Evolving Toolbox for Complex Project Management

Alex Gorod, Leonie Hallo, Vernon Ireland, Indra Gunawan, Alex Gorod, Leonie Hallo, Vernon Ireland, Indra Gunawan

• Publisher: Auerbach Publications
• Year: 2019
• Print ISBN: 9780367185916
• eBook ISBN: 9780429589287
• Topic: Business
• Subtopic: Management
• Index: Business

This book enhances learning about complex project management principles and practices through the introduction and discussion of a portfolio of tools presented as an evolving toolbox. Throughout the book, industry practitioners examine the toolsets that are part of the toolbox to develop a broader understanding of complex project management challenges and the available tools to address them. This approach establishes a dynamic, structured platform for a comprehensive analysis and assessment of the modern, rapidly changing, multifaceted business environment to teach the next generation of project managers to successfully cope with the ever increasing complexity of the 21st century.

1 Introduction to the Evolving Toolbox

Alex Gorod and Leonie Hallo

The University of Adelaide

CONTENTS

References

Let’s consider the task of building a toolbox for complex project management. What should be inside that toolbox? What are the essential toolsets that will enable project managers to deal more effectively with complex projects? To answer these and other important questions, the editors approached subject-matter experts in a variety of topic areas and asked them to contribute the most useful tools from their own toolbox and experience. These state-of-the-art tools have been brought together for this book. Additional topics may have been included at this time; artificial intelligence and machine learning, blockchain technology, systemic quality management, feasibility, and managing stakeholders in a complex environment, among others. New concepts and technologies are constantly emerging, and the toolbox is expected to evolve over time. As a starting point, the editors gathered 22 initial toolsets, with a chapter devoted to each of these valuable toolbox components for managing complex projects.

In this chapter, as an introduction to the toolsets included and to highlight their contribution, the toolsets are described through the lens of a complex project, the Fukushima Daiichi Nuclear Power Plant disaster recovery effort. The Fukushima recovery project is a major undertaking given its magnitude, scope, longevity, and the costs involved. There are numerous stakeholders, a great number of unknowns, and no clear correlation between cleanup efforts and the results that will be achieved. Enormous funds have been allocated to the cleanup and recovery, and it is expected to be the costliest natural disaster in history [1]. Given the continuous emergence of unanticipated factors, the problem space is perpetually changing, which makes progress much more difficult. Further, the project is complex because of its inherent interconnectedness. Whatever approach is applied, there are cumulative effects due to the interrelatedness of the constituents. The sophisticated management tools needed are not readily available and there is no adaptable platform for managing them.

In addition to providing an overview of the latest toolsets for complex project management in the context of the Fukushima recovery project, the evolving toolbox approach, which is a systemic platform for managing tools, is discussed in more detail later in the chapter. Project managers, teams, and organizations can use such a system for collecting, integrating, monitoring, and updating tools to ensure that their tools are optimized in the light of contemporary developments.

The first toolset presented in this book concerns the use of case studies. Case studies have many advantages [2,3]. They are based upon real-life situations that can come from different domains and industries, revealing a range of best practices and lessons learned. They are also a source of patterns [4] and can be used as blueprints for modeling and simulation (M&S) [5]. Case studies can provide feasibility assessment of selected approaches [6]. In the Fukushima recovery project, it is expected that the authorities have established contact with international bodies, such as the International Atomic Energy Association (IAEA) in Geneva, Switzerland, to access information about previous nuclear recovery operations. From a review of existing case studies, including Chernobyl and the Three Mile Island Nuclear Accident, it would be possible to evaluate the success of previously utilized approaches, recognize best practices, identify patterns, and determine the likely most effective strategies. In addition, case studies complement modeling in gaining a more accurate understanding of the boundary of the disaster recovery project. The Fukushima recovery project itself is a case study for future disaster response planning [7]. Chapter 2: Case Studies Toolset presents a case study of the Boston Big Dig, a major infrastructure project, and describes case study approaches that can be used to assist managers of complex projects in extracting best practices, patterns, and other critical information from similar cases around the world.

Scheduling plays a key role in any project. However, this is particularly problematic within a complex environment because forecasting is not always reliable and accurate prediction may not be feasible. It was originally thought that the Fukushima cleanup would take 30–40 years to complete [8], but now it has been suggested that this project may take up to 200 years [9]. Yet, scheduling is fundamental to project success. Therefore, it is vital to plan and adjust forecasts in response to new impediments and developments. Chapter 3: Scheduling Toolset presents a range of project scheduling tools and describes how these have advanced from the mediaeval period to the present time. The chapter then looks to the future and discusses how project scheduling tools can continue to evolve in order to cope with increasingly complex projects. The toolset can offer support to project managers in forecasting and in assessing the accuracy of their forecasts.

Scheduling is extremely difficult within a complex environment because forecasting is not always reliable and accurate prediction may not be feasible.

No matter how complex a project is, it is still necessary to plan and allocate a budget and to establish the costs associated with the project and the various activities involved. Cost estimation becomes a more demanding process when considering complex projects. Chapter 4: Cost Estimation Toolset presents novel modern approaches on how cost estimation is conducted under uncertainty and provides an overview of models that are relevant to complex projects. Further, the chapter offers a case study that illustrates how one of the selected models is applied in the complex project management environment.

Project managers require tools to effectively manage the human factor or the people involved. Managers may be faced with great stakeholder diversity and need to strive to understand the nature of interactions between individuals and groups, recognize ways to influence and motivate them, and foster a culture of creativity and flexibility. Chapter 5: Human Factors Toolset discusses the central role of people in complex project management. Both the unique characteristics of any individual and the way people relate to each other and to technology will have an enormous impact on the results. Whenever there is a human factor present, outcomes are unpredictable and uncertainty will ensue. Managers of complex projects need to have skills in the effective management of themselves, their staff, and their teams. Both internal and external stakeholders need to be identified and managed, which may not be as easy in a complex dynamic environment as it is in traditional projects. In the case of Fukushima, it is crucial to identify the thousands of different entities involved. It is the job of the project manager to integrate and streamline these stakeholders towards the overarching shared purpose as well as to instill a commitment to the project. This chapter provides an overview of the human factor in complex project management and includes several relevant tools to assist project managers.

Whenever there is a human factor present, outcomes are unpredictable, and uncertainty will ensue.

What model of leadership should be applied in leading a complex project? There are many leadership styles, such as transactional leadership, transformational leadership, visionary leadership, participatory leadership, servant leadership, and responsible leadership, to name just a few. Each style is a tool that can be used under certain circumstances. The question of the appropriate leadership model for the Fukushima recovery effort has been debated in the literature [10], with many observers indicating that a top-down style, while consistent with Japanese culture, was not the most optimal approach under these circumstances [11]. Chapter 6: Leadership Toolset discusses leadership as a critical skill for managers of complex projects. Due to the growing role of globalization, technology, and the human factor, projects are becoming exponentially more complex. Project managers need tools to unite and lead disparate groups of people of different time zones, disciplines, and goals towards a common vision. The future obviously promises to present further challenges for managers in developing a shared holistic perspective and fostering collaboration, given the increasing diversity of constituents. According to a study conducted by the Project Management Institute (PMI) of 697 experienced project management practitioners, leadership skills are considered to be extremely important for successfully managing highly complex projects [12].

Project managers need tools to effectively unite and lead disparate groups of people of different time zones, disciplines, and goals towards a common vision.

The same report from PMI asserts that negotiation and persuasion skills are also required in working productively with complexity. When numerous stakeholders are involved, all with different objectives, needs, and views, negotiation plays a major role in reaching an agreement on a collective mission. Thus, project management necessitates constant bargaining and trade-offs that at times give rise to conflict. In the case of Fukushima, there are ongoing discussions among the many stakeholders within the project and outside, such as between Tokyo Electric Power Company (TEPCO), IAEA, and other international bodies. Chapter 7: Systemic Negotiation and Conflict Resolution Toolset presents tools for complex negotiation and conflict management in projects that contain high levels of uncertainty and unpredictability. Notions of leverage, soft systems methodology, and emotional intelligence are suggested as frameworks for aligning stakeholders’ interests towards resolution of an impasse in negotiation. The chapter is focused on various techniques that can be used to successfully negotiate as well as to mitigate potential conflicts.

Project managers also need to stand back and observe the complex project in its entirety.

Project managers also need to stand back and observe the complex project in its entirety. Systems theory enables the creation of a view of the project’s evolution and life in its environment as it interacts with other projects. In the case of the Fukushima recovery project, organization and systems theory can be applied in recognizing how the multiple parties are involved, such as the public, regulatory bodies, and other participants, perceive the recovery project. Gaining such a perspective can be informative in identifying more effective approaches as part of rebuilding and revitalization efforts. Chapter 8: Organization and Systems Theory Toolset asserts that complexity can be actively managed. According to the chapter authors, there are a variety of different characteristics of complexity. The chapter introduces several potential strategies for coping with project complexity, such as network analysis, systems dynamics, modularization, antifragility, and mindfulness.

Taking a systems theory approach raises the issue of control. It is widely understood that in complex environments, exercising control is not always feasible. In the case of the Fukushima recovery effort, attempting to control the continuously altering situation through the existing hierarchy is not necessarily the most constructive way of operating. Since it takes time for information to go through the chain of command, decisions made at the grassroots level are often more effective because they are timely. In addition, the workers at the bottom of the organization may have more information about the situation than managers at the top. Therefore, rather than using the traditional command and control structure, governance mechanisms are needed in order to influence the environment. Governance is about establishing rules and parameters within which constituents can self-organize. This makes it possible to affect the environment without controlling it, obtain feedback, and monitor the state of the project. In terms of the disaster recovery project, appropriate standards, reporting procedures, safety requirements, and other “rules of the game” will need to be set and properly communicated. It is the responsibility of the project manager to influence the project environment to foster emergent bottom-up (grassroots) behavior through providing sufficient autonomy. As a consequence, this will help to address quickly changing dynamics while simultaneously ensuring that the overall project mission is accomplished in a safe, productive, and efficient manner. Chapter 9: Enterprise Governance Toolset presents a variety of governance tools concerned with oversight and accountability, focusing on complex projects. A complex project can be considered as a system that takes and transforms inputs from the environment. It subsequently produces outputs and receives feedback about those outputs. Complex system governance centers around ways to design, carry out, and develop the functions that maintain performance. This chapter offers information and guidance for managers of complex projects to better understand and access tools for effective project governance.

Complex system governance centers around ways to design, carry out, and develop the functions that maintain performance.

Chapter 10: Critical Success Factors and Climate Toolset looks at the factors that are most likely to lead to complex project success, including open communication, project planning and monitoring, and stakeholder satisfaction. This chapter presents practical tools to assist managers of complex projects ...

Table of contents

• Cover
• Half Title
• Series Page
• Title Page
• Copyright Page
• Dedication Page
• Table of Contents
• Foreword
• Preface
• Acknowledgments
• Editors
• Contributors
• Chapter 1 Introduction to the Evolving Toolbox
• Chapter 2 Case Studies Toolset
• Chapter 3 Scheduling Toolset
• Chapter 4 Cost Estimation Toolset
• Chapter 5 Human Factors Toolset
• Chapter 6 Leadership Toolset
• Chapter 7 Systemic Negotiation and Conflict Resolution Toolset
• Chapter 8 Organization and Systems Theory Toolset
• Chapter 9 Enterprise Governance Toolset
• Chapter 10 Critical Success Factors and Climate Toolset
• Chapter 11 Pattern Identification and Management Toolset
• Chapter 12 Policy Management Toolset
• Chapter 13 Legal Aspects Toolset
• Chapter 14 Intellectual Property Toolset
• Chapter 15 Systems Thinking Toolset
• Chapter 16 Test and Evaluation Toolset
• Chapter 17 Advanced Visualization Toolset
• Chapter 18 Social Network Analysis Toolset
• Chapter 19 Modeling and Simulation Toolset
• Chapter 20 Adaptability, Agility, and Resilience Toolset
• Chapter 21 Cyber-Systemic Toolset
• Chapter 22 Systemic Risk Toolset: Another Dimension
• Chapter 23 Systemic Innovation Toolset
• Index