Igor Martek

Implementation of innovative technologies in small-scale construction firms: Five Australian case studies

Purpose – The users of construction technologies such as builders and trades people have been acknowledged as sources of potentially important innovations. These innovations may be in the form of safer, less labour intensive, or cheaper methods and processes. The purpose of this paper is to assess whether the Australian construction industry is providing an environment where user-based innovation is being supported and implemented. Design/methodology/approach – An explorative study was undertaken to provide an insight into actual experiences of the implementation of user-based innovation. The data were collected through face-to-face semi-structured interviews providing case studies on multiple aspects of the implementation of innovative construction technologies. The cases involved a cross section of advances, including product, tool, and system technologies. Findings – The main motivation behind developing the technologies was problem solving. The associated industries of manufacturing and retail, as wel...

Principal Agent Problems Evident in Chinese PPP Infrastructure Projects

The demand for infrastructure remains high in China. In order to meet this demand under conditions of limited government funding availability, local governments have increasingly sought private participation through ‘public, private partnerships’ (PPPs). While PPPs are recognised as a reliable mode for delivering infrastructure projects, agency problems are also known to interfere with their success. The nature of these agency problems, along with the types of partnership arrangements under which they occur, is the subject of this research. Semi-structured interviews were conducted with PPP consultants working on infrastructure projects in China. Results suggest that opportunistic behaviour is to be found both within the private sector and within the government sector. While the private sector is shown to take advantage of ‘information asymmetries,’ the government sector is shown to allocate project risks and responsibilities disproportionately in their favour. Results also indicate that PPP arrangements between local government and ‘state owned enterprises’ (SOEs) were less prone to agency abuse, while agency problems in PPP arrangements between local government and private firms were relatively greater.

Risks in PPP Water Projects in China: Perspective of Local Governments

AbstractIn the last decade, China has implemented more public–private partnership (PPP) projects in the water sector compared to other sectors. However, efficient management of risks in these proje...

Competitive Strategies Associated with Particular Localization Patterns Adopted by Implanted Architecture, Engineering, and Construction Firms in China

AbstractA good deal has been written on strategy that explains how firms compete. However, there is nothing yet in the literature that explains the relationship between the strategies used by firms in an offshore context and the kinds of localizational adaptations a firm makes to serve those strategic ambitions. This paper investigates 60 foreign firms active in the Chinese architecture/engineering/construction industry, measures their rates of localization across five localization parameters, and identifies specific strategic orientations associated with varying rates of localization across those five parameters. The approach used is case study based, using data collected from semistructured interviews and in-house documentation. In describing the relationship between measured rates of localization and the associated observed strategic orientations of firms, this paper concludes by offering a new model of strategy as a function of localization.

International Market Selection Model for Large Chinese Contractors

AbstractAn increasing number of construction contractors are actively participating in international markets. One of the most fundamental issues confronting contractors moving offshore is where to do business. Although international market selection is a much studied topic, the market choices made by construction firms have attracted little attention. This paper aims to identify factors that influence international market selection and to develop an international market selection model for construction firms. The market entry choices of 39 large international Chinese contractors across 87 countries were investigated through logistic regression analysis. The results indicate that international contractors prefer to enter countries with large market potential, small culture distance, and, surprisingly, high country risk and high competitive intensity. Moreover, large, experienced contractors are more willing to compete in international markets. Contrary to generally accepted belief, geographic distance is n...

Enterprise Localization Practices and Their Implication for Knowledge Management in Foreign Participation in the Chinese Construction Sector

AbstractForeign firms active in the Chinese construction industry find themselves in a competitive environment unlike the environments in which they operate back home. Adaptations are therefore required in order that firms retain competitive leverage while integrating into the circumstances of the Chinese market. Since these firms primarily compete on superior knowledge capabilities it is instructive to understand how adaptations both serve to transfer propriety capabilities to China while adapting to the knowledge characteristics of the Chinese market into which those capabilities are transplanted. Five localizing parameters across which adaptations take place are identified in this paper and rates of localization are tabulated for 60 foreign firms active in the Chinese construction industry. Revealed localizing behaviors are then analyzed in the light of existing literature for explanatory power. It is concluded that in order to be strategically competitive firms must not only retain knowledge different...

A Comparison of the Relative Advantages of China and India in International Construction

China and India are two of the worlds largest countries, sharing between them some 40% of the worlds population. They are also two of the worlds fastest growing economies. However, while China and India shared similar rates of growth into the 1990s China has pulled away and sustained significantly higher growth rates over the last two decades. This disparity is especially reflected in the growth rates for the Chinese and Indian construction and construction services sectors. Thus, the ability of China to consistently outperform India in construction is of interest. Theories on the determinants of national competitiveness suggest sources of sustained advantage. A list of factors was compiled and developed as a survey. Eighteen experts familiar with the construction industry in China and India responded to the survey. Overall, China and India are shown to have their own unique advantages, yet the number and strength of Chinese advantages is greater. While a survey instrument of this nature has its limitations, the findings offer practitioners and policy makers insights into the sources of national competitive advantage in construction for China and India.

Demographic Variables of Corruption in the Chinese Construction Industry: Association Rule Analysis of Conviction Records

Corruption in the construction industry is a serious problem in China. As such, fighting this corruption has become a priority target of the Chinese government, with the main effort being to discover and prosecute its perpetrators. This study profiles the demographic characteristics of major incidences of corruption in construction. It draws on the database of the 83 complete recorded cases of construction related corruption held by the Chinese National Bureau of Corruption Prevention. Categorical variables were drawn from the database, and ‘association rule mining analysis’ was used to identify associations between variables as a means of profiling perpetrators. Such profiling may be used as predictors of future incidences of corruption, and consequently to inform policy makers in their fight against corruption. The results signal corruption within the Chinese construction industry to be correlated with age, with incidences rising as managers’ approach retirement age. Moreover, a majority of perpetrators operate within government agencies, are department deputies in direct contact with projects, and extort the greatest amounts per case from second tier cities. The relatively lengthy average 6.4-year period before cases come to public attention corroborates the view that current efforts at fighting corruption remain inadequate.

Skopje Resurgent: the international confusions of post-earthquake planning, 1963–1967

ABSTRACT In the period of the Cold War, architecture became a critical medium of knowledge transfer, facilitating the processes of modernization. The Cold War protagonists, the USSR and the USA, vied to gain the political allegiances of third world nations of Africa, Asia, the Middle East, and the Americas. This was done through development and aid programmes that offered to lift nations out of poverty, and thereby also deliver them into political commitment to one side or the other. The destruction of Skopje, capital of Macedonia, in 1963, along with the subsequent efforts to replan and rebuild the city, brought with it a significant disruption to the Cold War dynamic. For one thing, Skopje happened to sit within Yugoslavia, a non-aligned country. For another, the winner of the competition to rebuild Skopje was a Japanese, Kenzo Tange. Moreover, the rallying efforts of the United Nations to bring people and resources from around the world to the aid of Skopje managed to transcend much of the partisanship characteristic of international politics. This paper explores the actors, networks, and mechanisms that came together from both sides of the Cold War divide to deliver one of the most defining trans-national urban projects of the 1960s.

Collaborative Role of Sociotechnical Components in BIM-Based Construction Networks in Two Hospitals

Building information modeling (BIM)-based construction networks (BbCNs) are teams of specialist organizations working together to execute BIM-related tasks on BIM-enabled projects. Despite the recognized advantages of BbCNs, collaboration among BbCN members remains a serious weakness of BIM-enabled projects. This study compared two highly technologically advanced BIM-enabled hospital projects: one in Norway and one in Australia. Both projects had in common similar technical components, but each settled on a divergent collaborative solution. An extended version of the Leavitt sociotechnical model was used as the theoretical point of departure to inform and interpret the evolution of BbCNs in these two cases. The analysis of the empirical data revealed two emerging collaborative solutions for rectifying misalignment between sociotechnical and technical components of BbCNs during BIM-generated design documentation. The findings confirm that complex projects experience variable numbers of information-sharing participants who depend on and interact with both tangible and intangible knowledge, to varying degrees, over time. Because of these varying interactions, the communication networks on which the project depended must shift to seek realignment among the Leavitt model elements, including actors, tasks, technologies, and systems, within BbCNs. To achieve and maintain effective collaboration within networks, the proactive management intervention of dynamic and evolving requirements and the incorporation of the components of perceptual, attitudinal, and structural influences (PASIs) into BbCNs are of key importance in correcting any misalignments among actors, tasks, and systems.