Shortening Project Design Horizons: A Remedy for Stalled Projects
The CEO of Iran Water and Power Resources Development Company, citing financial constraints, called for shorter horizons in designing infrastructure projects and phased implementation to prevent projects from remaining unfinished.
According to Ambassador Arjan's report, citing Iran's Water and Power Resources Development Company, Daud Kamgar, CEO of this company, at the 20th International Project Management Conference, referring to the impact of sanctions, war, equipment supply restrictions, and economic fluctuations on the implementation of infrastructure projects, said: "Current conditions have challenged the traditional assumptions of project management and made decision-making in an environment of uncertainty one of the requirements of project management."
Emphasizing the necessity of changing the way projects are defined and implemented, he stated: In the conditions of limited resources, large and long-term goals should be divided into smaller and prioritized parts so that each part can be used independently and create value after completion.
The CEO of Iran Water and Power Resources Development Company also considered value engineering as more than a technical tool and a management requirement in critical situations and emphasized the necessity of maximum use of the investments made and available resources.
Referring to the limitation of financial resources in the implementation of construction projects, Kamgar said: defining projects with long-term horizons and a large volume of executive operations can lead to half-finished projects; In such a way that even short-term and medium-term needs are met with difficulty.
According to him, shortening the project design horizon and their phased implementation can provide the possibility of allocating resources to more urgent needs and prioritize the completion of the necessary parts of the plans.
He also emphasized the necessity of reviewing the technical specifications of the projects while maintaining the technical principles and quality of implementation and said: In special circumstances, one should avoid imposing unnecessary requirements on the projects and postpone the completion of the less necessary parts to the appropriate time.
The need to review project risk management
Referring to the role of risk management in the implementation of infrastructure projects, the CEO of the Iranian Water and Power Resources Development Company stated: The risk of projects is not limited to the delay of contractors or the increase in the price of materials, but factors such as war, sanctions, financing, disruption in the supply chain, access to equipment, technological changes and geopolitical developments should also be considered in decisions.
Emphasizing the need to increase flexibility in project management, Kamgar added: Decision-making mechanisms should be modified in such a way that it is possible to make timely decisions and accept calculated risks, and that project managers have the necessary support in the face of unforeseen circumstances.
He also emphasized the need to avoid enlarging the dimensions of projects and said: In the conditions of war and limited resources, the criteria for the implementation of projects should be to meet real needs, not to compete to build bigger projects or achieve performance records.
Kamgar said that another way to improve the implementation of construction projects is to facilitate the transfer of equipment, facilities and financial resources between projects and executive bodies and said that the existing regulations in this field need to be reviewed so that the existing capacities can be used more quickly and flexibly.
He also considered attention to human resources and support of project managers to be effective factors in the continuation of projects and emphasized the need to strengthen the motivation of employees in difficult situations.
In summing up his views, the CEO of Iran Water and Power Resources Development Company listed the revision of project goals and priorities, shortening the planning horizon, effective use of value engineering and risk management, dividing large projects into exploitable stages, and converting non-productive assets into resources that can be used for development among the requirements of managing infrastructure projects in the current situation.