Perceptions of stakeholders on the critical success factors for operational management of public-private partnership projects

Facilities ◽  
2017 ◽  
Vol 35 (1/2) ◽  
pp. 21-38 ◽  
Author(s):  
Robert Osei-Kyei ◽  
Albert P.C. Chan

Purpose This paper aims to explore the perceptual differences on the factors that contribute to the successful management of public-private partnership (PPP) projects at the operational stage among stakeholders. Design/methodology/approach An international questionnaire survey was conducted with purposively sampled PPP experts from the private, public and academic sectors. Survey responses were analyzed using Kendall’s coefficient of concordance (W), mean score ranking analysis, Kruskal–Wallis test and Mann–Whitney U test. Findings The research findings show that each stakeholder group considers an efficient and well-structured payment mechanism as the most important operational management critical success factor (CSF). Moreover, the public sector considers open and constant communication among stakeholders as the second most important CSF, whereas the private and academic sectors consider effective operational risk management and well-structured legal dispute resolution mechanism, respectively. Further analysis using non-parametric tests (i.e. Kruskal–Wallis and Mann–Whitney U statistics) reveal significant differences in the importance of three operational management CSFs – “open and constant communication among stakeholders”, “effective changes of shareholdings in private consortium” and “stable macroeconomic indicators”. Research limitations/implications The generalizability of the research findings is limited considering the low sample size and non-participation of users/general public in the study. Hence, it is recommended that future research should be conducted in a specific country using both face-to-face and email questionnaire distribution approaches. This would likely increase the response rate and facilitate the inclusion of the general public/users. Originality/value The results of this study highlight and provide significant insights into how different PPP stakeholders perceive the critical conditions that are required to ensure the operational efficiency of PPP projects. This would, therefore, enable a better cooperation and collective effort from all stakeholders towards achieving the overall project success. In addition, the study offers new and additional CSFs which would enhance the comprehensiveness of the existing list of CSFs for the general implementation of PPP projects.

2016 ◽  
Vol 6 (1) ◽  
pp. 74-91 ◽  
Author(s):  
Solomon Olusola Babatunde ◽  
Srinath Perera ◽  
Lei Zhou ◽  
Chika Udeaja

Purpose – The purpose of this paper is to identify and assess the perceptions of stakeholders on critical success factors (CSFs) for Public Private Partnership (PPP) projects in Nigeria. Design/methodology/approach – A comprehensive literature review was conducted to identify the CSFs for PPP projects, which were employed to design a questionnaire survey. In order to capture a broad perception of stakeholders, the questionnaires were administered to five different stakeholder organisations involved in different PPP projects implementation in Nigeria. Data collected were analysed using descriptive statistics, mean score, Kruskal-Wallis test, analysis of variance (ANOVA), and factor analysis. Findings – The study revealed the result of mean score ranking, which indicated that all the stakeholders considered the identified 26 CSFs important and crucial for the successful implementation of PPP projects in Nigeria. Thus, the results of Kruskal-Wallis test and ANOVA indicated that except for six (out of 26) identified CSFs, there is no statistically significant difference in the perceptions of the stakeholders on CSFs for PPP projects in Nigeria. The study, through factor analysis, grouped the 26 identified CSFs into six principal factors. Practical implications – This research would be of benefit to stakeholders in PPPs to be aware of CSFs that demand utmost consideration. Also the identified CSFs are expected to enhance the success rate of PPP projects. Originality/value – The findings would be useful for PPP stakeholders in making decisions and in implementing PPP projects towards achieving value for money. This research will also be of interest to other academic researchers intending to investigate CSFs for PPP projects in other locations.


2018 ◽  
Vol 22 (2) ◽  
pp. 131-142 ◽  
Author(s):  
Robert OSEI-KYEI ◽  
Albert P. C. CHAN

Given the complexity and wide stakeholder interests in public-private partnership (PPP) projects, different parties have different expectations and definitions of PPP project success. This paper explores the perceptual differences on the success criteria for PPP projects among PPP stakeholders. A questionnaire survey was conducted with targeted international PPP experts from the academic, public and private sectors. The research findings show that each stakeholder group considers effective risk management as the most critical success criterion. Moreover, the public and private sectors consider meeting output specifications as the second most critical criteria, whereas the academic sector considers satisfying the need for public facility/service. Further analysis using non parametric tests shows significant differences on the ranking of the criterion, “satisfying the need for public facility/service” between the public and private sectors and between academic and private sectors. These research outputs provide significant insights into how PPP projects’ success is evaluated by various PPP stakeholders.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Huimin Li ◽  
Wenmin Li ◽  
Lunyan Wang ◽  
Lelin Lv

PurposeThe Public–Private Partnership (PPP) mode has been widely used in the urban water environment treatment project (UWETP). The public is the direct perceiver of urban water environment treatment PPP project (UWETP-PPP), and their satisfaction with it can reflect the project's success to some extent. The purpose of this paper is to provide operational management strategies for special-purpose vehicle (SPV) company through public satisfaction evaluation of UWETP-PPP.Design/methodology/approachA questionnaire was designed through the literature review and experts' opinions that consisted of 33 indexes to investigate public satisfaction with UWETP-PPP. Then, the exploratory factor analysis (EFA) was used to confirm the evaluation index system of public satisfaction. Next, the weights of the indexes were calculated by the normalized mean method and fuzzy synthetic evaluation (FSE) was applied to evaluate public satisfaction with UWETP-PPP. Finally, the importance-performance analysis (IPA) was used to suggest improvement strategies of public satisfaction with UWETP-PPP.FindingsThe factors affecting public satisfaction with UWETP-PPP are preliminarily determined, and an evaluation model that provides a specific basis for evaluating public satisfaction with UWETP-PPP in the future is constructed. Furthermore, some strategies and suggestions to improve the performance level of UWETP-PPP are put forward.Research limitations/implicationsFirst, the factors influencing public satisfaction with UWETP-PPP are numerous and complex. The factors discussed in this study may be further refined to make the research more reliable and effective. Second, the sample from this study can be expanded to multiple projects, so as to make the study more general. Finally, given that the influencing factors in the paper were elicited by using scores obtained through a questionnaire survey, it would bring bias to the result to some extent. The evaluation method can be further improved, such as combining with interval intuitionistic fuzzy evaluation.Practical implicationsIn the context of the characteristics of PPP projects in water environment treatment and the huge demand of the country to apply PPP model in the territory of water environment treatment, this study evaluated the public satisfaction with UWETP-PPP in Xuchang City, China. The result provided a beneficial reference for the private organizations to take appropriate actions to improve the public satisfaction level of UWETP-PPP, so as to improve the performance level of SPV. It also provided a system of public satisfaction evaluation with UWETP-PPP, which can be considered as the standard of public satisfaction survey, thus improving the comprehensiveness of the UWETP-PPP performance evaluation system and the government regulatory capacity, thus affecting the sustainable development of UWETP-PPP.Social implicationsIn addition, the research results provide a useful reference for the public organizations to issue a UWETP-PPP regulation rule, review a UWETP-PPP design plan, and conduct new similar project decision-making. In summary, the study results not only serve as a good reference for the evaluation of public satisfaction of eco-environmental PPP projects, but also have essential application value for improving the service level, performance improvement and operational management of the SPV.Originality/valueThe research results of this paper have certain wide-spread value, and the research framework and research method can be applied to other infrastructure section, such as transportation, stadium et al.


2019 ◽  
Vol 69 (6) ◽  
pp. 1177-1203 ◽  
Author(s):  
Tharun Dolla ◽  
Boeing Laishram

Purpose The performance of public–private partnership (PPP) projects depends on how the project has been structured. The traditional PPP option analysis for structuring project scope and size relating to the bundling of functions concerning a single component of the value chain will need to be extended to handle multi-component sectors such as municipal solid waste (MSW) in formulating the project scope. This analysis is currently missing in the extant literature. The paper aims to discuss these issues. Design/methodology/approach Through a comprehensive literature review as the methodological backbone, this study develops a testable holistic framework for the procurement of MSW PPP projects that examines how various factors of bundling affect the performance of the PPP projects. Findings Using transaction cost economics, agency and auction theories, the review identifies that innovation, maturity, quality specifiability, scope, competition, information asymmetries and transaction attributes have a significant influence on the performance and success of the PPP projects. Research limitations/implications Alternative supply chain management possibilities and firm-level organisational ways can be predicted using this framework to strategize the solutions for the municipal infrastructure. Based on this contribution, future research can test the framework to increase the knowledge of bundling theory about how to structure network infrastructure PPP projects. Originality/value Studies on how to bundle/unbundle the projects having components of the value chain are in a nascent stage. The present study attempts to extend the body of knowledge on PPP to the complexity of bundling both the functions and components of the value chain in structuring the PPP project scope.


2016 ◽  
Vol 21 (3) ◽  
pp. 269-300 ◽  
Author(s):  
Fahim Ullah ◽  
Bilal Ayub ◽  
Siddra Qayyum Siddiqui ◽  
Muhammad Jamaluddin Thaheem

Purpose The purpose of this paper is to investigate the critical decision factors of public–private partnership (PPP) concession which is complex due to a number of uncertain and random variables. To identify critical factors contributing to determination of concession period, this study reviews the published literature. It also identifies countries contributing most in PPP research. As a whole, it provides a mutually beneficial scenario by formulating a decision-making matrix. Design/methodology/approach This paper reviews the literature published during the period 2005-2015. A two-staged methodology is followed on retrieved scholarly papers: first, countries contributing to PPP are identified along with authors and affiliated institutions. Second, using frequency analysis of shortlisted critical factors, yearly appearance and stakeholders affected, a decision matrix is formulated. Findings The most contributing country toward PPP research is China, followed by the USA both in terms of country- and author-based contribution. In total, 63 factors are identified that affect PPP concession out of which, 8 per cent are highly critical and 21 per cent are marginally critical for decision-making. Practical implications Critical factors of PPP concession period will be identified with the help of decision-making matrix. This will help in adequate resource allocation for handling critical factors ensuring project success. Researchers may also understand the research trends in the past decade to usher ways for future improvements. Originality/value This paper reports findings of an original and innovative study, which identifies critical success factors of PPP concession period and synthesizes them into a decision-making matrix. Many of the previous studies have identified and ranked the critical factors but such a synthesis has not been reported.


2018 ◽  
Vol 25 (2) ◽  
pp. 202-240 ◽  
Author(s):  
Neema Kavishe ◽  
Ian Jefferson ◽  
Nicholas Chileshe

Purpose The purpose of this paper is twofold: first, to identify and rank the challenges influencing the delivery of the housing public-private partnership (HPPP) in Tanzania; and second, to suggest solutions in the form of a conceptual public-private partnership (PPP) framework model that will address the identified challenges and boost the chances of success. Design/methodology/approach Using a convergent parallel (concurrent) mixed method approach, data were collected from 28 stakeholders involved with HPPP projects in Tanzania using a hand-delivered and e-mail survey and 13 semi-structured interviews with public and private sector respondents. The quantitative data included subjecting the 19 challenges as identified from the literature to parametric tests such as one-sample t-tests and descriptive statistics tests such as measures of central tendencies and frequency analysis through Statistical Package for Social Sciences (SPSS 22.0). Qualitative data employed content analysis. The research was further underpinned by a number of theoretical perspectives such as Gidden’s structuration theory, contingency theory, relational and equity theory. Findings The top five ranked challenges influencing the delivery of HPPP were “inadequate PPP skills and knowledge”; “poor contracting and tendering documents”; “inadequate project management”; “inadequate legal framework”; and “misinformation on financial capacity of private partners”. The least six ranked and most significant challenges based on the one-sample (single) t-tests were as follows: “Poor risk allocation”; “inexperienced private partner”; “unequal qualification and contributions of expertise”; “poor enabling environment to attract competent partners”; “inadequate mechanisms for recovery of private investors’ capital”; and “high costs in procuring PPP projects”. The qualitative study further confirmed the challenges and cited the reason for the failure of joint venture projects as the lack of motivation for undertaking similar PPP projects. Despite the increased awareness of PPP projects and associated marginal benefits, the main impediment to the uptake and delivery of PPP housing projects remained the lack of skills and expertise. Research limitations/implications The proposed framework model is not yet tested, but since this paper is part of the ongoing research, the next stage involves the testing and validation of the model. Future studies could test the applicability of the proposed framework in other HPPP projects in Tanzania, and in other similar developing countries. Second, the validated framework can contribute towards addressing similar challenges as well as providing guidance. The proposed framework model is not yet tested, but since this paper is part of the ongoing research, the next stage involves the testing and validation of the model. Furthermore, recommendation for future research is to test the alignment of the identified challenges to the proposed remedial solutions across the five phases within the proposed PPP framework with a number of case studies. Practical implications The identified challenges were used to form the basis of the framework presented in this paper. Furthermore, these provide useful information, thus leading to increased awareness to enable successful delivery of HPPP in Tanzania. Similarly, both the government and policy makers could use the findings as the basis for re-examining the existing PPP policy and regulations, and reflecting on the existing situation with a view to improving the delivery of future HPPP projects. Originality/value The empirical study is among the first that identifies and ranks the challenges of PPP for housing projects delivery within the Tanzanian context. The identification of the challenges enabled their ranking, resulting in the mapping out of the most critical challenges. Furthermore, using the Gidden’s structuration theory, the study illustrates how institution mechanisms (structures) address these delivery challenges, thus influencing the implementation of HPPP in Tanzania, and how individual stakeholders (human agents or agency) are able to make choices (advocated solutions) in dealing with the challenges. More so, these constraints (challenges) as identified and viewed through the contingency and equity theoretical lenses form the foundation for developing the PPP conceptual framework. The proposed framework would thus serve as a mechanism for providing practical solutions as well as reducing the level of severity of the identified challenges.


2017 ◽  
Vol 24 (7) ◽  
pp. 2092-2112 ◽  
Author(s):  
Robert Osei-Kyei ◽  
Albert P.C. Chan ◽  
Ernest Effah Ameyaw

Purpose The purpose of this paper is to identify the factor groupings of a set of 19 critical success factors (CSFs) associated with managing public-private partnership (PPP) projects at the operational stage and examine the most significant factor grouping using fuzzy synthetic evaluation (FSE) technique. Design/methodology/approach The paper adopted a comprehensive review of the pertinent literature and an empirical questionnaire survey geared towards targeted international PPP experts. Survey responses were analysed using factor analysis and FSE modelling. Findings The results from factor analysis show five CSF groupings (CSFGs) for managing operational PPPs. These are proficient service delivery and adequate legal structures, simplified payment mechanism and consistent project monitoring, effective contract variations management, suitable stakeholder management mechanism and environmental health and safety control. The FSE modelling shows that “simplified payment mechanism and consistent project monitoring”, is the most critical CSFG. The operational management CSFs under this grouping are acceptable level of user fee charges, efficient and well-structured payment mechanism, consistent project performance monitoring and long-term demand for public facility. Research limitations/implications The major limitation lies in the low sample size that was used for analysis; however the years of research and/or industrial experience of respondents and the wide coverage of different cultural backgrounds (18 countries from five regions globally) contribute to the authenticity of the survey responses. Future research should adopt interviews and case study analysis to unravel CSFs in managing operational PPPs. Originality/value The findings of this study are considerably beneficial to both public authorities and private operators. They inform practitioners of the strategic procedures and measures to employ in optimising the operational performance of PPP projects. Further, the methodology employed allows project management experts to reliably select the operational management CSFs for their projects.


2019 ◽  
Vol 10 (1) ◽  
pp. 435-472 ◽  
Author(s):  
Olga Maria Formigoni Carvalho Walter ◽  
Edson Pacheco Paladini

Purpose This paper aims to investigate Lean Six Sigma (LSS) in the Brazilian context, seeking to identify its main characteristics and opportunities for future research. Design/methodology/approach This study focuses on a literature review in the area of production engineering and operations management, where 104 relevant scientific publications were identified. Findings The results show that the most important critical success factor for integrating LSS in Brazil is top management support and commitment. LSS integration occurs predominantly in large industrial companies, being incipient in small and medium-sized enterprises. In general, there is no structured way of applying LSS. A standard framework for LSS is still lacking. Research limitations/implications This study is limited to a sample that only comprises Brazilian scientific studies. Practical implications Professionals and practitioners can understand the evolution of LSS through practical applications and the main LSS tools used in both the industrial and services sectors. It also points out the critical success factor for the implementation of LSS. The study highlights several roadmaps for LSS implementation adopted by large and modern Brazilian automotive industries based on a robust technological base. This study also contributes to expanding the evidence base of LSS application, both in Brazil and in other countries. Originality/value Some suggestions are proposed to clarify the structure and complexity of integrated implementation of LP and SS as well as expand the LSS application in small and medium-sized enterprises. This study is the first to discuss the current situation of LSS in Brazil and provide suggestions to expand LSS in the country. Comparisons of Brazilian LSS literature review with researches of others countries are also presented.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Robert Osei-Kyei ◽  
Vivian Tam ◽  
Mingxue Ma

Purpose The growth in ageing population globally has led to the increase in demand for retirement or aged care homes. Adopting public–private partnership (PPP) in the global retirement village market has become the new approach to address some of the emerging challenges. This paper aims to explore and analyse the critical success factors (CSFs) for the adoption of PPP in the global retirement village market. Design/methodology/approach An empirical questionnaire survey was conducted with experienced practitioners in the global PPP and retirement village markets. Mean score analysis, normalization range method, Kendall’s coefficient of concordance and factor analysis were used for analysis. Findings Results show that out of the 27 CSFs identified, the most significant ones in developing PPP retirement village projects are “the age-friendly design of villages”, “appropriate location of PPP retirement village”, “reliable and accessible health and physical facilities” and “effective social inclusion and integration in villages”. Further analysis shows that the 27 CSFs can be grouped into 7 major factor groupings, namely, “effective project monitoring”, “financial support”, “social integration”, “effective contractual arrangement between parties”, “government commitment and support”, “sustainable design of village” and “effective payment structure”. Originality/value The outputs of this study will adequately inform retirement village developers, retirement village stakeholders and local government authorities of the best practices they should put in place to ensure the sustainable growth of the global retirement village market.


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