Relationships between project governance and information technology governance and their impact on project performance

This research endeavors to address the question of how to enhance project performance through exploring the relationships among information technology (IT) governance, project governance and project performance. The research utilizes an empirical survey methodology. The survey of 533 working professionals in various industries renders 282 usable responses or a response rate of 53.91%. The results suggest that both IT governance and project governance have a positive impact on project performance. Moreover, we found that three dimensions of IT governance (i.e., strategy setting, value delivery, and performance management) are positively associated with project performance while all three dimensions of project governance (i.e., portfolio direction, project sponsorship as well as project effectiveness & efficiency, and disclosure & reporting) are positively associated with project performance. Additionally, the alignment between IT governance and project governance is also found to be positively associated with project performance. These findings provide evidence to project management professionals in regard to IT governance and project governance being part of the operational strategy in facilitating the success of projects. It also demonstrates the importance of the alignment strategy between IT governance and project governance in enhancing project performance.     

PM critical competency index: IT execs prefer soft skills

The maturation of the project management discipline, coupled with collapsing project budgets, shortening of project deadlines and the increasing risk of costly project failure, has led industries and academia alike to investigate and identify sources of project success. This research focuses on investigating the human characteristics necessary to achieve such success, through identifying and rating preferred IT project management competencies across US industries. This 2-phased study first sampled IT recruiters nationwide to determine which characteristics were valued in the hiring of project managers. The resulting Hiring Criteria Index, a list of 15 of the most valued project management competencies, was then sent to IT executives nationwide, whereby they were asked to rank their preferences in terms of importance, on a 7 point Likert Scale. Results indicated that respondents were able to clearly identify six critical core competences: leadership, the ability to communicate at multiple levels, verbal and written skills, attitude and the ability to deal with ambiguity and change that were indicative of characteristics important to successful project management.     

Escalation of commitment in troubled IT projects: Influence of project risk factors and self-efficacy on the perception of risk and the commitment to a failing project

Past studies have indicated that project managers may be less likely to continue failing IT projects if they are able to perceive project risks accurately. Using the scenario of a failing IT project, a computer simulation-based experiment investigated the influence of individual self-efficacy and project risk factors on the perception of risk. Participants played the role of a project manager and managed a simulated IT project. The results suggest that project managers are likely to underestimate the risks of a project with endogenous risk factors as compared to a project with exogenous risk factors. Results of this study point to a ‘self-efficacy bias’ where project managers with higher self-efficacy may underestimate the risks of a troubled IT project as compared to project managers with lower self-efficacy. Further, risk perception mediated the influence of self-efficacy on the commitment to a failing IT project.     

Project and program diagnostics: A systemic approach

This paper focuses on the theory and application of diagnostic concepts to assess the health of large projects or programs at any point in their life relative to the desired targets. The author presents a comprehensive project health check methodology. Project diagnostics is not to be confused with project progress measurement and control or project management maturity models as the objective is to see if the project team applies a systemic approach to the planning and management of the project. Its purpose is not to assess the project progress achieved at a given time and compare that to plans. Nor does it aim to assess the maturity of the application of a particular project management methodology/standard. The health of a project/program at a given time is found by evaluating the actual practices applied to manage a raft of variables which collectively characterise the management practice on that project.The technique – referred to as project health check or ‘PH-Check’ – has been computerised for ease of application. It provides a graphical picture of the heath of a project at the time of assessment. The results of the project health check can then be correlated with the results obtained from traditional project progress measurement tools. This correlation will yield greater understanding of the management of the enabling factors and their influence on project behaviour and results. This paper presents the PH-Check methodology and its underpinning concepts.     

Project leadership in clinical research organisations

Do managers adjust the contextual variables of a project with a view to suiting their personal style? A survey among project leaders in clinical research organisations has given limited support to this proposition but has identified a relationship between the perception of the difficulties involved in a project and types of leaders, based on Fiedler’s theory. This observation has important implications both for project definition in terms of contextual characteristics and for the choice of appropriate project managers, particularly where knowledge workers are involved.     

Does risk management contribute to IT project success? A meta-analysis of empirical evidence

The question whether risk management contributes to IT project success is considered relevant by people from both academic and practitioners’ communities already for a long time. This paper presents a meta-analysis of the empirical evidence that either supports or opposes the claim that risk management contributes to IT project success. In addition, this paper also investigates the validity of the assumptions on which risk management is based. The analysis leads to remarkable conclusions. Over the last 10 years, much has become known about what causes IT projects to fail. However, there is still very little empirical evidence that this knowledge is actually used in projects for managing risks in IT projects.     

Project governance mechanisms and the performance of software development projects: Moderating role of requirements risk

Over the years, practitioners and academicians have been perplexed by low efficiency and poor performance in IT projects. Previous studies have uncovered a variety of critical factors, including effective project governance mechanisms that can trigger project performance and curb opportunism. However, an obvious question that emerges is how effective these governance mechanisms are at improving the performance of an IT organization and software development project in the presence of risk factors. Hence, the overarching objective of the current study is the development of a moderation model to investigate the effectiveness of these governance mechanisms in the presence of requirements risk. This paper follows a positivist research philosophy where a quantitative deductive approach has been used to collect the data of 318 respondents from 175 software development firms based in Pakistan. Statistical Package for the Social Sciences (SPSS) and Structural Equation Modeling (SEM) through SmartPLS 3 have been used to analyze the hypotheses. The results of the study indicate that contractual and relational governances significantly influence project performance and are useful in reducing opportunism. Moreover, there is evidence that the presence of requirements risk tends to negatively moderate the influence of contractual and relational governances on project performance. The findings will help not only Pakistan's software firms, but also those in developing countries that want to improve performance through effective project governance and risk management.     

Cross-domain negative effect of work-family conflict on project citizenship behavior: Study on Chinese project managers

This research aims to examine whether and how the bidirectional work-family conflict—work-to-family conflict (WFC) and family-to-work conflict (FWC)—would influence project citizenship behavior (PCB) among Chinese project managers. We proposed hypotheses regarding the relationships between work-family conflict and PCB and the mediating effects of project commitment, which considered the role of national context. Data collected from 154 Chinese project managers were analyzed using structural equation modeling. It was found that FWC had negative relationships with all the three chosen PCBs, i.e., helping behavior, individual initiative, and relationship maintenance, and project commitment mediated these relationships. However, no negative influences of WFC on the three PCBs and project commitment were found. Further comparisons of effects of WFC and FWC on PCBs and project commitment indicated that Chinese project managers were less subject to the negative impacts of WFC. Overall, our results supported the cross-domain negative effect but rejected matching-domain negative effect of work-family conflict among Chinese project managers. We extend understandings of work-family conflict and PCB in the project context, and verify the importance of national context in interpreting work-family issues. Practical suggestions are also discussed regarding increasing project managers' PCB.     

Speeding up decision-making in project environment: The effects of decision makers' collaboration network dynamics

Faced with continuously changing project environments, organizations need to not only make the right decisions but also make decisions in a timely manner. This study investigates the determinants of timely decision-making from the perspective of collaboration network dynamics. From the archival data recordings of the decision-making meetings of Program N, a national water transfer program, the meeting-based collaboration relationships of the decision makers were identified. Cox regression was employed to explore the effects of collaboration network dynamics on the time needed to reach a decision. The results suggest that stronger previous collaboration relationships and more centralized social capital distribution in decisions groups contribute to more timely decision-making. These findings substantiate social network theories in a real-world collaborative decision-making setting and reveal the facilitators of timely project decisions. The practical implication for project decision management is that the recruitment of a decision-making group should be based on not only the decision makers' technical expertise but also their collaboration network dynamics.     

How knowledge management impacts performance in projects: An empirical study

This paper develops theory and tests the relationships between knowledge management and various aspects of performance in IT-enabled business projects. The proposed theory posits that knowledge management is instrumental to Project Performance when mediated by a new concept, Knowledge Alignment. The research model is tested on survey data from 212 IT-enabled business projects. Findings show that project managers who achieve Knowledge Alignment among the people and the artefacts from three parts of the project – the IT team, the business change team, and the governance team – can have a significant positive impact on the achievement of business value from the project. Achieving higher levels of Knowledge Alignment is shown to have no significant negative impact on attainment of schedule and budget targets. This is the first statistical study to demonstrate the effect of knowledge management and Knowledge Alignment on the attainment of project management targets and of business value in IT-enabled projects.     

From dynamic capabilities to ERP enabled business improvements: The mediating effect of the implementation project

This study explores whether an Enterprise Resource Planning (ERP) implementation project mediates the relationship between dynamic pre-adoption capabilities and ERP-enabled business improvements. The results from our field survey of large ERP adopters in Austria suggest that the effects of the two out of three selected dynamic capabilities are dependent on the properties of the underlying organizational transformation project. While external information acquisition and IT governance capabilities are fully mediated by the performance of the ERP implementation project, decision making only directly impacts business capabilities. These results further our understanding about the role of the implementation project for ERP value creation and the different natures of capability relationships. We call for more research on co-presence conditions related to dynamic capabilities and IT transformation project performance.     

The impact of contractors’ attributes on construction project success: A post construction evaluation

The success of construction projects is a fundamental issue for most governments, users and communities. In the literature that deals with construction project success and causes of time and cost overruns in the construction industry, there is some literature that highlights the role of the contractors in project success. While most studies rank contractors’ success attribute from tendering, prequalification, and a long term historical perception perspective, this paper aims to study the impact of contractors’ attributes on project success from a post construction evaluation perspective to identify what critical success factors (CSFs) that greatly impact the success of project. In an attempt to understand and investigate this impact, a questionnaire survey is used to establish construction professionals’ perception of CSFs of contractors that greatly impact on the success of construction projects. Factor analysis reveals nine underlying clusters namely :(i) safety and quality; (ii) past performance; (iii) environment; (iv) management and technical aspects; (v) resource; (vi) organisation; (vii) experience; (viii) size/type of pervious projects; and (ix) finance. Logistic regression techniques were used to develop models that predict the probability of project success. Factors such as turnover history, quality policy, adequacy of labour and plant resources, waste disposal, size of past projects completed, and company image are the most significant factors affecting projects success. Assuming that project success is repeatable, these findings provide clear understanding of contractors’ performance and could potentially enhance existing knowledge of construction project success.     

The transformative effect of top management governance choices on project team identity and relationship with the organization — An agency and stewardship approach

This study focuses on the relationship and identity changes within and between a project team and its organization following top management intervention in the context of a large international construction project. The study follows the project-as-practice orientation, examining the actions and behaviors of the project team through participant ethnography in the “praxis” of the project site over its entire duration. The longitudinal case allows the examination of the way the transition process established a new governance culture undermining the initial trust-based one and changed it from a virtual absence of mechanisms toward far more potent mechanisms of control, monitoring, and punishment. Simultaneously, the initial stewardship relationships and collectivist identity of the project team shifted toward agency relationships and individualistic identity. The triggers for the transformation process were identified as CEO succession, project failure, top management intervention driven changes in governance mechanisms, and perception of organizational betrayal of the project team.     

Effect of organisational position and network centrality on project coordination

This study approaches project based coordination from a real-world dataset of complex multi-million dollar projects with hundreds of people working together. Using the Enron dataset provides this study with real-world interactions for exploring the effect of the employee’s organisational position and network centrality on project based coordination. With an understanding of centrality and coordination, we explore whether centrally ‘well-connected’ people are able to exercise greater project based coordination within the network structure. In this study, we explore questions such as–What is the relationship between network centrality and coordination? Which degrees of centrality (i.e., in-degree, out-degree, betweenness, closeness) have higher correlation in project based coordination? Is there a relationship between actors’ organisational position and their network position with the project group?     

Research into the moderating effects of progress and quality performance in project dispute negotiation

Project disputes are inevitable. However, for disputes to be settled, a contractor is faced with the dilemma of choosing between an extension of the time for completion under its entitled rights, and expediting to avoid delay. In order to decide which strategy is the most beneficial, this paper explores the moderating effects of progress and quality performance on the relationship between bargaining power (dependent variable) and its critical factors (independent variable). To achieve this, we conducted a questionnaire survey. First, through a study of the literature and expert interviews, we identified 11 factors of bargaining power (as well as which ones were the most critical) using a principal component analysis to calculate the factors' influence weight on bargaining power. Second, we adopted moderated multiple regression (MMR) analysis to examine how progress and quality performance affect the relationships between these critical factors and bargaining power. The result suggests that there are nine MMR models that have a significant moderating effect on these relationships. We then identified six of these models with the strongest relative moderating effect. The results illustrate that progress and quality performance can help improve negotiation outcomes. Therefore, when project disputes occur, the contractor's best strategy is to strive to reduce the project time loss, guarantee the quality of the project, and gain the owner's recognition, which will help to resolve the project dispute successfully through negotiation, and achieve their shared intended goal.     

Why projects fail? How contingency theory can provide new insights – A comparative analysis of NASA’s Mars Climate Orbiter loss

When important projects fail, the investigation is often focused on the engineering and technical reasons for the failure. That was the case in NASA’s Mars Climate Orbiter (MCO) that was lost in space after completing its nine-month journey to Mars. Yet, in many cases the root cause of the failure is not technical, but managerial. Often the problem is rooted in management’s failure to select the right approach to the specific project. The objective of this paper is to enrich our understanding of project failure due to managerial reasons by utilizing different contingency theory frameworks for a retrospective look at unsuccessful projects and perhaps more important, potential prevention of future failures. The evolving field of project management contingency theory provides an opportunity at this time to re-examine the concept of fit between project characteristics and project management, and offer deeper insights on why projects fail. After outlining several existing contingency studies, we use three distinct frameworks for analyzing the MCO project. These frameworks include Henderson and Clark’s categorization of change and innovation, Shenhar and Dvir’s NTCP diamond framework, and Pich, Loch, and De Meyer’s strategies for managing uncertainty. While each framework provides a different perspective, collectively, they demonstrate that in the MCO program, the choices made by managers, or more accurately, the constraints imposed on them under the policy of ‘better, faster, cheaper’, led the program to its inevitable failure. This paper shows that project management contingency theory can indeed provide new insights for a deeper understanding of project failure. Furthermore, it suggests implications for a richer upfront analysis of a project’s unique characteristics of uncertainty and risk, as well as additional directions of research. Such research may help establish new and different conceptions on project success and failure beyond the traditional success factors, and subsequently develop more refined contingency frameworks. The results of such research may enable future project managers to rely less on heuristics and possibly lead to a new application of “project management design.”     

Knowledge entrainment and project management: The case of large-scale transformation projects

An increasing number of change processes and initiatives are organized and implemented as projects, often through the formation of ‘large-scale transformation projects’ (LST), involving a great number of specialists, departments, partners, development work, and knowledge bases. The theoretical foundation that supports the choice of managing change as projects and, in effect, the role of project management has received surprisingly little attention in the current literature. In this paper, we present a model where the success of change initiatives is explained by the quality of project management, which in turn is determined by the quality of knowledge integration. The outlined model highlights knowledge integration as a process determined by the scope and speed of change, which typically result in problems with synchronization of activities within an LST project. Our model draws on the idea of ‘knowledge entrainment’ to explain the fact that different parts (organizations, teams, individuals) tend to develop different time orientations and hence rely on different cycles of knowledge processes. This has important effects on the absorptive capacity of the involved parts of the project and the amount of information and knowledge that the project can digest. This paper discusses different knowledge-entrainment mechanisms and their effects on the role and practice of project management. Empirical data from an LST project in Posten, one of Northern Europe’s largest messaging and logistics operators, illustrate the model. The paper contributes to the analysis of the relationships between knowledge integration and time, particularly in LST projects.     

Intervening conditions on the management of project risk: Dealing with uncertainty in information technology projects

A review of the outcome of many information technology (IT) projects reveals that they fail to meet the pre-specified project objectives of scope, time and budget. Despite well-established project risk management processes, project managers perceive their application as ineffective to manage risk. This failure may well be attributed to the inadequate application of those risk management processes. The purpose of this research was to investigate how project managers responsible for the management of risk in IT projects actually managed risk and to relate this back to established project risk management processes. In undertaking this investigation, we were seeking to understand the ways in which the project managers’ approaches and behaviours, when considering risk in IT projects, differed from what might be expected. Results show that because of environment-related and decision maker-related conditions, project managers tend to deny, avoid, ignore and delay dealing with risk, with the consequence of those actions having an adverse influence on their perceived effectiveness of risk management and the project outcomes. If project risk management, and its underlying processes are not to be discredited, the behaviour of project managers when confronted by uncertainty should be considered and actions need to be taken to discourage project managers’ irrational actions.     

Leadership for future construction industry: Agenda for authentic leadership

Research in the construction industry is beginning to pay more attention to project leadership. Current perception of construction project leaders is largely built around power, authority, and task-orientation. This is due to the traditional focus of the construction industry on technical and managerial features of construction projects. However, greater challenges of modern times and increasingly different business environment necessitate a renewed vision for leadership research and call for a change in traditional perception and mindset about leadership in the construction industry. Globalization and fast changing nature of construction have necessitated a need for project managers to have and apply different leadership behaviors, competencies and styles. To highlight the need for a new breed of construction project leaders, this paper discusses the recent construct of “authentic leadership” in the context of construction projects. Authentic project leaders possess positive values, lead from the heart, set highest levels of ethics and morality, and go beyond their personal interests for well-being of their followers. They capitalize on the environment of trust and are able to motivate people and accomplish challenging tasks. Authentic leadership possesses high potential for development as well as veritable performance of construction project leaders. Proposal made in this paper highlights benefits of authentic leadership development in construction professionals and discusses the relevant practical and research implications. An agenda for research on authentic leadership in the construction industry is also discussed in detail.