scholarly journals Factors Causing Construction Litigation in Saudi Arabia

Author(s):  
Saud Almutairi ◽  
Jacob Kashiwagi ◽  
Dean Kashiwagi ◽  
Kenneth Sullivan

The problem of litigation and disputes in the construction sector is a major impediment to a country’s development goals. The purpose of this paper is to investigate the problem of high legal costs and long delays that arise due to litigation involving project owners, designers, contractors and other construction parties worldwide and in Saudi Arabia, as well as give recommendation according to the outcomes of this research. The causes of litigious behavior in Saudi Arabia and around the world were identified and documented; also the differences in litigation of the Saudi Arabian construction industry as compared to other countries were identified. Preliminary investigations revealed that there is some level of similarity in the nature of the causes. Thus, these causes were grouped into three main categories, which are expectation factors, communications factors and documentation factors. Further research based on existing literature showed that the practices used to minimize litigation in the construction industry were investigated. The following delivery processes were researched: Design-Build (DB) Delivery Method, Alliance Contracting, Construction Manager at Risk (CMAR), Best Value Model (BVM), Integrated Project Delivery (IPD), Public-Private Partnerships (PPP) and the Best Value Performance Information Procurement System (BV PIPS). Many of these delivery methods were found to have issues, which means the methods by observation do not seem to be the ideal solution to minimize litigation in the construction industry. The only delivery method found to have no litigation issues was the BV PIPS approach.

2013 ◽  
Vol 357-360 ◽  
pp. 2171-2176
Author(s):  
Ming Teh Wang ◽  
Chi Chen Tsai ◽  
Luh Maan Chang ◽  
Thanh Long Ngo ◽  
Van Duc Mai ◽  
...  

Even though the design-build (DB) delivery method has become a popular construction project delivery method in many countries, it is relatively rare in Taiwan. This study investigates the problems and difficulties that Taiwanese owners may encounter during using DB delivery methods. Twenty six problems over the four key stages of the DB process were first identified based on previous studies and expert interviews. A questionnaire survey was then conducted to determine the most pressing problems for Taiwan. The results of statistical analyses show that Taiwanese owners face key problems at all stages of the DB delivery method, especially during the tender preparation and valuation stages. These findings can be used by Taiwanese owners for successfully executing DB projects.


Author(s):  
Birtice Garner ◽  
Kathleen Richardson ◽  
Daniel Castro-Lacouture

Design-Build is rapidly becoming one of the most commonly used project delivery methods in the facility construction industry. The United States Air Force and the Air Force Reserve Command (AFRC) are expected to establish a target of 75% of all Military Construction (MILCON) projects delivered using the Design-Build method. The use of this delivery method will bring significant changes in the relationships between the various parties associated with facility project delivery when compared to the traditional Design-Bid-Build method. This paper demonstrates that Design-Build delivery with a best value selection is an important tool in accomplishing AFRC’s cost efficient, rapid response transformation goals applicable to facility construction. Three hundred thirty two projects in program years 2002 through 2006, constructed using both traditional Design-Bid-Build or Design-Build delivery methods, were examined. Parameters used for comparisons were construction cost and schedule growth, project cost, vertical versus horizontal construction, and number of days required to prepare solicitation documents, advertise and accomplish construction award. This research reveals significant project schedule advantages with Design-Build best value selection delivery. The advantages are apparent in both pre and post construction award activities. Potential Design-Build cost advantages are hindered by Defense Federal Acquisition Regulations requiring firm fixed price contracts at construction award.


2019 ◽  
Vol 276 ◽  
pp. 02017
Author(s):  
Susy Rostiyanti ◽  
Ario Bintang Koesalamwardi ◽  
Christian Winata

Design-build in construction industry becomes one of the project delivery method selected by owner. Light rail transit, mass rapid transit, and stadium renovation are examples of large infrastructure projects which are constructed under design-build approach to save time. In this approach, the design and construction phases are carried out simultaneously by contractor. One of the advantages for owners is that most risks are transferred to the contractors. This paper attempts to discuss contractors’ perspective related to risk factors in design-build project. The aim is to understand potential risk that can lead to an unsuccessful project. A questionnaire is developed that contains six factors with 20 sub-factors related to project risks. The questionnaire is distributed and responded by both state-owned and private enterprises contractors that involved in design-build project. Data are analysed using Significance Indexes method in order to obtain the relative significance of the risk sub-factors. The result shows five influenced sub-factors including project and program management issues that may cause risk to the contractor’s success under design-build project.


Buildings ◽  
2020 ◽  
Vol 11 (1) ◽  
pp. 11
Author(s):  
Salma Ahmed ◽  
Sameh El-Sayegh

Selecting the appropriate project delivery method (PDM) is a very significant managerial decision that impacts the success of construction projects. This paper provides a critical review of related literature on the evolution of project delivery methods, selection methods and selection criteria over the years and their suitability in the construction industry of today’s world. The literature review analysis has concluded that project delivery methods evolve at a slower rate compared to the evolution of the construction industry. The paper also suggests features of an evolved project delivery method that is digitally integrated, people-centered, and sustainability-focused. Moreover, the paper highlights the latest selection criteria such as risk, health and wellbeing, sustainability goals and technological innovations. Furthermore, the paper concluded that advanced artificial intelligence techniques are yet to be exploited to develop a smart decision support model that will assist clients in selecting the most appropriate delivery method for successful project completion. Additionally, the paper presents a framework that illustrates the relationship between the different PDM variables needed to harmonize with the construction industry. Last, but not least, the paper fills a gap in the literature as it covers a different perspective in the field of project delivery methods. The paper also provides recommendations and future research ideas.


2014 ◽  
Vol 2014 ◽  
pp. 1-8 ◽  
Author(s):  
Xiang Ding ◽  
Zhaohan Sheng ◽  
Jianguo Du ◽  
Qian Li

Project delivery planning is a key stage used by the project owner (or project investor) for organizing design, construction, and other operations in a construction project. The main task in this stage is to select an appropriate project delivery method. In order to analyze different factors affecting the PDM selection, this paper establishes a multiagent model mainly to show how project complexity, governance strength, and market environment affect the project owner’s decision on PDM. Experiment results show that project owner usually choose Design-Build method when the project is very complex within a certain range. Besides, this paper points out that Design-Build method will be the prior choice when the potential contractors develop quickly. This paper provides the owners with methods and suggestions in terms of showing how the factors affect PDM selection, and it may improve the project performance.


2016 ◽  
Vol 2016 ◽  
pp. 1-7 ◽  
Author(s):  
William Paolillo ◽  
Branka V. Olson ◽  
Edward Straub

People-centered innovation is a paradigm shift in the construction industry. It is derived from the supposition that people not methods, schedules, or budgets deliver projects. Our data suggest that a multilevel, multidisciplinary project team through shared vision, values, and a common vernacular defines, designs, and delivers more successful projects than traditional methods. These projects meet the needs of shareholders, the community, stakeholders, and the planet. We employ the concepts of emotional intelligence and agency theory to explain an integrated project delivery (IPD) construction project using lean tactics that not only delivered, but also exceeded expectations resulting in a six-month schedule acceleration and $60M savings over the original estimated cost of the project calculated assuming traditional project delivery methods. The safety rating for this project was 50% better than the national average and the expected improvement in operating margin for the new building is 33% greater. This paper introduces the notion of people-centered innovation to an industry that has struggled to adapt and show positive results over recent decades. Our case study describes the significance of people-centered innovation in construction project delivery. We discuss the implications for the construction industry going forward.


Author(s):  
Ziqiang Zeng ◽  
R. Edward Minchin ◽  
Lourdes Ptschelinzew ◽  
Yuanxin Zhang

This paper focuses on providing a methodology to optimize the selection of multiple project delivery methods for multi-project transportation systems under uncertainty. In contrast to previous studies, this paper considers that owners sometimes divide transportation projects into sub-projects that are constrained by construction sequence. The owners’ objectives are to minimize the total project cost and duration for the whole multi-project undertaking by selecting the most appropriate project delivery method for each sub-project. The complexity of this problem is the motivation for the development of a multi-objective decision making model that can help owners evaluate and choose the appropriate project delivery method for each sub-project. The model considers three fundamental project delivery methods, i.e., design–bid–build, design–build, and construction manager-as-general contractor. The project cost and duration of each sub-project when selecting different project delivery methods are estimated by experts employed and/or retained by the owner, and regarded as fuzzy variables. Furthermore, a fuzzy simulation-based multiple objective particle swarm optimization algorithm is developed to find feasible Pareto solutions. Results and analysis of a numerical example are presented to highlight the performance of the model.


2010 ◽  
Vol 37 (12) ◽  
pp. 1525-1534 ◽  
Author(s):  
Andrew S. Chang ◽  
Fang-Ying Shen ◽  
William Ibbs

Design–build (DB) is adopted as a project delivery method in hopes to improve performance. Previous studies focus on upstream issues such as conditions for adoption and contractor selection, but few address the design and construction coordination issues that are very likely to be encountered in execution by new users. This paper investigates coordination problems arising from design and construction concurrence and solutions by studying five ongoing DB projects and interviewing nine major contract parties. Inconsistent application of the design and construction process and infrequent feedback are two major problems found to have high influence on DB execution. A work unit planning process with five steps is presented in this paper to help better manage the design and construction coordination of a DB project.


Author(s):  
Ahmed Alofi ◽  
Dean Kashiwagi ◽  
Jacob Kashiwagi

The current Saudi Arabia (SA) procurement system leads to many losses in money and benefits in projects. The estimated percentage of delayed projects in SA during the past decades is more than 70% of the total projects. A questionnaire has been developed and carefully designed to improve the current SA procurement system. The questionnaire was sent out to 1,396 participants, the SA Council for professional engineers, who work in both private and public sectors. The participants are interested in the SA procurement and contracts system with experience ranging from one to more than twenty-five years in common construction sectors. Most of the participantsfrom both private and public sectors agreed with the survey statements regarding zone price proposals, contractors' evaluation, risks, planning, projects' scope, owners concern and weekly risks reports (WRR). Based on the survey, a model, called SVIE procurement system, has beendeveloped in which the most expert contractor is chosen through four phases: submittals & education, vendor selection, illustration, and execution. The resulting model is easy to implement by SA government and does not require special skills or a background.


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