State DOTs (department of transportation) spend billions of dollars on construction and maintenance of transportation projects every year. In addition, significant sums go to preliminary and construction engineering (PE and CE). For many projects, DOTs utilize engineering services from consultants, to supplement in-house engineering. The cost and quality of consultant’s engineering services compared to in-house, are important issues to justify the involvement of consultants. This report provides an analysis of those issues on Texas Department of Transportation (TXDOT) projects. Traditionally, the costs of PE and CE are calculated as a fixed percentage of total project construction cost, and the efficiency of engineering organizations is assessed by comparison of their gross percentages. However, the results presented here show that project scope and complexity are significant factors in PE and CE cost. Therefore, simplistic comparisons of PE and CE percentages can be misleading when applied across a mixed program of projects. / text

<p>As projects play a key role in implementing strategy, organizations of all kinds implement projects. Further, as the importance of the projects grow, management of the same also becomes crucial in terms of monitoring and controlling. However, as non-project based organizations lack distinctive project management approach, their project are controlled and monitored by the inherent management control system. While, several studies have highlighted that different organization control mechanisms are exercised at varying degree, there is a dearth of study done in project context. However, one recent study done by Nieminen and Lehtonen (2008) in a program context focusing only in organizational change revealed three organizational control mechanisms and 23 control tools being exercised as varying degree in four case programs. As several studies in the project management context highlight the need to tailor the approach according to the project types, this study focuses on understanding how the control mechanisms vary across different types of projects executed by non-project based organizations employing the project classification developed by Turner and Cochrane (1993).</p><p>A qualitative study employing semi-structured interview was conducted with eight project managers of respective projects implemented by seven companies from China and Nepal. Based on the feedback given by the concerned project managers, the study revealed distinct organizational control mechanisms dominated distinct project types in rolling out a successful project, even though there was presence of all types of organizational control mechanisms in the sampled projects. Further, the application of the control tools within the control mechanism varied even across projects of similar type.</p>

As projects play a key role in implementing strategy, organizations of all kinds implement projects. Further, as the importance of the projects grow, management of the same also becomes crucial in terms of monitoring and controlling. However, as non-project based organizations lack distinctive project management approach, their project are controlled and monitored by the inherent management control system. While, several studies have highlighted that different organization control mechanisms are exercised at varying degree, there is a dearth of study done in project context. However, one recent study done by Nieminen and Lehtonen (2008) in a program context focusing only in organizational change revealed three organizational control mechanisms and 23 control tools being exercised as varying degree in four case programs. As several studies in the project management context highlight the need to tailor the approach according to the project types, this study focuses on understanding how the control mechanisms vary across different types of projects executed by non-project based organizations employing the project classification developed by Turner and Cochrane (1993). A qualitative study employing semi-structured interview was conducted with eight project managers of respective projects implemented by seven companies from China and Nepal. Based on the feedback given by the concerned project managers, the study revealed distinct organizational control mechanisms dominated distinct project types in rolling out a successful project, even though there was presence of all types of organizational control mechanisms in the sampled projects. Further, the application of the control tools within the control mechanism varied even across projects of similar type.