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Implementation Success Factors and Associated Drivers

2.8 IMPLEMENTATION SUCCESS FACTORS (IMSF)

2.8.2 Implementation Success Factors and Associated Drivers

IMSF are associated with the project internal and external elements. Studies by Chan et al. (2004), Mbachu and Nkado (2007), Olawale and Sun (2010), Ihua et al (2014), and Akanni et al. (2015) to mention a few espoused that project internal element include, project related factors, PMT related factors, management related factors and project characteristics related factors. They also identified project external element as external factors related. In their views, the factors associated with project internal element occur more persistently and requires constant control by the PMT. On the other hand, factors associated with the external project element is uncontrollable by the PMT and have lower frequency of occurrence on management systems. However, findings from a study by Olawale and Sun (2010), Morad

93 and El-Sayegh (2016) indicates that the PMT need the IMSF for consideration in CMS implementation.

Extant literature documents a variety of drivers associated with IMSF. Pinto et al. (1987), Saqib, et al. (2008), Tan et al. (2011), and Adnan, et al. (2014), identified key drivers for construction project performances. Chua, et al. (1999), Iyer and Jha (2005), Arcilia (2012), Hwang et al. (2012), and Kog et al. (2012), identifies the key drivers for effective cost performances. While Tang (2005) and Olawale and Sun (2010) identified key drivers for project cost management. Similarly, in the Nigerian context, Ogwueleka, (2011), Amade et al. (2015), and Okoye et al. (2015) identifies the key drivers for effective cost management and performances in public sector construction projects (LcH inclusive). The key drivers identified across these studies are documented in Table 2.10.

Apparently, a critical assessment of these studies shows a consensus on 13 specific salient drivers for project cost performance and management. The identified drivers mainly human, management and external related. This finding suggests that these drivers could be can be significant in achieving effective project cost management and performances. However, the identified drivers are from generic contexts and not peculiar to CMS implementation in LcH project delivery creating the need for further contextual investigations. Nevertheless, before further investigations in the context of CMS implementation in LcH project delivery, it is needful to have an understanding of the identified 13 drivers.

94 Table 2. 10: Key divers for successful project management and performances

Source: Compiled by Researcher from publications

2.8.2.1 Availability of cost data

Akintoye (1998 cited in Tang, 2005) and Tang (2005) pointed out that cost data is critical in achieving effective project cost management because it guides the estimator’s judgment in improving the accuracy of current estimates. Cost data are information on building costs collected from published price books, cost information publication services, trade journals

Driver A m ade et al . (2015 ) O koye e t al . ( 20 15) A dnan, e t a l. ( 20 14) Ihua et a l., (2014 ) A rci li a ( 20 12) H w ang a nd L im ( 2012 ) K og and Log (201 2) O gw uel ek a ( 20 11) Tan et al .( 201 1) O lawal e a nd S un ( 2010) Saqi b et a l. (2008 ) Iyer and Jha ( 2005 ) Tang ( 2 005) C hua, e t al . ( 19 99) Pint o and S lev in . (1987 )

1 Effective project planning and control

2 Project management team

competency

3 Budget update,

4 Constructability,

5 Economic stability

6 Project management team collaboration

7 Clear project brief

8 Risk identification and management,

9 Early contractor

involvement

10 Adequate cash flow

11 Adequate designs and specifications

12 Adequate project team

selection and early engagement

13 strong monitoring and evaluation system 14 Effective procurement process, 15 Weather Conditions 16 Availability of

information and cost data

95 and feedback from actual projects based on tacit knowledge of the PMT. Hence, availability of cost information is necessary for cost effective planning and estimating.

2.8.2.2 Adequate designs and specification

The adequacy of designs and specifications is critical for control project cost. It facilitates effective planning and cost control and provide essential feedback during planning, budgeting, and control process. According to Shrestha and Mani (2013) successful public projects, completion within reasonable costs is essential because government fund these projects such as LcH from taxes. Therefore, the adequacy of project designs and specifications can facilitate effective project cost planning and control.

2.8.2.3 Competent project team professionals

Competence refers to the degree of skill, knowledge, and experience the team members possess which guides their input in the CMS implementation (APM, 2015). The PMT needs to be wholly competent, qualified and experienced in their professional roles as well as specific roles affecting the CMS because their efficiency influences the input and outcome of the CMS (APM, 2015; Alexandrova et al., 2012). Therefore, a competent PMT can facilitate effective management and performance outcomes on a project.

2.8.2.4 Effective project planning and site supervision

Effective project planning and site supervision facilitate effective coordination and integration of project activities (Tan et al., 2011). This driver enables the team to precisely program and documented deliverables, schedule, monitor real time and produce cost scale as well as active project site resources control (Haughey 2014). An understanding is needful to meet the purpose and values of the project pursuing necessary procedures that lead to effective planning and control on projects. Hence, the team commitment to effective project planning and supervision (control) is essential.

2.8.2.5 Early contractor involvement

This enhances strategic decisions that can affect the project planning, designing and control in a cost-effective manner. The contractor’s tacit knowledge from similar projects is a useful input that can influence the CMS positively (International Association of Dredging Companies (IADC), 2011). This involvement will facilitate effective contributions needed

96 for strategic decisions early in the project life. Furthermore, it fosters better cooperation between the contractor and other project management teams throughout the project delivery (Song et al., 2009). Hence, it is a driver that can assist in the strategic decision process needed to plan effectively, estimate and budget project cost at an early stage to deliver best value to the client.

2.8.2.6 Effective team collaboration and commitment

Collaboration entails teamwork to accomplish a task and solving difficult problems (Schrage 1990). It embraces, coordination and trust for interactive teamwork and a two-way communication to manage and share knowledge effectively to solving both individual and project focused tasks (APM, 2015; Mishra et al., 2009). Therefore, information, communication, trust are identified as essential ingredients of effective collaboration and commitment.

2.8.2.7 Clear and well-detailed client project brief

A clear client project brief defines the strategic project outcomes of the project in terms of purpose, the set objectives, the requirements and the target market (APM 2015). This statement implies that identifying client requirements in terms of cost and value and provides a good idea of expected project outcomes. Hence, it is necessary to guide the project management team from predesign through construction on effective management of costs on the project.

2.8.2.8 Constructability

Constructability emphasizes the ability to build, the importance of construction input and recognizes the principles of construction to achieve project objectives (Arcilia, 2012; Kog & Loh 2012). It underpins the optimum use of construction knowledge and experience in planning, engineering, and field operations to ensure that procedures adopted by the PMT on the project can lead to eventual success. This is necessary because the principles or method of construction proposed will influence the way in which project cost management will be adequately managed.

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2.8.2.9 Effective risk management

Early identification of risk at the outset of a project is considered essential for project cost and time control to be effective (Olawale and Sun 2010). Risks can affect cost control, and the level of their influence can be difficult to assess (Akintoye et al., 1998). Therefore, for effective CMS implementation considerations to allocate a contingency cost for risk management may be necessary.

2.8.2.10 Budget update

The budget update involves appraising approved changes in the target cost that affect the cost baseline (Arcilia, 2012). In achieving effective project cost control, the PMT must be aware of any changes in that can significantly affect the cost baseline and ensure that such changes are coverable by the contingency cost set-aside use to cover small budget modifications. Changes affect cost control and in the case of LcH projects where tight budgets are predominant (Shrestha & Mani, 2013) change orders must be properly reviewed before implementation. Therefore, for effective cost control project budget updates are needed to mitigate unnecessary project expenses.

2.8.2.11 Adequate and effective cash flow

Cash flow is the actual movement of money in and out of a project, and effective cash flow is vital to successful project delivery (Usman et al., 2016). The effective and timely flow of money into the LcH project is one of the key client's obligations (Saisi, et al., 2015) that can enhance the consultants, contractors and suppliers’ effectiveness in discharging their duties during the cost management process. This indicates the importance of adequate working capital to enable the contractor maintain workflow on the project which is necessary for effective cost control process.

2.8.2.12 Stable economic stability

Declining revenues, rising debts, and fiscal shortfalls are all triggers of economic instability. This driver from the level of general economic activity impacts on the construction environment as well as the resources available to carry out the construction activity (Akanni et al., 2015). Therefore, a stable environment allows for market stability and adequate money circulation within the economy. This flow will apparently affects the construction market influences management decision on the project resources. However, there are periodic

98 economic cycles, which can necessitate forecasting of economic trends both local and global context. Therefore, economic instability can influence management performances on a