Strategies to Optimise Project Management Implementation in the Delivery of Renewable Energy Projects in Indonesia
Abstract
1. Introduction
1.1. Critical Success Factors (CSFs)
1.2. Project Management (PM) Challenges in Developing Countries
Challenges | Reference | |||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
[38] | [39] | [71] | [22] | [64] | [72] | [62] | [65] | [59] | [27] | [66] | [73] | [34] | [36] | |
Insufficient planning (C1) | √ | √ | √ | √ | √ | √ | √ | √ | ||||||
Lack of skilled workers (C2) | √ | √ | √ | √ | √ | √ | √ | √ | √ | √ | ||||
Poor stakeholders’ communication (C3) | √ | √ | √ | √ | √ | √ | √ | √ | √ | |||||
Unrealistic cost and time estimation (C4) | √ | √ | √ | √ | √ | √ | √ | √ | √ | |||||
Unclear project scope (C5) | √ | √ | √ | √ | √ | √ | √ | |||||||
Underestimation of risk control and management (C6) | √ | √ | √ | √ | √ | √ | ||||||||
Insufficient resources (C7) | √ | √ | √ | √ | √ | √ | √ | |||||||
Inadequate project delivery system (C8) | √ | √ | √ | √ | √ | |||||||||
Lack of technology knowledge (C9) | √ | √ | √ | √ | √ | |||||||||
Poor top management support (C10) | √ | √ | √ | √ | √ | |||||||||
Insufficient cash flow (C11) | √ | √ | √ | √ | √ | √ | √ | √ | ||||||
Inappropriate analysis and design (C12) | √ | √ | √ | √ | √ | √ | √ | √ | √ | √ | √ | |||
Inadequate performance and quality control (C13) | √ | √ | √ | √ | √ | √ | √ | √ | √ | |||||
Lack of accountability in decision-making (C14) | √ | √ | √ | √ | √ | √ | √ | |||||||
Inefficient bureaucracy system (C15) | √ | √ | √ | √ | √ | √ |
2. Research Methods
2.1. Data Collection
2.2. Data Analysis Stage 1 (EFA)
2.3. Data Analysis Stage 2 (SEM)
3. Results and Findings
3.1. Respondents’ Background
3.2. Respondents’ Awareness
3.3. Results and Findings of CSFs
3.4. Results and Findings of Challenges
4. Discussion
4.1. Identification of CSFs
4.1.1. CSF1 (Stakeholder Collaboration)
4.1.2. CSF2 (Delivery Management)
4.1.3. CSF3 (Project Supervision)
4.1.4. CSF4 (Integration Management)
4.2. Identification of Key Challenges
4.3. CSFs and Key Challenges Assessment and Relationship
4.4. PM Strategies
4.4.1. Cross-Functional Framework (S1)
4.4.2. Early Consultation (S2)
4.4.3. Frequent Reporting (S3)
5. Conclusions
Author Contributions
Funding
Data Availability Statement
Conflicts of Interest
Abbreviations
CFA | confirmatory factor analysis |
CFI | comparative fit index |
CSF | critical success factor |
EFA | exploratory factor analysis |
ENDC | Enhanced Nationally Determined Contribution |
KKN | corruption, collusion, and nepotism |
KMO | Kaiser–Meyer–Okin |
MLE | maximum likelihood estimation |
NZE | net zero emission |
PCA | principal component analysis |
PLN | State Electric Company |
PM | project management |
PMI | project management institute |
REP | renewable energy project |
RMSEA | root mean squared error of approximation |
RUPTL | electricity supply business plan |
SDG | sustainable development goals |
SEM | structural equation modelling |
SF | success factor |
SRMR | standardised root mean square residual |
TLI | Tucker–Lewis index |
UN | United Nations |
Appendix A. Sample of the Survey Questionnaire
- Consent Form
- ___ I agree to participate in this study voluntarily, and I am free to withdraw at any time without giving any reason.
- ___ I confirm that I have read and understood the information explaining the research project and how my data will be stored and used.
- ___ I understand that my responses will be kept strictly confidential.
- ___ I understand that relevant sections of the data collected during this study may be reviewed by the researchers.
- Section 1
- Have you participated in energy sector projects in Indonesia?
- -
- Yes.
- -
- No.
- What is your gender?
- -
- Male.
- -
- Female.
- -
- Prefer not to say.
- How long have you been participating in energy sector’s projects?
- -
- Less than 5 years.
- -
- 5–10 years.
- -
- 10–15 years.
- -
- More than 15 years.
- What is the environment of your daily job?
- -
- On site.
- -
- In the office.
- What is your current position in the job?
- -
- Managerial.
- -
- Non-managerial.
- What is the role of the organisation in the projects that you are working for?
- -
- Client.
- -
- Contractor.
- -
- Consultant.
- Instructions
- Please answer each question honestly based on your personal experiences and perceptions.
- There are no right or wrong answers.
- For the questions, you will be asked to indicate your level of agreement on a 5-point scale:
- Section 2
No | Question | Answer (Please Select One) | ||||
---|---|---|---|---|---|---|
1 | 2 | 3 | 4 | 5 | ||
1 | Do you think you know about Indonesia’s Sustainable Development Goals (SDGs) to reach Net Zero Emissions and Energy Transitions in 2060? | |||||
2 | Do you think Indonesia, as a developing country, has barriers to achieve SDG in 2060? | |||||
3 | Do you agree that Indonesia has the capability to achieve the SDG in 2060? | |||||
CRITICAL SUCCESS FACTORS (CSFs) | ||||||
4 | Do you agree that Indonesia needs to prioritise several particular project management areas to reach project success in renewable energy projects for SDG? | |||||
5 | Do you agree that clear project management objectives can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
6 | Do you agree that top management support can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
7 | Do you agree that clear information and communication can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
8 | Do you agree that clear stakeholder involvement can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
9 | Do you agree that the competency of the project team can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
10 | Do you agree that the authority of project manager/leader can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
11 | Do you agree that problem-solving abilities can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
12 | Do you agree that project performance and quality can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
13 | Do you agree that realistic cost and time estimates can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
14 | Do you agree that adequate project control can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
15 | Do you agree that adequate resources can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
16 | Do you agree that planning and controlling can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
17 | Do you agree that performance monitoring and feedback can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
18 | Do you agree that clear project missions/common goals can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
19 | Do you agree that project ownership can significantly determine project success while carrying out the renewable energy projects for SDG? | |||||
CHALLENGES | ||||||
20 | Do you think Indonesia will face challenges while carrying out the renewable energy projects for SDG? | |||||
21 | Do you agree that insufficient planning will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
22 | Do you agree that lack of skilled workers will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
23 | Do you agree that poor stakeholder communication will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
24 | Do you agree that unrealistic cost and time estimation will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
25 | Do you agree that unclear project scopes will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
26 | Do you agree that underestimation of risk control and management will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
27 | Do you agree that insufficient resources will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
28 | Do you agree that an inadequate project delivery system will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
29 | Do you agree that lack of technology knowledge will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
30 | Do you agree that poor top management support will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
31 | Do you agree that insufficient cash flow will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
32 | Do you agree that inappropriate analysis and design will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
33 | Do you agree that an inadequate project performance and quality control will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
34 | Do you agree that lack of accountability in decision-making will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
35 | Do you agree that insufficient bureaucracy system will have a strong impact on project performance while carrying out the renewable energy projects for SDG? | |||||
IMPACT OF CSF AND CHALLENGES ON PROJECT SUCCESS | ||||||
36 | Do you agree that the critical success factors and challenges have a strong impact on Project Success in renewable energy projects for SDG? |
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Success Factor | Reference | |||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
[20,26] | [14,15,16] | [17] | [28] | [29] | [30] | [31] | [25,32] | [33] | [19] | [27] | [34] | [35] | [36] | |
Clear project management objectives (SF1) | √ | √ | √ | √ | √ | √ | √ | √ | ||||||
Top management support (SF2) | √ | √ | √ | √ | √ | √ | √ | √ | √ | √ | √ | |||
Information/communication (SF3) | √ | √ | √ | √ | √ | √ | √ | √ | ||||||
Clear involvement (SF4) | √ | √ | √ | √ | √ | √ | √ | √ | √ | √ | ||||
Competent project team (SF5) | √ | √ | √ | √ | √ | √ | √ | √ | ||||||
Authority of project manager/leader (SF6) | √ | √ | √ | √ | ||||||||||
Realistic cost and time estimates (SF7) | √ | √ | √ | √ | √ | √ | √ | |||||||
Adequate project control (SF8) | √ | √ | √ | √ | √ | √ | ||||||||
Problem-solving abilities (SF9) | √ | √ | √ | √ | ||||||||||
Project performance and quality (SF10) | √ | √ | √ | √ | √ | √ | ||||||||
Adequate resources (SF11) | √ | √ | √ | √ | √ | √ | √ | |||||||
Planning and controlling (SF12) | √ | √ | √ | √ | √ | √ | √ | √ | √ | √ | ||||
Monitor performance and feedback (SF13) | √ | √ | √ | √ | √ | √ | √ | |||||||
Project mission/common goals (SF14) | √ | √ | √ | √ | √ | √ | √ | |||||||
Project ownership (SF15) | √ | √ | √ | √ | √ | √ |
Indicators | Extraction 1 | Description |
---|---|---|
SF1 | 0.767 | Significant |
SF2 | 0.613 | Significant |
SF3 | 0.541 | Significant |
SF4 | 0.614 | Significant |
SF5 | 0.578 | Significant |
SF6 | 0.536 | Significant |
SF7 | 0.539 | Significant |
SF8 | 0.510 | Significant |
SF9 | 0.475 | Non-significant |
SF10 | 0.537 | Significant |
SF11 | 0.419 | Non-significant |
SF12 | 0.683 | Significant |
SF13 | 0.585 | Significant |
SF14 | 0.572 | Significant |
SF15 | 0.621 | Significant |
Indicators | Factor CSF 1 | Factor CSF 2 | Factor CSF 3 | Factor CSF 4 |
---|---|---|---|---|
SF5 | 0.765 | |||
SF2 | 0.713 | |||
SF4 | 0.707 | |||
SF6 | 0.650 | |||
SF3 | 0.635 | |||
SF7 | 0.682 | |||
SF10 | 0.665 | |||
SF14 | 0.605 | |||
SF13 | 0.762 | |||
SF15 | 0.689 | |||
SF1 | 0.585 | |||
SF12 | 0.826 | |||
SF8 | 0.637 | |||
Rotation total | 2.945 | 1.766 | 1.704 | 1.533 |
Sums of squared loadings % of variance (cumulative %) | ||||
22.7 (22.7) | 13.6 (36.2) | 13.1 (49.3) | 11.8 (61.1) |
Indicators | Extraction 1 | Description |
---|---|---|
C1 | 0.649 | Significant |
C2 | 0.452 | Non-significant |
C3 | 0.567 | Significant |
C4 | 0.639 | Significant |
C5 | 0.627 | Significant |
C6 | 0.602 | Significant |
C7 | 0.481 | Non-significant |
C8 | 0.571 | Significant |
C9 | 0.370 | Non-significant |
C10 | 0.445 | Non-significant |
C11 | 0.478 | Non-significant |
C12 | 0.511 | Significant |
C13 | 0.676 | Significant |
C14 | 0.606 | Significant |
C15 | 0.526 | Significant |
Indicators | Factor Challenges |
---|---|
C13 | 0.840 |
C5 | 0.815 |
C14 | 0.802 |
C4 | 0.800 |
C1 | 0.796 |
C6 | 0.780 |
C3 | 0.762 |
C8 | 0.760 |
C15 | 0.754 |
C12 | 0.725 |
Rotation total | 1.001 |
Sums of squared loadings % of variance (cumulative %) | |
6.148 (61.477) |
SRMR | TLI | CFI | RMSEA | ||
---|---|---|---|---|---|
Result value | 1.674 | 0.023 | 0.909 | 0.921 | 0.061 |
Requirement | <5.000 | <0.080 | >0.900 | >0.900 | <0.080 |
Hypothesised Relationship | Standardised Estimates | T-Value | p-Value | Decision |
---|---|---|---|---|
CSF 1 to project success | 0.499 | 3.059 | 0.002 | Accepted |
CSF 2 to project success | −0.179 | −0.784 | 0.433 | Rejected |
CSF 3 to project success | 0.966 | 3.597 | <0.001 | Accepted |
CSF 4 to project success | 0.236 | 1.275 | 0.202 | Rejected |
Challenges to project success | −0.27 | −2.568 | 0.01 | Accepted |
Variable Correlation | Estimates Value | Decision |
---|---|---|
CSF 1 to challenges | 0.590 | Accepted |
CSF 2 to challenges | 0.587 | Rejected |
CSF 3 to challenges | 0.569 | Accepted |
CSF 4 to challenges | 0.546 | Rejected |
CSF 1 to CSF 3 | 0.673 | Accepted |
Key CSF | PM Strategies | Key Challenges |
---|---|---|
CSF 1 CSF 2 | Cross-functional framework (S1) | C3, C5, C14, and C15 |
Early consultation (S2) | C1, C3, C4, C5, C6, C8, C12, C13, C14, and C15 | |
Frequent reporting (S3) | C1, C4, C6, C8, C12, and C13 |
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Arwadi, Y.; Torku, A.; Tetteh, M.O.; Bondinuba, F.K. Strategies to Optimise Project Management Implementation in the Delivery of Renewable Energy Projects in Indonesia. Buildings 2025, 15, 1049. https://doi.org/10.3390/buildings15071049
Arwadi Y, Torku A, Tetteh MO, Bondinuba FK. Strategies to Optimise Project Management Implementation in the Delivery of Renewable Energy Projects in Indonesia. Buildings. 2025; 15(7):1049. https://doi.org/10.3390/buildings15071049
Chicago/Turabian StyleArwadi, Yohanes, Alex Torku, Mershack O. Tetteh, and Francis K. Bondinuba. 2025. "Strategies to Optimise Project Management Implementation in the Delivery of Renewable Energy Projects in Indonesia" Buildings 15, no. 7: 1049. https://doi.org/10.3390/buildings15071049
APA StyleArwadi, Y., Torku, A., Tetteh, M. O., & Bondinuba, F. K. (2025). Strategies to Optimise Project Management Implementation in the Delivery of Renewable Energy Projects in Indonesia. Buildings, 15(7), 1049. https://doi.org/10.3390/buildings15071049