scholarly journals THE CHOICE OF PROJECT GOVERNANCE MODES TO MINIMISE CONTRACTORS’ OPPORTUNISTIC BEHAVIOUR

2021 ◽  
Author(s):  
B.P. Arsecularatne ◽  
◽  
Y.G. Sandanayake ◽  

In this era of globalisation and fierce competition among businesses, contractors in the construction industry often tend to engage in opportunistic behaviour to gain more benefits at the expense of owners. The past researchers have defined contractors’ opportunistic behaviour (COB) as the behaviour of the contractor that is motivated to pursue self-interests at the expense of the client. The researchers in this field have identified project governance (PG), which considered as management of project management can be used to minimise the COB. Trust and formal control are the major PG modes that are used in the global construction industry. However, there is a dearth of research that identified the suitable PG modes to minimise the effects of COB in the Sri Lankan construction industry. Hence, this study aims to investigate the PG modes that can be used to minimise the effects of COB. Accordingly, qualitative research approach was adopted to achieve the research aim. A comprehensive literature review followed by case studies was conducted to investigate the synergy between the concepts. Information gathered were subjected to content analysis. This study revealed that formal control and combination of trust and formal control as the most suitable PG modes for Sri Lankan construction industry. The research further identified the factors that affect the COB namely, contractors focus on revenue maximisation, external uncertainties, contractual complexity, and dynamic complexity. The study further highlighted the importance of minimising COB to help minimise conflicts and reduce the financial losses incur for project stakeholders.

2021 ◽  
Author(s):  
K.G.A.S Waidyasekara ◽  
◽  
K.I. Ridmika ◽  
N.M.G.H. Sandagomika ◽  
A.N Konara ◽  
...  

The construction industry, which is a labour intensive and skill development of the industry would yield both economic and social returns to the national economy. Among other occupational categories, there is a significant demand for the plant and equipment (P&E) operators in the construction industry. Nevertheless, limited numbers of research are available on the said area. Hence, the aim of this paper is to investigate the status of P&E operators in Sri Lankan building construction projects. Accordingly, this study encompassed a qualitative research approach, and six semi-structured expert interviews were conducted as the data collection tool. The study revealed that mainly two categories of P&E as moveable and immovable and further identified subcategories under each. Based on the results, occupational map was developed for the P&E operators in building construction projects in Sri Lanka. Furthermore, the study revealed that technical and mechanical skills as an essential input for an efficient P& E operator. Moreover, the paper discussed issues with P & E operators. Accordingly, inconsistency, taking long leave, poor health conditions, less experience, and less motivation were identified as prominent issues.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lekan Damilola Ojo ◽  
Deji Rufus Ogunsemi ◽  
Olusola Ogunsina

Purpose The Nigerian construction industry is bedeviled with poor project performance and outcomes which value management (VM) could address if applied. The application of VM on Nigerian construction projects is very minimal due to certain obstacles, namely, lack of VM experts, paucity of knowledge on the techniques, etc., which inhibits the adoption into the construction industry. Therefore, this study aims to develop a conceptual framework of the adoption of VM on construction projects in a typical developing economy. Design/methodology/approach This study engaged 15 selected VM experts in two rounds of Delphi survey to develop a conceptual framework of VM adoption. The method of data analysis includes mean score, standard deviation, Kendall’s coefficient of concordance, chi-square (χ2) test, interrater agreement analysis and significant level analysis. The developed conceptual framework was sent to a team of local and international VM experts for validation. Findings This study reveals that the adoption of VM requires the collective effort of relevant stakeholders in the construction industry. The framework developed presents individual and collective activities to be undertaken by the stakeholders. The activities include training, legislation, government-funded research, etc. Thus, the adoption of innovative management methodology like VM requires the collaboration of academics, construction professional bodies and government parastatals. This will assist in the judicious use of limited construction resources and boost the relevance of the Nigerian construction industry among developing nations and in the global construction market. Originality/value This study used the opinions of few construction professionals that can be regarded as VM experts in Nigeria, as against engaging a pool of construction professionals who may not be knowledgeable in VM process. Engaging the few VM experts in the Nigerian construction industry is important to have a valid basis for drawing conclusion, as large questionnaire survey could be possibly filled by inexperienced or unqualified respondents if stringent criteria are not considered at the outset of this study.


Author(s):  
Gayani Karunasena ◽  
Kosala Rajagalgoda Gamage

Purpose The construction industry in many developing countries is reluctant to apply value engineering (VE) due to uncertainty of outcomes. The purpose of this paper is to examine the existing practices of VE techniques and make recommendations to organisations and national construction regulatory bodies, to standardise VE practices. A decision-making formula is introduced to determine profitability of VE applications prior to implementation. Design/methodology/approach A broad literature review and six case study projects that applied VE were selected. Thirty-nine semi-structured interviews were conducted to gather data within cases. Six expert interviews were conducted as confirmatory interviews to clarify and validate research outcome. Content analysis and cognitive mapping were used to analyse data among case studies. Findings Application, knowledge and experience on VE techniques among construction professionals are unsatisfactory. Recommendations include reducing contractor’s design responsibility, introducing proper VE guidelines and statutory regulations. A framework is introduced to assist authorities to standardise application of VE techniques. A decision-making formula is suggested to determine margins of contractor’s portion due to VE techniques and original profits gained. Originality/value The formula can be used as a decision-making tool by construction industry practitioners to determine successfulness of proposed VE techniques, and the proposed framework can be used to guide construction professional bodies to standardise VE practices.


Author(s):  
B. C. Roy ◽  
Sumit Wagh

<p>Globalization is shrinking the world in many senses, but at the rates at which it is happening in various countries is different depending on where any country is situated on the scale of development; however, in construction industry, the level of globalization is much lower than in other segments of the economy, across most of the countries. True and the desired level of globalization can be achieved only when the design and construction practices are globally harmonized but adopting context-specific customization to accommodate the genius of each country. This paper aims to promote such diversity in unity. The global construction industry will be the biggest beneficiary of such a globalizing movement. World has faced several crises in different countries due to many reasons like war, terrorism, bad governance, which is leading to unemployment even among highly capable engineers. A globalized environment in construction would leverage global talent despite such adverse socio-political and environmental differences. Cost-optimization is likely to take on a different meaning, gaining a wider level of acceptability across the globe.</p>


2021 ◽  
Vol 1 (1) ◽  
pp. 1
Author(s):  
Qurratulain Ahsan ◽  
Muhammad Ahsan Chugtai ◽  
Saif Ul Haq ◽  
Malik Muhammad Irfan Aslam

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sanduni Peiris ◽  
Nayanthara De Silva

Purpose Factory acceptance testing (FAT) in the construction industry has been severely hampered due to restrictions in cross-border travel resulting from the COVID-19 pandemic. Consequently, virtual FAT (vFAT) became a popular substitute for physical FAT. However, the credibility of vFAT is being questioned because it was adopted without much scrutiny. Hence, this study is aimed at investigating vFATs and re-engineering the FAT process to suit an effective vFAT environment.Design/methodology/approach A comprehensive literature search on FAT procedures was followed by two stages of expert interviews with eight leading subject experts and a case study. The findings were analysed using code-based content analysis on NVivo software.Findings Strengths of vFATs include “reduction in cost and time consumed”, “flexibility for more participants” and “faster orders”. Most emphasized weaknesses include “lack of reliability” and “lack of technology transfer”. vFAT has mostly increased test reliability by “improving accessibility” and has decreased reliability by “restricting physical touch and feel observation of the equipment”. A four-step vFAT process was developed with a noteworthy additional step called “Pre-FAT Meeting”.Research limitations/implications The scope of this study is limited to the Sri Lankan construction industry. Expansion of the geographical area of focus is recommended for future studies.Originality/value The findings of this study unveil a vFAT process, which is timely and beneficial for construction practitioners to optimize and enhance the effectiveness of vFATs which are currently conducted in a disarranged manner.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Avirag Bajpai ◽  
Subhas C. Misra

PurposeThis research paper aims to analyze the critical barriers to implementing digitalization in the Indian construction industry as Indian construction companies are lagging in the implementation of digital technologies in the work environment.Design/methodology/approachIn this research paper, a qualitative research approach is adopted, and multiple detailed interviews are conducted with industry and academic experts. Further, multi-criteria decision-making (MCDM) techniques are used to finalize the prioritization among various alternatives. The fuzzy-decision-making trial and evaluation laboratory (Fuzzy-DEMATEL) and interpretive structural modeling (ISM) techniques are employed to find the exact relationship among the identified alternatives.FindingsThis study identifies 14 critical barriers from an extensive literature review and multiple interviews with industry professionals, and further driving and critical barriers are identified.Research limitations/implicationsIn this research paper, an exploratory study with a limited number of respondents from a large Indian construction company is carried out. Further, a detailed longitudinal analysis can be done to assess the subjectivity of the participants with more advanced statistical tools. However, this research discusses several points pertaining to the implementation of digitalization in the construction industry. The research further identifies the critical barriers to digitalization in the Indian construction industry.Practical implicationsThe finding of the study has two-pronged implications. First, it provides a road-map to the construction industry by highlighting the engagement of top management as the key focus area for successful digitalization. Second, the finding also shows similarity of the digitalization process to the adoption of process improvement techniques like lean and total quality management (TQM), wherein the top management plays a crucial role in ushering in the implementation of a disruptive change.Originality/valueThe research is unique in two ways. First, this is one of the very few attempts to understand digitalization in the Indian context. Second, the research also demonstrates that the combination of fuzzy DEMATEL and ISM techniques can be successfully employed in the emerging field of construction digitalization research.


2019 ◽  
Vol 17 ◽  
Author(s):  
Sydwell Shikweni ◽  
Willem Schurink ◽  
Rene Van Wyk

Orientation: The South African construction industry is constrained by the shortage of a skilled workforce due to global competition and insufficient graduate output. There is a need to evolve attract and retain the most valuable talent.Research purpose: The aim of this study was to investigate talent management in a prominent South African internationally operating construction company. The objective is to develop a framework for enhancement of talent management practices.Motivation for the study: The South African construction industry’s inability to retain talent, hampers global competitiveness and productivity. Talent shortages need to be addressed at a strategic level to remain competitive.Research approach/design and method: A qualitative research approach examined a single South African construction organisation in the Gauteng Province. Grounded theory was used to analyse data generated from interviews, participant observations and company documents.Main findings: Firstly, talent management in the construction industry supposes mutual actions from the organisation and its talented employees. Secondly, internal enablers drive business outcomes by in alignment with a well-crafted strategy. Thirdly, a regulatory framework should acknowledge labour market dynamics and diversity. Fourthly, internal and external enablers should be taken into consideration. Finally, effective implementation of talent management practices yields talent sustainability and competitiveness.Practical/managerial implications: The two conceptual frameworks developed indicate: (1) key factors that play a role in talent management, and (2) the interface between talented employees and the organisation.Contributions/value-add: The findings provide two proposed frameworks that could guide leadership to devise an enabling global competitive talent management environment in the construction industry.


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