Discovering the Potential of Risk-based Critical Chain Project Management in the Maritime Industry

Abstract

There is a never-ending quest to search for better ways of planning and controlling projects. Currently the majority of all projects are planned with the critical path method and controlled using earned value management. This way of planning and controlling projects has been used for decades now and can be seen as traditional project management (PM). This current PM paradigm does not work well enough for one-off projects. Risk assessment and risk management are not sufficiently covered in most standard PM methods. This thesis looks at the potential of critical chain project management (CCPM) in combination with extensive risk management techniques for improving project performance. The thesis will cover the development of a risk-based critical chain project management (RCCPM) methodology and its application to case studies at a shipyard. The study concludes that RCCPM is a viable alternative for traditional PM in the maritime industry. Improvements include, amongst others, a reduction of the lead-time, more effective monitoring and controlling, and improved dealing with risks and uncertainties.