Luận văn key factors in the success of the management of building construction projects in ha noi the case of splendora

Lunghwa University of Science and Technology Key factors in the Success of the Management of Building construction projects in Ha Noi — the case of Splendora Researcher: Hoang DucHien

Lunghwa University of Science and Technology

Key factors in the Success of the Management of

Building construction projects in Ha Noi — the

case of Splendora

Researcher: Hoang DucHien

Supervisor 1: WANG TSUNG — CHENG (Prof.)

Supervisor 2: NGUYEN PHU HUNG (Ph.D.)

Tlanoi, August 2018

MINISTRY OF EDUCATION AND TRAINING

INTERNATIONAL SCHOOL — VNU

MASTER THESIS OUTLINE Major: Business Administration Branch code: EMBA

Key factors in the Success of the Management of Building construction projects in Ha Noi-— the case of

Splendora

STUDENT: HOANG DUC HIEN INSTRUCTOR 1: WANG TSUNG — CHENG (Prof.) INSTRUCTOR 2: NGUYEN PHU HUNG (Ph.D.)

Hanoi, August 2018

Lunghwa University of Science and Technology Approval Certificate of Master's Degree Examination Board

This is to certify that the Master’s Degree Examinations Board has

approved the thesis “Key factors in the Success of the Management of ĐuildingconstructionprojectsinHaNoi-thecaseofSplendora”published by

Mr Hoang DucHien in the Master Program of Graduate School of

Department of Business Administration

Master's Degree Examination Board

Board Members: Prof PhD Tsan Eric

Assoc Prof PhD Nguyen Van Dinh

Dr Doan Thu Trang Advisors : Dr Nguyen Phu Hung

Prof PhD Wang Tsung ~ Cheng

Chair + Prof PhD, Tsan Eric

Date : 2018 /11 /24

Hanoi, August 2018

University: Lunglwa University of Soienee and Technology

Graruals School: Deparlinont of Business Adsministration

Graduate Student: HoangDucHien Advisor: Nguyen Phu Hung (PhD)and

Wang ‘Tsung — Cheng (PhD) Keywords: Project management, Satisfaction, Driving factors

‘This master project is about Splendora’s Master Construction Project Splendora

project was conceived and plamod in a context of quick growth in rosidential arcas of

Hanoi Our survey on the opinion of project managers about factors that may contribute

to the success of the project reveals some important hints on project management policy for the company show 4 key findings First is the perforinarec of a project is highly dependent to the competency of the project manager, the competence of project management team, Second is criteria relating to company’s organizational structure and culturaldohaveeffectstotheprojectsuccess Thethirdisexternalenvironmentinfinence — the

outcomes ofproject.

ACKNOWLEDGEMENT

Ttis a grea pleasure for me lo work wilh this disserlation F would especially like lo thank all teachers, professors for all knowledge, skills and information I received It is very wonderful chance to work with so excellent and enthusiastic professors

Tam also very grateful lo my tutors, Professor Nguyen Phu Hung (PHD) and Wang Tsung Cheng (PhD), for his support I appreciate all his time and efforts to encourage and guide me during my dissertation wating

I would like to thank my colleagues, my customers for helping me to support me information to complete this dissertation and answer the questionnaire for my research

This thesis cammot be done wilhout thet help

Finally, | would like to thank and dedicate this dissertation to my family for the unconditional support, who consisteucy motivated me to complete the thesis

Best regards,

Thank yout

Hoang DucHien

1.1 Presentation of SplendoraConstruction Project

LLL Introduction of Splendora Residential Building Construction Master

1.5 Relevanoc and Infcrost ofhisrescarch ieeceeceoeeeeee.14

2.4 Projeolsneccss and Pactors leading to theProje 18

241 Projecimamager Rictors à sensei DL

3 METHODOLOGY

413 Peformanec of sub-projects of Splendora Master Construction Project31

414 Assessment on the Correlation Relationship and the Importance of FactorsrclatingtoprojectinanagerstothcoverallProjectSuccessand4project

ˆ_

415 Assessment on the Correlation Relationship and the Importance of

Factors relating 1o project management team Lo ovarallProjcelSuccess *⁄?

416 Assessment on the Courelation Relationship and the Importance of Factors relating to organization to theProject Success 39

417 Assessment on the Correlation relationship and the Importance of Factors relating to extemal environment to {heProjeetSueeess 42

421 uptications of findings of factors relating toprojecumanagers 46

422 Implications of findings of factor relating project management teamd9

423 Implications of fineings of factors relatingtoorganization s0

424 Impfiostions of Rnđings of iaetors relating to external environment 52

S33 Enhance the competency ofbrojeot managsrs 62

534 Fuulmcing the competency of projactmanagement team 64

LIST OF PROPOSITIONS

Proposition} ‘I’heperformanceofaprojectispositivelyeorrelatedtocompetencyoftheproject

Tropositiem2:Theperforretccolaprojeetisposilivelyeortclatcdtocornipetcneyoflicprojecf Tianagemenffeaim «uccciroireiireirriireeirirrarrrarrrrnrarrro 2Í

Proposition 3: ‘The performance of a project is positively correlated to suppart

Proposition 4: The performance of'a project is positively correlated to the stableness

LIST OF TABLES

Table 1: Dascriptionofsxperience ”Ă

‘Table 2: Description of educational backgrounds ofpeoplessurveyed 29

‘Table 3: Description of number of time a project manager is trainedayear 29

Table 5: Parties where the respondersbelongto sec 3U

‘Table 6: Proportions of projects finished within thebudgetconstraint 31 Table 7: Iroportiors of projcets ñmishzd withinglannedseledtlc 31 Table & ProjectQualityAssessment "” Ô.Ì Table 9: Stakeholders’ Satisfactory degrees withprojectresults 32 Table] 0:Testofvorrclationbetweencachprojectmanager’ scharactcristicsand4projectsucce

‘rable 11: How importance is the Political and cultural awareness to the

Table 12: How important is thedecision-akingability ào 3đ

‘Table 13: Llow importance is the Communication andnegotiationskill 34 Table 14: How importance is the Teammbuildingskilt 35 Table 15: How importance is the Conflict management and dispute handling ability 35able 16: How importance is the ability of motivating subordinates to work and

Table 17: How importance is theProftssionalcompctcney c.e 3

‘Table 18: Test of correlation between each factors relating to Project

ManagementTeamto the Overall Project Success and 4 projectsuccesscritsria 3⁄7 Table 19: How important is the vwilingntess totakeaccourtabilify 37

‘Table 20: How important is the Competitiveworkingstyle 38 Table 21: How impartant is the Ability lowork indepondently 38 Table 22: How important is the Ability to workin team 39

‘Table 23: ‘Test of correlation between each factors relating to organization to the

OverallProject Snecess and 4 projectsuccesscriteria 39 Table 24: How important is the Organizational culluresandStylc 2 40 Table 25: How important is the Organizationalinternalcommunication 40

Table 26; How important is theOreanizationalStructure

‘Table 27: How important is the OrganizationalProcessAssets

Table 28: How important is the Organization’ scuvirormontalFactors

Table 29: Test of Correlation relationship between each factors relating to

externalenvironment to the Overall Project Success and 4 projectsuccesscriteria

Table 30: How importance is (he Governmental policics on construction

andinftasiructtesedtOS

Table 31: How importance is theBusinessenvironment

Table 32: Tow importance is theSocialCommmities

Table 33; How importance isthe Legislation

‘Table 34: How importance is the Natural conditionsandevents

Table 35: Possible connection between the financial size of the projects and

LIST OF FIGURES Figuee 1; A landscape illustration of the Splendora mega building construction project

9

Figure 2: Fstimation of population of Hanoitill 2050 H Figure 3: Number of whan in Hanai in past26ycars 12 Figure 4: The increase of area of uzban landinHandi ccecceceeceeee TÔ

Fige 6; Quadruple Constrainl ofPrjcct8ucvss caro TỔ Figtre 7: An sxample of Measuring projeetsucoessdashboard 3Ú

Figure 9: Managing projcctstakcholderÑiamewok cececeeeeoe SỔ

Figue 10: Devslopinent ofbrojeoftaItagslš non Ổ

1 INTRODUCTION

1.1 Presentation of Splendora ConstructionProject

This master project is about Splendora’s Master Construction Project Splendora project was conceived and planned in a context of quick growth in residential areas of

Hanoi It locates in Hanoi Hanoi is the economic, political, and cultural center of

Vietnam, Hanoi is composed of urban and rural areas The total population of Hanoi is

over 7.1 million people still growing In addition, almost 2 million people commute to Hanoi to work or live temporarily every day Consequently, urban areas will also grow,

expectedly to reach 94,700 hectare in 2030, up almost 30% from the 73,000 hectares in

2020 This leads to up roaring construction demands to meet new requirements of living

conditions for inhabitants Splendora project was conceived and planned in such a

context It locates in one of the most convenient place in the Northern part of Vietnam

and expected to be the core of a 264.13 hectare developing center West of Hanoi In Splendora, inhabitants could enjoy pure air, dreamed spaces from 6.6 hectare artificial

lake, friendly ecological environment to system of flower garden, trees The area also

features a large high class-international school and other functional spaces such as entertainment, shopping areas to bring the best perfect life to citizen here Moreover, Splendora also applies security system of latest technology to protect safety of

inhabitants For such a high stake of the project, the management is critical for the successful achievement of objectives given by all stakeholders involved

1.1.1 IntroductionofSplendoraResidentialBuildingC onstructionMasterProject

Splendoraprojectwasconceivedandplannedinacontextoffastgrowingresidential buildings

in large industrial and commercial cities SplendoraResidential Building Construction

Master Project involves a suburban locating in one of themostconvenient place in the

Northern part of Vietnam and expected to be thecore of a 264.13 hectare developing center West of Hanoi

In Splendora, inhabitants could enjoy pure air, dreamed spaces from 6.6 hectare attificiallake, friendlyecologicalenvironmenttosystemottlowergarden,trees, Thearea

also features a large high class-international school and other functional spaces such as

entertainment, shopping areas to bring the best perfect life to citizen here Moreover,

Splendora also applies security system of latest technology to protect safety of

inhabitants

Figure 1: A landscape illustration of the

Splendora mega building construction project

For such a high stake of the project, the management is critical for the successful

achievement of objectives given by all stakeholders involved

1.1.2 Parties of the Splendora Master ConstructionProject

There are 5 major partners in this large project

1.1.2.1 Vinaconex

With more than 20 years experience and the most skilled workers in Vietnam, Vinaconex has always been known as a leading construction investor in Vietnam The

name Vinaconex has been associated with most modern and nationwide scale such as

Hilton hotel, TrungHoaNhanChinh urban area, Thang Long Avenue.

offices and laboratories in 140 countries, with more than 39,000 employees serving

370,000 clients, including local companies to multinational corporations, operating in

different fields in the world Bureau Veritas Vietnam provides services in the areas of

Quality, Safety, Health and Environment (QHSE), and social responsibility Bureau Veritas Vietnam has had a number of big customers, including SaiGon Pearl, Dolphin Plaza, Vincom, Sunrise City, Big C supermarket chains in the city

Bureau Veritas Vietnam was selected as the construction manager for the firstphase oftheSplendoraproject Thequalityandsafetyofthefirstphase(S0ha.includingvillas,

gardenhouses,apartmentbuilding sandofficebuildings,publicbuildings, kindergartens,

schools) is apriority

Bureau Veritas Vietnam is to ensure:

© Compliance with the standards and regulations of Vietnam and the international isto

be

© Help the project implementation proceedsmoothly

© Construction Coordination: includes Quality Assurance, Progress Control, Technical Assistance andReview

© Design Control: includes Design Verification and Control of Design Changes

© Safty management: includes health, safety, environment and project personnel

training

1.1.2.4 Institute of Building Science andTechnology

Institute of Building Science and Technology (IBST) - Ministry of Construction is theleadingresearch,service,statemanagementandconsultingagencyintheconstruction

industry, established in 1963 The IBST plays as supervision consultant The IBST has participatedinmostnationalkeyresearchprograms,state-levelprojectsandinternational

cooperation The IBST is also the consultant agency (in design, appraisal, supervisionof' construction quality .) for a series of large projects such as hydropower, thermalpower, cement, highbuildings

1.1.2.5 Conico

CONICO also plays supervision consultant roles in this master project CONINCO

is an investment and construction consultancy firm, operating in multidisciplinary business fields and with many companies and large corporations in the world

(Source: Decision of Government approving general Development Plan of Hanoi

capital)

Hanoiisaneeonomie,political.andeulturalcenterofVietnam.attractingalmostone tenth:

of population moving in or commuting to work and live Hanoi is composed of

urbanandruralareas ThepopulationofHanoiissaidtoreach7 | millionpeopleandthis number

is growing year by year Consequently, urban areas will also grow As reported

1⁄2 Objectives of theresearch

The objectives of this research include:

Identifying the critical factors leading to success of thisproject;

¢ The criteria of success applicable for the Splendora projects andimplications

To limit the content of this research, I only discuss the construction stage in this

master project because it’s the most outstanding subject in progress

1.3 Researchquestions

From background described above, the report finds the questions below compelling and need to be answered The overarching question is How fo enhance the success of the

Splendora mega-construction project?

To answer this question, stakeholders need to answer the following questions:

© What does it take to conduct a projectsuccessfilly?

© What are general criteria to measure performance for a project in general, and for a

construction project inparticular

© What are ctitical factors leading to success of aproject?

Afteridentifyingthecriteriaabove,stakeholdershavetoseetheapplicabilityofeach of

criteria in the collection to the case of Splendoraproject

© What are the criteria relevant to the case of Splendora mega-constructionproject?

Due to limit in time and finance, the papers only discusses the construction stage in

this project because it’s the most outstanding subject in progress

1.4 The context necessitates theresearch

Many building construction projects in Viet Nam do not fully comply with planed objectives, causing delays, poor quality, and over cost.

Regarding, to the significance of urban zone developments, any problem with the project will cost the stakeholders millions of dollar ‘Thus, stake holders are concemed

aboul sources which may cause faituros in-project

AccordingtorecentinformationpublishedbytheVietnamConstructionAssociation, no iors than 1% of construction projects completed on lime, and tuost projects have problems of quality and cost Therefore, improving the control of project become an urgent needs of construction sector ‘his is the reason that 1 devote this paper for

anwlysing the critical factors to success of proycels, the possible issnes and their possible causes, so that to recommend measures to get projects back on expectedirack

1.5 Relevance and Interest of thisresearch

The context necessitates the research of this master report is elear simple Many building construction projects in Viet Nam do not filly comply with planed objectives, schedules, financial requirement, and so on, causing dotays, poor quality, and over cost

Regarding to the significance of wban zone developments, any problem with the project will cost the stakeholders millions of dollar Thus, stake holders are concemed about sources which may cause failures in projects in this sector

Accordingtorecentintormationpublishedbythe VietnamConstructionAssociation, in Vietnam overall, no more than L% of construction projects completed on time, and most projects have problems of quality and cost Therefore, improving the control of project become an urgent needs of construction sector This is the reason that I devote thismasterreportforanalyzingthecriticalfactorstosuccessofeonstructionprojects, the

possible issues and their possible causes, so that to recommend measures fo get projects back on expectedtrack,

1.6 Plan ofdissertation

The report will follow tentative pli below

Identify problems to research Jan-18

Establish analytical framework Feb-18

Build survey questionnaire Feb-18

Conduct the survey Feb-April 18

Process the survey data ‘April 18

Discuss the findings May 18

2 LITERATUREREVIEW

2.1 Introduction

‘Therehavebeenanumbero fpapersonprojectsuccess,andthissectionreviewsthem to define a broad theoretical foundations relating to the projectperformance

2.2 Project and Project Management concept anddefinition

There are a number of definition of project, but they all have common The Project

Management Institute define the project as “A project is a temporary endeavor

be controlled on track This is the job of the project management “Project management

is the application of knowledge, skills, tools, and techniques to project activities to meet the project requirements” (Project Management Institute, 2008, p 6) To manage well a

project, a project typically can be divided into 4 phases

© Conceptualization (or Initialization), when project owner develop the initial goaland technicalspecifications;

¢ Planning — when all detailed specifications, schedules, plans, and related outputs are developed and collected;

Execution with Monitor & Control — when people actually perform the “works”

planned for theproject;

e Termination (or Close) — project is transferred to the customer, resources reassigned,

project is closedout

(Read more in Pinto, 2010; Project Management Institute, 2008)

Tasks and activities of project management typically can be grouped into 5 Process

Groups below Proper application of them would help accomplish the project with

success

4 Project integration ‘5 Project Scope 6 Project Time

Management ‘Management Management

1 Frojedt Flan Devaloprrent T inition D1 Adbnly Definiion

42 Project Pian Seecuton |_| 5.2 Scope Planning 62 actimy Sequencing

4.2 Overall Charge Central 5.3 Seope Definition 83 Activity Duration Estimating

‘S.4 Scope Verification G4 Schedule Development

5 Scone Shame Cento| 85 Schedule Cortal

7 Project Cost Management @ Project Quality ‘9 Project Human Resource

TT Resource Planning ST GuantyFrancing 31 Srgantzaioral Planning

72 CelEstmaing LJ 82 cualey assurance Stam Acquisition

73 Gost Budgeting 83 Qualiy Cont! 33 Team Development

TA Gest Conte}

10 Project Communications | | | 11 Project Risk 12, Project Procurement

707 Cormunicatons Planning TH Rex identifeaton TET Proourement Planning

302 Information Ciemnusiy L] 112 Riek Guanineation 12.2 Solicitation Planning

103 Performance Reporting 112 Risk Response Development 123 Solicitation

104 Administrabve Chsure 114 Riek Resconse Control 124 Source Seteoton

125 Contract Adminstration

128 Contract Ciose-cut

Figure 5: Contents of Project Management

(Source: Project Management Institute, 2008)

Advantagesofprojectmanagementinclude(i)beinnovative,producenewideasand new products, (ii) geared toward accomplishing a specific goal, and (iii) aimedat customer satisfaction (Pinto, 2010)

2.3 Project PerformanceMeasures

Ifstakeholderswanttoknowwhethertheprojectissuccessornot,stakeholdershave

tobeabletomeasureprojectperformance Per formancemeasurementsystemsmust

17

2.4 Project success and Factors leading (o the Projectsuccess

Mos! project success should be judged on three common dimensions of cost, schedule and quality, Mark Winter added project are considered suecesstial if it can link business strategy to projects, maximize reverme generation, and deliver benefits to

different stakeholder groups (Mark Winter, 2006) Sauer contend that ultimate criterion

of success is project can finally deliver value to all stakcholders, Lopes added delivering political values a criterion of project success (Cited in Flavell, 1988) Apart ttom triple criteria above, project owner may use 3 additional criteria of performance, safety, and satisfaction of utility and operations (Mohamed, 1999)

Figure 6: Quadruple Constraint of Project Success

(Source: Pinto, 2010)

‘The success of a project can be measured by the impacts it has to the pay-offs of all

its stakeholders in current time and in long-term This is very straightforward and intuitive In terms of measuring project success, (Shenhar, 1997) proposed a project

success measurement framework that includes four distinct dimensions: (1) project

efficiency, (ii)impactonthecustomer, (iii)directandbusinesssuccess,and(iv)preparing for the future Measurements should be made for short run and in long rưn horizons

(Anton, 1988)

Project Scheduling

34 Structural

‘Support for

(Weinstein, 2010, Project Management Institute, 2008):

Performance management is multidimensional, requiring collaboration and

coordination between acquisition, finance, operations, policy and planning, human

resources, oversight, and other companydivisions

Performance management involves all levels of the company, partly its stakeholders

and partners’ efforts, partly government, even from the Assembly as mega

urbanization construction projects are under itsscrutiny

Performance management is predicated on the effective implementation of earned

valuemanagement

Good, reliability of the data is required to gain effective performance management

Thus, installing major IT systems is a way many companies do to gain to manage

information and monitorprogress.

projects mn Vietnam, Nguyen Duy Long identified three oritical suecess factors relating,

to project managers among the twenty factors of projects success, including (i)

Competent project manager, (ii) Competent and multidiseiplinary projeet teary, and Gil) Commitment to the project (Nguyen Duy Long, 2004)

An effective project manager is required to have following characteristics (Cooke- Davics, 2002, BcloutAdnanc, 2003; Pinto, 2010):

i Performing-undersiandingandapplyingthcknowledge tools,andizchniquesthat arc

recognized as good practice; able to do or accomplish while applying their project managementknowledge

ii Knowledgeable lHaving area-specific skills and general manag

ploficiencies required for theproject

it, Personal attractiveness: such as attitudes, core personality characteristics and

Izaderainip

From these literature, the research has two first propositions below:

(i) Propositions on factors relating to the Project Managers

Proposition I: The performance of a project is positively correlated

to competency of the project manager

(ii) Propositions on factors relating lo the ProjecL Managemerltsarn

Proposition 2: The performance of a project is pasitively correlated

io competency of the project managentent team,

1.42 Organizationalfactors

Performance of the project is highly correlated to organizational factors, such as

organizational suppotts, organizational structure, line support managers andproject

a

manager, and supports fiom the top management to the project performance (Rom uke, 1995) One of the most critical factors for the projects successful achievement

is supports from top mana;

Regarding to Factors relating to organization, the research has the proposition below:

Proposition 3: the performance of a project is positively correlated ta

support from organization

24.3 External environmentiactors

Apart fiom cndogsnous factors, the projects arc also under the influcnecs fiom the

entities in the environment in which they are operating (Wells, 1986; D., 1984,

Tanafineade,2007) Theyincladepotiticalorinoverentororganivation(i.<.lhechanges of power may disable a mining project), economic elements (¢.g., the crisis of real estate sector would lead to tighter budget for construction projects), social factors (e.2., local inhabitants if dislike would try to inhibit the implementation of project) Competitions from olher firms Gwho aficn criticize the firm doing projects al low quality so that they could take over the project) though impact project negatively still provide some positive impactsastirmwillhavemotivationtodobetter Theperformanceo ihesubs-contractors

implementing parts of the project stages and aclivities also crilicut to the

project achievement, The legal requirements would pose many difficulties to the firm to meet as well, leading to additional resources be spent on tasks and in tum lower project financial margin Other faclors include advances in technology, standard and code difference, andeventhenaturalfactors, Exogenousfactorsarecansideredoneoithemost

feared elements as they are out of the controls of the project managers ‘They impact the decisions of the projocl mmmagers in many ways, posilively omogatively,

Regarding Factors relating to theExternal environment, the research has the

followingproposition:

Proposition 4: The performance of a project is positively correlated to the stableness of

external environment

2.5 The Overal Project Successindex

As discussed in the section 2.3 (page 17), most project owners use four criteria of cost, quality, schedule, and stakeholders’ satisfaction (Project Management Institute,

2008; Pinto, 2010) Therefore, to measure project success, I use a Project Success index (PS) by taking the average of the 4 measures below:

1 The project finishes within the budget constraint (results presented in Table6);

The project meets the planned schedules (results presented in Table7);

The project meets the quality requirements (results presented in Table8);

‘The degree to which your stakeholders satisfy with the project result (results

presented in Table9)

‘The papers will try to find correlation relationship between each variable with the PPS in order to identify the impacts and magnitude of impact each variable (factor) has

to the Overall Performance of The Project The interpretation is simple: if the score is

below 0.3, there is no relation If the score is in between 0.3 and 0.5, the relation is

moderate If the score is over 0.5, the relation is high The following sections show the

results.

3 METHODOLOGY

3.1 Variables andindicator

Theconceptualmodelcomprise4groupsoffactorsrelatingtotheProjectManagers, to project management team, to organization, and to the external environment, Each factor will be measured by avariable

The conceptual model can be expressed briefly by the following equation:

Project Performance = f{PM1 PMa, PMTs, PMTis, C¡, , Cạ, EEi, ,EEy)

Inwhich,

* PM; variables indicating the competence of ProjectManagers

* PMT; variables indicating the characteristics of Project Managementteam:

© Cy variables relating to the organizational factors of thecompany

* EEy: variables presenting the external environment context

‘These are groups of variable that reflect the conceptual model of the paper

In the paper, I use four criteria to rate the success of a project:

The project finishes within the budgetconstraint;

The project meets the plannedschedules;

The project meets the qualityrequirements;

‘The degree to which your stakeholders satisfy with the projectresult

These 4 criteria then is combined into a Project Performance Index (PPI) by taking the average of them The papers will try to find relationship or correlation between each variable with the PPI in order to identify the impacts and magnitude of impact each

variable (factor) has to the overall performance of the project

Values of each variable will be collected by a survey sent to a project management professional sample The design of the survey questionnaire is explained in the next

section

3.2 Design of the SurveyQuestionnaire

With the conceptual model of relationship between performance of project and the

critical factors leading to success of project, a questionnaire was designed to collect data

of variables given

The questionnaire was divided into 5 sections corresponding to 5 groups of factors

(variables) in the conceptual model: (i) Factors (variables) relating to the Project Managers, (ii) Factors (variables) relating to the Project Management team, (iii)

factors relating to the External environment One section is dedicated for responder

profile

For questions measuring the opinion of responder about a topic, answers were

measured by a five-point Likert’s scale ranging from | to 5 One is the most negative rating Sisthehighestpositiverating 3isakindofnocomment meaningrespondersare

reluctant and yet to makedecision

The survey targeted projects in Vietnam, carried by either domestic firms or foreign

firms Thus, the questionnaire was written in Vietnamese and English

3.3 Design of the SurveyQuestionnaire

Toverifythepropositions, theresearchusesasurveyoncriticalprojectmanagement

professionaltocollectquantitativeaswellasqualitativejudgments.Designofthesurvey is

described in the next section With the conceptual model of relationship between

performance of project and the critical factors leading to success of project, a questionnaire was designed to collect data of variablesgiven.

Project Success Measurements

1 Your project finishes within the budget constraint

2 Your project meet the planned schedules

3 Your project meets the quality requirements?

4, The degree to which your stakeholders satisfy with the project result?

Project Performance Index

(@ Factors relating to the ProjectManagers

1 Political and cultural awareness

2 Decision-making ability

3 Communication and negotiation skill

4, Team building skill

5 Conflict management and dispute handling ability

6 Motivating subordinates to work and to perform

(ii) Factors relating to the Project Managementteam

1 Professional competency

2 The willingness to take accountability

3 Competitive working style

4, Working dynamically and creatively

5 Ability to work independently

6 Ability to work in team

(iii) Factors relating toorganization

1 Organizational cultures and Style

2 Organizational internal communication

3 Organizational Structure

4, Organizational Process Assets

5 Organization’s environmental Factors

(iv) Factors relating to the Externalenvironment

1 Governmental policies on construction and infrastructure sectors

2 Business environment

3 Social Communities

Project Success Measurements

4 Legislation

5 Natural conditions and events

For questions measuring the opinion of responder about a topic, answers were

measured by a five-point Likert’s scale ranging from 1 to 5 One (1) is the mostnegative rating Sisthehighestpositiverating ;3isakindofneutralposition(neithemegativenor

4 ANALYSIS RESULTS ANDFINDINGS

4.1 Survey results

This section describes the survey results and analyzes responses to look for

indications that best explain good performance of a project

Questionnaire were sent either by e-mail or by face to face contact with project managers and staffs from targeted sample In total, 120 questionnaires were sent out A

total of 87 properly filled questionnaires were returned, reaching respondent rate of

72.5% The analysis of the responses is presented in the next sections

4.11 Profile of theresponders

This part gives an overview on the descriptive characteristics of the sample, so as to

understand the people working in areas relating to project management The

characteristics include position, level of education, and experiences,

© Experience

The table below shows a finding that matches with the finding of the table above Companies tend to appoint staffs having longer experience to the project management

posts, supposedly because those people will perform better

Table 1: Description of experience

2 How long have you been working in area of projectmanagement?

Valid Percent | Cumulative

ParcanE

From 1 year to 3 years

From 3 yaars to 5 years

From § years to 10 years Less than 1 year

More than 10 years

Table 2: Description of educational hackgrounds of peoplessurvayed

3 Whatis your educationlevel?

rs Val Pereont_| Cumulative Percent

Bachelor BES 88.5| 88.5 Master 9 10.3 10.3| 98.8

Valid

Technician 1 141 14 100.0| Tota B7 100.0 100.0)

«© Training

Table 3 Description of number of time a project manager is trained a year

4, How often do you attend professional training course on projectmanagement?

4.1.2 Position of responders in theproject

The position of responders in the project is summarized in the table below

Table 4: Position of responders in the project

1 What is your position in theproject?

Percent Chief supervisor

M&E manager Project coordinator

Project manager Project Manager

Secretary

Site Engineer Site Manager

‘Supervisor

‘Team leader Total

Frequency Valid Percent ‘Cumulative

Percent 9864|

Construction divisions 83) Valid Supervising divisions 4

4.1.3 Performance of sub-projects of Splendora Master ConstructionProject

Almost all projects, over 80%, in the survey finished on budget and time constraints

as well as met the quality Thus, data from this survey cannot tell if the experienceof the projectmanagershasanythingtodowithfinishingtheprojectwithinthebudgetandtime

constraints

Table 6: Proportions of projects finished within the budget constraint

1.Your project finishes within the budget constraint

Table 7: Proportions of projects finished within planned schedule

2.,Your project meet the planned schedules

2.Your project meet the planned schedules:

Most responses states the project meets the quality requirements

Table 8: Project Quality Assessment

3 Your project meets the quality requirements?

[Frequency | nền | vats Percont | cursiative Percent

1 14 14 141

6

40

40 87]

Almost all stakeholders are reportedly satisfied with the project results, as shown in the table below

Table 9: Stakeholders’ Satisfactory degrees with project results

4 The degree to which your stakeholders satisfy with the projectresults?

4.1.4 Assessment on the Correlation Relationship and the Importance of Factors

relating to project managers to the overall Project Success and 4 project

successcriteria

ThisistoverifytheProposition3 Thereisapositiverelationshipbetweentheproject

success and the project managers’ professional competency The table below showsonly characteristics 1 and 6 have positive correlation relationship with the overall Project

Performance Index Nevertheless, characteristic 2 has moderate positive correlation

relationship with the project success criteria 1; characteristic 4 has moderate positive correlation relationship with the project success criteria 3; and characteristic 5 has

moderate positive correlation relationship with the project success criteria 2, Only characteristic 3 has no correlation relationship with any project successcriteria

Table 10: Test of correlation between each project manager's characteristics and 4

project success criteria

(i) Factors relating to the Project Managers

1, Political and cultural awareness 0.21 0.24 0.31 0.28 0.34

2 Decision-making ability 0.35 022 0.14 0.14 0.29

3 Communication and negotiation skill 0.28 0.04 0.08 0.04 0.15

4 Team building skill 0.12 017 0.35 0.18 0.25

8 Confit management and dispute handing | „0.2 — eH g3

ability

6 Motivating subordinates to work and to

0.29 0.37 0.32 0.33 0.43

perform

‘These results partly support the Proposition 1 The further analysis below will show

more supporting evidence

3

Most responses rate Political and cultural awareness important to the project

performance

Table 11, How importance is the Political and cultural awaren

to the project performance

1.Political and cultural awareness

——————— Valid Percent _] Cumulative Percent

Most responses rate Decision-making ability important to the project performance

Table 12: How important is the decision-making ability

2.Decision-making ability

—————— Valid Percent _| Cumulative Percent

Virtually all responders consider the commumication and negotiation skill is critical

to the performance of project

Table 13: How importance is the Communication and negotiation skill

34

3.Communication and negotiation skill

‘The team building skill is also perceived as critical to project performance by

virtually all of responders

Table 14: How importance is the Team building skill

4.Team building skill

————— Valid Percont

Only 4 out of 87 responders think the Conflict management and dispute handling ability is not important to the project outcomes

Table 15: How importance is the Conflict management and dispute handling ability

spute handling ability

[—— 1= mm Valid Percent _| Cumulative Percent

35