Alliances in construction

Abstract

PurposeThis paper aims to prove that alliances in the construction industry can be used as vehicles to achieve sustainable competitive advantage.Design/methodology/approachThe paper first sets out a theoretical proposition through a literature review and synthesis, then details an empirical case study in the construction industry to investigate the theoretical proposition.FindingsThe findings indicate the existence of the “project based mindset”, within the working practices of the different players in construction alliances. This overly narrow project focus constrains the process of achieving sustainable competitive advantage for alliances.Research limitations/implicationsThis research, in broad terms, provides insights on the value of long‐term orientated collaboration in construction alliances and specifically target practitioners by identifying benefits of balancing alliance tasks and activities among senior executives and project managers in an appropriate way.Originality/valueThe paper makes an original contribution to the general body of knowledge on alliances and specifically to construction alliances by identifying the core value addition in the process of long‐term orientated collaboration so that the processes are carefully designed, interpreted and nurtured in practice. Also, recommends initiatives by the alliance management to redesign tasks and activities such that collaboration becomes part‐and‐parcel of senior executives and project managers’ daily routine, rather than considering collaborative encounters as extra activities that need “slack” time.