The document discusses augmenting public-private partnerships (PPPs) in infrastructure projects in India through improved project management and accountable governance. It notes that over 60% of economically viable infrastructure projects in India experience cost and time overruns. The document advocates for establishing a governing body with public and private representation to provide centralized monitoring of projects. This would help address issues like land acquisition delays, lack of risk mitigation, and ensure accountability for delays. The goal is to bridge the gaps between project feasibility and successful completion through better project management practices and governance.
The document discusses challenges in implementing project management practices in government organizations and innovative solutions adopted. It describes establishing a Project Management Office to introduce standardized processes, estimate projects more accurately using techniques like function point analysis, measure organizational performance through metrics and models, and implement tools like RFID for effort tracking, a project tracker, and balanced scorecards. The goal is to overcome challenges like rough estimates, scope creep, and improve project delivery in terms of cost, schedule and quality.
The document discusses the challenges faced by micro, small, and medium enterprises (MSMEs) in India. It outlines several key challenges MSMEs encounter, including technological issues, managerial problems, cash flow difficulties, issues with raw materials and products, infrastructure problems, and more. It also provides statistics on the growth of MSMEs in India in terms of numbers and employment over time. Finally, it defines the classification of MSMEs under Indian law based on investment levels.
Factors Affecting the Efectiveness of Monitoring and Evaluation of Constituen...IOSR Journals
This document discusses factors affecting the effectiveness of monitoring and evaluation of constituency development fund (CDF) projects in Kenya, using Laikipia West Constituency as a case study. It outlines that monitoring and evaluation is important to ensure CDF projects meet their objectives of promoting local development, equity, and community participation. However, many Kenyans disagree on CDF's success due to issues with transparency and accountability. The study examines how technical capacity, political influence, stakeholder participation, and budgetary allocation impact monitoring and evaluation effectiveness. It finds monitoring and evaluation can explain 85.6% of effectiveness variances, showing it is a significant management tool for CDF projects. The document recommends efficient monitoring and evaluation to achieve intended objectives.
IRJET- Review: Factors Affecting Scheduling of Multiple ProjectsIRJET Journal
This document discusses factors that affect scheduling of multiple construction projects. It identifies 15 key factors through a literature review and survey of construction professionals in India. The top factors identified are poor site management, commitment of project participants, ineffective planning and scheduling, coordination issues, availability of labor and materials, and project priorities. The document provides background on challenges of multi-project scheduling and analyzes studies that have identified important scheduling factors in different contexts. It aims to help construction firms better understand how to manage schedules across multiple concurrent projects.
The survey found that while project management has gained acceptance in the legal industry, it still faces many obstacles. While only 2.5% of firms reported not practicing any project management, over a third of respondents did not fully understand basic concepts. Most firms do not have a formal PMO, and those that do typically have between 2-5 full-time staff and have been established for less than 5 years. The survey aimed to assess the current state of project management and identify remaining challenges.
Construction Management in Developing Countries, Lecture 8, Project Pperation and Maintenance in Developing Countries, impediments in implementation of planned maintenance
Construction Management in Developing Countries, Lecture 5, Project environment in developing countries, characteristics of project partners in Nepal, social, financial, legal and environmental issues in project environment in Nepal
This document is the executive summary of the FutureWatch2011 report which discusses trends in the meetings industry. Some key findings include:
1) The meetings industry will see significant change in 2011 as technology bolsters communication and ROI and strategic meetings management become more vital.
2) Optimism is high among industry professionals as a survey found 58% expect an increase in the number of meetings and 18% an increase in budgets in 2011.
3) Meetings have embraced technology but face-to-face interaction remains important for building relationships and partnerships.
The document discusses challenges in implementing project management practices in government organizations and innovative solutions adopted. It describes establishing a Project Management Office to introduce standardized processes, estimate projects more accurately using techniques like function point analysis, measure organizational performance through metrics and models, and implement tools like RFID for effort tracking, a project tracker, and balanced scorecards. The goal is to overcome challenges like rough estimates, scope creep, and improve project delivery in terms of cost, schedule and quality.
The document discusses the challenges faced by micro, small, and medium enterprises (MSMEs) in India. It outlines several key challenges MSMEs encounter, including technological issues, managerial problems, cash flow difficulties, issues with raw materials and products, infrastructure problems, and more. It also provides statistics on the growth of MSMEs in India in terms of numbers and employment over time. Finally, it defines the classification of MSMEs under Indian law based on investment levels.
Factors Affecting the Efectiveness of Monitoring and Evaluation of Constituen...IOSR Journals
This document discusses factors affecting the effectiveness of monitoring and evaluation of constituency development fund (CDF) projects in Kenya, using Laikipia West Constituency as a case study. It outlines that monitoring and evaluation is important to ensure CDF projects meet their objectives of promoting local development, equity, and community participation. However, many Kenyans disagree on CDF's success due to issues with transparency and accountability. The study examines how technical capacity, political influence, stakeholder participation, and budgetary allocation impact monitoring and evaluation effectiveness. It finds monitoring and evaluation can explain 85.6% of effectiveness variances, showing it is a significant management tool for CDF projects. The document recommends efficient monitoring and evaluation to achieve intended objectives.
IRJET- Review: Factors Affecting Scheduling of Multiple ProjectsIRJET Journal
This document discusses factors that affect scheduling of multiple construction projects. It identifies 15 key factors through a literature review and survey of construction professionals in India. The top factors identified are poor site management, commitment of project participants, ineffective planning and scheduling, coordination issues, availability of labor and materials, and project priorities. The document provides background on challenges of multi-project scheduling and analyzes studies that have identified important scheduling factors in different contexts. It aims to help construction firms better understand how to manage schedules across multiple concurrent projects.
The survey found that while project management has gained acceptance in the legal industry, it still faces many obstacles. While only 2.5% of firms reported not practicing any project management, over a third of respondents did not fully understand basic concepts. Most firms do not have a formal PMO, and those that do typically have between 2-5 full-time staff and have been established for less than 5 years. The survey aimed to assess the current state of project management and identify remaining challenges.
Construction Management in Developing Countries, Lecture 8, Project Pperation and Maintenance in Developing Countries, impediments in implementation of planned maintenance
Construction Management in Developing Countries, Lecture 5, Project environment in developing countries, characteristics of project partners in Nepal, social, financial, legal and environmental issues in project environment in Nepal
This document is the executive summary of the FutureWatch2011 report which discusses trends in the meetings industry. Some key findings include:
1) The meetings industry will see significant change in 2011 as technology bolsters communication and ROI and strategic meetings management become more vital.
2) Optimism is high among industry professionals as a survey found 58% expect an increase in the number of meetings and 18% an increase in budgets in 2011.
3) Meetings have embraced technology but face-to-face interaction remains important for building relationships and partnerships.
This document provides a case study of a large scale business transformation program undertaken by a top 10 global business organization to standardize processes, implement a single ERP system, and integrate operations across various business units. The program involved transforming business processes, implementing SAP, integrating operations, and deploying shared services. Project management methodology was effectively applied to execute the program through establishing governance, planning deployment, developing solutions using IBM Ascendant methodology, managing stakeholders, and realizing business benefits. While costs exceeded projections, the program achieved its goals and business benefits through effective program management.
The document describes a cloud-based project management tool called Unleash that allows for a hybrid approach to project management combining elements of agile and waterfall methodologies. Unleash allows teams to manage projects, programs, portfolios and products on the cloud. It also facilitates collaboration and creation of an environment where teams can emphasize faster product creation using a mix of agile and waterfall techniques as needed. The authors contend this approach allows for better results than using the traditional methods alone. It provides flexibility to use either approach and adjust the level of agility during a project as required.
The document discusses satisfying customer expectations beyond contractual obligations in project management. It provides case studies where project managers went above the project scope to resolve issues and meet the true objectives. It argues that project managers should understand the overall goal, partner with the customer, leverage past experience to anticipate problems, and control budgets when additional needs arise. By taking these approaches, the customer's expectations can be met even if things weren't spelled out initially in contracts or statements of work.
The document discusses key performance indicators (KPIs) in program governance and the value of a top-down alignment approach. It outlines a 4-step KPI process that begins with defining the client and organizational contexts to establish overarching goals and strategies. KPIs are then defined at the program level across four focus areas: delivery, client, people, and operations. With a top-down approach, KPIs align across all levels to ensure the program meets stakeholder needs while achieving schedule, budget, and value objectives.
This document discusses exploring critical risks for green construction projects in India. It identifies 34 risk factors that could lead to cost and time overruns in green construction projects. It describes using a systematic approach including knowledge from experts, project data, and simulation modeling to predict risks at different stages of green rated construction projects. The risk assessment process examines lessons from past projects to identify typical inputs and outputs. The study aims to investigate practical risk management applications in the green construction industry in India.
This document discusses project management challenges in pharmaceutical research and development. It aims to balance the costs of drug development with innovation. The R&D process is described involving discovery, preclinical, and clinical trial phases. R&D costs have significantly increased in recent decades due to factors like longer clinical trials. Measuring innovation based only on new drug approvals does not fully capture improvements to existing drugs. From a project management perspective, key challenges include scope management, time management, and resource management given the technical risks and long durations of drug development projects.
This document discusses achieving delivery excellence in projects. It defines delivery excellence as going beyond just quality to be "extremely good". It identifies critical success factors for delivery excellence like customer satisfaction, employee satisfaction, and business growth. It also discusses key metrics for measuring delivery excellence like revenue growth, customer satisfaction levels, and defect density. Finally, it provides techniques for achieving delivery excellence like co-creation, automation, and competency development.
The document discusses the implementation of Project Management Institute (PMI) guidelines at LIFE REPUBLIC, a large township development project near Pune, India. It describes the objectives of establishing standardized project management processes and techniques. It outlines some key challenges for the project related to its large scale and complexity. It then details how PMI methodologies were used to develop tools like a project management office, communication plans, responsibility matrices, and risk registers. The results included setting standards, training project teams, and achieving better cost control and coordination across multiple agencies involved in the project.
- The document discusses using an eco-friendly mulching technique as a value engineering approach to enhance road safety and aesthetics on a highway project in Andhra Pradesh, India.
- The mulching technique involved using nearby available paddy grass as a mulch material in highway median plantations. This led to 3 times growth of plants, 2 times foliage coverage, 52% savings in water consumption, and substantially reduced weed growth, while reducing maintenance costs by 10-12%.
- The mulching approach was explored as part of a continual improvement process using kaizen principles and provided both environmental and economic benefits for the road project.
The document is a study by KPMG and Project Management Institute (PMI) on drivers for success in infrastructure projects in India in 2010. It analyzes reasons for cost and time overruns based on interviews with over 100 executives. The key findings are:
1) The biggest reasons for cost overruns are frequent design changes, scope creep, and material price escalations over the project duration.
2) Material input costs are highly susceptible to escalations and are a major contributor to overall cost increases.
3) Regulatory approvals delays and land acquisition issues are the primary causes of time overruns, followed by weak project planning and monitoring.
Quantity Surveyor’s Impact: A Panacea to achieving Critical Success Factors i...inventionjournals
Public-Private-Partnership (PPP) is an innovative infrastructure procurement system aimed at providing unique opportunities in the development and funding of public infrastructure facilities.The procurement system ranges from simple contracting of services to the involvement of private sector in financing, design, construction, operation and maintenance of infrastructure. However, organising PPP is not an easy task due to its complexity and long term contractual obligagtions that requires the involvement of stakeholders and professionals for its successful implementation. Procurement procedure under PPP is very complicated and more costly and time consuming than the traditional procurement approach. Therefore the need to address the roles of the Quantity Surveyor in providing the total cost and procurement management has been recognized and become necessary in developing effiecient and effective sustainable PPP projects. Although many studies show that there has been no comprehensive study on the roles of the Quantity Surveyor in PPP concession projects which therefore indicate a knowledge gap in this particular area of the study. Hence, the aim of this paper is to explore the roles of professional Quantity Surveyor in achieving the critical success factors (CSF)for PPPconcession projects. Findings in the study have shown that Quantity Surveyor has a great role to play in achieving the Critical Success Factors (CSF) for PPP concession projects in the areas of:detailed feasibility study; compititive financial proposal; effective procurement management; preliminary qualification evaluation & tendering phase; solid revenue & cost estimate; proper partner’s selection criteria; and solid financial packaging. Findings from the study further revealed that the PPP contractual arrangement offers the primary role of a professional Quantity Surveyor within the PPP concept leading to the selection of the right concessionaire through: request for expression of interest, qualifications, proposals; negotiation with preferred bidders; and evaluation methods & criteria and also in the performance evaluation of the entire development and delivery process within the project objectives.
IRJET- Challenges in the Implementation of Smart City Projects in BhopalIRJET Journal
This document summarizes a study on the challenges facing implementation of smart city projects in Bhopal, India. It conducted surveys of government employees, private contractors, and citizens to identify risk factors causing delays. Major challenges included a lack of a clear master plan, lack of technical expertise among government staff, and difficulties acquiring land and removing encroachments. Financial and partnership risks were primary concerns of private contractors. The study recommends adopting strict timelines, minimizing private sector risks, and conducting independent post-implementation audits to improve project implementation.
The document discusses challenges faced by governments in public-private partnerships (PPPs). It notes that PPPs require the government to balance its roles as both regulator and partner. There is tension between complete control and ceding management to private partners. However, the key to success is properly allocating risks between parties. While transferring all risks to private partners may not be optimal, retaining too many risks can also undermine partnerships. Ultimately, the government must ensure public policy goals and transparency as the guardian of public assets, even while being an equitable partner.
This document discusses cash flow management for large infrastructure projects in India. It notes that infrastructure projects require huge capital investments but often face delays and cost overruns. An effective cash flow management model is needed to precisely predict capital outflows and optimize the use of funds over time. The document proposes a mathematical model for rolling, flexible cash flow management that provides a practical solution to minimize capital costs and optimize cash flows on a monthly basis.
This document provides an overview of a mathematical model for cash flow management of large infrastructure projects in India. It discusses that infrastructure projects require huge capital investments and managing cash flows efficiently is important but complex. It then outlines a 6-step methodology for cash flow management that involves estimating costs, forecasting cash outflows based on schedules, updating forecasts based on actual orders and progress, and recalculating cash flows regularly to optimize capital usage. The model aims to precisely predict and manage monthly cash outflows to reduce project costs and financing costs.
The document provides details about two complex IT projects successfully managed by IBM India:
1) A software upgrade and application migration project for a large automotive company that involved upgrading 253 applications to a newer version within time and budget while maintaining functionality and performance. IBM developed an innovative "factory model" to manage the large scope and prevent scope creep.
2) An SAP roadmap project for a global consumer products company in Europe, Middle East and Africa region that involved integrating businesses onto common platforms by the deadline of April 26, 2013. Key challenges included defining scope and preventing scope creep given potential changes. Strong project management was critical to the success of both projects.
The pipeline project was designed to connect GAIL’s natural gas terminal in Vijaipur in Madhya Pradesh in central India to a terminal in Dadri in Uttar Pradesh in north India. It would then extend to a power plant in Bawana that supplies power to Delhi. The project was part of GAIL’’s infrastructure enhancement program aimed at integrating the country’s gas grid. www.pmi.org.in
The document presents a proposal for a study on factors influencing effective implementation of monitoring and evaluation (M&E) on donor funded projects in Kampala Capital City Authority (KCCA). The study aims to examine how staff competencies, budgetary allocations, donor influence, and stakeholder engagement impact M&E implementation. If approved, the study would use a quantitative and qualitative approach, collecting data through questionnaires and interviews from past projects. The findings could help donors, KCCA, and policymakers improve M&E practices and management of future donor funded projects.
Can PPPs solve Indonesias infrastructure needsH2O Management
Public-private partnerships (PPPs) could help Indonesia address its critical $600 billion infrastructure needs over the next decade. However, PPPs in Indonesia have faced several challenges that have prevented them from fulfilling their potential. These challenges include a lack of transparency in project selection, complex coordination requirements, skills deficiencies within government agencies, conflicting regulations, and difficulties acquiring land. For PPPs to succeed in Indonesia and bridge the country's investment gap, the government will need to address inefficiencies, build agency capacity, and demonstrate renewed commitment by successfully implementing 2-3 priority projects in the next year.
The document discusses educational monitoring and project monitoring. It defines monitoring as assessing the progress of implementing educational programs and projects. Monitoring ensures targets are being met and identifies issues requiring corrective action. It involves collecting regular information on activities, costs, schedules, and achievements and providing feedback. The key aspects of effective monitoring outlined are setting clear targets and resources, periodic assessments, and using techniques like PERT/CPM to track progress and identify potential delays or issues.
Project Programming & Prioritisation Toolkit September 2009led4lgus
This document introduces a toolkit to help local governments in Asia develop prioritized urban infrastructure investment programs. The toolkit guides users through three steps: 1) analyzing a city's financial capacity, 2) prioritizing potential projects according to development objectives and financial support criteria, and 3) programming shortlisted priority projects into a 5-year investment plan matching the city's fiscal resources. The goal is to transform wish lists of projects into bankable priority investment packages that can access external financing for development. The toolkit is intended to facilitate objective, evidence-based decision making and selection of projects with positive developmental outcomes.
This document provides an overview of modern project management. It discusses how project management has become increasingly important across many industries and sectors. The value of infrastructure projects globally is in the hundreds of billions of dollars. While project management is growing in importance, reports still show that many projects face challenges such as going over budget, experiencing delays, or not achieving their objectives. However, there has been a shift towards more agile project management approaches, which have higher success rates compared to traditional waterfall approaches. The document outlines key factors that contribute to both challenged and successful projects. It emphasizes that project management skills are valuable for many careers beyond just project managers.
This document provides a case study of a large scale business transformation program undertaken by a top 10 global business organization to standardize processes, implement a single ERP system, and integrate operations across various business units. The program involved transforming business processes, implementing SAP, integrating operations, and deploying shared services. Project management methodology was effectively applied to execute the program through establishing governance, planning deployment, developing solutions using IBM Ascendant methodology, managing stakeholders, and realizing business benefits. While costs exceeded projections, the program achieved its goals and business benefits through effective program management.
The document describes a cloud-based project management tool called Unleash that allows for a hybrid approach to project management combining elements of agile and waterfall methodologies. Unleash allows teams to manage projects, programs, portfolios and products on the cloud. It also facilitates collaboration and creation of an environment where teams can emphasize faster product creation using a mix of agile and waterfall techniques as needed. The authors contend this approach allows for better results than using the traditional methods alone. It provides flexibility to use either approach and adjust the level of agility during a project as required.
The document discusses satisfying customer expectations beyond contractual obligations in project management. It provides case studies where project managers went above the project scope to resolve issues and meet the true objectives. It argues that project managers should understand the overall goal, partner with the customer, leverage past experience to anticipate problems, and control budgets when additional needs arise. By taking these approaches, the customer's expectations can be met even if things weren't spelled out initially in contracts or statements of work.
The document discusses key performance indicators (KPIs) in program governance and the value of a top-down alignment approach. It outlines a 4-step KPI process that begins with defining the client and organizational contexts to establish overarching goals and strategies. KPIs are then defined at the program level across four focus areas: delivery, client, people, and operations. With a top-down approach, KPIs align across all levels to ensure the program meets stakeholder needs while achieving schedule, budget, and value objectives.
This document discusses exploring critical risks for green construction projects in India. It identifies 34 risk factors that could lead to cost and time overruns in green construction projects. It describes using a systematic approach including knowledge from experts, project data, and simulation modeling to predict risks at different stages of green rated construction projects. The risk assessment process examines lessons from past projects to identify typical inputs and outputs. The study aims to investigate practical risk management applications in the green construction industry in India.
This document discusses project management challenges in pharmaceutical research and development. It aims to balance the costs of drug development with innovation. The R&D process is described involving discovery, preclinical, and clinical trial phases. R&D costs have significantly increased in recent decades due to factors like longer clinical trials. Measuring innovation based only on new drug approvals does not fully capture improvements to existing drugs. From a project management perspective, key challenges include scope management, time management, and resource management given the technical risks and long durations of drug development projects.
This document discusses achieving delivery excellence in projects. It defines delivery excellence as going beyond just quality to be "extremely good". It identifies critical success factors for delivery excellence like customer satisfaction, employee satisfaction, and business growth. It also discusses key metrics for measuring delivery excellence like revenue growth, customer satisfaction levels, and defect density. Finally, it provides techniques for achieving delivery excellence like co-creation, automation, and competency development.
The document discusses the implementation of Project Management Institute (PMI) guidelines at LIFE REPUBLIC, a large township development project near Pune, India. It describes the objectives of establishing standardized project management processes and techniques. It outlines some key challenges for the project related to its large scale and complexity. It then details how PMI methodologies were used to develop tools like a project management office, communication plans, responsibility matrices, and risk registers. The results included setting standards, training project teams, and achieving better cost control and coordination across multiple agencies involved in the project.
- The document discusses using an eco-friendly mulching technique as a value engineering approach to enhance road safety and aesthetics on a highway project in Andhra Pradesh, India.
- The mulching technique involved using nearby available paddy grass as a mulch material in highway median plantations. This led to 3 times growth of plants, 2 times foliage coverage, 52% savings in water consumption, and substantially reduced weed growth, while reducing maintenance costs by 10-12%.
- The mulching approach was explored as part of a continual improvement process using kaizen principles and provided both environmental and economic benefits for the road project.
The document is a study by KPMG and Project Management Institute (PMI) on drivers for success in infrastructure projects in India in 2010. It analyzes reasons for cost and time overruns based on interviews with over 100 executives. The key findings are:
1) The biggest reasons for cost overruns are frequent design changes, scope creep, and material price escalations over the project duration.
2) Material input costs are highly susceptible to escalations and are a major contributor to overall cost increases.
3) Regulatory approvals delays and land acquisition issues are the primary causes of time overruns, followed by weak project planning and monitoring.
Quantity Surveyor’s Impact: A Panacea to achieving Critical Success Factors i...inventionjournals
Public-Private-Partnership (PPP) is an innovative infrastructure procurement system aimed at providing unique opportunities in the development and funding of public infrastructure facilities.The procurement system ranges from simple contracting of services to the involvement of private sector in financing, design, construction, operation and maintenance of infrastructure. However, organising PPP is not an easy task due to its complexity and long term contractual obligagtions that requires the involvement of stakeholders and professionals for its successful implementation. Procurement procedure under PPP is very complicated and more costly and time consuming than the traditional procurement approach. Therefore the need to address the roles of the Quantity Surveyor in providing the total cost and procurement management has been recognized and become necessary in developing effiecient and effective sustainable PPP projects. Although many studies show that there has been no comprehensive study on the roles of the Quantity Surveyor in PPP concession projects which therefore indicate a knowledge gap in this particular area of the study. Hence, the aim of this paper is to explore the roles of professional Quantity Surveyor in achieving the critical success factors (CSF)for PPPconcession projects. Findings in the study have shown that Quantity Surveyor has a great role to play in achieving the Critical Success Factors (CSF) for PPP concession projects in the areas of:detailed feasibility study; compititive financial proposal; effective procurement management; preliminary qualification evaluation & tendering phase; solid revenue & cost estimate; proper partner’s selection criteria; and solid financial packaging. Findings from the study further revealed that the PPP contractual arrangement offers the primary role of a professional Quantity Surveyor within the PPP concept leading to the selection of the right concessionaire through: request for expression of interest, qualifications, proposals; negotiation with preferred bidders; and evaluation methods & criteria and also in the performance evaluation of the entire development and delivery process within the project objectives.
IRJET- Challenges in the Implementation of Smart City Projects in BhopalIRJET Journal
This document summarizes a study on the challenges facing implementation of smart city projects in Bhopal, India. It conducted surveys of government employees, private contractors, and citizens to identify risk factors causing delays. Major challenges included a lack of a clear master plan, lack of technical expertise among government staff, and difficulties acquiring land and removing encroachments. Financial and partnership risks were primary concerns of private contractors. The study recommends adopting strict timelines, minimizing private sector risks, and conducting independent post-implementation audits to improve project implementation.
The document discusses challenges faced by governments in public-private partnerships (PPPs). It notes that PPPs require the government to balance its roles as both regulator and partner. There is tension between complete control and ceding management to private partners. However, the key to success is properly allocating risks between parties. While transferring all risks to private partners may not be optimal, retaining too many risks can also undermine partnerships. Ultimately, the government must ensure public policy goals and transparency as the guardian of public assets, even while being an equitable partner.
This document discusses cash flow management for large infrastructure projects in India. It notes that infrastructure projects require huge capital investments but often face delays and cost overruns. An effective cash flow management model is needed to precisely predict capital outflows and optimize the use of funds over time. The document proposes a mathematical model for rolling, flexible cash flow management that provides a practical solution to minimize capital costs and optimize cash flows on a monthly basis.
This document provides an overview of a mathematical model for cash flow management of large infrastructure projects in India. It discusses that infrastructure projects require huge capital investments and managing cash flows efficiently is important but complex. It then outlines a 6-step methodology for cash flow management that involves estimating costs, forecasting cash outflows based on schedules, updating forecasts based on actual orders and progress, and recalculating cash flows regularly to optimize capital usage. The model aims to precisely predict and manage monthly cash outflows to reduce project costs and financing costs.
The document provides details about two complex IT projects successfully managed by IBM India:
1) A software upgrade and application migration project for a large automotive company that involved upgrading 253 applications to a newer version within time and budget while maintaining functionality and performance. IBM developed an innovative "factory model" to manage the large scope and prevent scope creep.
2) An SAP roadmap project for a global consumer products company in Europe, Middle East and Africa region that involved integrating businesses onto common platforms by the deadline of April 26, 2013. Key challenges included defining scope and preventing scope creep given potential changes. Strong project management was critical to the success of both projects.
The pipeline project was designed to connect GAIL’s natural gas terminal in Vijaipur in Madhya Pradesh in central India to a terminal in Dadri in Uttar Pradesh in north India. It would then extend to a power plant in Bawana that supplies power to Delhi. The project was part of GAIL’’s infrastructure enhancement program aimed at integrating the country’s gas grid. www.pmi.org.in
The document presents a proposal for a study on factors influencing effective implementation of monitoring and evaluation (M&E) on donor funded projects in Kampala Capital City Authority (KCCA). The study aims to examine how staff competencies, budgetary allocations, donor influence, and stakeholder engagement impact M&E implementation. If approved, the study would use a quantitative and qualitative approach, collecting data through questionnaires and interviews from past projects. The findings could help donors, KCCA, and policymakers improve M&E practices and management of future donor funded projects.
Can PPPs solve Indonesias infrastructure needsH2O Management
Public-private partnerships (PPPs) could help Indonesia address its critical $600 billion infrastructure needs over the next decade. However, PPPs in Indonesia have faced several challenges that have prevented them from fulfilling their potential. These challenges include a lack of transparency in project selection, complex coordination requirements, skills deficiencies within government agencies, conflicting regulations, and difficulties acquiring land. For PPPs to succeed in Indonesia and bridge the country's investment gap, the government will need to address inefficiencies, build agency capacity, and demonstrate renewed commitment by successfully implementing 2-3 priority projects in the next year.
The document discusses educational monitoring and project monitoring. It defines monitoring as assessing the progress of implementing educational programs and projects. Monitoring ensures targets are being met and identifies issues requiring corrective action. It involves collecting regular information on activities, costs, schedules, and achievements and providing feedback. The key aspects of effective monitoring outlined are setting clear targets and resources, periodic assessments, and using techniques like PERT/CPM to track progress and identify potential delays or issues.
Project Programming & Prioritisation Toolkit September 2009led4lgus
This document introduces a toolkit to help local governments in Asia develop prioritized urban infrastructure investment programs. The toolkit guides users through three steps: 1) analyzing a city's financial capacity, 2) prioritizing potential projects according to development objectives and financial support criteria, and 3) programming shortlisted priority projects into a 5-year investment plan matching the city's fiscal resources. The goal is to transform wish lists of projects into bankable priority investment packages that can access external financing for development. The toolkit is intended to facilitate objective, evidence-based decision making and selection of projects with positive developmental outcomes.
This document provides an overview of modern project management. It discusses how project management has become increasingly important across many industries and sectors. The value of infrastructure projects globally is in the hundreds of billions of dollars. While project management is growing in importance, reports still show that many projects face challenges such as going over budget, experiencing delays, or not achieving their objectives. However, there has been a shift towards more agile project management approaches, which have higher success rates compared to traditional waterfall approaches. The document outlines key factors that contribute to both challenged and successful projects. It emphasizes that project management skills are valuable for many careers beyond just project managers.
IRJET- A Study on Project Management Techniques to Avoid Project FailureIRJET Journal
This document discusses project management techniques to avoid project failure. It begins with an introduction to project management and definitions of key terms. The literature review then summarizes several academic papers on topics related to project failure such as identifying common causes of failure, project performance measurement, and techniques for scheduling projects with uncertainty. The conclusion reiterates that project management techniques must be tailored to the specific project and region, and that further research is needed to enhance understanding of avoiding project failure.
Western cape broadband strategy (industry briefing)Nirvesh Sooful
Presentation by Nirvesh Sooful, Technical Advisor. Presented at the Western Cape Government briefing to ICT industry stakeholders on the Western Cape Broadband Programme (March 2012), President Hotel, Bantry Bay, Cape Town
The document discusses some of the key challenges in managing public projects through public-private partnerships in India. It notes that time and cost overruns are common, reflecting poorly on project management teams. Some challenges include incomplete scope assessments, bureaucratic procedures, and a lack of competent leadership. While some challenges are inherent to the system, teams can enhance performance through better planning, leveraging the system, and having skills like flexibility and diplomacy. Understanding terminal objectives, technical competence, and stakeholders are important for driving social projects effectively.
The Indian Infrastructure Body of Knowledge
InBoK is a unique comprehensive guidebook for implementation of programs and execution of constituent projects.
This encompasses best practices of program management and project managements and retains the essential connect between programs and projects.
Program success depends on successful execution of constituent projects and more importantly on their interface and integration for assuring overall program outcomes. This linkage is established in the InBoK in every chapter
This document outlines a proposed study on establishing effective guidelines for sustainable infrastructure projects in Nigeria. The study would be conducted by Crown Agents over a 6 month period from November 2016 to May 2017. The study aims to develop a 'proof of concept' framework to improve infrastructure project design and implementation in Nigeria. It would analyze challenges to infrastructure development and provide recommendations to enhance private sector participation and sustainable funding models. The study risks and mitigation strategies are also outlined. Crown Agents has extensive experience conducting similar infrastructure studies and technical assistance projects in Africa.
The document discusses recommendations from a committee chaired by Dr. Vijay Kelkar on reviving public-private partnerships (PPPs) in India's infrastructure development. The committee recommended amendments to PPP contracts, policies, and institutions to make them more outcome-focused and improve dispute resolution, risk allocation, and private sector participation. Key recommendations included changes to model concession agreements, establishing new committees and tribunals to facilitate PPP projects and resolve disputes, and adopting new funding models like the Hybrid Annuity Model. The success of PPPs in India going forward will largely depend on changes in the attitudes of government agencies and other public authorities working with the private sector.
This document summarizes a case study on implementing the Last Planner System (LPS) in a construction project in Tiruchirappalli District, Tamil Nadu, India. The study focused on a contractor's use of LPS to improve performance and productivity on a multipurpose building project. Data was collected through non-participant observation, interviews, and surveys of construction professionals. Results showed that implementing LPS led to significant improvements over traditional management, including a notable increase in the average Percentage Plan Completed (PPC) metric. However, barriers to fully realizing the benefits of LPS in the Indian construction context were also identified.
Day 1 1620 - 1705 - maple - pranabendu bhattacharyyaPMI2011
This document discusses the need for predictable estimates in software project delivery and describes TCS's approach to improving estimation predictability. Some key points:
- Inaccurate estimates can lead to billions in losses due to cost overruns, failed projects, and reduced productivity.
- TCS implemented an estimation framework using standardized models, metrics, and continuous feedback to select the best model for different project types.
- A case study showed their approach improved productivity by 15-41%, reduced project scraps by 55%, and increased model coverage from 26% to 80% over three years.
Final chakradhar purohith proposal milieu analysis (without account data un...PMI2011
The document discusses uncertainty analysis in project proposals through milieu analysis. It outlines the importance of relational dimensions like social and political factors in winning proposals. An illustration shows how proposals can be characterized and assessed on technical, financial, social and political dimensions. Key stakeholders must work together to ensure high quality proposals that address both functional and relational classes. Future work includes better translating customer needs and measuring social/political dimensions.
This document discusses 5 mantras for achieving project success the first time. The mantras are:
1. Eliminate false requirements - False requirements waste time and resources. Project managers must carefully identify and remove pseudo requirements.
2. Tour your execution - Project managers should thoroughly plan their project execution through virtual "tours" to identify gaps, risks, assumptions and contingencies before starting work.
3. Be passionate yourself - A project manager's passion is critical for energizing the team and driving success. Communicating vision and overcommunicating are keys to maintaining passion.
4. Do not just use rear view planning - Project managers should take a proactive rather than reactive approach, anticipating potential issues
This document discusses the advantages of using Global Navigation Satellite Systems (GNSS) like GPS for monitoring construction projects. It outlines 9 key factors project managers should consider when implementing GNSS-based monitoring solutions, including accuracy variations due to ionospheric effects, number of visible satellites, geometric dilution of precision, and use of augmentation systems. Proper understanding of these factors is important for effective project management using GNSS technologies.
This document describes how an IT services organization transformed its "bench" resources into a learning organization. The organization faced issues with associates on the bench feeling unproductive and demotivated. It was also difficult to continuously enhance employee skills due to costs.
The author led an initiative over 14 months to manage, nurture and mature over 400 consultants across different capabilities and geographies. Associates on the bench were engaged in activities like creating reusable components, training, knowledge sharing and publishing white papers.
This transformation approach resulted in benefits such as reduced attrition, increased productivity and deployability. It also led to improved employee satisfaction, motivation and the creation of a learning culture within the organization.
The document discusses the importance of marketing communications in successfully launching innovative products. It argues that while innovation is crucial for businesses, new products often fail due to poor marketing. The author analyzes how marketing can help products cross the 'chasm' between early adopters and mainstream customers. Real-world case studies demonstrate how strategic communications can magnify a product's market, while weak messaging can diminish it. Later sections provide best practices for marketers to follow when promoting innovations, including common pitfalls to avoid.
The document discusses challenges in managing small teams that are different from large teams. While most literature focuses on simplifying processes for small projects, the document emphasizes the need to address human aspects like deciding roles based on strengths, providing training and mentoring, and motivating team members. It suggests managers of small teams should have moderate technical skills and interpersonal training to effectively lead and develop young team members, and to minimize impacts of attrition which greatly affect small teams.
The document discusses agile metrics that can be used at different levels - project, program, and portfolio. At the project level, metrics measured during planning include story points and velocity. During execution, metrics include burn-down, burn-up, and escaped defects. Risk and quality are also measured. At the program and portfolio levels, priorities are set and multiple teams contribute to releases, requiring metrics like cycle time. Agile principles provide value-driven delivery through iterative development and customer feedback compared to the traditional waterfall model.
This document discusses managing diverse projects for organizational success. It outlines several challenges in managing diverse project teams, including cultural diversity, remote project management, weak ethics, and using traditional tools. It then provides recommendations for developing a global strategy, such as commitment from leadership, collaboration, understanding diverse teams, adopting lean delivery models, and continual improvement. A case study example is also presented of how one organization overcame challenges through implementing solutions like gap analysis and focusing on critical success factors and lessons learned.
This document discusses balancing creativity and business needs in managing research and development (R&D) projects. It proposes a six-step project management framework to effectively manage innovation given practical constraints of time and budget. While creativity thrives on uncertainty and freedom, some process is needed to move ideas through an "innovation funnel" toward commercialization. Adopting project management practices can help accelerate the innovation process if the processes acknowledge differences between researchers focused on novelty and engineers focused on prototypes and pilots.
This document discusses how organizations can increase productivity by systematically learning lessons from failures and successes. It proposes a lessons learned process that involves failure analysis, reviewing solutions, deploying and confirming solutions, learning from successes, and documenting and sharing lessons. Implementing this process helps reduce risks by avoiding past mistakes and repeating successes. The process includes root cause analysis, reviewing solutions, testing solutions, and confirming they address the original problem before lessons are documented and shared organization-wide. This systematic learning from failures and successes helps organizations continuously improve over time.
This document discusses using a "middle-out" balanced scorecard approach to monitor benefits realization in large transformation programs. It begins by describing the typical benefits management lifecycle and framework, including identifying, analyzing, planning and realizing benefits. It then explains how a balanced scorecard is usually designed in a top-down manner at the corporate level but proposes a middle-out approach where individual project scorecards are developed and connected to an overarching program scorecard to track progress towards intended benefits. The document provides an example case study where this middle-out balanced scorecard approach was adopted to monitor a program.
The document discusses challenges with realizing the envisioned outcomes of mergers and acquisitions (M&A). It states that two-thirds of M&As fail to achieve their planned integration timelines and costs. The complexity of integrating two companies' strategies, business processes, and IT systems makes post-M&A integration difficult. Additionally, constant changes in the business environment require dynamic reprioritization for success. The document advocates for a strategic program management approach for post-M&A integration that focuses on realizing the original synergies of the M&A business case and is adaptable to changing conditions, rather than a traditional project management approach only focused on milestones and timelines. It provides an example of how strategic program management
This document discusses a framework for motivating quality experts to become quality innovators. It outlines several challenges, including getting a dedicated team of innovators from a non-billable resource team, and motivating innovation that is non-technical and provides internal benefits rather than external customer value. The proposed framework includes appointing innovation champions and teams, creating a sense of competitiveness, tracking progress regularly with senior management support, rewarding and supporting creativity, utilizing employee diversity, and creating a positive work environment. The benefits discussed are improved business and quality management processes, as well as lessons learned and critical success factors.
Shallu soni mymoonshabana_lavanya raghuramanPMI2011
This document discusses challenges faced by women and empowering women for a better tomorrow. It identifies key challenges such as gender suppression, emotional guilt, self-negligence, weak networks, forcible quitting, and untapped potential. A SWOT analysis is conducted to examine weaknesses and threats. Solutions are proposed to overcome weaknesses including self-care, strong women's networks, communication, and realizing one's potential. Solutions are also suggested for society to overcome threats such as promoting gender equality, reducing social stigma, and supporting work-life balance. The document emphasizes that empowerment begins with gaining confidence and decision making skills at home and having supportive networks and organizations to help women reach their full potential.
This document discusses lessons that can be learned from emergency medicine management in hospitals and applied to Agile project management. It notes that emergency departments use techniques like triage to prioritize patients, minimize wait times, ensure backup support, and conduct root cause analyses of clusters of cases. These approaches help maintain smooth operational flow even during chaotic periods. The document argues that Agile teams can benefit from incorporating similar concepts like prioritizing issues based on need, having backup support, and analyzing root causes of emergencies to improve preparedness. Emergency medicine has evolved effective strategies over time to consistently respond to uncontrolled events, and Agile teams can learn from these practices to better handle unexpected tasks and ensure on-time delivery while maintaining quality.
This document discusses how successful program management can enable business transformation. It argues that adopting a partnership approach through effective communication and collaboration allows organizations to achieve desired outcomes. The key is applying basic principles like working as one team and enabling services. This includes cultural integration, leadership development, and enhanced communication. Together these help create a collaborative environment and maximize benefits through a structured implementation model. The partnership approach was used successfully in one program to realize over £700k in benefits, increase market share by 50%, and achieve a 200% increase in new business. Adopting this framework of staying relevant to stakeholders can help delivery teams understand challenges and add value for all parties.
This document describes an estimation framework developed by Tata Consultancy Services to standardize and improve the accuracy of software project estimations. The framework includes components for sizing, effort estimation, scheduling, resource planning, and costing. It also includes a decision matrix to select the appropriate estimation model based on project characteristics. Continuous feedback from project outcomes is used to refine the framework over time through a plan-do-check-act cycle. The framework aims to increase predictability and reduce risks associated with inaccurate project estimations. A case study demonstrates how the framework was applied to a sample project.
This document discusses a successful change management initiative in a government research and development organization in India. The organization previously had a project-based structure, but was reorganized into a matrix structure with groups for design, development, testing, and implementation. This allowed for better knowledge sharing and resource allocation across projects. Key steps taken included establishing a change management team, communicating the need for change, analyzing costs and risks, and empowering staff. The new structure improved documentation, coordination between groups, and on-time delivery of projects to clients. As a result, employee and client satisfaction increased.
This document discusses how business analytics can help improve the Indian power sector. It explains that business analytics can help better manage the power sector to make it more financially viable and promote competition, in line with objectives of the Indian Electricity Act of 2003. The document outlines the role of integrating business analytics with big data in the power sector. It also discusses software requirements and attributes needed for business analytics in power generation, transmission and distribution utilities. Finally, it provides examples of how business analytics can help analyze customer data, transmission losses, revenue realization, plant efficiencies, load forecasting, and support faster decision making.
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2. Project Management National Conference 2011 PMI India
“Augmenting Public Private Partnership
(PPP) in Infrastructure Projects through
Project Management and Accountable
Governance in India”
Prasanna B Babli
Essar Projects (India) Ltd.
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Contents
1 ABSTRACT.......................................................................................................................4
2 INTRODUCTION..............................................................................................................4
3 STATUS OF PPP PROJECTS IN INDIA AS PER LATEST DATA AVAILABLE.......5
4 RECENT PROPOSALS TO COUNTER DELAY IN PROJECTS...................................7
1.4.1. ‘Urban projects can get states grant if completed in time’ Business Standard – 2
June ’11 .................................................................................................................................7
1.4.2. KPMG-PMI Study Reveals Key Drivers for Success in Infrastructure Projects........7
1.4.3. Central Sector Projects Co-ordination Committee (CSPCC) for monitoring projects
> 150 Cr..................................................................................................................................8
5 PLANNING COMMISSION’S TAKE..............................................................................8
5.1.1 “Guidelines for monitoring of PPP projects Published by Secretariat for Committee
on Infrastructure”...................................................................................................................8
5.1.2 Approach to regulation of infrastructure......................................................................9
5.1.3 Accountability of Regulator.........................................................................................9
6 “A process for developing good policies”..........................................................................9
7 CASE IN DISCUSSION..................................................................................................10
7.1.1 Mundra Ultra Mega Power Plant 4000MW (800X5).................................................10
7.1.2 Bhiwandi Electricity Distribution Franchisee............................................................11
7.1.3 Key Issues – Need of hour.........................................................................................12
8 STRUCTURING FRAMEWORK FOR ACCOUNTABLE GOVERNANCE...............13
9 CONCLUDING OBSERVATIONS................................................................................15
9.1.1 OECD principles for corporate governance...............................................................16
9.1.2 Sustainable governance along with sustainable development....................................16
9.1.3 Dividends and not delays for financing institutions...................................................16
9.1.4 Road ahead for Private Participation in Infrastructure projects.................................17
10 REFERENCES ..............................................................................................................17
10.1.1 Business Standard India 2011 – BS Books An Imprint of Business Standard Ltd. .17
10.1.2 Web Directory..........................................................................................................17
11 AUTHOR’S PROFILE..................................................................................................18
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1 ABSTRACT
India is only second among the emerging economies next to China. With an
average GDP rate of 7.5% and upside, the demand to improvise infrastructure is
magnanimous. The average spending capacity proportional to the earning power
has also drastically increased. Emphasis to improve the infrastructure is evident
from the 11th five year plan. The planning commission is slated to increase the
investment in up-gradation and capacity enhancement to the tune of almost 5-
6% of the GDP.
However, more than 60% of economically viable projects have had a breach in
terms of successful completion with regards to time, cost, quality and value
addition. In order to bridge this gap between feasibility and viability, better project
management techniques combined with accountability for delays must be
incorporated.
The objective of augmenting PPP in infrastructure is the road ahead, for better
management practices is the need of hour. Issues arising due to land acquisition,
environmental clearances, political influence, socio-cultural imbalance, improper
risk mitigation and the adverse effect of unskilled workforce accumulate towards
cost and time overruns.
Concluding observations tend to reflect the necessity of using Project
Management skills in order to have clear perspective of the achievable and its
contrary. The paper focuses upon constitution of a accountable governing body
comprising the public as well as private participants. A single window clearing
body for assessing the challenges in projects; incorporating initiatives for CSR,
encouraging FDI and JV and proper risk mitigation tools.
Keywords:- Project Management, PPP Projects, Accountable Governance
2 INTRODUCTION
The construction industry in India is arising to the huge demand it is entrusted
with. Gone are the days when basic infrastructure was talk of town. Today large
scale projects of huge capital investment can be witnessed. The rate of return is
also better compared a couple of decades ago. This has lead to the need for
Private Sector Participation in the building of India Vision 2020. It is envisaged in
the 12th Five year plan that the percentage of Private sector investment will
increase to almost 40% of the total infrastructure need in India. With large private
organizations making their mark in the infrastructure space, immediate reforms
need to be addressed regarding the successful closure of projects.
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Of the 559 Central Sector Projects of more than Rs. 150 Cr. Almost 53% i.e 293
projects are delayed by up-to 36 months. Only 21% of the projects are on
schedule and 2% of them ahead of schedule. Another 24% projects do not have
any status as on October 2010. (Reports IANS 17 April 2011 ‘More than 50% of
centrally funded infrastructure projects are delayed’)
Is it alarming enough to implement better Project Management Practices with an
Accountable Governance? Is there a requirement to have a central governing
body for efficient monitoring of projects? Does the body suffice the need of
conceptualization and initiation bottlenecks?
The subject is of considerable debate and there have been a lot of proposals.
However, most of these proposals have failed to witness light at the end of
tunnel.
3 STATUS OF PPP PROJECTS IN INDIA AS
PER LATEST DATA AVAILABLE
The no. of projects under
implementation compared to
that of the completed is
alarming. Statistics from PPP
database indicate that almost
an equal amount of investment
as that of no. of projects can be
witnessed for projects in
implementation and under
pipeline stage.
However, of the 515 projects
monitored by MOSPI (Ministry
of Statistics and Program
Figure 1 : Status of PPP Projects in India
Implementation) under
the Infrastructure Statistics 2010 for central sector projects of cost more than Rs.
100 Cr.(First issue, December 2010) indicates a little over 43% of projects been
delayed and nearly 27% of projects were sanctioned without a commissioning
date or a fixed completion date.
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Projects under National Highway Development Program (NHDP) have had a
significant
role in the
Figure 2: Investment Sector-wise for projects
in the implementation stage.
implementation of PPP projects. 357 NH projects have been awarded on MCA
(Model Concession Agreement) either on BOT or Annuity basis. Similar trends
can be witnessed in the ports and telecom sectors. The most important detriment
has been land acquisition and many projects are in the loop for lack of policy and
regulation regarding the same. Eventough the ambitious plan to achieve 20 km
road per day has hit a deadend, the roads sector is witnessing a robust growth
perspective.Many JV companies are being setup to capitalise on the 100% FDI
been made available in many infrastructure sectors. However, iIntiatives
regarding the issues need to be addressed.
Figure 3: Comparison of no. of projects in pipeline to their investment in various states
under PPP.
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7. Project Management National Conference 2011 PMI India
PPP projects in the pipeline are mainly concentrated under the centre’s preview.
It is necessary to have a central governing authority with Project Management
tools in place for efficient working of the project.
Figure 4: No. of projects completed under PPP in different sectors.
Purchasing of coal, lack of experience are some critical factors affecting the
growth of private participation in the power and railways.
4 RECENT PROPOSALS TO COUNTER
DELAY IN PROJECTS
1.4.1. ‘Urban projects can get states grant if
completed in time’ Business Standard – 2 June ’11
A recent article upon grants offered to infrastructure companies in order to speed
up the works indicates that the states are willing to offer more to get things done.
The findings of report suggest that the cost escalation due to delay in projects is
almost 16% which means that for every 1 lakh Crore rupees of investment there
is a risk in cost overrun of 16000 Crore Rupees. Urban projects may get the
node of benefitting from completing the project ahead or within the schedule. But
the concern persisting Infrastructure development companies is the availability of
guidelines to achieve the same. Transparency and policy initiatives need to be
improvised so as to cash on the benefits been made available.
1.4.2. KPMG-PMI Study Reveals Key Drivers for
Success in Infrastructure Projects
Inadequate Designs and Planning coupled with Scope Creep and Material Cost
Escalations identified as biggest reasons for Schedule and Budget over runs.
Due to constant changes in the designs there is a high probability of an budget
overrun. The study identified progress reports as most frequently used tool for
project monitoring. Hence it suggests the constitution of Project Management
Office (PMO) as Central Regulatory Authority to monitor execution of
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Infrastructure Projects. Evaluation of the project progress in terms of Value for
Money through PMO will result in better performance management. The study
says that 85% of all ongoing projects running within budgets have a PMO.
1.4.3. Central Sector Projects Co-ordination
Committee (CSPCC) for monitoring projects > 150 Cr.
The committee could meet once a quarter, with the agenda to sort out
bottlenecks in timely implementation of central sector projects. This would be a
major step towards mitigating the time overruns in central projects and give a
fillip to economic growth in the country. The CSPCC will be under the purview of
the state government looking into central sector projects of cost greater than Rs.
150 Cr. It is pertinent to mention here that the state governments are very
important stakeholders in the whole infrastructure building process and they
would be equally interested in seeing that the benefits of the infrastructure
projects reach people at the earliest.
Proposals to set up governing authorities and monitoring committees have
however not yet been implemented. Much of this can be attributed to the fact that
India is a vast democracy with regulatory authorities thriving in each and every
step of the project process. Getting approvals and recommendations from
different agencies becomes cumbersome. Eventually leading to the delay in
project progress and cost overruns.
5 PLANNING COMMISSION’S TAKE
“When it comes to collaborative partnerships, in particular PPP, for provisioning
essential services, the interests of target beneficiaries are often neglected.” –
Krishna Tanuku, Executive Director, Wadhwani Centre for Entrepreneurship
Development – ISB. For a article published ‘Empowering Inclusive Growth:
Entrepreneurship’ in Business Standard India 2011.
5.1.1 “Guidelines for monitoring of PPP projects
Published by Secretariat for Committee on
Infrastructure”
In order to monitor the performance of PPP projects, the project authorities may
create a two tier mechanism;
Public Private Partnership Project Management Unit (PPP PMU) – at the
project authority level
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Public Private Partnership Performance Review Unit (PPP PRU) – at the
ministry or state government level
PPP PMU submits a project monitoring report to the PPP PRU within 15 days of
the closure of relevant month. The PPP PRU should review the Performance
Monitoring report submitted by PPP PMU and take necessary steps in order to
compensate for any losses or lapses. In addition the PPP PRU should generate
a quarterly report upon the status of such PPP project demanding for any
remedial measures known as the Exception Report.
5.1.2 Approach to regulation of infrastructure
The secretariat for the Committee on Infrastructure
Independent regulatory institutions should embrace a transparent and
participatory process which allows all stakeholders, including consumer groups
and citizens to interact with these institutions in a predictable and consistent
fashion. The regulator should adopt a regulatory process that ensures avenues
for participation by stakeholders.
5.1.3 Accountability of Regulator
The overall functioning of the regulator should be subjected to scrutiny of the
parliament. The annual expenditure of the regulator must be audited by the
Comptroller and Auditor General (CAG) and its report should be laid before the
parliament.
6 “A process for developing good policies”
Effective strategies for the development of Indian industries and Indian
innovations can only be produced through an effective dialogue between industry
and policy-makers. The author emphasizes on improving the quality of
interaction between the government and industry. In the absence of well ordered
and transparent process for consultation, lead to ‘crony capitalism’ eventually
affecting India’s progress.
In an article ‘Rethinking India’s Industrial and Innovation Strategies’ Arun
Maira, member Planning Commission India. Business Standard India 2011.
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7 CASE IN DISCUSSION
7.1.1 Mundra Ultra Mega Power Plant 4000MW
(800X5)
Contractor: Tata Power ltd.
SPV: Coastal Gujarat Power Ltd (CGPL)
Ultra Mega Power Plants are the power plants envisaged to accomplish 100000
MW of power in India by the year 2012. However, the milestone to achieve this
ambitious target seems to be varying and needs a bit of buckling up. This project
is of special interest as it is the first UMPP which will be commissioned as per
scheduled dates. The first phase of which is scheduled to be commissioned
September 2011 and therein the next 4 phases of 800 MW each in 6 month’s
intervals.
Unit Scheduled COD as worked out
Months from PPA signing
No based on date of signing PPA
1 64 22.08.2012
2 70 22.02.2013
3 76 22.08.2013
4 82 22.02.2014
5 88 22.08.2014
Table 1: Scheduled COD for Mundra UMPP project.
The project is expected to be completed within schedule as per estimates; the
commissioning of all the phases will take around 82 months. The initiation of
project beholds key aspects pertaining to environmental clearances. Clear
environmental and social impacts were conducted and clearance from MoEF
was obtained on the basis of rapid environment impact assessment.
The project has a joint monitoring committee of the public and private
stakeholders. The fact can be substantiated by the early commissioning of
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11. Project Management National Conference 2011 PMI India
phase 1 which in itself is an achievement for the project. However, the project
runs the risk of coal import budget overrun. The coal exporting countries such as
Indonesia, Australia have reformed their export policies, which now caters to
global prices. This means that the coal import for UMPP projects is affected
thereby leading to questions of viability.
Accountability of mega investment projects need to be considered as a
evaluation criteria during the feasibility stage itself. Clearly defined roles are to be
chalked out and measures for the smooth execution of project need to be
undertaken. Examples such as the Mundra UMPP project sets the tone for other
projects, proper environmental assessment along with environment management
plan makes the project all the more viable.
7.1.2 Bhiwandi Electricity Distribution Franchisee
Client : Maharashtra State Electricity Distribution Company Limited
(MSEDCL)
Contractor: Torrent Power AEC Ltd (TPAL)
The PPP structure for project is Distribution Franchisee Agreement (DFA) and is
valid for a initial period of 10 years in the Bhiwandi Circle.
The most important aspect of this project is that the risk sharing mechanism is
distributed among the client and contracting company in terms of tariff risks and
procurement risks. Thus off-loading a lot of burden on the contracting company.
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Figure 5: Case in discussion (Bhiwandi Electricity Distribution Franchisee)
7.1.3 Key Issues – Need of hour
The various issues have had an impacting effect on the progress of project, most
commonly anticipated issue is land acquisition. The government is yet to finalize
a draft bill regarding the policy framework for land acquisition. More than 50%
projects are plagued by delays due to issues relating to land acquisition and
environmental clearances. To add to the concern, proper Project Management
tools and techniques is yet to reach the Indian Infrastructure Industry.
The construction industry remains an highly unorganized sector and a lot of
homework needs to be achieved in terms of development of skilled manpower
and better management principles. As new technologies are being incorporated,
new Project Management techniques combined with knowledge updating of
Management and its benefits need to be transferred to the middle and bottom
level management.
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8 STRUCTURING FRAMEWORK FOR
ACCOUNTABLE GOVERNANCE
Constitution of accountability in every phase of the project development will lead
to project completion date. Broadly the phases of a project development can be
divided as;
Conceptualization and Preliminary study
Detailed study of scope and risks involved
Project implementation and monitoring
Project handover and maintenance
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Structuring framework for Accountable Governance
Proposed
Existing Regulators Process Flow
Com mittees
Planning Commision
Cabinet Committee on
Economic Affairs (CCEA )
Central Sector Projects
Co-ordination
Committee (CSPCC ) Project Conceptualization
PPPAC (PPP Appraisal and Market Analysis by
Committee ) Public Sector
Cabinet Committee on
Infrastructure (CCI) Is project Hold the project for further
No
legally viable clarity
PPP Project Monitoring Unit Yes
(PPP PMU ) 1.Land Acquisition
2.Environmental
Risk Mitigation
Risk Mitigation Committee Clearance
Committee
3.Financing
PPP Performance Review 4.Other major Issues
Unit (PPP PRU )
Risk allocation and
Rework strategy
Issues addressed ?
Yes
Public Sector Private Sector
In house Project
Management SPV
Office (PMO )
Engineering Procurement Construction O and M
Financial Closure
Chart 1: Structuring Framework for Accountable Governance
The governing bodies which can be entrusted as the principle accountable
committees or sub-committees are;
Central Sector Projects Coordination Committee (CSPCC)
Risk Mitigation Committee (RMC)
Project Management Office (PMO)
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Inception of a risk mitigation committee can solve the issues relating to key
challenges as discussed earlier in the paper. By doing so, a project will have a
three layer committee which will be held responsible for any delays arising out of
the project. This will ensure that there are committees working towards getting
the work done and thereby making the implementation of project smooth without
any gridlocks.
The CSPCC will be responsible for coordinating with the government authorities
and working towards the legalities of the project. Having been made clear market
analysis, the scope and duration of the project are to be finalized before calling
for RFQ. The CSPCC continuously give inputs regarding potential bottlenecks
that can be encountered during the project implementation and thus entrusts the
Risk mitigation Committee (RMS) to prepare a detailed risk sharing matrix along
with potential solutions to the problems envisaged. This committee will help in
making understand the issues at the grass root level and coordinate in reaching
a consensus on the above said issues.
Having carried out the initial debottlenecking procedures in the inception and
feasibility study stage, the PMO will be operating upon the actual work done or
completed. Thus PMO can take decisions regarding key parameters such as
manpower, machinery, material and money on a regular basis as there is better
clarity regarding the status and knowledge as to where the project is leading to.
In addition, the PMO will be coordinating with both the CSPCC and RMC
regarding any issues arising out of the project.
9 CONCLUDING OBSERVATIONS
Observations are broadly classified under as:
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9.1.1 OECD principles for corporate governance
It is not just the prerogative of the public sector to have proper governance but
also that of the private sector.
Ensuring the basis for an effective corporate governance framework
The rights of shareholders and key ownership functions
Equitable treatment of shareholders
Disclosure and Transparency
Responsibilities of the board
9.1.2 Sustainable governance along with
sustainable development
A lot of talk regarding sustainable development but miniscule approach
towards having sustainable governance.
Constitution of governing and regulatory bodies regardless of the power in
the parliamentary house.
Accountability of regulators in every stage of project leads to a more vigilant
and responsible undertaking of entrusted job.
9.1.3 Dividends and not delays for financing
institutions
At the end of day, it is the financer who takes the piece of cake; give the
financer what is required. Belief of generating revenue from invested money
and not expenditure.
Today a lot of financial institutions are skeptic of lending due to the relatively
long construction project cycle.
Bring in mechanisms that promote investments into such sector rather than
being felt detrimental to the growth of lenders.
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9.1.4 Road ahead for Private Participation in
Infrastructure projects
Investment to the tune of almost Rs. 40 trillion expected for infrastructure
development in 12th five year plan.
Huge demand along with rapid reforms in governance set to infuse trust in
Public sector.
Accountability by means of Project management to be emphasized in order
to achieve financial closures.
Shareholder status in projects for the affected citizens will imbibe a sense of
ownership among the land donor and does not hurt the emotional quotient.
10 REFERENCES
10.1.1 Business Standard India 2011 – BS Books An
Imprint of Business Standard Ltd
10.1.2 Web Directory
Government Institutes Foreign Organizations Government ministries
Ministry of Statistics and
Committee on Economic
World Bank Program Implementation
Affairs (CEA)
(MOSPI)
PPP Database, PPP India Asian Development Bank (ADB) Ministry of Finance
Public Private Partnership
International Finance Corporation
Appraisal Committee Ministry of Shipping
(IFC)
(PPPAC)
Organization for Economic Co-
India Infrastructure Finance
operation and Development Ministry of Civil Aviation
Corporation Ltd (IIFCL)
(OECD)
Confederation of Indian Public Private Infrastructure
Ministry of Railways
Industries (CII) Advisory Facility (PPIAF)
Department for Industrial
Ip3 Institute for PPP development Ministry of Power
Policy and Promotion (DIPP)
Infrastructure Development Ministry of Road, Transport
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Finance
KPMG
and Highways (MORTH)
Application of Select Tools of Psychology for Effective Project Management
Indian Brand Equity Committee on
Mckinsey Consultants
Foundation (IBEF) Infrastructure
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11 AUTHOR’S PROFILE
The author is a Civil Engineer and a PG in Advanced Construction
Management from National Institute of Construction Management And
Research (NICMAR) Pune.
Presently serving as Deputy Manager in Essar Projects (I) Ltd. Under
Project Leadership and Development Program (PLDP). The author has
previously worked upon Papers “To analyze the issues in
implementing Public Private Partnership (PPP) in various
Infrastructure Projects in India” and “Evaluating the Efficacy of Delhi
Mumbai Industrial Corridor (DMIC) and the Scope for Private Sector
Investors”.
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prasanb09@gmail.com; pbabli@essar.com
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