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Article
Publication date: 18 June 2019

This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies.

Abstract

Purpose

This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies.

Design/methodology/approach

This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context.

Findings

This research paper concentrates on the reasons why the labor-only procurement of construction services is being commonly used in Nigeria. Adopting a survival strategy for hard economic times of accepting labor-only work benefits small- and medium-sized contractors by providing quick sources of cash flow and by allowing them to build more client relationships, while small private clients benefit from cost savings and from controlling material quality.

Originality/value

The briefing saves busy executives, strategists, and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Details

Strategic Direction, vol. 35 no. 8
Type: Research Article
ISSN: 0258-0543

Keywords

Article
Publication date: 14 January 2019

Oluwaseyi Alabi Awodele, Douglas Omoregie Aghimien, Olutayo Gabriel Akinkunmi and Clinton Ohis Aigbavboa

Due to its cost savings nature and ability to ensure constant jobs for contractors, this study aims to assess the capability of the labour-only procurement system to serve as a…

Abstract

Purpose

Due to its cost savings nature and ability to ensure constant jobs for contractors, this study aims to assess the capability of the labour-only procurement system to serve as a surviving strategy for construction contractors in a challenging economy.

Design/methodology/approach

The study adopted a mixed-methods design. An interview and questionnaire were used to harness information from 98 construction participants who have been involved in labour-only procured projects. These respondents were identified through snowballing. Frequency, percentage, mean item score, Mann–Whitney u-test and content analysis were used in analysing the data gathered.

Findings

Result revealed that participants are willing to execute more projects through this system because it gives considerable cost savings for clients and provides reduction in contractor’s risk and allows them to maintain healthy cash flow. The main factors influencing its usage are the client’s decision to procure materials, need for job at hand for contractors and the need for referrals from clients for subsequent jobs.

Practical implications

Findings of this study will assist contractors to understand the potential of this procurement system as a surviving option in a harsh economy. Small and medium contractors can make use of this available opportunity of having projects at hand at reduced risk to ensure continuous cash flow to keep their organisations afloat.

Originality/value

The contribution of this study to the body of knowledge lies in its provision of a reasonable insight on the inherent nature of a procurement system as a surviving strategy for contractors unlike the usual assessment of the generic survival strategies adopted in other studies.

Details

Journal of Engineering, Design and Technology, vol. 17 no. 2
Type: Research Article
ISSN: 1726-0531

Keywords

Article
Publication date: 16 September 2021

Abimbola Windapo, Abdulrauf Adediran, James Olabode Bamidele Rotimi and Nnedinma Umeokafor

This study aims to investigate whether clients’ knowledge about construction procurement systems influence project performance objectives and the role of procurement systems on…

Abstract

Purpose

This study aims to investigate whether clients’ knowledge about construction procurement systems influence project performance objectives and the role of procurement systems on project performance objectives in South Africa.

Design/methodology/approach

Using a two-round survey, 90 usable questionnaires from construction professionals in South Africa plus 3 expert clients were collected. The data were analysed using descriptive statistics – means, percentages and the analytical hierarchy process to determine the rank of client project performance criteria, while inferential statistics – Pearson product-moment correlation was used in establishing the relationship between the level of clients’ knowledge and project performance.

Findings

It was found that the common procurement systems used are traditional, followed by management-oriented and integrated procurement systems. In addition, it emerged that client’s knowledge of procurement systems shows a positive relationship with the achievement of project performance objectives. Based on these findings, it is concluded that some procurement systems being selected by clients in South Africa are inappropriately selected. This is despite the emergence of more efficient procurement systems. If procurement systems are selected based on the knowledge of the client, it will give better chances of a successful project outcome.

Practical implications

The research suggests the need for clients to seek ways to improve their understanding or increase their knowledge of procurement systems in construction. Policymakers’ responsibilities in driving policies that will place responsibilities on clients to seek a reasonable way to improve their knowledge where possible is implied in the study.

Originality/value

It contributes to improving project performance by examining whether the level of knowledge possessed by a client influences project performance.

Details

Journal of Engineering, Design and Technology , vol. 20 no. 5
Type: Research Article
ISSN: 1726-0531

Keywords

Article
Publication date: 2 November 2015

Wilson Udo Udofia, B. H. W. Hadikusumo and Djoen San Santoso

This paper aims to identify and examine valid project termination reasons and the rebidding strategies of road construction project. Rebidding strategies is one of the measures to…

Abstract

Purpose

This paper aims to identify and examine valid project termination reasons and the rebidding strategies of road construction project. Rebidding strategies is one of the measures to restructure terminated/troubled road construction project.

Design/methodology/approach

An instrument which comprised 82 items entitled “Project Termination and Rebidding Strategies in Road Construction Projects in Nigeria” (PTRS) was developed to evaluate 60 randomly sampled road projects using qualified project/site managers and engineers as project respondents for the purpose of securing valid information on the terminated and rebid road construction projects. Mean, standard deviation and factor analysis shall be used as analytical tools in identifying valid termination reasons and rebidding strategies and as well as the relationship between them through regression analysis.

Findings

The paper’s findings revealed major project termination reasons and rebidding strategies. It further indicated significant relationship between variables which constitutes project termination reasons and rebidding strategies through regression analysis.

Practical implications

The outcome of the paper could be of immense benefits during the procurement phase of public project, especially regarding road construction. Stakeholders involved in the road procurement should seek relevant information concerning the road project reprocurement from the expert prior to contractual obligations.

Originality/value

Major challenges confronting the road construction project involve inappropriate procurement practices which frequently culminate into late deliveries of project. Rebidding strategies serve as a model through which cost, time and quality needs of the project client can be reassured in restructuring a terminated/troubled project.

Details

Journal of Financial Management of Property and Construction, vol. 20 no. 3
Type: Research Article
ISSN: 1366-4387

Keywords

Article
Publication date: 4 December 2017

Titus Ebenezer Kwofie, Emmanuel Adinyira and Frank Fugar

Communication ineffectiveness inherent in the unique attributes of Mass Housing Project (MHP) features is well admitted in the body of literature. However, the understanding of…

Abstract

Purpose

Communication ineffectiveness inherent in the unique attributes of Mass Housing Project (MHP) features is well admitted in the body of literature. However, the understanding of the extent and nature of this influence of the unique features of MHPs requires an empirical insight. The aim of this paper is to identify the communication ineffectiveness induced by the unique features and delineate the implications of the findings for mass housing practitioners and stakeholders towards engendering effective communication performance.

Design/methodology/approach

Through a structured questionnaire survey, data were elicited from mass housing stakeholders and project team leaders. The data were subsequently analysed using structural equation modelling, and the communication effectiveness evaluation model was developed. Subsequently, the model was validated through a questionnaire survey on ten experienced mass housing practitioners, researchers and stakeholders.

Findings

The results revealed significant, moderate and weak effects of the unique features of MHP team communication performance. This suggests that the unique features of MHPs have varying degree of influence on the communication performance among project teams’ delivery. The findings provide practical, empirical insights and understanding into the inherent communication ineffectiveness on MHPs, and thus are very useful in communication management and planning in MHP’s delivery.

Originality/value

Against the backdrop of the need to gain an in-depth understanding of the inherent communication challenges towards improving communication performance in MHP delivery, the findings have rigorously revealed and provided clear insight into the nature of communication ineffectiveness inherent in the unique features of MHPs. The findings and insights provided by this study are thus useful for aligning communication management planning and strategies to the unique MHP environment to engender communication success. Practitioners can also use these findings towards the development of their communication behavioural skills and communication infrastructure for MHP delivery.

Details

Journal of Engineering, Design and Technology, vol. 15 no. 6
Type: Research Article
ISSN: 1726-0531

Keywords

Article
Publication date: 1 January 1966

Denning, L.J. Diplock and L.J. Russell

March 18, 1966 Trade Dispute — Acts in furtherance of — Procuring breach of contract — Sub‐contract for “labour only” — Trade union objection in principle to “labour only”…

Abstract

March 18, 1966 Trade Dispute — Acts in furtherance of — Procuring breach of contract — Sub‐contract for “labour only” — Trade union objection in principle to “labour only” contracts — Industrial action to procure termination of sub‐contract continued after opportunity to learn terms on which sub‐contract terminable — Application by sub‐contractors for interim injunction — Whether industrial action prima facie unlawful interference with sub‐contract — Whether “labour only” contract “contract of employment”, Trade Disputes Act, 1906 (6 Edw. VII, c.47),s.3 — Trade Disputes Act, 1965 (c.48),s.1.

Details

Managerial Law, vol. 1 no. 1
Type: Research Article
ISSN: 0309-0558

Article
Publication date: 1 January 1996

AMMAR P. KAKA and FARZAD KHOSROWSHAHI

This paper addresses the effect of different procurement methods (traditional, design and build and management contracting) on project cash flow. Historical data relating to the…

Abstract

This paper addresses the effect of different procurement methods (traditional, design and build and management contracting) on project cash flow. Historical data relating to the periodic cost of 150 construction projects were collected. Four criteria were identified to classify the projects: type of project, size, company and type of procurement. The effect of these criteria on the S‐curves was then examined using ANOVA. Results confirmed that differently procured projects with different sizes produce different patterns. The company and type of project did not significantly affect the shape of the S‐curve. Standard S‐curves were then modelled for the three aforementioned procurement routes. These curves were used to calculate the relevant cash flows using a computer based cash flow forecasting model. A series of simulation tests were conducted to evaluate the extent of variation in cash flow, given different contract conditions. Results revealed that, in some cases, the variation in procurement routes has a significant effect on contract cash flows.

Details

Engineering, Construction and Architectural Management, vol. 3 no. 1/2
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 1 February 1997

ANDREW COX and MIKE TOWNSEND

This paper is based on research being undertaken by the Centre for Strategic Procurement Management (funded by BAA) considering best practice in construction procurement. The…

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Abstract

This paper is based on research being undertaken by the Centre for Strategic Procurement Management (funded by BAA) considering best practice in construction procurement. The primary aim of the study is to establish how supply chains in construction may be managed more efficiently and effectively. This involves the amalgamation of conventional views on industry problems and initiatives for improvement, the theoretical and empirical consideration of supply chain optimisation, the identification of ‘best practices’ in the procurement process, and the development of suitable change management strategies to allow organizations to move towards better practice. This paper discusses the limitations behind the current thinking for reforming the UK construction industry, and how Latham's ‘team’ approach will not succeed where clients adopt a ‘traditional’ approach to procuring their construction needs. There is a need to differentiate between ‘process’ and ‘commodity’ spend in construction. It is argued that the benefits of a collaborative approach can only be realized by those clients managing ‘fit‐for‐purpose’ supply relationships to satisfy their regular process requirements. An approach known as relational competence analysis is suggested as a methodology for helping clients to determine what is ‘fit for their purpose.

Details

Engineering, Construction and Architectural Management, vol. 4 no. 2
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 1 March 2022

Muhammad Usman Shahid, Muhammad Jamaluddin Thaheem and Husnain Arshad

The construction industry struggles in environmental and economic performance due to waste generation. Several studies have measured this waste in the construction industry of…

Abstract

Purpose

The construction industry struggles in environmental and economic performance due to waste generation. Several studies have measured this waste in the construction industry of developing countries like India, Brazil, China, Nigeria and Iran, and proposed strategies to enhance the overall efficiency. But no such work exists in Pakistan's context. The construction industry of Pakistan contributes significantly to the country's gross domestic product (GDP). And with several mega projects in progress to overcome the energy crises and improve the infrastructure of the country, the absence of proper waste management policies and plans calls for empirical research. Therefore, this study quantifies and benchmarks material waste in the local context, its impact on project cost and the effect of multiple subcontracting arrangements on waste generation. It also proposes a conceptual waste management plan (WMP) for local conditions which can be generalized for developing countries.

Design/methodology/approach

This paper uses a mixed research approach by leveraging Saunders's research onion model. To benchmark the current wastage practices, quantitative data of material waste in the Pakistani construction industry are gathered through document review of accounting systems, inventory and payment records of 40 completed building projects. Using the data, the waste rate of different materials is measured along with their impact on cost. Additionally, the role of subcontracting arrangements in waste generation is also investigated. Also, semi-structured interviews are conducted with project managers of high- and low-performing construction organizations to propose a conceptual WMP for the local industry and developing countries.

Findings

The highest wasteful materials by quantity are wood, sand and concrete blocks, and those by cost are wood, bricks and steel. By quantity, 123% more material was used on average than the actual productive work. Also, the labor only (L-O) subcontracting arrangement causes maximum waste. Moreover, the difference between the highest (155%) and lowest wasting company (104%) is 51%, highlighting the proactive and resistive waste management culture and approach by the worst- and best-performing companies. Further, the impact of waste quantities is more than 2% of the project cost. Finally, a conceptual model consisting of measures at the project, industry and national levels is also proposed as a guide for developing countries.

Practical implications

The findings of this benchmarking study can help improve the project planning, execution and monitoring, and control practices by providing a better understanding of the material waste potential. This will help economize the construction industry and improve its sustainability.

Originality/value

This is the first benchmarking study that quantitatively measures material waste in the construction industry of Pakistan. It highlights that costly as well as sustainability-implicating materials are frequently wasted in the local construction projects. Also, this study correlates the wastage with subcontracting arrangements. Additionally, an original conceptual WMP is proposed that could help the industry improve its performance. The findings could help the construction professionals identify the loopholes in their material management practices and not only save money but also ensure better sustainability.

Details

Engineering, Construction and Architectural Management, vol. 30 no. 6
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 18 August 2020

Abimbola Olukemi Windapo, Oluseye Olugboyega and Sunday Odediran

This study aims to investigate the impacts of procurement strategies on the growing proportion of construction small- and medium-sized enterprises (SMEs) and whether the size of…

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Abstract

Purpose

This study aims to investigate the impacts of procurement strategies on the growing proportion of construction small- and medium-sized enterprises (SMEs) and whether the size of the construction company moderates the effect.

Design/methodology/approach

This study adopted a quantitative research approach and a cross-sectional questionnaire survey in achieving its objectives. The survey requires the respondent to identify both the most successful and most outstanding project that the respondent was involved in between 2010 and 2016.

Findings

The study found that only traditional and management-oriented procurement strategies ensure the achievement of all growth plans for construction SMEs in South Africa; and that medium-sized construction enterprises achieve social growth such as community empowerment, managerial skills and advancement on the cidb Register of Contractors.

Practical implications

The findings of the study imply that policymakers should base their decisions regarding macroeconomic issues and growth plans for construction SMEs on the internal and external factors such as differences in the sizes of construction SMEs and differences in the suitability of procurement strategies affecting the growth of construction SMEs.

Originality/value

In past studies, the diversity amongst SMEs is often overlooked and SMEs are erroneously assumed to share similar objectives, possess equal capabilities and face challenges of the same magnitude. The original contribution of this study is shown in the investigation of the moderating effect of SMEs’ diversity (in terms of company size) on their growth proportion as influenced by procurement strategies.

Details

Journal of Financial Management of Property and Construction , vol. 25 no. 3
Type: Research Article
ISSN: 1366-4387

Keywords

1 – 10 of 48