Wednesday, May 27, 2015

Decision Making and the Panama Canal (Part II: the Americans)

(For Part I, see http://engineeringdecisionmaking.blogspot.com/2015/05/decision-making-and-panama-canal-part-i.html)

After the United States gained control of the Panama Canal effort in 1904, the type of canal was not yet specified.   The two alternatives were a sea-level canal and a lock canal.

First, President Theodore Roosevelt appointed thirteen civil engineers to the International Board of Consulting Engineers and told them that the two most important attributes were the speed of construction and the likelihood of successful completion. After conducting their research, eight members voted for a sea-level canal, and five voted for a lock canal.  The chairman of Isthmian Canal Commission (ICC), which ran the Canal Zone, and the chief engineer, recommended a lock canal and gave sound technical and financial reasons for their disinterested choice.  Eventually, the Senate approved a lock canal. The House of Representatives then concurred, and the president confirmed the choice on June 29, 1906.

To coordinate their experienced personnel, appropriate equipment, and the ingenious system for moving material, the Americans had a centralized organization with authority over every aspect of and employee in the Canal Zone. There were no contractors working in Panama.  The headquarters made a detailed plan every day for coordinating the drilling, blasting, excavating, and dumping operations to maximize productivity.  Moreover, the motivated employees felt that they were part of a community, which improved morale and productivity.

The canal was officially opened on August 15, 1914. The American decision-making process was a more effective analytic-deliberative process that was focused on clear objectives (not personal ambition), and their decision-making system in Panama was more appropriate than the French scheme. 

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