Bid or no-bid decision factors of indigenous contractors in NigeriaOlatunji, Oluwole Alfred; Aje, Olaniyi Isaac; Makanjuola, Sina
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-01-2016-0029
PurposeThe decision to bid or not to bid for new projects determines contractors’ propensity for business success or failure. The purpose of this paper is to investigate the factors that affect the decision of indigenous construction contractors to bid or not to bid in Nigeria.Design/methodology/approachAnalysis was conducted on data from questionnaires received from 64 engineering management employees of leading construction companies which are members of Nigeria’s Federation of Construction Industry. The study identified 41 significant decision factors often considered by Nigerian indigenous contractors before the bid. Mean item scores were obtained for each of the factors. Principal component analysis was used to point out the most significant decision factors.FindingsResults revealed significant orthogonal relationships between the factors. Only 11 of the 41 factors are statistically significant to influence contractors’ decision to bid or not to bid. Most of the significant items were amongst the least rated items by the participants. The post hoc decision factors include consultant’s interpretation of project specifications, previous relationship between the intending bidder and client, availability of other projects at the time of bidding, technological complexity of the project under consideration and prequalification requirements. Others include the propensity for resource price fluctuation, business capacity of partners, amount of own work vs subcontracted work, required rate of return on investment and difficulty in obtaining finance.Originality/valueThe practical implication of these findings are as follows: the orthogonal relationship between the decision factors implies non-linear relationship between the factors and actual decision to bid or not to bid, and that bid success is often not predictable by bid behaviour; many of the bid decision factors rated highest by indigenous contractors seldom impact the contractors’ actual bid decisions; local and international players can adopt the significant decision factors elicited in this study for managing their structures for inter-organizational partnerships.
Aggregation of factors causing cost overruns and time delays in large public construction projectsAdam, Abderisak; Josephson, Per-Erik Bertil; Lindahl, Göran
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-09-2015-0135
PurposeThe purpose of this paper is to explore the impact that cost overruns and time delays exert on large public construction projects to clarify how past and current research regard factors causing cost overruns and time delays in large public construction projects.Design/methodology/approachThis paper, which is based on an analysis of a literature selection consisting of 40 journal articles, investigates and ranks the occurrence of and the explanations for cost overruns and time delays in large public construction projects. The study makes use of a kiviat diagram/radar chart in order to visualize multivariate data.FindingsAggregated rankings of important causes of cost overruns and time delays are reported. These show a strong emphasis on the management aspect as a primary cause of cost overruns and delays. Additionally, there seems to be a trend toward deemphasizing the role of financial considerations in explaining cost overruns and delays. It is argued that there needs to be a more rigorous assessment of the impact that each factor has on cost increases and delays based on factual observed data as opposed to retrospective accounts from questionnaire respondents.Research limitations/implicationsOnly public construction projects have been considered. The results will not be directly applicable to privately funded construction projects and/or projects of a smaller size.Originality/valueThe use of trend data, as illustrated in a kiviat diagram, showing how different ranking factors causing cost overruns and time delays has changed in importance over time.
The relationship between the last planner® system and collaborative planning practice in UK constructionDaniel, Emmanuel Itodo; Pasquire, Christine; Dickens, Graham; Ballard, Herman Glenn
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-07-2015-0109
PurposeThe purpose of this paper is to identify how the newly emerging UK practice of “collaborative planning” (CP) for construction project delivery aligns with the advocated principles of the global last planner system (LPS) of production planning and control.Design/methodology/approachA mixed, qualitative, exploratory approach was adopted for the study. This entailed qualitative data through three techniques, namely: semi-structured interviews, documents analysis, and structured observation. In total, 30 in-depth interviews were conducted over a 12 month period with lean construction consultants, clients, main contractors, and subcontractors drawn from the building, highways and infrastructure and rail sector. In all, 15 projects were visited where practices were observed.FindingsThe study reveals that the current practice of CP in the UK partially aligns with the LPS principles. Where practitioners have heard of the LPS they believe it to be the same practice as CP.Research limitations/implicationsThis study is limited to 30 interviews, observation of 15 projects and document analysis. The aim of the study is not to generalise the findings, however, since the study examined top construction companies and practitioners in the UK and the findings were consistent across the sample, some conclusions could be made. The study is also limited to examining the construction phase only, future studies should incorporate the design phase.Practical implicationsA clear identification of the elements of current practice compared to the components of the LPS provides a contribution to the future practice of project production planning and management in the construction industry.Social implicationsThe study highlights a continuing resistance to collaboration within the industry. This resistance is subtly embedded within implemented practices even though they are based on collaborative working for their success.Originality/valueThis is among the first studies in the UK that comprehensively examines and reports the application of LPS/CP practice in construction across the major construction sectors. Future studies could build on the findings from this work to develop an approach/methodology to improve the current practice.
Using structural equation modelling (SEM) to understand the relationships among critical success factors (CSFs) for stakeholder management in constructionMolwus, Jurbe Joseph; Erdogan, Bilge; Ogunlana, Stephen
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-10-2015-0161
PurposeStakeholder management plays a significant role in successfully delivering construction projects. However, being able to carry out effective stakeholder management in construction is contingent upon understanding the interrelationships among critical success factors (CSFs) for stakeholder management in construction and how they are related to project success (PS). This would enable the persons responsible for stakeholder management to know the logical process for addressing the CSFs in order to get stakeholder management right. The understanding of this relationship has not been addressed. The purpose of this paper is to investigate the interrelationships between the CSFs for stakeholder management and PS in construction.Design/methodology/approachFrom an extensive literature review, 23 CSFs for stakeholder management in construction were identified. A conceptual structural equation model (SEM) of the relationships between CSFs was developed (including measurement and structural models) using the groupings of the CSFs for stakeholder management in construction. A questionnaire survey was used to collect data from construction industry practitioners. The data so collected were analysed using SEM in analysis of moment structures (AMOS).FindingsThe SEM analysis of data collected resulted in the best fitting measurement model comprising 16 CSFs as indicators of four latent variables, namely, stakeholder characteristics and project characteristics (SCPC); stakeholder analysis (SA); stakeholder dynamics (SD); and stakeholder engagement/empowerment (SE). Furthermore, it was found that only SE has a direct positive impact on PS. The other three constructs SCPC, SA and understanding SD collectively impact on PS through the construct, SE.Research limitations/implicationsThe research reported in this paper was carried out in the UK; hence, the findings may have portrayed the UK construction professionals’ opinion. However, the theoretical principles on which the research was based are general and similar research could be replicated in different countries whose construction procurement processes and industries are structured like those of the UK or otherwise.Practical implicationsThe main contribution of this study to existing knowledge is an empirical evidence of the interrelationships among the CSFs for stakeholder management in construction through their latent variables which is portrayed in the best fitting structural model showing the relationships between the constructs of CSFs for stakeholder management and PS. This should serve as a guide to construction project management team or responsible professionals for undertaking stakeholder management in construction projects.Originality/valueThe paper contributes to theory by empirically identifying the interrelationships among the CSFs for stakeholder management linking to PS which will serve as a guide to construction professionals.
Key risks in construction projects in Italy: contractors’ perspectiveRostami, Ali; Oduoza, Chike F.
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-09-2015-0142
PurposeRisks play an important role in the success of construction projects. Failure in identification and assessment of risks can lead to inadequacy in the process of managing risks, which in turn can critically affect the projects’ resources. A formal risk management is rarely practised in construction projects due to the lack of contractors’ awareness of key risks. The purpose of this paper is to focus on the investigation of risk factors in construction projects in Italy from contractors’ perspective.Design/methodology/approachSemi-structured interviews were conducted to collect data, based on which a total of ten key risks were ascertained. The identified risks were compared with the findings of the surveys conducted in the Australian and Chinese construction industry to address the unique risks associated with construction projects in Italy.FindingsThe key risks included delays in payments, client variations, design variations, inaccurate cost estimates, and tight project schedules. The comparison between those three countries specified the delays in payments and project funding problems as the most critical factors that are related to cultural influences and behaviour of clients. The findings assist contractors in the risk identification process, and can be applied to the development of a risk management framework for construction projects.Research limitations/implicationsThe findings of this study cannot be generalised statistically for the whole of Italy as it was constrained geographically, with respondents drawn only from a self-selection sample of construction projects in the Veneto region of Northern Italy. The findings represent a snapshot of the key potential internal and external risks from the perspective of contractors.Originality/valueThe results of the study specified the key risks of construction projects from the perspective of contractors which can contribute to risk management for construction projects.
The factors contributing to construction accidents in PakistanZahoor, Hafiz; Chan, Albert P.C.; Gao, Ran; Utama, Wahyudi P.
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-01-2016-0027
PurposeThe highest number of accidents in proportion to the employment rate is found in construction industry among all industries in Pakistan. The purpose of this paper is to identify and prioritize the contributory factors of accident causation that can significantly reduce the rate of accident in the construction industry.Design/methodology/approachIn total, 32 contributory factors of accident causation were identified through a triangulation strategy comprising eight face-to-face semi-structured interviews with the academic and industry experts coupled with a comprehensive literature review. Delphi survey was then conducted among the four respondent groups (clients, contractors, safety official and academia) to prioritize these factors. A consensus was achieved among the respondent groups after conducting two rounds of Delphi survey. Finally, the results were validated using the technique of inter-rater agreement (IRA) analysis.FindingsAll the shortlisted accident causation factors were graded as “important” to “extremely important”. Moreover, a “moderate” to “strong level” agreement was developed among the respondent groups. The three most significant factors were highlighted as “poor enforcement of safety rules and regulations by the Government agencies”, “insufficient allocation of safety budget and safety incentives by the client”, and “insufficient provision of safety training and resources by the contractor”.Practical implicationsThe findings will help the key stakeholders to prioritize their energies towards achieving zero accident in the construction industry. Moreover, addition of academic experts as one of the respondent groups will enhance the linkages between the academia and the industry practitioners.Originality/valueBesides highlighting the underlying causes of construction accidents in Pakistan, a detailed methodology is presented in this study for the analysis and validation of the Delphi survey data, which can be extrapolated in other regions and industries for elements prioritization. The findings of the study can also be generalized for other developing countries having similar work environment. The results validation through the use of IRA analysis is an addition to the field of construction safety research. The study also authenticates the applicability of IRA analysis to assess the agreement level among the respondents.
Visual management in highways construction and maintenance in EnglandTezel, Algan; Aziz, Zeeshan
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-02-2016-0052
PurposeThe purpose of this paper is to investigate the current visual management (VM) practices in highways construction projects in England.Design/methodology/approachFollowing a comprehensive literature review, the research topic was investigated by using five case studies and focus groups.FindingsThe main findings are the current implementation of VM is limited, particularly on the construction field, there are some identified points (suggestions) that require attention to disseminate and advance the current practices further many conventional and Building Information Modelling (BIM)-based opportunities to extend the current VM implementations exist for the sector.Originality/valueThe highways construction and maintenance sector in England has been systematically deploying lean construction techniques in its operations for a while. One of those lean techniques is a close-range visual communication strategy called VM. The literature on the VM implementation in construction is scarce and generally limited to the building construction context. This paper documents the current industry practice in conventional and BIM-based VM and identifies a set of recommendations and some VM ideas for future implementation efforts in the highways construction and maintenance sector.
Rent-seeking behavior of BIM- and IPD-based construction project in ChinaMei, Tingting; Wang, Qiankun; Xiao, Yaping; Yang, Mi
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-11-2015-0178
PurposeThe purpose of this paper is to study the rent-seeking behavior of stakeholders in construction projects and to provide a reference for further studies on collaboration in China, which could thus improve the collaborative management in construction and reduce the waste of resources.Design/methodology/approachIn this paper, the authors discuss and analyze the current situation of rent-seeking behavior in infrastructure construction projects, integrated project delivery (IPD), and the application of a building information model (BIM) in China. The authors analyze the collusive behavior between the supervision department and the contractor via the rent-seeking model on the basis of the game theory and present that BIM and IPD have a positive impact on rent-seeking activities of construction projects. The key factors influencing the rent-seeking activities from the perspective of the owner are studied via a questionnaire survey.FindingsThe research status of IPD in China includes the application of IPD, IPD collaborative management and the combination of lean construction (LC), IPD and BIM. The enthusiasm of the adoption of BIM and IPD is higher for design institute, construction units, research institutions and universities. The findings indicate that the owner appears to have a significant influence on stakeholders in construction projects, such as supervising efficiency, rewards and punishment. Therefore, the results also demonstrate that the construction project based on BIM and IPD can effectively avoid the rent-seeking activities of the participants.Research limitations/implicationsThe findings are primarily based on questionnaire data originated from Central China; hence there are some limitations that are worth noting.Practical implicationsFirst, it provides compelling data evidence for the adoption of BIM and IPD in China. Second, it paves a solid foundation for the behavior of stakeholders in construction projects based on BIM and IPD.Originality/valueIn this paper, a game model of contractor, supervisor and owner is established, and a preliminary attempt is made to introduce BIM and IPD into the model for the behavioral research of participants.
Beamless or beam-supported building floorsJarkas, Abdulaziz M.
2017 Engineering Construction & Architectural Management
doi: 10.1108/ECAM-11-2014-0147
PurposeDue to a dearth of quantitative research into buildability factors affecting formwork labour productivity of in situ reinforced concrete construction, the purpose of this paper is to establish a distinct point of departure from the prevalent qualitative trend of buildability research practices by exploring, quantifying and comparing the influence of the two widely used design schemes; namely, beamless and beam-supported building floors, on formwork labour productivity.Design/methodology/approachA considerable quantity of relevant formwork labour productivity data associated with each building floor configuration was collected from projects sharing similar characteristics. The data were analysed to determine the statistical significance of the difference between the two labour productivity “means” of the sample sets representing both populations. Regression analyses were further carried out to assess the impact of floor area on labour efficiency.FindingsThe results obtained show a statistically significant difference between the two means of formwork labour productivity achieved, where the efficiency of “forming” the beam-supported floor type is, on average, lower by 57 per cent than that of the beamless configuration. The outcomes further demonstrate a significant influence of building floor area on the productivity of the form-working operation.Practical implicationsThe findings can provide designers with feedback on how well their decisions consider the requirements of buildability principles, and the consequences thereto on labour productivity. The depicted pattern of results may, moreover, provide guidance to estimators and project managers for reasonable cost estimation, effective planning and efficient labour utilisation.Originality/valueThe general guidelines available for buildability improvement lack the supporting quantitative evidence, and thus are often viewed with scepticism, especially amongst design practitioners. On the contrary, the quantitative outcomes reported in this study are based on rigorous methodology, hence can be used as a supporting reference to “formalise” the specific buildability knowledge of the activity explored.