Mitigating the Impact of Scope Change on Project Cost Performance in the Global Oil and Gas Industry: Innovative Strategies and Sustainable Solutions from the Nigerian Experience

Authors

  • Lucky Ehiziojie Rome Business School, Nigeria
  • Olanrewaju Adesina Adebara Shekina Education and Learning Consulting LTD, Nigeria
  • Ukah Daniel Okoro Alex Ekwueme Federal University, Nigeria
  • Samuel Ajayi Texas Southern University, USA
  • Kolawole Adeloye Texas Southern University, USA

DOI:

https://doi.org/10.5281/zenodo.13993544

Keywords:

Scope change, pipeline construction, correlation analysis, regression analysis, scope management, project cost performance, cost overruns, oil and gas industry

Abstract

This study investigates the impact of scope change on project cost performance in Nigeria's oil and gas sector, focusing on a significant pipeline project. Initially budgeted at $588.2 million, the project costs rose to $775.3 million due to scope changes over an extended timeline. Using a case study approach, correlation and regression analyses revealed a statistically significant relationship between scope changes and increased project costs. The discoveries accentuate the need for effective scope management and recommend innovative frameworks to mitigate cost overruns, contributing to sustainable practices in the global oil and gas industry. The research offers valuable insights for project managers and policymakers aiming to optimize project execution and economic efficiency.

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Published

2024-10-25