Concept-Based Integration of Project Management and Strategic Management of Rubber Dam Projects Using the SWOT–AHP Method
Abstract
:1. Introduction
2. Methodology
2.1. Background Hypotheses and Basic Concepts of the Problem
2.2. Summary of Operational Steps
- Step 1.
- The factors in formulating SM are determined based on standard frameworks.
- Step 2.
- The factors in PM are extracted according to the PMBOK.
- Step 3.
- The factors extracted in Step 2 are adapted and integrated with the factors in SM (factors specified in Step 1). To achieve this, a questionnaire is first set up to survey experts. They are asked to determine the most important factors (as they are depicted in Step 2) in the management of the rubber dam projects. Then, these factors can be adapted and integrated.
- Step 4.
- The internal and external factors matrix is formed, and the strengths, weaknesses, opportunities, and threats are identified and placed in the matrix based on the re-survey of experts.
- Step 5.
- The internal and external factors evaluation matrix is formed. The questionnaire is again provided to the experts so that the importance of each of the internal and external factors (specified in Step 4) can be determined by the pairwise comparison method. Finally, the weights of all factors are extracted. The calculations for determining the weight of factors and the inconsistency ratio of matrices were performed using the relationships governing the AHP method [37,49,50,51,52]. A weighted score is determined for each internal and external factor, and the final score of the organization’s evaluation to implement the rubber dam projects.
- Step 6.
- The analysis of the evaluation results is based on the internal and external factors analysis matrix. The main strategy of the organization is determined by placing the final score of internal and external factors in this matrix.
- Step 7.
- The sub-strategies are determined after determining the main strategy in Step 6. Then, possible strategies can be identified based on the main strategy, sub-strategies, and internal and external factors.
- Step 8.
- Finally, the PM-based organization strategy should be developed based on the previous steps, including Step 7. In other words, the organization’s strategy is formulated.
2.3. Forming the Internal and External Factors Matrix
2.3.1. Determination of the SM and PM Factors
- Enterprise environmental factors: In the PMBOK, each project process is characterized by inputs, tools and techniques, and outputs. Enterprise environmental factors are among the most important inputs of 49 management processes in this standard, which correspond to the main factors defined in the SM standard. These factors affect the success of the project and are closely related to the management of the organization. These factors may limit or increase PM options or may have a positive or negative effect on the project [17,45].
- Organizational process assets: Organizational process assets, such as environmental factors, are one of the inputs to 49 PM processes. These assets include all or part of the assets associated with the organizational processes that exist in the project and include formal and informal programs, policies, procedures, guidelines, organization’s knowledge bases, and past project information [17,45].
- PM knowledge areas: According to the new version of the PMBOK [46], PM knowledge areas include 10 management areas. These areas of knowledge are considered as internal factors of SM of the organization so that the project manager can implement them with the cooperation of the members of the organization [17].
- Stakeholders: One of the 10 areas of knowledge in the PM standard is stakeholders, which include individuals or organizations that are actively involved (positively or negatively) in the project and can influence the project. Moreover, stakeholders are considered as influential elements on the organization in the study of micro-external factors in SM [17]. For example, Yang et al. presented a model for evaluating the relationship between project manager leadership style, teamwork, project performance, and stakeholder satisfaction [56]. They also showed that project success in terms of cost, schedule, and quality performance is highly related to stakeholder satisfaction.
2.3.2. Integration of the PM Factors into the SM Factors
- To meet the main requirements of the project, all the important factors, processes, and standards in the PM are related to one or more important factors in the SM.
- Based on the 10 PM knowledge areas in the PMBOK standard, the project manager only deals with the subject of PM. However, the manager should cooperate with other units of the organization and even manage opportunities and threats, as well as stakeholders related to the project, based on the SWOT analysis model.
- The organization manager is responsible for compiling many organizational standards and processes, providing facilities, equipment, and financial and human resources.
- Based on their duties, the other units of the organization, such as the research and development unit or the financial and accounting unit, help to advance the project. However, they do not have a significant relationship with the important factors of PM.
2.3.3. Formation of the Internal and External Factors Matrix
3. Results and Implications
3.1. Internal and External Factors Evaluation Matrix
3.2. Forming the Internal and External Factors Analysis Matrix
3.2.1. Determination of the Main Strategy and Sub-Strategies
3.2.2. A New Method for the Determination of Possible Strategies
- Forming the priority matrix
- Forming the strategy matrix
4. Conclusions
- Selecting the right projects, for example, a rubber dam project with many benefits, low costs, and good efficiency, is a priority in many countries around the world. Along with the right project’s selection, implementing the SM of the organization, which is responsible for its implementation, with valid standards and rules is a high priority but still not enough. SM of the organization along with the integration of PM is helpful to the coherence and coordination of activities and therefore is proposed as the first priority of the organization.
- Comparing the Ghorbani and Hamidifar [41] study with the current study shows that integrating PM into SM for rubber dam projects can transform the organization’s main strategy from ST to WO. This can be a positive point for the same organizations because the effects of external threats can nicely be weakened. Moreover, in the previous study, the priority of strategies did not follow a specific method, but in the current study, a priority matrix and then a strategy matrix were used to prioritize and determine the possible strategies of the organization based on two effective factors of grades and weight scores.
- While the focus of previous studies was usually on the projectized structure that SM applies in PM, this research tries to integrate PM within SM based on concepts from both management processes by using an intermediate matrix structure. In this case, the other organizational units of the organization, while paying special attention to the projects and their coordination together with the project manager, have finance, marketing, research and development, and goals. Moreover, the project manager’s focus is on knowledge management.
- Integrating PM in organizational management has been conducted based on the principles governing the SWOT model. Hence, the process of evaluating factors and determining as well as formulating the strategy of the organization by auditors and evaluators can be achieved in a more principled and faster way and therefore facilitates the achievement of the goals of the organization.
- Identifying and evaluating the strengths, weaknesses, opportunities, and threats of the organization, together with determining the main strategy and sub-strategies, as well as prioritizing and analyzing the possible strategies with the proposed new method of the “priority matrix” and of “strategy matrix”, and finally applying conscious management in line with possible strategies lead the organization to excellence.
- Despite the conditions, assumptions, and limitations of the rubber dam project organization in Iran, many possible strategies can be determined. For example, the opportunity of existing financial resources and economic benefits of rubber dam projects must be used to further monitor the various units of the organization and also to help manage the project unit (as an organizational unit). At the same time, the expectations of stakeholders, on the one hand, and their management inside and outside the project environment, on the other hand, can have a significant impact on the activities of the organization, which unfortunately has been neglected so far.
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Acknowledgments
Conflicts of Interest
Abbreviations
AHP | Analytic Hierarchy Process |
COMET | Characteristic Object METhod |
IR | Inconsistency Ratio |
MCDM | Multi-Criteria Decision Making |
O | Opportunity |
PM | Project Management |
PMBOK | The Project Management Body of Knowledge |
R&D | Research and Development |
S | Strength |
SPOTIS | The Stable Preference Ordering Towards Ideal Solution |
SWOT | Strength, Weakness, Opportunity, Threat |
SM | Strategic Management |
T | Threat |
W | Weakness |
WFD | Water Framework Directive |
Appendix A
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Strengths (S) | Weaknesses (W) | ||||
---|---|---|---|---|---|
Main Factors | Sub- Factors | Description | Main Factors | Sub- Factors | Description |
Organization management | S1 | Development of structure, cultural norms, and organizational processes and projects (formulation of policies, programs, and strategies of the organization as well as the development of patterns, values, rules, guidelines, standards of the organization and projects) | Organization management | W1 | Guide and monitor the performance of all organizational units and projects (following the plans, strategies, rules, guidelines, and guidelines of the organization and project) |
S2 | Providing the necessary resources and infrastructure (human resources including employment, training, and performance review of employees, facilities and equipment of projects, financial resources and capital facilities, communication and information infrastructure of the organization and projects) | Marketing | W2 | Identifying and analyzing domestic and foreign markets and determining the necessary strategies for providing technical services and project implementation | |
Project management (PM) | S3 | Integration management | Financial or accounting | W3 | Necessary strategies in allocating project financial resources and earning income for the organization |
S4 | Scope management | Project management (PM) | W4 | Schedule management | |
S5 | Communication management | W5 | Cost management | ||
S6 | Procurement management | W6 | Quality management | ||
Research and development | S7 | Studies and design of projects, research and development of new services, improvement of technology capacities in the organization and projects | W7 | Resource management | |
Information system | S8 | Creating a base of knowledge storage and retrieval of information including programs, processes, guidelines and standards of the organization and projects, and access to domestic and foreign databases | W8 | Risk management | |
W9 | Stakeholder management |
Opportunities (O) | Threats (T) | ||||
---|---|---|---|---|---|
Main Factors | Sub- Factors | Description | Main Factors | Sub- Factors | Description |
Economic factors | O1 | The cost-effectiveness of rubber dam projects (low installation time, reduced construction costs, maintenance, including no problems with sediment, rapid return on investment) | Economic factors | T1 | Reducing foreign investment in the country and reducing the privatization process |
O2 | Being possible to supply the implementation costs of a rubber dam project | Social and cultural factors | T2 | Increasing per capita water and energy consumption in the country | |
Technological factors | O3 | Increasing the demand of different countries for technological and technical services | Political/legal or lawful factors | T3 | Problems of regulations and standards in the country |
Political/legal or lawful factors | O4 | Forcing organizations, companies, and industries to comply with water quality standards (necessity of urban and industrial wastewater treatment) | T4 | Political conditions in the country | |
Stakeholders | O5 | Farmers and people are satisfied with the implementation of the second phase of projects (including agricultural water supply networks, hydroelectric power plants, purified drinking water supply) | Global factors | T5 | Severe climate change and droughts and floods |
Stakeholders | T6 | The existence of social tensions on the part of local communities |
Internal Factors | External Factors | ||||||
---|---|---|---|---|---|---|---|
Col. 1 | Col. 2 | Col. 3 | Col. 4 | Col. 5 | Col. 6 | Col. 7 | Col. 8 |
Sub-Factors | Weight | Grade | Weighted Score | Sub-Factors | Weight | Grade | Weighted Score |
S1 | 0.114 | 2.7 | 0.308 | O1 | 0.141 | 3.7 | 0.522 |
S2 | 0.102 | 4.0 | 0.408 | O2 | 0.157 | 4.0 | 0.628 |
S3 | 0.023 | 2.6 | 0.060 | O3 | 0.063 | 2.6 | 0.164 |
S4 | 0.027 | 2.7 | 0.073 | O4 | 0.056 | 2.8 | 0.157 |
S5 | 0.026 | 3.0 | 0.078 | O5 | 0.183 | 3.0 | 0.549 |
S6 | 0.024 | 2.8 | 0.067 | T1 | 0.049 | 2.3 | 0.113 |
S7 | 0.037 | 3.0 | 0.111 | T2 | 0.099 | 1.0 | 0.099 |
S8 | 0.061 | 3.6 | 0.220 | T3 | 0.084 | 1.8 | 0.151 |
W1 | 0.111 | 1.6 | 0.178 | T4 | 0.090 | 1.9 | 0.171 |
W2 | 0.035 | 2.4 | 0.084 | T5 | 0.042 | 2.2 | 0.092 |
W3 | 0.059 | 2.0 | 0.118 | T6 | 0.036 | 2.0 | 0.072 |
W4 | 0.063 | 2.1 | 0.132 | ||||
W5 | 0.073 | 1.8 | 0.131 | ||||
W6 | 0.077 | 2.0 | 0.154 | ||||
W7 | 0.070 | 1.0 | 0.070 | ||||
W8 | 0.031 | 2.0 | 0.062 | ||||
W9 | 0.066 | 1.5 | 0.099 | ||||
Total | 1 | - | 2.353 | Total | 1 | 2.718 |
Definition | Grade |
---|---|
Extremely preferred | 9 |
Very strongly preferred | 7 |
Strongly preferred | 5 |
Moderately preferred | 3 |
Equally referred | 1 |
Used to represent a compromise between the priorities listed above | 2, 4, 6, 8 |
Factors | State | Grade |
---|---|---|
Strength/Opportunity | High | 4 |
Ordinary | 3 | |
Weakness/Threat | High | 1 |
Ordinary | 2 |
Weight Factor (between Zero and 1) | Grades (between 2.5 and 4) | Weight Score | Status | Priority |
---|---|---|---|---|
A. Priority matrix of strengths and opportunities | ||||
High (higher than the average weighting coefficient of all the strength or opportunity factors) | High (above 3.25) | High | Excellent strength or exceptional opportunity with high importance | First |
Low (below 3.25) | Medium | Ordinary strength or opportunity with high importance | Second/Third | |
Low (lower than the average weighting coefficient of all the strength or opportunity factors) | High (above 3.25) | Medium | Excellent strength or exceptional opportunity with low importance | Second/Third |
Low (below 3.25) | Low | Ordinary strength or opportunity with low importance | Fourth | |
B. Priority matrix of weaknesses and threats | ||||
High (higher than the average weighting coefficient of all the weakness or threat factors) | High (above 1.75) | High | Ordinary weakness or threat with high importance | Second/Third |
Low (below 1.75) | Medium | Critical weakness or serious threat with high importance | First | |
Low (lower than the average weighting coefficient all the weakness or threat factors) | High (above 1.75) | Medium | Ordinary weakness or threat with low importance | Fourth |
Low (below 1.75) | Low | Critical weakness or serious threat with low importance | Second/Third |
Internal Factors | External Factors | ||
---|---|---|---|
Priority | Factors | Priority | Factors |
Second/Third | S1 | First | O1 |
First | S2 | First | O2 |
Fourth | S3 | Fourth | O3 |
Fourth | S4 | Fourth | O4 |
Fourth | S5 | Second/Third | O5 |
Fourth | S6 | Fourth | T1 |
Fourth | S7 | First | T2 |
First | S8 | Second/Third | T3 |
First | W1 | Second/Third | T4 |
Fourth | W2 | Fourth | T5 |
Fourth | W3 | Fourth | T6 |
Fourth | W4 | ||
Second/Third | W5 | ||
Second/Third | W6 | ||
First | W7 | ||
Fourth | W8 | ||
First | W9 |
Based on Priority Matrix Described in Table 6 | Based on Strategy Matrix Shown in Figure 4 | ||||
---|---|---|---|---|---|
Priority | Weakness (W) | Opportunity (O) | First Priority WO | Second Priority WO | Third Priority WO |
First | W1 | O1 | W1O1 | W1O5 | W5O1 |
W7 | O2 | W7O1 | W7O5 | W5O2 | |
W9 | W9O1 | W9O5 | W6O1 | ||
Second/Third | W5 | O5 | W1O2 | W6O2 | |
W6 | W7O2 | ||||
W9O2 |
Based on Priority Matrix Described in Table 6 | Based on Strategy Matrix Shown in Figure 4 | ||||
---|---|---|---|---|---|
Priority | Strength (S) | Threat (T) | First Priority ST | Second Priority ST | Third Priority ST |
First | S2 | T2 | S2T2 | S2T3 | S1T2 |
S8 | S8T2 | S2T4 | |||
Second/Third | S1 | T3 | S8T3 | ||
T4 | S8T4 |
Possible Strategies | Description |
---|---|
W1O1 | Use project economics to finance the oversight process in the organization. |
W7O1 | Cost-effectiveness of projects can help increase and improve project resources and thus better resource management. |
W9O1 | Economic efficiency of projects in different ways can be effective on stakeholder management (e.g., reducing water demand). |
W1O2 | Considering different economic aspects, the performance of organizational units and projects should be monitored. |
W7O2 | Utilization of the economic conditions and opportunities in the project, resource management can be applied optimally. |
W9O2 | Taking advantage of the existing economic conditions, stakeholders’ management must be improved. |
W1O5 | The stakeholders’ potential can be used to improve project and even organizational performance. |
W7O5 | Resources management can be better applied by obtaining help from project stakeholders |
W9O5 | Using project stakeholders as a suitable opportunity to apply the stakeholders’ management. |
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Ghorbani, M.K.; Hamidifar, H.; Skoulikaris, C.; Nones, M. Concept-Based Integration of Project Management and Strategic Management of Rubber Dam Projects Using the SWOT–AHP Method. Sustainability 2022, 14, 2541. https://doi.org/10.3390/su14052541
Ghorbani MK, Hamidifar H, Skoulikaris C, Nones M. Concept-Based Integration of Project Management and Strategic Management of Rubber Dam Projects Using the SWOT–AHP Method. Sustainability. 2022; 14(5):2541. https://doi.org/10.3390/su14052541
Chicago/Turabian StyleGhorbani, Mohammad Kazem, Hossein Hamidifar, Charalampos Skoulikaris, and Michael Nones. 2022. "Concept-Based Integration of Project Management and Strategic Management of Rubber Dam Projects Using the SWOT–AHP Method" Sustainability 14, no. 5: 2541. https://doi.org/10.3390/su14052541
APA StyleGhorbani, M. K., Hamidifar, H., Skoulikaris, C., & Nones, M. (2022). Concept-Based Integration of Project Management and Strategic Management of Rubber Dam Projects Using the SWOT–AHP Method. Sustainability, 14(5), 2541. https://doi.org/10.3390/su14052541