Journal of Financial Management of Property and Construction最新文献

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How do economic policy uncertainty and leverage impact firm-level cash holding distribution of housing companies in an emerging economy? A quantile regression approach 经济政策的不确定性和杠杆作用如何影响新兴经济体房企的公司层面现金持有分布?量化回归方法
IF 1.9
Journal of Financial Management of Property and Construction Pub Date : 2023-12-11 DOI: 10.1108/jfmpc-06-2023-0036
Rajni Kant Rajhans
{"title":"How do economic policy uncertainty and leverage impact firm-level cash holding distribution of housing companies in an emerging economy? A quantile regression approach","authors":"Rajni Kant Rajhans","doi":"10.1108/jfmpc-06-2023-0036","DOIUrl":"https://doi.org/10.1108/jfmpc-06-2023-0036","url":null,"abstract":"<h3>Purpose</h3>\u0000<p>High economic policy uncertainty forces firms to accumulate a higher level of cash than during normal business periods. However, it is not evident that economic policy uncertainty has a homogeneous impact across cash-holding distributions. This paper aims to study the impact of economic policy uncertainty, leverage and their interaction on cash-holding distributions.</p><!--/ Abstract__block -->\u0000<h3>Design/methodology/approach</h3>\u0000<p>This study adopted a quantile regression approach to examine the influence of economic policy uncertainty and firm leverage on firm-level cash-holding distributions. To investigate the influence across quantiles, the author estimated 19 quantiles between 0.05 and 0.95.</p><!--/ Abstract__block -->\u0000<h3>Findings</h3>\u0000<p>This study finds that both economic policy uncertainty and firm leverage significantly affect firm-level cash-holding distributions heterogeneously. But, the impact of the interaction of these two variables is significant only for firms placed in the 60th to 85th quantiles of cash holding distribution.</p><!--/ Abstract__block -->\u0000<h3>Originality/value</h3>\u0000<p>The study adds to the existing knowledge of determinants of firm-level cash holdings but takes exogenous variables as economic policy uncertainty. The paper builds on a unique sample setting wherein, the cash holdings of all nonfinancial firms have increased many folds, including housing companies in an emerging economy.</p><!--/ Abstract__block -->","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"4 1","pages":""},"PeriodicalIF":1.9,"publicationDate":"2023-12-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138545243","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Implications of competitive tendering on consulting engineering services in South Africa: a thematic analysis 竞争性招标对南非咨询工程服务的影响:专题分析
IF 1.9
Journal of Financial Management of Property and Construction Pub Date : 2023-12-07 DOI: 10.1108/jfmpc-06-2022-0029
Neil Govender, Samuel Laryea, Ron Watermeyer
{"title":"Implications of competitive tendering on consulting engineering services in South Africa: a thematic analysis","authors":"Neil Govender, Samuel Laryea, Ron Watermeyer","doi":"10.1108/jfmpc-06-2022-0029","DOIUrl":"https://doi.org/10.1108/jfmpc-06-2022-0029","url":null,"abstract":"<h3>Purpose</h3>\u0000<p>Competitive tendering in South Africa is often associated with procurement based on the lowest fee tendered. Previous research on this topic did not provide in-depth examinations of how pricing within consulting engineering companies was affected by competitive tendering nor did it illuminate the extent to which professional services were impacted by competitive tendering. This paper aims to examine the implications of competitive tendering on pricing and delivery of consulting engineering services in South Africa.</p><!--/ Abstract__block -->\u0000<h3>Design/methodology/approach</h3>\u0000<p>A survey research strategy with a questionnaire as the research instrument elicited qualitative data from 28 experienced consulting engineers in South Africa. Thematic analysis was used to analyse qualitative data from the questionnaires.</p><!--/ Abstract__block -->\u0000<h3>Findings</h3>\u0000<p>Three key themes were identified, namely: considerations when determining consulting engineering fees on competitively tendered projects; the impact of reduced fees due to competitive tendering on the delivery of consulting engineering services; and interventions to prevent unsustainably “low” professional fees. Many consulting engineers in South Africa still determine fees using fee scales, while other considerations include resources, project complexity, risk, etc. Most participants asserted that design optimisation/value engineering, training, meetings and construction monitoring were adversely impacted by “low” fees.</p><!--/ Abstract__block -->\u0000<h3>Originality/value</h3>\u0000<p>This paper provides in-depth qualitative feedback from experienced consulting engineers (most having more than 20 years’ experience) on a topical issue in the South African construction industry. Thematic analysis was a novel method of analysis that was not used previously in this area of study.</p><!--/ Abstract__block -->","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"24 15","pages":""},"PeriodicalIF":1.9,"publicationDate":"2023-12-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138524830","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Applicability of electronic document management system (EDMS) for the cost management of mega construction projects in Sri Lanka 电子文件管理系统(EDMS)在斯里兰卡特大型建筑项目成本管理中的适用性
IF 1.9
Journal of Financial Management of Property and Construction Pub Date : 2023-12-05 DOI: 10.1108/jfmpc-01-2023-0005
L.S.D. Rathnayaka, Buddha Koralage Malsha Nadeetharu, U. Kulatunga
{"title":"Applicability of electronic document management system (EDMS) for the cost management of mega construction projects in Sri Lanka","authors":"L.S.D. Rathnayaka, Buddha Koralage Malsha Nadeetharu, U. Kulatunga","doi":"10.1108/jfmpc-01-2023-0005","DOIUrl":"https://doi.org/10.1108/jfmpc-01-2023-0005","url":null,"abstract":"\u0000Purpose\u0000Documentation plays a key role in navigating the costs of construction projects. Traditional document management systems (TDMS) used in developing countries, however, hinder the achievement of expected cost targets. Although the electronic document management system (EDMS) has been implemented to improve documentation, the Sri Lankan construction industry has failed to effectively adapt to it. Hence, this study aims to provide strategies for the effective application of EDMS to the cost management of Sri Lankan mega construction projects.\u0000\u0000\u0000Design/methodology/approach\u0000This study uses a qualitative approach followed by 12 semi-structured expert interviews. Quantity surveying experts were selected through judgemental sampling. Manual content analysis was used to analyse the data.\u0000\u0000\u0000Findings\u0000The EDMS is more suitable for megaprojects than traditional methods of documentation in terms of functionality, neutrality, interoperability, space, reversibility and delivery speed. However, there are contradictory views about cost and security. Furthermore, five transitional challenges of EDMS have been identified under the three key themes of cost, stakeholder perception and technical difficulties. Four reasons were also identified as causing these five challenges. Seven suggestions were made to deal with these transitional challenges and three key feasible solutions for the Sri Lankan construction industry regarding the EDMS were identified. Development of Sri Lankan software with low initial cost was highlighted as the most feasible solution.\u0000\u0000\u0000Originality/value\u0000This is a novel study to investigate the applicability of EDMS to cost management mechanisms of megaprojects in Sri Lanka. The findings reveal transitional challenges and appropriate feasible solutions for EDMS adaptation. This can be applied to the cost management of megaprojects in other developing countries as well.\u0000","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"118 32","pages":""},"PeriodicalIF":1.9,"publicationDate":"2023-12-05","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138599528","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Investigating ground-related design deficiencies as potential triggers to cost overruns in highway projects 调查与地面有关的设计缺陷,作为公路项目成本超支的潜在诱因
IF 1.9
Journal of Financial Management of Property and Construction Pub Date : 2023-12-04 DOI: 10.1108/jfmpc-02-2023-0008
Alolote Ibim Amadi
{"title":"Investigating ground-related design deficiencies as potential triggers to cost overruns in highway projects","authors":"Alolote Ibim Amadi","doi":"10.1108/jfmpc-02-2023-0008","DOIUrl":"https://doi.org/10.1108/jfmpc-02-2023-0008","url":null,"abstract":"<h3>Purpose</h3>\u0000<p>This study aims to investigate ground-related design deficiencies as potential avenues of avoidable cost overruns, discernible from the geotechnical practices of highway agencies in the Niger Delta region of Nigeria.</p><!--/ Abstract__block -->\u0000<h3>Design/methodology/approach</h3>\u0000<p>The study deploys an interpretivist qualitative methodology to provide a detailed descriptive analysis of the design-related geotechnical practices of highway agencies during the pre-contract phase of highway projects. Semi-structured interviews were conducted with in-house professionals, consultants and contractors affiliated with the three highway agencies in the Niger Delta and thematically analysed to identify significant deviations from geotechnical best practices.</p><!--/ Abstract__block -->\u0000<h3>Findings</h3>\u0000<p>The study outcome shows that during the pre-contract phase, a chain of design-related geotechnical shortcomings has plagued highway projects executed in the Niger Delta. This view of practice uncovered in this study demonstrates a culture of significant deviation from best practice recommendations, which could plausibly contribute to the history of significant project cost overruns recorded in the region.</p><!--/ Abstract__block -->\u0000<h3>Originality/value</h3>\u0000<p>The study qualitatively spotlights gaps in the practice of highway agencies and reinforces the need for a re-orientation of the attitude to risk management, to give geotechnical concerns a priority in the financial management of highway projects executed in the Niger Delta region of Nigeria.</p><!--/ Abstract__block -->","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"1 2","pages":""},"PeriodicalIF":1.9,"publicationDate":"2023-12-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138524829","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Development of a financial performance measurement model for real estate business: an exploratory study in India 房地产企业财务绩效评估模型的建立:以印度为例的探索性研究
IF 1.9
Journal of Financial Management of Property and Construction Pub Date : 2023-11-29 DOI: 10.1108/jfmpc-11-2022-0062
Harish Kumar Singla, Sitara Sunil Chammanam
{"title":"Development of a financial performance measurement model for real estate business: an exploratory study in India","authors":"Harish Kumar Singla, Sitara Sunil Chammanam","doi":"10.1108/jfmpc-11-2022-0062","DOIUrl":"https://doi.org/10.1108/jfmpc-11-2022-0062","url":null,"abstract":"<h3>Purpose</h3>\u0000<p>The purpose of this study is to develop a financial performance measurement model for real estate business.</p><!--/ Abstract__block -->\u0000<h3>Design/methodology/approach</h3>\u0000<p>The study uses balanced scorecard (BSC) proposed by Kaplan and Norton (1996) as a theoretical support. The study, being exploratory in nature, uses survey method to collect data on several dimensions of BSC as well as on other performance measures used by real estate businesses in India. The survey data collected is analyzed using exploratory factor analysis (EFA) to explore the model constructs. This is followed by building an integrated conceptual model for measuring the financial performance of a real estate business. The model is tested using partial least squares structural equation modeling (PLS-SEM).</p><!--/ Abstract__block -->\u0000<h3>Findings</h3>\u0000<p>The study finds that the financial performance of the real estate business revolves around customer satisfaction, employee satisfaction and external networks. The right alignment of these components lead to superior financial performance. It also provides a competitive advantage to the real estate business. These three components (customer satisfaction, employee satisfaction and external networks) have direct and indirect influences on the financial performance of real estate business.</p><!--/ Abstract__block -->\u0000<h3>Research limitations/implications</h3>\u0000<p>A small sample size (78 respondents), as well as the respondent’s geographical concentration in India, are the limitations of the study. Hence, generalization of findings may be difficult until the findings are validated across the globe.</p><!--/ Abstract__block -->\u0000<h3>Practical implications</h3>\u0000<p>The conceptual performance measurement model suggested in this research provides an effective tool to plan and strategize to achieve superior financial performance, particularly for stakeholders in the real estate business.</p><!--/ Abstract__block -->\u0000<h3>Originality/value</h3>\u0000<p>To the best of the authors’ knowledge and belief, this is the first attempt to develop a comprehensive financial performance measurement model for real estate business and test it using EFA and PLS-SEM.</p><!--/ Abstract__block -->","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"14 1","pages":""},"PeriodicalIF":1.9,"publicationDate":"2023-11-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138524833","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
The moderating impact of organizational readiness, competitive pressure and compatibility on the cost of using precast concrete components 组织准备,竞争压力和兼容性对使用预制混凝土组件成本的调节影响
Journal of Financial Management of Property and Construction Pub Date : 2023-10-06 DOI: 10.1108/jfmpc-01-2023-0003
Ali Katebi, Amirhossein Mohammadhosseini, Mohammad Najmeddin, Peyman Homami
{"title":"The moderating impact of organizational readiness, competitive pressure and compatibility on the cost of using precast concrete components","authors":"Ali Katebi, Amirhossein Mohammadhosseini, Mohammad Najmeddin, Peyman Homami","doi":"10.1108/jfmpc-01-2023-0003","DOIUrl":"https://doi.org/10.1108/jfmpc-01-2023-0003","url":null,"abstract":"Purpose The purpose of this study is to investigate the factors affecting the cost of concrete component prefabrication using the moderating role of organizational readiness, compatibility and competitive pressure. Design/methodology/approach The information collected in this study was obtained from 188 questionnaires filled out online by civil engineers active in the Iranian construction industry. Data analysis was performed by partial least squares structural equation modeling. Findings The results reveal that perceived risk has the greatest impact on cost of using precast concrete components (PCC). Furthermore, the organizational readiness, competitive pressure and compatibility variables have moderating role in the relationship between perceived risk and perceived usefulness. The results can help policymakers and managers to apply the appropriate perspective and strategy to promote this method by illustrating the factors affecting the cost of using PCC in the building construction. Originality/value Using the variables of perceived risk, perceived usefulness, and perceived ease of use to predict factors affecting the cost of using PCC is considered as an innovation in this research. In addition to identifying the most important factors affecting the cost of PCC prefabrication in the construction industry, this research tries to identify the impact of environmental factors on the model by examining the moderating role of organizational readiness, competitive pressure and compatibility.","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"59 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2023-10-06","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135304067","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Examining the relationship among critical success factors (CSFs) for delivery of sustainable public-private partnership projects 审查提供可持续公私伙伴关系项目的关键成功因素之间的关系
Journal of Financial Management of Property and Construction Pub Date : 2023-09-29 DOI: 10.1108/jfmpc-12-2022-0064
Mushtaq Ahmad Shah, Sanjeev Kumar, Mohd Asif Shah, Adil Rasool
{"title":"Examining the relationship among critical success factors (CSFs) for delivery of sustainable public-private partnership projects","authors":"Mushtaq Ahmad Shah, Sanjeev Kumar, Mohd Asif Shah, Adil Rasool","doi":"10.1108/jfmpc-12-2022-0064","DOIUrl":"https://doi.org/10.1108/jfmpc-12-2022-0064","url":null,"abstract":"Purpose The sustainable development goal (SDG 17) is to strengthen the means of implementation and revitalise the global partnership for sustainable development. Partnership is a key strategy for acquiring skills, information and private finance for developing critical infrastructure projects. Existing studies have mostly concentrated on identifying critical success factors (CSFs) for successfully delivering public–private partnerships (PPPs) projects, but the interrelationships among CSFs expected from stakeholders have garnered less attention. The purpose of this study is to examine the interconnections among CSFs of PPP projects while keeping the public in mind, as well as the influencing routes that contribute to success in the PPP implementation process. Design/methodology/approach The study uses a mixed-method approach that involves both quantitative and qualitative methods of data collection. The data for the study were collected through a well-structured questionnaire from the respondents who are directly or indirectly associated with the PPP project implementation process. The CSF’s framework was built using a literature study and expert interviews; nine hypotheses were developed and evaluated using structural equation modelling. Random and purposive sampling techniques were used for the respondents who were directly or indirectly associated with the PPP project implementation process. Findings The findings of this study reveal that the relationship between public and private partners is more adherent than collaborative, with unequal responsibilities, powers and resources distributed among the parties involved. The relevance of state rules, the PPP directive and policies in PPP implementation is supported by the positive connection between favourable environments (Fav_Env) and government attributes (Gov_Atr; the path coefficient is 0.405). Moreover, government attributes have a favourable influence on private company attributes (Pvt_Atr; the path coefficient is 0.198), showing that the state plays a substantial role in the private sector’s decision-making process in PPP. The long-term sustainability and success of a PPP project are dependent on the established interrelationships between CSFs. Practical implications The established interrelationships between CSFs will contribute to the long-term viability and success of a PPP project. Since PPP is still in its infancy in India, the study of CSFs in PPPs and their interrelationships will help policymakers and other stakeholders better understand the major individual factors impacting the success or failure of PPP initiatives. Originality/value Because PPP is still in its infancy in India, the study of CSFs in PPPs and their interrelationships will help policymakers and other stakeholders to better understand the major individual factors impacting the success or failure of PPP initiatives. A key implication of the study borders on providing a better understanding of the relationships betwee","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"23 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2023-09-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135200313","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Assessing the impact of early supplier involvement on public works procurement 评估供应商早期参与对公共工程采购的影响
Journal of Financial Management of Property and Construction Pub Date : 2023-09-27 DOI: 10.1108/jfmpc-09-2022-0047
Vincent Kwame Osei-Appiah, Ernest Kissi, Victor Acheamfour Karikari, Prosper Ayeng, Eugene Danquah-Smith, Michael Adesi
{"title":"Assessing the impact of early supplier involvement on public works procurement","authors":"Vincent Kwame Osei-Appiah, Ernest Kissi, Victor Acheamfour Karikari, Prosper Ayeng, Eugene Danquah-Smith, Michael Adesi","doi":"10.1108/jfmpc-09-2022-0047","DOIUrl":"https://doi.org/10.1108/jfmpc-09-2022-0047","url":null,"abstract":"Purpose Works procurement performance is critical to successful project delivery. However, early supplier involvement (ESI) has been touted in other industries to impact procurement performance positively. Works procurement has been attracting significant attention from major players due to poor performance characterized by poor performance, budget overruns and incompetence. Hence, the purpose of this study was to assess the impact of ESI on public works procurement performance. Design/methodology/approach Based on a thorough review of the literature for a pilot survey, the main questionnaires were administered to 103 public procurement officers. To assess the impact of ESI on public works procurement performance, three constructs that served as factors for implementing ESI and five that measure works procurement performance were validated using partial least square structural equation modelling (PLS-SEM). Findings The outcome of this study shows a significant positive impact of ESI on works procurement performance. This included communication, trust and supplier capabilities. The study further showed that even though cost, schedule, quality, health and safety are essential, sustainability measures are also crucial for work procurement. Research limitations/implications The results of this study could help firms make better decisions regarding public works procurement by encouraging ESI. This will likely significantly impact the successful project delivery and preservation of sustainability and efficiency objectives. Originality/value The application of PLS-SEM analysis in this study provides insights into how ESI can impact the procurement of public works in Ghana.","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"38 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2023-09-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135476840","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
The potential of new models of construction procurement to counter cost overruns in construction projects: an exploratory study from a contractors’ perspective 建筑采购新模式对抗建筑项目成本超支的潜力:从承包商角度的探索性研究
Journal of Financial Management of Property and Construction Pub Date : 2023-09-18 DOI: 10.1108/jfmpc-08-2022-0035
Stephanie Sheamar, Gayan Wedawatta, Maheshi Tennakoon, Roshani Palliyaguru, Maxwell Fordjour Antwi-Afari
{"title":"The potential of new models of construction procurement to counter cost overruns in construction projects: an exploratory study from a contractors’ perspective","authors":"Stephanie Sheamar, Gayan Wedawatta, Maheshi Tennakoon, Roshani Palliyaguru, Maxwell Fordjour Antwi-Afari","doi":"10.1108/jfmpc-08-2022-0035","DOIUrl":"https://doi.org/10.1108/jfmpc-08-2022-0035","url":null,"abstract":"Purpose Cost overrun is a significant issue in construction, an undesirable feature the industry has long been associated with. Poor procurement practices are often blamed for subsequent cost overruns in construction, especially with conventional procurement methods leading to outrageous cost overruns. The purpose of this study is to review the features of the new models of construction procurement (NMCP) and assess their potential to reduce cost overruns in construction projects. Design/methodology/approach A literature review was conducted to identify the issues of procurement leading to cost escalations. Primary data were obtained through exploratory, semi-structured interviews using a case study approach. Findings Clients’ lack of knowledge was highlighted as a key issue in procurement that interlinks with many factors causing cost escalation. The findings suggest that the features contained within the NMCP, such as early contractor involvement and collaboration throughout the project team, have the potential to make a positive contribution to addressing cost escalation in construction. Research limitations/implications The primary research was undertaken as an exploratory study and presents the contractor's perspective. Further research is therefore suggested, with multiple organisations representing all key stakeholders in a construction project, including clients, consultants, sub-contractors and suppliers. Practical implications The study recommends awareness of the NMCP be raised throughout the industry, and simplified information must be made available to help widen uptake of these contemporary procurement methods. Originality/value Addressing the dearth of research concerning the use of NMCP within the industry, this study makes a niche contribution to the body of knowledge on construction cost management by illustrating the potential offered by these new procurement methods for addressing cost escalation. For an industry where collaboration is accepted with reservations, this case study demonstrates how novel collaborative strategies such as open book costing, project bank accounts and shared pain and gain mechanisms can be implemented as part of the procurement strategy and how such strategies can contribute towards minimising the cost escalation inherent in construction projects.","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"211 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2023-09-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135110762","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Synthesis towards unveiling the complexity underlying underpayment for subcontractors in construction 综合揭示了建筑分包商少付款背后的复杂性
Journal of Financial Management of Property and Construction Pub Date : 2023-09-18 DOI: 10.1108/jfmpc-06-2022-0026
Mohammad Mayouf, Ciaran Gilligan
{"title":"Synthesis towards unveiling the complexity underlying underpayment for subcontractors in construction","authors":"Mohammad Mayouf, Ciaran Gilligan","doi":"10.1108/jfmpc-06-2022-0026","DOIUrl":"https://doi.org/10.1108/jfmpc-06-2022-0026","url":null,"abstract":"Purpose In construction projects, underpayments can be recognised as one of the significant drawbacks that impact the success of a project. Research into underpayments is considered ambiguous and provides a limited reflection of the issue, which makes it complicated to trace how it originates in the first place. This study aims to examine the causes that lead to underpayments and develop a holistic synthesis of underpayments for subcontractors in the lifecycle of a construction project. Design/methodology/approach An open-ended and closed-ended questionnaire was used to collect the data using purposeful sampling with 28 construction stakeholders who ranged from main contractors, subcontractors and others (Small medium enterprises SMEs, Consultancies, Clients etc.). Data collected was analysed to trace drivers and the impact of underpayment and suggested mitigation strategies to be identified whilst viewing the perspectives of a main contractor and subcontractor. Findings The findings show that the most prominent driver for underpayments is variation disputes followed by cash flow. The research also suggests mitigation strategies such as collaborative working, more robust budget control and early identification of risks as potential remedies to overcome the underpayment issue. The research concludes with a framework that elicits the complexity underlying underpayments for subcontractors in construction projects. Originality/value The research evolves the understanding that underpayment is a complex phenomenon, relying heavily on the data/information exchange mechanism between the main contractor and subcontractors. This research provokes the need to understand underpayment further so it can be mitigated.","PeriodicalId":45720,"journal":{"name":"Journal of Financial Management of Property and Construction","volume":"185 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2023-09-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135110757","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
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