Ann: Key Board Appointments-MNS.AX, page-71

Some interesting comments made by Vogt recently in an AFR article regarding the Ichthys project and cost overruns...........

Marc Vogts, chief executive of the University of Sydney's John Grill centre for project leadership, said clients don't like cost-reimbursable arrangements because it takes the pressure off contractors to deliver on time and within a certain budget.

Contractors should instead ensure they have strong relationships with their clients, and raise any issues immediately, Mr Vogts said.

"The worst thing you can do with any project that's incurring challenges is not declare those at the earliest position," he said.

Large projects also required "an increased level of effort by both parties", Mr Vogts said, adding that clients needed to take responsibility for making the project succeed and not leave everything to contractors.

People in the contracting industry says contractors should also refrain from being overly-optimistic about project outcomes.

"There's an element of culture in our sector that says, 'Leave it with us, we'll fix it'," one executive said. "Then things get out of control."

Joint ventures can also be difficult because there is "finger pointing" between partners, the executive added.


Read more: http://www.copyright link/business/...rojects-blow-up-20160609-gpfzc7#ixzz4OoSgtu5T