CAUSES AND IMPACTS OF DISPUTES IN THE NORWEGIAN CONSTRUCTION INDUSTRY WITH GLOBAL IMPLICATIONS

Abstract

The aim of this study was to examine how conflicts influence the construction industry in Norway and create an unhealthy environment that minimizes contractor engagement in future projects. To achieve this, for the first time, we performed a reversed Ishikawa cause and effect analysis using data obtained from interviews conducted with key personnel in the construction industry in Norway. Data gathered from the Norwegian Public Roads Administration, the Norwegian Association of Heavy Equipment Contractors, and court proceedings were included in the analysis. Most interviewees responded that productivity was negatively affected, which had a significant impact on infrastructure construction projects. However, none of the factors that result in conflicts in the construction industry showed statistically significant within- or between- group differences. Significant costs associated with conflicts affected all stakeholders in the construction industry resulting in untoward effects on entrepreneurial operations.