- How does the dissertation in Smith Chapter 4 regarding Quality Management in Projects have relevance in the change, disputes, arbitration and mediation process?
- How does the dissertation in Smith Chapter 15 regarding Supply-Chain Management Management in Projects have relevance in the change, disputes, arbitration and mediation process?
- How does the dissertation in Smith Chapter 20 regarding Projects in a Controlled Environment have relevance in the change, disputes, arbitration and mediation process?
- Are each of these chapters different or the same when change, disputes, arbitration and mediation processes are considered?
- Why would a large asset owner be interested in change, disputes, arbitration and mediation processes?
- Why would a large asset owner not want to bankrupt contractors?
Finally, the case study points you to the Queensland Building and Construction Commission (QBCC) Get help getting paid, web site. For small contractors payment is an ever present challenge. Disputes over changes become a very vexatious issue for these contractors.
- What additional insights do you also think the optional reading and the case study links provide from previous weeks?
In this portfolio please reflect on the readings (1st column) and the learning outcome (2nd column). Ask yourself in what way does the readings provide insights into the learning outcome? Maybe they don’t! What are your thoughts?
Are there other insights that you can make from other units that you have studied? Or your work and life experience?
Question:
Mandatory Readings
- Smith Chapters 4, 15, & 20
- Nilsson B. 2010 The Project Management Information System (PMIS) Made Easy: A Case Study
- Kelly E.M. 2010 Governance Rules! The Principles of Effective Project Governance
Optional Readings
- Pinto, J. K. & Kharbanda, O. P. (1995). Project management and conflict resolution. Project Management Journal, 26(4), 45–54.
- Diekmann, J. E. & Girard, M. (1995). Construction industry attitudes toward disputes and prevention/resolution techniques. Project Management Journal, 26(1), 3–11
- AS/NZS 8016:2013 Governance of IT enabled projects
In large projects, it is essential that all project members and contractors should be ready for any kind of conflicts and disputes. these conflicts or disputes may take the form of litigation. It is the duty of contractors to frame a strategy to deal and resolve the conflicts. Among various reasons of conflicts and disputes, the key ones are schedule and budget overshoot. In such scenario, different team members come with their own opinion to resolve them. They also offer to adapt the opinions and provide strategy for resolution. However, it ends in a dispute. Team members do play blame games to transfer the ownership and responsibility of the issue on other one another. PPMP20013 Unit Profile
When a conflict occurs, it gives rise to four outcomes: conciliation, mediation, litigation and mediation. Conciliation and mediation bear less costs for resolving the conflicts. On the other hand, litigation and mediation incur much high cost for dispute resolution. When mediation gets failed, the best solution to settle the disputes in construction area is arbitration. Besides the above mentioned, there are many other reasons which may lead to dispute occurrence in the project like different interpretations of specifications and project scope, different opinion over the methodology to be selected for the project, differences in best practices and so on. When one or more issues are combined in a project, it may lead to occurrence of disputes. Padar, K., Pataki, B. and Sebestyen, Z. (2017). Bringing project and change management roles into sync. Journal of Organizational Change Management, 30(5), pp.797-822.
It is the responsibility of project managers to make sure that assessment of risk and analysis should be done in early phases of project. This will monitor that risks and unlikely events are avoided in the project. There is another way which can help in resolving disputes in the project that is Project governance. There are also other reasons which may give rise to disputes in the project which include changes in requirement made by the client or by other stakeholders. This is because of restraint behaviour from team members in adapting the changes. The occurrence of dispute may lead to monitory loss in the project It can also hamper the business reputation of the company in case the dispute remains unresolved among the team members. Pegoraro, C. and Paula, I. (2017). Requirements processing for building design: a systematic review. [online] Available at: https://dx.doi.org/10.1590/0103-6513.212116 [Accessed 31 Mat. 2018].
Assurance process is also conducted which includes compliance in the internal processes and strategies to ensure that all involving parties adhere to the obligations. When issues and challenges are detected at early phases of project, risks are handled in a linear manner. Disputes and conflicts are resolved in a better manner, if documentation has been done. Also, storing old and historical data and recording regular updates ensure that disputes and conflicts are resolved as soon as they occur. In case, documentation is not maintained then chances of resolution drop considerably. Poitras, J. and Le Tareau, A. (2008). Dispute resolution patterns and organizational dispute states. International Journal of Conflict Management, 19(1), pp.72-87.
Negotiation and communication play an important role in managing and resolving conflicts. An effective communication makes sure that all conflicts and issues are resolved on time. But, it has been observed that most of the project managers give preference to wait and observe rather taking step. The project plan also includes strategies to resolve project disputes in the form of risk management and communication plan. Shaw, D. (2015). Managing dualities in organizational change projects. Journal of Change Management, 16(3), pp.201-222.
References
Padar, K., Pataki, B. and Sebestyen, Z. (2017). Bringing project and change management roles into sync. Journal of Organizational Change Management, 30(5), pp.797-822.
Pegoraro, C. and Paula, I. (2017). Requirements processing for building design: a systematic review. [online] Available at: https://dx.doi.org/10.1590/0103-6513.212116 [Accessed 23 Apr. 2018].
Poitras, J. and Le Tareau, A. (2008). Dispute resolution patterns and organizational dispute states. International Journal of Conflict Management, 19(1), pp.72-87.
Shaw, D. (2015). Managing dualities in organizational change projects. Journal of Change Management, 16(3), pp.201-222.
