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1 – 10 of 456Kimmo Keskiniva, Arto Saari and Juha-Matti Junnonen
This study aims to provide a foundation for the development of subcontracts that suit takt production in construction.
Abstract
Purpose
This study aims to provide a foundation for the development of subcontracts that suit takt production in construction.
Design/methodology/approach
This is a non-empiric conceptual study, which integrates takt production and general construction literature into new proposals for subcontract clauses suitable for takt production in construction. This study uses literature reviews, from which proposals regarding takt production viable subcontract clauses are conducted via logical reasoning.
Findings
A total of 13 proposals for takt production applicable subcontracts are provided in this study. The proposals emphasize detailed and collaborative planning, suitable payment methods and flexibility for takt plan modification.
Originality/value
Previous takt literature has not properly addressed the development of subcontracts for takt production, despite regular attempts to use subcontracting in takt production. This study aims to aid main contractors to create fair and suitable subcontracts, so that adhering to takt schedules could be more viable in practice. This study also acts as a foundation for further empirical studies regarding the subject.
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Erno Salmela and Janne Huiskonen
The purpose of this paper is to promote decision-making structures between the customer and the supplier in a highly uncertain environment. This phenomenon of demand-supply chain…
Abstract
Purpose
The purpose of this paper is to promote decision-making structures between the customer and the supplier in a highly uncertain environment. This phenomenon of demand-supply chain synchronisation includes sharing of high-quality and timely demand and supply information in order to improve the quality and speed of decision-making.
Design/methodology/approach
The study was carried out as an abductive case study, which started from empirical observations that did not match the prior theoretical framework. Through abductive reasoning and empirical experiments, the prior framework was extended to a new synchronisation model and tools that better accommodate the observed need.
Findings
A new co-innovation toolbox was developed to create common understanding of demand-supply chain synchronisation between the customer and the supplier. The toolbox includes Demand Visibility Point-Demand Penetration Point, Supply Visibility Point–Supply Penetration Point and Integrative Synchronisation tools.
Research limitations/implications
The study extends the current models and tools of demand-supply chain synchronisation. With the new toolbox, the development needs of decision-making structures can be identified more comprehensively than with the current tools.
Practical implications
The developed visual toolbox helps partners create a common understanding of problems and development possibilities in demand-supply chain synchronisation in a highly uncertain environment. Common understanding is a starting point for changing decision-making structures to improve the overall performance of a demand-supply chain.
Originality/value
The new toolbox is both more comprehensive and more detailed than the previous tools.
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Herbert Sherman and Daniel J. Rowley
“I quit.” Those two little words were dropped like an atomic bomb and seemed to explode across the dinner table at the Davis residence. The meal had not yet been served though…
Abstract
“I quit.” Those two little words were dropped like an atomic bomb and seemed to explode across the dinner table at the Davis residence. The meal had not yet been served though everyone was at the table engaged in a lively discussion, which of course included their business, DHR Patio Homes, LLC. Immediately, a hush descended upon the Davis family and their guest, close friend, and business associate, Stephen Hodgetts, as an imaginary mushroom cloud filled the room. No one could move or say a word although numerous glances of varying nature were being exchanged in rapid succession. The somberness of the situation was quickly broken, however, by another barrage of discontent. “I've had it, I quit. Find someone else to act as the contractor for the company.” With those words, RJ Davis quickly vacated the dining room and zoomed upstairs into the Davisesʼ spare garage apartment.
Gustav Gunnerud, Sondre Evjen, Rune Søfting, Ola Lædre, Nina Kjesbu and Jardar Lohne
The study aims to address the seemingly unexplored scope of action for project managers to conduct work-related crime in the Norwegian construction industry.
Abstract
Purpose
The study aims to address the seemingly unexplored scope of action for project managers to conduct work-related crime in the Norwegian construction industry.
Design/Methodology/Approach
Literature review: In-depth interview with 13 senior officials. Document study.
Findings
Broad scope of action to contract criminal subcontractors seems to be exploited intentionally and unintentionally.
Research Limitations/Implications
Limited number of interviewees. The scale of intentional exploitation unknown. Research could be used as basis to further research on incentives and countermeasures.
Practical Implications
Need for industry wide effort to improve barriers to avoid crime and contracting criminal subcontractors.
Originality/Value
Unexplored field globally and in Norway. Little to no documentation found in previous research.
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Jeroen van Strien, Cees Johannes Gelderman and Janjaap Semeijn
Performance-based contracting (PBC) plays an increasingly important role in the defense industry. This paper aims to investigate factors that influence service provider’s…
Abstract
Purpose
Performance-based contracting (PBC) plays an increasingly important role in the defense industry. This paper aims to investigate factors that influence service provider’s willingness to accept PBC-induced risks. It also shows how these risks could be managed in a military service supply chain.
Design/methodology/approach
The case study focused on the relationship between a service provider and a customer that acted on behalf of other users in the defense sector. The contract involved the sustainment of a military engine in a complex supply chain.
Findings
The service provider’s performance attributability appeared to have a strong impact on its willingness to take PBC-induced risks. For the parts where the service provider did not have full control over the service performance, exclusions and Service Level Agreements (SLAs) were used to manage and mitigate the risks associated with uncontrolled performance. The service provider’s willingness to accept PBC-induced risks was also affected by its ability to make accurate forecasts, the applied growth path and the length of the contract.
Research limitations/implications
This case has specific characteristics, unique by time (maturity of the technical system and supply chain) and place (market). It is recommended that results are tested in other research settings.
Practical implications
Organizations should be aware of the factors that influence a service provider’s willingness to bear PBC-induced risks. Customers should limit PBC to those parts of a contract where risks are of an acceptable level. Also, it is recommended to follow a phased growth path when it is not possible to make accurate forecasts in a PBC context.
Originality/value
This study is the first to address critical issues concerning the identification and management of risks under PBC in the defense industry.
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Herbert Sherman and Daniel J. Rowley
Stephen Hodgetts read the e-mail over and over again and still could hardly believe what he had read. He had just come back from his vacation, well rested and refreshed, and this…
Abstract
Stephen Hodgetts read the e-mail over and over again and still could hardly believe what he had read. He had just come back from his vacation, well rested and refreshed, and this e-mail had dampened his high enthusiasm. It took time to absorb such bad news and for Hodgetts to get over his incredulity.Yet in the end Hodgetts accepted the truth‐a deep, dark terrible truth that would not go away. Robert Davis, his business partner’s son, had confirmed in an e-mail his worst fears about their newest business partner, David Russ.Many thoughts were running through his mind simultaneously yet each screamed to be heard.“How could he and his partner Richard Davis have been so blind, so trusting?” “How could Russ not have heeded the advice of his business partner, Richard Davis, Russ’s former English professor?” And most important, “What was now going to happen to their new business?” Yet the one thought that continued to echo among them all was surprisingly a quote from Sir Arthur Conan Doyle’s beloved character, Sherlock Holmes: “But there are always some lunatics about. It would be a dull world without them.”
Provide explanations to why firms subcontract.
Abstract
Purpose
Provide explanations to why firms subcontract.
Design/Methodology/Approach
Theoretical analysis based on current and specific conditions of the construction sector and empirical indicators.
Findings
Attributes potentially influencing the subcontracting decision are updated.
Research Limitations/Implications
The paper will only focus on the make-or-buy decision of the main contractor and not the client.
Practical Implications
Contributing to coming analysis on the subcontractor decision.
Originality/Value
Updated transaction cost analysis on the construction industry.
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Jelle Koolwijk, Clarine van Oel and Mirjam Bel
To explore how and why the social structures of strategic partnerships are shaped by actors and how these interrelate with a team's interpersonal relationships over time. Grasping…
Abstract
Purpose
To explore how and why the social structures of strategic partnerships are shaped by actors and how these interrelate with a team's interpersonal relationships over time. Grasping the complexity of this interplay is essential if we want to comprehend what actually goes on in these partnerships and understand why actors often disengage from them.
Design/methodology/approach
In three cases, 14 in-depth interviews were held with knowledgeable actors about important events and activities that influenced the relationships between partners. Interview data were triangulated with journals kept by the lead author, who participated as an engaged scholar in the three cases. Because this study took an interdisciplinary approach, new insights could evolve from the multi-level analysis.
Findings
Trust has a moderating effect on the relation between open-book accounting and the degree of control a dominant party wants to exercise. When the level of control is raised, this can signal distrust to the other partners, which can harm the relationship. When partners feel more dependent on each other's capabilities to reach their long-term goals, the parties seem to be less likely to put the blame on one of the partners in the case of undesirable events.
Practical implications
Managers should be aware of their power position and acknowledge the effects of power on their relationships. If long-term and close collaboration does not emerge in their partnership, it may be due to how they use their power position.
Originality/value
Thanks to the interdisciplinary approach, this is the first study that shows the significance of trust and power in maintaining strategic partnerships in the construction industry, and how trust can affect the financial rules of actors.
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Abstract
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