Shifting from management to leadership: A procurement model adaptation to project management

The construction industry is performing poorly regarding project management and service delivery. On average, global projects are over-budget, delayed, and met with unsatisfactory results according to buyers. To mitigate poor performance, the project management career path has been heavily researched and continually developed over the last century. Despite the published advances in project management approaches and tools, project performance continues to suffer. This research seeks to conduct an exploratory analysis of current project management and other approaches and determine how they affect project performance. Through a detailed literature search, the researcher identified a procurement model that is more heavily documented as high performing than all other approaches. The researcher proposed that this model may be a solution to assist project managers with the delivery of high performing services. The model is called the Best Value Approach (BVA). The BVA focuses on leadership, non-technical communication, quality assurance, and transparent project execution. To test the effectiveness of its practices, the researcher modified and adapted the BVA into a project management approach and tested it on a large-scale government project. During the case study test, the researcher observed that there were two primary project management roles in the supply chain; the buyer’s and vendor’s project managers. The case study resulted in the large government organization receiving more work and increased their satisfaction of the work received by 22 percent from the previous year. To further test the project management adapted BVA, the researcher conducted a classroom case-study in which students learned and implemented the BVA practices on real-time, small-scale industry projects. Results include cost savings of $100,000 for 10 companies over 24 projects, cost avoidance of over $4.5M, and a 9.8/10 customer satisfaction [in terms of the companies’ satisfaction with the deliverables produced on each project]. These results suggest that the BVA practices may effectively improve the performance of project delivery, and may be a viable new project management approach to train future project managers. Out of the two project manager roles, it is proposed that the buyer’s project manager may receive the most benefit. Additional research is needed on the other approaches to compare quantitative project performance, and run repeated testing on the potential new project management approach.