Risk Management Capability Maturity and Performance of Complex Product and System (CoPS) Projects with an Asian Perspective

Complex Products and Systems (CoPS) are high value, technology and engineering-intensive capital goods. The motivation of this study is the persistent high failure rate of CoPS projects, Asian CoPS provider’s weak capability and lack of specific research on CoPS risk management. This paper evaluates risk management maturity level of CoPS projects against a general CoPS risk management capability maturity model (RM-CMM) developed by the authors. An Asian based survey was conducted to investigate the value of RM to project performance, and Asian (non-Japanese) CoPS implementers’ perceived application of RM practices, their strengths and weaknesses. The survey result shows that higher RM maturity level leads to higher CoPS project performance. It also shows project complexity and uncertainty moderates the relationship between some RM practices and project performance, which implies that a contingency approach should be adopted to manage CoPS risks effectively. In addition, it shows that Asian CoPS implementers are weak in RM process and there are also rooms for improvement in the softer aspects of organizational capabilities and robustness

Framework For Quantifying And Tailoring Complexity And Risk To Manage Uncertainty In Developing Complex Products And Systems

In recent years there has been a renewed interest in product complexity due its negative impact on launch performance. Research indicates that underestimating complexity is one of the most common errors repeated by new product development (NPD) teams. It was concluded that companies that successfully manage complexity can maintain a competitive advantage. This is particularly true of CoPS projects (Complex Products and Systems) which are defined as large-scale, high value, engineering intensive products and systems. Investment in CoPS projects continues to grow worldwide, with recent estimates placed at over $500B annually. In this research we present methods to improve the planning and coordination of complexity and risk in CoPS projects to support launch success. The methods are designed to be consistent with systems engineering practices which are commonly used in their development. The research proposes novel methods for the assessment, quantification, and management of development complexity and risk. The models are initiated from preliminary customer requirements so they may be implemented at the earliest point in the development process and yield the most significant cost savings and impact. The models presented are validated on a large-scale defense industry project and experimental case study example. The research demonstrates that development complexity and risk can be effectively quantified in the early development stages and used to align and tailor organizational resources to improve PD performance. The methods also provide the benefit of being implementable with little disruption to existing processes as they align closely with current industry practices

Evaluating Risk Management Practices in Construction Organizations

AbstractConstruction organizations in developing countries, approach risk management in construction projects by using a set of practices that are normally insufficient, produce poor results often, and limit the success of project management. This paper describes the development of an instrument based on an organizational maturity model for evaluating the risk-management capability of construction organizations. This instrument has been applied to both, clients and contractors and is part of a general knowledge-based system. Outcomes of this research will allow a client or contractor first, to develop or improve its project risk management capability based on international and local best practices and second, to continuously improve the performance of this function along the realization of new projects. The novelty of this approach is that it addresses the risk management function from a knowledge-based perspective and that it will be based in a web application that will be available to every organization

A Longitudinal study of organizational capability development process : rendering project portfolio management capability (PPMC)

This dissertation analyzes the heterogeneous development paths of project portfolio management capability (PPMC). Earlier, modern literature has prioritized its focus on the performance-based classification of organizational capabilities, while their development process remained obscure. Consequently, scholarship advocating high performance organizational capabilities (such as a dynamic capability) are in abundance. However, the evidence of development path-affected performance dissimilarities is rather sparse or otherwise remained implicit due to the increasing conceptual differences among the prominent scholarship. Along with the longitudinal process research design of this research, a critical realism-based retroduction approach has enabled the discovery of the capability investigation framework. This capability dimensions, routines, and performance outcome based framework has been further extended to investigate project portfolio management capability (PPMC). This retroductive framework is operationalized to evidence the nine years of capability development path heterogeneity at three entities of a case company. The research case findings explain the effect of underlying mechanisms, which due to their context dependent outcomes, either positively reinforce the existing development paths or lead to an alternative path selection. The case findings also confirm that higher performance is not universally attributable to any specific organizational capability known in the literature. Instead, the actuation of all three identified learning mechanisms (of a learning organization) can develop high performing organizational capabilities. This research concludes that a capability development process endures through an extemporized mixture of refinement, reconfiguration, and transformation activities. As a result, an organizational capability always remains idiosyncratic in its details and, hence, produce diverse performance outcomes. Finally, this PhD research has created a critical realist model to extend the emergent theory of capability path dependence to the other organizational contexts.Tämä tutkimus analysoi projektiportfolion hallintaa koskevan kyvykkyyden moninaisia kehittämisvaihtoehtoja. Aiempi tutkimus on keskittynyt organisaation toimintaa tukevien kyvykkyyksien luokitteluun, mutta kyvykkyyksien kehittymistä on tutkittu vähemmän. Kyvykkyyden kehittymiseen (kuten dynaamiseen kyvykkyyteen) tähtäävä tutkimus keskittyy enimmäkseen organisaation näkökulmaan. Lisäksi kyvykkyyden kehittymistutkimusta vaikeuttaa se, että alan keskeiset tutkijat käyttävät keskenään erilaista terminologiaa. Tämä tutkimus on pitkittäinen ja siinä rakennettiin kriittisen realismin lähestymistavan avulla kyvykkyyden kehittymisen tutkimista varten viitekehys. Kyvykkyyden osatekijöitä, rutiineja ja toiminnan tuloksia kuvaavaa viitekehystä kehitettiin edelleen niin, että sitä voidaan käyttää organisaation projektisalkun hallinnan kyvyn selvittämiseen. Tämän viitekehyksen avulla osoitettiin tapausyrityksen kolmen yksikön kyvykkyyden kehittymispolku yhdeksän vuoden ajalta. Tapaustutkimuksen tulokset selittävät kyvykkyyden kehittymisen mekanismeja, jotka joko vahvistavat organisaation vallitsevia kehittymispolkuja tai johtavat uuden kehittymispolun valintaan. Tapaustutkimukset myös osoittavat, että tehokas toiminta ei ole kirjallisuudessa mainitun yksittäisen organisaation kyvykkyysosatekijän seurausta. Sen sijaan kaikki tunnistetut oppivan organisaation oppimiskeinot kehittävät tehokkaasti toimivan organisaation kyvykkyyksiä. Tämän tutkimuksen johtopäätös on, että kyvykkyyden kehittymisprosessi muodostuu improvisoiduista hienosäätö-, uudelleenkonfigurointi- ja muokkausvaiheista. Niiden tuloksena organisaation kyvykkyys säilyy aina yksityiskohdissaan omaperäisenä ja siten voi tuottaa vaihtelevia tuloksia. Tämä väitöskirja on luonut kriittiseen realismiin perustuvan mallin, jolla laajennetaan uutta kyvykkyyden kehittymispolkuriippuvuuden teoriaa muihin organisaatiokonteksteihin.fi=vertaisarvioitu|en=peerReviewed

Configuration Management Process Capabilities

AbstractThe literature suggests that maturity assessment tools could be successful if based on process capabilities which are the outcomes of critical success factors and barriers to a process. This paper investigate the configuration management process capabilities finalized on the basis of semi-structured interviews with configuration management professionals and analysis of two highly significant studies in the development of configuration management as a researchable topic. The first study investigated the critical success factors for the successful CM development [1] while the other study looked at the identification of barriers to effective CM deployment [2]. The literature suggests that majority of research studies have focussed on the process capability itself, not the success or failure of CM. A list of ten process capabilities are finalized which will provide the necessary foundation to devise and measure a configuration management maturity model

Contracting for complex performance in markets of few buyers and sellers: the case of military procurement

Article"This article is (c) Emerald Group Publishing and permission has been granted for this version to appear here. Emerald does not grant permission for this article to be further copied/distributed or hosted elsewhere without the express permission from Emerald Group Publishing Limited."Purpose – The aim of the paper is to identify and review the impact and challenges of new contractual arrangements on UK military procurement and other limited or oligopolistic markets. Design/methodology/approach – The unit of analysis is the large-scale procurement programme. Two cases of major military platforms (naval and air defence) examine through-life maintenance or “contracting for availability” and build theory on procuring complex performance (PCP). Propositions are developed from the literature then tested and extended from the case analysis, supported by 35 interviews from buyer and supplier representatives. Findings – Examining UK military platform procurement reveals a perspective not present in fast moving high volume supply chains. In oligopolistic markets such as defence, the Ministry of Defence (MOD) represents a market of one, seeking ambitious and non-incremental innovation from the prime contractor during the procurement process. The new contractual arrangements show an increasing shift in responsibility to the prime contractor who coordinates service support and supply chain incentivisation over extended, often multi-decade platform lifecycles. Research limitations/implications – The cases were conducted separately and later compared. Whilst based on defence sources, the paper concludes with general recommendations for all public-private complex procurements and seeks to explore other industry sectors as part of further research into PCP. Originality/value – Examined from a theoretical and practical perspective, the cases reveal the challenges facing procurement in major public-private projects. The changing role identified reflects extended timescales and the quasi-market military procurement environment, compounded by current economic and politically charged conditions. Procurement by default increasingly plays a new shaping role in large-scale programme management driven by outcome-based contracting. Customers such as the MOD must re-evaluate their role under these new contractual arrangements, providing leadership and engaging with future contracting capability and innovation

The evolution of systems-integration capability in latecomer contexts: the case ofIran’s thermal and hydro power generation systems

This study concerns building capabilities within the electricity sector of Iran, a developing country. It focuses on two areas of high-technology development,• hydro electricity generation plants and thermal electricity generation plants, and investigates the accumulation of local capabilities to undertake large and complex development projects in these two areas. The empirical aim of the thesis is to analyse how far the local capabilities have advanced and what can be done to enhance them. The business of engineering and developing complex electricity generation systems, such as hydro and thermal power plants, is an example of high-value high-technology capital goods industries (sometimes referred to as CoPS in the innovation studies literature). This literature suggests that systems integration is a core capability of leading suppliers in CoPS industries. Most studies of capability building at the firm level in latecomer contexts, however, have focused on mass-manufacturing firms rather than on project-based ones. The CoPS literature, on the other hand, has investigated the concept of systems integration capability within the context of developed economies. Therefore, this research aims to examine latecomer systems integration capability (LSIC) in these two CoPS areas in Iran to develop our understanding of the nature and evolution of LSIC. This research is carried out as an exploratory case study, combining some elements of latecomer theory, systems integration and capability theory to develop the analytical framework for the study. The framework is then applied to evidence gathered from two major Iranian systems integrators that lead engineering and development activities involved in the construction of power plants. Evidence is gathered on the evolution of micro-level attributes, including people, knowledge, processes and structures, underlying LSIC, along with changes in products and outcomes of systems integration activities. These categories of evidence are combined with the evidence on the internal context of the firms and their external environment to reveal their achievements in the accumulation of LSIC, and to understand the dynamics behind the evolution of LSIC. The analysis of this thesis shows how the two Iranian firms entered into the business of systems integration of power plant systems, and have gradually built higher levels of LSIC, allowing them to succeed in competitive local and overseas markets, and to diversify into local markets for other complex projects. Nevertheless, there have been imbalances, spurts of rapid capability growth, periods of falling behind in specific areas of LSIC, close connections and relationships (amounting to a co-evolution among LSIC areas), and major investments and strategies to remedy imbalances, and to sustain the firms' progress. This thesis also attempts to explain these complex variations in the evolutionary paths of LSIC. In addition to contributing to the latecomer capability literature, this research suggests some policy and business strategy implications.EThOS - Electronic Theses Online ServiceGBUnited Kingdo

Developing organisational capabilities through customer-led systems integration projects: the case of the major project BT 21st Century Network in the UK

Traditional approaches to systems integration in major projects take the strategy of selecting a supplier-led prime/systems integrator. Although this strategy pushes a significant amount of risk to the supplier, project performance may suffer due to lower engagement of the customer in the anticipation of potential issues involving a major project. Thus, this research investigates the implications of the customer, as opposed to a selected external supplier, assuming the role of systems/prime integrator. A case study approach is conducted on the major project BT 21st Century Network (BT21CN) to demonstrate that customer-led systems integration projects may provide more balance in the relationship and distribution of risks between supplier and customer, having a positive impact on project performance and on accelerating the development of BT’s organisational capabilities

Integration Readiness levels Evaluation and Systems Architecture: A Literature Review

The success of complex systems projects is strongly influenced by their architecture. A key role of a system architect is to decide whether and how to integrate new technologies in a system architecture. Technology readiness levels (TRL) scale has been used for decades to support decision making regarding the technology infusion in complex systems, but it still faces challenges related to the integration of technologies to a system architecture. Integration Readiness Levels (IRL) scale has been elaborated in the last decade to face these challenges, representing the integration maturity between the technological elements of a system. The aim of this theoretical article is to perform a literature review on IRL scale evaluation and on systems architecture, through bibliographic research. Results show the review organized in five topics that surrounds the research objective, presenting the IRL and TRL scales evolution, comparing their evaluation practices, and exploring the architecture complexity of systems. Suggestions for future research are proposed based on these results

Knowledge Era: Knowledge Management in Multinational Company – Role of KM in Project Management Scenario

Human society passed various stages like hunting and gathering society, peasant society, Industrial society and post- industrial society. Post – industrial society is recognized as ‘Knowledge Society’. Knowledge is more valuable product than any other goods in knowledge society. Today information is in the finger tips with the advent of Information and Communication Technology (ICT). Information gathering, storage and dissemination are the basic features of knowledge society. Due to the crucial role of knowledge 21st century is recognized as ‘Knowledge Era’. Information gathering, storage and dissemination to the right people are the central poles of Knowledge Era. Knowledge management is widening its area and it is one of the key task in multinational companies. Project Management has been growing as a discipline for decades. From basic task of planning to modern complexity management, it has evolved with the society. Today, project management is integrated in many companies and governmental organisms with strategy, via the portfolio or program management, and with the other departments, like manufacturing, human resources, legal and financial. It is a question of managing multiple products, multiple projects with interrelated resources from one or many companies, under the multiple constraints of the customers, the legal environment and the financial and market objectives. This paper presents the results of study into Knowledge Management (KM) performed at one of the multinational company called Perot Systems Consulting and Application Solutions (CAS) India (Bangalore and Noida). Keywords: Knowledge Era, Knowledge Management, Project Management, Knowledge Creatio