Predictive Model for the Factors Influencing International Project Success: A Data Mining Approach
Abstract
:1. Introduction
2. Literature Review
- External environmental factors (political, legal, economic, socio-cultural, demographic, technological factors, natural and international environment). The components of the external environment of the international project are identified as the environmental factors of the organizations that carry out the project, including those components that cannot be controlled by the project team and that influence, constrain or direct the project. The international economic environment, as a result of the globalization process, requires increasing competitiveness of the companies in order to be able to resist and develop in the global economic markets. As a result of this phenomenon, the project management must adapt to new features of the project and take into account an increased degree of risk generated by the high degree of complexity, determined by the diversity of stakeholders, the numerous financial differences regarding foreign exchange, interest rates, inflation, taxes and duties, geographical location, time zone differences regarding banks’ activity, legal holidays, etc. The national and international political environment includes the actions of the countries’ governments in which the organizations that collaborate in the international project are registered or carry out their activity, which can influence their operations. The actions can take place at the local, regional, national and international levels. Governments can influence certain important areas by controlling infrastructure, supplying raw materials, stimulating policies for local producers, limiting imports and boosting exports. At the international level, the political environment is complemented by the actions and instability of political unions. The legal environment can have an influence, through different laws and restrictions, on security, data protection, the labor market or the supply of different resources. There may also be different standards regarding production, quality of deliverables or environmental protection, which must be taken into account in the project planning phase. In addition to those mentioned, Popa I. [14] (p. 137) considers that “in this sphere is included the influence exercised, on various channels, by companies and groups of companies with common interests, on the institutional bodies with prerogatives in the field of drafting, substantiating and adopting laws and the other regulatory acts, in order to orient their provisions according to the mentioned interests” [14] (p. 137). The educational environment. Education plays a very important role, influencing the quality of human resources. Knowing the social situation, level of education stimulation and other aspects makes efficient planning of the project and prediction of its success easier [15]. Additionally, the academic environment can represent an indirect influence, through opportunities for collaboration, specific studies and publications, which can contribute to the fulfillment of the objectives and the purpose of the international project. The social environment includes all the persons who can be affected by the system, without initially being stakeholders of the project (clients or users). The cultural environment includes codes of conduct, ethics and stakeholder perceptions. Lahiri and Dhandapani [16] investigated how the cultural distance between foreign multinational enterprises of home and host nations, and the business group affiliation of the host country partner influence the duration and completion likelihood of capacity expansion projects, identifying the fact that a high cultural distance is associated with lower project duration and greater likelihood of project completion. The natural environment, in particular, refers to the access to natural resources and how each country assesses ecological issues. “There are countries with very high ecological development, but there are countries where ecology is not the index of the upper class. It is very difficult to expect long-term success or effective implementation of the project without saving the ecological environment and the environmental protection functions” [15]. The demographic environment generally refers to age, gender, level of education, economic activity [17], position within the organization, project duration, respondents’ certification status and region of the world where respondents are located [18]. The demographic profile of the person leading a project affects how he or she perceives the relative importance of the various project success factors [18]. Technological environment: innovation is directly proportional to the increase in productivity and competitiveness. Thus, at present, the innovation capacity of an organization becomes an additional resource, in addition to the financial, commercial and productive capacity. “Although all the world is rapidly going forward together with modern technologies, situation of technology development in different countries may vary, innovations created in one country are reaching other countries at different rates, also not all innovations and technologies created in the countries are standing up or entrenching” [15].
- Leadership style. Grisham T.W. [11] (p. 8) states that “international project management represents the leadership of projects in multiple countries and cultures”. Through this statement, Grisham T. W. [11] draws a clear line between international project management and leadership, considering that the success of international projects will be ensured by 80% leadership (soft skills) and 20% management (hard skills). Yang, L.-R., Huang, C.-F. and Wu, K.-S. [19] claim that “some project managers develop particular leadership behaviors in an attempt to improve the performance of a project”, and their research revealed that “increases in levels of leadership may enhance relationships among team members”. “Leadership involves providing direction and motivation to others in fulfilling their tasks and roles, in order to achieve the project objectives” [12]. In contrast, many project managers continue to rely exclusively on so-called “hard skills”, such as planning, scheduling and controlling, to coordinate projects [7]. The project manager must understand and anticipate the effects of the decisions which he/she makes within the projects on all interested groups. Additionally, his/her vision must be a long-term one, in order to act correctly and coherently, taking into account the experiences of the past and the present and the anticipation of future effects. “Being a leader for the team members represents the most important aspect of the work of a project manager, followed closely by the communication skills. Project management is only the third place, according to our experience” [11] (p. 12).
- Organizational culture. Given that the organizations involved in the development of the international project can influence the project culture, through their own culture, we consider that the dimensions of the organizational culture can be used to describe a cultural model of the international project, which will support the performance of the project team and ensure its success. Organizational culture is defined as “the way in which the members of an organization relate to each other, to their work and to the external environment, as compared to other organizations. These dimensions allow a tangible alignment of organizational culture and strategic objectives” [20].
- Correct and clear definition of the international project purpose and objectives. International projects have emerged as a response to the phenomenon of globalization and technological innovation, and as a result, their purpose is oriented to the opportunities offered by the expansion of these phenomena. The purpose refers to all the activities involved in the creation of the final product and the processes used in this regard. The holders of interests must reach a consensus on the final product and how it is made [21]. One of the most important goals of international projects is the access to limited resources. This can refer to collaborators from outside the borders, who provide new technological processes, patents and know-how, to the acquisition of foreign companies, who have important knowledge regarding the national markets where they operate, and to members of the dispersed project team, located anywhere in the world, capable of carrying out activities, which together will contribute to achieving the proposed objectives. Grisham T.W. [11] (p. 21) states that people and material sources for international projects come from the global level. As the scope of the international project integrates several objectives of increased strategic importance, its degree of complexity increases, due to the increasing difficulty in defining and understanding it, in order to be correctly assimilated by the members of the dispersed project team.
- The triple constraint (meeting the quality criteria; budget constraints; time constraints). Each project is constrained in different ways by the purpose, duration and cost of the objectives. These limitations are called the triple constraint by the traditional project management. According to this belief, in order to create a successful project, the purpose, duration and cost must be fully considered and represent the balance that any project must pursue in order to be considered successful [21] (p.14). In our opinion, the evaluation of the success of an international project should be related, first of all, to the fulfillment of the quality requirements regarding the deliverables and the customer satisfaction and less to the other two, the most rigid points of the triple constraint: the time and the cost, as mentioned in the first part of the introduction. “Quality is normally sacrificed when a project exceeds time or budget” [22]. Additionally, Thomas, G. and Fernández, W. [23] stated that “given the human tendency to underestimate challenges and to overestimate their own capabilities, stakeholders could perceive as a partial failure a project that was in fact successful in achieving near-optimal results”. In this research, each component of the triple constraint will be analyzed.
- Setting up a team in the virtual environment vs. collocated team. “As a result of technological advance, companies are forced to look for innovative ways to adapt and incorporate virtual teams” [24]. “More than any other factor, information technology has allowed the proliferation of teams in the virtual environment. With mobile devices, text messaging, electronic learning modules, cloud computing, team members can interact in a much more accessible way, anywhere and anytime” [25] (p. 16). Thus, “virtual project teams are becoming common organizational structures because firms seek to leverage geographically distributed, specialized knowledge to execute work” [26]. Brewer P. E. [27] (p. 130) suggests that “teams in the virtual environment have become essential elements in successful organizations. Where it does not exist, the opportunity is lost. Where it does not work effectively, the opportunity is lost. International teams in the virtual environment are the key to some of the greatest successes and failures in the global work environment, while the organization learns to function as a complex network of people”. In addition, many of the companies that initiate international projects develop sustainable strategies, in order to align with the international environmental protection policies, supporting sustainable development, and the teams from the virtual environment can play a very important role, acquiring the title of “green job” [28], taking into account that one of the advantages of these teams is the reduction in the carbon footprint [4]. “Organizations, only now, are beginning to realize that specialized skills and competencies are needed to effectively manage teams in the virtual environment, being considered more important than establishing the best combination of collaborative technological tools used in the virtual environment” [29] (p. Xiii).
3. Materials and Methods
3.1. Methodology
3.2. Sample Description
3.3. Variable Description
4. Data Analysis Using Modeling Techniques
4.1. Conceptual Elements on Modeling Technique Using IBM SPSS Modeler Software
4.2. Preparing Data for Processing
5. Results
6. Discussion and Research Limitations
7. Conclusions
Author Contributions
Funding
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
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1 | 2 | 3 | 4 | 5 |
---|---|---|---|---|
Not at all | To little extent | To some extent | To a large extent | To a very large extent |
Component | Factors | Characteristics | Mean/Characteristic | Mean/Factor | Mean/Component |
---|---|---|---|---|---|
International project success | External Factors | External environment of the project (political, legal, economic, socio-cultural, demographic, technological, natural, international factors) | 3.393 | 3.398 | 3.818 |
Building a project team: setting up a virtual team vs. collocated team | 3.402 | ||||
Project Management | Leadership style | 4.168 | 3.958 | ||
Correct and clear definition of the international project scope and objectives | 4.355 | ||||
Meeting the quality criteria | 3.963 | ||||
Budget constraints | 3.822 | ||||
Time constraints | 3.757 | ||||
Organizational culture | 3.682 |
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Dumitrașcu-Băldău, I.; Dumitrașcu, D.-D.; Dobrotă, G. Predictive Model for the Factors Influencing International Project Success: A Data Mining Approach. Sustainability 2021, 13, 3819. https://doi.org/10.3390/su13073819
Dumitrașcu-Băldău I, Dumitrașcu D-D, Dobrotă G. Predictive Model for the Factors Influencing International Project Success: A Data Mining Approach. Sustainability. 2021; 13(7):3819. https://doi.org/10.3390/su13073819
Chicago/Turabian StyleDumitrașcu-Băldău, Iulia, Dănuț-Dumitru Dumitrașcu, and Gabriela Dobrotă. 2021. "Predictive Model for the Factors Influencing International Project Success: A Data Mining Approach" Sustainability 13, no. 7: 3819. https://doi.org/10.3390/su13073819
APA StyleDumitrașcu-Băldău, I., Dumitrașcu, D. -D., & Dobrotă, G. (2021). Predictive Model for the Factors Influencing International Project Success: A Data Mining Approach. Sustainability, 13(7), 3819. https://doi.org/10.3390/su13073819