risks in information technology projects

Information technology (IT) projects are renowned for their high failure rate. Risk management is an essential process for the successful delivery of IT projects. In‐depth interviews with IT professionals from leading firms in Western Australia were undertaken to determine how IT risks were managed in their projects. The respondents ranked 27 IT risks in terms of likelihood and consequences to identify the most important risks. The top five risks, in order, were: personnel shortfalls; unreasonable project schedule and budget; unrealistic expectations; incomplete requirements; and diminished window of opportunity due to late delivery of software. The respondents overwhelmingly applied the treatment strategy of risk reduction to manage these risks. Furthermore, these strategies were primarily project management processes, rather than technical processes. This demonstrates that project management is a risk management strategy. Scope, quality management, and human resource management were solutions applied to several risks. In particular, managing stakeholders’ expectations is a specific risk treatment that helps to manage several key IT risks.

Project Success - A Survey

Over the past decade there has been a growing literature on project success criteria, however there has been relatively little empirical data. This paper provides a significant contribution to the knowledge of project success by providing empirical data on the subject, by means of a survey of 150 Australian project managers on the subject of project success criteria. An analysis of the data found two distinct views: those that perceived project success solely in terms of the traditional project objectives of time, cost and quality; and those that considered success in terms of these objectives and the effectiveness of the projects product. The traditional project management success criteria of time, cost and quality still has a strong hold within the project management community in Australia. However, the most important success criterion was considered to be the product success criterion of meeting the owners needs.

Project Benefits Management in IT Projects–an Australian Perspective

Information technology (IT) projects are implemented in organizations to provide benefits. This paper reports the research findings into the process of benefits management by project managers in IT projects in Perth, Western Australia. It was found that IT project managers have a strong propensity towards efficiency benefits rather than effectiveness benefits. A significant majority of IT project managers do not assign Key Performance Indicators (KPIs) to project benefits, which makes it difficult to assess if benefits have been delivered. Project managers tend to focus on managing deliverables rather than the benefits that should result from utilization of the deliverables. Many of the findings indicate that there is significant room for improvement in the formal effective application of project benefits management.

Uncertainty avoidance: public sector clients and procurement selection

Purpose – Choosing the appropriate procurement system for construction projects is a complex and challenging task for clients particularly when professional advice has not been sought. To assist with the decision‐making process, a range of procurement selection tools and techniques have been developed by both academic and industry bodies. Public sector clients in Western Australia (WA) remain uncertain about the pairing of procurement method to bespoke construction project and how this decision will ultimately impact upon project success. This paper seeks to examine “how and why” a public sector agency selected particular procurement methods.Design/methodology/approach – An analysis of two focus group workshops (with 18 senior project and policy managers involved with procurement selection) is reported upon.Findings – The traditional lump sum (TLS) method is still the preferred procurement path even though alternative forms such as design and construct, public‐private‐partnerships could optimize the proje...

Bills of Quantities: nemesis or nirvana?

Purpose – Traditional Lump Sum (TLS) methods have been the primary procurement method within Australia. Yet, their use is beginning to wane in states such as: Queensland, New South Wales and Victoria where Design and Construct, Construction Management and hybrids thereof have become the norm. Considering the demands of clients, the increasing propensity to use non‐traditional methods, the quality of drawings that are being produced, and the role of software applications such as Computer‐Aided Design in directly generating quantities, this paper seeks to examine the role Bills of Quantities (BoQs) serve and how effective they are as a pre‐contract and post‐contract tool.Design/methodology/approach – Only limited empirical research has addressed the role and effectiveness of BoQs, particularly in Australia. With this in mind, the research adopted an exploratory approach to gain insights from industry practitioners about BoQs. A questionnaire survey was developed from the literature and used to solicit the o...

Demystifying the Folklore of the Accidental Project Manager in the Public Sector

Many individuals are called upon to undertake project management responsibilities with little or no preparation. Such project managers have been referred to as accidental project managers. This article examines the experiences of 46 accidental project managers within the Western Australian public sector through a questionnaire survey. Findings reveal that most project managers were selected based on their technical or managerial expertise and thus lacked the required competencies to deliver a project. There was a greater propensity for accidental project managers to act in a part-time mode, undertake nontechnical projects, and be provided with limited training and education.

Benefits management in office fit‐out projects

Purpose – The purpose of this paper is to investigate how benefits management is applied to office fit‐out projects, in terms of benefits identification, benefits planning, benefits control and benefits realisation.Design/methodology/approach – Three case studies, based in Perth (Western Australia) are investigated based on structured interviews with the project sponsor; and analysis of secondary documentation, such as business cases, briefs, and post‐occupancy evaluations.Findings – There is no coherent, holistic application of benefits management models in office fit‐out projects. There are fragments of benefits management evident from the research, such as benefits identification and planning within business cases and briefs, and benefits realisation through post‐occupancy evaluations.Research limitations/implications – The research is based on three case studies, so it is not possible to draw any strong generalisations. Future studies are needed to corroborate or contradict the findings in this resear...

Statistical Characteristics of Cost Contingency in Water Infrastructure Projects

AbstractCost contingency is one component of a project’s budget to cater for cost growth. The determination of a project’s cost contingency is a pervasive problem because the amount that is incorporated into an estimate is invariably insufficient to accommodate the cost growth of a project. This study analyzed the statistical characteristics of cost contingency and cost growth experienced in 228 similar Australian water infrastructure projects that were procured by using traditional lump contracts. It was revealed that mean project final costs exceeded the approved budgets that contained contingency. The mean contingency percentage addition was 8.46%, yet the mean contingency required for the final cost was 13.58% for the sampled projects. Thus, the deterministic percentage addition, used by the sponsor to accommodate for cost growth beyond their baseline budget, was inaccurate. To improve the accuracy of a contingency estimate, the empirical distributions of cost contingency and cost performance were exa...