Criteria and considerations for project work structuring

‘Work structuring’ refers to the design of the project organisation and includes how the work is divided into work packages and how the work packages are assigned to different subcontractors. Work structuring determines the scope and complexity of each work package as well as the dependencies between work packages and the need for coordination between the project participants assigned the different work packages. This study investigates the work structuring criteria that project managers use to decide the breakdown of the project scope in work packages. Data were collected on three projects through interviews with project managers and review of project records. The findings identify two major sets of factors influencing the work structuring: (1) commercial considerations, including the owner’s requirements and criteria such as budget pressures; requirements for use of local, disadvantaged and minority contractors; prequalification requirements; and licensing. (2) Production considerations including design factors, the difficulty and complexity of the work, interfaces and coordination requirements, the quality of the subcontractors who will be attracted by the work packages and potential production problems. These factors often create conflicting requirements and trade-offs that can affect project performance.