Abstract

Our society has long grappled with numerous issues such as wage and payment defaults in construction projects due to the lack of transparency. In response, Seoul Metropolitan Government has built and implemented a electronic payment system, known as the “Daegum-e-Baro” system, as part of its e-Government innovation initiatives. This electronic payment system has been expanded nationwide and is now legally mandatory for all public construction projects. Consequently, it is imperative for this study to examine the potential effects and influencing factors of the electronic payment system in the context of policy evaluation. Previously, studies on construction corruption have typically focused on cases of illegal subcontracting improvements. However, in this research, the study approaches from the perspective of the principal-agent theory, concentrating on the issues of information asymmetry and agent problems. This study aims to analyze the expected effects and influencing factors of the Daegum-e-Baro system. Based on enhancing transparency through e-Government, this study comprehensively examined what execution strategies and influencing factors were at play during the implementation process of the Seoul electronic payment system policy, how it expanded to national policy, and what the current outcomes look like. As expected effects, this study deduced control of corruption and fairness. As influencing factors, this study presented technical factor, legal and institutional factor, managerial factor, and transparency factor. Lastly, this study proposed policy suggestions for the development of the electronic payment system and added research implications and limitations.

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