Search results
1 – 9 of 9Douglas Alleman and Eul-Bum Lee
The publication presents an analysis of the cost and schedule performance of incentive/disincentive projects and case studies toward developing a systematic disincentive valuation…
Abstract
Purpose
The publication presents an analysis of the cost and schedule performance of incentive/disincentive projects and case studies toward developing a systematic disincentive valuation process, with Construction Analysis for Pavement Rehabilitation Strategies (CA4PRS) software integration that aids agencies in minimizing the likelihood of court challenges of disincentives.
Design/methodology/approach
From a California transportation database, the authors performed cost and schedule analyses of 43 incentive/disincentive (I/D) projects and case studies on four of those I/D projects. Interviewees included subject matter experts from transportation organizations to ensure applicability and maximum value-adding, and the process was implemented on ten California transportation projects and monitored for performance.
Findings
The presented process mitigates the contractor's ability to claim disincentives as penalties in a court of law through the following: (1) all calculations are performed using project-specific bases, backed by estimations of actual incurred costs; (2) the CA4PRS software allows for estimation transparency and (3) the clarity of cost inclusions reduces any chances of “double-dipping” between disincentives and liquidated damages.
Practical implications
Transportation agencies have historically faced legal challenges to their enforcements of disincentives. As agencies continue to apply disincentives on more megaprojects, contractors will likely attempt to pursue legal challenges more frequently. The presented process mitigates the likelihood of these challenges going to court and increases the accuracy and efficiency of disincentives.
Originality/value
While there have been publications that discuss the legal challenges of imposing disincentives, they mainly provide guidelines and lack applicable processes. Existing literature that does present incentive/disincentive valuation process focuses on incentive valuations and neglects the disincentives' legal challenges. The following publication fills this gap by presenting an applicable disincentive valuation process for transportation projects which incorporates the guidelines for legal mitigation.
Details
Keywords
Abid Hasan and Kumar Neeraj Jha
Delays in construction projects can be very expensive due to their adverse effects on project cost and profit margin. To overcome this problem, clients in the construction…
Abstract
Purpose
Delays in construction projects can be very expensive due to their adverse effects on project cost and profit margin. To overcome this problem, clients in the construction industry sometimes use schedule incentive/disincentive (I/D) contracting strategy. However, previous studies have shown that inadequate understanding and wrong implementation of schedule I/D provisions could result in unintended results. Moreover, the use of the I/D contracting method is in its initial stages in many countries such as India. The purpose of this paper is to identify various factors that are essential for schedule I/D success in construction projects.
Design/methodology/approach
A questionnaire survey was conducted among experienced professionals (clients, contractors and consultants) from across the Indian construction industry.
Findings
Top success factors related to clients in the descending order of their importance are: realistic targets; detailed guidelines for I/D implementation; close coordination with other stakeholders; correct estimation of I/D duration and amount; and imposing disincentives after due consideration. Meanwhile, factors related to contractor organisations are: continuous monitoring and control; thorough understanding of schedule I/D targets; specific considerations in appointing senior project personnel; effective communication; and proper labour management.
Research limitations/implications
This empirical research was conducted in the Indian construction industry. Similar studies from developed construction markets may provide more insights into the successful use of schedule I/D provisions in construction projects.
Practical implications
The uptake of these recommendations is likely to increase the success of schedule I/D provisions in construction projects, especially in developing countries where the use of I/D contracting strategy is not very popular.
Originality/value
This research highlights the specific roles of both clients and contractors in the success of schedule I/D projects in developing countries such as India.
Details
Keywords
While school reform literature calls attention to incentives forteachers, little research or policy making has focused on schooladministrators′ incentives. Career incentives…
Abstract
While school reform literature calls attention to incentives for teachers, little research or policy making has focused on school administrators′ incentives. Career incentives perceived by a sample of elementary school principals and the influence of career background on those incentives are examined. It was found, using both qualitative and quantitative methods of analysis, that principals perceive their career as having economic, ancillary and task‐related rewards. However, principals varied in the kinds of incentives they preferred and the nature of their future goals. Principals who have moved among several school districts in their administrative careers are more likely to be satisfied and to emphasise incentives, such as contact with school constituencies, which come from staying in the principalship. In contrast, principals who have remained in the same district throughout their administrative careers are more likely to prefer those incentives which advancement to central office can offer.
Details
Keywords
Kayleigh M. Nelson, Aimee I. McKinnon, Angela Farr, Jaynie Y. Rance and Ceri J. Phillips
The purpose of this paper is to present an evaluation of a collaborative commissioning approach to improve quality and experience and reduce cost within integrated health and…
Abstract
Purpose
The purpose of this paper is to present an evaluation of a collaborative commissioning approach to improve quality and experience and reduce cost within integrated health and social care.
Design/methodology/approach
A multi-method approach is used involving qualitative interviews, documentary analysis and non-participant observation.
Findings
The findings suggest that the approach provides a suitable framework for the collaborative commissioning of integrated health and social care services.
Research limitations/implications
Further research is now needed to provide a definitive evaluation of its value outside of Wales.
Practical implications
With the significant scrutiny on health systems, the approach demonstrates effectiveness in securing quality improvements, achievement of recognised care standards and patient outcomes, while providing scope for financial gains and a goal for stakeholders to engage in effective communication.
Originality/value
This research presents an innovative method for collaborative commissioning and reveals activities that appear to contribute to more effective commissioning processes.
Details
Keywords
Joseph H.L. Chan, Daniel W.M. Chan, Patrick T.I. Lam and Albert P.C. Chan
The purpose of this paper is to identify the party most preferred to take the risks associated with the target cost contracts and guaranteed maximum price contracts (TCC/GMP) in…
Abstract
Purpose
The purpose of this paper is to identify the party most preferred to take the risks associated with the target cost contracts and guaranteed maximum price contracts (TCC/GMP) in the Hong Kong context.
Design/methodology/approach
An empirical questionnaire survey was conducted with the relevant industrial practitioners to solicit their preferences of risk allocation in TCC/GMP construction projects in Hong Kong.
Findings
The survey findings indicated that risks on tender documentation and project design are better borne by clients, while construction related risks are perceived to be taken by contractors. The research findings are consistent with other similar studies on risk allocation in construction projects in general.
Practical implications
This paper has developed a preferred risk allocation scheme for the delivery of future TCC/GMP projects, taking Hong Kong as an example. It can serve as a useful guide for decision makers to determine an optimal risk allocation at the planning stage of a TCC/GMP scheme.
Originality/value
The paper can benefit both academic researchers and industrial practitioners in generating an equitable risk sharing mechanism for TCC/GMP projects. It provides sufficient empirical evidence, added to the growing body of knowledge and lays a solid foundation for further research such as an international comparison of various risk allocation schemes associated with this kind of contractual arrangement.
Details
Keywords
Siwaporn Tangwanichagapong, Vilas Nitivattananon, Brahmanand Mohanty and Chettiyappan Visvanathan
This paper aims to describe the effects of 3R (reduce, reuse and recycle) waste management initiatives on a campus community. It ascertains the environmental attitudes and…
Abstract
Purpose
This paper aims to describe the effects of 3R (reduce, reuse and recycle) waste management initiatives on a campus community. It ascertains the environmental attitudes and opinions of the residents and investigates their behavioral responses to waste management initiatives. Practical implications for enhancing sustainable waste management are discussed in this paper.
Design/methodology/approach
Demonstration projects on waste segregation and recycling, as well as waste a reduction campaign, were set up on the campus to ascertain people’s attitudes and investigate their behavioral responses toward 3R practices. Data were collected through a questionnaire survey, observations, interviews and the project’s document review. A waste audit and waste composition analysis was carried out to assess waste flows and actual waste management behaviors and measure the change in the recycling rate.
Findings
3R waste management initiatives had positive effects on people’s attitudes about resources, waste management and consciousness of the need to avoid waste, but these initiatives did not affect recycling and waste management behavior. A voluntary approach-only cannot bring about behavioral change. Incentive measures showed a greater positive effect on waste reduction to landfills. Nevertheless, the demonstration projects helped to increase the overall campus recycling from 10 to 12 per cent.
Originality/value
This paper addresses a literature gap about the 3R attitudes and resulting behavior as part of campus sustainability of higher education institutions in a developing country. The authors’ results revealed hurdles to be overcome and presents results that can be compared to behavioral responses of people from other developed countries. These findings can be used as a guide for higher education institution’s policy-makers, as they indicate that voluntary instruments alone will not yield effective results, and other mechanisms that have an impact on people's behavior are required.
Details
Keywords
Work crew productivity and the application of limited resources are necessary elements in construction duration delay analysis. This study thus proposes a method to analyze…
Abstract
Purpose
Work crew productivity and the application of limited resources are necessary elements in construction duration delay analysis. This study thus proposes a method to analyze construction delays and resource reallocation based on work crew productivity and resource constraints. The study also presents an economic feasibility analysis that maximizes economic effect by reducing construction duration, the cost of resource reallocation, delay liquidated damages (DLDs) and incentives for reducing contractual duration.
Design/methodology/approach
The proposed method involved three steps. First, work crew characteristics such as productivity, unit price and workload helped analyze delay information, including delay duration, reducible duration and daily reduced cost. Next, a goal programming method assessed resource reallocation based on the priority (as determined by decision-makers) of each constraint condition, such as the available number of workers, cost, goal workload and statutory working hours. Lastly, the level of reallocation was analyzed based on the results of the economic feasibility analysis and decision-makers’ delay attitudes.
Findings
A case study was performed to test the proposed method's applicability. Its involved sensitivity analysis indicated proposing to decision-makers a scenario based on the prioritization of economic feasibility. The proposed method's applicability proved high for decision-makers, as they can determine whether to reduce construction duration per the proposed data.
Originality/value
The proposed method's main contribution is the reallocation of resources to reduce construction duration based on work crew productivity and the prioritization of limited resources. The proposed method can analyze the differences in productivity between the plan and actual progress, as well as calculate the necessary number of workers. Decision-makers can then reduce the appropriate level of contractual duration based on their own delay attitude, constraint condition prioritization and results from daily economic feasibility analyses.
Details
Keywords
Edward Badu, De‐Graft Owusu‐Manu, David J. Edwards, Michael Adesi and Scott Lichtenstein
Although a high proportion of the Ghanaian population live and work in under‐developed areas, research on rural infrastructure development is scarce. The purpose of this paper is…
Abstract
Purpose
Although a high proportion of the Ghanaian population live and work in under‐developed areas, research on rural infrastructure development is scarce. The purpose of this paper is to explore the challenges confronting rural infrastructure development and the requisite incentives needed to boost it.
Design/methodology/approach
An inductive methodological approach was adopted using a structured questionnaire to survey the perceptions of rural contractors.
Findings
Incentive systems identified include the provision of mobilization funds for projects; a plant pool for rural contractors; special allowance for rates of project items; and provision of letters of credit to secure loans for projects. Key challenges confronting rural construction were identified as a lack of financial institutions willing to support projects with funds; lack of potable water; lack of good health care systems; and lack of a goods market to supply materials.
Research limitations/implications
Identification of challenges and incentive systems for rural infrastructure development provides an opportunity to reinvigorate rural infrastructural development in sub‐Saharan Africa.
Practical implications
The study will be of value to all project partners throughout the supply chain who contemplate rural infrastructure development.
Originality/value
The paper presents a novel epitome of rural infrastructure delivery in the developing country of Ghana.
Details
Keywords
Vineeth Dharmapalan, William J. O’Brien, Douglas Morrice and Minhyuk Jung
Stakeholders of construction projects exhibit different perceptions regarding the visibility of materials in the supply chain, which affects the timely delivery and installation…
Abstract
Purpose
Stakeholders of construction projects exhibit different perceptions regarding the visibility of materials in the supply chain, which affects the timely delivery and installation of materials. This study aims to quantitatively investigate the differences in viewpoints of owners, contractors, designers and suppliers about the visibility of materials at supply chain locations and different material types during the construction of industrial projects.
Design/methodology/approach
Survey data about visibility at nine typical supply chain locations and three common material types were collected from owner, contractor, designer and supplier groups and analyzed using frequency statistics, relative importance index and tests for equality of odds.
Findings
Offsite Tier-2 supplier, ports and kitting site shows the lowest visibility level for the owner, contractor, supplier and designer groups. Also, the supplier group tends to have adequate to extreme visibility at the Tier-2 supplier, kitting site and during transportation compared to owner, contractor and designer groups. An example finding concerning the visibility of material types is that owners and contractors perceive prefabricated material requires higher visibility than all other material types.
Research limitations/implications
The findings are limited to construction projects in the industrial sector. Further, the survey participants were based in North America at the time of participation.
Practical implications
The study’s findings indicate how visibility is spread across supply chain locations and for material types for the owners, contractors, suppliers and designers of industrial projects. As such, academia and industry’s research and investment efforts can be more focused on locations and material types that need improvement.
Social implications
Industrial projects play an essential part in improving society’s daily lives, and this study’s findings contribute to improving the efficiency of the supply chain during construction of industrial projects.
Originality/value
Although previous studies mentioned the need and importance of visibility improvement, none have sought to understand the perception of leading supply chain stakeholders about visibility at supply chain locations and of material types. This study’s findings provide specific insights and directions for advancing in these areas with regard to supply chain visibility.
Details