Client project governance capabilities: unpacking the concept and governance mechanisms in practice

Abstract

Globally public sector clients are increasingly being asked to do more for less i.e. produce more public value with fewer resources; at the same time as cost and time overruns on major projects are increasingly highlighted and subjected to public scrutiny. These developments are not lost on the research community and there is now an emerging body of literature that seeks to explore the relationship between how these organisations are structured and resourced and project outcomes. This paper seeks to build on this literature set. It does so through the theoretical lens of organizational capabilities. The particular focus is on project governance and associated governance capabilities. Drawing on an extensive review of the academic literature on project governance from both a supply-side and client perspective, as well as public policy sources, we propose that client project governance capabilities are underpinned by three sets of sub-capabilities: project assurance, project coordination and asset-integration capabilities. We unpack these capability sets with particular attention given to the multiple ways in which they can be deployed. Conclusions are drawn highlighting the importance of a strong owner for the successful realisation of the project and how project governance capabilities are key to achieving this.