Governance of project management and capital investments: A case study in Brazil’s mining industry

• Siqueira, Adriano Smarzaro ^[1] ; Neto, Jose Antonio Sousa ^[2]
  1. [1] Samarco Mineração
  2. [2] Fundação Pedro Leopoldo
• Localización: Revista Pretexto, ISSN-e 1984-6983, Vol. 13, Nº. 4 (outubro/dezembro), 2012, págs. 101-122
• Idioma: portugués
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• Resumen

  • The objective of this paper is to present the results of a survey carried out to evaluate the application of corporate governance practices in the management of capital investments and projects by a Brazilian iron ore mining company in 2011. It addresses the main concepts related to projects and corporate governance, as well as the impacts of the Sarbanes-Oxley Act of 2002 on project management. Data were analyzed and processed using descriptive statistics. It was found that the four core disciplines of project governance: portfolio management, project sponsorship, project management, disclosure and reporting, are present in the organization’s management framework, including the application of controls necessary to ensure the accuracy of financial analysis and future cash flows from the successful completion of capital projects. On the other hand, a discrepancy was found in the disproportionate allocation of resources and staff to mega project management compared to small and medium projects which, as a result, are not completed on schedule and within budget. Deficiencies were also found in the attribution of priorities within the organization’s project portfolio.