The Impact of Tendering Management Practices on Oil & Gas Project Scope Creep in the UAE: A Structural Equation Modeling Method

Abstract

The goal of this study is to determine whether or not contract quality (CQ) can mediate the effect of tendering management (TM) procedures on the project scope creep (PSC) issue in the UAE's oil and gas (O&G) industry. The data collected from 270 individuals working in public and private companies on O&G projects in the UAE are analyzed using a structural equation modeling (SEM) methodology. The findings showed that TM significantly influenced PSC during the project's execution phase. The findings also supported the hypothesis that CQ mediated the relationship between TM and PSC during this period. This study provides clear guidelines for procurement, project, and other stakeholder managers and leaders on how to avoid project scope creep through careful planning of any O&G project's scope, budget, and duration by managing tendering activities and creating high-quality contracts to facilitate project management. The impact of TM on PSC during the project's execution phase through the CQ has not yet been researched in the UAE setting, despite existing literature and ideas in these three fields of study. This report could include mention the research of O&G industrial groups.

Client-eye price-value tendering optimization

“…According to Arneson (2023), inclusion of tenderers not fitting the criteria is tantamount to exploitation of the proper GCCs who submitted proposals. Right from the start, the negotiations should consider and openly declare the whole scope, covering price/cost of the project, anticipated sundry expenses, and VA (Alkarbi, 2023;Dabash, 2023) in order not to surprise the parties in the middle of the negotiations.…”