Incorporating a Human Systems Approach into Complex Infrastructure Projects – The Project Alliancing Experience

Abstract

The commercial, political and social world of the 21st century is interconnected at so many levels that any activity has significant levels of complexity. This creates high levels of uncertainty and ambiguity in any significant enterprise. Its greatest impact is at the human level. The modern economy is built on the creative tension between risk-taking and innovation. This puts pressure on relationships which adds an extra level of unpredictability to any complex project. Therefore cultivating human skills, also known as ‘soft skills’, is crucial in navigating this tension. The changing nature of knowledge has elevated soft skills into primary importance for business. No single organisation can hold a monopoly over a technical domain and in a world of increasing complexity and innovation it is the skills of building partnerships and collaboration that are important. The survival of any organisation or enterprise depends on these soft skills. The challenge is to integrate soft skills within the management and process architecture of organisations and their alliances and leverage them to achieve better than business as usual outcomes. Embracing this human element and establishing a culture of trust is essential for maintaining the increasingly short time at the top in the 21st century economy. Project Alliancing is a relationship based project delivery system that is designed to leverage these soft skills. It seeks to modulate this human complexity rather than trying to constrain. It is built on maintaining creative and robust human connections. Successful Project Alliances have resulted in project savings exceeding 20% of the estimated gross budget. It is a project delivery system that is compatible with and reflective of the emerging commercial, political and social dynamics of the 21st Century.