Powering the Project Enterprise Into The 21st Century

The Project Management Institute (PMI) defines an entire body of knowledge (PMBOK) as a call for integration of all aspects of a project to allow total control of such efforts. This paper expands upon this position, and proposes that project-oriented businesses now need to think beyond individual projects, and view all business activities involving all participants as one unified enterprise, the Project Enterprise. This unified view demands that key stakeholders, owner companies and contractors in particular, must deploy an integrated information technology (IT) platform capable of orchestrating the project enterprise. Practical requirements for such a platform are developed in this paper, building on concepts articulated within the PMBOK, and by Rahbar (2000) who argues for the critical need of a comprehensive Web-enabled system for project control. It is further recognized that large, complex, engineered projects are the venue for many independent companies bounded by the rules of their individual contracts. Therefore, the requirement analyses and implementation issues presented here examine needs well beyond just project control. These requirements are the basis for a comprehensive project enterprise IT platform (Orchestra) that has recently been deployed in the marketplace. Issues Confronting the Project World today Key challenges facing project-oriented businesses today are long delivery times, high costs, high risks, constant change, scattered project knowledge, and the need to deliver superior quality. Data compiled by Winch (1997) indicate that on average, time overruns on projects vary from 11-17%. Similarly, cost overruns range from 14% to as high as 88%. The Construction Industry Institute (CII; cited in Rahbar, 2000) also reports that only a third of all projects are built to original plans. These situations are compounded by the fact that in today's world, most projects involve companies from various parts of the world, possibly in remote locations. A project conceived, designed, built and operated by one company in the same geographical region, country, or locality, is a rare exception. Challenges faced by project-oriented businesses cannot be effectively addressed by piecemeal solutions. A fresh perspective that can help transform the industry