Managing project risk using combined analytic hierarchy process and risk map

The main purpose of the study is to develop an integrated framework for managing project risks by analyzing risk across project, work package and activity levels, and developing responses. Design/methodology/approach: The study first reviews the literature of various contemporary risk management frameworks in order to identify gaps in project risk management knowledge. Then it develops a conceptual risk management framework using combined analytic hierarchy process (AHP) and risk map for managing project risks. The proposed framework has then been applied to a 1500 km oil pipeline construction project in India in order to demonstrate its effectiveness. The concerned project stakeholders were involved through focus group discussions for applying the proposed risk management framework in the project under study. Findings: The combined AHP and risk map approach is very effective to manage project risks across project, work package and activity levels. The risk factors in project level are caused because of external forces such as business environment (e.g. customers, competitors, technological development, politics, socioeconomic environment). The risk factors in work package and activity levels are operational in nature and created due to internal causes such as lack of material and labor productivity, implementation issues, team ineffectiveness, etc. Practical implications: The suggested model can be applied to any complex project and helps manage risk throughout the project life cycle. Originality/value: Both business and operational risks constitute project risks. In one hand, the conventional project risk management frameworks emphasize on managing business risks and often ignore operational risks. On the other hand, the studies that deal with operational risk often do not link them with business risks. However, they need to be addressed in an integrated way as there are a few risks that affect only the specific level. Hence, this study bridges the gaps. © 2010 Elsevier B.V. All rights reserved.

Means of achieving Business Process Management success factors

Business Process Management (BPM) in recent years has become a highest priority area for most organizations. Since this concept is multidisciplinary, success in this endeavour requires considering different factors. A number of studies have been conducted to identify these factors; however, most are limited to the introduction of high-level factors or to the identification of the means of success within only a specific context. This paper presents a holistic framework of success factors as well as the associated means for achieving success. This framework introduces nine factors, namely culture, leadership, communication, Information Technology, strategic alignment, people, project management, performance measurement and methodology. Each of these factors are characterized further by defining some sub-constructs and under each sub construct the means for achieving success are also introduced. This framework including means for achieving success can be useful for BPM project stakeholders in adequately planning the initiative and checking the progress during the implementation.

Responding to sustainability challenge and cost implications in highway construction projects

Highway construction often requires a significant capital input; therefore it often causes serious financial implications for developers, owners and operators. The recent industry-wide focus on sustainability has added a new dimension to the evaluation of highway projects, particularly on the economical scale of ‘going green’. Comprehensive analysis of the whole-of-life highway development that responds to sustainability challenges is one of the primary concerns for stakeholders. Principles of engineering economics and life cycle costing have been used to determine the incremental capacity investments for highway projects. However, the consideration of costs and issues associated with sustainability is still very limited in current studies on highway projects. Previous studies have identified that highway project investments are primarily concerned with direct market costs that can be quantified through life cycle costing analysis (LCCA). But they tend to ignore costs that are difficult to calculate, as those related to environmental and social elements. On a more positive note, these studies proved that the inclusion of such costs is an essential part of the overall development investment and a primary concern for decision making by the stakeholders. This paper discusses a research attempt to identify and categorise sustainability cost elements for highway projects. Through questionnaire survey, a set of sustainability cost elements on highway projects has been proposed. These cost elements are incorporated into the extension of some of the existing Life Cycle Costing Analysis (LCCA) models in order to produce a holistic financial picture of the highway project. It is expected that a new LCCA model will be established to serve as a suitable tool for decision making for highway project stakeholders.

Managing financial implications for sustainable highway infrastructure delivery

Highway construction works have significant bearings on all aspects of sustainability. As they typically involve huge capital funds, stakeholders tend to place all interests on the financial justifications of the project, especially when embedding sustainability principles and practices may demand significant initial investment. Increasing public awareness and government policies demand that infrastructure projects respond to environmental challenges and people start to realise the negative consequences of not to pursue sustainability. Stakeholders are now keen to identify sustainable alternatives and financial implications of including them on a whole lifecycle basis. Therefore tools that aid the evaluation of investment options, such as provision of environmentally sustainable features in roads and highways, are highly desirable. Life-cycle cost analysis (LCCA) is generally recognised as a valuable approach for investment decision making for construction works. However to date it has limited application because the current LCCA models tend to focus on economic issues alone and are not able to deal with sustainability factors. This paper reports a research on identifying sustainability related factors in highway construction projects, in quantitative and qualitative forms of a multi-criteria analysis. These factors are then incorporated into existing LCCA models to produce a new sustainability based LCCA model with cost elements specific to sustainability measures. This presents highway project stakeholders a practical tool to evaluate investment decisions and reach an optimum balance between financial viability and sustainability deliverables.

Adoption of innovative products on Australian road infrastructure projects

Product innovation is an important contributor to the performance of infrastructure projects in the construction industry. Maximizing the potential for innovative product adoption is a challenging task due to the complexities of the construction innovation system. A qualitative methodology involving interviews with major construction project stakeholders is employed to address the research question: ‘What are the main obstacles to the adoption of innovative products in the road industry?’ The characteristics of six key product innovation obstacles in Australian road projects are described. The six key obstacles are: project goal misalignment, client pressures, weak contractual relations, lack of product trialling, inflexible product specifications and product liability concerns. A snapshot of the dynamics underlying these obstacles is provided. There are few such assessments in the literature, despite the imperative to improve construction innovation rates globally in order to deliver road infrastructure projects of increasing size and complexity. Key obstacles are interpreted through an open innovation construct, providing direction for policy to enhance the uptake of innovation across the construction product supply network. Early evidence suggests the usefulness of an open innovation construct that integrates three conceptual lenses: network governance, absorptive capacity and knowledge intermediation, in order to interpret product adoption obstacles in the context of Australian road infrastructure projects. The paper also provides practical advice and direction for government and industry organizations that wish to promote the flow of innovative product knowledge across the construction supply network.

Why the construction quality of design-build projects is not satisfactory : a Queensland study

Design-build (DB) system is well-known to be a popular and effective delivery method of construction work worldwide. It has been demonstrated as superior to the traditional delivery system in regards to time and cost performance. However, it suffers a major flaw, in that the performance of project quality cannot be guaranteed. This paper aims to investigate the underlying factors attributing to the poor quality performance of design-build projects in Queensland. Five major factors were first identified through a comprehensive literature review, which relate to (1) project briefing and scope definition, (2) client’s role and responsibility, (3) procurement selection, (4) contractor’s incentive, and (5) design document quality. A questionnaire survey with 127 DB professionals was conducted to determine how these factors affect various quality criteria, i.e. functional quality, architectural quality, technical quality, workmanship quality, client satisfaction and overall quality. With the architectural quality reduced greatly, the research findings reveal that the DB projects in Queensland have the reduced overall quality compared with traditional projects. The impacts of different factors on the quality performance of DB projects have been closely examined and summarized. The research findings will facilitate project stakeholder’s better understanding of the delivery process of the DB system and provide guidelines to improve the quality performance.

From the Editor

The five articles appearing in this issue reflect the depth of project management research in terms of delineating and clarifying the different philosophical positions, advancing the concepts, and applying innovative research methods. These articles focus on the ontology of project management research (“Foundations of Project Management Research: An Explicit and Six-Facet Ontological Framework” by Gauthier and Ika), project management practices relevant to different types of projects from a practitioner’s perspective (“An Empirical Identification of Project Management Toolsets and a Comparison Among Project Types” by Besner and Hobbs), the effect of project management processes on project performance (“Project Management Knowledge and Effects on Construction Project Outcomes: An Empirical Study” by Chou and Yang), determining the success metrics at different stages of a project (“A Perspective Based Understanding of Project Success” by McLeod, Doolin, and MacDonell), and identifying project success parameters and critical success factors from the point of view of different project actors in largescale projects (“Forecasting Success on Large Projects: Developing Reliable Scales to Predict Multiple Perspectives by Multiple Stakeholders Over Multiple Time Frames” by Turner and Zolin), and understanding project success from the points of view of different project stakeholders...

Evaluating stakeholder satisfaction during public participation in major infrastructure and construction projects : a fuzzy approach

Numerous different and sometimes discrepant interests can be affected, both positively and negatively, throughout the course of a major infrastructure and construction (MIC) project. Failing to address and meet the concerns and expectations of the stakeholders involved has resulted in many project failures. One way to address this issue is through a participatory approach to project decision making. Whether the participation mechanism is effective or not depends largely on the client/owner. This paper provides a means of systematically evaluating the effectiveness of the public participation exercise, or even the whole project, through the measurement of stakeholder satisfaction. Since the process of satisfaction measurement is complicated and uncertain, requiring approximate reasoning involving human intuition, a fuzzy approach is adopted. From this, a multi-factor hierarchical fuzzy comprehensive evaluation model is established to facilitate the evaluation of satisfaction in both single stakeholder group and overall MIC project stakeholders.

Building Information Modelling : an international survey

Building Information Modelling (BIM) appears to be the next evolutionary link in project delivery within the AEC (Architecture, Engineering and Construction) Industry. There have been several surveys of implementation at the local level but to date little is known of the international context. This paper is a preliminary report of a large scale electronic survey of the implementation of BIM and the impact on AEC project delivery and project stakeholders in Australia and internationally. National and regional patterns of BIM usage will be identified. These patterns will include disciplinary users, project lifecycle stages, technology integration–including software compatibility—and organisational issues such as human resources and interoperability. Also considered is the current status of the inclusion of BIM within tertiary level curricula and potential for the creation of a new discipline.

A waste management system for small and medium enterprises engaged in office building retrofit projects

Waste management and minimisation is considered to be an important issue for achieving sustainability in the construction industry. Retrofit projects generate less waste than demolitions and new builds, but they possess unique features and require waste management approaches that are different to traditional new builds. With the increasing demand for more energy efficient and environmentally sustainable office spaces, the office building retrofit market is growing in capital cities around Australia with a high level of refurbishment needed for existing aging properties. Restricted site space and uncertain delivery process in these projects make it a major challenge to manage waste effectively. The labour-intensive nature of retrofit projects creates the need for the involvement of small and medium enterprises (SMEs) as subcontractors in on-site works. SMEs are familiar with on-site waste generation but are not as actively motivated and engaged in waste management activities as the stakeholders in other construction projects in the industry. SMEs’ responsibilities for waste management in office building retrofit projects need to be identified and adapted to the work delivery processes and the waste management system supported by project stakeholders. The existing literature provides an understanding of how to manage construction waste that is already generated and how to increase the waste recovery rate for office building retrofit projects. However, previous research has not developed theories or practical solutions that can guide project stakeholders to understand the specific waste generation process and effectively plan for and manage waste in ongoing project works. No appropriate method has been established for the potential role and capability of SMEs to manage and minimise waste from their subcontracting works. This research probes into the characteristics of office building retrofit project delivery with the aim to develop specific tools to manage waste and incorporate SMEs in this process in an appropriate and effective way. Based on an extensive literature review, the research firstly developed a questionnaire survey to identify the critical factors of on-site waste generation in office building retrofit projects. Semi-structured interviews were then utilised to validate the critical waste factors and establish the interrelationships between the factors. The interviews served another important function of identifying the current problems of waste management in the industry and the performance of SMEs in this area. Interviewees’ opinions on remedies to the problems were also collected. On the foundation of the findings from the questionnaire survey and semi-structured interviews, two waste planning and management strategies were identified for the dismantling phase and fit-out phase of office building retrofit projects, respectively. Two models were then established to organize SMEs’ waste management activities, including a work process-based integrated waste planning model for the dismantling phase and a system dynamics model for the fit-out phase. In order to apply the models in real practice, procedures were developed to guide SMEs’ work flow in on-site waste planning and management. In addition, a collaboration framework was established for SMEs and other project stakeholders for effective waste planning and management. Furthermore, an organisational engagement strategy was developed to improve SME waste management practices. Three case studies were conducted to validate and finalise the research deliverables. This research extends the current literature that mostly covers waste management plans in new build projects, by presenting the knowledge and understanding of addressing waste problems in retrofit projects. It provides practical tools and guidance for industry practitioners to effectively manage the waste generation processes in office building retrofit projects. It can also promote industry-level recognition of the role of SMEs and their performance in on-site waste management.

Partnerships to promote school to work transitions : evidence from the field

Internationally, vocational education and training (VET) is challenged by increasing skills shortages in certain industries and rapidly changing skill requirements. Rigid and centralised state bureaucracies have proven inadequate to adapt to these challenges. Increasingly, partnerships between schools and industry have been established as a potential strategy to address local labour market demand and to provide school to work transition programs. Drawing on experiences in Australia, this paper reports on a case study of government-let partnerships between schools and industry. The Queensland Gateway schools initiative currently involves over 120 schools. The study aimed to understand how partnerships were constructed in this initiative. Selected partnerships were analysed in terms of the following principles of public-private partnerships – efficiency, effectiveness, sustainability, and beneficiaries. Although there are some benefits of partnership activities reported by both school and industry stakeholders, little evidence was found that the above underlying principles had been addressed to a significant extent in the Gateway school initiative. Further, these partnerships are often tenuously facilitated by individuals who have limited infrastructure or strategic support. Implications are that project stakeholders have not sufficiently accommodated theoretical perspectives on implementation and management of partnerships. Similar initiatives may be improved if stakeholders are cognisant of the underlying principles supporting successful public-private partnerships.

An Australian study on partnerships to promote school to work transitions

The delivery of vocational education and training (VET) is being challenged by either increasing skills shortages and/or rapidly changing skill requirements. To respond to this challenge, centralised state bureaucracies are increasingly adopting partnerships between schools and industry as a strategy to encourage school to work transition programs to address the local labour market demand. This paper reports on an Australian case study of government-led partnerships named the Queensland Gateway to industry schools initiative. 12 out of 120 school industry partnerships from five industry sectors were analysed in terms of the two commonly identified principles derived from the public-private partnership literature; efficiency and effectiveness. The study found that efficiency and effectiveness benefits of partnership activities were attributed to Gateway schools projects by both school and industry stakeholders. However, little evidence was found that the above underlying principles were addressed systematically. Implications are that project stakeholders would benefit from adapting theoretical perspectives regarding the implementation and management of partnerships to ensure the sustainability of partnerships.

Saudi Arabia’s sustainable housing limitations : the experts’ views

Purpose The purpose of this paper is to attempt to bridge the gap between sustainable housing and the use of smart technologies to improve the level of sustainability in the housing construction in Saudi Arabia, by discussing the barriers and enablers concerned with applying sustainability to housing construction in Saudi Arabia, which utilises smart technologies. Design/methodology/approach A Delphi method survey was employed, for which 25 individuals from three key stakeholder groups of the Saudi housing sector participated. They were asked about their degree of agreement (or disagreement) about the various barriers and enablers of applying sustainability to housing construction in Saudi Arabia, which utilises smart technologies. This research paper must be considered as an indicative study of selected experts that do not represent in any way the total population of Saudi Arabia. Findings Lack of public awareness has been identified as the most significant barrier in implementing sustainable housing development in Saudi Arabia, which utilises smart technologies. Raising awareness of the public to the benefits of sustainable housing and enlightening key project stakeholders in the design of sustainable housing are both essential in order to overcome the barriers discussed in this paper. In addition, it is important to adopt smart sustainable construction methods, exemplified by but not limited to, appropriate water preservation and wastewater treatment systems that are simultaneously smart and sustainable. Research limitations/implications This particular research has dealt with only barriers and enablers in the application of sustainability to housing in Saudi Arabia, which utilises smart technologies. For a more complete understanding, there is a need for further analysis of supplementary factors. Practical implications A study such as this, which identifies and prioritises barriers and enablers, could prove useful in guiding or encouraging the relevant ministry in Saudi Arabia to develop policies founded in the implementation of sustainability to the housing sector. Originality/value This research is a preliminary investigation into the implementation of sustainable housing development as it relates to Saudi Arabia.

Slicing big data - Twitter, gambling and time sensitive information

Big Data presents many challenges related to volume, whether one is interested in studying past datasets or, even more problematically, attempting to work with live streams of data. The most obvious challenge, in a ‘noisy’ environment such as contemporary social media, is to collect the pertinent information; be that information for a specific study, tweets which can inform emergency services or other responders to an ongoing crisis, or give an advantage to those involved in prediction markets. Often, such a process is iterative, with keywords and hashtags changing with the passage of time, and both collection and analytic methodologies need to be continually adapted to respond to this changing information. While many of the data sets collected and analyzed are preformed, that is they are built around a particular keyword, hashtag, or set of authors, they still contain a large volume of information, much of which is unnecessary for the current purpose and/or potentially useful for future projects. Accordingly, this panel considers methods for separating and combining data to optimize big data research and report findings to stakeholders. The first paper considers possible coding mechanisms for incoming tweets during a crisis, taking a large stream of incoming tweets and selecting which of those need to be immediately placed in front of responders, for manual filtering and possible action. The paper suggests two solutions for this, content analysis and user profiling. In the former case, aspects of the tweet are assigned a score to assess its likely relationship to the topic at hand, and the urgency of the information, whilst the latter attempts to identify those users who are either serving as amplifiers of information or are known as an authoritative source. Through these techniques, the information contained in a large dataset could be filtered down to match the expected capacity of emergency responders, and knowledge as to the core keywords or hashtags relating to the current event is constantly refined for future data collection. The second paper is also concerned with identifying significant tweets, but in this case tweets relevant to particular prediction market; tennis betting. As increasing numbers of professional sports men and women create Twitter accounts to communicate with their fans, information is being shared regarding injuries, form and emotions which have the potential to impact on future results. As has already been demonstrated with leading US sports, such information is extremely valuable. Tennis, as with American Football (NFL) and Baseball (MLB) has paid subscription services which manually filter incoming news sources, including tweets, for information valuable to gamblers, gambling operators, and fantasy sports players. However, whilst such services are still niche operations, much of the value of information is lost by the time it reaches one of these services. The paper thus considers how information could be filtered from twitter user lists and hash tag or keyword monitoring, assessing the value of the source, information, and the prediction markets to which it may relate. The third paper examines methods for collecting Twitter data and following changes in an ongoing, dynamic social movement, such as the Occupy Wall Street movement. It involves the development of technical infrastructure to collect and make the tweets available for exploration and analysis. A strategy to respond to changes in the social movement is also required or the resulting tweets will only reflect the discussions and strategies the movement used at the time the keyword list is created — in a way, keyword creation is part strategy and part art. In this paper we describe strategies for the creation of a social media archive, specifically tweets related to the Occupy Wall Street movement, and methods for continuing to adapt data collection strategies as the movement’s presence in Twitter changes over time. We also discuss the opportunities and methods to extract data smaller slices of data from an archive of social media data to support a multitude of research projects in multiple fields of study. The common theme amongst these papers is that of constructing a data set, filtering it for a specific purpose, and then using the resulting information to aid in future data collection. The intention is that through the papers presented, and subsequent discussion, the panel will inform the wider research community not only on the objectives and limitations of data collection, live analytics, and filtering, but also on current and in-development methodologies that could be adopted by those working with such datasets, and how such approaches could be customized depending on the project stakeholders.

Managing cost implications for highway infrastructure sustainability

Highway construction works have significant bearings on all aspects of sustainability. With the increasing level of public awareness and government regulatory measures, the construction industry is experiencing a cultural shift to recognise, embrace and pursue sustainability. Stakeholders are now keen to identify sustainable alternatives and the financial implications of including them on a lifecycle basis. They need tools that can aid the evaluation of investment options. To date, however, there have not been many financial assessments on the sustainability aspects of highway projects. This is because the existing life-cycle costing analysis (LCCA) models tend to focus on economic issues alone and are not able to deal with sustainability factors. This paper provides insights into the current practice of life-cycle cost analysis, and the identification and quantification of sustainability-related cost components in highway projects through literature review, questionnaire surveys and semi-structured interviews. The results can serve as a platform for highway project stakeholders to develop practical tools to evaluate highway investment decisions and reach an optimum balance between financial viability and sustainability deliverables.