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Fig. 1

Regional rankings – Latin America and the Caribbean. Source: The Global Competitiveness Index 2015–2016, World Economic Forum.
Regional rankings – Latin America and the Caribbean. Source: The Global Competitiveness Index 2015–2016, World Economic Forum.

Fig. 2

Peru’s performance in the 12 main competitiveness pillars (WEF 2015–2016).
Peru’s performance in the 12 main competitiveness pillars (WEF 2015–2016).

Fig. 3

Main problems for doing business in Perú.
Main problems for doing business in Perú.

Fig. 4

Infrastructure gap in Perú.
Infrastructure gap in Perú.

Fig. 5

Evolution of the GCI over time in terms of the transportation infrastructure of Perú.
Evolution of the GCI over time in terms of the transportation infrastructure of Perú.

Fig. 6

National highway system and evolution of the Highway Quality Index.
National highway system and evolution of the Highway Quality Index.

Fig. 7

Government effectiveness: ranking of 192 countries.
Government effectiveness: ranking of 192 countries.

Fig. 8

Labour productivity in Latin America in 2013, showing the position of Perú.
Labour productivity in Latin America in 2013, showing the position of Perú.

Correspondence between competence, misconceptions and consequences.

CompetenceMisconceptions foundConsequences
1.11 Time and project phases; 1.13 Cost and finance; 1.05 Quality; 3.11 Legal basics; and2.15 Ethics

The design phase of the highway project is not important.

The important part is the construction phase.

In the bid process, the law rewards the lowest budget.

Contractor’s priority: finish the project and save expenses.

The design phase of the highway project is not important. Therefore, the budget is low, resulting in poor quality.

Contractor’s priority: ensure to get the project with the lowest budget and once they get the project, ask for additional budget arguing low quality of the design.

The additional budget is not for quality improvements but for finishing the project, causes an ethical problem.

What happens with other companies who proposed a real budget for better quality? They start legal actions.

The project design and implementation phases is failing
1.03 Project requirements and objectives, 1.09 Project structures, 1.10 Scope and deliverables

Contractor of the highway is paid by work-load. For example, how many cubic metres of dirt he has moved? On the other hand, the supervisor is paid per day of work.

Project ends when the construction phase ends.

Contractor wants to finish early, so he can save overheads and other types of costs. At the same time, the supervisor wants to finish late since he gets payment per day of work. This situation generates many disputes between them.

If the project ends with the construction of the highway, this means that there is no maintenance and therefore a strong process of deterioration will begin.

The definition of a project and its deliverables are failing.
1.01 Project management success, 3.08 Personnel management and 2.15 Ethics

The main problem is to allocate more resources to projects. At the same time, professionals who work for the public sector must have low salaries. Idea: “It is important to give good example to the citizens”.

Project managers are chosen for their availability or their approach to the leaders and not necessarily for their skills or competencies.

Even though resources are available, projects are not implemented due to lack of management capacity.Other difficulties are technical deficiencies and corruption in regional and municipal governments.There are no trained and proactive people because of the low salary in the public sector.A project manager inadequately trained and/or untrained can sink a project.Ending with choosing a project manager who does not have the skills that the project needs.Need capacity building for effective project managers and quality assurance programmes for organizations.
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Engineering, Introductions and Overviews, other