scholarly journals The status quo and perspective for improvement of public works procurement performance in Vietnam

2014 ◽  
Vol 6 (1) ◽  
pp. 22 ◽  
Author(s):  
Hai Luong Nguyen ◽  
Tsunemi Watanabe
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
High Performance ◽  
Public Procurement ◽  
Poor Performance ◽  
Vital Role ◽  
Public Works ◽  
The Public ◽  
The Status ◽  
Questionnaire Surveys

The public procurement sector plays a vital role in the economic development in developing countries such as Vietnam. However, public procurement activities usually perform poorly. This situation can be attributed to ineffective procedures and system (“hardware”) and human resource management (“software”), which occurs at every stage in project purchasing. The poor performance has reduced the effectiveness and efficiency of project delivery in the construction industry, causing delays, cost over-runs, and defects in construction projects. This paper, through working experience and observation by the first author, problems of public procurement were obtained as hypotheses and then validated based on questionnaire surveys and CIS (Construction Industry Structure) model analysis. The survey results indicated a relative correlation with CIS model in description of current construction industry. The study aims to identify issues of public procurement at all stages: pre bid, bid information, evaluation, and award. Based on identified major problems and determined risks, the results are expected to provide a valuable perspective, and thus, to propose necessary strategies to deliver high performance, competition and transparency for the public procurement. In further studies, it is relevant to propose a new model for sustainable public procurement based on the best value approach.

Defining social value in the public procurement process for works

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Brandsford Kwame Gidigah ◽  
Kofi Agyekum ◽  
Bernard K. Baiden
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Public Procurement ◽  
Structured Interview ◽  
The Body ◽  
Social Value ◽  
Economic Policies ◽  
Content Type ◽  
The Public ◽  
Functional Perspective

PurposeThough the Public Procurement Act of Ghana makes room for specific socio-economic policies (environmental, social, economic and other policies which are intended to promote social and economic impact), there is no explicit definition and provision for social value as an evaluation criterion, culminating in the absence of a definition in the Act. This paper elicits the conception and understanding of social value from stakeholders in the Ghanaian construction industry.Design/methodology/approachThe study adopted a qualitative method that relied on a semi-structured interview of 30 participants purposively drawn from Western, Western North and Central regions of Ghana. An inductive thematic analysis approach, which involved identifying repetitions, exploring similarities and differences, noting linguistic connectors, and a framework were employed to analyse the data.FindingsThe study established no single definition or explanation for social value in the construction industry in Ghana. However, it was revealed from the study that the concept of social value could be defined from the functional perspective of the definer, particularly from the perspective of a Procurement Officer, Works Engineer, and a Quantity Surveyor. A new insight from the study that differs from the body of literature is that participants equated benefits derived from physically constructed projects as social value.Social implicationsThe study has implication for public administration and practice regarding the decision-making process in the construction industry in Ghana. It provides a vital awakening on social value as a criterion in evaluating construction works procurement in Ghana. The ability of participants to equate the benefits derived from executed construction projects as social value creates a new perspective on understanding the meaning of social value in the procurement of works construction.Originality/valueThe study contributes to the state-of-the-art and ongoing discourse on the concept of social value globally. The findings create an important catalyst for social value research in the Ghanaian construction industry.

scholarly journals Compliance within a Regulatory Framework in Implementing Public Road Construction Projects

2018 ◽  
Vol 18 (4) ◽  
pp. 1-23 ◽  
Author(s):  
Noah Mwelu ◽  
Peter R Davis ◽  
Yongjian Ke ◽  
Susan Watundu
Keyword(s):  
Construction Projects ◽  
Public Procurement ◽  
Road Construction ◽  
Poor Performance ◽  
Regulatory Framework ◽  
Cross Sectional ◽  
Factors Affecting ◽  
The Public ◽  
Public Road ◽  
Infrastructure Project

The construction industry faces a lack of compliance with policy that in Uganda public road construction projects affects the attainment of Government goals and disrupts infrastructure project delivery. For decades, public entities have been known for a lack of compliance that manifest in: poor performance, poor personnel management, poor resource utilization and unprofessionalism. In Uganda, this has resulted in several restructures aimed at improving service delivery. Despite this, compliance remains an issue. The purpose of this study is to establish factors affecting compliance within a public procurement regulatory framework in public road construction projects and foster economic development. A cross-sectional research design including a structured self-administered questionnaire survey and PLS-SEM data analysis by SmartPLS3 was conducted. The research reveals that three factors positively affect compliance with a regulatory framework that govern public road construction projects; sanctions on staff, inefficiency of the public procurement regulatory framework and contractors’ resistance to non-compliance. While a further three factors have little positive effect on compliance; familiarity, monitoring activities and professionalism. Hence, the research contributes to construction management by showing that sanctions, perceived inefficiency and contractors’ resistance significantly enhance compliance within a public procurement regulatory framework.

THE MALAYSIAN GOVERNMENT’S INITIATIVE IN USING BUILDING INFORMATION MODELING (BIM) IN CONSTRUCTION PROJECTS

2014 ◽  
Vol 1 (1) ◽  
Author(s):  
Aryani Ahmad Latiffi ◽  
Juliana Brahim ◽  
Suzila Mohd ◽  
Mohamad Syazli Fathi
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Building Information Modeling ◽  
Structured Interview ◽  
Information Modeling ◽  
Public Works ◽  
The Public ◽  
Building Information ◽  
Malaysian Government

Building Information Modeling (BIM) is increasingly being implemented in the construction industry to produce data-rich models of buildings and structures. BIM was introduced to the Malaysian construction industry by the Public Works Department (PWD) in 2007. Since then, the Malaysian government has taken initiatives to promote BIM in construction projects. This paper aims to explore those initiatives in promoting and encouraging construction players to use BIM. A semi-structured interview was conducted with the Head of BIM Unit Projects, PWD, to explore BIM initiatives made by PWD. It revealed several initiatives have been carried out by PWD, which could increase the use of BIM in the construction projects.

scholarly journals Increasing Performance in the Japanese Construction Industry

2012 ◽  
Vol 4 (2) ◽  
pp. 161
Author(s):  
Tsunemi Watanabe ◽  
Kazumasa Ozawa ◽  
Nozomu Mori ◽  
Kenji Kinoshita
Keyword(s):  
Construction Industry ◽  
Local Governments ◽  
Risk Sharing ◽  
High Performance ◽  
Evaluation Method ◽  
Rapid Change ◽  
Implementation Process ◽  
Public Works ◽  
The Public ◽  
And Performance

The performance of the construction industry in Japan has been high due to a lack of emphasis of price. Due to rapid change in the industry environment such as social requirement of fair implementation process of public works; however, there is a deep concern that the performance of the industry is being lowered due to more emphasis on the public works getting the low price contractor. Many efforts are being made to keep its high performance in a more cost competitive environment. A comparison between the essence of public bidding reforms in Japan and principles of the Best Value Approach shows some ideas on the future of the public bidding scheme. The critical areas needing to be addressed are the importance of various levels of feedback loops in social capital management and clarification of the position of supervision for appropriate risk sharing between the public client and the vendor. Additionally, in order for local governments with insufficient engineering resources to be truly accountable, it is worthwhile studying an alternative evaluation method of proposal and performance including non-technical one.

scholarly journals Upgrade the Saudi Arabian Procurement System Delivery Method

2015 ◽  
Vol 7 (1) ◽  
pp. 146
Author(s):  
Ahmed Alofi ◽  
Yasir Alhammadi ◽  
Dean Kashiwagi ◽  
Kenneth Sullivan
Keyword(s):  
Saudi Arabia ◽  
Construction Projects ◽  
Public Procurement ◽  
Saudi Arabian ◽  
The Public ◽  
Public Projects ◽  
Potential Risks ◽  
Low Performance ◽  
And Performance ◽  
Procurement System

Saudi Arabia has had many issues in delivering mega construction projects, such as delays, high costs, and low customer satisfaction. Some studies show that around 70% of public projects in Saudi Arabia are delayed. One factor that might be causing these performance issues is the traditional low bid contracting system in Saudi Arabia, or the Saudi procurement system. In Saudi Arabia, owners select contractors based only upon the lowest price. This paper researched ways to modify the current Saudi procurement system and show quick and simple modifications that can be done to improve the low performance. This research proposes that by adding the clarification phase from the Performance Information Procurement System (PIPS) to the Saudi traditional procurement process could greatly improve construction performance. The clarification phase requires the selected contractor to submit a project scope, detailed and milestone schedule, potential risks that they do not control, and performance measurement before a contract is awarded. The PIPS system is one of the most successful systems around the world, which shows success rate of 98% in six different countries with risk and cost reduction up to 30%. The clarification phase has been identified as the most important step in the PIPS to ensuring a successful project. This paper conducted a survey among construction professionals in Saudi Arabia, including 157 engineers, 33 consultants 9 owners, 5 vendors, 13 academics, and 28 architects, in order to develop the public procurement system in Saudi Arabia. The participants work in government sectors with an interest in the Saudi Arabian procurement system. The survey confirmed that professionals in the Saudi construction industry believe that the procurement system should be changed and that the inclusion of the clarification phase to the procurement system is a way to improve the procurement system.

Roles of Contractors in Implementing Quality Assessment System in Construction (QLASSIC) in Construction Projects

2021 ◽  
Vol 15 (S1) ◽  
pp. 53-69
Author(s):  
Mohd Shazreen Seman ◽  
Mohd Reza Esa ◽  
Mohd Reeza Yusof
Keyword(s):  
Quality Assessment ◽  
Construction Industry ◽  
Construction Projects ◽  
Poor Quality ◽  
Technical Committee ◽  
Assessment System ◽  
Construction Companies ◽  
Industry Standard ◽  
The Government ◽  
Questionnaire Surveys

In recent decades, the construction industry has been widely criticized for its lack of efficiency and productivity, and it has been shown that the Malaysian construction industry records poor quality on its projects. To overcome this issue, the Technical Committee on Quality Assessment in Construction with the support of the Construction Industry Development Board (CIDB) has introduced Quality Assessment System in Construction (QLASSIC). QLASSIC is a scoring system that is used to assess and evaluate the performance of construction buildings. It is based on the Construction Industry Standard (CIS 7:2006). Unfortunately, this assessment system had poor implementation since its introduction in November 2006. QLASSIC was not extensively implemented and was taken lightly by the contractors and developers in Malaysia. There are still a huge number of contractors that are not aware of QLASSIC even the big construction companies. Thus, this research is aimed at investigating the contractor’s perspective towards the implementation of QLASSIC in the construction industry in Malaysia. Three objectives are developed to achieve the aim: (1) identification of the needs to implement QLASSIC; (2) investigation of issues and challenges to implement QLASSIC and (3) recommendation of strategies to implement QLASSIC. Structured questionnaire surveys were distributed to the G7 and G6 contractors in the Klang Valley area; which may have or may not have experience in implementing QLASSIC in their projects. The result revealed that majority of the respondents were aware and understand the needs of QLASSIC implementation, but there were still few who were unfamiliar with the QLASSIC. The current level of implementation of QLASSIC in Malaysia is still not satisfactory due to several issues and challenges acting as barriers to its implementation. Therefore, the initiatives from the government are important to promote QLASSIC implementation in the construction industry. By doing this, the contractors would be aware of the implementation of QLASSIC in the construction industry. The significance of this research is that it will assist contractors and other construction players in comprehending the implications and importance of QLASSIC implementation.

scholarly journals Level of satisfaction and issues with procurement systems used in the Malaysian public sector

2013 ◽  
Vol 13 (1) ◽  
pp. 50-65 ◽  
Author(s):  
Mastura Jaafar ◽  
Nurhidayah Mohd Radzi
Keyword(s):  
Public Sector ◽  
Construction Industry ◽  
Public Procurement ◽  
Poor Quality ◽  
Public Attention ◽  
Traditional System ◽  
The Public ◽  
Level Of Satisfaction ◽  
Traditional Work ◽  
Procurement System

Since the declaration of Malaysian independence, the public sector has significantly contributed to the country’s development. In the 1990s, a new procurement system was developed due to CIBD various changes in the construction industry. Since that period, the poor quality of public sector projects has started to attract public attention. This paper describes a study that was conducted to identify the dominant public procurement systems in place, the problems associated with these systems, and the satisfaction level of the industry players in the Malaysian construction industry. The results were drawn from 84 survey responses and interviews with industry players. The public sector is using a traditional system inherited from the British, with an intention to adopt new procurement systems. Aside from the disputes that are present in most systems, the public sector seems to encounter particular problems in relation to capabilities, time, and cost of the major procurement systems used. Traditional work culture and the industry environment influence public sector practice, which accounts for the modifications of each procurement system used. Thus, the full advantages of using an alternative procurement system may not be realised in public sector organizations. This produces an average level of satisfaction gained from the procurement system adopted. As a developing country, Malaysia needs to exert significant efforts to improve the public procurement system. 

Framework for Sustainable Procurement - Identifying Elements for Construction Works

2020 ◽  
Vol 897 ◽  
pp. 245-249
Author(s):  
Reini Wirahadikusumah ◽  
Muhamad Abduh ◽  
Yunita Messah
Keyword(s):  
Construction Industry ◽  
Environmental Performance ◽  
Public Procurement ◽  
Government Agency ◽  
Public Works ◽  
Sustainable Construction ◽  
Sustainable Procurement ◽  
The Government ◽  
Depth Interviews ◽  
Construction Works

Sustainable procurement has been considered an opportunity for improving the environmental performance of the construction industry. The development of sustainable procurement in Indonesia is still in its initial phase. Therefore, a framework is needed to establish an outlook to explore the enablers and barriers for promoting sustainable procurement in the construction industry. In the formulation of the framework, the first step is to identify the important elements. The approach was explorative-descriptive. Based on ISO 20400, as the guidelines for sustainable procurement, and literature on sustainable procurement for construction works, a list of elements was gathered. In-depth interviews were conducted to identify the most significant elements for the Indonesian construction public procurement context. Respondents included procurement experts from the government agency, (i.e., the National Public Procurement Agency and the Ministry of Public Works and Housing), academics, and procurement specialists who are the members of the Indonesian Procurement Professionals Association. Results suggest that all elements contained in ISO 20400 are relevant with the kinds of literature on construction works; also, Indonesian respondents agreed with all the identified elements ranging from “important” to “very important.” This finding will be subsequently used to further understand the complex cause-effect relationships among the important elements in developing the framework for sustainable construction public procurement.

Exploring influential factors leading to the poor performance of public construction project in Ethiopia using structural equation modelling

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Benti Gadisa ◽  
Hong Zhou
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Construction Project ◽  
Poor Performance ◽  
Project Performance ◽  
Influential Factors ◽  
Project Design ◽  
Content Type ◽  
Factors Affecting ◽  
Public Construction

PurposeIt is well recognized that the construction industry is characterised by inefficient and ineffective service delivery due to various causative factors. Thus this study aims to examine the influential factors affecting public construction project performance in Ethiopia to improve the industry's service delivery.Design/methodology/approachFrom the extensive literature reviewed, 58 potential factors affecting construction project performance have been compiled. Based on the evidence accumulated, the conceptual model of this paper has been developed. By using survey questionnaires, valuable data were collected from the construction industry professionals in Ethiopia; analysed and interpreted with the use of both SPSS and AMOS software.FindingsIt is concluded that failure factors related to the “performance” of the contractor, the “capability” of the owner, the “project design-procurement process,” and project contract management can significantly contribute to the poor performance of public construction projects in Ethiopia. Ten key factors include inadequate contractor capacity, weak project site management and supervision, weak project management skills and capabilities of the owner, additional work orders, delayed payment, lack of comprehensive project plans between parties and incomplete project design, rising material prices, ineffective project schedules, and cost management, rising market prices and devaluation of the currency.Research limitations/implicationsThe scope of this study confined to public projects in Ethiopia. It suggests that further research needs to consider public and private construction from a comprehensive perspective in the developing countries.Practical implicationsIt provides practitioners with information and guidance on the factors that affect the performance of construction projects.Originality/valueIt provides inclusive evidence related to many factors that affect the performance of public construction projects.

scholarly journals Management of Business Risk Hedging in Construction Contracts from the Perspective of Public Investors

2020 ◽  
Vol 14 (2) ◽  
pp. 168-173
Author(s):  
Barbara Andrlova ◽  
Jana Korytarova
Keyword(s):  
Risk Management ◽  
Construction Projects ◽  
Current Practice ◽  
Public Procurement ◽  
Public Works ◽  
Business Risk ◽  
Structured Interviews ◽  
The Czech Republic ◽  
Construction Contracts ◽  
Risk Hedging

Risk management of construction projects presented in the article focuses on the management of business risk from the perspective of public investors in public works contracts in the Czech Republic. Based on the data analysis and a comparative study of specific attributes in contracts for works, the result of the research has been a portfolio of specific instruments and their recommended parameters for effective business risk management. Qualitative analysis was conducted using a questionnaire survey and structured interviews with public sector representatives to share their views on the current practice of protecting public procurement with regard to mitigate business risk. Types, functions and recommended parameters of hedging instruments has been proposed. Effective forms of hedging are mainly liability insurance for damage to things, property and health, contractual penalties, retention money and bank guarantees. Results of the research were compared with foreign practice and international contractual standards.

Sign in / Sign up

Export Citation Format

Share Document