Project risk management in Iranian small construction firms

The objective of this study is to evaluate RM in small projects in Iran using identification of status, barriers, and the impact of RM on project performance. In this study, theoretical foundations and research literature were first developed through library, and then a questionnaire about these variables was designed and distributed among a number of experts in the active construction companies. Data were collected from 40 projects submitted by 25 experts from 5 executive companies. According to the studies, 10 barriers are identified as major obstacles to RM implementation in such projects, prioritized as follows: (1) lack of potential benefits, (2) not economical, (3) lack of time, (4) lack of budget, (5) lack of knowledge, (6) lack of government legislation, (7) lack of manpower, (8) low profit margin, (9) complexity of analytical tools, and (10) competition among SMCs. The findings of this research can provide an in-depth understanding of RM in small projects in Iran and make benefits of RM convincing to the participants of small projects.

Reference Class Forecasting and Machine Learning for Improved Offshore Oil and Gas Megaproject Planning: Methods and Application

This article develops and describes rigorous oil and gas project forecasting methods. First, it builds a theoretical foundation by mapping megaproject performance literature to these projects. Second, it draws on heuristics and biases literature, using a questionnaire to demonstrate forecasting-related biases and principal-agent issues among industry project professionals. Third, it uses methodically collected project performance data to demonstrate that overrun distributions are non-normal and fat-tailed. Fourth, reference-class forecasting is demonstrated for cost and schedule uplifts. Finally, a predictive approach using machine learning (ML) considers project-specific factors to forecast the most likely cost and schedule overruns in a project.

Defining the Maturity Levels for Implementing Industrial Logistics Practices in Construction

Logistics practices are processes that require alignment and coordination among project actors to support successful construction operations. While recent research has underlined the effects of single material logistics practices on project performance, practitioners need more knowledge on development paths toward successful overall logistics solutions. Based on a review of current practices obtained from the literature, this research proposes the maturity levels of planning, organizing, operating, use of technology, and information flow regarding the logistics practices in construction. Moreover, the study devises a recommended order for implementing logistics practices and investigates how companies can advance their logistics maturity from one level to the next. The proposed model has been validated via case examples from the industry. The paper contributes to construction logistics research by describing how companies can navigate development efforts to gradually improve their logistics practices. Future research could conduct more case studies within different project contexts.

How does network position influence project performance in Chinese megaprojects? An inter-organizational conflict-based perspective

Purpose This study aims to explore the relationship between network position, various types of inter-organizational conflicts and project performance in the context of megaprojects. Design/methodology/approach Centrality and structural holes were used to represent network position. A theoretical model was developed, and a structured questionnaire survey was conducted with construction professionals involved in megaprojects. A total of 291 valid responses were obtained, which were analyzed via structural equation modeling. Findings The results showed that centrality negatively impacts project performance, while structural holes do not significantly impact project performance. Centrality negatively affects task conflicts, but positively affects process conflicts and relationship conflicts. Structural holes positively impact task conflicts, but negatively impact both process conflicts and relationship conflicts. Task conflict and relationship conflict exert constructive and destructive effects on project performance, respectively, while process conflict does not significantly impact project performance. Task conflict and relationship conflict play mediating roles. Task conflict weakens while relationship conflict strengthens the relationship between centrality and project performance. Task conflict strengthens while relationship conflict weakens the relationship between structure hole and project performance. Research limitations/implications This study provides a reference for the implementation of network governance, inter-organizational conflict management and project performance management in megaprojects. However, the impact of dynamic changes of inter-organizational conflicts and network position on project performance has not been discussed in the context of megaprojects. Future research may explore the impact of dynamic changes of conflicts and network position on project implementation. Originality/value This study increases the current understanding of the impact of network position on project performance. Moreover, a new direction for network governance in the context of megaprojects is provided. This study also verified both the constructive and destructive effects of conflicts and the mediating role they play, thus supplementing the literature on inter-organizational conflict management in the construction field.

Effects of Flexible Notice-to-Proceed Provisions on the Performance of Transportation Infrastructure Projects

When alternative contracting techniques are considered, one innovative approach for assuring the performance of a transportation infrastructure project is offering contractors flexibility about when they start the project. Although such flexible notice-to-proceed (NTP) provisions are becoming more common, quantitative studies examining their impact on project performance are nonexistent. This study investigates the likely effects of flexible NTP provisions on competitive bidding, bid prices, and contract time. A dataset gathered from the North Carolina Department of Transportation, United States, was carefully stratified by type and size of project to allow for unbiased analysis. The results from the hypothesis testing revealed that projects with flexible NTP provisions were more competitive in relation to bidding. The results also indicated a positive correlation between the length of flexible time window and award growth. This study is the first of its kind and will help state transportation agencies make better-informed decisions by providing a point of reference when adopting NTP provisions for alternative contracting projects.

Structural Relationship of Causes and Effects of Construction Changes: Case of UAE Construction

Changes during construction is one of the critical issues faced in the construction industry. Effective management of construction changes will reduce the financial burden faced in construction projects due to cost overrun, and practitioners will be able to complete projects on time. On the other hand, construction changes exert severe effects on project performance. Hence, this paper uncovers several changes occurring in construction projects. It also evaluates the effect on various parameters of project performance due to changes. This was done by uncovering the underlying causes and effects of changes through the PLS method of structural equation modeling technique. SmartPLS software was used to develop and evaluate the study model based on 58 change causes and 48 change effects that were identified from the literature review. Causes of changes were categorized into three constructs which are client-related causes (CLE), consultant-related causes (COS), and contractor-related causes (CON). At the same time, the effects variables were grouped as Time Overrun (TO), Cost Overrun (CO), and Quality (QA). The survey data for generating the model was collected from 218 practitioners working on construction megaprojects of the UAE. Assessment on the constructed model found that the contractor (CON) group is the most influential group of causes with the highest values of the model’s predictive explanatory power (accuracy), which is 0.396, 0.339, and 0.410 to time overrun, cost overrun, and quality assurance of the effects groups, respectively. At the same time, the Quality Assurance (QA) group is considered the most substantial parameter which are affected due to changes occurring in construction projects of UAE. This model is deemed beneficial for the UAE construction industry in facilitating the effective recognition of possible causes and effects of change among the UAE construction projects. As a result, the practitioners will make necessary arrangements to control the potential changes in future projects.

The Effects of COVID-19 and Disasters on Scheduling Function in Mega-Projects

Mega-projects are crucial as they strive to provide infrastructural development and support growth and sustainability of a country's economy. Scheduling is an integral part of mega-projects, and special attention needs to be given to the planning of this activity. It is important that an experienced person in the project team be responsible for scheduling activities for the mega-project. In 2020, COVID-19 appeared and had devastating consequences on the world and all sectors of society including business, industry, and the economy. Mega-projects were also affected by COVID-19, a deadly pandemic that has caused a loss of millions of lives worldwide. The scheduling of mega-projects during lock-down proved problematic, causing major delays, backlogs, and additional cost and rescheduling of activities in the project. Disasters are also another factor that can hinder project performance. This chapter will unpack scheduling in mega-projects and how it is affected by COVID-19 and other disasters.

Understanding the Hiring Issues of the Craft Workers in the UAE’s Construction Labor Market: Project Managers Perspective

The construction industry in the United Arab Emirates (UAE) is faced with negative project performance, including low productivity, higher costs, delays in project completion, and defects during construction. One of the main reasons for these issues is the engagement of unskilled craft workers. Despite these labor issues, demand for construction projects in the UAE has been explosively increasing, in part due to Dubai winning the hosting of Expo 2020, which has given rise to an unprecedented demand for skilled construction craft workers. This study aimed to investigate the views and experiences of construction project managers regarding the reasons and challenges associated with the hiring of skilled craft workers in the construction labor market of the UAE. To fulfill the study purpose, the authors conducted structured open-ended interviews with UAE construction project managers. The results revealed several reasons for hiring craft workers despite a clear lack of qualifications and suggest some potential solutions.