Understanding Project Governance, Delivery Methods, Contracting

This report provides an overview of project governance, gate keeping, stage gate approval, and front-end loading methodologies. It examines engineering project delivery methods, including Design-Build, Design-Bid-Build, and EPCM, highlighting the stages at which construction contractors become involved. The report further discusses the significance of the contracting approach to project success or failure, evaluating the importance of contractor involvement in project coordination, resource management, and problem-solving. It emphasizes that while no contracting approach guarantees success, a well-defined contracting process can significantly contribute to project quality and the achievement of project goals by ensuring clear responsibilities, effective integration of activities, and proactive resolution of technical, legal, and social issues.

Project Control

Contents
Question 1:.................................................................................................................................2
Project Governance:...............................................................................................................2
Gate Keeping:.........................................................................................................................2
State Gate Approval...............................................................................................................2
Front End Loading..................................................................................................................2
Question 2:.................................................................................................................................2
Design Build:..........................................................................................................................2
Design Bid Build....................................................................................................................3
EPCM:....................................................................................................................................3
Question 3:.................................................................................................................................3
References:.................................................................................................................................4

Question 1:
Project Governance:
The project governance is the framework for initiating the decision making process in
completing the project. The efficiency of the decision making process can be enhanced with
the project governance process by providing relevant authority for taking the decision with
respect to project activity schedule (Aschman, 2015). The quality of the deliverables can be
improved by focusing on the decision related to the working platform of the project.
Gate Keeping:
The gate keeping is the activity which is used for setting criteria for the completion of each
phase or gate of the project. The measure of the outcome of each gate helps in analysing the
efficiency of the criteria which is undertaken for completing one phase of the activity.
State Gate Approval
The project governance structure helps in achieving the state gate approval on the basis of the
deliverables provided by it. The output of the work process undertaken should achieve the
expected outcome of the project to get clearance in the form of state gate approval.
Front End Loading
The front end loading methodology helps in improving the quality of technology used for
completing project, association between the working team members, and emphasising on the
crucial or critical factors which should be completed on time for the success of the project
(Michalick, 2010).
Question 2:
Design Build:
This method is best suitable for keeping the fast track of the project. Architects and engineers
are appointed for completing the project on time. The emphasis is given on estimation of the
scope, engineering drawings, and specification in the requirement of resources and
equipment. The complexity of the project can be reduced by compressing the project
activities to deliver the project faster. This methodology is used for the project which has to
be completed with the limited scope of time. The cost of completing the project is relatively

costlier (Merrow, 2011). The emphasis should be given on the selection criteria choose for
building the team because it helps in completing the project on time with best quality of it.
Design Bid Build
The Design bid build delivery method is responsible for managing different entities related to
different phases of the project such as designing, construction, and verification and validation
phase. The overlapping of the process is avoided. The bid scope of the delivery process helps
in completing the project with minimum cost required for the project. The agreement is
signed with the contractor who provides limited budget for completing the project on the
scheduled time. It is best suitable when the processes of the project are not well-defined
among the coordinating team members. The risks associated with the quality of the project,
over budget of the project, and completing the project on time can be minimized to very high
level. It provides new opportunity to the contractor to develop good and healthy relationship
with the top executives of the project. The variation in the change requirement can be handles
efficiently by this project delivery method.
EPCM:
Engineer Procure Construct method of project delivery is mainly used by the manufacturing
industries. The contractor directly communicates with the project owner in the methodology.
The contract is responsible for all the activities of the project such as managing procurement
of equipment and resources on the site location, estimation of the cost, and providing
designing and construction process. The activities are successfully implemented after the
direct verification and validation from the project owner. The planning of the schedule helps
in completing the project on time with the quality outcome which received as the final
product of the process. The integration of the activities from the single handed contractor
helps in completing the project on time. The risks associated with the project can be
minimized with the help of EPC procedures.
Question 3:
The contracting approach is important for the project success or failure. The complexity of
the project can be resolved with the agreement with the contractors and sub-contractors for
completing the project within budget and mentioned time line. The involvement of the
contractor helps in managing coordination and integration between different project

activities. It provides the equipment and the resources requirement for the project on time .
The success of the project can be defined by settling down all the legal, technical , and social
issues by signing agreement with the contract. The contractor develops the flow of activities
for preventing it to go wrong and complete the project on time. The signing of the contract
helps in providing responsibility to the contractor for completing the project on time within
the approved budget. The employees of different skills and talents are hired on the contract
basis for providing quality output (Haapio, 2007). The leadership quality of the contractors
makes the integration of activities and inspired the team to deliver their effective report on
time. The strategical approach of the contractor helps in resolving social, legal, and the
technical issues which exist with the working of the project. The planning of the schedule
helps in completing the project on time with the quality outcome which received as the final
product of the process. The goals and responsibilities of the project team should be clearly
defined. The project can be successfully completed without the contracting process but the
project can be completed with quality only by the association of contracting process (Murray,
2014). The failure of the project is occurs mainly due to no clarity in the organization mission
or goal. The contracting process helps in getting clear understanding of the project goal
because of the periodic meeting arranged with the project top executives. The success of the
project can be measured with the effective effort of the contractor to get quality output at the
end of the project cycle completion. The root cause analysis of the project helps in predicting
the cause of project failure (Mansukhani, 2015). The contractor helps in achieving the robust
success of the project by resolving all the errors which are done by the contractor in
completing the project. The efficiency of the project can be measured by the quality efforts
applied by the contractor and sub-contractor in completing the project.
References:
Aschman, A. (2015). Establishing a fit for purpose project system. 1st ed. [ebook].
http://www.ipaglobal.com/establishing-a-fit-for-purpose-project-system [Accessed 26 Sep.
2017].
Murray, S. (2014). 65% of the megaproject fails, find out why and how to do them right. 1st
ed. [ebook]. http://www.infrastructure-intelligence.com/article/sep-2014/65-megaprojects-
fail-find-out-why-and-how-do-them-right [Accessed 26 Sep. 2017].

Haapio, H. (2007). An ounce of prevention-contracting for project success and problem
prevention. 1st ed. [ebook]. https://www.pmi.org/learning/library/contracting-project-
success-problem-prevention-7258 [Accessed 26 Sep. 2017].
Mansukhani, G. (2015). Difference between EPC and Design build delivery. 1st ed. [ebook].
https://www.lexology.com/library/detail.aspx?g=7e8d69d7-b936-4891-aab8-d69690c3cc71
[Accessed 26 Sep. 2017].
Michalick, I. (2010). Structuring a PMO with the help of front end loading and PMBoK
guide. 1st ed. [ebook]. https://www.pmi.org/learning/library/structuring-pmo-front-end-
loading-6802 [Accessed 26 Sep. 2017].
Merrow, E. (2011). Industrial megaprojects: Concepts, strategies, and practices for success.
1st ed. [ebook]. file:///C:/Users/acer/Downloads/5118-22992-1-PB.pdf [Accessed 26 Sep.
2017].