ABSTRACT

This chapter introduces the role of the steering group as the main institution for governance of projects. It considers the different roles and tasks in the governance of the project as a transaction and as an agency. The chapter then reviews the different contract types and their implications for governance of projects and addresses governance of the link between parent and project organization by looking at the combined effect of structure, contract, communication and risk. The chapter shows some possible conflicts arising from how to effectively link the permanent and the temporary organization. Governance of this link requires good communication structures and the establishment of mutual understanding between the two organizations in order to develop the best solution in each particular project setting. Steering groups should evaluate the specific leadership needs for each project and pay careful attention to matching project types with appropriate project managers.