Relationship between contractor satisfaction and project management performance

Martin Skitmore,Bo Xiong,Bo Xia,Sidney Newton,Asrul Masrom

doi:10.5130/ajceb.v20i4.7366

Martin Skitmore, Bo Xiong + Show 3 more

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https://doi.org/10.5130/ajceb.v20i4.7366

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Abstract

Despite the fast growth of project-based companies and industries, studies of the satisfaction-performance (S-P) nexus of project participants are lacking. This study aims to explore the role of contractor satisfaction in affecting contractor project management performance along with considering external effects from other key participants. Two broad dimensions of satisfaction toward noneconomic factors and economic factors were used to develop hypothesized models. Structural equation modelling techniques were applied with data collected from 117 projects, showing that it is insufficient to simply conclude that contractor satisfaction influences project managerial performance and vice versa, and that satisfaction disaggregation is necessary. Additionally, it was found that noneconomic satisfaction contributes to performance, which in turn contributes to economic satisfaction. The theoretical and practical implications are further discussed.

Highlights

Research into the possible connection between job satisfaction and job performance has been an important topic for academics and organization managers since the Hawthorne studies and the human relations movement ( Judge et al, 2001; Organ, 1988)
This study aims to explore the role of contractor satisfaction in affecting contractor project management performance along with considering external effects from other key participants
This paper provided results of the empirical validation of the hypothesized conceptual models among construction project participants

Summary

Introduction

Research into the possible connection between job satisfaction and job performance has been an important topic for academics and organization managers since the Hawthorne studies and the human relations movement ( Judge et al, 2001; Organ, 1988). In addition to the ‘iron triangle’ measures of cost, schedule, and quality, satisfaction has been recognized as another effective measure of project performance (Ibbs and Ashley, 1987; Toor and Ogunlana, 2010; Li, Ng and Skitmore, 2013; Ha et al, 2017). Studies of construction project participant satisfaction have become increasingly prominent over the past decade, with a positive change in focus from individual performance to a greater emphasis on stakeholder interests (Toor and Ogunlana, 2010; Hosseini, Chileshe and Zillante, 2014; Ibiyemi et al, 2014; El-Sawalhi and Salah, 2015; Forsythe, 2015; Ujene and Edike, 2015; Andriof et al, 2017; Mok, Shen and Yang, 2017; Xio, Liu and Pang, 2019). Project participant satisfaction provides an early sign of the likely outputs in executing complex projects (Williams et al, 2012; Xiong et al, 2014)

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