TITLE:
Megaprojects, Complexity, and Investment Decisions
AUTHORS:
Uyiosa Omoregie
KEYWORDS:
Megaprojects, Complexity, Investment, Decision Analysis
JOURNAL NAME:
Open Journal of Business and Management,
Vol.4 No.2,
April
15,
2016
ABSTRACT: The need for basic infrastructure for economic development in developing countries has made
megaprojects popular, in such parts of the world. Megaprojects can be very important to a host
country: the Nigeria Liquefied Natural Gas (NLNG) Project has contributed about four percent of
Nigeria’s Gross Domestic Product. However, due to the complexity involved with megaprojects,
project failure rate is high around the world, especially so for upstream oil and gas projects. This
paper recommends a systems approach to megaprojects analysis, for a better understanding of
these projects: from the pre-final investment decision (FID) stage through project execution. This
author believes that a system approach to megaprojects analysis should provide better decision
quality for decision makers.