1. Technology and Society Opportunities in projects and innovative thinking Athens, Greece, 16-17 September 2010 Anandasivakumar Ekambaram Agnar Johansen Ole Jermstad Andreas Økland

2. Technology and Society Background Theoretical context: What does the paper deal with? Managing uncertainty in projects Uncertainty has an upside potentiality (opportunities) and a downside potentiality (risks) (Chapman and Ward 2003, Hillson 2002, Ward and Chapman 2003). Organisational context PUS-project – Practical management of uncertainty from the perspective of project owners One of the biggest research projects with respect to project management Major organizations in Norway are involved Research method

3. Technology and Society The best laid plans

4. Technology and Society What is really an opportunity in the project perspective – Some interpretations The project itself is an opportunity – All the choices of solutions deal with producing / providing potential opportunities All the choices are based on maximizing benefits for the key stakeholders (especially those who finance the project) or utilizing the result later at an appropriate time. Opportunities deal with producing benefits for the client and the project owner. Everything that we do is about producing opportunities. Opportunities are, to a large extent, subjective. Whether a situation / condition is actually an opportunity is based on how a person perceives and experiences the situation – it is about whether the person believes that the situation will give him / her a personal benefit. A particular situation can be considered as an opportunity for the project owner, a threat for the project, and an opportunity for the end users.

5. Technology and Society Characterizing opportunities Systems perspective Operational and contextual uncertainty Setting objectives and making plans Opportunities as 1st, 2nd and 3rd order consequences

6. Technology and Society Project as a system

7. Technology and Society 1st, 2nd and 3rd order consequences

8. Technology and Society First order consequences Delivery of the result (at the completion of the project) Opportunities in the dimension of Money: The project can deliver more for the same price, or with the predetermined quality at a lower cost. Opportunities in the dimension of Time: The project can deliver the predetermined product (delivery) faster than planned, without additional cost and with the same quality. Opportunities in the dimension of quality: The project can deliver a concept that is better than that which was agreed upon earlier, within the same frame of time and cost. Here, one can also consider better and cheaper operation- oriented solutions (e.g.: If the project can deliver the result within the predetermined frame of time and cost, and the result is more optimal to operate, then one can say that the quality of the result / delivery is increased with respect to what was determined earlier. During the course of the project Positive effects for those who are appointed to carry out the project. These individuals not only contribute to deliver products / services, but also learn something exciting and experience the happiness of working with clever colleagues, etc.

9. Technology and Society Example of the 1st, 2nd and 3rd order consequences – opportunities ProjectFirst order consequences (Result-objective) Second order consequences (Effect-objective) Third order consequences (Society-objective) The Opera houseNew, beautiful opera house. A modern building where opera shows can be arranged. Experience that the involved organizations gain – experience of constructing such a building. Tourism in Oslo / Norway Town-development – Bjørvika Introducing a new IT-based system for processing salary and traveling expenses IT-based system installed in 25 computers Better operation, better service, reduced need for employees to process salary and traveling expenses (reduction in workforce) Tax is reported to right places (sections) at right time Constructing E6 Østfold New, modern roadLess accidents, faster traffic-movement, shorter queues. New firms / businesses; f. ex. gas station, grocery store, restaurant

10. Technology and Society An example – opportunities in projects The project E18 Østfold had passed through the QA2 procedure with an estimation of NOK 1.25 bill. When the initial contracts came in, a new analysis showed that the project, with a low probability, would manage to keep itself within the predetermined frame of cost. (The analysis showed that the cost forecast was NOK 1,35 bill.) The project carried out a process with the focus on finding potential opportunities that could reduce cost. In the course of 4 hour time, opportunities were found to reduce the cost more than NOK 150 mill.

11. Technology and Society Finding / creating opportunities Cooperation between project managers and project owners Attitudes and reflection

12. Technology and Society A quote The real voyage of discovery begins not in seeking new landscapes but in having new eyes. - Marcel Proust

13. Technology and Society Opportunities and innovative thinking

14. Technology and Society Some reflection The need for future research in project management in the following directions (EPSRC) From research on the lifecycle model of projects and project management to theories of complexity of project management From projects as instrumental processes to project as social processes From product creation as the prime focus to value creation as the prime focus From narrow conceptualization to broader conceptualization of the projects From practitioners as trained technicians to practitioners as reflective practitioners Projects as a means to encourage innovative culture in organisations?

15. Technology and Society Thank you Contact information: A. Ekambaram: siva@sintef.nosiva@sintef.no A. Johansen: Agnar.Johansen@sintef.noAgnar.Johansen@sintef.no O. Jermstad: Ole.Jermstad@sintef.noOle.Jermstad@sintef.no A. Økland: Andreas.okland@sintef.noAndreas.okland@sintef.no Norwegian Center of project Management (NSP): http://www.nsp.ntnu.no/ Questions