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School of Built and Natural Environment, Glasgow Caledonian University, Cowcaddens Road, Glasgow G4 0BA, United Kingdom
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School of Built and Natural Environment, University of Central Lancashire, Preston PR1 2HE, United Kingdom
Received 10 October 2008; received in revised form 29 December 2008; accepted 5 February 2009
Abstract
For the construction industry to survive the current turbulence in the economic atmosphere, it has the option of integrating new initiatives to march the uncertainties. Programme management is seen as an ecient vehicle to successfully deliver the improvements and
changes. However, the implementation of any new system or change initiatives has always been a challenging task; some of these challenges can be faced during the implementation or at practice stage. Programme management is not exempt from such challenges, in order
to successfully implement and practice programme management, the knowledge of the major challenges associated to eective implementation and practice should not be left to serendipity or sagacity. Due to the lack of clarity surrounding programme management in the
construction industry, the understanding of these major challenges remains vague. To provide a deeper insight into the major challenges
to implementation and practice of construction programme management, this paper conducts both a pragmatic and theoretical study by
triangulating literature, industrial questionnaire survey and semi-structured interviews. The research was conducted in the UK construction industry and other programme management sectors to analyse and exploit the knowledge of these challenges for eective implementation and practice of construction programmes. A total of 119 usable questionnaires were received and 17 semi-structured interviews
were conducted, analysed and synthesised to provide a broader view on the major challenges and how to eectively implement and practice construction programmes.
2009 Elsevier Ltd and IPMA. All rights reserved.
Keywords: Challenges; Implementation; Practice; Programme management
1. Introduction
There is indication that organisations are getting more
aware and interested in the discipline of programme management [1], but [2,3] explained that lack of clarity and
understanding has contributed to a lack of understanding
and interest in programme management. To fully comprehend, it is essential to give an overview of the term programme management. Many denitions of the term
*
programme management exist, yet they all highlight common attributes of the selection, planning and overall management of a portfolio of projects to achieve a set of
business objectives. In addition, some of the denitions
also indicate the ecient execution of the portfolio of projects within a controlled environment [4,5], so that they realise maximum benet for the resulting business operations
[6]. In other words, [7] denes programme management as
the management of large capital projects. Lycett et al. [8]
dene programme management as the integration and
management of a group of related projects with the intent
of achieving benets that would not have been realised had
the projects been managed independently. While connected, this is distinct from portfolio management, whereas
[9] denes programme management as the management of
a portfolio of projects which call upon the same resources
and concentrates on the next stage of development it
involves planning each individual project planned and
resourced. In other words, programmes involve directing
a portfolio of projects, one huge project (mega project)
[9,10], and managing a series of projects for the same client
which benet from a consolidated approach.
The plurality and diversity of denitions for programme
management can be associated with its origin and lack of
understanding. Milosevic et al. [3] are condent that a fair
amount of confusion exists among organisations about
what programme management stands for, and lack sucient literature to accurately describe it. Subsequently,
[11] also observe that when individuals involved in programmes meet one another they spend time trying to
understand what the other means by the term programme
management. These ambiguities surrounding the nature
and practice of programme management remain, resulting
in diverse understandings and denitions.
Having seen how writers dene the term programme
management, this research understands that the maturity
of project management and its limitations gave birth to
the phenomenon of programme management as a de facto
means of aligning, coordinating and managing a portfolio
of projects to deliver benets which individual projects
would not have been able to deliver independently [12].
Hence denes programme management as an integrated,
structured-framework to co-ordinate, align, and allocate
resources, as well as plan, execute and manage a portfolio
of construction projects simultaneously to achieve optimum benets that would not have been realised had the
projects been managed separately.
2. Literature review
Young [13] asserts that todays construction industry
operates in a climate of widespread economic uctuations,
population and migration growth, and the growing pressure from global economic instability. He further stresses
that regions and economies of the world are increasingly
interdependent and new challenges arise every day that
lead to major shifts in the context of the market place.
Despite the changes and pressure, the UK construction
industry is ranked among the strongest in the world, with
its output classied in the global top-ten according [14,15].
A mass migration from project management to programme management becomes imminent [1,16] some major
challenges are inevitable and their knowledge will be essential. For programme management to be understood and
accepted in the construction industry, it would be benecial
if it were broken down (programme management) into
more comprehendible components. Hence, this research
explores and focuses on the challenges during the implementation and practice stages of construction programmes.
27
28
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gramme management is not exempt, and the semistructured interviews revealed the possible major challenges that a potential programme management organisation could face in the process of adoption and
implementation. These challenges are awareness, organisational challenges, and other challenges, such as directors
acceptance.
Based on the conceptual content analysis conducted, on
the structured interviews data, lack of awareness, benets
and nature of programme management ranked among
the major challenges to the successful implementation of
programme management. However, this is not unexpected,
as discussed by [3]; they observed that a lack of knowledge
and awareness of programme management can be associated with its origin in US aerospace and intelligence agencies. Providing awareness may help the prospective
programme management organisations to fully understand
and gain cooperation from the members of the organisation to implement and practice programme management.
Awareness becomes a major challenge with 23 references
in 17 interviews conducted. To overcome lack of awareness
and understanding there is need for both academia and the
industry to provide detailed information on programme
management and its benets.
Having established that awareness is the highest challenge to the implementation of programme management,
the lowest challenge appeared to be getting the directors
to accept the validity of programme management. One of
the construction programme managers interviewed
observed that:
Implementation of programme management has to be
supported by the board of directors through continuous
communication (talks) (awareness) and follow ups, feedbacks from programme managers to the board of directors and clarifying the interfaces and the benets.
Some other challenges may emanate from other aspects,
such as lack of management maturity, stakeholders attitude, etc. while other challenges, such as recognising programme management as a profession, and fear of losing
power by some members of the organisation constitute
another challenge [42].
12. Major challenges to practice of programme management
Having seen the major challenges to implementation of
programme management, this section presents the quantitative data analysis. This section further examines the challenges to the successful practice of programme
management. The data for this was collected from the
UK construction industry using a questionnaire survey.
The total of 119 usable responses received were analysed
to make inferences. Some of the sectors are involved with
construction projects in the form of residential and commercial, civil engineering (road and others), services, etc.
[43,44].
30
31
Table 1
Major challenges to successful practice of programme management in the UK construction industry.
Major challenges to programme/multiple projects management
Total results
CI
Mean
Mean
Practice
Not-practice
0.789
0.772
0.759
0.726
4.155
4.086
4.034
3.905
4.087
4.000
4.022
3.913
4.209
4.149
4.060
3.910
0.4571
0.356
0.821
0.987
0.722
0.722
0.711
0.690
0.684
0.681
0.678
0.670
0.668
0.664
0.660
0.646
0.641
0.638
0.623
3.887
3.888
3.845
3.759
3.737
3.724
3.713
3.681
3.672
3.655
3.640
3.583
3.565
3.552
3.491
3.933
3.783
3.870
3.783
3.689
3.848
3.689
3.717
3.761
3.630
3.689
3.711
3.622
3.652
3.614
3.881
3.970
3.791
3.716
3.758
3.642
3.716
3.627
3.627
3.642
3.621
3.507
3.537
3.478
3.385
0.763
0.299
0.631
0.694
0.708
0.2081
0.885
0.614
0.3641
0.9471
0.706
0.250
0.614
0.283
0.249
0.622
0.622
0.611
0.604
0.593
0.583
0.578
0.567
0.544
3.487
3.487
3.442
3.414
3.371
3.333
3.313
3.267
3.176
3.457
3.511
3.400
3.409
3.326
3.356
3.311
3.261
3.310
3.515
3.463
3.492
3.415
3.388
3.333
3.328
3.254
3.111
0.739
0.786
0.627
0.975
0.717
0.902
0.926
0.968
0.287
Sig.(q)
CI, criticality index; SD, standard deviation; Sig.(q), signicance level; and 1, equal variance not assumed.
32
nature of programme management. According to [3], programmes are highly integrated endeavours in which the
action of one project aects the rest of the projects in a programme. The indication in this challenge is the need for
real-time proactive planning; properly planned projects
transcend into an ecient programme. Eective planning
is one of the prerequisites of programme management
and its importance cannot be overemphasised.
The second to last major challenge to the practice of
construction programme management is too many unrelated projects in a programme. This is, however, not surprising, as in reality, the relationship of construction
projects is relative to the planning and other factors, such
as the sharing of resources, facilities and infrastructures
[26,30]. The relationship can be established in multiple facets: planning, supply chain management, resources, funding, execution, etc. The respondents, however, do not see
connecting (relating) projects as a challenge. Whereas the
most insignicant (minor challenge) to practicing programme management is presenting a detailed description
of the intended roles of programme management oce
(PMO) in the organisation as the least of the listed challenges. PMO is the centre of control of programme management, it acts as the centre of planning and
coordination of the activities of the functional projects in
a programme; hence the description of its roles will be relatively easy to make and understand.
To proceed to the next level of reducing the factors for
the benets of trainer or educators by reducing the major
challenges into more manageable components, factor analysis will be conducted.
15. Factor analysis for major challenges to the practice of
programme management
To reduce the list of major challenges into more manageable numbers for support or CPD purposes, factor
analysis was conducted into the major challenges. Prior
to the factor analysis, Bartletts test of sphericity and a
KaiserMeyerOlkin (KMO) test were conducted to help
assess the factorability of the data. Bartletts test of sphericity should be p < .05 to be signicant; whereas KMO index
ranges from 0 to 1 with .6 as a minimum value for a good
factor analysis.
The value of the KMO statistic is 0.863, which, according to [62], is satisfactory for factor analysis. Bartletts test
of sphericity tests the hypothesis that the correlation matrix
is an identity matrix. In this case, the value of the test statistic for sphericity is large (Bartletts test of sphericity = 378) and the associated signicance level is small
(p = 0.000), which suggests that there is no need to eliminate any of the variables for the principal component
analysis.
Having conducted the factorability analysis, factor
extraction tests using Kaisers criterion and Scree plot analysis were conducted. Factor extraction is the determination
of the number of factors necessary to represent the data
[63]. Kaisers test is one of the most commonly used techniques, otherwise known as eigenvalue rule. Using this rule,
only the factors with an eigenvalue of 1.0 or more are
retained for further investigation [46]. Whereas the Scree
test involves plotting each of the eigenvalues of the factors
and inspecting the plot to nd the point at which the shape
of the curve changes direction to become horizontal. Cattell [64] recommends retaining all factors above the elbow
or break in the plot, as these factors contribute to the
explanation of the variance in the data set. The combination of these two techniques was employed in a complementary manner in this research.
Appendix 1 presents the initial and rotated factor matrix
of major challenges to the practice of programme management, the eigenvalues for all the factors in major challenges
to the eective practice of programme management. In the
table, the rst column represents the 28 major challenges
listed; the second column represents the initial eigenvalues
of the respective components (total variance, percentages
and cumulative percentages). Whereas the extraction sums
of square loadings columns represent the factors with more
eigenvalue of 1.0 and above. The factors with eigenvalue of
1.0 and above will proceed to further examination.
Naming the principal factors was done in line with [65]
recommendations, which suggests that the factor names
should be brief (one or two words) and communicate the
nature of the underlying construct. This was done by looking for patterns of similarity between items that load on a
factor. In addition, looking at what items do not load on a
factor, to determine what that factor is not. Also, try
reversing loadings to get a better interpretation [66].
By looking for patterns of similarity between items that
load on a factor, particularly when seeking to validate a
theoretical structure, it is possible to use the factor names
that already exist in the literature. Otherwise, names that
will communicate conceptual structure to others are used.
Looking at what items do not load on a factor to determine
what that factor is not [65]. In line with recommendation of
[65], to name the factors for this research, a questionnaire
was sent to ve programme management experts to validate the naming of the principal factors. The respondents
of the naming survey all agreed with the names as the suitable representation of the principal factors. Takim [67]
observes that there is no rule of thumb in making factors
to fall within the same group as this taken care of by the
rotation technique used.
16. Principal factors
Often, using Kaisers criterion, many components are
extracted. It is important, therefore, to also check the Scree
plot to select and retain factors for the components above
the shoulders of the curve [46,66]; in this case six factors are
identied as shown in Appendix 1 using Kaisers criterion.
Sixty-two (62%) of the total variance is attributable to the
rst six factors; the remaining 22 factors together account
for only 38% of the variance as assessed by [68]. In other
33
34
organisation and lack of understanding of the value proposition that programme management provides.
Higher loadings are too many unrelated projects,
(Sig. = 0.752) and disappointment with nal programme
benets, 0.686. These major challenges too many unrelated
projects are considered as highly critical in the criticality
analysis, and this factor emerged strongly under strategy
and awareness. Programme management brings benets
through aligning, coordinating and executing multiple projects along the organisational objectives, more especially if
the organisation operates a myriad of small projects [2,72].
OGC [26] warned about lumping projects together in the
name of a programme. This research recommends that caution must be exercised in selecting the right projects, and
not bring projects that are not compatible to the programme [26]. Too many unrelated projects can be a major
challenge to construction programme management.
The lower loading is on lack of understanding of the
value proposition that programme management provides.
OGC [26] maintains that it is essential for an organisation
to set out the aim of operating programme management,
rather than doing it for the sake of fashion. Hence a lack
of clear value proposition is detrimental to the success of
any programme. One of the programme directors interviewed advised that organisations should be very clear
of what they want to achieve before implementing programme management. The values and benets expected
should be reected in the programmes business case [73].
22. Benets understanding
Principal factor 6 consists of two factors and accounts
for 7.570% of the total attractive variance: lack of understanding of the role of programme management in the organisation and lack of awareness of associated benets. These
factors are associated with the benets of understanding
programme management. There is a strong need for understanding what programme management stands for and
what it will contribute to the organisation [8,30,74]. In connection with the lack of understanding of the role of programme management in the organisation, an IT
programme managers who was interviewed, stated that:
Programme management is not an end in itself, but
rather a means to an end and is a means of delivering
long-term benets to the organisation that they could
not otherwise achieve. Therefore, where a company
determines that they lack long-term vision, programme
management cannot do anything for them. The start
point of a programme is where you want to get to. If
they get a long-term vision and they can see the means
within the context of their organisation for delivering
that, programme management would not ll that vacuum. If by any other means the company can deliver
their vision, then programme management is not for
them. If a company has a long-term vision but they do
35
not know how to deliver that long-term vision, then programme management would oer a solution to them.
On the benets of programme management, Reiss [61]
emphasised the importance of establishing ecient ways
to understand and measure the nancial and non-nancial
benets realised in programmes. The expected benets
should be carefully established and evaluated [70]. Organisations increasingly recognise that achievement of their
strategic objectives, including maintaining and improving
their competitive advantages, are dependent on both tangible and intangible assets [75]. Thus; a lack of awareness of
the associated benets is a major challenge to construction
programme management.
23. Successful implementation of programme management
In his work, [16] proposed a validated framework for
eective adoption and implementation of programme management into UK construction industry. The framework
consists of six trac colour coded progressive stages which
were developed based on the triangulation ndings from
literature review, questionnaire survey and semi-structured
interviews. The stages of the framework include: unawareness to awareness, understanding, programme planning,
piloting, implementation and customisation and
consolidation.
Associated with every stage of the framework are the
types of support required to overcome any challenges that
may be encountered in progression through the stages of
the framework as shown in Fig. 1.
The framework seeks to serve as an adaptable guide, it
should by no means be considered as the only means
through which organisations can be guided into the implementation and practice of programme management. In
36
of awareness, organisational, other challenges, and persuading directors to accept programme management as
the way forward.
The major challenges facing programme management
include: lack of commitment from business leaders (the
highest challenge in practicing programme management)
and presenting a detailed description of the intended role
of a programme management organisation (PMO) in the
organisation. However, the results provide a conicting
fact that, at the implementation stage, the major challenge
is lack of awareness, while at the practice stage, the challenge involves the lack of commitment from business leaders (directors). Whereas the directors buy-in does not
constitute any of the major challenges at the implementation stage. Regardless of the position, it is quite obvious
that a lack of awareness can constitute a problem with buying-in the directors and, in summary, directors cooperation is essential to the successful implementation and
practice of programme management.
With the data ranked, factor analysis was sorted to
reduce the major challenges to benet the planners and
implementers in categorising factors under certain components to eciently deliver them to programme managers
(or prospective programme managers). Factor analysis
was conducted, and the major challenges were reduced into
three factor using Scree plot and variables with eigenvalues
more than one. The factors were named as programme
control, human aspects, and political aspects. These factors
constitute the group of challenges that organisations may
face in practicing programme management.
Due to its complexity and the synergy of the functional
projects, programme management is an eective and proactive planning oriented discipline; in conclusion, high level
planning is required. This is essential to the successful
implementation and practice of programme management
in the UK construction industry. The organisations are
advised to cultivate planning and support their managers
to ensure the eective delivery of programmes. Training
can be provided in the form of CPD, workshops, or other
means of exchanging or fostering knowledge.
For the potential programme management organisations, it has been proposed that adequate caution should
be exercised in the process of implementation; a six-stage
approach has been proposed to progressively usher the
organisation into implementation and practice. The stages
include awareness, understanding, planning, piloting,
implementation and consolidation and customisation.
Appendix 1
Initial and rotated factor matrix of major challenges to practice of programme management.
Component
1
2
Initial eigenvalues
Total
Variance (%)
Cumulative (%)
Total
Variance (%)
9.604
2.191
34.298
7.823
34.298
42.122
4.615
2.836
16.483
10.130
Cumulative (%)
16.483
26.613
(continued on next page)
37
Appendix 1 (continued)
Component
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
Initial eigenvalues
Total
Variance (%)
Cumulative (%)
Total
Variance (%)
Cumulative (%)
1.943
1.313
1.154
1.113
.995
.893
.809
.794
.688
.664
.643
.595
.540
.500
.485
.442
.381
.337
.330
.305
.291
.263
.242
.208
.145
.134
6.939
4.689
4.120
3.976
3.555
3.190
2.890
2.836
2.456
2.371
2.295
2.123
1.928
1.787
1.734
1.579
1.361
1.204
1.178
1.090
1.038
.938
.863
.742
.518
.478
49.061
53.750
57.870
61.845
65.400
68.590
71.480
74.316
76.772
79.144
81.439
83.562
85.490
87.277
89.011
90.590
91.951
93.155
94.332
95.422
96.461
97.398
98.261
99.004
99.522
100.000
2.803
2.499
2.443
2.119
10.012
8.926
8.724
7.570
36.625
45.551
54.276
61.845
Appendix 2
Rotated factor matrix (loading) of major challenges.
Major challenges to the practice of programme management
Component
1
Strategic focus
Human and
communication
A perception among the project community that the programme will serve as an obstacle to
the timely accomplishment of project management
Resistance to organisational change
People constraints
Lack of knowledge of portfolio management techniques
Lack of resources (human/nancial) to analyse projects data
Financial factors
Leadership and
commitment
.740
.729
.719
.699
.627
.578
.424
.667
.648
.644
.601
.471
.774
.722
.698
.560
.342
.692
.664
.568
.556
.545
38
Appendix 2 (continued)
Major challenges to the practice of programme management
Component
1
Strategy and
awareness
Benets
understanding
.752
.686
.615
.411
.683
.513
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