scholarly journals Unique Factors of Best Value Procurement from the Perspective of Nigerian Construction Professionals

Author(s):  
Gumgaro Simon-Peter Buba ◽  
Razali Adul Hamid ◽  
Zuhaili Mohamad Ramly ◽  
Tchad Sharon Jatau ◽  
James David Jatau

The construction industry is vital to the economic development of any country. It has a major role in providing built infrastructures in an innovative and cost-effective way using an effective procurement approach. In contrast, the most widely used procurement method in Nigeria is the traditional procurement approach which is known for plaguing the industry with the poor working condition and poor performances thus, reducing the sustainability and quality of products and services. For this reason, there is a need for a procurement approach which utilises expertise to minimise the risk of non-performance and create a win-win environment for both client and contractors, while increasing transparency and add value to the project such like, the Best Value Procurement. Against the background, this paper aims to establish the perception of the Nigerian construction professionals on the unique factors of the Best Value Procurement. The paper outlines the following objectives: To identify the unique factors of the Best Value Procurement and, to establish the perception of the Nigerian construction professionals on the Best Value Procurement unique factors. Using a questionnaire survey, data was collected form 314 construction professionals involving Quantity Surveyors, Architects, Builders and Civil Engineers. Kruskal Wallis Test and mean score ranking was used for data analysis. The findings show that the professionals generally agree that the Best Value Procurement unique factors can bring about transparency, accountability, increase project performance and the contractor is the best to control risk and adds value to the project. This paper derives its significance from the need to stabilise the procurement system in Nigeria by transferring the risk and control to contractors who must act in the best interest of the client. 

Author(s):  
Dean Kashiwagi ◽  
Jacob Kashiwagi ◽  
Abraham Kashiwagi ◽  
Kenneth Sullivan

The Dutch construction industry is making a change from an owner controlled to a contractor-controlled environment. It is a movement from a top down culture (management, direction and control) to a bottom up culture (alignment and use of expertise). Owner decision making, management, direction and control are being replaced with a leadership model, which aligns and utilizes the expertise of the contractors. The changes in the Dutch construction industry validate a non-traditional research model, which used deductive logic and case studies involving dominant information and visionary industry participants, non-traditional concepts of Information Measurement Theory (IMT), the Construction Industry Structure (CIS) model and the best value Performance Information Procurement System (PIPS).


Author(s):  
Dean Kashiwagi

Best Value Procurement/Performance Information Procurement System (BVP/PIPS) has been developed by Dean Kashiwagi and the Performance Based Studies Research Group (PBSRG) from 1991 - 2010. BVP/PIPS is a licensed technology from Arizona State University that includes a deductive logic called Information Measurement Theory (IMT), an industry structure model which shapes the PIPS functions, and a process and structure that transfers risk and control to expert vendors. The BVP/PIPS has gone through numerous stages: the performance information centered PIPS (1994-2001); the PIPS testing phase (2001-2005); and the implementation stage (2005-2009); and the theoretical refinement and standardization of BVP/PIPS technology (2010). BVP/PIPS was introduced into the Netherlands in 2005 by a large general contractor Heijmans, the Rijkeswaterstaat, and aggressively proliferated by Scenter and others. BVP/PIPS usage in the Netherlands is modified to fit within the European procurement law. However, the main advantage of PIPS is the IMT based philosophy of minimized management, direction, and control of expert vendors.


The article deals with the issue of state regulation over the construction products industry. Analysis resulted in the identification of two main forms of regulation: tariff and non-tariff regulation. Global practices show the effectiveness of non-tariff regulation in the construction industry. Being a WTO member, Ukraine has to implement the legal framework of non-tariff regulation, in regards to those aspects contributing to compliance with the rating and standards of the European Union to ensure the quality of products. The main objective of non-tariff market regulation is to ensure the quality of finished products, environmental protection, health and safety of life. The national system of regulation, including technical rate-setting of the construction products manufacturing must comply with the international documents ratified by Ukraine. The article analyzes the domestic legal framework and proposes an algorithm for designing a national system of non-tariff regulation in accordance with international rules and standards.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
G.P.P.S. Perera ◽  
T.M.M.P. Tennakoon ◽  
Udayangani Kulatunga ◽  
Himal Suranga Jayasena ◽  
M.K.C.S. Wijewickrama

PurposeThe purpose of this paper is to select a suitable procurement method for steel building construction in Sri Lanka following a systematic method which weigh, both procurement selection factors and existing procurement systems.Design/methodology/approachAn abductive research stance is followed in this empirical study. Procurement selection factors were selected through a critical literature review which was followed by a quantitative questionnaire survey. The collected data were analysed using descriptive statistical analysis and relative important index.FindingsThe critical literature review outlined 46 procurement selection factors, out of which 26 factors were very important in steel building procurement selection. Short construction period and higher constructability of design are ranked at the top with the highest priority rating factors. Management-oriented procurement system was selected as the most appropriate procurement system for steel building constructions within the Sri Lankan context.Research limitations/implicationsThe study is limited to widely use three procurement systems in Sri Lankan construction industry. Yet, the process followed in selecting the most appropriate procurement system could be applied for other contexts. The implications of the study are mainly identifying management-oriented procurement as the most suitable procurement method for steel building construction in Sri Lanka.Practical implicationsThe systematic procedure of procurement method selection for steel building construction may use in the Sri Lankan construction industry to limit the resource loss due to wrong selection of procurement.Originality/valueA study which critically and comprehensively presenting a procurement selection process for steel building construction is not recorded in Sri Lanka prior to this study.


Author(s):  
Joel Chiadikobi Nwaubani ◽  
Artemis Tsianta ◽  
Magdalini Zelka

In today's era of high competition and globalisation, it is an indisputable fact that customers are more demanding not only in the quality of products but also on the services provided. Consequently, the pressure on companies to discover new ways to create and provide quality to their customers has increased much more. More specifically, customer service has become a key tool for diversification, as culture and customer demands are constantly increasing. Greece stands on a strategic crossroad for the development of transportation in the greater region of Europe, Asia and Africa. Its geographical position renders it highly attractive for investments in logistics and transport to take advantage of these increasing trade flows in an efficient and cost-effective manner. In this paper, we carried out a quantitative research in Greece using a questionnaire to analyse the importance and effectiveness of the application of logistics in businesses with regard to customer service, which serve as a critical source of sustainable competitive advantage. By applying this method, a business will have its customers satisfied, thereby giving them the motivation to remain loyal and faithful to their purchasing practices within the company.


2020 ◽  
Vol 13 (5) ◽  
pp. 58-66
Author(s):  
Xinyu Liu ◽  
◽  
Xiaojie Jin

The dynamic control of atmosphere is an important factor for guaranteeing the quality of climacteric products during transportation. As atmosphere changes, respiration climacteric products would rot because of overripeness, thus leading to loss. Moreover, climacteric products must be ripened artificially when delivered to the destination, thereby causing economic waste. In this study, a new transportation method based on dynamic control of ripening environment was designed.The ripeness control method based on the dynamic control of ripening atmosphere was presented to accomplish quality safety during transportation as well as avoid a subsequent extra process of ripening. The transportation method was employed to stem from the ethylene’s ripening effect on climacteric fruits and vegetables. The ethylene generator and air circulation unit, which dynamically regulate and control the dual regional atmosphere of carriages during transportation, were quantitatively controlled by the central treatment layer. Ripeness level could be regulated by controlling the temperatures and time of exogenous ethylene release, to control the quality of products and ripen them. The proposed method was proven feasible through experiments. Results demonstrate that a volume fraction of 0.01% exogenous ethylene allows bananas’ respiratory intensity to reach the peak early; meanwhile, moderate low temperature (16 °C) can enable ethylene peak to appear in advance. Therefore, bananas’ ripeness can be controlled by changing temperatures and the ripening environment when transporting. This study can provide references for the control of products’ ripeness during transportation.


Author(s):  
Jannie Koster-Robaard

The water board Velt en Vecht is a Best Value (BV) client who used the Performance Information Procurement System (PIPS) process to select professional services in 2012. The client had a procurement mission of integrity, transparency, objectivity, and non-discrimination that aligned them with the BV PIPS system. With a strategic plan of leadership instead of management and control, the water board is an example of a visionary owner that can be successful with BV PIPS. Lessons learned from the water board implementation of PIPS are that BV PIPS is a change of paradigm, even for a visionary owner. Both the owner who selects and the contractors who compete for the award must learn the new paradigm of minimized decision making, proactive planning, and risk management.


Author(s):  
Sutrisno Harianto ◽  
Ellysa Nursanti

Traditional cast brass handicrafts Majapahit is one of the nation's cultural heritage which has a high historical value. The uniqueness and quality become the hallmark of this craft products. The results of handmade products such as sculptures, wall hangings, souvenirs, ornaments doors and so on. To increase the sales of traditional handicrafts of brass castings, required Majapahit applicative technical efforts in improving the quality of products which are ecofriendly. Quality improvement method such as Six sigma. Six sigma focuses on decreasing flawed rate, by reaching the standard 3, 4 flawed in a thousand possibility. Six sigma has 5 phases; define, measure, analyze, improvement, and control. In this research, six sigma is applied in producing cast brass handicraft starting from making the master mold, preparation of smelting raw materials, cooling process, releasing of the mold, and finishing. Purposefully to improve the quality by overcoming and decreasing the high of flawed possibility and also applying marketing mixture in improving the market segmentation of traditional cast brass of Majapahit market. The result is quality improvement is shown by decreasing happen in number of flawed product in total of mean for about 154, 8 decreased to 59,5. While the calculation of the six sigma, flawed product of cast brass handicraft is for about 1,7625 sigma value or being in level 2 and increased to 3,725 or being in level 4 with the flawed possibility in amount 235,000 for thousand times of production. The ability of production for the requirement which is wanted by the consumers and owning a good enough capability but still needed some correction to achieve world class home industry


Author(s):  
Syed Nihas ◽  
Jacob Kashiwagi ◽  
Dean Kashiwagi

In September of 2013 the Performance Based Studies Research Group (PBSRG) made its first entry into India to introduce the Best Value approach. The purpose of the entry was to identify if the Best Value (BV) approach and technology could optimize the performance of the Indian Construction industry. This paper documents the results of the exploratory effort. In 2014, industry visionaries in coordination with the SJCE university group, will commence testing of the implementation of the licensed Best Value technology in India. The technology includes the Information Measurement Theory (IMT), the Performance Information Procurement System (PIPS) and the Construction Industry Structure (CIS).


2017 ◽  
Vol 14 (4) ◽  
pp. 39-46
Author(s):  
D. N. Kalacheva

The system method of hierarchical decomposition and subsequent composition is widely used in practice. However, decomposition does not simplify, but even complicates the analysis of quality, since it is necessary to investigate, in addition to the object itself, all the selected subsystems and elements, which as integral patterns are characterized by their properties and connections. To ensure the required quality of products, it is necessary to consider and control not only the properties of the result (element, subsystem, product), but also all processes that form quality characteristics.


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