Project governance: the impact of environmental changes on governance adaptations in large-scale projects

Abstract

Purpose: The performance of large-scale projects is often challenged due to major environmental changes that occur during their life. However, literature has paid little attention to the governance adaptations required to respond effectively to these changes. This paper aims to study changes in the project environment over time, the corresponding governance adaptations and their impact on project performance. Design/methodology/approach: To ensure triangulation between two sources of evidence, we used both primary and secondary data sources and examined 14 projects through 2 studies, the first focused on seven documented, illustrative case projects and the second on interviews with senior and project managers involved in seven additional projects. Findings: We found the key environmental changes that should trigger appropriate governance adaptations to be market evolutions, technological advancements and sociopolitical events. However, we also found that these necessary governance adaptations are not commonly implemented timely, sufficiently or effectively. Originality/value: The paper distills the dynamics of large-scale projects in achieving project effectiveness and raises theoretical propositions on the combination of environmental changes and deficient governance adaptations that, over time, turns efficient projects into ineffective projects and discusses implications for theory and practice. Show more