Browsing by Author "Brown, Stephen John"
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- ItemA SCM approach to project management in the South African construction industry(Stellenbosch : Stellenbosch University, 2015-12) Brown, Stephen John; Von Leipzig, Konrad; Stellenbosch University. Faculty of Engineering. Dept. of Industrial Engineering.ENGLISH ABSTRACT: The two factors that motivated this research were, the failure of construction projects to adhere to budget and schedule and the lack of insight into the management of complex construction projects in South Africa. The construction industry world-wide repeatedly faces challenges in managing projects, this study attempts to solve this problem by investigating an alternative approach to PMBOK project management. This study comprised of five main objectives. The first objective was to identify factors that cause budget overruns and schedule delays in the construction industry; while the second was to identify Supply Chain Management (SCM) methodologies applicable to project management in the construction industry. The third objective was to attempt to highlight the similarities that exist between manufacturing and construction and determine if a manufacturing approach to construction will improve the management of construction projects. The manufacturing industry implements structured frameworks such as the Supply Chain Operation Reference (SCOR) model that facilitate effective management of complex tasks. The fourth objective of this research was to evaluate project management effectiveness and assess whether a SCM approach to project management, more specifically, whether a structured framework such as the SCOR model can be directly implemented in a construction project to facilitate improved management processes. In order to evaluate such an approach, it was necessary to obtain input from practitioners working and managing such projects. As such, a series of discussions and interviews, as well as a case study were conducted at a prominent multinational company, referred to as Company A. Furthermore, consultation of industry experts from manufacturing, construction and engineering consulting was conducted in order to evaluate the feasibility of SCM as a substitute or supplement to conventional PMBOK project management. The principal findings of the research indicate that a structured framework will improve management processes of construction projects, however, the SCOR model specifically is not industry specific enough to be directly applied to the construction industry. Furthermore, there exists specific complexities within the construction industry and more specifically, in the South African construction industry that limit the effectiveness of SCM initiatives such as SCOR. Such complexities include but are not limited to; skills shortages, habituated and familiar management techniques, BBBEE, labour unions, strikes, a politically unstable economy and a change in the socio-economic drivers which motivate human resources. A SCM approach to project management in large corporations was deemed impractical. Instead, a simplification of conventional PMBOK principles and processes by means of a hybrid management model, incorporating SCM as a supplement to PMBOK, was deemed feasible in Small and Medium Enterprises in South Africa. The fifth objective of the study was to determine which project metrics should be measured and managed to improve project management of construction projects. A list of proposed “construction project metrics” that are specific to the success of South African construction projects is presented. Key project management practices and skills considered important in successfully managing a construction project were found to be; effective communication, contractor appointment procedure, resourced schedule development, appointment of dedicated project planner and scheduler, as well as personnel management and development.