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Open Access
Article
Publication date: 3 July 2023

Siraj Ahmed, Jukka Majava and Kirsi Aaltonen

The purpose of this study is to investigate the benefits and challenges of implementing circular economy (CE), as well as shed light on the influence of procurement strategy in CE…

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Abstract

Purpose

The purpose of this study is to investigate the benefits and challenges of implementing circular economy (CE), as well as shed light on the influence of procurement strategy in CE implementation in construction projects.

Design/methodology/approach

A qualitative research approach with abductive reasoning was adopted. The empirical data were collected from the construction industry in the United Arab Emirates (UAE).

Findings

The results reveal that clients, consultants and contractors have limited awareness, knowledge and motivation to implement CE in construction projects. The absence of incentives to design projects following CE principles, lack of involvement of contractors and suppliers, non-use of materials that use CE principles and current procurement strategies are the main challenges for the implementation of CE in the UAE.

Originality/value

Previous research offers limited knowledge on CE and its implementation in construction projects particularly from a procurement strategy perspective. The findings of the study provide new knowledge of the benefits, challenges and role of procurement strategy for implementing CE. It is suggested that collaborative and partnering-based procurement methods are needed to facilitate the effective implementation of CE.

Details

Construction Innovation , vol. 24 no. 7
Type: Research Article
ISSN: 1471-4175

Keywords

Open Access
Article
Publication date: 25 July 2024

Per Erik Eriksson

This paper aims to examine how different contextual contingency factors and organizational goals influence construction clients’ decision-making when procuring contractors in the…

Abstract

Purpose

This paper aims to examine how different contextual contingency factors and organizational goals influence construction clients’ decision-making when procuring contractors in the housing sector. More specifically, it investigates how clients’ choice of procurement strategies and organizational control systems is contingent upon various contextual factors and organizational goals.

Design/methodology/approach

It is based on an explorative interview study of clients and contractors in the Swedish housing sector underpinned by a review of organizational control literature.

Findings

The client's knowledge and resources, as well as project complexity and uncertainty, are the most important contextual contingency factors, while property management and sustainable development are the most important organizational goals that housing clients consider when designing procurement strategies.

Research limitations/implications

The paper contributes to the understanding of how construction clients choose procurement strategies, by providing new insights into effects of the mentioned contextual contingency factors and organizational goals on clients’ choice of control systems through their procurement strategies.

Practical implications

Property owners who continuously procure housing projects with sustainability requirements and high degrees of complexity and uncertainty should develop knowledge and resources related to their client role, to enable the design and implementation of appropriate procurement strategies.

Originality/value

Novel aspects of the paper are the demonstration of the value of a holistic approach, considering both contextual contingency factors and organizational goals, when selecting control systems and explicit discussion of how the client's knowledge and resources influence possibilities to implement different control systems.

Details

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

Keywords

Open Access
Book part
Publication date: 1 May 2019

Tina Karrbom Gustavsson, Anna Kadefors, Sofia Lingegård, Ola Laedre, Ole Jonny Klakegg, Nils Olsson and Johan Larsson

The purpose of the study is to map previous and current construction procurement research to further develop the research in the Nordic counties.

Abstract

Purpose

The purpose of the study is to map previous and current construction procurement research to further develop the research in the Nordic counties.

Design/Methodology/Approach

Mapping of previous and current research based on search in national database. The analysis is based on research perspectives, empirical contexts and research methods.

Findings

That the blind spots are partly overlapping, but that there is potential for knowledge transfer in some areas. There is also the potential for a Nordic research program on one or several of the blind spots.

Research Limitations/Implications

The study is limited to PhD and licentiate-thesis reports in Norway and Sweden. Further research should include the other Nordic countries and a more extensive literature review including journal articles to broaden the scope. Findings have implications on collaborative Nordic research initiatives, knowledge transfer and in a longer perspective on the level of procurement knowledge in industry and society.

Practical Implications

Findings provide a base for future research collaborations, initiatives and applications.

Originality/Value

Findings provide a comprehensive understanding of construction procurement research in the Nordic countries, starting with Norway and Sweden. This understanding is needed for developing research collaborations and applications.

Details

10th Nordic Conference on Construction Economics and Organization
Type: Book
ISBN: 978-1-83867-051-1

Keywords

Open Access
Article
Publication date: 19 April 2024

Atupakisye Mwakolo, Meshack Siwandeti, Leticia Mahuwi and Baraka Israel

The study aims to explore the role of procurement of good governance (PGG) on value for money (VfM) achievement in public construction projects. By investigating various…

Abstract

Purpose

The study aims to explore the role of procurement of good governance (PGG) on value for money (VfM) achievement in public construction projects. By investigating various dimensions of PGG, including transparency, accountability, competition and integrity, this study provides insights into how these factors contribute to the successful achievement of VfM outcomes in public construction projects.

Design/methodology/approach

The data were sourced from 203 construction project practitioners from 24 selected procuring entities in Tanzania using a census approach and a cross-sectional questionnaire survey. Confirmatory factor analysis (CFA) and structural equation modelling (SEM) were used for data analysis.

Findings

The findings of the study revealed a positive and significant impact of various dimensions of PGG on VfM. Specifically, transparency, accountability, competition and integrity were positively and significantly related to VfM, with p-values <0.001. Based on the study findings, we conclude that PGG is an important predictor of VfM achievement in public construction projects.

Practical implications

The study offers policy implications for streamlined PGG and VfM achievement in public construction projects. It is suggested that procuring entities can enhance VfM by enforcing compliance with the principles of PGG throughout the entirety of construction projects. In this case, streamlined legislative frameworks and control mechanisms are crucial components that could enhance PGG and the achievement of VfM.

Originality/value

This study contributes to the academic literature on the strategic role of PGG in enhancing VfM achievement. This is one of the research domains, which has not been adequately researched, particularly in Tanzania’s context. In addition, the study provides valuable insights to policymakers, practitioners and stakeholders involved in public construction projects to improve project outcomes and resource allocation.

Details

LBS Journal of Management & Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0972-8031

Keywords

Open Access
Article
Publication date: 26 April 2024

Luís Jacques de Sousa, João Poças Martins and Luís Sanhudo

Factors like bid price, submission time, and number of bidders influence the procurement process in public projects. These factors and the award criteria may impact the project’s…

Abstract

Purpose

Factors like bid price, submission time, and number of bidders influence the procurement process in public projects. These factors and the award criteria may impact the project’s financial compliance. Predicting budget compliance in construction projects has been traditionally challenging, but Machine Learning (ML) techniques have revolutionised estimations.

Design/methodology/approach

In this study, Portuguese Public Procurement Data (PPPData) was utilised as the model’s input. Notably, this dataset exhibited a substantial imbalance in the target feature. To address this issue, the study evaluated three distinct data balancing techniques: oversampling, undersampling, and the SMOTE method. Next, a comprehensive feature selection process was conducted, leading to the testing of five different algorithms for forecasting budget compliance. Finally, a secondary test was conducted, refining the features to include only those elements that procurement technicians can modify while also considering the two most accurate predictors identified in the previous test.

Findings

The findings indicate that employing the SMOTE method on the scraped data can achieve a balanced dataset. Furthermore, the results demonstrate that the Adam ANN algorithm outperformed others, boasting a precision rate of 68.1%.

Practical implications

The model can aid procurement technicians during the tendering phase by using historical data and analogous projects to predict performance.

Social implications

Although the study reveals that ML algorithms cannot accurately predict budget compliance using procurement data, they can still provide project owners with insights into the most suitable criteria, aiding decision-making. Further research should assess the model’s impact and capacity within the procurement workflow.

Originality/value

Previous research predominantly focused on forecasting budgets by leveraging data from the private construction execution phase. While some investigations incorporated procurement data, this study distinguishes itself by using an imbalanced dataset and anticipating compliance rather than predicting budgetary figures. The model predicts budget compliance by analysing qualitative and quantitative characteristics of public project contracts. The research paper explores various model architectures and data treatment techniques to develop a model to assist the Client in tender definition.

Details

Engineering, Construction and Architectural Management, vol. 31 no. 13
Type: Research Article
ISSN: 0969-9988

Keywords

Open Access
Article
Publication date: 26 July 2019

Simon van Zoest, Leentje Volker and Marleen Hermans

The purpose of this paper is to address the barriers that Dutch housing associations encounter in implementing new procurement strategies.

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Abstract

Purpose

The purpose of this paper is to address the barriers that Dutch housing associations encounter in implementing new procurement strategies.

Design/methodology/approach

Several aspects of purchasing, portfolio management, project delivery and supply management are discussed in relation to the changing role of housing associations as semi-public commissioning bodies in the Dutch construction industry, based on data derived from workshops with six Dutch housing associations.

Findings

Housing associations are adapting their procurement strategy towards a more integrative and performance-based approach to supply management. Due to the complexity of implementing this process, housing associations struggle especially with moving beyond pilot projects, increasing the maturity levels throughout the organisation and aligning new policies with daily practices at a tactical and an operational level.

Practical implications

Increased knowledge of change processes and seeing the potential of maturity models will be valuable for practitioners who are dealing with changes on the work floor.

Social implications

Client organisations are considered one of the key drivers of change in the construction industry. Insights into these particular organisational change processes contribute to the potential of industry reform.

Originality/value

Most studies on collaboration and integration in the supply chain focus on the inter-organisational level or on the supply side, rather than the internal organisation of the client.

Details

International Journal of Managing Projects in Business, vol. 13 no. 2
Type: Research Article
ISSN: 1753-8378

Keywords

Open Access
Article
Publication date: 7 August 2017

Per Erik Eriksson

The purpose of this study is to investigate how procurement strategies may be designed to facilitate exploration and exploitation in construction projects.

13188

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.

Details

Journal of Financial Management of Property and Construction, vol. 22 no. 2
Type: Research Article
ISSN: 1366-4387

Keywords

Open Access
Article
Publication date: 20 October 2023

Usman Musa, Mastura Jaafar and Faraziera Mohd Raslim

This study attempts to examine the factors that influence user intention to adopt e-procurement in the Nigerian public sector.

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Abstract

Purpose

This study attempts to examine the factors that influence user intention to adopt e-procurement in the Nigerian public sector.

Design/methodology/approach

A well-structured questionnaire was used to collect primary data from 278 procurement and information technology (IT) departments’ officials of key federal government ministries and agencies. The technology acceptance model (TAM) model was adopted and extended with security-related factors, namely perceived trust and perceived security. A partial least squares-structural equation modelling (PLS-SEM) approach was used to test and validate the model.

Findings

The results indicated that perceived usefulness is the best predictor of users’ intention to adopt e-procurement, followed by perceived security and perceived trust. In contrast, however, perceived ease of use was found to have a significant negative effect on the intention to adopt e-procurement.

Originality/value

This study is among the first in the Nigerian public sector context to evaluate users’ perceptions on e-procurement adoption with the use of a distinctive research model (TAM). The study's findings contribute to a better understanding of the factors influencing the adoption of e-procurement in the Nigerian public sector.

Details

Arab Gulf Journal of Scientific Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1985-9899

Keywords

Open Access
Article
Publication date: 3 February 2020

Paulos A. Wondimu, Ole Jonny Klakegg and Ola Lædre

Early contractor involvement (ECI) faces many barriers because it differs from traditional business practices. Public owners, especially, face a major challenge because they must…

10314

Abstract

Purpose

Early contractor involvement (ECI) faces many barriers because it differs from traditional business practices. Public owners, especially, face a major challenge because they must comply with international and national legislation. The purpose of this paper is to develop a framework that illustrates the various approaches that public project owners can take to implement ECI.

Design/methodology/approach

In addition to a literature review, three groups of case studies were carried out. The case studies were based on 54 semi-structured in-depth interviews with key personnel from 21 Norwegian public projects and document study.

Findings

In all, 25 approaches to ECI were identified during the research. Twelve of these were used in the cases studied.

Social implications

There are several approaches to ECI that are suitable for public owners. However, the contractor’s contribution depends on which approach is implemented and how it is implemented.

Originality/value

As original contribution, this study presents a novel framework that defines options for implementing ECI in public projects. Furthermore, this paper provides insights on how ECI can be implemented in public projects based on Norwegian experiences. Although the empirical data of the study is limited to Norwegian public projects, this study contributes to knowledge about how to implement ECI internationally.

Details

Journal of Public Procurement, vol. 20 no. 1
Type: Research Article
ISSN: 1535-0118

Keywords

Open Access
Article
Publication date: 20 March 2020

Debby Willar, Estrellita Varina Yanti Waney, Daisy Debora Grace Pangemanan and Rudolf Estephanus Golioth Mait

In responding to global issues of creating sustainable development, the Indonesian government has enacted regulations (i.e. Ministry of Public Works and Housing No. 05/PRT/M/2015…

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Abstract

Purpose

In responding to global issues of creating sustainable development, the Indonesian government has enacted regulations (i.e. Ministry of Public Works and Housing No. 05/PRT/M/2015) on the implementation of sustainable construction in infrastructure project execution. The purpose of this paper is to evaluate the means of implementing sustainable principles in the execution of infrastructure projects in Indonesia by the main construction service providers and their partners. A lesson-learned is presented as a source of knowledge to underpin the extensive implementation of sustainable principles in the construction of infrastructure projects leading to an integrated approach in creating a sustainable infrastructure that fulfills the requirements of sustainable development.

Design/methodology/approach

The method used is questionnaire surveys with Indonesian construction practitioners who are working on building construction, road and bridge construction, water facilities construction and house and settlement construction.

Findings

From the results, the practices of sustainability principles by construction service providers in infrastructure project execution are imperative from the project procurement phase. The evaluation continues to the phase of construction project execution, which reveals the inconsiderable performance of sustainability indicators due to current constraints on the implementation of sustainability principles.

Originality/value

This research looks into the existing gaps between sustainable construction principles and their practical implementation in Indonesian infrastructure projects. This will foster a holistic approach in the practice of undertaking sustainable procurement processes, thus reinforcing project management techniques in the phase of sustainable construction project execution. This also strengthens the interrelated roles and responsibilities of project stakeholders by taking into account principles of safety, balance and the harmony of infrastructure and the environment.

Details

Smart and Sustainable Built Environment, vol. 10 no. 1
Type: Research Article
ISSN: 2046-6099

Keywords

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