Mohammad El-Mashaleh

Decision to bid or not to bid: a data envelopment analysis approach

One of the most crucial decisions that is regularly exercised by construction contractors is to determine whether to bid or not to bid on a certain project. The purpose of this paper is to propose a data envelopment analysis (DEA) approach for the bid–no-bid decision. DEA is a robust non-parametric linear programming approach that is used for benchmarking performance and for making selection decisions. Based on a contractors database of previous considerations of bidding opportunities, DEA creates a “favorable frontier” that consists of favorable bidding opportunities. New bidding opportunities are evaluated in reference to this “favorable frontier” and the bid–no-bid decision is consequently made. The proposed approach incorporates subjective management expertise and deals systematically with bidding situations to guide contractors in their bid–no-bid determination. A major strength of the proposed DEA approach is that it is deployable by organizations facing the bid–no-bid problem regardless of size, c...

Empirical Framework for Making the Bid/No-Bid Decision

AbstractDeciding whether or not to bid on a particular project is regarded as one of the major challenges faced by construction contractors. This decision-making problem involves the consideration of several factors. These factors are related to project, client, consultant, competitors, and market. Although several researchers have targeted the subject of bidding in construction, few of them have tackled the bid/no-bid problem in particular. The purpose of this paper is to propose an empirical framework for making the bid/no-bid decision. The proposed framework consists of two consecutive components. Component 1 determines key bidding factors that are considered by contractors when evaluating bids. Senior managers at top contracting organizations were interviewed to identify factors that affect the bid/no-bid decision. Component 2 utilizes data envelopment analysis (DEA) to make the bid/no-bid decision. The strengths of utilizing DEA include its input-output framework, which facilitates incorporating many...

Automated trade‐off between time and cost in planning repetitive construction projects

An automated model is developed to support the optimization of the planning and scheduling of repetitive construction projects. The model provides the capability of optimizing two important objectives commonly sought in scheduling repetitive construction projects: minimizing project duration; and minimizing project cost. The model performs this multi‐objective optimization using a genetic algorithm approach. The output of the model is a set of optimal solutions that represent the trade‐off between time and cost in planning repetitive construction projects. Furthermore, the model can be utilized to find a single scheduling solution that provides the minimum overall project cost by simply adding project indirect cost to the obtained project direct cost for each of the obtained scheduling solutions on the Pareto optimal curve. Other important time‐related costs are also considered in the model including: early completion incentives, late completion penalties and lane rental costs. Providing the planners of repetitive construction projects with an automated set of optimal time–cost trade‐off solutions should contribute to cost‐effective and speedy delivery of this type of construction project. An application example is analysed to illustrate the use of the model and demonstrate its capabilities in generating optimal trade‐off solutions between minimizing the project time and cost for repetitive construction projects.

Construction firm performance and it utilization

This paper examines the impact of information technology (IT) utilization on construction firm performance. Based on empirical data collected from 74 US construction firms, analyses provide evidence that IT has a positive impact on overall firm performance, schedule performance, and cost performance. Firm performance is a composite score of several metrics of performance: schedule performance, cost performance, customer satisfaction, safety performance, and profit. No relationship is found between IT utilization and customer satisfaction, safety, or profit, although this may be due to limitations of the study given strong correlations between IT utilization and cost and schedule performnance. The empirical evidence of positive association between performance and IT use complements survey respondents’ subjective assessments of the association between IT use and firm performance. While not providing detailed return on investment type information, in general the research should encourage firms to adopt and invest in IT tools.

Conceptual Cost Estimation Model for Engineering Services in Public Construction Projects

AbstractCost estimation for public projects includes, but is not limited to, construction costs and engineering services costs. The available cost estimation models for these projects focus on the construction phase, with little or no consideration given to engineering services. This paper presents an artificial neural network model for the conceptual cost estimation of engineering services for public construction projects that considers both design costs and construction supervision costs. In developing the model, the authors first identify the factors that influence the cost of engineering services, and then apply a suitable artificial neural network for a cost estimation model. The model predicts the cost of engineering services as a percentage of construction cost based on project type, engineering services category, project location, and project scope. The model is trained on a data set obtained from the Governmental Tenders Department in Jordan, and then tested on some core data samples that had not...

Factors Determining the Choice of the Construction Techniques in Petra, Jordan

The purposes of this article are to study the types of construction techniques that the Nabataeans used to bring Petras architecture to its peak, and to identify the underlying factors behind their choice of these techniques. To achieve these purposes, the focus will be on the geological setting of the site. Also presented are consideration of the classification of the buildings and analysis of architectural techniques used in the city. The results of the study reveal that the Nabataeans were influenced in the choice of their capital by its site, their outside contacts, and building materials. Their technical knowledge was refined to suit the properties of the locally available materials, most notably sandstones. This article also includes background on the historical context of the buildings and their structural stability. This record of materials and techniques are essential as preparatory procedures for a successful repair and when providing guidance for architects, surveyors, and craftsmen involved in the conservation at Petra structures.

Evaluating Contractors for Bonding: DEA Decision Making Model for Surety Underwriters

AbstractIn several countries, it is a common practice for construction owners to require contractors to submit several types of surety bonds shifting the risk of contractors default to sureties. The process of evaluating contractors’ applications for bonding is complicated and time-consuming. Surety underwriters are faced with the challenge of considering tens of objective and subjective criteria to make the bonding recommendation. These criteria include a contractor’s financial strength, past performance, and other related aspects. Literature review revealed that there is little guidance to surety underwriters in this regard. As a result, the purpose of this paper is to equip surety underwriters with a decision making model for evaluating contractors’ applications for bonding. The proposed model is based on data envelopment analysis (DEA). The DEA is a robust nonparametric linear programming approach that is widely used for benchmarking, performance measurement, and decision making. The proposed DEA mode...

Concessionaire Selection Model Based on Data Envelopment Analysis

The build-operate-transfer (BOT) project delivery approach is gaining popularity because it offers public employers the advantages of delivering vital infrastructure projects while minimizing the need to secure financing. However, one key challenge for BOT projects is concessionaire selection. Poor concessionaire selection may result in difficulties in execution, or even failures to deliver vital projects to the public. As a result, there is a need for an appropriate methodology to select the concessionaire that provides the best offer and has strong overall capabilities. The purpose of this paper is to propose a concessionaire selection model that is based on data envelopment analysis (DEA). The strengths of the proposed DEA model include its ability to incorporate dozens of subjective and objective criteria and to accommodate any number of considered concessionaires. Based on both extensive literature review and practitioners’ input, the research identifies 22 concessionaire selection criteria. The proposed DEA model was practically illustrated based on a case that includes six competing concessionaires.

Utilization of tie-beams for strengthening stone masonry arches in Nabataean construction

This paper attempts to demonstrate the use of timber ties in the construction of stone masonry arches in Jordan from the late first century BC onwards. It investigates the techniques used and relates them to present-day structural design. In Nabataean architecture, tie-beams were used for strengthening of masonry structures and, in particular, to strengthen masonry arches and vaults against their most critical failure mechanism. The tie-beams introduce tension resistance. This fact has two important consequences: the capacity of the arch itself is increased, and the lateral thrust transmitted to the piers is reduced, thereby increasing the strength of the arch–pier system. Collapse of an arch typically occurs when no tie-rods or tie-beams are used and the piers are unable to bear the thrust of the arch. While the first effect has been stressed by the existing research, less attention has been paid to the second effect, which nevertheless is very important for practical applications. In this paper, the main methods are critical analysis of archaeological information enriched by structural evaluation of the strength of such systems. From such an approach, reliable hypotheses can be made concerning the design and construction process. The effect of bonding a tie-beam to the intrados of a semi-circular arch on the lateral thrust is evaluated analytically using the non-linear finite element package ABAQUS software (HKS, version 6.5). The results are analysed based on the determination of the thrust line. This study concludes some recommendations for the conservation of historical buildings in seismic regions, based on a thorough understanding of their structure, construction features and materials, which may help to prevent earthquake-induced damage to buildings taking into account traditional and modern materials and techniques.

A Multi-Attribute Decision-Making Model for Construction Enterprise Resource Planning System Selection

ABSTRACT Enterprise resource planning (ERP) systems are increasingly becoming essential business technologies. Selection of the optimal ERP system among numerous alternatives is regarded as a major challenge for the decision-maker. This choice is complicated by multiple attributes that the decision-maker needs to consider when evaluating different ERP options. The purpose of this article is to propose a multi-attribute decision-making model for ERP system selection based on data envelopment analysis (DEA). The strengths of the proposed DEA model include the input-output framework, which allows decision-makers to incorporate multiple attributes when evaluating different ERP options. These attributes are not required to be congruent. They can be measured by such criteria as monetary sums, time, or subjective score. Additionally, DEA can accommodate a large number of options (i.e., ERP systems) and variables (i.e., attributes). The proposed approach was utilized by a construction contractor to select the optimal ERP option out of eleven alternatives. During the evaluation process, the decision-maker incorporated six attributes to make the decision. These considered attributes are total cost, implementation schedule, functionality, user friendliness, customization capability, and service and support quality. Sensitivity analysis proved that the proposed model is stable and robust.