scholarly journals Changes Required to Sustain a Best Value Environment

Author(s):  
Antoinette Bos ◽  
Dean Kashiwagi ◽  
Isaac Kashiwagi

The BV environment was introduced into the Netherlands in 2004. By 2008 testing was being done by a partnership between Arizona State University and Scenter (private entity led by Sicco Santema). In 2010, the $1B fast track projects were procured by the Rijkswaterstaat, using the Best Value Procurement. By 2015, instead of the BV approach being treated as just another option, NEVI, the Dutch professional procurement group (third largest procurement group in the world) designated the Best Value Procurement as one of the main stream procurement approaches, and hired a full time Director to guide their Best Value Procurement training programs. However, in three major areas: IT delivery, professional services and the medical arena, buyers and larger-traditional vendors were having difficulty adapting to the approach. The BV approach utilizes the expertise of experts to replace the need for owner management, direction and control (MDC). However, a stumbling block occurred, when a “Best Value” vendor was selected, but did not have their detailed plan as a baseline from which they could identify risk that was outside of their control, their risk mitigation plan, and a simple way to create transparency to help the client/user. This is a case study that shows how the Best Value Approach was requiring a paradigm shift with both the user and the vendor, which neither party was well-prepared for.

Author(s):  
Elske Bosma ◽  
Marcus Van der Ven ◽  
Oscar Kerkhoven ◽  
Dean Kashiwagi ◽  
Isaac Kashiwagi

The Best Value (BV) environment was introduced into the Netherlands in 2006. By 2008 testing was being done by a partnership of Arizona State University and Scenter (Sicco Santema, professor from Delft University). In 2010, the first significant test of the BV approach was done by the Rijkswaterstaat to deliver the $1B fast track infrastructure projects, and by 2015, the BV approach had become the “buzzword” of procurement and the professional procurement organization NEVI. However, in the delivery of professional engineering services, larger, more traditional services which were built on a system of relationships between clients and vendors, clients controlling the expert, and the importance of “billable man-hours”. The transition from a traditional approach to a BV approach is very challenging. Large traditional professional organizations naturally will have more difficulty adapting to the new approach. The BV approach utilized the expertise of experts to replace the need for relationships and owner management, direction and control (MDC). It also places less value on traditional practices that have been used by professional services to get business (relationships and working together with the client in a trust based relationship). The study captures the efforts of a very successful engineering firm (the second largest in the Netherlands) as they attempt to become successful in this new approach. The Best Value team that they have put together has had outstanding results in using the BV approach to changing their paradigm.


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.


2020 ◽  
Vol 1 (2) ◽  
Author(s):  
Alfredo Rivera

The Best Value Approach (BVA) is a new project delivery method that has been developed at Arizona State University. It has been documented to increase performance and value on projects by the identification and utilization of expertise instead of management, direction, and control (MDC). It utilizes performance information that is simple, observable, and countable. It allows the expert vendor to know what the client project requires, why they can achieve success and what they will do before they do it. The tracking of the project cost and time deviation requires an initial plan and method to track it. Preliminary results of the BVA have shown a 90% decrease in effort by client organizations, 98% customer satisfaction and has led to 1% vendor cost and time deviation rate. It applies to construction, services/IT projects, and any long-term service. In 2014, a large private organization having difficulty delivering information technology (IT) and construction/facility services identified the BVA as a potential solution. This paper will summarize a major IT Enterprise Resource Planning case study that the large private organization used the BVA on and identify the full results.


2021 ◽  
pp. 95-109
Author(s):  
Kevin Correa ◽  
Sylvia Symonds

Receiving an acceptance letter to college can be both exciting and daunting for many students. For some, attending college has been an expectation since birth, but for others they will be the first in their family to attend. This chapter identifies ways to support emerging adults, including advising, mentoring, and coaching as they transition to the college campus and remain to complete their studies. Additional information on the challenges faced by first-generation college students is provided as well. The case study describes the First-Year Success (FYS) Center at Arizona State University. Guiding questions help readers consider how they might increase student retention and success at their own institutions.


Author(s):  
Yutian Chen ◽  
Oswald Chong

The Chinese Construction Industry (CCI) has become one of the largest in the world within the last 20 years. However, due to its rapid growth it has been experiencing issues causing the industry to struggle with delivering high performing projects. Due to the differences between developed and developing countries construction industries, research from other developing countries that were similar to China (Vietnam and Kingdom of Saudi Arabia) were used to help identify solutions to improve the CCI. Previous research has identified the major risks in Vietnam and Saudi Arabia. It has also been identified the only solution that has documented evidence that it can improve construction performance is the Best Value Approach that was developed in the United States at Arizona State University. A literature research was performed identifying the major risks and issues that have been documented in the CCI. These risks were then compared to that of the Vietnam and Kingdom of Saudi Arabia’s construction industry risks. It was identified that the majority of the top risks were similar in all three countries. Identifying that developing countries have been experiencing the same issues. This also identifies that the Best Value Approach might be a solution to help improve the CCI.


2018 ◽  
Vol 10 (2) ◽  
pp. 102-117
Author(s):  
Dean Kashiwagi ◽  
Alfredo Rivera

The delivery of services to government groups have historically been unsatisfactory. Multiple studies have identified these services as low performing. Studies have also found that information communication technology services have been one of the worst performing services over the last 10 years. The Performance Based Studies Research Group (PBSRG) has been testing a delivery model, called the Best Value Approach, for the last 20 years that can ensure government groups receive high performing services. The major issue that the BVA approach encounters is it requires the organization to change their normal way of delivering services. It requires the organization to minimize their management, direction, and control of the vendors and instead, utilize their expertise. This paper will review a case study with a local government organization (LGO) and their issues with trying to apply the BVA to deliver their Peoplesoft software.


Author(s):  
Dean Kashiwagi ◽  
David Gastelum ◽  
Jacob Kashiwagi ◽  
Sicco Santema

The CIB Working Commission W117, “Performance Measurement in Construction,” is one of the more innovative and productive research-based commissions in CIB. It focuses on the utilization of performance metrics in the delivery of construction services. The home for W117 is the Performance Based Studies Research Group (PBSRG) at Arizona State University (ASU) in Tempe, Arizona, where W117 and ASU-PBSRG hold their annual Best Value Conference. From its start in 2009, W117 was led by Prof. Dean Kashiwagi (ASU), and his group of innovators (Dr. Kenneth Sullivan, Sylvia Romero, John Savicky and Dr. Jacob Kashiwagi) and co-coordinator, Professor Charles Egbu, (Glasgow Caledonian University). In 2016, W117 was joined by Co-Coordinator Prof. Sicco Santema, (University of Technology, Delft, Netherlands) the visionary who led to the proliferation of the W117 technology in the Netherlands. W117 aims to change construction procurement and stakeholder organizations worldwide through the use of the information-based Best Value Approach (BVA). As such, it differs from most CIB Commissions that are more science driven, while W117 is more concept and impact driven. It has been one of the most successful CIB Commissions in bridging the gap between the construction industry practice and academic research. It has been prolific in publishing and running research tests with industry partners. W117 and PBSRG have published over 300 papers and generated licensed technology (47 licenses from AZTech, the licensing body of ASU for intellectual property rights). It is the most licensed technology from the most innovative university in the U.S. (as rated by U.S. News and World Report (2016).


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.


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