Andrew D.F. Price

Modelling global risk factors affecting construction cost performance

Abstract This paper discusses the core issues of global risk factors modelling, assessment and management. The research reported upon forms part of a larger study that aims to develop a fuzzy decision framework for contractors to handle global risk factors affecting construction cost performance at a project level. Major global risk factors affecting cost performance were identified through an extensive literature review and preliminary discussions with construction contractors. The main decision perspectives namely normative and behavioural were explored. Different decision-making technologies, both classical and emergent, such as classical management science techniques and DSSs, KBSs were explored and evaluated. Preliminary indications show that Fuzzy Set Theory is a viable technology for modelling, assessing and managing global risk factors affecting construction cost performance and thus a fuzzy decision framework for risk management can be successfully developed.

Employee perceptions of empowerment

Purpose – This study aims to examine how empowerment is perceived by individuals employed on construction projects. In contrast with previous research which has predominantly been conducted from a management perspective, this paper deals with employee perceptions of empowerment.Design/methodology/approach – A qualitative approach was adopted for this study employing in‐depth interviews on four major construction projects.Findings – The findings from the study indicate that there can be a gap between the employee experience and the management rhetoric. Health and Safety issues were often cited by the employees as a major barrier to empowerment. The strict Health and Safety regulations under which construction employees operate limit their freedom to influence the work that they undertake. A further factor that was found to have a strong influence on the diffusion of empowerment was the role of the employees’ immediate supervisor.Research limitations/implications – The data are based on case studies that il...

Conceptualizing stakeholder engagement in the context of sustainability and its assessment

Stakeholder engagement in construction projects can be conceptualized in different ways. It can be seen from a strategic management perspective aimed at capturing knowledge, increasing ownership of the project by users, reducing conflict, encouraging innovation and facilitating spin‐off partnerships. From an ethical perspective, meaningful stakeholder engagement can be seen to enhance inclusive decision making, promote equity, enhance local decision making and build social capital. The benefits from both of these perspectives are vital for sustainability; however, stakeholder engagement can also be seen from the perspective of an opportunity for social learning—a social process where diverse stakeholders share a common forum, learn about each others values, reflect upon their own values and create a shared vision and shared objectives. Dialogue is also useful in increasing awareness, changing attitudes and affecting behaviours. Existing practices view stakeholder engagement: mostly from a management perspective; sometimes from an ethical perspective; less often as a combination of the two; and rarely have any element of the social learning perspective. There is a need for an approach that combines all the three perspectives if sustainability is to be pursued. A dialogue‐oriented approach to integrated sustainability assessment could provide an ideal means to do so.

Building a conceptual framework for measuring business performance in construction: an empirical evaluation

The importance of business performance measurement across industries has elevated in the last decade in what has been described as a revolution. Meanwhile, the construction industry has been criticised for its underperformance and the Latham and Egan reports emphasized the need for performance improvement and measurement. Companies have had to face the dilemma of choosing among different performance measurement frameworks. Hence, a need has been identified for a comprehensive framework. The aim of this research is to fulfil this need by building a conceptual framework for measuring the business performance of construction organizations. The framework had been formulated in previous research upon the principles of the Balanced Scorecard and Business Excellence Models. The research attempts to empirically evaluate and revise the framework through a series of expert interviews and case studies. In addition, empirical feedback has been used to: express the revised framework in a more communicative form, illustrate how business performance can be measured; and highlight the differences between the proposed framework and contemporary performance frameworks.

Problems influencing craftsmen's productivity in Nigeria

The activity sampling technique was used on seven construction sites in Nigeria to determine how the working day was being utilised by craftsmen in bricklaying, joinery and steel fixing trades. Actual working time was observed to be 51% of the working day for bricklayers, 44% for joiners and 56% for steel fixers. The rest of the working day was spent on nonproductive activities. The problems causing nonproductive periods were identified via an operative questionnaire survey. The three highest ranking problems impairing craftsmens productivity were lack of materials, inadequate tools and work repetition.

A strategic framework for change management

Many organizations have undergone substantial change over recent years and the importance of organizational culture to organizational analysis and change management has been increasingly recognized. However, the implementation of change is a complex process that is not always successful due to a variety of reasons. Failure in most change processes can be traced back to poor communications and underestimation of the amount of retraining required. The main aim of this research is to identify the key steps that could improve the management of change. Literature relating to organizational culture, the need for change, types of change and resistance to change was used to develop a theoretical basis for the research. Organizational change management case studies and exploratory interviews were used to document experiences of organizational change and develop a strategic framework for change management. Validation was through acceptance and adoption of the developed process within a construction‐based organization. The research has demonstrated how well‐planned change helps to ensure that change is successfully implemented. Critical to successful change is not only the development of more efficient and effective processes but alignment of organizational culture to support these new processes.

Empowerment within the UK construction sector

The feasibility and success of empowerment are to some extent determined by factors relating to the culture and structure of the industries within which organizations are embedded. The UK construction industry is an example that has a unique socio‐technical context, some aspects of which seem well‐suited to empowerment strategies. However, despite support for empowerment, it has not yet been universally embraced by construction organizations. Outlines the aspects of the industry that provide a suitable context for implementation of empowerment strategies. Suggests that, used selectively, it could play an important part in helping construction organizations to address increasing performance demands whilst mitigating the negative effects of the fragmented project delivery process. However, there remain many barriers to individual and team‐based empowerment strategies that require empirical investigation before the industry can benefit from their implementation.

Modelling standard cost commitment curves for contractors' cash flow forecasting

Cash flow forecasting and control are essential to the survival of any contractor. The time available for a detailed pre-tender cash flow forecast is often limited. Therefore, contractors require simpler and quicker techniques which would enable them to forecast cash flow with reasonable accuracy. This paper identifies causes behind the inaccuracy of current standard value S-curves (which are often used as an alternative approach for cash flow forecasting) and proposes the use of standard cost commitment models. The process of developing and testing the cost commitment models involved first collecting actual data for 150 completed projects. Several criteria were identified to classify these projects. Tests were conducted to identify which of these criteria affected the shape of the cost commitment curves. Projects were then distributed into different groups and S-curves were fitted into each using the logit transformation technique. Errors incurred when fitting these curves were measured and compared with...

Understanding empowerment from an employee perspective: what does it mean and do they want it?

Purpose – The purpose of this article is to examine the various meanings of empowerment for employees from their own perspective, the psychological dimension of empowerment and whether employees want to be empowered.Design/methodology/approach – In order to understand how employees feel about empowerment, it is necessary to ask them directly so that one can understand their perceptions. A qualitative approach is adopted, employing 45 semi‐structured, in‐depth interviews with employees. The aim of the interviews is to provide an insight into the meanings of empowerment for these employees.Findings – The findings indicate that the employees do not recognise the term “empowerment” nor do they reference the term “power” in relation to themselves. However, they are able to relate to associated concepts, notably “personal responsibility” and “control over their work”. Empowerment for the employees was found to operate as a continuum, as the extent to which employees seek empowerment varies considerably. The inn...

Planning future construction skill requirements: understanding labour resource issues

Construction is a labour-intensive industry, which places heavy reliance upon the skills of its workforce. These skills need updating continually as many of the trades involved in the industry become increasingly specialized. During the 1980s, there was a rapid rise in construction activity within the UK, followed by a sudden but short-lived boom accompanied by skill shortages. The construction industry is now experiencing a deeper and longer lasting recession than originally predicted, resulting in valuable employees in all sections of the industry being lost - a high proportion of whom will not return to the construction industry. The construction industry is predicted to grow in the period after the recession by an average of 3% per annum until the year 2001. With this growth the industry is expected to experience considerable skill shortages in both traditional and new skill areas. Construction is in a period of rapid cultural change accompanied by the introduction of new technologies and new ways of ...