Global Megaprojects: Lessons, Case Studies, and Expert Advice on International Megaproject Management

GLOBAL MEGAPROJECTS The definitive guide to international megaprojects from an undisputed authority in the field In Global Megaprojects: Lessons, Case Studies, and Expert Advice on International Megaproject Management, distinguished international megaproject researcher and consultant Virginia A. Greiman delivers a comprehensive and incisive discussion of a key topic in global infrastructure development: the international megaproject. In the book, readers will find indispensable guidance and insights from experienced megaproject experts, as well as over 20 case studies highlighting practical solutions to common and pressing issues faced by project stakeholders around the world. This book was written to demonstrate that megaprojects can and have accomplished major economic, social, and technical advancements thought impossible but achieved by successfully confronting the challenges of the time. This book offers solutions and prescriptions for megaproject participants to overcome the complex challenges presented by these projects. It incorporates the latest evidence-based theory and a wealth of practical experience and provides a truly international perspective, showcasing viewpoints from a diverse collection of regions, cultures, and industries. Global Megaprojects also presents: Thorough introductions to megaprojects and their lifecycles, including the megaproject ecosystem and the world’s emerging megaprojects In-depth examinations of megaproject finance and economics, including innovation and value-driven program management Extensive explorations of complex project leadership, including the characteristics of uncertainty, complex projects, and cross-cultural dynamics Comprehensive discussions of megaproject implementation management, including global delivery methodologies and strategic objective alignment Global Megaprojects: Lessons, Case Studies, and Expert Advice on International Megaproject Management will earn a place in the libraries of project managers, policymakers, academics, contractors, engineers, suppliers, investors, and sponsors of large international projects.

Table of Contents:
List of Figures xiii List of Tables xv List of Boxes xvii Author’s Perspectives xix Acknowledgments xxi Introduction to This Book xxiii Key Concepts and Objectives xxiii Pedagogy xxiv Book Structure xxv Overview of Book Chapters xxvi References xxviii 1 Introduction to Global Megaprojects 1 Introduction 1 Globalization and Megaprojects 2 Characterization of Global Megaprojects 3 Megaprojects: The Global Timeline 6 Prehistory 7 The Middle Ages 8 The Golden Age of Globalization (1870–1914) 9 The Great Depression (1930–1940s) 12 The Great Megaproject Era (1950–1970s) 14 The Era of Great Tunnel, Energy, and Pipeline Projects: (1970s–2000) 17 The Millennium Projects 23 Why Study Megaprojects? 26 Summary 33 References 35 2 Megaproject Finance: Innovation and Value Driven Megaproject Management 43 Introduction: Financing the World’s Infrastructure 43 Project Finance Definition and Characteristics 45 Project Finance v. Corporate Finance 48 Investment in the Developing Countries 49 Infrastructure Financing in the United States 51 Infrastructure Financing in the European Union 52 Sources of Funding for Project Financing 54 The Legal Framework: The Major Project Participants and  Agreements 59 Export Credit Agencies (ECAs) 65 Multilateral Development Banks 67 Public–Private Partnership Structures 69 Evaluation Criteria for Project Finance 70 Megaproject Evaluation: Beyond the Iron Triangle 77 Looking Back and Looking Forward: Ex-ante and Ex-post Evaluations 78 Evaluating Projects Through the Life Cycle 81 Looking Back and Looking Forward and Qualitative Scoring 85 Summary 86 References 88 3 The Multilaterals and World Development 95 Introduction 95 Growing Demand for Global Infrastructure 96 The Role of the Multilaterals in Development 101 Mobilization of Capital 107 The Changing Landscape of Development Banks 116 International Development Case Studies 118 A Collective Action Perspective on the Planning of Global Megaprojects 121 The Social, Economic and Institutional Value of Megaprojects 123 Frameworks for Sustainable Development 124 Summary 127 References 129 4 Leading Complex Global Projects 135 Introduction 135 Complexity in Relation to Uncertainty, Ambiguity, Conflict, and Risk 138 Case Studies of Complex Projects 146 Strategic Management of Complexity 151 Summary 159 References 161 5 Global Megaproject Governance 167 Introduction to Global Governance of Megaprojects 167 Developing a Megaproject Governance Framework 174 Project Governance Between Developed and Developing Countries: Considerations for Improving Governance 188 Case Studies in Governance: What Causes Governance Failure? 191 Summary 198 References 200 6 Integrated Project Organizations and Public Private Partnerships 207 Introduction 207 Part I: Project Organization Integration: A New Mindset for Systems Engineering and Program Management 209 Part II: The Structure of Organizations as Systems of Systems 211 Part III. Public–Private Partnerships: The Sharing of Risk and Opportunity 225 Case Studies in Public–Private Partnership Development 236 Emerging Trends and Social Considerations for PPP Development 241 Summary 243 References 249 7 Managing the Megaproject Implementation and Delivery 255 Introduction 255 Phase 1: Initiation of the Megaproject 257 Phase 2: Global Project Delivery Methodologies and Procurement 261 Phase 3: Implementation 263 Phase 4: Project Controls 279 Phase 5: Transitioning a Megaproject to Operations 289 Lessons Learned on Cost and Schedule 290 Summary 294 References 297 8 Megaprojects and Mega Risk: Opportunity, Risk, and Resilience Management 301 Introduction 301 Emerging Risks on a Global Scale Impacting Megaprojects 302 Defining Risk and Risk Management 305 Structure of Megaproject Risks 306 Resilience and Risk Management 307 What Is Project Risk Intelligence? 310 Developing a Risk Management Framework: A Shared Vision of Risk 313 Global Risk Factors in International Projects 325 Business Continuity Planning in the Management of Risks 327 Root Cause Analysis 327 Characterizing Risk 330 Normalization of Deviance Related to Risk Discovery 333 Catastrophic Loss Potential: Natural and Manmade Disasters 336 Summary 341 References 344 9 Megaprojects: Troubles and Triumphs 349 Introduction 349 What Is Meant by Success? Successful Megaproject Failures 350 Characteristics of Failed Projects 356 Characteristics of the Most Successful Projects 370 Summary 372 References 373 10 Laws and Contracts in Global Megaprojects 381 Introduction 381 Planning for Procurement 382 Concession Procurement 383 Private Sector Procurement 383 Megaproject Procurement Contracts in the United States 385 Laws Governing International Megaproject Contracting 387 Challenging Negotiations in Megaproject Contracts 391 Collaborative Contracting 414 Emerging Issues in Global Development Laws and Contracts 414 Summary 419 References 421 11 Megaproject Innovation and Resilience 425 Introduction 425 Where Does Innovation Come From? 427 What Is an Innovation Megaproject? 429 Megaproject Innovation Programs 431 What Is an Innovation Strategy? 435 Enablers and Challenges to Innovation 439 Best Practices for Innovation 443 Summary 450 References 452 12 The Future of Global Megaprojects 459 Introduction 459 Blue Ocean Thinking 460 Blue Economy Thinking 461 Challenges of Future Megaprojects 463 Meeting the Grand Challenges of the Twenty-first Century 469 Global Change and International Cooperation 474 Global Megaprojects and the Leaders of Tomorrow 474 Megaprojects  and the Growth of the Digital Economy 478 Megaproject Management: Looking Back to Move the Future Forward 485 Leadership for Megaprojects in the Emergent Era 486 A New Principle Based Approach to Project Management 489 Megaprojects and System Perspectives 490 Summary 492 References 494 Glossary 501 Acronyms 523 Index 527