Following our White Paper [2020-08] on how best to setup governance for projects executed in consortium or Joint Venture, our new White Paper 2020-09 ‘How to Organise Projects Executed in Contractor Consortium or Joint-Venture’ investigates in more detail how to organise the project team itself for success. The key lies in the identification of those functions that require transverse monitoring and standardisation and having a sufficiently powerful common project team. Our new White Paper details those aspects and how they affect project performance and ultimate success.
The contractor’s project team is placed under the supervision of a Project Director and each contractor provides a team headed by a Project Manager and all relevant functions for its roles within the consortium management team and for its scope. In joint-venture situations it is more natural to build an integrated team, although, the project is often split in projects or packages that are delivered by one of the parties and its team members.
While the extent of interfaces will vary depending on the project and its scope, and how it is packaged between contractors, there will always be significant interfaces and commonalities that need to be managed across the different contractors. The effort required to manage those commonalities is too often underestimated during the planning / tendering phase and as a consequence, the roles required in the project team are overlooked, and the project start-up and detailed planning does not account for those activities. This creates substantial inefficiencies and can sometimes jeopardise the project.
Certain activities and functions will thus have to be planned and resourced to ensure that the common aspects of project realisation are properly addressed. Some of those activities and functions will actually require a transverse role across the teams of the various contractors that are party to the consortium or joint venture. Those are typically: project control, interface management, some aspects of engineering and sourcing standardisation, and some aspects of logistics, construction and commissioning coordination.
The need for transverse coordination of projects executed in contractor consortium or joint venture is too often underestimated or identified too late in the project. It is an important investment specifically at the project setup stage to ensure that the Project Director will remain fully in control of the project and so that each party has clear visibility on project and individual performance. Proper thought needs to be given to the practical organisation of this transverse team. Read our new White Paper 2020-09 ‘How to Organise Projects Executed in Contractor Consortium or Joint-Venture’ to understand better what needs to be done in this instance.
If you can’t access the link to the white paper, copy and paste the following link in your browser: https://www.projectvaluedelivery.com/_library/2020-09_Organise_projects_in_Contractor_consortium_or_JV_v0.pdf
