D
ar Magazine
l July
2016
i
11
l
What C
ould P
ossibly
Go W
r
ong?
A look at the function o
f P
r
oject C
ontr
ols
Root cause
Effect
Impact
Poor client brief, poor project definition,
late design
Poor/no contracting strategy
Lack of early contractor involvement
(ECI)
Poor procurement strategy
Poor risk identification, management
response strategy
Insufficient planning and/or inaccurate
estimating
Aggressive/optimistic bids
Regulatory issues
ignored/underestimated
scope
Poor project controls
Inexperienced management team
Lack of skilled labour
Design errors leading to
growth/re-work
Ineffective communications and/or
decision
Imposed cash constraints and
delayed payments
making process
Ineffective project governance,
management and oversight
Cost overruns
Delays
Poor value
Corporate performance
Operational (O&M costs)
Capital productivity
Shareholder returns
Strategic outcomes
Return on capital employed
Root cause
Effect
Impact
Poor client brief, poor project definition,
late design
Poor/no contracting strategy
Lack of early contractor involvement
(ECI)
Poor procurement strategy
Poor risk identification, management
response strategy
Insufficient planning and/or inaccurate
estimating
Aggressive/optimistic bids
Regulatory issues
ignored/underestimated
scope
Poor project controls
Inexperienced management team
Lack of skilled labour
Design errors leading to
growth/re-work
Ineffective communications and/or
decision
Imposed cash constraints and
delayed payments
making process
Ineffective project governance,
management and oversight
Cost overruns
Delays
Poor value
Corporate performance
Operational (O&M costs)
Capital productivity
Shareholder returns
Strategic outcomes
Return on capital employed
D
ar Magazine
l July
2016
33