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Article
Publication date: 30 March 2020

Mukhtar A. Kassem, Muhamad Azry Khoiry and Noraini Hamzah

Project failure is the result of one or a combination of several causes of risk factors that are very important to identify for effective performance. This study aims to…

Abstract

Purpose

Project failure is the result of one or a combination of several causes of risk factors that are very important to identify for effective performance. This study aims to focus on studying the fundamental relationship between internal risk factors and the negative effect on oil and gas project success in Yemen using the partial least square structural equation modelling (PLS-SEM) method.

Design/methodology/approach

Data collection was carried out using a formal questionnaire survey of the oil field sector in Yemen by companies involved in mega-oil and gas construction projects. A hierarchical model for determining causative internal risk factors and their effects was developed and evaluated using SEM method by SmartPLS3 software technology.

Findings

The findings of analyzing model indicate that all categories have a significant effect on project success, while the most significant affected categories in the internal risk factors are project management factors, feasibility study-design and resources-material supply with a path coefficient value of 0.213, 0.197 and 0.186, respectively. Moreover, for the hypotheses test, the positive relationship means that all experimental hypotheses are accepted according to path coefficient value analysis. In addition, the internal risk factors research model shows the ranking of effects on project success starting with project stoppage (loading factor 0.841), cost overruns (loading factor 0.818), time overruns (loading factor 0.726) and project target failure with loading factor 0.539.

Research limitations/implications

The research was limited to the oil and gas construction projects in Yemen.

Practical implications

Interpreting the relationship between internal risk factors and their impact on the success of construction projects in the oil and gas sector will assist project team and oil companies in developing risk response strategies and developing appropriate plans to mitigate the effects of risks, which is presented in this paper.

Originality/value

The paper explains the relationship between cause and effect of internal risk factors in oil and gas projects in Yemen, and is expected to be a guideline for the oil companies and future academic research in the risk management area.

Article
Publication date: 2 May 2020

Mukhtar A Kassem, Muhamad Azry Khoiry and Noraini Hamzah

Construction projects in the oil and gas sector are greatly affected by external risk factors, especially those related to the economy, politics, security and stability…

Abstract

Purpose

Construction projects in the oil and gas sector are greatly affected by external risk factors, especially those related to the economy, politics, security and stability factors. Hence, this research aimed to investigate the fundamental relationship between the external risk factors and their effects on the construction project success using Structural Equation Modeling method and PLS-SEM approach.

Design/methodology/approach

Data collected through a structured survey distributed to projects teams in the oil and gas sectors in Yemeni companies involved in mega construction projects. A hierarchical model for assessing causative external risk factors and their effects on project success was developed and analyzed using Smart PLS 3 software of SEM.

Findings

The findings showed that economic, political, force majeure and security-related risk factors had a strong effect on project success. Besides, the Coefficient of Determination (R-squared value) equals 0.743, represented the proportion of variation in the dependent variable(s), which can be explained by one or more predictor variable. Moreover, the predictive relevance value Q2 is 0.375 above zero, which indicates that the conceptual model can predict the endogenous latent constructs. The calculated Goodness of Fit (GoF) Index of the model was 0.699, which shows that the developed model had substantial explanatory power to represent the relationship between the cause of external risk factors to and the effect on construction project success.

Research limitations/implications

This research was limited to the oil and gas construction projects in Yemen as case study.

Practical implications

Practically, this study highlights the external risk factors that cause a negative effect on the success of oil and gas construction projects in Yemen. The research model of these factors is the first step in the risk management process to develop strategic responses for risks and explain the relationship between cause and effect on project success.

Social implications

The model of external risks factors that cause the failure of construction projects helps develop response strategies for these risks, thereby increasing the chances of project success reflected in the oil and gas sector, which is a main tributary of the national economy in developing countries.

Originality/value

There is a need to improve the planning of economic and security performance as well as to mitigate political risk factors effects on project success and other risk factors discussed in this study, which effect on construction project success according to their priorities.

Details

Engineering, Construction and Architectural Management, vol. 27 no. 9
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 14 August 2019

Mukhtar A. Kassem, Muhamad Azry Khoiry and Noraini Hamzah

This study aims to identify and assess the significant risks in Yemen oil and gas construction projects based on their risk rating (impact and probability) by using…

Abstract

Purpose

This study aims to identify and assess the significant risks in Yemen oil and gas construction projects based on their risk rating (impact and probability) by using probability–impact matrix (PIM).

Design/methodology/approach

In total, 51 risk factors that might affect construction projects in the oil and gas sector are defined through a detailed literature review and expert judgment. The risk factors were tabulated in a questionnaire form, which was sent to a total of 400 participants asking their contribution in identifying the risk matrix for the risk factors in terms of impact and probability of occurrence during the project life cycle. Five zones were used in the matrix according to the degree of risk factor’s severity on the success of the project. These zones are light green, dark green, yellow, light red and dark red.

Findings

The PIM analysis for risk factors found that five factors are located in the dark red zone, as top risks factors have a very high impact and very high probability of occurring; 40 factors are located in the light red zone; six factors are located in the yellow zone; and no factors are located in the green zone (light and dark), which is considered an indication of the importance of risk factors under study and their impact on the success of construction projects in the oil and gas sector. Moreover, the factors under feasibility study and design and resources and material; are the most categories effect on project success.

Research limitations/implications

The research was limited to the oil and gas construction projects in Yemen.

Practical implications

Practically, this study highlights the top risk factors in oil and gas construction projects, which might cause an adverse effect on project success in Yemen. Classification and ranking of these factors by using the risk matrix provide the basis for risk response planning to enhance the chances of project success.

Originality/value

This paper identifies the matrix for risk factors affecting the success of construction projects in the oil and gas industry in Yemen. There is a significant contribution expected from this research, especially for companies operating in the oil and gas sector and other organizations that plan to invest in this field, in addition to expected benefits for the Yemeni Government and researchers because of lack of research in this area.

Details

International Journal of Energy Sector Management, vol. 14 no. 3
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 30 July 2020

Mukhtar A Kassem, Muhamad Azry Khoiry and Noraini Hamzah

The oil and gas construction projects are affected negatively by the drop in oil price in recent years. Thus, most engineering, procurement and construction (EPC…

Abstract

Purpose

The oil and gas construction projects are affected negatively by the drop in oil price in recent years. Thus, most engineering, procurement and construction (EPC) companies are opting to optimize the project mainly to mitigate the source of risks in construction to achieve the project expectation. Risk factors cause a threat to the project objectives regarding time, cost and quality. It is additionally a vital component in deviating from the client's expectation of productivity, safety and standards. This research aims to investigate the causes of risk in the oil and gas construction projects in Yemen.

Design/methodology/approach

A comprehensive literature review from various sources including books, conference proceedings, the Internet project management journals and oil and gas industry journals was conducted to achieve the objectives of this study. This initial work was predicated strictly on a literature review and the judgments of experts to develop the risk factor framework for the oil and gas construction projects in Yemen.

Findings

The authors found a few studies related to risk factors in oil and gas construction projects and shared a similar view about general construction projects. However, only a fraction of the factors accepted have included the variances of other studies on a regional basis or specific countries, such as the Yemen situation, due to the differences between the general construction industry and oil and gas industry. Moreover, the factors of these attributes were still accepted due to their applicability to the oil and gas industry, and no significant variances existed between countries. Research has indicated that 51 critical factors cause risks in the oil and gas construction projects in Yemen. Such risk factors can be divided into two major groups: (1) internal risk factors, including seven critical sources of risks, namely client, contractor, consultant, feasibility study and design, tendering and contract, resources and material supply and project management; and (2) external risk factors, including six sources of critical risk factors, namely national economic, political risk, local people, environment and safety, security risk and force-majeure-related risk factors. A risk factor framework was developed to identify the critical risk factors in the oil and gas construction projects in Yemen.

Research limitations/implications

This research was limited to the oil and gas construction projects.

Practical implications

Practically, this study highlights the risk factors that cause a negative effect on the success of oil and gas construction projects in Yemen. The identification of these factors is the first step in the risk management process to develop strategic responses for risks and enhance the chances of project success.

Social implications

The identification of risks factors that cause the failure of construction projects helps develop response strategies for these risks, thereby increasing the chances of project success reflected in the oil and gas sector, which is a main tributary of the national economy in developing countries.

Originality/value

This research is the pioneer for future investigations into this vital economic sector. Given the lack of resources and studies in the field of construction projects for the Yemeni oil and gas sector, the Yemeni government, oil companies and researchers in this field are expected to benefit from the results of this study. The critical risk factors specific to the oil and gas construction projects in Yemen should be further investigated with focus only on Yemen and its oil and gas industry players.

Details

Engineering, Construction and Architectural Management, vol. 28 no. 4
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 13 March 2019

Mukhtar A. Kassem, Muhamad Azry Khoiry and Noraini Hamzah

This study aims to investigate the risk factors in construction projects in oil and gas processing facilities in Yemen and serves as a case study for developing countries.

Abstract

Purpose

This study aims to investigate the risk factors in construction projects in oil and gas processing facilities in Yemen and serves as a case study for developing countries.

Design/methodology/approach

By using a questionnaire, data were collected from 201 project managers and engineers employed in different sectors in the oil and gas industry in Yemen.

Findings

The survey analysis based on Kruskal–Wallis test method shows a high degree of agreement on the perceptions of risk factors depending on categories of companies. In other words, the tested risk factors exist in all sectors of oil companies in Yemen and are valid as a measure of risk factors in construction projects in oil and gas organizations in general. Although no evidence suggests that the risk factors differ significantly according to job title, the result of identifiable risk factors according to experience shows a statistically significant difference among participants in terms of their experience. The relative importance of the ranking of risk factors was obtained by the statistical analysis of responses on the impact and likelihood of occurrence of these risks. Findings show that internal risks are the greatest influential factors in construction projects in the oil and gas sector, followed by changes during construction project, government instability, incorrect project cost estimation, government delay in decision making, incorrect project schedule estimation, and political situation and war in the country.

Originality/value

These findings are valuable to organizations that are planning to conduct construction projects for oil and gas processing facilities in Yemen and other nations with similar environments, such as developing countries.

Details

International Journal of Energy Sector Management, vol. 13 no. 4
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 19 June 2021

Atul Rawat, Sumeet Gupta and T. Joji Rao

This study aims to identify the operational and financial risks associated with the city gas distribution project in India and suggest appropriate strategies to mitigate them.

Abstract

Purpose

This study aims to identify the operational and financial risks associated with the city gas distribution project in India and suggest appropriate strategies to mitigate them.

Design/methodology/approach

This study aims to identify the operational and financial risks associated with the city gas distribution project in India and suggest appropriate strategies to mitigate them. The survey data is evaluated using factor analysis to understand the latent structure of the critical risk factors. Second, the author uses Situation, Actor and Process–Learning, Action and Performance framework to suggest the mitigation strategies for the identified operational and financial risk factors.

Findings

The research identified five critical risk factors and suggested 39 mitigation strategies to address operational and risk factors impacting CGD projects. The findings of this research will enable the CGD companies to formulate long-term strategies for their business and adopt proactive measures to mitigate the operational and financial risks causing delay and increasing project costs. This study also highlights the importance of government support in developing a conducive environment for CGD industry to thrive.

Originality/value

The CGD projects are critical for natural gas growth in India’s energy mix. The project delay leads to a rise in the total cost involved and increases the payback period for the CGD companies. To the best of authors’ knowledge, this research is first of its kind that identifies the critical operational and financial risks affecting CGD projects in India and suggests the mitigating strategies for them.

Details

International Journal of Energy Sector Management, vol. 15 no. 5
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 10 November 2020

Dzuljastri Abdul Razak, Muhammad Bilal and Hanudin Amin

The purpose of this study is to examine the determinants influencing low- and middle-income households in accepting the Islamic public-private housing co-operative model…

Abstract

Purpose

The purpose of this study is to examine the determinants influencing low- and middle-income households in accepting the Islamic public-private housing co-operative model (IPHCM) as an alternative to contemporary affordable public housing models in Malaysia.

Design/methodology/approach

Using self-administrated questionnaires, data are collected from low- and middle-income households dwelling in Programme Perumahan Rakyat projects in Kuala Lumpur and the state of Selangor. The study used the theory of planned behaviour (TPB) and used the partial least squares technique to examine the proposed hypothesised relationships.

Findings

The findings of this study suggest that subjective norm and perceived consumer religiosity is the most influential determinants affecting the behavioural intention of low- and middle-income households in accepting the IPHCM model. Attitude had a significantly positive relationship with households’ behavioural intentions towards accepting the IPHCM model.

Practical implications

The findings of this study can serve as a guideline for policymakers to understand the behavioural intention of low- and middle-income households in accepting newly developed models in affordable public housing space.

Originality/value

Behavioural aspects regarding the acceptance of affordable public housing models in Malaysia have yet to be profoundly explored in the literature. This study has extended the TPB by incorporating perceived consumer religiosity, in the affordable public housing domain, to analyse its effects on households’ acceptance of the IPHCM model.

Details

International Journal of Islamic and Middle Eastern Finance and Management, vol. 14 no. 1
Type: Research Article
ISSN: 1753-8394

Keywords

Article
Publication date: 13 November 2017

Fiona Wingett and Sarah Turnbull

The purpose of this study is to explore the expectations of Muslim tourists when taking a halal holiday. Understanding consumer expectations is an important factor in any…

1464

Abstract

Purpose

The purpose of this study is to explore the expectations of Muslim tourists when taking a halal holiday. Understanding consumer expectations is an important factor in any service context since expectations determine whether the consumer is satisfied or dissatisfied with the service outcome.

Design/methodology/approach

An exploratory approach was adopted and in-depth interviews with Muslim tourists and halal holiday providers were undertaken.

Findings

The findings identified services and facilities Muslim consumers expect from a halal holiday and those they did not expect to see. Factors such as halal food, women-only facilities and dress codes were identified as services and facilities that are expected, whereas no alcohol was seen to be an important factor for Muslim tourists.

Research limitations/implications

This exploratory study used a small sample and hence the findings should not be seen to be generalisable. However, the study provides a number of valuable insights into the expectations of Muslim leisure tourists. Halal travel organisations and tourism boards will benefit from a better understanding of factors that influence the satisfaction/dissatisfaction of Muslim tourists.

Originality/value

The study makes three main contributions to our understanding of halal holidays. First, the study identifies expectations that are likely to influence satisfaction, such as halal food and women-only facilities. Second, the study highlights those expectations which are likely to cause dissatisfaction for halal holidaymakers, such as alcohol and dress codes. Third, the study highlights the difference in expectations which exist between halal holidaymakers and how the interpretation and practice of Islam is highly varied.

Details

Journal of Islamic Marketing, vol. 8 no. 4
Type: Research Article
ISSN: 1759-0833

Keywords

Article
Publication date: 5 August 2022

Abdul Wahab, Jun Wang, Alireza Shojaei and Junfeng Ma

Smart contracts using blockchain technology (BCT) is a tool that decentralizes authority and makes it easier to upgrade the contract administration process by providing an

Abstract

Purpose

Smart contracts using blockchain technology (BCT) is a tool that decentralizes authority and makes it easier to upgrade the contract administration process by providing an efficient system. Current literature provides a good overview of contracts in the construction industry; however, the specific details of BCT's smart contracts applications in the three categories have not been addressed adequately: (1) information quality, (2) enhancing project schedule and progress payment time and (3) reducing conflicts among project stakeholders. Thus, this study aims to analyze smart contracts using BCT by creating a computerized contract model, specifically evaluating its impact on the three identified categories.

Design/methodology/approach

In this paper BCT-SmContract was developed through an automated program that utilizes blockchain to define the contractual agreements between different parties in a construction project. BCT-SmContract model provides a new technique to overcome the current challenges associated with factors identified in this study, i.e. (1) information quality, (2) enhancing project schedule and progress payment time and (3) reducing conflicts among project stakeholders. Afterward, the model was tested to ensure validity and reliability through a construction project.

Findings

The findings indicated that BCT-SmContract was approximately 90% faster to execute the contract and 100% accurate in reflecting the correct information about the project status, resulting in reduced conflicts.

Originality/value

This study has contributed in upgrading the traditional contracting method in construction by developing an automated smart contract model to enhance the processes and achieve higher accuracy.

Details

Engineering, Construction and Architectural Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 18 February 2020

Anil Kumar, Rohit Kr Singh and Sachin Modgil

This paper presents the concerns in agri-food supply chain. Further the research investigates the role of information and communication technology (ICT) in agri-food…

2778

Abstract

Purpose

This paper presents the concerns in agri-food supply chain. Further the research investigates the role of information and communication technology (ICT) in agri-food supply chain and determines the impact of supply chain management (SCM) practices on firm performance.

Design/methodology/approach

The theoretical framework was proposed for the study on the basis of existing literature. Data for the study was collected with the help of structured questionnaire from 121 executives and officers of the public food distribution agency. Partial least square (PLS)–structured equation modeling was employed to test the framework and hypotheses.

Findings

The results indicate that ICT and SCM practices (logistics integration and supplier relationships) have a significant relationship. Furthermore, SCM practices (information sharing, supplier relationship and logistics integration) have a significant and positive impact on performance of the organization.

Research limitations/implications

Further research could be carried out to test the moderation effect of SCM practices between ICT and organizational performance (OP). Extending the research study to the companies operating in other sectors can enhance the external validity of the study and improve the accuracy of parameters examined.

Practical implications

This study can be of interest to the agri-food industry as well as other industry practitioners interested in improving the performance of the organization from the view of supply chain.

Originality/value

The outcomes of this study have important implications that translate into a series of recommendations for the management of public food distribution as well as other agri-food-based supply chains.

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