In-House Delivery of Multiple-Small Reconstruction Projects

As compared with new construction, reconstruction of operational facilities exhibits a higher challenge, particularly when multiple projects are involved. For owner organizations involved in such projects, use of in-house resources versus outside contractors has been a major dilemma, with each approach having its potential benefits. This paper uses a real-life case study approach to investigate the delivery of 800 small reconstruction projects using in-house forces. Details are described related to the prioritization, budgeting, organization structure, and the mechanisms used for staff allocation. It was found that the main characteristics of projects that are best delivered by in-house forces include high urgency and inadequate scope definition. Outsourcing this type of projects exposes the owner to a large number of changes and their consequent cost overruns/delays. Based on the case study, the challenges facing in-house delivered projects and the factors that contribute to their success were investigated and outlined. To verify the findings a questionnaire survey among similar organizations is conducted and its results discussed.