Systems Approach to Project Management
All projects need simple processes in place to monitor and control cost, progress and quality. It is argued, however, that projects involving innovation and complexity, almost regardless of size, need a “systems approach” to project management. Discuss.
1. Introduction
This literature review will discuss Project Management and the apparent need for a systems approach when managing projects involving innovation and complexity compared to using a simple process. In order to conceptualise the discussion, the construction industry will be used to provide a framework for Project Management.
This literature review will firstly outline the context demonstrating the importance of the construction industry to the UK economy. Secondly, provide answers to the questions: what is a simple process and what is the systems approach. Thirdly, to analyse what constitutes a projects involving innovation and complexity. This submission will identify the apparent need for a systems approach, not a simple approach, by reviewing project management, innovation, and complexity.
2. Context
Like most sectors within the UK, the construction industry has been the subject of many studies relating to theories on innovation, efficiency and productivity (Larsen 2010; Loosemore, Dainty and Lingard 2003). Growth or stagnation, changes in the industry affect many people.
The construction industry was estimated at £102,363 billion pounds with a workforce estimated at 2,216,000 people and worth approximately 10% of gross domestic produce by the Department for Trade and Industry (Dainty, Green and Bagilhole 2007). The industry remains crucial to the UK economy for two main reasons. * Firstly it is a key sector for society and culture because buildings and infrastructure are the basis for working, living and leisure (Konepfel 1992). * Secondly it is “one of the pillars of the domestic economy” and therefore is should not be allowed to stagnate (Egan
1. Introduction
This literature review will discuss Project Management and the apparent need for a systems approach when managing projects involving innovation and complexity compared to using a simple process. In order to conceptualise the discussion, the construction industry will be used to provide a framework for Project Management.
This literature review will firstly outline the context demonstrating the importance of the construction industry to the UK economy. Secondly, provide answers to the questions: what is a simple process and what is the systems approach. Thirdly, to analyse what constitutes a projects involving innovation and complexity. This submission will identify the apparent need for a systems approach, not a simple approach, by reviewing project management, innovation, and complexity.
2. Context
Like most sectors within the UK, the construction industry has been the subject of many studies relating to theories on innovation, efficiency and productivity (Larsen 2010; Loosemore, Dainty and Lingard 2003). Growth or stagnation, changes in the industry affect many people.
The construction industry was estimated at £102,363 billion pounds with a workforce estimated at 2,216,000 people and worth approximately 10% of gross domestic produce by the Department for Trade and Industry (Dainty, Green and Bagilhole 2007). The industry remains crucial to the UK economy for two main reasons. * Firstly it is a key sector for society and culture because buildings and infrastructure are the basis for working, living and leisure (Konepfel 1992). * Secondly it is “one of the pillars of the domestic economy” and therefore is should not be allowed to stagnate (Egan
References: Ackoff, R. (1974) The Systems Revolution. Published as a part of the seminar organized by the Social Forecasting Committee and Social Science Research Council, Long Range Planning Atkinson, R Book Rags Media Network, (2011) Accessed on 25th October 2012, www.brainyquote.com/quotes/quotes/a/alberteins385842 Dainty, A., Bagilhole, B Dainty, A., Moore, D. and Murray, M. (2007) Communication in Construction: Theory and Practice, Taylor and Francis, Oxford Drucker, P Egan, Sir J. (1998) Rethinking Construction: The Report of the Construction Task Force to the Deputy Prime Minister Engwall, M Handy, C. (1999) Understanding Organisations, 4th Edition, Penguin, London Horine, G. (2005) Absolute Beginners Guide to Project Management, Que Publishing Johnson, G. & K. Scholes (1998) Exploring Corporate Strategy, Pearson Education Ltd., Harlow Kapsali, M Latham, Sir M. (1994) Constructing the Team: Joint review of Procurement and Contractual Arrangements in the UK Construction Industry, HMSO, London Lock, D Loosemore, M., Dainty, A. & Lingard, H. (2007) Human Resource Management in Construction Projects: Strategic and Operational Approaches, Spon Press, London Mingers, J Murphy, M., Heaney, G., & Perera, S. (2011) A methodology for evaluating construction innovation constraints through project stakeholders competencies and FMEA. Construction Innovation Vol. 11, No. 3, 2011, pp 416- 440 O’Bryan, B Pryke, S. & Smyth, H. (2006) The Management of Complex Projects: A Relationship Approach, Blackwell Science Ltd., Oxford Walker, A Watts et al (2011) Watts Pocket Handbook, Watts Group Plc Williams, T., Klakegg, O., Walker, D., Andersen, B Winch, G. W. (2010) (2nd Ed) Managing Construction Projects, Wiley Blackwell Ltd., Oxford