A system dynamics model to enhance on-time delivery of infrastructure projects within a power utility in South Africa

Mashamba, T (2024) A system dynamics model to enhance on-time delivery of infrastructure projects within a power utility in South Africa. PhD thesis, University of South Africa, South Africa.

Abstract

Energy plays a fundamental role in sustainable development and poverty alleviation efforts. The energy sector is critical, looking at the economic growth perspective as it contributes about 3.2% of South Africa’s Gross Domestic Product. Due to economic growth in South Africa, the state-owned firm has witnessed increasing demand for power supply over the last 20 years. To alleviate the existing supply restriction, the electricity sector started implementing capital expansion build projects. The completion of capital expansion build projects has been delayed due to quality problems and cost overruns, which results in frequent power outages that limit overall economic activity and erode investor trust in the area.The primary motivation of this research was to develop a System Dynamics Model to enhance on-time delivery of infrastructure projects within the power utility in South Africa. The proposed study is aimed at developing a System Dynamics Model to inform policy and decision-makers in the energy sector in South Africa, and to enhance on-time delivery of infrastructure projects which will improve the efficiency of project delivery in the countryThe research objectives for this study were: to analyse existing models that are utilized to ensure on-time delivery in infrastructure projects, identify key variables affecting the on-time (cycle time) delivery of infrastructure projects within the power utility, and to develop a System Dynamics Model for improving on-time delivery of infrastructure projects within the power utility based on insights from both academic and industry literature. Other objectives include testing and validating the performance of the model and carry out policy analysis to generate policy scenarios to ensure that infrastructure projects are delivered on time in the energy sector in South Africa.The first phase of the research involved a comprehensive literature review with the aim of analysing existing models that are utilised to ensure on-time delivery of projects. To some extent, these studies have attempted to resolve several dynamics’ problems encountered in complex construction projects. However, despite these efforts, little or no research has been conducted to understand the dynamics at play in ensuring on-time delivery of infrastructure projects within the power utility and minimise costs caused by project delays.A quantitative approach was adopted as the research methodology for this study. It involved the use of archival data from previous projects, to identify the variables that contribute to delays in infrastructure projects in the energy sector.System dynamics was adopted as a modelling and simulation approach for conceptualizing the interaction of the variables extracted from the insights gained from academic and industry literature.Fourteen key stocks emerged during the development of the model; they are dominant in managing project delays in the energy sector. The 14 key stocks (variables) that emerged were project tasks to do, tasks completed properly, undiscovered rework, known rework, project tasks completed incorrectly, incorrectly known rework not reworked, workforce, cumulative effort, Engineering Council of South Africa registered entity, stolen items total budget, project cost, resources and project completion time. The System Dynamics approach revealed that projects in the electricity industry can be framed as complex dynamic systems since they comprise of multiple interdependencies and dynamic settings. They include multiple feedback processes and non-linear relationships.

Item Type: Thesis (Doctoral)
Thesis advisor: Kanakana - Katumba, M G; Maladzhi, R W and Mokgohloa, K
Uncontrolled Keywords: South Africa; economic growth; feedback; gross domestic product; motivation; policy; poverty; project cost; project delivery; simulation; sustainable development; trust; workforce
Index terms: literature review, rework, sustainable development, motivation, project cost, system dynamics, construction project, completion time, South Africa, project delay, policy analysis, investor, efficiency, gross domestic product, cost overrun, poverty, electricity industry, dynamics, research methodology, economic activity, infrastructure project, economic growth, testing, modelling, energy sector, interaction, project delivery
Subjects: production management, Geography, health safety and environment, economic development, behavioral psychology, policy studies, analytical methods, economic analysis, professional practice, operations management, psychology, economics, performance management, systems engineering, industry analysis, infrastructure and transport systems, sociology, project controls, computing systems, research design and methodology, project delivery, financial and cost management, data analysis and analytics
Topics: Time Control, Human Resources, Digital Applications, Governance, Stakeholder Management, Research Practice, Cost Management, Business Strategy, Ethics, Quality Management, Sustainability, Procurement, Engineering Principles, Project Management, Geographical Context, Health and Safety
Descriptive scope: 4 PCTA

N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here