International joint ventures (IJVs) have become popular because of their importance as a strategic alternative in global competition. The measurement of the performance of IJVs has been an important research topic for a few decades, however there is no consensus on an appropriate definition and measurement of IJV performance. In this study, a model is proposed to assess IJV performance in construction. The validity of the proposed drivers and measures of performance is investigated and relationships between them are analyzed. The effects of interpartner fit/relations, structural IJV characteristics, host country factors, and project-related factors on IJV performance are examined through a questionnaire survey. IJV performance is defined by a four-dimensional construct that considers the performance of the project, the IJV partners, the IJV organization itself, and the perceptions of the IJV partners. The results point out the significance of the interpartner fit and the quality of partner relations for a successful IJV operation. The findings of the study also suggest that project-related factors have a moderate influence on IJV performance. In a properly designed IJV structure, partners with compatible skills, resources, and cultures are found to maintain good relations and are expected to achieve greater IJV success.
<p>A computerized system to schedule high-rise building construction has been developed using line-of-balance technology assisted by an expert system. A review of the recent literature on the techniques available for scheduling and controlling construction projects of a repetitive nature shows that Gantt charts are inadequate, and that there are serious problems with using network methods in such circumstances. There is evidence that the construction of high rise buildings has a decidedly repetitive nature but differs in some respects from other repetitive projects such as pipelines or pavement construction. Two new concepts have been introduced into line-of-balance methodology to accommodate the special conditions encountered in high rise building construction. These two concepts, namely ‘fexible’ unit networks and ‘multi-level’ LOB diagrams have been coded into a scheduling module (‘Lobplans’). A series of databases have been compiled regarding the productivity of resources. An expert system module (Lobex) has been developed to facilitate decision-making at network generation level. The scheduling module, the databases, and the expert system have been organized into an integrated system (Chriss) by means of communication and command routines that interface between the modules and the user input. A 16-storey building project has been used in testing Chriss’ performance. The integrated system proved to be user friendly and reliable.</p>
Since the selection of a delay analysis method depends on the delay analyst's subjective judgment, there is a risk of making problematic decisions due to the delay analyst's ignorance, lack of experience, carelessness, or intention. Each one of these methods may yield different analysis results. Therefore, it is necessary to develop an objective decision-making system based solely on the project environment. The existing delay analysis methods are classified into four types, according to the basic principles used in the analysis. Seven conditions that affect the selection of a delay analysis method (i.e., type of schedule, type of information, timing of analysis, expectations from the delay analysis, acceptance by courts of law, capabilities of delay analysis team, and budget constraint) were identified in a literature review. A delay analysis selection system (DASS) was developed using if-then rules constructed by considering which conditions should exist in a given project environment for successfully performing a specific type of delay analysis and getting realistic results. This system was computerized and validated by implementing it in several but different scenarios considered in this study. The contributions of this study include (1) an objective selection decision can be made based on only the project environment, without relying on the analyst's subjective preference, and (2) unnecessary and expensive legal disputes caused by delay-related issues between construction owners and construction companies can be minimized.
The concept of competitive positioning is explored in the context of the United States construction industry along two dimensions—scope and mode of competition. The effects of competitive positioning on construction company performance are also explored while controlling the size of construction companies. Construction firms' choices regarding scope and mode of competition and their economic performance are self-reported. The statistical analyses used in this research include cluster analysis, Duncan multiple range tests, one-way analysis of variance, and one-way analysis of covariance. Research findings point out that construction companies address the challenges of the industry by adopting a number of competitive positioning alternatives. Research findings also reveal that construction companies' choices regarding scope and mode of competition are significantly related to company performance, measured by means of three criteria—profitability, growth in contract awards, and overall performance. Construction firms that place a strong emphasis on all modes of competition and adopt a neutral approach to scope of competition outperform their rivals.
ISO 9000 is one of the most important administrative innovations of the last two decades. The Turkish precast concrete industry is an interesting example of the diffusion of this important administrative innovation. Innovation diffusion theory proposes that the diffusion of an innovation is driven by internal (i.e. behaviours of copying others) and external (i.e. complying with client requirements, changes in government regulations, demand conditions, and consulting firms' suggestions) influence factors. The propositions of innovation diffusion theory are empirically tested by using three mathematical models: the internal influence model, the external influence model and the mixed influence model. The mixed influence model has the highest explanatory power and the diffusion of ISO 9000 certification in the precast concrete industry is primarily driven by internal rather than external influence factors.
The international construction market shrank considerably in the period 1980–88. US contractors' performance in this period was less than satisfactory. This paper first discusses briefly the principal causes for this decline in international construction (the reduction in oil prices, an increase in Third World countries' external debts, local companies becoming more competitive, and governments' barriers to foreign contractors). It then uses published statistical data to identify the common features of US construction companies that undertake work overseas. Finally, it attempts to explain the factors such as financing, taxing, the Foreign Corrupt Practices Act, and foreign competition that may have affected US competitiveness abroad.
While the infrastructure in the United States is in need of large and immediate investment, the funds provided by public agencies are not nearly sufficient to face such a challenge. Build-operate-transfer (BOT) is a delivery/financing system that can be a solution to this problem. In this system, a private sponsor finances the design, construction, maintenance, and operation of a public project for a specified concession period, at the end of which it transfers ownership to the government agency, hopefully after recouping its costs and achieving profits. A questionnaire survey of large municipalities and state departments of transportation was conducted to determine the extent to which they are using BOT in their large projects, to investigate the implementation of BOT, and the reasons why some government agencies avoid using BOT. The findings indicate that very few agencies use BOT. The reasons why most do not use BOT were reported by the respondents to be the availability of proven alternatives and enough funds, the existence of political barriers, and resistance to change both on the part of government agencies and private sponsors. When government agencies and private sponsors explore the use of BOT, they should avoid the pitfalls perceived by the respondents in this study.
Construction projects are one-time endeavors with three strong constraints i.e., time, cost and quality. Construction management pursues success through the balanced accomplishment of the target levels of these. Since construction management has been and is still being performed to some extent by architects, AIA’s guidance has a strong influence on the profession. Thus, AIA’s “A201-2007 General Conditions of the Contract for Construction” is widely preferred among owners and contractors in the U.S. In Turkey, on the other hand, the government is the owner of a large number of public building projects with a total contract value that accounts for a sizeable portion of the national construction activity. Thus, the “General Conditions for Construction” that is issued by the Ministry of Environment and Urbanization is widely used in the industry. Delays have an important effect on both the owner and the contractor; while the owner experiences cost overruns as a direct result of delays, contractors suffer from excessive overhead. A201-2007 addresses the issue in “Article 8-Time”; the Turkish General Conditions addresses it in “Clause 30-Job Duration and Time Extension”. A literature review is performed in this paper to understand the importance of the deviations from the project duration specified in the contract. The objective of this study is to determine the similarities/differences in the management of delays, as mandated by the general conditions commonly used in the U.S. and Turkey. Recommendations are made in the light of the findings to improve delay management.
Linear scheduling method (LSM) is a scheduling method that is based on achieving a continuous flow of resources as well as precedence requirements. Although LSMs have recognized strengths in dealing with resource-intensive projects that are composed of repetitive activities, LSMs are not used extensively. This study proposes a staff-technology fit model that aims to measure the extent to which the features provided by LSM match scheduling staff experience, know-how and capabilities. The aim is to understand why LSM is not used as extensively as expected in construction scheduling. A questionnaire survey was administered to professionals listed in the directory of the Construction Management Association of America (CMAA) to measure staffing-technology fit in LSM applications. Research findings indicate that LSM applications satisfy user requirements in construction scheduling by (1) providing information that is useful to project participants depending on their position and function in the project organizations, (2) presenting graphics that are easy to understand, and (3) providing ease in communication. Research findings also reveal that LSM is not only a scheduling tool but also a control tool. However, the findings also point out that (1) LSM schedules require much time and effort to produce, (2) there are only very few commercially available software programs capable of running LSM schedules, and (3) there are not enough training opportunities for project managers and their staff to learn how to use LSM.
The reasons precast concrete systems are not used extensively in the United States were explored through four mail surveys that were sent to 100 contractors, 100 design firms, 100 precast concrete manufacturers, and 100 local labor unions. The findings indicate that most of the prerequisite conditions for the extensive use of industrialized building systems already exist. The findings also indicate, however, that there is a major shortage of expert personnel capable of designing and organizing projects involving precast concrete systems and that almost half the contractors surveyed did not observe significant cost savings when they used precast concrete systems. Architects' and engineers' awareness of precast concrete systems and the number of competent precast concrete designers and erectors can be increased by providing adequate exposure of engineering and architecture students to these systems and by providing frequent and numerous continuous education programs for the benefit of active professionals.
The general contractor‐subcontractor relationship has been a focus of interest in the literature and yet its impact on a general contractor's economic performance remains a virtually unexplored area in the construction management literature. This research presents the findings of a questionnaire survey administered to 500 large US general contractors to explore this issue. The findings reveal that maintaining a relationship of high quality with subcontractors is positively and strongly associated with the perceived performance of general contractors responding to the survey.
