Organisation and Governance

Question 1

Governance

Answer 1

Is the process of managing and controlling a project with proper checks and balances at all stages

Question 2

Governance Process

Answer 2

Must take into account the requirements of all key stakeholders to ensure that the project delivers optimum outcomes including those of the project owner

Question 3

The Primary stakeholder

Answer 3

is the project owner and one of its objectives is to ensure that the project is accepted by key stakeholders (not necessarily accepted to/=compromise)

Question 4

How to establish good governance?

Answer 4

The owner can initiate the governance process by setting up an appropriate organisation structure involving relevant stakeholders. Also defining relationships

Question 5

Good governence can be acheved through relationships. What are these defined as?

Answer 5

This relationship can be a defined and applied by
law, by contract or by mutual agreement;

Question 6

Name the two mandatory requirements

Answer 6

Contractual and statutory

Question 7

Name the Discretionary requirement

Answer 7

Steering Committee or Community reference group

Question 8

DACE - R - CRA

Answer 8

Direct, Approve, Certify, Endorse, Recommend, Check, Review, Advise

Question 9

Direction

Answer 9

A direction is a binding and high level control measure
reserved for the most impactive issues during
implementation. (Board of Directors)

Question 10

Approval

Answer 10

• Approval is the most powerful process in the
  governance arrangement & is reserved for major
  financial & technical gateways during implementation.

Question 11

Certification

Answer 11

• Certification is a powerful control involving a
  professional “signing off” (personal or corporate
  liability) that a process or outcome complies with
  contractual or statutory obligations.

Question 12

Recommend/ Endorse

Answer 12

Project stakeholders can endorse or recommend specific actions. However, these proposals are subject to review by higher-ranking authorities who hold the final decision-making power for approval2.

Question 13

Checking:

Answer 13

This process involves a structured approach to documentation and testing, aiming to ascertain the satisfactory nature of a process or deliverable. The findings from checking serve as the foundation for recommendations escalated to higher authorities2.

Question 14

Review

Answer 14

While less formal compared to checking, reviews yield findings and conclusions that may necessitate further checking or testing

Question 15

Advice

Answer 15

External entities or internal stakeholders can furnish advice; however, the project team retains the autonomy to either integrate the advice or disregard it based on their evaluation of associated risks and benefits2

Question 16

Cost and Impact Relationship

Answer 16

The relationship between impact and cost in engineering projects is directly related to the timing of changes within the project lifecycle. Early in a project, the impact of a change is high, but the cost is low. As the project progresses, the ability to make changes diminishes, resulting in a lower impact, but a higher associated cost

Question 17

is it important to include governance gateways along the
delivery path of the Project?

Answer 17

The module posits that incorporating governance gateways throughout the project lifecycle is paramount for effective change management34.
●
These gateways represent checkpoints where obtaining approvals or certifications is essential before transitioning to subsequent project stages.

While governance gateways are deemed indispensable, an excessive number of gateways can give rise to bottlenecks, thereby impeding project progress5

Question 18

Mitigate bottle neck with delegation by?

What it is, what it involves, extra

Answer 18

Delegation entails the transfer of authority for specific decisions to lower echelons within the organizational structure5.
●
This may involve empowering individuals to grant approvals or certifications for matters up to predetermined thresholds concerning value, risk level, or complexity5.
●
The efficacy of delegation hinges on carefully evaluating the experience level of those entrusted with the delegated authority, ensuring well-informed decision-making5

Question 19

How can an organization determine the level of stakeholder engagement needed to achieve project objectives?

Answer 19

By using a stakeholder map and a risk assessment process, the organization can engage stakeholders based on their importance to the project’s success. Work breakdown structure

Question 20

What is alliance contracting?

Answer 20

Answer: Alliancing is a method of procuring, and sometimes managing, major capital assets. Under an alliance contract, a state agency contractually works collaboratively with private sector parties to deliver the project.

Question 21

Question: What types of projects are alliance contracts usually used for

Answer 21

Answer: Larger, more complex, and high-risk infrastructure projects with capital costs exceeding $50 million

Question 22

Do external or internal stakeholders have more influence?

Answer 22

Internal stakeholders typically have more defined governance compared to external stakeholders

Question 23

What is a contract organisation

Answer 23

The owner has individual contracts with various parties (designers, contractors, advisors)

Question 24

What is a conventional project management?

Answer 24

Individuals representing entities have organizational or personal relationships within the project structure.

Question 25

Does the Project Manager have to adopt
all the proposed recommendations or
resolutions put forward by
external Stakeholders?

Answer 25

*The comments from an external stakeholder may be
taken by the Project Owner as an opinion to be
considered on its merits and adopted or not based on a
judgement of associated risks and benefits.
*However, the external stakeholders must be advised of
the decision to adopt or not and be given reasons for
this.

Question 26

What are some ways a project owner can manage external stakeholders? (3)

Answer 26

1.
Forming a steering committee that represents various interest groups.
2.
Engage stakeholders based on their level of importance to the project.
3.
Clearly communicate decisions related to stakeholder recommendations, whether they are adopted or not, along with reasons for those decisions.

Question 27

What is conflict of interest?

Answer 27

A situation where an individual’s personal or corporate interests are different from those of the project organization or others in the organization, potentially adversely affecting the project

Question 28

What is a steering committee?

Answer 28

Steering committees, comprising representatives from various stakeholder groups, can be formed to handle multiple stakeholders with similar interests more efficiently. These committees act as a reference point for the project organization and their decisions can significantly influence project decisions or direction, depending on the committee’s importance

Question 29

How can conflicts of interest be managed in a project?

Answer 29

1.
Addressing them in contractual obligations.
2.
Having committee members sign confidentiality and conflict of interest statements.
3.
Being aware of how individual behaviours can affect the project, even without an obvious conflict of interest.

Question 30

Difference between a percieved and actual conflict?

Answer 30

An actual conflict of interest involves a genuine conflict, while a perceived conflict arises from the observation of external parties who believe a conflict exists, even if it might not

Question 31

What is matrix managment:

Answer 31

Matrix management, a style where individuals report to two superiors (one functional, one operational), is utilized in project management to leverage individual skills effectively

For instance, an engineer might report to both the Chief Engineer (functional) and the Project Manager (operational).

Question 32

Do functional or operrational reporting hold more weight:

Answer 32

●
Typically, the functional reporting relationship holds more weight due to the functional manager’s control over compensation, evaluations, and promotion

Question 33

What should project plan include

Answer 33

roles and responsibilities;
Authority levels;
Dispute resolution method;
Reporting obligations.
Reference documents (contracts, agreements, statutes)

Question 34

What is an example of a discretionary governance control measure?

Answer 34

A steering committee or community reference group, which provides opinions to ensure the project is generally satisfactory.

Question 35

what is the difference bewteen:

Contractual Obligation

Informal Obligation

Statutory Obligation

Project owner’s descretion

Answer 35

Contractual Obligation: This refers to a legally binding duty that arises from a written or oral agreement (a contract)

Informal Obligation: Unlike contractual obligations, informal obligations are not legally binding. They stem from understandings, expectations, or promises made between parties, but without the formality of a contrac

Statutory Obligation: This type of obligation is imposed by law (legislation or statutes). All parties involved in a project must comply with relevant laws and regulations, regardless of any contractual agreements

Project Owner’s Discretion: This refers to the authority and flexibility the project owner has to make decisions within the framework of the project’s objectives, agreements, and applicable laws