Efficacy of executing large capital engineering and construction projects in the Sub-Saharan Africa mining industry

Abstract

The shift in mining away from developed countries to developing countries, as a result of depleted resources, requires advanced technologies in remote locations. Therefore, projects are getting larger and more complex, increasing investment and productions costs. This then emphasises the importance of an appropriate contracting strategy to ensure that tasks and associated risk are allocated according to competencies and experience. This research report looked at evaluating the efficacy of executing large capital engineering and construction projects in the mining industry. Primary data was collected by means of semi-structured, face-to-face interviews with experienced professionals in the field of project management in the mining industry. A minimum of five years’ experience was required in order to enhance the reliability of the study. It is clear that all project management professionals are aware of, and in agreement with the success factors of a project. It is also clear that all project management professionals are aware of the prerequisites for a specific contracting model to be deemed suitable to a project. Organisations should refrain from utilising a standard contracting model across all projects. It became very clear that there would be value in the development of a model to determine the ideal contracting strategy based on availability of skills and experience.