2| How to fail in a construction project
Failure blueprint (Story no.2) — Operator Assignment & Design in progress
In case you don’t know this story is part of a serial of stories, you can visit previous stories through the links below
Now let’s continue
Previously we discuss the business case reason of construction project failure, Let’s now check another two reasons,
2- Operator Assignment
During operator selection usually finance department cannot evaluate each operator requirement costs, So the agreement is prepared, signed and every one is happy because of this festival, After while “Usually once the designers hooked up and engineering team involvement” The Naked truth start to appear.
3- Design in progress
Although the team member has all design constraints but it’s happens that in order to complete the project design you have to break one of those constraints especially if budget still on rough order of magnitude or rule of thumb calculation and no hope to change it.
Usually the best approach of design in this case is “ Design to cost” contract where each step or idea is evaluated on cost basis regardless of any other thing.
But what if it is not applicable to reach the required budget?
Answer: At this time the business owner has to validate the business case against the current situation and it is his decision to continue based on new cost estimation or to terminate the project.