Deviation(s) in Project Life Cycle: Case of Construction Industry

Projects in the construction industry frequently demonstrates substantial deviation across the project life cycle. Construction projects, according to this study’s interview analysis in Iceland, frequently suffer from inadequate project management, lack of scope, poor labor use, clients with insufficient finances, and excessive client intervention. Additionally, wider societal factors such as COVID-2019 can negatively impact deviation and undermine project success. The purpose of this study is to identify the factors, that impact deviation in project management and the phases through which it arises in the project life cycle of the construction industry. The paper presents a case study on project management deviation across the project life cycle based on the Icelandic construction industry. The research results identified that project deviation is primarily caused by four factors: 1) clients' ambiguous requirements; a lack of planning, which results in an extended execution phase, often at great expense; 2) Icelandic cultural attitudes; 3) a lack of standardization in project manager operations; and 4) unpredictable external factors that cannot be controlled. In this study revealed project management deviation reasons in relation to project life cycle phases in the Icelandic construction sector. The elimination of deviation factors can help project managers to successfully manage project implementation and ensure successful project life cycle implementation in the construction industry.

Deviation(s) in Project Life Cycle: Case of Construction Industry

Projects in the construction industry frequently demonstrates substantial deviation across the project life cycle. Construction projects, according to this study’s interview analysis in Iceland, frequently suffer from inadequate project management, lack of scope, poor labor use, clients with insufficient finances, and excessive client intervention. Additionally, wider societal factors such as COVID-2019 can negatively impact deviation and undermine project success. The purpose of this study is to identify the factors, that impact deviation in project management and the phases through which it arises in the project life cycle of the construction industry. The paper presents a case study on project management deviation across the project life cycle based on the Icelandic construction industry. The research results identified that project deviation is primarily caused by four factors: 1) clients' ambiguous requirements; a lack of planning, which results in an extended execution phase, often at great expense; 2) Icelandic cultural attitudes; 3) a lack of standardization in project manager operations; and 4) unpredictable external factors that cannot be controlled. In this study revealed project management deviation reasons in relation to project life cycle phases in the Icelandic construction sector. The elimination of deviation factors can help project managers to successfully manage project implementation and ensure successful project life cycle implementation in the construction industry.

___

  • Aðalsteinsson, G. D., & Guðlaugsson, Þ. (2007). Can a specific Icelandic organizational culture explain the success of Icelandic businesses in foreign expansion. In 19th Nordic Academy of Management Conference (pp. 1-30). https://notendur.hi.is/th/efni/nff07Gylfi&Thorallur.pdf
  • Aðalsteinsson, G. D., Guðlaugsson, Þ. Ö, & Gústavsdóttir, E. R. (2010). Íslensk vinnustaðamenning. Skýr og markviss stefna en skortur á samhæfingu og samþættingu. Stjórmál & Stjórnsýsla, 2(6), 9-251. Htp://hdl.handle.net/1946/9132
  • Alwan, Z., Jones, P., & Holgate, P. (2017). Strategic sustainable development in the UK construction industry, through the framework for strategic sustainable development, using Building Information Modelling. Journal of cleaner production, 140, 349-358.
  • Bennett, L. (2003). The management of construction a project life cycle approach. Routledge.
  • Chan, D. W. M., & Kumaraswamy, M. M. (1997). A comparative study of causes of time overruns in Hong Kong construction projects. International Journal of Project Management, 15(1), 55-63. https://doi.org/10.1016/S0263-7863(96)00039-7
  • Clough, R. H., Sears, G. A., & Sears, S.K. (2000). Construction project management (4th ed.). John Wiley & Sons.
  • Collyer, S., & Warren, C. M. (2009). Project management approaches for dynamic environments. International Journal of Project Management, 27(4), 355-364. https://doi.org/10.1016/j.ijproman.2008.04.004
  • Corazzini, L., Galavotti, S., & Valbonesi, P. (2019). An experimental study on sequential auctions with privately known capacities. Games and Economic Behaviour, 117, 289-315. https://doi.org/10.1016/j.geb.2019.06.005
  • Corbin, J., & Strauss, A. (2009). Basics of qualitative research: Techniques and procedures for developing grounded theory (3th ed.). Sage.
  • Crawford, L. (2005). Senior management perceptions of project management competence. International Journal of Project Management, 23, 7–16. https://doi.org/10.1016/j.ijproman.2004.06.005
  • Esterberg, K., (2002). Qualitative medthods in social research. McGrawHill.
  • Eyjólfsdóttir, H. M., & Smith, P. B. (1996). Icelandic business and management culture. International Studies of Management & Organization, 26(3), 61-72. https://doi.org/10.1080/00208825.1996.11656688
  • Hall, M. C., Prayag, G., Fieger, P., & Dyason, D. (2020). Beyond panic buying: Consumption displacement and COVID-19. Journal of Service Management. https://doi.org/10.1108/JOSM-05-2020-0151
  • Hofstede Insight. (n.d.-a). Country comparison. Retrieved from https://www.hofstede-insights.com/country-comparison/denmark,iceland
  • Hofstede, G. (2011). Dimensionalizing cultures: The Hofstede model in context. Online readings in psychology and culture, 2(1), 2307-0919.
  • Hu, W. (2008, November). Information lifecycle modeling framework for construction project lifecycle management. In 2008 International Seminar on Future Information Technology and Management Engineering (pp. 372-375). IEEE. https://ieeexplore.ieee.org/abstract/document/4746513?casa_token=_Olx6Bkg6moAAAAA:qY3g_4hGcqwe_GSyByp5yoOJmSpfidsdLqI1GcYcpNq8yxvVhfsSk9oyMv-2g6yCZIVv3ixl-x8
  • Ika, L. A. (2009). Project success as a topic in project management journals. Project Management Journal, 40(4), 6-19. https://doi.org/10.1002/pmj.20137
  • Kerzner, H. (2009). Project management: A systems approach to planning, scheduling, and controlling. John Wiley & Sons.
  • Larson, E. W. & Gray, C. F. (2008). Project management: The managerial process (4. ed.). McGraw-Hill Education.
  • Larson, E. W. & Gray, C. F. (2017). Project management: The managerial process (7. ed.). McGraw-Hill Education.
  • Lim, C. S., & Mohamed, M. Z. (1999). Criteria of project success: An exploratory re-examination. International Journal of Project Management, 17(4), 243-248. https://doi.org/10.1016/S0263-7863(98)00040-4
  • Lög um opinber innkaup nr. 120. (2016). https://www.althingi.is/lagas/nuna/2016120.html
  • MacLeod, L. (2012). Making smart goals smarter. Physician Executive, 38(2), 68-70, 72. https://www.researchgate.net/publication/256098067_Making_SMART_goals_smarter#fullTextFileContent
  • May, T. (2001). Social research issues, methods and process (4th ed.). McGrawHill.
  • McKinsey & Company. (2017). Reinventing construction: A route to higher productivity. https://www.mckinsey.com/~/media/McKinsey/Business%20Functions/Operations/Our%20Insights/Reinventing%20construction%20through%20a%20productivity%20revolution/MGI-Reinventing-construction-A-route-to-higher-productivity-Full-report.pdf
  • Merriam, S. B. & Tisdell, E. J. (2009). Qualitative Research (4th ed.). Jossey-Bass.
  • Minelgaite, I., Guðmundsdóttir, S., Guðmundsdóttir, Á. E., & Stangej, O. (2018). Demystifying leadership in Iceland: An inquiry into cultural, societal, and entrepreneurial uniqueness. Springer.
  • Mirza, N., Pourzolfaghar, Z., & Shahnazari, M. (2013). Significance of scope in project success. Procedia Technology, 9(1). doi:10.1016/j.protcy.2013.12.080
  • Müller, R., & Turner, J. R. (2010). Attitudes and leadership competences for project success. Baltic Journal of Management. https://doi.org/10.1108/17465261011079730
  • Munns, A. K., & Bjeirmi, B. F. (1996). The role of project management in achieving project success. International Journal of Project Management, 14(2), 81-87. https://doi.org/10.1016/0263-7863(95)00057-7
  • Óladóttir, Á. & Jóhannesdóttir, R. (2008). Íslenskir stjórnendur í norrænum samanburði. Bifröst Journal of Social Science 2, 47-67. https://skemman.is/bitstream/1946/9857/1/Asta_Dis_Oladottir.pdf
  • Patanakul, P., Iewwongcharoen, B., & Milosevic, D. (2010). An empirical study on the use of project management tools and techniques across project life-cycle and their impact on project success. Journal of General Management, 35(3), 41-66. https://doi.org/10.1177/030630701003500304
  • Pinto, J. K., & Slevin, D. P. (1987). Critical factors in successful project implementation. IEEE Transactions on Engineering Management, (1), 22-27. https://doi.org/10.1109/TEM.1987.6498856
  • Samtök iðnaðarins (2020). Verkefni. https://www.si.is/malaflokkar/nyskopun/verkefni/
  • Samtök iðnaðarins. (2020). Hagtölur. https://www.si.is/malaflokkar/efnahags-og-starfsskilyrdi/hagtolur/
  • Sweis, G., Sweis, R., Hammad, A. A., & Shboul, A. (2008). Delays in construction projects: The case of Jordan. International Journal of Project Management, 26(6), 665-674. https://doi.org/10.1016/j.ijproman.2007.09.009
  • Tukel, O.I., & Rom, W.O. (2001). An empirical investigation of project evaluation criteria. International Journal of Operations and Production, 21 (3), 400-413.
  • Westerveld, E. (2003). The Project Excellence Model: Linking success criteria and critical success factors. International Journal of Project Management, 21(6), 411-418. https://doi.org/10.1016/S0263-7863(02)00112-6
  • Wysocki, R. K. (2019). Effective project management: Traditional, agile, extreme (8th ed.). Wiley.
  • Yin, R.K. (2013) Applications of Case Study Research, vol. 5, SAGE International, Los Angles
  • Yousaf, A., Sanders, K., Torka, N., & Ardts, J. (2011). Having two bosses: Considering the relationships between LMX, satisfaction with HR practices, and organizational commitment. The International Journal of Human Resource Management, 22(15), 3109-3126. https://doi.org/10.1080/09585192.2011.606124
  • Zou, P. X., Zhang, G., & Wang, J. (2007). Understanding the key risks in construction projects in China. International Journal of Project Management, 25(6), 601-614. https://doi.org/10.1016/j.ijproman.2007.03.001.