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Article
Publication date: 30 May 2024

Cenk Budayan, Kerim Koc, Eralp Yüksel Erk and Onur Behzat Tokdemir

Many countries struggled to respond to the pandemic burden; in fact, most suffer from healthcare incapacity generally. Therefore, they need to find innovative systems to…

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Abstract

Purpose

Many countries struggled to respond to the pandemic burden; in fact, most suffer from healthcare incapacity generally. Therefore, they need to find innovative systems to compensate for their deficiencies in dealing with current and future problems. One such goes down the public-private partnership (PPP) route. It is important to note, however, that PPP is not a magic wand, and some of these projects have been criticized for overruns that exceed the value created. Aiming to promote the value created in healthcare PPP projects, this study aims to identify factors and critical points related to their implementation.

Design/methodology/approach

A two-stage literature review was conducted to shape semi-structured interviews. Based on this, the questions to be asked in the interviews were prepared. The interviews were conducted with twelve experts. The transcripts of the twelve semi-structured interviews were analyzed using manual thematic analysis to reveal the most critical value-creation factors (VCFs). The VFCs were validated by comparing them with the studies in the literature and by having focus group discussions (FGDs) with the experts. Finally, in an FGD, the experts discussed how these factors affect value creation in healthcare PPP projects.

Findings

The findings show that VFCs can be categorized into four dimensions: assets, partnership synergy, cooperation environment and processes. Based on the frequency of codes during the thematic analysis, the most frequently addressed VFCs in each category were identified. These were complementary skills and resources, attitude, early establishment of the operational body and effective design development, respectively.

Practical implications

This research contributes to both society and practice by unveiling VCFs and effective ways to achieve them in healthcare PPP projects. Thus, practitioners can generate more value and bring value to the forefront of healthcare PPPs, which can then enhance the value gained by society.

Originality/value

Studies to date have offered little about VCFs and how to realize value in PPP projects by considering the factors involved in them. Moreover, value creation in PPP healthcare projects has largely remained unexplored, despite PPPs being adopted and investigated quite commonly.

Details

Engineering, Construction and Architectural Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 14 May 2024

Weiling Jiang, Jie Jiang, Igor Martek and Wen Jiang

The success of public–private partnership (PPP) projects is highly correlated to the successful management of risks encountered during the operation phase. PPP projects are…

Abstract

Purpose

The success of public–private partnership (PPP) projects is highly correlated to the successful management of risks encountered during the operation phase. PPP projects are especially exposed to risk due to the long operation period over which revenues need to be generated to recoup substantial initial investment and operational running costs. Despite the critical impact of risk exposure, limited research has been specifically undertaken on the matter of operational risk management. This study seeks to address this oversight by identifying and evaluating operational risk management strategies for PPPs.

Design/methodology/approach

Vulnerability theory is the theoretical lens used, with context drawn from Chinese PPP projects. Based on the data collected from expert interviews and questionnaires, 28 operational risk management strategies are identified. A fuzzy synthetic method is employed to analyze the effectiveness of the 28 strategies.

Findings

The findings reveal that providing an exit mechanism clause into the contract, establishing a comprehensive performance evaluation mechanism and developing a clear compensation mechanism are the top three effective strategies. This study also reveals that risk mitigation approaches that reduce vulnerability prove more effective than attempts to reduce external threats. Specifically, strategies aimed at managing contract, political, technical and financial risk are the most effective.

Originality/value

The findings of this study extend current knowledge regarding the risk management of PPP projects. They also offer a reference by which practitioners may select effective operational risk management pathways and thereby, galvanize the sustainable development of PPPs.

Details

Engineering, Construction and Architectural Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0969-9988

Keywords

Open Access
Article
Publication date: 5 June 2024

Abderahman Rejeb, Karim Rejeb, Andrea Appolloni, Suhaiza Zailani and Mohammad Iranmanesh

Given the growing significance of contemporary socio-economic and infrastructural conversations of Public-Private Partnerships (PPP), this research seeks to provide a general…

Abstract

Purpose

Given the growing significance of contemporary socio-economic and infrastructural conversations of Public-Private Partnerships (PPP), this research seeks to provide a general overview of the academic landscape concerning PPP.

Design/methodology/approach

To offer a nuanced perspective, the study adopts the Latent Dirichlet Allocation (LDA) methodology to meticulously analyse 3,057 journal articles, mapping out the thematic contours within the PPP domain.

Findings

The analysis highlights PPP's pivotal role in harmonising public policy goals with private sector agility, notably in areas like disaster-ready sustainable infrastructure and addressing rapid urbanisation challenges. The emphasis within the literature on financial, risk, and performance aspects accentuates the complexities inherent in financing PPP and the critical need for practical evaluation tools. An emerging focus on healthcare within PPP indicates potential for more insightful research, especially amid ongoing global health crises.

Originality/value

This study pioneers the application of LDA for an all-encompassing examination of PPP-related academic works, presenting unique theoretical and practical insights into the diverse facets of PPP.

Details

International Journal of Public Sector Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0951-3558

Keywords

Article
Publication date: 21 May 2024

Chelteau Barajei, Emmanuel Bamfo-Agyei, Prince Antwi-Agyei, Musah Osumanu Doumbia and Mac Nyameche

The procurement reforms carried out by the Government of Ghana have led to the creation of the Public Procurement Authority and the passage of the Public Procurement (Amended) Act…

Abstract

Purpose

The procurement reforms carried out by the Government of Ghana have led to the creation of the Public Procurement Authority and the passage of the Public Procurement (Amended) Act 2016. Nevertheless, many obstacles could prevent an open and fair competition during the procurement of works. This significantly affects the success of Ghanaian construction projects. Therefore, this paper aims to explore the factors to enhance the success of the contractor selection phase of the Ghanaian public labor-based construction project.

Design/methodology/approach

A quantitative research approach was adopted by this study. Data was collected through a self-administered questionnaire to 377 respondents across Ghana. The data was then analyzed using structural equation modeling.

Findings

This study revealed that external, project procedures and project management factors impact the Ghanaian labor-based contractor selection phase success.

Research limitations/implications

This study is limited to the contractor selection phase of Ghanaian public labor-based projects and developing nations with similar socioeconomic characteristics.

Social implications

Strict adherence to this study’s findings will enable the government to undertake more infrastructure projects to raise the standard of living for its populace.

Originality/value

Although several studies have been conducted to improve the success of construction projects in developing nations, very little focus has been placed on the success factors of the contractor selection phase of public construction projects. These findings are vital in discovering for the first-time factors influencing the success of the tender stage of public labor-based projects in Ghana and developing nations with similar socioeconomic characteristics.

Details

Journal of Public Procurement, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1535-0118

Keywords

Article
Publication date: 28 November 2022

Jiaqi Liu and Jicai Liu

This paper aims to determine the demand category and level of government and investors in public–private partnership (PPP) projects. It emphasizes the importance of meeting the…

Abstract

Purpose

This paper aims to determine the demand category and level of government and investors in public–private partnership (PPP) projects. It emphasizes the importance of meeting the demands of stakeholders and controlling the unreasonable demands. This study aims to improve the demand management of stakeholders in the PPP project and lay a foundation for the research on behavior based on the motivation theory.

Design/methodology/approach

This paper opted for a questionnaire survey to collect data based on indicators identified through literature. The participants come from the government and private sector (investors, contractors, operators, etc.) in China PPP Lecture Hall. The reliability, validity and variance analyses are used to test the reliability of data. Factor analysis and entropy method are used to determine demand categories and weights.

Findings

The government’s 14 demands are divided into four groups: satisfy public activities, self-interest, responsibility and relief financial pressure; 6 investor's demands are divided into development ability and satisfy social activities. The self-interest of government is higher than that of the publicity in PPP projects; investor's social reputation is most important, it is a foundation for obtaining external resources and achieving enterprise development.

Research limitations/implications

Because of the chosen research approach, the demand indexes cannot be exhausted. Therefore, researchers are encouraged to enrich relevant contents further.

Practical implications

This paper includes implications for a targeted demand control mechanism and for managing the unreasonable demand.

Originality/value

This paper comprehensively identifies the demand hierarchy of the government and investors, and provides the theoretical basis for the target management of stakeholders.

Details

Engineering, Construction and Architectural Management, vol. 31 no. 4
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 15 March 2024

Huimin Li, Boxin Dai, Yongchao Cao, Limin Su and Feng Li

Trust is the glue that holds cooperative relationships together and often exists in an asymmetric manner. The purpose of this study is to explore how to mitigate the issue of…

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Abstract

Purpose

Trust is the glue that holds cooperative relationships together and often exists in an asymmetric manner. The purpose of this study is to explore how to mitigate the issue of losses or increased transaction costs caused by opportunistic behavior in a soft environment where trust asymmetry is quite common and difficult to avoid.

Design/methodology/approach

This study focuses on examining asymmetric trust between the government and the private sector in public-private partnership (PPP) projects. Drawing upon both project realities and relevant literature, the primary conditional variables influencing asymmetric trust are identified. These variables encompass power perception asymmetry, information asymmetry, interaction behavior, risk perception differences and government-side control. Subsequently, through the use of a survey questionnaire, binary-matched data from both the government and the private sector are collected. The study employs fuzzy-set qualitative comparative analysis (fsQCA) to conduct a configurational analysis, aiming to investigate the causal pathways that trigger asymmetric trust.

Findings

No single conditional variable is a necessary condition for the emergence of trust asymmetry. The pathways leading to a high degree of trust asymmetry can be categorized into two types: those dominated by power perception and those involving a combination of multiple factors. Differences in power perception play a crucial role in the occurrence of high trust asymmetry, yet the influence of other conditional variables in triggering trust asymmetry should not be overlooked.

Originality/value

The findings can contribute to advancing the study of trust relationships in the field of Chinese PPP projects. Furthermore, they hold practical value in facilitating the enhancement of trust relationships between the government and the private sector.

Details

Kybernetes, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 4 April 2024

Yubo Guo, Jinchan Liu, Chuan Chen, Xiaowei Luo and Igor Martek

Public–Private Partnerships (PPPs) are crucial to the procurement of global infrastructure projects. Moreover, a price mode based on a cluster of core concessionary items is key…

Abstract

Purpose

Public–Private Partnerships (PPPs) are crucial to the procurement of global infrastructure projects. Moreover, a price mode based on a cluster of core concessionary items is key to the delivery of value-for-money and successful project outcomes. However, existing research has yet to fully identify PPP concessionary items, nor yet described the range of practical price modes. This study provides taxonomy of core concessionary items impacting PPP projects, systematically classifies price modes, and assesses the applicability and risk impacts of those price modes on PPP projects.

Design/methodology/approach

This study adopts a comparative case study method in analyzing core concessionary items and alternative price modes. China is taken as the context, as it is one of the world’s largest PPP markets. In ensuring research validity and reliability, diverse data sources are utilized, with a graphic content analysis tool developed to capture the structure of price modes.

Findings

Eight PPP price modes are identified. These are: (1) UP (Unit Price) mode, (2) ALS (Annual Lump Sum) mode, (3) IRR (Internal Rate of Return) mode, (4) RP (Return for Investing Capital (RIC) - Profit Rate of O&M (PROM)) mode, (5) RFP (RIC - Financing Interest Rate (FR) - PROM) mode, (6) RFPL (RIC - FR - PROM - Lower Limit of User Charge (LLoUC)) mode, (7) RFL (RIC - FR - Lump Sum/Fixed Unit Price O&M Contract (LSOM/FUP)) mode, and (8) RFLL (RIC - FR - LSOM/FUP - LLoUC) mode. Other main findings are as follows: (1) Five risk allocation configurations can be achieved via these price modes. Yet while different price modes enable the allocation of specific risks, these do not always align with contracting parties’ original intentions. (2) IRR and RP modes may be less applicable in general because of their vulnerability in allocating critical risks and capacity for spurring opportunistic behavior.

Originality/value

By depicting the paths by which concessionary items in price modes affect cash flow, a systematic analysis of price modes was conducted exposing structural characteristics, along with risk allocation choice implications. The study is unique in: (1) Providing a systematic classification of PPP price modes used in PPP projects, (2) Presenting a comprehensive identification and streamlining of concessionary items in PPP practice, and (3) Analyzing the risk effects of different price modes. Together, these outcomes offer a hitherto unavailable perspective on PPP project risk management. The value of the study lies in the following: (1) Existing studies employ diverse concessionary items, but their applicability varies. This study offers an overarching framework facilitating decision-making in selecting appropriate PPP price modes and in determining concessionary items. (2) This study adds to the understanding of PPP price modes in significant ways that will aid local governments and potential sponsors in crafting and administrating more workable contract designs.

Details

Engineering, Construction and Architectural Management, vol. 31 no. 5
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 16 May 2024

Arsalan Zakeri Afshar, Hamidreza Abbasianjahromi, S. Mohammad Mirhosseini and Mohammad Ehsanifar

This research aims to measure the public sector comparator (PSC) to reach public–private partnership (PPP) projects' negotiable price range for water and sewage companies in Iran…

Abstract

Purpose

This research aims to measure the public sector comparator (PSC) to reach public–private partnership (PPP) projects' negotiable price range for water and sewage companies in Iran. PSC measurement drives the public sector to make valid decisions about costs.

Design/methodology/approach

Around 170 risks were primarily determined through studying numerous articles. Then, risk effects were specified by distributing questionnaires in two steps. The questionnaires are distributed among experts on PPP-related projects and the Monte Carlo simulation method is used for confidence factors of 70, 80 and 90%. PSC is measured based on these results to study cases of Sirjan’s sewerage and sewage purification systems.

Findings

11 risks were identified as the main risks that are effective on PSC, and project implementation costs were specified based on the modeling. The corruption of the private and public sectors was identified as the most effective risk in this research. It can affect a project’s cost up to 158% in the construction period and up to 134% in the operation period. Based on the obtained results, 63% of this risk’s cost goes to the public sector.

Originality/value

The originality of this research is the PSC measurement method and appointing the risk share of each private and public sector. The results of this research can be applied to all the infrastructure and PPP projects in Iran and other developing countries as a way for employers to estimate accurate negotiable price ranges.

Details

International Journal of Building Pathology and Adaptation, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2398-4708

Keywords

Article
Publication date: 12 April 2024

Rogers Mwesigwa, Gonzaga Basulira, Joseph Mayengo and Jude Thadeo Mugarura

This study aims to examine the association between community engagement, community commitment and sustainability of public–private partnership (PPP) projects in Uganda.

Abstract

Purpose

This study aims to examine the association between community engagement, community commitment and sustainability of public–private partnership (PPP) projects in Uganda.

Design/methodology/approach

This study adopted a cross-sectional and quantitative approach. Data were collected using a questionnaire from 42 PPP projects in Uganda.

Findings

The study found that community engagement and commitment are all positively and significantly associated with the sustainability of PPP projects in Uganda. Results also show that community commitment mediates community engagement and project sustainability.

Research limitations/implications

The study results imply that for sustainability to be achieved, communities must be engaged in project activities such as planning, design and implementation to boost their commitment to project sustainability.

Originality/value

The sustainability of PPP projects is an emerging phenomenon. This paper contributes to scanty literature on ensuring the sustainability of PPP projects from a developing country’s perspective.

Details

Journal of Management Development, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0262-1711

Keywords

Article
Publication date: 10 March 2022

Huimin Li, Chenchen Xu, Yongchao Cao and Chengyi Zhang

The purpose of this paper is twofold: first, it explores the influencing factors of the government’s trust decision-making in the private sector; second, it explores how these…

Abstract

Purpose

The purpose of this paper is twofold: first, it explores the influencing factors of the government’s trust decision-making in the private sector; second, it explores how these influencing factors affect the government’s trust decisions.

Design/methodology/approach

A theoretical model was established, and a questionnaire survey was conducted among 152 professionals. The collected datas were analyzed by the structural equation modeling (SEM) method.

Findings

The study identified four critical factors that influence the government’s decision to trust the private sector in public-private-partnership (PPP) projects. All the four factors have a positively correlated impact on the government’s trust decision-making. The structural equation path analysis shows that the most important factor affecting the government’s trust decision-making is the trustee’s (private sector) trustworthy characteristics, and the path coefficient is 0.92. The path coefficients of risk perception and the trustor’s trust tendency are 0.83 and 0.74, respectively. The influence of the legal system environment on government trust decision-making is moderate, with a path coefficient of 0.68.

Originality/value

This paper contributes to the literature in two aspects. First, the factors influencing decision-making to government trust in the private sector in PPP projects have been identified. Second, a comprehensive view of the mechanism of government trust in the private sector in PPP projects has been theorized by the SEM method.

Details

Journal of Engineering, Design and Technology , vol. 22 no. 3
Type: Research Article
ISSN: 1726-0531

Keywords

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