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Economic Analysis: Theory and Practice
 

Resistance to changes in project management

Vol. 14, Iss. 29, AUGUST 2015

PDF  Article PDF Version

Received: 3 February 2015

Received in revised form: 28 April 2015

Accepted: 12 May 2015

Available online: 28 August 2015

Subject Heading: MATHEMATICAL METHODS AND MODELS

JEL Classification: 

Pages: 61-68

Mel'nikova E.F. Saint Petersburg State University of Economics, St. Petersburg, Russian Federation
elena.f.melnikova@gmail.com

Importance In project development, correcting the design and estimate documentation takes a lot of time, which is usually disregarded or merely estimated through expert review during initiation and planning the design and survey works. However, both the contractor and the customer should understand and assess risks arising from making changes in overall project output and project components, the influence of the changes on the results of future phases of an integrated project.
     Objectives The purpose of the research is to define a method to assess the parameters of project implementation, taking into account the reserves for making changes.
     Methods I analyzed the instances of influence of low-quality design and estimate documentation on various stages of project life cycle; built a model of cause-effect differentiation of corrections in the documentation; formalized the dependence between the probability of project implementation and parameters of implementation (time, cost, and labor).
     Results I offer a correction resistance method of a project. It implies improving the quality of planning the design and survey works and integrated projects. The method rests on the dependence between the probability of implementing a project with preset parameters and the volume of reserves.
     Conclusions The proposed method enables to move to a qualitatively new level of communication between contractors and customers. The basis of the method is reservation; its volume is established based on statistical information on work performance in projects, taking into account the changes in project output made for a number of reasons.

Keywords: design and estimate documentation, project management, risk assessment, reserve, correction resistance

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