Stephen Pryke

Analysing construction project coalitions: exploring the application of social network analysis

The construction industry is currently in transition as a result of innovations in procurement and project management approaches, in particular, the utilization of supply chain management, and technology or work clusters in the context of partnering relationships between project coalition actors and the client organization. These new strategies require an analytical method that deals with actor interdependence and provides an appropriate level of detail and quantitative data in relation to the non‐linear, complex, iterative and interactive process that construction projects comprise. The construction project is conceptualized as a number information exchange networks, classified according to the principal project functions and supported by performance incentive and contractual relationship networks. The point centrality of the project actors within these various networks provides quantitative data and graphical representation of the governance of construction projects and the changes brought about by innovations in procurement and project management techniques. Social network analysis (SNA) provides an important new quantitative approach in the comparative analysis of procurement and project management of construction projects. SNA enables traditional project coalition management approaches to be compared with those associated with innovative management approaches. Quantitative analysis relates to the appropriateness and effectiveness of both financial incentives and contractual conditions involved in the governance of construction projects.

Towards a social network theory of project governance

The findings of a study are presented using social network analysis in an innovative application involving the analysis of construction project governance. The rationale supporting the application of social network analysis (SNA) within the construction project coalition context was published by this author in a previous paper in this journal. The rationale is summarised in order to explore a very specific framework for the examination of the governance of construction coalitions. The significance of the analytical approach proposed relates to the weakness in existing analytical methods, particularly in relation to changes in approach to procurement following the publication of the Latham and Egan reports. The research framework relates to the key functions of the coalitions to SNA. Within the framework of these key functions, network density and actor point centrality data are gathered using a form of linear responsibility analysis chart adapted to assemble network data in node list form for input in UCINET 6, SNA analysis and visualisation software. Analysis of the directional, non‐trivial, valued and multivariate network data reveals that the study of comparative network density and project actor related point centrality is effective in providing an understanding of a number of characteristics of new procurement. Specifically, we can study and evaluate quantitatively, possibly for the first time: use and relevance of financial incentives in the governance of projects; emergent and redundant project actor roles; movement away from traditional independent financial management roles within projects adopting a supply chain management (SCM) approach; alternative candidates for the role of manager of the supply chain and their relative levels of engagement and effectiveness; the effects that the use of clusters and SCM have upon post‐contract production activities; the effects that partnering arrangements and standardisation of design have upon transaction costs during the production phase; the effects on project governance of a reduced reliance on contract for project governance; and characteristics of the relatively new role of cluster leader. The results of the research are presented here principally in tabulated form and involve network density values for contractual, performance incentive and information exchange networks. Centrality values relate to the prominence of the key project actors within the three main types of network identified above.

Network gaps and project success

Project success and client satisfaction are results of collaborative actions by project actors throughout the entire project life cycle. One principal factor in project success is the application of effective management tools. Gap analysis helps to achieve client satisfaction. However, gap analysis is unable to deal with the organic nature of information exchange between project actors. Social network analysis (SNA) enables the identification and analysis of information exchange and communication patterns in synergy with projects. Two case studies were carried out to identify gaps in the current linear project management approach. Gap analysis and SNA were used to analyse each project and to examine the research hypothesis on the use of SNA to identify network management gaps in projects. The gap analysis showed gaps of execution and conformance, which were confirmed by SNA. There was little evidence of project governance outside the project contractual arrangements during project execution. The current application approach of different management tools is limited in providing a whole‐project view. The combined application of gap analysis and SNA can help practitioners to exceed client expectations.

Assessing the quality of collaboration towards the achievement of Sustainable Energy Innovation in PFI school projects

Purpose – The purpose of this paper is to examine the quality of collaboration towards Sustainable Energy Innovation (SEI) in Private Finance Initiative (PFI) projects. While the capacity of PFI to encourage collaboration towards innovation is largely advocated by its proponents; however, it remains to be supported by empirical evidence. Design/methodology/approach – Adopting the Complex Product System (CoPS) innovation management model, the authors assess the quality of collaboration at the interface between the innovation superstructure of public sector clients and users, and the innovation infrastructure of private sector designers, contractors and operators. Two interactional elements are examined upon which the quality of collaboration is assessed: openness of communication and alignment of objectives. The authors apply the model to four new-built PFI school projects within the context of the UK government Building Schools for the Future Programme. Semi-structured interviews with total of 50 key stak...

Assessing the impact of risk allocation on sustainable energy innovation (SEI): The case of private finance initiative (PFI) school projects

Purpose – The allocation of risk among project participants is an important determinant of innovation success in construction projects. The purpose of this paper is to examine the capacity of risk allocation to encourage the implementation of environmental innovation, particularly sustainable energy innovation (SEI), within the private finance initiative (PFI) project delivery model. Design/methodology/approach – A four-case qualitative research methodology is adopted within the context of the UK government’s building schools for the future programme. Findings – The findings identify that SEIs are encouraged on the innovative projects by the perceived clarity, appropriateness, and manageability of the risks associated with the project’s energy performance on the PFI contract. The main SEIs were largely developed as strategies to manage long-term energy performance risks allocated to private sector actors and safeguard their long-term commitment to the project. However, the findings indicate that excessive...

The effect of leader emotional intelligence on leader–follower chemistry: a study of construction project managers

Extending Nicolini’s notion of project ‘chemistry’, a ‘leader–follower chemistry’ model associated with the quality of dyadic interpersonal communication in construction projects is developed. The focus is on the project manager as leader in an attempt to deepen understanding of the effect of a project manager’s emotional intelligence (EI) on the quality of interpersonal communication with their followers, being other members of the project team. While a project manager’s EI, with its associated emotional competencies, is often seen as critical in achieving good relationships with members of the project team, it remains a largely understudied concept, particularly in construction projects. Primary data collected using a series of analytical surveys and live observations of site-based project meetings was used to examine the relationship between a project manager’s emotional competencies, particularly sensitivity and expressiveness, and leader–follower chemistry. Overall, 68 construction professionals participated in the study. The findings suggest that a project manager’s emotional sensitivity and expressiveness (particularly head gestures) may explain variance in the quality of leader–follower chemistry. Based on the empirical evidence in the context of team communication, a leader–follower chemistry model is introduced, which emphasizes the importance of leaders’ emotional sensitivity and expressiveness in a leader–follower communication dyad. The model may be particularly salient in complex project networks with a large number of prominent actors.

Self-organising Networks in Complex Infrastructure Projects

While significant importance is given to establishing formal organizational and contractual hierarchies, existing project management techniques neglect the management of self-organizing networks in large-infrastructure projects. We offer a case-specific illustration of self-organization using network theory as an investigative lens. The findings have shown that these networks exhibit a high degree of sparseness, short path lengths, and clustering in dense “functional” communities around highly connected actors, thus demonstrating the small-world topology observed in diverse real-world self-organized networks. The study underlines the need for these non-contractual functions and roles to be identified and sponsored, allowing the self-organizing network the space and capacity to evolve.

Towards supply chain maturity in construction

Purpose – Several studies have underlined the potential of supply chain management (SCM) in meeting the formidable challenges associated with fragmentation, adversarial relationships and insufficient customer focus in the delivery of construction projects. However, properly documented examples of successfully implemented SCM initiatives, particularly at the lower tiers of the supply chain, are scarce. The purpose of this paper is to extend the existing debates by adopting an alternative approach focusing specifically on the internal SCM organisation of both main contractor and subcontractor organisations, and their direct inter-relationships. Design/methodology/approach – This study sets out to explore the enablers and barriers to the implementation of SCM at the lower tiers of the construction supply chain, particularly the problematic collaboration between main contractors and subcontractors. SC maturity levels are formulated according to relevant SCM concepts and based on Holti et al.’s (2000) seven pr...

Editorial for the special issue on social networks in construction

For some time, traditional conceptualizations, analyses and design of project organizations have been criticized for being inappropriate to capture the complexity of current construction and engineering projects (Blomquist et al. 2010). These projects are increasingly complex, not only in a technical sense, but even more so in terms of the organizational systems needed to design and execute them. Previous project management models and existing ways of understanding, organizing and managing projects seem to have reached their limit of application, showing diminishing results (Winter et al. 2006, Chinowsky et al. 2008). Accordingly, there have been calls for new models and analytical tools that capture the social dimensions of project organizing, and the essence of the inter-firm relationships that comprise the construction project coalition (Pryke 2012). It is argued that the relationships associated with the dynamic, transient and “time-defined” temporary organization require further research (Burger and Sydow 2014). As a response to this call, recent perspectives within construction project literature have come to focus on the social, relational and “self-organizing” dimensions of projects to capture their technical and social complexities. For example, studies on megaprojects show a need for relying on the ability of self-organizing rather than the traditional project management techniques such as planning, scheduling and risk analysis (Pryke 2012, 2017; Pryke et al. 2017). It is argued that to deliver successful projects, there is a need to focus upon “actors and their behaviors” in projects (Blomquist and Lundin 2010:7) and find out “what project managers do” (Geertz 1973) rather than “what is being done” (Blomquist and Lundin 2010:13). In accordance with such a perspective and combined with the increased attention given to the relationships between project actors, a stream of research has emerged within the construction literature focusing on the understanding of construction and engineering projects as social networks (Zheng et al. 2016). Wasserman and Faust (1994) define a social network as a set of actors connected through clearly defined relations. These relations can be directed, that is, they flow from one actor to the other, in terms of information, trust and affection perhaps, or undirected, for example, sharing an office. Relations can also differ in terms of their strength ranging on a quantifiable continuum from weak to strong ties (Granovetter 1973), and their effect in terms of positive or negative affective content (Labianca 2014). The social network concept provides a framework for testing theories about structured social relationships (Wasserman and Faust 1994). As such, it constitutes an alternative to the assumption of independent social actors, often found in traditional project management theory. The rapid growth of social network theory and the associated social network analysis (SNA) in construction research has mainly been driven by the fledgling conceptualization of a construction project as a temporary network embedded in a permanent network (Dubois and Gadde 2000, 2002), with a limited-time cycle and specific objectives delivered by groups of actors engaging in complex problem-solving processes and interacting through formal and informal relationships (Li et al. 2011, Chowdhury et al. 2011). While some network scholars have been concerned with the network characteristics of the construction industry as such, analysing interdependencies between contractual parties (e.g. Bygballe et al. 2013, Dubois and Gadde 2000, 2002, Håkansson and Ingemansson 2013), social network scholars are more often concerned with overcoming the task versus social structure paradigm. Inspired by Nohria and Eccles (1992), our basic premise for this special issue is that the reasons why the application of (social) network theory and the analysis of network data facilitate an understanding of construction project

Projects and Networks: Understanding Resource Flows and Governance of Temporary Organizations with Quantitative and Qualitative Research Methods

Project-based organizing is becoming increasingly common, but projects are challenging for managers because they must coordinate resources, including people and information, under time pressure to achieve a one-off outcome. In this article, we suggest that a network lens is ideal for researching project coordination because it enables the interested party to study the flows of resources and the structures that allow the project to be effectively governed. Both qualitative and quantitative, including graph-theoretic methods for analyzing networks are suitable for examining project network governance and network resource flows. However, governance tends to be studied more with qualitative methods, and resource flows are more commonly researched with social network analysis. The article concludes with considerations regarding multi-method approaches to the study of project networks.