Project-ending competence in networks: Two cases of large inter-organizational projects
Date
2010
Authors
Havila, V.
Medlin, C.
Salmi, A.
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Conference paper
Citation
Proceedings of the 26th IMP (Industrial Marketing and Purchasing) conference in Budapest, Hungary 2010 pp.1-15
Statement of Responsibility
Virpi Havila, Christopher J. Medlin and Asta Salmi
Conference Name
IMP COnference (26th : 2010 : Budapest, Hungary)
Abstract
Continuing restructure of business driven by global economic change and new technology often requires closure of existing manufacturing facilities. In cases where these terminations are unexpected and premature, the understanding and skills of project management can be applied to the closure. A network perspective that accounts for the influence of suppliers, end customers and other stakeholders over time, presents a new perspective on project management under premature termination. The paper examines, through two cases of premature termination, the changing role of external stakeholders. The first case is about the closure of a car manufacturing plant owned by Mitsubishi Motors Australia Limited. The second case is an aircraft plant owned by Saab of Sweden. The importance of external stakeholders is shown to increase with closure. The ability of external stakeholders to react and influence a terminating firm’s long-term profit is shown to substantially change the dynamics. Therefore, we suggest that particular project-ending competences are needed to ensure smooth project terminations. Our focus on these competences contributes to the literature on project management, and in particular, illustrates the need for managers to consider the future when terminating complex projects.
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