Factors that Impact Project Management in Africa
Factors that Impact Project Management in Africa
The most common engineering construction projects include house building works, houses, roads, civil contracts, bridges, and water projects. Just like in the rest of the world, Africa faces many challenges in the implementation of such projects. Some of the most significant problems the industry faces include the cost of associated risks and timely completion of the projects (Muhwezi, Acai & Otim, 2014, p. 13). The paper starts with introduction, literature review on the topic, methodology used, data analysis, summary discussion, recommendation and conclusion.
The engineering construction industry is involved in the demolition repair and building of new structures. The sector is essential for any economy as it contributes to a significant proportion of the gross domestic product of the African aggregate economy (Waiguchu, Tiagha, and Mwaura, 1999). The engineering construction sector works in association with other industries like Finance and Real Estate (Oliver, 1971). There is no doubt that the construction engineering sector in Africa is of significant contribution to collective society and the economy at large (Nhira and Mapiki, 2007). In most industrialized countries, for instance, the engineering construction industry accounts for more than 10% of the GDP on average (NEOCOSMOS, 2010). The engineering construction sector is also complicated in nature as it involves many players like regulators, shareholders, consultants, contractors, and clients. It is estimated that value-added construction is between 3% to 6% for developing countries and 7% to 10% for developed countries (Kurbel, 2008).
Business performance of construction firms and employment of resources in the engineering construction industry are adversely affected by excessive fluctuations in construction output over some years as observed by the statistics bureaus of various African countries (Grathwol and Moorhus, 2009). It is essential for governments to formulate suitable policy and countermeasures to deal with emerging market trends so as not to scare investors. It is also critical to have some adequate regulatory frameworks that would avoid such shocks in the first place.
Despite harsh times that led to a slight decline in the economic growth rate of the continent growth rate, the engineering construction sector on the African has continued to post exciting trends over the past few years. The West African region continues to record some of the most remarkable results in engineering construction with Italy attempting to increase its construction presence and investments on the continent in the North African region (Uniafrica.org, 2019).
Figure 1: An overview of Africa’s construction sector (Uniafrica.org, 2019)
This study seeks to identify and critically analyses the factors that impact project management in Africa, mainly political, legal and technological ones, and offer a framework that will help project managers manage projects better with a specific focus on Mozambique. This research proposes a few recommendations for consideration by project managers in Mozambique.
The Construction Industry in Africa
It is widely commentated that some of the fastest growing economies are in Africa (Construction Review Online, 2019). The construction sector has been at the heart of this growth, and it is inevitable that it will continue playing a pivotal role if the continent is to grow as predicted. Intra African trade is also important in aiding the kind of growth that is expected to move the African continent to the next level.
Investment and construction in the transport sector have grown significantly in the recent past playing a critical role in the growth of the overall construction sector (Pages and India, 2019). The construction of railway lines and ports of entry has been at the fore in strengthening the place of the construction industry.
Another trend that has been growing the construction sector on the continent is the resolve by heads of state to priorities the Africa integration agenda. With Africa having some landlocked countries that heavily rely on imports coming from ports in other countries, it should be expected that the integration agenda will continue to drive construction activities in mega projects as the continent moves forward (Pages and India, 2019).
The construction industry in Mozambique
Even though the engineering construction sector in Mozambique is underdeveloped and small according to global rankings, it plays a significant role in job creation and the social, economic development of the country (Construction Review Online, 2019). The economy or Mozambique went into crisis in 2016 after the discovery of hidden government guaranteed loans that came to around US$2 billion (Pages and India, 2019). Despite these challenges, the country’s economic entities project that infrastructure spending will rise to about 6 billion per annum by 2025 (Export.gov, 2019).
Table 1 demonstrates two relevant classification criteria, ‘Minimum equity capital’ and ‘Maximum value of each work.’ The table is followed by other useful statistics about the general engineering construction industry in the country.
Table 1: Classification criteria
| Class | Criteria of classification | Rate charged for issuing the license* | Number of firms (units) | Share of total (%) | |
| Maximum value of each work (1,000 MT) | Minimum equity capital (1,000 MT) | ||||
| 1 | 2,000 | 20 | 0.001 | 126 | 6 |
| 2 | 3,400 | 50 | 0.0008 | 210 | 10 |
| 3 | 10,000 | 150 | 0.00032 | 1,069 | 51 |
| 4 | 20,000 | 500 | 0.00030 | 272 | 13 |
| 5 | 60,000 | 1,500 | 0.00020 | 189 | 9 |
| 6 | 200,000 | 5,000 | 0.00012 | 42 | 2 |
| 7 | + 200,000 | 10,000 | 0.00018 | 189 | 9 |
| Total | 2,097 | 100 | |||
Table 2: An overview of the building construction companies in the country.
| Size | Share of total (%) | Estimated number of firms in the construction industry |
| Micro (1–9 full-time laborers) | 57.61 | 106 |
| Small (110–49 full-time laborers) | 33.15 | 61 |
| Medium (50–299 full-time laborers) | 7.07 | 13 |
| Large (300 or more full-time laborers) | 2.17 | 4 |
Table 3: Overview of household income in Mozambique
| Monthly household income level (US$) | % of total population (2014–2015) |
| Up to $150 (relatively low income) | 90.01 |
| $150–500 ( relatively low-middle) | 8.75 |
| $500–1,000 (moderate high-middle) | 0.87 |
| More than $1,000 (relatively high) | 0.37 |
According to the government of Mozambique, about 40% of construction companies in Mozambique went into bankruptcy as a consequence of the prolonged financial crisis the country underwent after foreign aid was cut crippling the national budget (Pages and India, 2019). The engineering construction sector declined by 4.6% in the year 2017 which indicated that construction activity did not grow and capital costs rose with the depreciation of currency (www.construction.com, 2019).
The development of infrastructure in Mozambique has also been challenged by long-term hostilities that can be traced back to the Mozambican civil war of 1976 to 1992 (www.construction.com, 2019). The country is also on a path to becoming the fourth largest exporter of liquefied natural gas in the world by 2022 (Wbho.co.za, 2019). These projects, as some of the several high valued projects in the country will produce significant economic gains and opportunities for the construction sector (Pages and India, 2019).
Research in the area of engineering construction projects in Africa has indicated that the capacity of project managers and contractors is one of the leading problems in the growth of the industry on the continent (Hooper-and-louw.com, 2019). Other factors affecting engineering construction projects in Africa include economic conditions, cultural problems, low motivation from the government, poor relations and coordination among stakeholders, and inappropriate leadership (Stefanuttistocks.com, 2019).
While several organizations have been assessing the levels of performance and output in the sector, there has been no consistency in the collection of data from one year to another (IGC, 2019). There have also been numerous challenges in the synthesis of information and the way it has been published (Theigc.org, 2019). An output from the engineering construction sector in Africa can only be measured by a critical analysis of key performance indicators. Key indicators on the client-side, for instance, include a reduction in project costs and the time it takes to complete projects, profitability, safety, efficiency, reduction in defects, and sticking to budgets. There are other indicators of performance in the engineering construction sector of Mozambique that include the operation of feedback mechanisms, leadership skills, coordination between participants, and project risk management that have been identified by the industry players (Pages and India, 2019)0. Key performance indicators can also be used as tools to measure progress from one period to the other and even as a way of benchmarking between engineering firms (Africa, 2019).
With the example of the critical performance indicators above, clients can ask contractors questions about how they have responded to similar signs before allowing them to undertake a project. By comparing how suppliers of various products rank against industry statistics and averages, clients will be contributing towards overall best practice in the sector (Construction Review Online, 2019). Also, the measures that have been put in place to assess efficiency and effectiveness are not working (Construction Review Online, 2019). This research intends to use interviews, observation, sampling, questionaries’ and other possible research methodologies like surveys to collect data. The limiting factors can be lack of enough information and accuracy.
The principal and most compelling objective of this study is to analyses the factors affecting the project management in areas of politics, technology, and law in the engineering construction sector in Africa and recommend ways for better project management in Mozambique.
- To determine the extent to which technological, political, and legal factors affect the implementation of engineering construction projects in Africa
- To identify procedures with the most significance to the performance and execution of engineering construction projects in Africa
- To assess the project management actions that influence the performance of projects in Africa and areas of improvement in the case of Mozambique
- To determine the extent to which factors related to the project affect the performance and implementation of engineering construction projects in Africa and key learnings to project managers in Mozambique.
Theoretical Framework for Factors Affecting Project management of engineering construction projects
It is hypothesized that the performance and implementation of projects are dependent on factors in the external environment, human-related factors, project management actions, project procedures, and project related factors. Various variables that affect the factors mentioned in this section are also analyzed in this paper. The different variables are interrelated and intra-related, and a variable in one cluster can modify a variable in another group and vice versa (Sears, Sears, Clough, Rounds &Segner, 2015).
Figure 2: A Mind Map of Factors affecting Engineering projects in Mozambique
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Table 4: Sources for the review
| Source | Rationale |
| Primary source | It is highly advised to use primary sources as much as possible, whenever it is possible. Primary sources in research are usually reputable journals or articles published. Thus in general, journals are considered to be more up-to-date than books, and better sources of information (Ramdhani, Ramdhani, & Amin, 2014). Therefore primary source is essential to achieve the aims and objectives of this study. |
| Secondary source | Although secondary sources do not contain new information, similarly to this literature review, secondary sources include review articles and textbooks or Description or summary by somebody other than the original researcher, which are supportive to convergent or divergent ideas based on previous critical analysis of the literature (Ramdhani, Ramdhani, & Amin, 2014). The secondary source is indispensable for the realization of the aims and objectives of this study. |
| Anecdotal/ Opinion | For the conclusion on whether the aims and objectives of this study have been achieved, it necessary to compare the opinion based on data collected from literature both primary and secondary source with the disclosed opinion by data collected from a selected group of an audience (Ramdhani, Ramdhani, & Amin, 2014). |
The success of any construction project requires adherence to some criteria. The criteria define the fabric for evaluating the success of any construction project (Owour, 2016, p. 3). The evaluation fabric consists of factors such as budget conformance, schedule performance, the satisfaction of the client, the functionality, and the joy of the project team (Owour, 2016, p. 3). Waiguchu, Tiagha, and Mwaura (1999) have identified the critical factors for the success of projects which include continuous project involvement, project supervision, a systematic responsibility monitoring approach, appropriate scheduling of activities, and the efficiency of the project manager. Scholars have also done the research and come up with various project success factors that include contractual ties, problem-solving capacity, liquidity, finance, priority-based scheduling, community participation, technological change, innovativeness, and precise project objectives (Project Management Journal., 2013). From these examinations and analyses, it is clear that many factors are crucial to the successful completion of projects with some of these factors being highlighted by all researchers.
The political environment plays a critical role in the execution of engineering construction projects. Leaders in politics are mostly responsible for the development of public policy which determines the success of building works policy (Gudienė, Banaitis, Podvezko&Banaitiene, 2014, p. 340). In other circumstances, government employees are tasked to oversee the implementation of mega construction projects. Government systems sometimes have unanticipated delays, however, and that adversely impacts on the implementation of projects. Since construction projects are heavily dependent government processes, negative or positive currents in government are likely to flow to these projects (Owour, 2016, p. 9). Government is also instrumental in the issuance of construction permits and licenses. However, it is hypothesized that heightened competition can increase the effectiveness of construction projects and improve service delivery in the sector (Sears, Sears, Clough, Rounds &Segner, 2015).
The role of governments in providing incentives to alleviate construction constraint also impacts on a construction project’s financial performance (Gudienė et al. 2014, p. 351). The government and the entire political environment also participates as a regulatory framework for the practice of engineering construction in its jurisdiction. Therefore, the government can enact policies that are too expensive and unfriendly and thus thwart the thriving of engineering practices in the country (Gudienė et al. 2014).
Different studies have discussed on the relationship which in between the political risk factor and the act of engineering project management. For example through the wok of Annett, it has been believed that government instability is one of the major factor which may lead to poor legislation and the regulation process (Sears, Sears, Clough, Rounds &Segner, 2015). Thus increasing to the higher risks in project management. From the work of Rice and Mahmud, it is also evident that the economy of the country through which the project is preformed may have strong relationship with the political and the stability of the public safety (Motwani, Mahmoud & Rice, 1994).
Through the work of Yaprak and Sheldon it is also evident that the international environment may tend to have an effect to the host countries and also the policies through which it can engage in law, security and economy (Yaprak & Sheldon, 1994). Through the factors, it is important to understand that Mozambique is also a country, the political setting of the country may tend to affect the engineering process and also the activities which are taking place in the country. The political setting of the country also plays a significant role in setting the security of the country. Through this, the country setting may play a rampant role in connecting and promoting the country engineering team to the international markets. Through the country political setting they can even promote foreign engineers to come and execute their skills in the country and thus promote the welfare of the existing engineering activities in Mozambique (Yaprak & Sheldon, 1994).
The role of the legal environment cannot be overemphasized given its significance in the execution stage of engineering construction projects (Mancini, Wang, Skitmore, & Issa 2017, p. 656). Legal practices in some jurisdictions are so complicated, however, to the extent that they end up distracting the overall implementation of a project. Legal procedures can also be disruptive in business operations and other sectors of the economy that impact on engineering construction projects (Sears, Sears, Clough, Rounds &Segner, 2015). A business will not conduct its operations smoothly without encountering constraints that are legal. Such legal issues may emanate from other players and parties in the project or even legislation from the central or local governments (Owour, 2016, p. 15). When legal matters are not handled properly, they often lead to the demolition of facilities or properties after completion. Construction work becomes challenging and expensive if legal issues are not handled in the right way, construction activity is likely to experience trouble in its progress and completion (Owour, 2016, p. 15).
Project finance operation is one of the major techniques used in Mozambique so as to finance on the capital and other intensive projects. Most of this project is engineering based ranging from infrastructure to the building projects. However, in Mozambique, the legal arrangement or the system lacks a specific project financing legislation which can be followed (Owour, 2016, p. 25). The legal requirement and element are scattered in different registration pieces .in this case, it becomes hard to withstand, the critical legislation when one is planning on project finance either as a private investor or a public investor. When one tries to invest in Mozambique, there is a major legal requirement which one needs to fulfill. These requirements particularly help the investor to avoid hard circumstances and improve on the situation by helping the investor to allocate the risk and avoid losses in the future (Bekker & Steyn, 2009).
Project financing in Mozambique is set in a way that the legal requirement is set so as to help in raising the finance or fund the project. Through the legal requirement, the repayment of the project is set so as to be primarily focused on being settled at the future after the project has generated some revenues rather than relying on sponsors being behind the project (Villafiorita, et al ,. 2010). In Mozambique, there are set legal requirement which a company or the project sponsors, lender and developers need to follow so as to avoid encountering risks or form of blocks when contemplating the project finance (Villafiorita, et al ,. 2010) .
In Mozambique, there is the local content law which enables the investors to fulfill some of the government requirement when setting a project. The megaproject law is one of the set legal requirements which help to introduce a number of local content rules which tend to be followed and observed by any of the concessionaires (Steinbruch, 2005). In this case, the legal requirement of this law is the local participation of around 5-20% on the ownership of the local project ownership. On the other hand, if the investment project tends to involve the natural resources the law requires a mandatory 5 % free carry on the project (Steinbruch, 2005). In Mozambique, land ownership is only by the government, in this case, if the project which one intends to establish requires the land. It is automatically that the project may be owned by the investor but the sole owner of the land may be left to the government (Fyvie, 2011). On this case, the government may tend to provide security on the land (Steinbruch, 2005). However such as legal requirement teed to create anxiety to the investors since the land or the project may be subject to revocation by the government and this may end up making the project not as planned or diligently not be exploited as per the basic planning. However, there is the legal; a requirement which ensures that the land allocation is registered to the real estate registry office so as to hinder any kind of land dispute in case the land is multiple allocated and thus triggering land dispute. In case of a land dispute, the registered party tends to present the argument on the board and thus the case may be hard on the unregistered party which may be subject to the court of law or be punished due to the act (Fyvie, 2011).
In Mozambique, in case the project finance is owned by the government, or in cases whereby the off-taker of the project is the state-owned company. It is the responsibility of the government in financial guarantees or even to back up the project in case of the project default. In this scenario, the government issued guarantees are always required to follow a due process and also to make sure that they include there annual approved parliament budget. The process helps in making it clear that the lender and the sponsor are always ensuring that the government guarantees are issued by following due process as it is enforced in the rule of the law budget (Grest, 1994)..
In case of a project being funded by the project finance, in Mozambique, there is a need for a contractual negotiation on the project. The sponsor, lender and the developers are required to make sure that the contractual document is compliant with rules and the law requirement of Mozambican government (Grest, 1995). The plan is so to make sure that the issues such as the government requirement or the laws are set in a way that they don’t bring a kind of conflict mechanism in between the involved parties (Grest, 1995).
After the concession contract has been signed it is then subjected to the judiciary so as to make a review through the administrative court as planned by the Mozambican legislation. Through this, the legislation makes sure that any type of financial commitment which may be made by the state is in a way followed by properly and also done as set by the state (Etta & Parvyn, 2003). However, for those dealing with the direct agreement, they are not subjected in any form of judicial review and in case the project fails to document it is the rendered to be null and this cannot be enforceable in Mozambique (Steinbruch, 2005)..
It is further postulated that projects completed in an environment that is stable, with the aid of technology and good organization, a considerable degree of success will be attained. In these kinds of projects, the project managers are experienced and competent, and clients prepare a project brief and are qualified decision makers. Availability and accessibility of technology is undeniably a crucial factor for the success of construction work. The use of appropriate technology, particularly ICT (Voordijk, &Adriaanse, 2016, p. 537), is highly essential for sound decision-making. Nevertheless, access to relevant technological equipment is vital for the smooth conduct of processes involved in the construction. Moreover, just as in other industries and professional fields, the implementation of relevant technological solutions is known to result in a revolutionized work scheme and thereby consequent success (Voordijk, &Adriaanse, 2016, p. 537),
From the information on UNESCO as soon as it started working with Mozambique in the field of science, technological and innovation. The country was able to enjoy on the second phase which was funded by Spanish (Etta & Parvyn, 2003). Through this, the country also benefited from a science and technological since the country has a chance to work with UNESCO so as to improve on the country technological setting and also help the company in improving on the field of science and technology. In this case Mozambique stand a chance in developing and also enjoying the technological advancement vast field and also in field of engineering (Etta & Parvyn, 2003).
Through this, it is important for the country to envy the advantage on this area and sought out the modern changes and advancement on the field of engineering. This also play an important role in placing Mozambique to be one of the major engineering countries in the world and also one of the major improving countries in the engineering sector (Etta & Parvyn, 2003). The government need to support and participate in empowering the youth in the country so as to stimulate and help them in achieving the set UNESCO goals towards achieving the engineering goals (Day, 2007).
Voordijk&Adriaanse (2016) states that technology is known to lower costs of operating efficiently (p. 538). Additionally, technological resource and capability increase the likelihood of completing schedules within schedules. When a construction process incorporates intelligent technology, the resulting facility is often likely to fulfill quality requirements. The appropriate use of the technical resource is thus essential in construction processes (Voordijk&Adriaanse, 2016)
Most engineering construction projects in Africa are mostly characterized by private clients who fund the projects privately (Szymański, 2017). It is for these unique reasons that the overall managerial actions of such projects should be useful (Senouci and Mubarak, 2014). In most cases, these projects are also not very complex, and project performance and implementation are well planned (Senouci and Mubarak, 2014).
Senouciand and Mubarak (2014) proved a new method of measuring time quality performance outputs and cost in building project management. Scholars have also studied the time and cost relationship in the public sector in Malaysia (Santos and Jungles, 2016). The cost and time data was collected from a total of 31 public sector projects. Project progress analysis in this paper also attempts to identify and explain the relationship between cost and time. Over 270 street projects were studied in areas such as sewer lines, storm water, and municipal facility projects in the city of Los Angeles as a case study to determine the impact of external factors on project management (Risk Evaluation Factors in Construction Projects, 2016).
Rajeev and Kothai (2014) have extensively studied the factors affecting project management in the engineering construction space and the associated costs. Scholars have also analyzed the effect of loss in project management using a questionnaire approach (Khanh and Kim, 2014). The study investigated the costs vs. time problem by using project scope factors from a total of 161 engineering construction projects that were completed in various Australian states utilizing some regression methods of weighted least squares (Risk Evaluation Factors in Construction Projects, 2016). Researchers have looked at the key performance indicators and proposed an analytical model and a structured methodology for the continuous appraisal of infrastructure projects in African countries (Hakami and Yousif, 2014). The study was conducted using many existing industry guidelines on factors that impact sustainable construction.
Scholars developed a comprehensive model to incorporate the significance of procurement and none of procurement sub assistance and variables based on cost and time management (El-Sawalhi and Shehatto, 2014). In the approach by (Critical Factors Influencing Quality Performance in Construction Projects, 2017), multiple regression technique was used to look into data from over 30 Hong Kong building projects, and the results were compared to real life projects. Scholars have proposed a new approach for measuring construction logistics using a two-dimensional model approach (Cheung, de Haan, Qian and Yu, 2014). Two-dimensional models are clustered by the use of two measures called monitoring and improvement measures (Cheung et al., 2014). Other tests have been recommended by industry players such as belonging to work, the location of project neighbors, site conditions, project delays because of closures, material storage, differentiation of local currency prices against the dollar, and escalation of material prices (Belay and Torp, 2017). These factors form the basis of a comprehensive summary of the key performance indicators.
The success of a project is a very critical issue in the engineering construction industry. Various research has been conducted in this area to determine the factors that lead to the successful completion of projects (Au and Hendrickson, 1986).
Researchers have identified the ability to adopt managerial change, ease of identifying opportunities, and decision-making, problem-solving, and social interaction as being essential to a project manager (Oliver, 1971). It remains evident, however, that some projects fail even in instances where a project manager seems to processes some of these crucial skill (Ofori-Dankwa and Omane-Antwi, N.D.). This phenomenon has led to the notion that the individual capacity of project managers is not sufficient to guarantee that projects will succeed (Nhira and Mapiki, 2007)
The different approaches and objectives, as shown above, require different methodologies. The following topics are a summary of the key points related to project management methodologies.
Conceptual Framework
Factors related to the project
- Nature of project
- The complexity of the project
- Size of project
- Type of project
Elements in the External Environment
- Social Environment
- Physical environment
- Industrial relations
- Technology
- Economic climate
Project advancement factors
- Tendering process
- Procurement process
Project Management Actions
- Control mechanisms
- Feedback capabilities
- Planning effort
- Implication an effective quality assurance
- Overall managerial actions
- Control subcontractors
- Communication systems
- Research Question
How can the technological, political and legal factors be used to improve engineering construction project outcomes?
The failure of most engineering construction projects in Africa is associated with failures in project management (Fabricius, Koch, Turner and Magome, 2013) but also with legal, political and technological factors. The main reason why projects do not perform the way they should is that project managers cannot execute their duties effectively (Eriksen, 2003). Despite the engineering construction industry playing a significant role to the development of the African economy, the management of projects in the sector remains relatively low, compared to other sectors (Allen and Dzirikure, 2014). Most engineering construction projects in Africa are abandoned before completion, entirely terminated, fail to realize the intended benefits, overrun by costs and encounter considerable time delays (Aguiar-Moya, Vargas-Nordcbeck, Leiva-Villacorta, and Loría-Salazar, 2016). Construction projects in Africa also fail to meet the expectations of clients, government and society as a whole.
Similar to the situation on the African continent, the Mozambican construction industry suffers from these challenges perhaps with increased severity (Pages and India, 2019). Improving the state of affairs in the construction sector in Mozambique and other countries on the African continent needs to be put as a priority given the contribution of the industry to the overall economy (Africa, 2019). As project managers are the main drivers of project implementation, it is essential that any form of improvement and development in the industry has to consider improving their capability and capacity (Zhang, 2009).
In Mozambique, the problem of capacity in project managers and general management of projects has been analyzed in different directions including failure in performance indicators, failure in cost performance, and failure in time performance (Pages and India, 2019). Some of the other reasons that have led to project failures in the country include delays in receiving drawings, changes in bill of quantity, variation orders, handing overs, wanting decision making, additional works, illustration and design amendment, frequent road closure, non-availability of materials, and obstacles by clients (Windapo and Qamata, 2015). It should be observed however that the primary determinant of success in project management, in general, can also be influenced cultural matters, technological matters, economic issues, the political environment, and the ability of the project manager to sail through such situation (Waris, Khamidi and Idrus, 2012). This research looks at the significant challenges of project management in Africa and recommends ways in which project managers in Mozambique can better oversee projects to deliver increased output in the coming years (Pages and India, 2019).
In the modern planning, it is clear that even the most planned and managed project may end up in trouble. No matter the plans which one applied in a plan or a project, there are some unavoidable circumstances which may lend the plan to encounter unexpected problems in the future. These are activities such as the team members quitting or finding it hard to manage the resources which they have been operating within their daily life. The project may also encounter failure in matter concerning the goals and the objectives as planned during the start (Chapman, 1997). Through this, the process of risk management is one of the vital areas which one need to participate and engage in making sure the overall final goal is achieved. Through the process of risk planning such circumstances and the problem can be avoided in the future. Through this method , the problem which may arise from the project re well identified and thus the project manager may end up venturing in ways through which such mistake can be avoided(Chapman, 1997).
Through risk planning, it is possible to identify the potential issues and problems which may led to trouble in the project. It also promote better environment through which one can check and identify on the trouble through which the project can cause and at long run minimize the chances of such problem or mistakes taking place. This process involves the act of elaborating more on what is a risk and how the risk can affect the daily operation on an organization. When planning for a projects, not all the risk which are involved may led to negative achievement on the project (Stevenson, 2005). Some of the risk may led to positive achievement of a projects. Through prior identification of the risk, it is possible to check on the negative risk and the positive risks. Notably, it is important to concentrate on the risk which lead to a negative impact on the project so as to try as much as possible to void these risk and if it is possible one can minimize the chance of the risk taking place (Stevenson, 2005).
There are other activities which may be accessed as the risk but may end up being an advantage to the project. For example in cases whereby there is the need to lower the price of certain commodity in a project, it may be seen as a risk but overall the idea may led to a positive impact on the project. On the other hand , there is no guarantee on a 100% success from a project, in that even the simplest project which seems to be absolutely accomplished and may end up to unexpected problems . When planning, anything which may tend to happen and thus leading to the unexpected outcome on the project can be considered as a risk. In order to accomplish and make sure that the set goals and objective are achieved, it is good and advisable to concentrate on changing on the areas which may led to a negative impact on the project (Tummala, & Schoenherr, 2011).
During the process of planning on the risk, most of these risks are uncertain and they have not yet happened but they may happen eventually. According to Tummala, & Schoenherr, (2011), the risks are just anticipated to happen in future and thus when you need to deal with them you need to concentrate on four basics considerations which help in handling risks. These four basic considerations includes Tummala, & Schoenherr (2011):
Avoid: when planning and having a future determination in your projects, the best thing you can do to a risk is to try as much as possible so as to avoid. Through avoiding the risk, one stand chance to prevent the project from malicious activities taking place. On this case, the best way through which one can avoid the risk is through walking away from the risk.
Mitigate: there are instances whereby avoiding the risk cannot solve the whole issue, through this it is important to mitigate. The act of mitigating helps one to minimize the risks or even to reduce the impact of the risk and damages which could happen to the project.
Transfer: if it is hard to avoid the risks, the best thing is to transfer the risk or pay somebody else to handle on the risk. In this part the best thing that one can do is to insure the project to an insurance cover.
Accept: when it became ha4rd to avoid , mitigate and transfer the risk , it is impotent to accept the risk, however it is important to make sure that one has checked on all the alternative so as to come end up in conclusion and thus accepting the risk to occur on the project .
Through the risk management plan, it biome simple and easy on managing the activities and the stages to be handled on a project. The risk plan tend to document on all the risk which one may tend to access and thus help one to become responsible on what may happen in the project. Through proper method of risk management it even become simple to meet the demand on the project and thus leading to the team success achievement at the end of the project (Olsson, 2007). The plan may also tend to consist of the areas which you will need to visit and the technicalities component which may be involved when tackling a certain area in your project. it also play an important role through opening on the internal and the external factors which one may tend to indulge in during the actual; project planning (Olsson, 2007).
The plans consists of guideline which can help one to figure out on the potential happening of the big risk and the impact which the risk can bring to the project. The plan also analysis on the impact which the risks can cause to the project and thus enabling one to check the risk for the minimum outcome from the risks. The planning also help in getting the chance through which the risk can occur and thus enabling g one to scale the risks starting from the highest risk to the rock which has low chances after they happen (Olsson, 2007).
- The risk management process (Das & Teng, 1998)
After realizing on how the risk may negatively or positively impact the project, it I important to engage in process of managing the risk. There are many ways which one can use in managing the risk, these ways need also some set steps which re more than vital when scaling and handling these risk.
- Risk identification (Das & Teng, 1998)
This is the first step which need to be accomplished, risk identification involve the act of check listing on the potential of the risk and also evaluating on the likelihood of the same risk to take place. In most of the companies this process tend to rely on the past experience which the company had when trying to solve their problems (Das & Teng, 1998). Through analyzing on the past checklist, it is possible to come up with the risks which have a high chance of taking place and thus one can find it easy to expand and even engage on other team members on rethinking about the project. The past information on the risks which are possible to happen in a project can have vital information on the things which one can participate in doing and also the procedure which one can follow so as to avoid the rate and chance of the risk to happen. In this case, it will also provide important information on the risk through accessing on factors such as
- Technicality of the risk
- The cost
- The financial requirement
- The environmental effect of the risk
- The political effect of the risk
- The effect of the risk the clients
After checking on the above issue, one can also use the framework of the wok and even move further and breakdown the risk structure. Through breaking down the risk structure. It will enable the project manager to organize the risks identified into a number of categories and also increase the level of the risks details. It is also possible to subdivide the risk into possible effect it may have to the people. It can also help one to participate in checking on the best skills which can help in minimizing the impact of the risk (Das & Teng, 1998).
- Risk Evaluation
After checking on the potential risk and identifying the issue, the project manager may tend to use other members so as to analyze and evaluate on the risk. These are activate such as checking on the probability of the risk to happen and also accessing on the potential outcomes which may come from the risk (Smith & MERRITT, 2003). Through the evaluating of the risk , it become possible to know that all the risk are not equal some of the risk are hard and have vast impact on the project. Through this, the members may have a criteria through which they can use so as to narrow down the effect and the impacts which are involved on these risk. For example it is possible to check on the level of the risk, this is through scaling the risk from the high risks which may led to the increase on the cost of the project budget Das & Teng, 1998.
- Conclusion from the above
Through the above information, it is much clear that most of the engineering activities in Africa are affected by many factors. These factors tend to combine and thus ranging a stiff block on engineering activities and also in playing a major role in preventing the African continent to develop at large. These factors tend to range from lower academic levels, which is the key cause of low technology and also the leading factor for people not knowing their competence in the work place. Through this, people end up working for low salaries and even participating in carrying very competitive activities for low salaries and wages (Das & Teng, 1998).
There is also the problem on how the political, economic and legal process operates in Africa, in most of the African countries these three factors tend to effect on how engineering activities are operated and thus making hard for the service to be delivered in a professional manner. Corruption is one of the major concern, whereby people tend to be greed and thus lacking competence in ovaries government built projects. In this case, most of the African leader tend to be greedy in that they can allow a project to be initiated in unauthorized land, only to enjoy a certain ransom, most of these projecting end to be demolished at long last and thus waging a serious loss on the public, government and even the project sponsors (Hakami and Yousif, 2014).
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Another factor is the project managers who are not competent, they even use other mischievous methods so as to gain popularity and money. Most of the project manager don’t follow the set consideration or the ethical requirement during project construction. They end up employing incompetence builders and other people who are not qualified or skilled in handling engineering project so that they can pay little. Through this, these projecting end being demolished since they have not followed the legal requirement set by the board which governs the project and engineering activities (Hakami and Yousif, 2014).
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Poverty is another problem which has been mentioned, in most of the African countries poverty is the key factor which affects most of the project. In this case member of the public end up being exploited for minimum wages (Hakami and Yousif, 2014).
Notably, even the project managers are treated in a way that they earn so little and thus they end up lacking motivation on working in the project effectively. Financial constraints have also played a negative role in most African countries. Most of the mega project is started only to be left in the middle without completion. These project starts for years and thus it may end up bringing loss to the country since the capital used on the project is just unutilized and no profit gain from the project as speculated during the project setting (Hakami and Yousif, 2014).
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The other problem affecting the engineering process is the lack of risk management, In this case, most of the managers tend to operate in the nature of good hope. They tend to draft a much demanding project and check only on the positive side without checking on the negative side. Without checking on the negative side it means that the side effect of the project is not analyzed. For example, in most of the project, the manager tends to get on the profit gain from the project and thus don’t analyze on another risk which may develop from these plans. The lack of management in such risk is one of the major problems which leads to many of the project failures (Hakami and Yousif, 2014).
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Embracing technology is another area which most of the engineering department in Mozambique has not ventured in. There are a number of changes which have happened in the engineering industry. In this case, builders, constructors and the project managers need to be updated on such changes. These changes are most helpful in making the work easier and also in promoting the invention in the engineering field. Through this, most of the African countries have not developed due to the dominance of the western countries for aids. Africa countries have a problem itself and the support to the youths. This, in turn, brings to the problem of unemployment, this is the reason as to why the continent tends to import everything even the labor force instead of supporting the young generation who are really conversant with technology. (Hakami and Yousif, 2014).
According to contractors, consultants, and owners of engineering construction projects, it was determined that political, legal and technological factors had a significant impact on the execution of projects. Other factors also identified and related to these main issues included material shortages, closures, contractor results, and payment approvals were some of the most critical factors in project management. The high level of agreement between the groups targeted by the research reflects the current political and cultural situation on the African continent. These factors are severe and a significant obstacle to the timely completion of projects (Hakami and Yousif, 2014).
Through the research, it is clear that the political, legal and technological factors are the main factor which is affecting engineering activities in Mozambique. Through this, most of the engineering activities taking place in African countries need to be checked about and also need to be improved through checking on these engineering activities. From the result section it has been cellar that if Africa does not change how they treat the engineering activities taking place in the continent, the overall development will be affected. It is also clear that there are many changes which need to be enacted to fix these engineering problems. From the research, it is also evident that most of these factors are led by the plan master and those who tend to involve in the act of managing the plan. Through these factors, Mozambique is one of the African countries need to check on the way through which it can improve the activities taking place in the country. It is also essential to make sure that these plans are as per the law and the legal requirement.
From the research, it is also evident that Mozambique faces problem from the presence of many citizens and workers who are not qualified or who are unprofessional. These workers tend to affect the project since they participate in activities which they are not qualified (Hakami and Yousif, 2014).
This is a significant throwback on the engineering activities taking place in the country, and also it has led to massive or a throwback in the engineering activities.
In Mozambique, there is also a problem on the lack of set legal requirement which guides the public on what to do or which engineering activities they need to venture into. In this case, the private sector and the public sector tend to enact activities which they have little information, or they lack the needed personnel; in handling the law requires in matters of engineering development. Through this, most of the engineering activities in the continent tend to face activities such as corruption and also some of the mega construction being built in lands which are not authorized for constructions purposes. Through this, massive destructions have taken place in these African countries.
The other reason as to why Mozambique is lagging in engineering activities is the lack of professionals who can handle different engineering activities. Most of the worker is paid little wages and thus end up getting so little in return. This is the main pushing factors which lead to many of the construction not following the standard engineering plans set. There is also the ethical part of some of the project manager which tend to ignore the government rules. This factor has contributed to too many of the construction being demolished by the government agencies and thus giving a kind of negative achievement.
Those who participate in the management of the risk, they also tend to face problem in the way they operate. Most of the project managers do not concentrate on the project, in this case, they do not participate in the act of developing the project and also check on the negative side of the planning (Khanh and Kim, 2014). A risk is the major factors which affect the achievement of government projects. Lack of project risk management is one of the downfalls involved in most of the project. Those who participate in managing these plan tend to ignore and even do not follow on the set procedure or requirement, and at long last, they affect the project planning.
It should also be observed that there are many projects on the African continent that finished with poor performance in areas of cost and resource management due to an escalation of the prices of raw materials (Khanh and Kim, 2014). Some of these escalations were as a result of the weakening of the local currency against the US dollar and unexpected shifts in policy due to government procedures.
In Africa, the construction industry is considered a significant contributor to economic development as the collective continent attempts to achieve developed countries’ status (Rajeev and Kothai, 2014). Project management as seen from the results of the research is primarily affected by national economies, regulators, stakeholders, consultants, contractors and clients (Risk Evaluation Factors in Construction Projects, 2016). The primary purpose of this paper was also to examine the factors that affect project management and develop solutions that can help project managers in Mozambique (Pages and India, 2019).
A structured questionnaire survey approach was employed to analyses the effects of the various matters that affect project management in engineering construction projects. This approach helped to collect the views of owners, consultants, and contractors regarding various key performance indicators. The questionnaires were given to people who had a wealth of experience in the field of engineering construction project management. This approach was taken to make sure that the outcomes were insightful and represented the true state of affairs in the engineering construction industry.
For this study, a total of 40 factors were put under the prism and listed in eight categories as considered by the literature review. The various groups gave a detailed summary of the primary key performance indicators. The indicators were then summarized and grouped according to various studies in this area. Industry experts were also invited to give their views on the summarized performance indicators and add others that they deemed fit based on their experiences working in the sector. As a result, the main groups considered for this research include the environment, people, community and regular satisfaction, client satisfaction, productivity, quality and time.
According to contractors, consultants and owners, the average delay in payment and other approvals by the owner to the contractor, materials shortages and the resulting closures were the most significant contributors towards poor performance of engineering construction projects. There was a significant level of agreement among all parties regarding these matters, and that is mainly traced to the economic situation of most of the countries on the African continent. Most construction projects in Africa are suffering due to a complexity of problems but mainly because the continent is not dedicating enough resources to where it matters (Risk Evaluation Factors in Construction Projects, 2016).
Availability of resources is critical to the successful implementation of any engineering construction project (Santos and Jungles, 2016). If funds are not availed in good time, it is likely that project managers will have an easy time implementing the project according to plan (Senouci and Mubarak, 2014). Some of the other essential factors that are agreed upon by contractors, consultants, and owners of projects as the ones significantly affecting plans, in this regard, and were leadership skills of the project manager. Some of the other factors included the quality of raw materials and equipment, availability of personnel with the right expertise and work ethic, shortage of raw materials, closures, availability of resources throughout the project and escalation of material prices due to local currency fluctuations or other reasons.
The quality group was the essential one according to consultants, contractors and owner respondents as all of them are interested in the technical factors and high-value projects. All the groups agreed that the availability of personnel with high qualifications and the quality of raw materials and staff were essential for the overall success of a project. Second to this group was the time group which is observed as an essential aspect since all the respondents are interested in seeing the project completed within the timelines stipulated. Client satisfaction ranked third because it is more critical to consultants than it is to contractors who are more interested in the other project dynamics. People came in fourth place as they are only valued by contractors who value capacity and competence. According to contractors who were the leading proponents of this factor, people elements of performance, cost and time are crucial for the success of a project manager. The following table shows the response that was realized in the questionnaire offered:
- In evaluating project management actions that affected project management on the continent of Africa:
Kendall’s coefficient of concordance was employed to ascertain the degree of agreement among contractors, consultants, and owners. It was determined that there was a substantial degree of agreement between the various parties on management factors such as innovation, learning, people, the satisfaction of client and stakeholders, productivity, quality, time and cost. In the process of validating the outcomes of the approach used, it is evident to see that the groups of contractors, consultants and owners are all interested in the mentioned factors (Greenhalf, 1993). There is also a significant level of agreement between contractors, consultants, and owners regarding environmental factors and community satisfaction.
The Kruskal-Wallis. (KW) test was employed in checking for any significant differences in the perspectives of the various groups of contractors, consultants, and owners regarding their effect on project management. It was observed that there was no significant difference between the respondent’s perspectives on the various factors.
- In determining the level of influence that project related factors had on the management of engineering construction projects in Africa
Matters concerning project management such as owner satisfaction, cost and time were analyzed to know the main problems in project management on the African continent and formulate practical recommendations for project managers in Mozambique. Below is an overview of the critical points in project management performance indicators. How reliable was this data? The following table shows the reliability test that was conducted:
Tracking of time helps project managers evaluate performance and read the effectiveness of their resources towards the completion of projects (Szymański, 2017). Contractors, consultants, and owners of engineering construction projects will often meet regularly to update each other on the time resources available (Waris, Khamidi and Idrus, 2012). Such meetings assist them in monitoring and informing each other of the control measure that is being employed to finish the project on time (Windapo and Qamata, 2015).
Sometimes, the owners, consultants, and contractors in projects offer monetary incentives for workers to beat deadlines (Zhang, 2009). Fiscal stimulants encourage performance and products in engineering construction projects in Africa (Aguiar-Moya et al., 2016). This system is beneficial compared to other systems like training based incentives (Allen and Dzirikure, 2014). Workers in many projects seem to be more motivated by monetary gains than any other qualitative factors (Eriksen, 2003).
This situation can be further explained by the fact that most countries on the African continent are third world countries and most people live beneath the poverty line (Fabricius et al., 2013). Most of the people involved in the actual execution of manual work in engineering construction projects are people with little to no formal education and who rely on meager earnings from such projects to survive (Grathwol and Moorhus, 2009). It is also evident that most construction projects in Africa do not pay rewarding perks to people who carry out difficult manual work (Greenhalf, 1993). It is for this reason that any little incentive from the owners or project managers will highly motivate workers to operate at optimal levels.
Most contractors, consultants, and owners of big projects also agree that most projects delay due to political problems in some geographical locations on the African continent (Hermann, Shaw and Hannah, 1985). Continuous political tensions lead to a constant shortage of raw material and the absence of labor from engineering construction projects (Joffe, 1995). These obstacles can be considered as a setback to time performance of construction projects. Unfortunately, there is too little project managers can do to avoid political interference in major projects (Kurbel, 2008).
Most contractors and owners of projects in Africa give authority to lower level management to look after the actual expenses (Neocosmos, 2010). However, most consultants do not abdicate this authority to line managers, and they manage these expenses themselves (Nhira and Mapiki, 2007). Giving power away to control costs, however, depends on the nature and complexity of the expenses (Ofori-Dankwa and Omane-Antwi, N.D.).
Most project managers are fascinated by the use of software and computer systems in managing their project accounts and expenses (Oliver, 1971). Managing and controlling of costs is not an easy task especially given the requisite time and effort required (Project Management Journal., 2013). Some of the essential programs used in the management of projects include Microsoft Excel and Microsoft Project (Waiguchu, Tiagha and Mwaura, 1999). Most engineering construction firms find these programs easy to use and collaborate information with other parties in the project (Au and Hendrickson, 1986).
Most program managers use quotations to estimate from accredited vendors and other suppliers to determine the cost of the project before it is implemented (Belay and Torp, 2017). Rough estimates have the effect of giving project managers some ground within which they can play and model financial outcomes (Greenhalf, 1993). The method of using estimates and quotations is a more practical and beneficial approach since it always factors in current market prices (Cheung et al., 2014). Some project managers, however, prefer using historical data as the basis of their estimations (Critical Factors Influencing Quality Performance in Construction Projects, 2017). It is essential that even in cases where the project manager chooses to use historical data that they consider prevailing market prices to capture the most realistic position as far as project estimations are concerned (El-Sawalhi and Shehatto, 2014).
Some project managers prefer to employ accounting and finance officers/ managers to assist in some of the more specialized accounting functions in project management (Hakami and Yousif, 2014). It is essential for project managers to conduct a comprehensive review of all aspects of a project and have key summaries for explaining the financial health of the project over time (Khanh and Kim, 2014). From a prudence point of view, it is essential for a project manager to continually have a sense of the financial direction of a project (Rajeev and Kothai, 2014).
Project managers and owners of projects often trade blame for the delay of projects (Risk Evaluation Factors in Construction Projects, 2016). Managers will mostly blame owners of the project for delays in releasing payments or raising minor disputes (Santos and Jungles, 2016). Owners of many projects also do not honor their promises to pay suppliers and vendors of raw materials in good time. Such delays will ultimately eat into the project manager’s schedule and soon the entire problem might face unnecessary delays (Greenhalf, 1993). Owners, on the other hand, will blame project managers for not constituting their teams in good time or not assembling the right team. They may also blame them for taking too much time helping to clear any disputes that may arise.
Most project managers, project owners, consultants, and contractors agree that estimated costs are always lower than actual expenditures in projects (Senouci and Mubarak, 2014). It is of ultimate importance that project manager’s provision for any unforeseen increases in costs as a result of many contingent internal or external factors (Szymański, 2017). This approach is also necessary because many construction projects on the African continent tend to have gaps in funding (Waris, Khamidi and Idrus, 2012). It, therefore, becomes imperative that project managers not only take steps to cover for such gaps but also provision for shortfalls in case of any unforeseen eventualities. For instance, political tensions may occasion an escalation of prices, and this may lead to shortages of raw materials. A considered good manager should be able to provide a cushion for such events.
Most project managers are satisfied with client satisfaction in engineering construction projects in Africa (Windapo and Qamata, 2015). That is not the case; however when you come to a client’s satisfaction with the work of project managers. Most clients are not satisfied with project managers because of non-conformity to work specifications and poor coordination between parties in the project (Zhang, 2009). There are also many instances where disputes occur because project managers did not meet the expectations of clients leading to numerous delays in the project (Aguiar-Moya et al., 2016).
It is essential for project managers to develop human resource mechanisms in any project (Allen and Dzirikure, 2014). A human resource manual is necessary for a project manager because it will familiarize to possible human resource issues in the course of the work (Eriksen, 2003). If possible it is essential for project managers to hire human resource managers to help them in the overall administration of human resource issues in any project, they should proceed and do so because managing human resources can be one of the most challenging tasks in any project (Fabricius et al., 2013).
Beyond estimation human resource costs in a project, resource skill will be instrumental in the planning and organizing of human resources within and throughout the project (Grathwol and Moorhus, 2009). Although it is expensive to hire human resources skills, it is critical for project managers to consider the component as it will significantly help in reducing human resource costs and enhance discipline within the team (Greenhalf, 1993).
Human resource managers, whether contractual or consultants, can implement an effective and thorough training program. Such a program will meet the needs of other people involved in the execution of a project (Hermann, Shaw and Hannah, 1985). Human resources should be scheduled and evaluated on a regular by productivity, safety, quality, cost, time and information systems (Greenhalf, 1993). Studies indicate that there is a significant improvement in productivity levels where practical training is offered continuously (Joffe, 1995). Also, an excellent human resource function will be able to identify high levels of skill and recommend reward and recruit new talent by merit (Kurbel, 2008).
- Project Management Actions
- Organizational structure – referring to the overall structure of the team implementing the project.
- Implementing an active safety system – relating to the implementation of a safety plan for the personnel working on a project.
- Developing appropriate
- Overall managerial actions – referring to efforts by project managers that impact on the performance of the project.
- Control sub-contractors works – refers to a raft of measures that help in monitoring the work of sub-contractors.
- Implementation of a sufficient quality assurance – a quality assurance plan safeguards the project against any compromises in raw materials and procedures in the implementation of a project.
- Control mechanisms – refers to the general internal control environment of the project.
- Feedback capabilities – relates to tools of collecting feedback.
- Planning effort – refers to energies and time spent in planning for the project.
- Communication systems – refers to the general flow of information.
- Project related factors
- Nature of project – refers to the general characteristics of the project.
- The complexity of the project – refers to the size of the project regarding financial quantity, scope and physical space.
- Size of project.
- Type of project – engineering projects sometimes vary in form, purpose and nature.
- External Environment
- Social Environnent
- Physical environnement
- Industrial relations – refers to connections and relationships with other stakeholders like vendors and financial partners
- Technology advancement
- Economic climate
- Project procedures
- Tendering process
- Procurement process
- Human-Related Factors
- Client’s experience
- Nature of client-private or public
- Client’s emphasis on high quality of construction
- Client’s focus on quick building
- Client ability to brief
- Client’s ability to make a decision
- Client’s to make roles
- Client’s contribution to the design
- Client’s contribution to the construction
- Project team leader’s experience
- Technical skills of project team leaders
- Organizing skills of project team leaders
- Coordinating abilities of the project team
- Motivating skills of a project team leader
- General Factors Related to Project Management
Personal characteristics that are necessary to accomplish a task such as an attitude, skill, and knowledge are required of project managers in the execution of project management in the engineering construction industry (NEOCOSMOS, 2010). (Kurbel, 2008) Define factors related to the project as any circumstances that are tied to the project and directly influence its success or failure (Joffe, 1995). In a broader context, project factors are a set of forces that either determines the success or failure of a project (Hermann, Shaw and Hannah, 1985). There is a complex relationship between project success criteria and success factors (Greenhalf, 1993). From a macro viewpoint of success, however, the operational and conceptual phases of a project influence its success (Grathwol and Moorhus, 2009). There was need to develop a relationship of respondents with the project as shown in the following table:
(Fabricius et al., 2013) Described ‘‘environment’’ as factors not directly related to the project that influence the construction process including technical, political and social systems. The characteristics used to evaluate these factors are the levels of technological advancements, industrial relations, physical environment, political environment, social environment and economic environment. According to research by many scholars, some factors can affect the overall performance or management of a project from the external environment (Eriksen, 2003). Some of these factors will change the working conditions and the general climate of the project while some will only affect the individuals involved in the project (Allen and Dzirikure, 2014).
Project procedures are mainly procurement related factors that affect the overall management of a project. Most project managers appreciate the importance of procurement and procurement related logistics in the overall performance of a project (Aguiar-Moya et al., 2016). Several methods are employed in the measurement of procurement related matters. Some of the factors that influence procurement include factors associated to the client’s control on the project, their methods used in cost control, the level of client control on the project design, and the time incurred in reconstruction. Other factors in procurement that are likely to affect project management include procedures and processes in the organizational approach, activities sequencing, and allocation of responsibilities (Zhang, 2009). Performance evaluation factors and subcontracting selection are collaborative procurement procedures and also have an influence on the overall success of the project (Windapo and Qamata, 2015). Cooperative procurement procedures like collaboration on the project, contractor self-control, collaborative tools, incentives, joint sub-contractor selection, soft evaluation parameters, limited bid invitation, and joint specification can also affect the success of a project (Waris, Khamidi and Idrus, 2012). Some of the other procurement related factors identified in major studies include tendering methods, variation orders, and selection criteria (Szymański, 2017).
When managers use project management tools, they can maximize chances of success (Senouci and Mubarak, 2014). Components of project management actions include activities in planning and scheduling project, organization structure, decision making, effectiveness, coordination, effectiveness, troubleshooting, feedback capabilities, control mechanisms, and adequate communication (Santos and Jungles, 2016).
Project management can be described as the process of achieving project objectives in a controlled environment using the existing resources and organizational structure and managing them properly by applying some techniques and tools without interfering with routine operation (Risk Evaluation Factors in Construction Projects, 2016). Some of the functions of a project manager include the allocation of resources, defining the work requirements, planning the work requirements, executing, and team monitoring, evaluating the progress of the work, and making critical decisions in any unexpected situations (Rajeev and Kothai, 2014).
According to various studies, most individuals in the engineering construction sector recognize the quantitative tools of controlling, scheduling, and planning work (Khanh and Kim, 2014). Complexity and turbulent environment are the order of the day in most engineering construction firms because there is increased competition in a situation where these tools are not being used (Hakami and Yousif, 2014). Project management is an essential skill in private and public business because it can help people cope with emerging issues like technological innovations, unforeseen external opportunities and other project operations (El-Sawalhi and Shehatto, 2014). Project management actions can be affected by some variables including overall managerial activities, control of subcontractors work, safety and quality assurance programs, organization structure, planning, effort, feedback capabilities, control mechanisms, and communication systems (Critical Factors Influencing Quality Performance in Construction Projects, 2017). Project funding table is shown below:
Developing countries face some challenges in the construction of projects because of difficulties with clients and consultants (Cheung et al., 2014). Problems in this area include problems of inadequate in the supply of raw materials and difficulties related to poor budgetary and time controls (Belay and Torp, 2017). Other issues in the engineering construction industry include problems related to improper tools being used in project management, poor techniques, social and technological problems, poor estimation management costs, and incompetent designers and contractors (Au and Hendrickson, 1986).
A massive problem in the engineering construction industry in Africa is the complexity of information and the absence of techniques and methodologies to help in the comprehension of such information (Waiguchu, Tiagha and Mwaura, 1999). This problem leads to poor decisions being made from an improper analysis of big data (Project Management Journal., 2013). In most countries on the African continent, decision-making relies on manual data collection and manual data synthesis (Oliver, 1971).
Engineering construction firms that operate in several countries in Africa face difficulties in executing big engineering construction projects because they are unfamiliar with the different jurisdictions (Ofori-Dankwa and Omane-Antwi, N.D.). Other factors like social risks, social changes, economic conditions, political dynamics, and external uncertainties expose these companies to challenging operating environments (Nhira and Mapiki, 2007).
The relationship between project performance and project management is solid considering that some of the most significant factors in project management emanate from project performance (NEOCOSMOS, 2010). Collecting storing and synthesizing performance information can significantly help in project management in the long term (Kurbel, 2008). Senior managers can benefit from the development of web-based “Construction Project Performance Monitoring Systems” as they can significantly help in the tracking of key performance indicators (Joffe, 1995).
The success of construction projects mainly depends on the success of performance and project management (Hermann, Shaw and Hannah, 1985). For instance, the inappropriate selection of procurement methods has been one of the leading reasons for the failure of project management. Choice of procurement methods is mainly dependent on the ability of the project manager to make the right decision (Greenhalf, 1993). Performance criteria for many engineering construction projects include subcontracting, reputation, relationship with subcontractors, claim and contractual disputes, management capabilities, relationship with consultants, relationship with clients, resources, health, safety standards, quality, the progress of work, and financial stability (Grathwol and Moorhus, 2009). Construction is the most critical element in engineering construction projects performance since most entities use it as the basis of benchmarking (Fabricius et al., 2013).
Categories in project performance include communication, client satisfaction, environment, safety, health, quality, time, cost and people. Human factors play an essential role in determining the ultimate success of a project. Both early contractor and supplier involvement will minimize the constructability related performance, and management problems like wastages rework claims delays and associated costs (Eriksen, 2003).
Effective communication and fast flow of information are necessary for the performance of projects in Africa (Allen and Dzirikure, 2014). Reports on design phase costs, performance, frequent of design meetings, project management training, and project management based organizational culture, are essential in the assessment of project progress (Aguiar-Moya et al., 2016). Data collected by construction managers are used to primarily evaluate the performance of the project against the forecasted performance or past performance (Zhang, 2009). Organizational related categories, product characteristics, and job conditions are also fundamental in the execution of projects and are all driven by the manager.
Key performance indicators should be able to identify potential opportunities for appraisal and improvement, address all possible performance drivers, and identify causes of problems (Windapo and Qamata, 2015). Construction entities should lay a good foundation for performance which are health, safety, business performance, client changes, client satisfaction, quality, cost, and time (Waris, Khamidi and Idrus, 2012). Performance indicators can be grouped into two ways one being a category of stakeholders such as users owners and the general public and the other being the principal project manager (Szymański, 2017). In the case of Mozambique, it is essential to consider other variables like management administration, safety, health, resource utilization, society, environment and the economy given that the country is still developing (Wbho.co.za, 2019).
The success of any project is related to the project owners’ expectations and the quality in construction delivered by the project manager (Senouci and Mubarak, 2014). A little attention is given to the expectations of the owner when there is a high chance of poor execution of the project (Santos and Jungles, 2016). Poor performance can also be influenced by an escalation in construction costs, low productivity, and efficiency and a decline in market share (Risk Evaluation Factors in Construction Projects, 2016).
- Conclusion
From the above information, it is clear that the African continent is in a way lagging in the matter concerning the development in the engineering project. The assumption is considered after researching the engineering sector in Mozambique and the factor which tends to affect the country engineering activities. One of the major concerns is the political setting of the country. The political sector is in a way corrupt. The government also do not motivate the young generation through support in education. The curriculum structure of the country is in a way affecting the overall achievement of the country in engineering activities. Through this, it is hard for the youths to get the needed skills of handling engineering and also they are affected by technology. It has also been seen that those who participate in project management some are not qualified and most of them are not competent in their daily activities. Through this, they lack a framework on what needs to be constituted in the planning and even end up not checking on the risk which the project may fall into. Notably, the legal requirement of the country is in the way affecting the country development technologically since it is affecting on how activities are done and even they lack framework on what should be followed at a long run. Technology is another area affecting Mozambique engineering activities. The court faces a problem in that most of the workers are not qualified and thus end up offering unskilled services. Mozambican country needs to have the plan and set objectives on what they should do to uplift the engineering activities in the country and thus enjoy the engineering prowess in the future.
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