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The paper aims to investigate the prevailing institutional logics that underpin the organisational behaviours of Chinese contractors and the institutional complexity they face…
Abstract
Purpose
The paper aims to investigate the prevailing institutional logics that underpin the organisational behaviours of Chinese contractors and the institutional complexity they face across several strategic areas when they undertake projects abroad.
Design/Methodology/Approach
The paper draws mainly on industry literature, reports and government websites to develop a typology of two ideal types of institutional logics that prevail among Chinese international contractors. The configurations of institutional complexity in different strategic areas are analysed through pattern-matching.
Findings
Two main logics are identified, namely, construction and investment logics. These logics in turn lead to patterns of volatile complexity in the strategic areas of business, technology, human resources and marketing; patterns of aligned complexity in operational and information technology strategic areas; and patterns of segregated complexity in financial strategic area.
Research Limitations/Implications
The paper presents an ongoing doctoral research. It provides a preliminary understanding of the institutional logics affecting Chinese international contractors and sets out the first step to understand the relationship between complex institutional environments and organisational responses.
Practical Implications
Chinese international contractors commonly face resistance, and at times resentment, from the local industries in the countries they operate. The findings of this paper are a first step towards a better understanding of why this is the case and what can be done to rectify the situation and improve long and short-term project performance.
Originality/Value
This paper provides practical implications for Chinese contractors to understand their internal context of institutional complexity and provides the basis for further understanding of Chinese contractors’ strategic responses.
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Emmanuel Dele Omopariola, Abimbola Olukemi Windapo, David John Edwards, Clinton Ohis Aigbavboa, Sunday Ukwe-Nya Yakubu and Onimisi Obari
Previous studies have postulated that an advance payment system (APS) positively impacts the contractor's working capital and is paramount to ensuring an efficient and effective…
Abstract
Purpose
Previous studies have postulated that an advance payment system (APS) positively impacts the contractor's working capital and is paramount to ensuring an efficient and effective project cash flow process. However, scant research has been undertaken to empirically establish the cash flow performance and domino effect of APS on project and organisational performance.
Design/methodology/approach
The epistemological design adopted a positivist philosophical stance augmented by deductive reasoning to explore the phenomena under investigation. Primary quantitative data were collected from 504 Construction Industry Development Board (CIDB) registered contractors (within the grade bandings 1–9) in South Africa. A five-point Likert scale was utilised, and subsequent data accrued were analysed using structural equation modelling (SEM).
Findings
Emergent findings reveal that the mandatory use of an APS does not guarantee a positive project cash flow, an improvement in organisational performance or an improvement in project performance.
Practical implications
The ensuing discussion reveals the contributory influence of APS on positive cash flow and organisational performance, although APS implementation alone will not achieve these objectives. Practically, the research accentuates the need for various measures to be concurrently adopted (including APS) towards ensuring a positive project cash flow and improved organisational and project performance.
Originality/value
There is limited empirical research on cash flow performance and the domino effect of APS on project and organisational performance in South Africa, nor indeed, the wider geographical location of Africa as a continent. This study addresses this gap in the prevailing body of knowledge.
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Joseph Kuruneri and Wiston Zivanai
Governments worldwide seek to optimize value in public project bids. Social procurement (SP) has become a global tool for achieving project goals. The purpose of this study is to…
Abstract
Purpose
Governments worldwide seek to optimize value in public project bids. Social procurement (SP) has become a global tool for achieving project goals. The purpose of this study is to assess the understanding of SP among contractors and identify its drivers to optimize the value associated with public projects.
Design/methodology/approach
A total of 15 major contractors were interviewed to obtain their views on SP, appreciate their current practices and identify the main drivers of SP in projects. A semistructured interview was used to gather relevant data. Neo-institutional theory is the lens of the study used to provide the focus of the research. The collected data were analyzed using the thematic data analysis technique.
Findings
The study found that SP is understood as corporate social responsibility and is not handled in a structured manner guided by policies or clearly defined procedures. Additionally, research has shown that compliance requirements, rather than value and goodwill, are the main inspiration for SP practices.
Research limitations/implications
The study’s limitation is the fact that it was conducted in the context of Botswana and only used the interview technique as the solo data collection method. The other limitation is the lack of empirical literature on SP concerning the lack of SP policy in Botswana.
Originality/value
This study raises awareness of the concept of SP among contractors in Botswana and eases its implementation within the industry.
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The purpose of this study is to investigate how procurement strategies may be designed to facilitate exploration and exploitation in construction projects.
Abstract
Purpose
The purpose of this study is to investigate how procurement strategies may be designed to facilitate exploration and exploitation in construction projects.
Design/methodology/approach
This paper is based on a literature review of organizational research and construction management literature together with a brief interview study of Swedish clients and contractors.
Findings
The theoretical and empirical findings propose that small and simple projects with low uncertainty and scarce resources may focus on exploitation to enhance short-term efficiency through traditional procurement strategies including delivery systems that separate the actors and their activities (i.e. pure design-build- or design-bid-build-contracts), fixed price payment and price focus in bid evaluation. Large complex projects with high uncertainty and customization benefit from combining exploration and exploitation to enhance sustainable performance. This requires collaborative procurement strategies including joint specification through early contractor involvement, cost reimbursement coupled with incentive-based payment, bid evaluation based on multiple criteria and collaborative tools and activities in partnering arrangements.
Research limitations/implications
This paper contributes to organizational learning literature by pinpointing the need for integrating procurement strategies that enhance combination of exploration and exploitation. The main contribution to the construction management literature involves the investigation of how procurement strategies may affect exploration and exploitation, as identified and articulated in the propositions developed in this paper.
Practical implications
From a practical perspective, the findings highlight the importance of tailoring procurement strategies to project characteristics to enhance a suitable balance between exploration and exploitation in construction projects.
Originality/value
The explicit focus on the operational project-level is uncommon but relevant in organizational learning literature.
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Emilia Nilsson Vestola, Per Erik Eriksson, Johan Larsson and Tina Karrbom Gustavsson
The purpose of this paper is to explore the interdependencies between temporary and permanent aspects of project organizing and how they affect the management of public…
Abstract
Purpose
The purpose of this paper is to explore the interdependencies between temporary and permanent aspects of project organizing and how they affect the management of public infrastructure operation and maintenance (O&M) activities.
Design/methodology/approach
The paper applies a case study approach and uses Lundin and Söderholm's (1995) framework of the temporary organization (with the themes of time, task, team and transition) to distinguish between temporary and permanent aspects of organizing two infrastructure O&M projects.
Findings
This paper adds to the literature on temporary organizations by recognizing a mixture of temporary and permanent aspects of project organizing in an empirical project-level example. In line with previous research, the themes of time, task, team and transition were shown to be interdependent. Furthermore, the paper broadens the theory of temporary organizations by presenting a project organization with significant permanent aspects.
Practical implications
Project managers of public sector projects need to be aware of the possible mixture of temporary and permanent aspects of project organizing. Management of projects that are found to have a mixture of temporary and permanent aspects should combine the perspectives and management practices of both temporary and permanent organizing. Not acknowledging permanent aspects could lead to management that is not adapted to the prerequisites of project organizing in this context.
Originality/value
The findings further develop the literature on temporary organizations by recognizing that there is not only a mixture of temporary and permanent aspects between the temporary organization and its permanent environment but there is also a mixture of temporary and permanent aspects of organizing within project organizations.
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Sharmin Khan, Mohammad Saquib and Anwar Hussain
Quality in the construction industry is an important issue yet ignored during the initial stages of the life cycle of a project, that is, the design and construction stage. The…
Abstract
Purpose
Quality in the construction industry is an important issue yet ignored during the initial stages of the life cycle of a project, that is, the design and construction stage. The contribution of stakeholders, especially the architects is generally suspended though it has huge significance in terms of cost and time related to quality. This research endeavors to examine the issues related to the design and construction stages of the project from architects' purview, to understand the relative importance of these issues in the Indian construction industry.
Design/methodology/approach
The study of qualitative data conducted formed a basis for online quantitative data collection that was further analyzed with the help of cross-tabulation and multiple correspondence analysis methods.
Findings
The study concludes that the budget of a project is a corresponding factor related to quality concern for architects. The study also established that the quality issues corresponding to high budgets are closely related to the construction stage and are identified as preparation of checklist, and bidding process of hiring the contractor on the lowest bid.
Research limitations/implications
The study is limited to analyzing the perspective of architects; however, other stakeholders of the construction industry may represent a different opinion.
Practical implications
This research emphasizes the importance of the client's role, and need for integration and coordination among stakeholders in the construction industry for effective quality control and management.
Originality/value
The research presents an exhaustive literature review on quality issues and its importance with respect to cost implications, standard practices, sustainability and the life cycle of the project.
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Christian Yao, Jane Parker, James Arrowsmith and Stuart C. Carr
A “living” wage (LW) is conventionally defined as enabling meaningful participation in society above subsistence through, for example, recreation, supporting a family, and…
Abstract
Purpose
A “living” wage (LW) is conventionally defined as enabling meaningful participation in society above subsistence through, for example, recreation, supporting a family, and savings. There is increasing debate over LWs due to growing inequality, rising living costs and welfare reform but this remains largely framed by the econometric cost-benefit parameters that apply to minimum wage regulation. The capabilities approach advocated by Sen (1999) offers a different perspective that is inclusive of choice, contingencies and the inter-connections between quality of (paid) work and private life. The paper aims to discuss these issues.
Design/methodology/approach
The paper adopts this framework and utilises a qualitative exploration of the narratives of 606 New Zealand employees to understand perceived wage effectiveness. The results suggest that a focus on a specific LW rate might be conceptually limiting, in comparison to a LW range.
Findings
First, the findings indicate that there is a pivot range in which people move from self-assessed “survival” to “decent” income. Second, a LW may have more than a simply monetary effect in better meeting employees’ living costs; it can also improve well-being through subjective perceptions of valued freedoms to do with job satisfaction, equity and security.
Originality/value
The results thus draw attention to a wider notion of a LW in terms of personal and family well-being, utilising a capabilities approach, with implications for organisational practice, policy and theory concerning sustainable livelihood and the UN Sustainable Development Goals.
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