Project Management Practices and Construction Company Performance - Prof. Sharma, Papers of Leadership and Team Management

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Running head: PROJECT MANAGEMENT & PERFORMANCE 1 Project Management & Performance Student Name Course Name Professor Name July 20, 2020

Abstract The aim of this paper is to examine the Project Management influence on selected Nigerian construction companies’ performance along with their relationship. The fast-economic growth has boosted global demand for services and infrastructure construction. Sustainable development and globalization are the 21st century 's latest 'Zeitgeist.' An effective project management methodology is necessary to conduct such projects effectively and to achieve the valuable goal of the projects during their lifetime. The primary objective of this research is to measure the influence on organizational performance of project management practices and to explore the important relationship of technical success & quality project management. The research design of a survey was adopted, and questionnaire copies were administered using an excessive stratified sampling methodology to 272 workers in the engineering department and project of the selected construction firms. The data gathered were analyzed by descriptive statistics, moment correlation of Pearson 's product, and linear regression model. The questionnaire had been validated using the validity of the content. The questionnaire 's reliability has been confirmed by evaluating the data obtained correlation coefficient at two separate periods. The research reveals that construction companies are adopting project management techniques to improve performance. It's often recommended that more consideration be paid to organizing practices of project management as per their influence and impact and that more focus be put on risk management and communication through the development of plans for efficient communication and risk managing during project execution. Keywords: Management, Project, Performance & Construction firms

success is measured through their capability to draw on the latest technologies and adapt it to determine organizational processes to encounter their stakeholders' constantly changing demands. Project management involves the initiation, planning, implementation, controlling, monitoring, in addition closing process of project management, gradually over the life cycle of the project to satisfy the stakeholders & constituents as per the specified requirements of the project. Stakeholders have direct interest in the project, whereas the constituents of the project are the ones who will be impacted by the project's penalties. Usually, project success is generated while the stakeholders, as well as constituents, demonstrate their mutual satisfaction according to the degree of their involvement. Project management performs a key role in organizations, and exchanging information is a valuable activity because it allows participants in the project to retain social capital, promote innovation, and maintain high performance. The management supposed to have been on top of driving things and also altering the taste of their customers through incessant improvement, therefore astonishing them with new goods or services. With technology advancement, consumer complexity, and growing focus on globalization, project managers tend to be looking for new management enterprises approaches. The approach of project management does well in the creation, acquisition, and transfer of information and behavioral modification to incorporate new knowledge. Although practitioners tend to argue that PM is often a financial measure which can't solve complex problems related to organizations management, it highlights systematic problem-solving, trying out new ideas, getting experts' experience. In this paper, we examine how organization performance & project management associated to one another and how this relationship approach of project management that can be implemented to gain the company competitive advantage.

Problem Statement There are many project managements practices within the domain of a given project. Many ways in which these activities are carried out emerge and are recognized as everyday practices. The need to address certain social and environmental issues, as a specific company may face, can participate to the implementation of such practices in project management. Project management personnel may also follow and conform to practices of other project management for reasons that may not, indeed, be relevant to project success. Therefore, some practices are conducted in project management but not accepted as practices in project management. The requirement to accomplish successful projects, therefore, requires to follow best practices. The performance of an organization's projects that vary from some other projects performance with same characteristics but controlled through some other organization. The type of practices of project management undertaken through various organizations to achieve success of a project can also affect difference in project performance. Therefore, the importance of these differences in project group performance is required to assess the characteristics of successful project management activities. Then the need to encourage best practices & take another look at those challenging the building projects' success would be important. The Study Objectives This study's main objective is to evaluate the relationship and influence of project management with organizational performance and effect on the selected construction company performance in Nigeria. The precise objectives framed for the research; i. To examine the impact of practices of project management on organizational performance.

new category of organizations, consisting of those who manage project-based organizations all or almost every organization. Taking into consideration this new situation that most recent companies are facing, their managers do need to be very interested in achieving project performance management. The form of construction seems to be that the manager sometimes has to act swiftly with his initiative, and he needs to be encouraged to do that. He should have full control of the job to be effective and become the one voice which advocates for the project. PM is an executive leadership task that provides the consistent force that brings the different elements together into effort of a team to complete the project. Large projects should usually have a permanent project manager, which is a top management representative of the organization, or who is accountable to a company's senior executive. Projects are organizational practices that occur in organizations for various purposes, such as business demands, strategic needs or opportunities, advancements in technology that legal necessities. They have a direct impact on the success of the organization. Despite this reason, the regular subject of research is still project performance, projects, and their antecedents. Moreover, Mir, Pinnington (2014) articulated that Project management is the process of business that is carried out in projects. The process of project management documentation facilitates communications about the tasks, objectives, results, and responsibilities of the process of project management, and explains its sub-process. And despite the development of PM systems, processes, and tools, the success of the project has not significantly improved. This problem increases concerns about efficiency as well as the value of the PM & PM method. The study tests showed that project management performance has a beneficial impact on project progress, including its contributing variables (Mir & Pinnington, 2014, pp. 202–217).

Most performance of a project can be attributed to the project manager's personal characteristics (PM). Some researchers point out that PM-based behavioral factors like attitudes are based on the performance of the project. There is, therefore, no uniformity or consensus about the methods of measuring the personal characteristics of the PM. Project Success There are various methods and criteria for evaluating project success and development; the most common is founded on the alleged "iron triangle," which includes time, quality, and cost principles. Therefore, a project that does not excessively step ahead of the initial budget would be deemed successful in meeting the schedule and meeting the criteria set by the stakeholders. As per Tomomitsu et al. (2018), Information technology in every firm plays a major role in helping the project manager in the project teams management in terms of improving the process of communication and building trust and thus leading to project success (Tomomitsu, Carvalh, & Carvalho, 2018, pp. 354-369). As contemplations are made about project management performance, several different methods are likely to be identified and used. The iron triangle process is among the best traditional ones. This suggests that the projects are distinguished by three key factors that must be done together: cost, time, and scope. Further, the scope is a work performed to achieve the specific features and functionality of a service, product, and result. Furthermore, the method of PMI cost management as the resources cost that used to achieve activities of project arising from decisions of project on the corresponding cost of using, sustaining, and promoting the project's service, product, or outcome and at last time management processes required to facilitate the appropriate project completion. According to Kostelac et al. (2011), There are various alternative frameworks for project success measurement, which involve measuring: the implementation process success, perceived project value, and customer satisfaction with the outcome. Thus a better

and social and ecological compatibility, and that ties these two concepts in constant equilibrium. Construction Projects Criteria of Project Performance The project success in an organization is an abstract term, and the meaning is not widely accepted. On the basis of a standardized project success measurement of ten parameters to assess the correlation among success of project as well as the leadership style of the project managers. Such ten criteria used primarily to evaluate the performance of information projects, organizational projects, and engineering projects. Yusof et al. (2008) state that criteria concerning project performance are the safety performance of the project. For the project safety record was considered excellent. The project manager might apply the company policy as regards safety standards. Health & safety inspector named during project execution is required. Project managers who've been interested in expanding their knowledge of good practices of project management will, therefore, have a greater influence on the performance of a project than a conventional project manager (Yusof, Modifa, Bakar, & Razak, 2008, pp. 1001-1015). Moreover, criteria of Project success differed in fields, and therefore indicators of health & safety, cost, time, profitability and efficiency, technological performance, accessibility, satisfaction, productivity, environmental sustainability classified as subject measures and objective measures,' and emphasized in particular for construction industry build/design projects. Accordingly, the criteria of Project Performance for construction projects consistent with the construction project attributes. Test of Hypotheses H1: Practices of project management brought out through the selected construction companies.

Table 1: Correlation table between practices of project management & organizational performance: Correlations Correlation at the 0.01 level is significant. As per the above calculations, the sum of the coefficient of correlation among practices of project management & organizational performance is equivalent to 47.3% and realizing that level of significance is less than 5 percent. Here relationship of the practices of project management & the performance of the organization is positive. This indicates that a 1% change in project management activities would bring about an improvement in the organizational performance of 47.3 percent Table 2: Test of regression analysis of practices of project management & performance of construction firm Model Summary Predictors: (Constant), practices of project management The R = .773 or 77.3 percent regression coefficient shows that there is a relationship between the dependent and independent variables. The determination coefficient R2 = 0.624, which indicates that the practices of project management explain 62.4 percent of the

Based on the above calculations, the amount of the Quality Project Management coefficient is equivalent to 49.9 percent, and in view of that level of significance is less than 5 percent. Then can suggest that Quality Project Management and Technical Success have a positive relation. This suggests that a 1% decline in quality project management would lead to a rise in technical success of 49.9 percent. Table 5: Test of regression analysis of Technical Success and Quality Project Management Model Summary Predictors: Quality Project Management, (Constant) R = .899 or 89.9 percent regression coefficient suggests that there is a relationship between a dependent and independent variable. The determination coefficient R2 = 0.849, which indicates that Quality Project Management explains 84.9 percent of the variability in Technical Success. In the table the modified R-square indicates that the independent variable (Quality Project Management) influences the dependent variable (Technical Success) by 74. percent. This demonstrates that Quality PM in Construction Company is accountable for the technical success. Table 6: Coefficients Dependent Variable: Technical success

For Quality PM, the determination coefficient is positive (1.733) & seems to be highly significant (0.002) in confirming that technical success is brought out well. The 0.000 p-value is below the 11.257 t-statistical value, & the 0.154 standard error value. This ensures that an improvement in the Quality Project Management unit would result in 1,733 improvements in Technical success. Additionally, null hypothesis is dismissed, and accepted the alternative hypothesis, which means that there's a substantial relationship among technical success & quality PM Conclusion Project management consider as the planning, assigning, managing, & controlling process of the resources of company to accomplish a project inside budget and time, in a secure manner and compliance with the quality and technical requirements specified. The PM objective is to apply techniques and skills to the organization as well as control all project aspects and enhance resources use to create an elegant and adeptly built facility that will meet the purpose, time, cost, and future maintenance requirements of the client. This study finds that if practices of project management well applied, there is a high possibility of producing a practical project which will guarantee a proper success for the business. This is connected with the subsequent increase in production costs. The decline in the number of companies of local construction that have been operating actively in recent years may be due to increasing production costs as well as other environmental impacts. In this modern era, leading companies are those who have leaders that have been capable of discomfited their companies into a series of projects whose performance is evaluated as well as assessed before being incorporated into the system. It’s the foundation of effective leaders who can't able to push whole companies that are expected to go under. The approach allows them to assess performance using projected schedules or budgets that are very simple if individual targets have been met in comparison of measuring sales or subjective qualitative variables. The study

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