Leveraging Dependency Structure Matrix (DSM) and System Dynamics in Combination to Reduce Project Rework

Planning and managing large-scale projects is non-trivial, as evidenced by the large number of projects that exceed budget and schedule targets. In many cases, rework is a key factor in project delays. Accurate rework prediction is challenging – even when the tasks responsible for rework can be identified, the likely project impact is difficult to determine. The work described in this paper examines how Dependency Structure Matrix (DSM) techniques can be leveraged to support and improve System Dynamics applications. It demonstrates how the DSM can be used to identify tasks that are likely to drive rework within a project and exploits System Dynamics to quantify the associated financial and schedule downsides. Using the context of current oil and gas projects, the challenges of managing dependencies between multidiscipline teams working to identify, evaluate, and select a development concept are examined. An overview of DSM fundamentals and approaches used to help with the management of these dependencies is presented. Next a discussion of how System Dynamics can both benefit from DSM analysis and resolve known limitations are considered. The natural integration of DSM and System Dynamics for management of project dependencies is summarized and used as a basis for suggesting new research agendas.