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This study aims to propose a framework of bias in construction project dispute resolution (CPDR hereafter).
Abstract
Purpose
This study aims to propose a framework of bias in construction project dispute resolution (CPDR hereafter).
Design/methodology/approach
With reference to the literatures on effects of bias, manifestations of bias in CPDR were developed. Based on data obtained from construction professionals about their frequency of having these bias manifestations, the underlying constructs of biased behaviors were explored by a principal component factor analysis. A confirmatory factor analysis was further conducted to validate the framework of bias in CPDR.
Findings
Four types of bias were identified as the constructs that underlie biased behaviors in CPDR. These four biases were included in the bias framework proposed: preconception, self-affirmation, optimism and interest-oriented. The potency of these types of bias was also evaluated.
Practical implications
First, the findings inform that the existence of bias in CPDR is real. Early detection allows management to intervene and steer CPDR team back to rational courses. Second, this study suggests optimizing CPDR procedures to diminish the chance of bias occurring.
Originality/value
Bias is almost an uncharted area in CPDR. The study fills this research gap by conceptualizing the underlying constructs of biased behaviors. The findings inform construction professionals of the likelihood of practicing biased behaviors in CPDR. Repeated dispute decisions in the commonly used multi-tiered dispute resolution process would enable the creeping in of biases.
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While a considerable amount of research has been conducted on construction disputes, disputes remain prevalent in the construction industry and have still been a crucial problem…
Abstract
Purpose
While a considerable amount of research has been conducted on construction disputes, disputes remain prevalent in the construction industry and have still been a crucial problem in the Turkish construction industry as well. The purpose of this paper is to explore the perceptions of different stakeholders on key factors that contribute to construction disputes by adopting a qualitative approach.
Design/methodology/approach
The qualitative approach adopted for the study provided gathering in-depth and rich information about the topic. To explore the phenomenon in-depth information, semi-structured interviews were conducted. A total of 38 interviews were conducted among experts and practitioners who engaged in construction disputes.
Findings
Content analysis of interview data resulted in the emergence of varying categories relevant to the problems which result in construction disputes. By grouping related themes into main categories, the analysis yielded five major ones: clarity of the contract form, errors in contract documents, payments, changes, delays and not granting extension of time.
Research limitations/implications
The major limitations are having interviewees from one country and results limited to the Turkish construction industry.
Practical implications
The findings provide insight on the factors contributing to construction disputes as perceived by different stakeholders, which should provide guidance to determine the associated risks for dispute occurrence, make effort to mitigate disputes once they happen, take proper precautions for minimizing the effects and after all make a significant contribution in the successful accomplishment of completed construction projects.
Originality/value
The findings of the study contribute to a deeper understanding of the factors contributing to construction disputes through a qualitative approach which is limited in the related literature. Although the qualitative exploration only focuses on the Turkish construction industry, the study has added significantly to the body of knowledge within the subject area.
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Ali Mohammad Mirzaee, Towhid Pourrostam, Javad Majrouhi Sardroud, M. Reza Hosseini, Payam Rahnamayiezekavat and David Edwards
Public–private partnerships (PPPs) are notoriously prone to disputes among stakeholders, some of which may unduly jeopardize contract performance. Contract disputes arising in…
Abstract
Purpose
Public–private partnerships (PPPs) are notoriously prone to disputes among stakeholders, some of which may unduly jeopardize contract performance. Contract disputes arising in Iran are often due to inefficiency of PPP concession agreements and practice. This study presents a causal-predictive model of the root causes and preventive measures for inter-organization disputes to enhance the likelihood of achieving desirable performance in PPP projects.
Design/methodology/approach
A theoretical “causal-predictive” model was developed with fourteen hypotheses based on extant literature and contractual agency theory, which resulted in the creation of a pool of 110 published items. Data were obtained from a questionnaire survey with 75 valid responses, completed by 4 stratified groups of Iranian PPP experts. Partial least square structural equation modeling (PLS-SEM) was used for validating the proposed model via a case study.
Findings
Results reveal that the main three factors of PPP desirable performance are as follows: on-time project completion, high quality of activities/products and services for public satisfaction. Further, the most influential factors of the lifecycle problems, construction stage, and preferred risk allocation included risk misallocation, improper payment mechanism and failure to facilitate a timely approval process.
Originality/value
For researchers, the findings contribute to the theory of contractual agency; specifically, how different influences among the model's elements lead to better PPP performance. In practical terms, proposed outcome-based strategies will inform PPP stakeholders to avoid dispute occurrence and thus improve the time, quality and services of projects.
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Florence Y.Y. Ling, Peng Chong Tan, Yan Ning, Albert Teo and Asanga Gunawansa
The purpose of this paper is to investigate relational contracting (RC) practices that give rise to higher quality interpersonal relations between these pairs of stakeholders at…
Abstract
Purpose
The purpose of this paper is to investigate relational contracting (RC) practices that give rise to higher quality interpersonal relations between these pairs of stakeholders at the end of public projects: clients and contractors; contractors and consultants; and clients and consultants. It developed models to predict the level of quality of interpersonal relations between the stakeholders at the completion of public projects.
Design/methodology/approach
Using a set of questionnaire, data were collected from randomly selected construction industry practitioners who have had experience in public projects in Singapore. The data were analysed to identify association between the use of RC practices and quality of interpersonal relations between stakeholders. In-depth interviews with experts were conducted.
Findings
It was found that when certain RC practices were adopted to a larger extent, public projects also have significantly higher quality of interpersonal relations between clients, contractors and consultants. Three mathematical models were developed to predict the relationship quality between stakeholders at the end of the public project.
Research limitations/implications
The limitations include the subjective nature of the Likert scale that was used in answering the questionnaire survey and the limited number of interviews. The effect of existing good relations among stakeholders was not taken into account.
Practical implications
Suitable RC practices for adoption by public clients, contractors and consultants in public projects are recommended. These include developing deeper mutual trust and understanding, sharing project information, and having real gain-share/pain-share among contracting parties.
Originality/value
RC practices that are significantly associated with relationships among contracting parties in public projects in Singapore are uncovered. Contracting parties may use the recommendations to help enhance their relationships with one another in a public project.
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The Belt and Road Initiative (BRI) is endeavor of paramount importance that is likely to redefine socio-economic relations in countries and regions concerned. The debate on BRI’s…
Abstract
The Belt and Road Initiative (BRI) is endeavor of paramount importance that is likely to redefine socio-economic relations in countries and regions concerned. The debate on BRI’s relevance, scope, and potential has only begun, and it remains uncertain how exactly it will unfold. In this context, questions pertinent to regulatory frameworks in the context of which BRI initiatives are implemented belong to the most complex and the most interesting ones. Due to BRI’s novelty and open-endedness, all matters pertaining to its implementation are of exploratory nature; especially the legal aspects of its implementation. This aim of this chapter is to provide insightful answers to legal questions regarding BRI and dispute resolution via the examination of the current legal status of BRI, as well as explore how trust and cultural awareness can contribute to the avoidance of business-related disputes.
Ratnesh Kumar, K. Chandrashekhar Iyer and Surya Prakash Singh
In construction management, risks and claims are treated separately, but several studies tacitly acknowledge a strong link between the two. In this context, this research intends…
Abstract
Purpose
In construction management, risks and claims are treated separately, but several studies tacitly acknowledge a strong link between the two. In this context, this research intends to investigate whether risks and claims have a causal relationship? Based on this causal relationship, a claim-based risk assessment model (C-RAM) is developed to quantify occurrences and cost implications of risks using project data.
Design/methodology/approach
First, the causal relationship between risks and claims is established through a conceptual framework for content analysis of the literature on risk management (RM) and claim management (CM). Then, a C-RAM is developed based on the content analysis of 234 claims from 24 settled arbitration awards.
Findings
Risks and claims are found to be two stages in the same chain of uncertain events that affect projects, subsequently revealing a causal relationship between risks and claims. Due to this causal relationship, claim documents become a potential source of risk information from past projects. Proposed C-RAM quantifies occurrences of risks with three parameters: number of projects in which a risk occurs, number of ways in which a risk occurs, and number of claims a risk causes if it occurs. Also, cost implications of risks are quantified as percentage of contract sums for interpretation as tangible values.
Research limitations/implications
Though C-RAM is applicable to all types of claims, the results in this paper are based on impacts of risks in past projects that caused claims and reached to arbitration stage.
Practical implications
The causal relationship between risks and claims will encourage integration of knowledge on RM and CM which is currently treated separately. Practitioners can now visualize claims as cost implications of risks that occurred in projects. Further, C-RAM makes risk assessment (RA) more objective by quantifying the cost implications of risks as percentage of contract sums which can be readily used for contingency estimation.
Originality/value
The relationship between risks and claims, and the potential of claim documents as a source of project risk information, can initiate a new paradigm in RM research based on project data.
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Amir Faraji, Shima Homayoon Arya, Elnaz Ghasemi, Maria Rashidi, Srinath Perera, Vivian Tam and Payam Rahnamayiezekavat
In the construction industry, various parties are involved in a project. Consequently, claims and disputes are inevitable in this industry. This paper aims to develop Integrated…
Abstract
Purpose
In the construction industry, various parties are involved in a project. Consequently, claims and disputes are inevitable in this industry. This paper aims to develop Integrated project delivery (IPD) practices including early involvement of stakeholders and multiparty contracts which its combination with advanced technologies such as blockchain can lead to better dispute management and improve the whole construction process.
Design/methodology/approach
Based on literature review, the alternative dispute resolution (ADR) for IPD contacts were identified, and three formats of IPD contracts were selected, and the dispute resolution process of them has been analyzed. Then, based on blockchain review, a conceptual blockchain-based dispute management (BDM) model was generated for ADR in IPD. Model validation was done by an interview. Experts were asked to compare the BDM model with the traditional system regarding the ADR duration.
Findings
Analyses of the collected data from the experts demonstrated that the BDM model has better function in terms of time and cost for ADR process when the project is facing serious and considerable number of disputes. The relation between blockchain technology (BCT) and building information modeling (BIM) has been examined through a framework, and the ability of the proposed model for administrating dispute resolution process has been verified using four different scenarios of construction claims that show the system can run successfully.
Originality
The current study proposes a truthful model, reliable framework to address the problem of project dispute management in IPD contracts. The system combines the ability to being unchangeable and the reliability characteristics of BCT with informative and automation aspects of BIM together to improve dispute resolution issue in the IPD system.
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Edwin H.W. Chan and Henry C.H. Suen
Unfamiliar with the Chinese culture and ways of doing business, foreign architects/engineers/contractors (AEC) firms will encounter differences with the local parties. With…
Abstract
Purpose
Unfamiliar with the Chinese culture and ways of doing business, foreign architects/engineers/contractors (AEC) firms will encounter differences with the local parties. With reference to the characteristics of Chinese culture on disputes, this paper studies the problem areas of dispute and of resolving disputes in international construction projects in China. The objectives are to: examine the fundamentals of Chinese culture and ways of doing business; examine the characteristics of international projects and investigate any differences in the dispute problems arising from China International Projects; identify the most popular dispute resolution mechanism(s) for international projects in China; and recommend possible ways to reduce and resolve disputes of these projects.
Design/methodology/approach
After literature review, a questionnaire was designed for face‐to‐face interviews with 40 practitioners to collect their opinions.
Findings
The results show that the problem areas giving rise to disputes are mainly related to contractual matters. To reflect the characteristics of international projects in China, cultural and legal matters are also found to be the sources of problem. Arbitration is the most popular method, after negotiation, for resolving disputes in international construction projects in China.
Research limitations/implications
The number of interviewees in this study could be improved and further study could include experts in Mainland China.
Originality/value
There is not much literature on dispute resolution management for international construction projects in China, with particular reference to cultural differences. This paper offers an invaluable reference for those foreign AEC firms interested in joining international projects in China.
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A distinction must be drawn between a dismissal on the one hand, and on the other a repudiation of a contract of employment as a result of a breach of a fundamental term of that…
Abstract
A distinction must be drawn between a dismissal on the one hand, and on the other a repudiation of a contract of employment as a result of a breach of a fundamental term of that contract. When such a repudiation has been accepted by the innocent party then a termination of employment takes place. Such termination does not constitute dismissal (see London v. James Laidlaw & Sons Ltd (1974) IRLR 136 and Gannon v. J. C. Firth (1976) IRLR 415 EAT).
Haytham Besaiso, Peter Fenn and Margaret Emsley
This paper aims to investigate the use of alternative dispute resolution (ADR) techniques in the Palestinian construction industry. It also seeks to identify some of the drivers…
Abstract
Purpose
This paper aims to investigate the use of alternative dispute resolution (ADR) techniques in the Palestinian construction industry. It also seeks to identify some of the drivers and barriers to the greater use of particular ADR techniques.
Design/methodology/approach
In this study, 12 semi-structured in-depth interviews were conducted with senior ADR practitioners comprising nine construction professionals, two eminent lawyers and a retired judge.
Findings
This research has explored the practices of mediation, adjudication and expert evaluation in the Palestinian construction industry and has identified deficiencies in implementation and the roles that the cultural and legal contexts play in this. The research findings cast some doubt on the results of previous studies asserting the widespread use of construction mediation.
Originality/value
This paper contributes to knowledge by bringing new insight into the practice of particular ADR techniques in the Palestinian construction industry and in identifying challenges to the more widespread adoption of these ADR techniques. This paper exposes the myth of the popularity of construction mediation and the dilemma to the use of mediation brought by the social construction and conceptualisation of the mediator’s role.
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