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1 – 10 of over 1000Stephanie Sheamar, Gayan Wedawatta, Maheshi Tennakoon, Roshani Palliyaguru and Maxwell Fordjour Antwi-Afari
Cost overrun is a significant issue in construction, an undesirable feature the industry has long been associated with. Poor procurement practices are often blamed for subsequent…
Abstract
Purpose
Cost overrun is a significant issue in construction, an undesirable feature the industry has long been associated with. Poor procurement practices are often blamed for subsequent cost overruns in construction, especially with conventional procurement methods leading to outrageous cost overruns. The purpose of this study is to review the features of the new models of construction procurement (NMCP) and assess their potential to reduce cost overruns in construction projects.
Design/methodology/approach
A literature review was conducted to identify the issues of procurement leading to cost escalations. Primary data were obtained through exploratory, semi-structured interviews using a case study approach.
Findings
Clients’ lack of knowledge was highlighted as a key issue in procurement that interlinks with many factors causing cost escalation. The findings suggest that the features contained within the NMCP, such as early contractor involvement and collaboration throughout the project team, have the potential to make a positive contribution to addressing cost escalation in construction.
Research limitations/implications
The primary research was undertaken as an exploratory study and presents the contractor's perspective. Further research is therefore suggested, with multiple organisations representing all key stakeholders in a construction project, including clients, consultants, sub-contractors and suppliers.
Practical implications
The study recommends awareness of the NMCP be raised throughout the industry, and simplified information must be made available to help widen uptake of these contemporary procurement methods.
Originality/value
Addressing the dearth of research concerning the use of NMCP within the industry, this study makes a niche contribution to the body of knowledge on construction cost management by illustrating the potential offered by these new procurement methods for addressing cost escalation. For an industry where collaboration is accepted with reservations, this case study demonstrates how novel collaborative strategies such as open book costing, project bank accounts and shared pain and gain mechanisms can be implemented as part of the procurement strategy and how such strategies can contribute towards minimising the cost escalation inherent in construction projects.
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Siraj Ahmed, Jukka Majava and Kirsi Aaltonen
The purpose of this study is to investigate the benefits and challenges of implementing circular economy (CE), as well as shed light on the influence of procurement strategy in CE…
Abstract
Purpose
The purpose of this study is to investigate the benefits and challenges of implementing circular economy (CE), as well as shed light on the influence of procurement strategy in CE implementation in construction projects.
Design/methodology/approach
A qualitative research approach with abductive reasoning was adopted. The empirical data were collected from the construction industry in the United Arab Emirates (UAE).
Findings
The results reveal that clients, consultants and contractors have limited awareness, knowledge and motivation to implement CE in construction projects. The absence of incentives to design projects following CE principles, lack of involvement of contractors and suppliers, non-use of materials that use CE principles and current procurement strategies are the main challenges for the implementation of CE in the UAE.
Originality/value
Previous research offers limited knowledge on CE and its implementation in construction projects particularly from a procurement strategy perspective. The findings of the study provide new knowledge of the benefits, challenges and role of procurement strategy for implementing CE. It is suggested that collaborative and partnering-based procurement methods are needed to facilitate the effective implementation of CE.
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Nnedinma Umeokafor, Abimbola Windapo and Oluwole Alfred Olatunji
The purpose of this study is to investigate the influences of the characteristics of procurement strategies, in this instance labour-only, on project performance concerning health…
Abstract
Purpose
The purpose of this study is to investigate the influences of the characteristics of procurement strategies, in this instance labour-only, on project performance concerning health and safety (H&S), a project performance indicator.
Design/methodology/approach
Using non-probability purposeful and snowballing sampling methods, questionnaires were used to collect data from construction professionals in Nigeria. This was then analysed using descriptive (frequency and mean scores) and inferential statistics (Mann–Whitney-U and Kendall's Tau_b tests).
Findings
The findings indicate a statistically significant negative correlation between ‘the level of client involvement and ‘fatalities' and a positive one with ‘conducting of health and safety risk assessment' and ‘conducting employee surveys on health and safety attitude’. Poor hygiene is found to be the worst lagging indicator, while conducting of inspection is the most adopted leading indicator of project health and safety performance. It also emerged that there is no significant difference in the health and safety performance of projects procured through the procurement strategy in urban and rural areas.
Practical implications
The study provides valuable insight into the complexities in H&S management due to the high level of client involvement in labour-only procurement system (LoPS) projects and the level of diversity in their responsibilities therein. It creates a fundamental direction for developing a detailed framework or guidance notes for client involvement in the integration of H&S into LoPS projects.
Originality/value
This is the first study that examines the influence of the characteristics of procurement strategy on project health and safety performance. Evidence in the literature shows that project delivery outcomes significantly improve if procurement is strategically used, including when it is considered early in projects. However, integrating H&S into procurement strategies has received little attention.
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Faizal Kurniawan, Xavier Nugraha, Julienna Hartono and Angelica Milano Aryani Wibisono
This paper aims to analyze regulation regarding sustainable construction procurement in Southeast Asia and provide a reconstruction of regulation regarding the sustainable…
Abstract
Purpose
This paper aims to analyze regulation regarding sustainable construction procurement in Southeast Asia and provide a reconstruction of regulation regarding the sustainable construction procurement to prevent land degradation.
Design/methodology/approach
This was done through legal research methods, mainly historical and systematical interpretation. The approaches used in this paper are the conceptual approach, statute approach and comparative approach.
Findings
By analyzing the related legal norms, it can be understood that many nations in Southeast Asia do not have regulation regarding sustainable construction procurement. Between Indonesia, Singapore and Thailand, only Indonesia has a ministrial regulation that provides general norms regarding sustainable construction procurement. Regarding the reconstruction of regulation, the bare minimum standards consist of principle, indicators, pillar, the phases of the procurement, law enforcement, both preventive and repressive, and sustainable procurement committee.
Research limitations/implications
This research is limited to regulation in Southeast Asian region. By analyzing the regulation, this paper will provide a reconstruction of regulations regarding sustainable construction procurement that will act as an ground rules. Having the same ground rules will create synergies between countries in Southeast Asia to apply the principles of sustainable procurement and move together toward to prevent land degradation.
Originality/value
To the best of the authors’ knowledge, this paper is the first systematic legal research that compares regulations from three nations in Southeast Asia regarding sustainable construction procurement and also the first paper to provide reconstruction of regulation regarding sustainable construction procurement to prevent land degradation.
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Tennakoon Mudiyanselage Maheshi Pabasara Tennakoon, Nicholas Chileshe, Raufdeen Rameezdeen, J. Jorge Ochoa and Aparna Samaraweera
Offsite construction (OC) is an efficient method to reduce waste in the construction industry from a circular economy perspective. Yet, its uptake is subdued by the ambiguities…
Abstract
Purpose
Offsite construction (OC) is an efficient method to reduce waste in the construction industry from a circular economy perspective. Yet, its uptake is subdued by the ambiguities around its supply chain. Hence, the purpose of this study is twofold: to identify the OC project delivery models, the limitations in their procurement approach to facilitate the resilience of the supply chain and interventions to promote supply chain resilience (SCR) and to identify the gaps in the existing procurement process and propose further research areas that implement strategies to improve SCR.
Design/methodology/approach
The study was conducted as a systematic literature review. In total, 41 peer-reviewed research papers published between 2013 and 2023 were shortlisted through the preferred reporting items for systematic reviews and meta-analysis guidelines. A descriptive analysis was conducted, followed by a thematic analysis.
Findings
The descriptive analysis reveals that the emphasis on digitising OC has shifted to transforming the business model, procurement and supply chain with a human-centric view. In thematic analysis, the predictability of the SC partners and the probabilities of evaluating the prospects are revealed as arbitrary characteristics in the current procurement strategies. Rewarding collaborative relationships among SC partners and incorporating provisions to postpone the module delivery are some interventions to promote flexibility. Drafting comprehensive and effective contracts that address transparency issues and facilitating the need for continuous development of capabilities through procurement are among the further research avenues proposed.
Originality/value
This study is a precursor demonstrating the potential of the procurement process to implement the decrees of SCR for better goal congruence of the OC supply chain.
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Martin Loosemore, Robyn Keast and Jo Barraket
Social procurement is becoming an increasing policy focus for governments around the world as they seek to incentivise new collaborative partnerships with private organisations in…
Abstract
Purpose
Social procurement is becoming an increasing policy focus for governments around the world as they seek to incentivise new collaborative partnerships with private organisations in industries like construction to meet their social obligations. The limited construction management research in this area shows that the successful implementation of these policies depends on a new generation of social procurement professionals who are promoting these policies into an institutional vacuum with little organisational identity, legitimacy and support. The purpose of this paper is to investigate what these actors do to promote and build support for the implementation of these policies in their organisations.
Design/methodology/approach
A thematic analysis of in-depth semi-structured interviews with 15 social procurement actors in the Australian construction industry is presented.
Findings
Results portray an experimental, disconnected and nascent institutional field of practice with a high degree of role ambiguity and conflict. In the absence of a clear organisational identity and legitimate power-base, social procurement actors are forced to rely on incremental rather than radical innovation and the power of stories to persuade others to engage with their vision for creating social value through construction.
Originality/value
Contributing new insights to the emerging “practice theme” in social procurement research, this paper provides important conceptual and practical information about the attributes which determine their success, how they fit into existing organisational structures and how they build support to achieve enabling institutional change. Academically, the results advance understanding of how social procurement professionals are implementing these policies into their organisations. Practically, they provide new information which enable social procurement professionals to improve their practices and construction companies to recruit the right people into these roles and design their organisations to more effectively support them.
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Michael Nii Addy, Evans Teye Addo, Sulemana Fatoama Abdulai, Titus Ebenezer Kwofie, Clinton Ohis Aigbavboa and Anita Odame Adade-Boateng
E-procurement has the advantage of improving the overall performance of construction project delivery. The purose of this study is to uncover the factors influencing e-procurement…
Abstract
Purpose
E-procurement has the advantage of improving the overall performance of construction project delivery. The purose of this study is to uncover the factors influencing e-procurement acceptance in the public sector of Ghana’s construction industry (GCI). Using an extended unified theory of acceptance and use of technology (UTAUT 2), variables that promote the acceptance of e-procurement in GCI were explored.
Design/methodology/approach
Data was collected using a mixed method strategy. In the first stage, a semi-structured interview was used to collect, assess and optimize the UTAUT2 model. Thematic analysis was used on the qualitative data, leading to modification of the proposed UTAUT2 model. The study subsequently used a questionnaire survey using the extended UTAUT2 model. Survey data was analyzed using structural equation modelling (SEM), leading to the identification and validation of factors that facilitate e-procurement acceptance in Ghanaian construction as well as the impact of these factors.
Findings
The findings of the study reveal that five independent constructs of the proposed UTAUT2 model significantly affects the behavioural intention of practitioners to accept and use e-procurement in the construction industry in Ghana.
Practical implications
The study will be of utility to government agencies, contracting organizations and other construction stakeholders in developing policy and programmes to support e-procurement acceptance within the sector.
Originality/value
This is a new extended UTAUT2 model that is applicable to technology acceptance within the public sector in sub-Saharan Africa.
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Atupakisye Mwakolo, Meshack Siwandeti, Leticia Mahuwi and Baraka Israel
The study aims to explore the role of procurement of good governance (PGG) on value for money (VfM) achievement in public construction projects. By investigating various…
Abstract
Purpose
The study aims to explore the role of procurement of good governance (PGG) on value for money (VfM) achievement in public construction projects. By investigating various dimensions of PGG, including transparency, accountability, competition and integrity, this study provides insights into how these factors contribute to the successful achievement of VfM outcomes in public construction projects.
Design/methodology/approach
The data were sourced from 203 construction project practitioners from 24 selected procuring entities in Tanzania using a census approach and a cross-sectional questionnaire survey. Confirmatory factor analysis (CFA) and structural equation modelling (SEM) were used for data analysis.
Findings
The findings of the study revealed a positive and significant impact of various dimensions of PGG on VfM. Specifically, transparency, accountability, competition and integrity were positively and significantly related to VfM, with p-values <0.001. Based on the study findings, we conclude that PGG is an important predictor of VfM achievement in public construction projects.
Practical implications
The study offers policy implications for streamlined PGG and VfM achievement in public construction projects. It is suggested that procuring entities can enhance VfM by enforcing compliance with the principles of PGG throughout the entirety of construction projects. In this case, streamlined legislative frameworks and control mechanisms are crucial components that could enhance PGG and the achievement of VfM.
Originality/value
This study contributes to the academic literature on the strategic role of PGG in enhancing VfM achievement. This is one of the research domains, which has not been adequately researched, particularly in Tanzania’s context. In addition, the study provides valuable insights to policymakers, practitioners and stakeholders involved in public construction projects to improve project outcomes and resource allocation.
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Mohammad Alhusban, Faris Elghaish, M. Reza Hosseini and Mohammad Mayouf
Previous studies have established to a great extent that regulatory frameworks and, in particular, procurement approaches – that are common in a particular context – have a major…
Abstract
Purpose
Previous studies have established to a great extent that regulatory frameworks and, in particular, procurement approaches – that are common in a particular context – have a major impact on the success of building information modelling (BIM) implementation in construction projects. Despite the close links between these two concepts, research on the effect of procurement approaches on BIM implementation is scarce. To address this gap, this paper aims to investigate the barriers that affect BIM implementation through the lens of procurement approaches.
Design/methodology/approach
A mixed-method approach was adopted using a questionnaire survey (n = 116) and interviews with key stakeholders (n = 12) in Jordan. The outcomes of the quantitative parts were augmented with findings from interviews.
Findings
It was revealed that the deployment of unfavourable construction procurement approaches represents a major hurdle towards BIM implementation. Though essential for enhancing BIM implementation, it is revealed that a fundamental change from the common design-bid-build (DBB) to more collaborative procurement approaches remains infeasible in view of the realities that govern the construction industry.
Research limitations/implications
It was revealed the deployment of unfavourable construction procurement approaches represents a major hurdle towards BIM implementation. Though essential for enhancing BIM implementation, it is revealed that a fundamental change from the common DBB to more collaborative procurement approaches remains infeasible given the realities that govern the construction industry.
Originality/value
As the first of its kind, a set of recommendations for establishing supportive, workable procurement that does not deviate significantly from common procedures and practices is presented. Rather than advocating a shift to procurement approaches that are aligned with BIM, the findings offer novel insight into the necessity of developing a framework within the boundaries of the current and widely adopted procurement approaches to address the identified construction procurement issues and facilitate BIM implementation.
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Terence Y.M. Lam and Keith S. Gale
Construction frameworks are recognised by the UK Government as an integrated procurement path to deliver efficiency, collaboration and sustainability. This research paper aims to…
Abstract
Purpose
Construction frameworks are recognised by the UK Government as an integrated procurement path to deliver efficiency, collaboration and sustainability. This research paper aims to develop a performance-driving model for framework procurement to align with the government construction policy objectives.
Design/methodology/approach
A quantitative hierarchical regression analysis was conducted to examine the causal relationships between project outcomes and performance drivers. A successive qualitative multiple-case study involving eight typical construction framework projects was examined to further explain casual relationships.
Findings
Conclusive results from the quantitative and qualitative analyses validated the performance-driving model, generalising a framework procurement principle that project outcomes of time, cost, quality, sustainability and closer relationships are significantly driven by supplier's task and contextual performance drivers, and client's organisational drivers.
Research limitations/implications
The investigation followed two major public-sector organisations in the UK: infrastructure offices of local authorities and estate offices of universities. Further research should be extended to other public-sector situations to enhance the model further.
Practical implications
Using this model, framework managers can drive project outcomes by applying task and contextual performance drivers in order to select the best suppliers at the procurement phase, and by adopting the client's organisational factors at both procurement and construction monitoring phases.
Social implications
The empirical evidence supports the use of frameworks by public sector policymakers as a key strategy to develop the performance drivers further and improve efficiency and quality outcomes.
Originality/value
The results will be of value to support the policy of public-sector works organisations contemplating using framework procurement for executing continuing construction activities.
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