Mega-projects — those exceeding $1 billion in investment — operate under conditions of complexity that render conventional organizational designs inadequate. The intersection of multiple stakeholders, compressed timelines, and unprecedented scope demands purpose-built operating models.
Why Traditional Structures Fail at Scale
Most organizations are designed for steady-state operations: hierarchical reporting lines, functional silos, and annual planning cycles. Mega-projects require the opposite: rapid decision-making, cross-functional integration, and adaptive planning horizons measured in weeks, not quarters.
- Decision-making bottlenecks — hierarchical approvals slow execution to a crawl
- Capability gaps — no single organization has all the expertise needed
- Stakeholder complexity — government, private sector, and international partners each with distinct governance requirements
- Scale-induced opacity — leadership loses visibility into delivery progress
The Arpus Operating Model Framework
Drawing from our experience across major Saudi programs, we have developed a framework that addresses the unique demands of mega-project governance. The model is built on four pillars: clarity of mandate, empowered delivery units, integrated assurance, and adaptive governance.
Pillar 1: Clarity of Mandate
Every entity within the operating model must have a clear, unambiguous mandate that defines its scope of authority, key deliverables, and accountability relationships. Ambiguity in mandate is the single greatest predictor of mega-project delays.
Pillar 2: Empowered Delivery Units
Delivery units must be empowered to make decisions within defined parameters without escalating to central governance. This requires clear delegation frameworks, pre-approved procurement authorities, and embedded technical expertise.
“The best operating model is one where 90% of decisions are made at the delivery level and only genuinely strategic choices reach the board.”
Programs that implement empowered delivery units with clear delegation frameworks reduce average decision cycle time from 6 weeks to 5 business days.
The design of an operating model is not a one-time exercise. It must evolve as the program moves through its lifecycle — from mobilization to delivery to operations. The organizations that build adaptability into their governance from the outset are those that deliver on time and on budget.
