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Success rate and resource consumption from project interdependencies

Mait Rungi (Department of Industrial Management, Lappeenranta University of Technology, Lappeenranta, Finland)

Industrial Management & Data Systems

ISSN: 0263-5577

Article publication date: 2 February 2010

1173

Abstract

Purpose

The purpose of this paper is to show how interdependencies are used to make the project selection and review more effective in project portfolio management. Managers need to make appropriate pre‐evaluation of disciplines before taking them into use, therefore it is useful to know how much interdependencies can increase the success rate of projects and how big is the resource reduction from the use of interdependencies. This paper is an excerpt of a larger interdependency survey.

Design/methodology/approach

A large‐scale survey is carried out in two countries – Estonia and Finland. A total of 288 responses were received.

Findings

People see only positive aspects in interdependencies, but this paper proves that it is not always so. It is found that companies which take the phenomenon into account are more successful. Contrary to the respondents' perception and prior literature, a higher need for resources is noticed among the users of interdependency. The results indicate homogeneity between managerial issues of interdependencies in small‐to‐large companies.

Research limitations/implications

The main limitation comes from the sample, as findings from the sample countries and industries may limit generalizability.

Practical implications

Practitioners can expect a higher success rate and resource consumption from interdependencies. Managers from small‐to‐large companies can find size‐related peculiarities and practices for their daily managerial actions.

Originality/value

This paper provides empirical evidence for a less investigated, but emerging field of interdependencies. So far, mostly components of interdependency have been investigated in isolation. The paper highlights the behavior of success rate and resource consumption among the users/non‐users of interdependency, which to the author's knowledge has not been provided so far.

Keywords

Citation

Rungi, M. (2010), "Success rate and resource consumption from project interdependencies", Industrial Management & Data Systems, Vol. 110 No. 1, pp. 93-110. https://doi.org/10.1108/02635571011008425

Publisher

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Emerald Group Publishing Limited

Copyright © 2010, Emerald Group Publishing Limited

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