Research on the Relational Governance of Construction Project Transaction

2013 ◽  
Vol 368-370 ◽  
pp. 1922-1926 ◽  
Author(s):  
Zu Song Cheng

Project contract is only one aspect of project governance. Even a perfect contract can not ensure the project performance. The specific characteristics of construction project transaction determines the traditional project governance mechanism that focus on contract alone can not make sure that the construction project goes well. In fact, since construction projects are inserted to certain social environment, the influence of social relationship on project performance draws increasing attention as the research on project governance goes further. The paper applies the idea of relational governance to construction project transaction governance aimed at its specific characteristics and analyses the influential factors of relational governance in construction project transaction from the stakeholders angle and its application exemplified by the partnering pattern.

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Benti Gadisa ◽  
Hong Zhou

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.


2012 ◽  
Vol 18 (1) ◽  
pp. 133-144 ◽  
Author(s):  
Fu-Cih Siao ◽  
Yu-Cheng Lin

Many interfaces typically exist in the construction phase of a project. Since project participants usually fail to share interface information, most interfaces are difficult to solve effectively during that phase. Furthermore, future activities might not be implemented based on changes made by predecessors. In practice, failure to manage interfaces may result in additional work or in low project performance. In order to manage construction interfaces effectively, this study proposes the novel Multilevel Interface (MI) Matrix approach to enhance interface management during the construction phase of construction projects. By using the MI matrix approach, construction interface issues will be tracked and man-aged easily and effectively. Furthermore, this study develops a construction web matrix-based interface management (WMIM) system integrated with the proposed MI Matrix approach. The MI matrix approach and WMIM system are applied to a pilot test to illustrate how to support interface management during the construction project. As results of the pilot test indicate, the MI matrix approach and WMIM system provide an effective interface management tool for the construction phase. Santrauka Statybos projekto statybos darbų etapui būdinga tai, kad su įvairiais subjektais palaikoma gausybė ryšių. Daugumą jų šiame etape veiksmingai palaikyti dažniausiai ne itin lengva, nes projekto dalyviai paprastai informacija apie juos nesidalija. Be to, perimantys darbą gali ir nesiremti savo pirmtakų padarytais pakeitimais. Praktine prasme nesugebant valdyti ryšių, gali tekti darbus perdaryti arba projekto efektyvumas gali sumažėti. Efektyviam su statyba susijusių ryšių valdymui šiame darbe siūlomas novatoriškas įvairialygių ryšių (ĮR) matricos metodas, leidžiantis pagerinti ryšių valdymą statybos projekto statybos darbų etape. Taikant ĮR matricos metodą lengva veiksmingai sekti ir valdyti statybų ryšių klausimus. Be to, atliekant tyrimą sukuriama projekto dalyviams skirta internetinė matricinė statybų ryšių valdymo (WMIM) sistema, į kurią įtrauktas siūlomas ĮR matricos metodas. Taip pat, taikant ĮR matricos metodą ir WMIM sistemą, atliekamas bandymas, rodantis, kaip jie padeda valdyti statybos projekto ryšius. Bandymo rezultatai rodo, kad ĮR matricos metodas ir WMIM sistema – tai efektyvi ryšių valdymo priemonė statybos darbų etape.


2019 ◽  
Vol 5 (1) ◽  
pp. 13-19
Author(s):  
Fitri Nur Kharina ◽  
Kusno Adi Sambowo

Construction projects in all regions continues to be developed for the creation of facilities that can be utilized by the community. One of them is the construction of apartments which are now being intensively carried out to meet residential needs for the community. Making a construction project plan always refers to estimates that exist at the time development plan is made, therefore problems can arise if there is a discrepancy between the plans that have been made and the actual reality. So the impact that often occurs is the delay in the time of project implementation which can also be accompanied by an increase in the cost of implementing the project. In the construction project of Cinere Terrace Suites Apartemen & Citywalk, Jakarta there was a delay resulting in a late payment of monthly bill progress by the owner. Based on the above reasons, this research was conducted to find out how the project performance was seen from the cost and time period of the review period. how is the estimated cost and time to complete the overall project work. The method used in the analysis of this study is the Earned Value Method. Based on the results of the analysis carried out for 29 weeks the project performance on schedule has been delayed and cost shows a positive value. For the estimated completion time of the project there is an increase in time whose duration increases from the planned 98 weeks or 685 days to 109,624 weeks or 768 days. While the estimated cost of completing the project from the results of the analysis obtained a value of Rp. 270,147,448,569.16 smaller than the planned cost of Rp. 315,272,727,272.73. With the difference VAC of Rp. 45,125,278,703.57 this shows that there are benefits obtained by the contractor.


2019 ◽  
Vol 50 (1) ◽  
pp. 89-96 ◽  
Author(s):  
Saurav Dixit ◽  
Kinshuk Saurabh

Performance of a construction project could be influenced by a number of attributes, especially large and complex projects lay additional focus on the success / failure attributes, because of the intensive amount of money invested, a high degree of uncertainty, the complexity of personnel’s required, a multiplicity of goals and problems in coordination between different stakeholders encountered. In this research paper, the author intended to define and examine the relationship and impact of construction productivity (CP) over construction project performance (CPP). The author tests the proposition that there is a positive relationship/impact between both of them. And to test the effect of factors is affecting CP on CPP and to propose a conceptual model on the basis of the analysis. To validate the mathematical validity of factor analysis, Spearman correlation analysis has been performed on the factors. And to check the reliability of all the factors using reliability analysis, and finally test the hypothesis that construction productivity is having a positive impact on project performance using one sample t-test. The findings of the study concluded that there is a positive impact of construction productivity on project performance in Indian construction projects. This paper attempts to identify the relationship between CP and CPP and recommends the framework for the industry to grow sustainably and deliver projects successfully. This study is conducted using a structured questionnaire survey in India and to validate the results of the study similar kind of study is required to be conducted in the other regions of the country to have more reliable findings."This paper is the revised version of the paper that has been published in the proceedings of the Creative Construction Conference 2018: Dixit, S., Mandal, S. N., Thanikal, J. V, & Saurabh, K. (2018). Construction Productivity and Construction Project Performance in Indian Construction Projects, m(July), 379–386. https://doi.org/10.3311/CCC2018-050".


Author(s):  
Muhamad Abduh ◽  
Farrel Adam

Request for information (RFI) is considered as one of the important administrative tools in construction projects. It can be used as an indicator on how well the coordination between parties, especially between contractors and engineers and/or supervisors, performed in a project. Delays in a construction project could be identified by analyzing the RFI documents, but on the other hand, they could also be caused by poor administrative in handling the RFI documents and by delays in processing RFIs. This paper reviews the performance of four building projects in handling their RFI documents. The four buildings were constructed by a national joint-operation contractor, designed and supervised by an international joint-operation consultant. The RFI responses and wok-in-process were used to measure the project’s performance in handling the RFI documents; from the contractor’s and the engineer’s point of views. The analysis results show that the engineer had been very responsive in processing RFIs, while the contractor had difficulties. In general, the contractor was lack of capable personnel in handling RFIs for all four buildings. Moreover, communication problem was the key of the project’s performance due to different language and culture. The authors believed that the results of the analysis would influence to the overall project performance.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Harish Kumar Singla ◽  
Abhishek Shrivas ◽  
Ashu Sharma

PurposeThe previous researchers have identified human capital, relational capital and structural capital as knowledge assets in knowledge-driven organizations. The current study is an attempt to identify and validate the knowledge assets in construction projects. The study also aims to understand the interrelation of these knowledge assets and their impact on project performance through the development of a conceptual model.Design/methodology/approachThe study is divided into three phases. In phase I, the constructs of “knowledge assets” and “project performance” in construction projects are identified using the exploratory factor analysis. In phase II, these constructs are validated using confirmatory factor analysis. Two separate surveys are conducted for phase I and phase II, respectively. In phase III, the authors develop two conceptual models based on the literature review and two construction project cases in India. The models examine the inter-relationship of knowledge assets and measures their impact on project performance. The models are empirically tested using the responses of the second survey through a structural equation model.FindingsThe study extracts four knowledge asset constructs and one performance construct which are named human capital, structural capital, relational capital, human capital capacity building process and project performance, respectively. The study finds that both the conceptual models are statistically excellent fit. The results of the models suggest that relational capital and structural capital have a direct positive impact on project performance, whereas human capital has an indirect effect on project performance mediated through relational capital, structural capital and human capital capacity building process.Research limitations/implicationsThe items for knowledge asset constructs and measurement of project performance are moderated by experts, working in construction projects in India, hence the process may contain subjective bias. Further, two construction project cases were selected by authors in the study that originate from India.Practical implicationsThe study has implications for the project executors (contractors) as well as for project owners. The contractors must maintain healthy relations with all the stakeholders in a project like a client, suppliers, architects, etc. They must develop systems that are people-friendly to avoid the problems of time and cost overruns in projects. The owners must also maintain healthy relations. This can result in a win-win situation for both parties and can lead to superior project performance.Originality/valueThe study develops and empirically tests two conceptual models that explain the interrelations of knowledge assets and how it benefits the construction project performance in India. Therefore, the generalization of the results is difficult; however, the results can be replicated in projects with similar settings.


Author(s):  
Jawad Talha Rehan ◽  
Zhao Xuefeng ◽  
Rafiq Mansoor

Practitioners and academics have been perplexed over the years by low efficiency and bad performance in construction projects. Several critical factors have been uncovered by previous studies which are governance mechanism, task conflict and opportunism. But an obvious question arises how the mechanism of governance in the presence of conflict can mitigate opportunism. The overarching objective of this study is therefore to create a model to study the effectiveness of these mechanisms of governance in the presence of task conflict. This paper is based on a positivist study philosophy in which a quantitative deductive method was used to collect data from 139 participants. Hypotheses were tested using structural equation modeling (SEM) through SmartPLS3.The research findings show that relational governance affects project efficiency considerably and is helpful in decreasing opportunism and conflict. In addition, there is proof that opportunistic behavior will increase the task conflict among parties but both task conflict and opportunism doesn’t have direct impact on the performance of project


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