USE OF VALUE MANAGEMENT WORKSHOPS AND CRITICAL. SUCCESS FACTORS IN INTRODUCING LOCAL EXPERIENCE ON THE. INTERNATIONAL CONSTRUCTION PROJECTS

Nebojsa Surlan,Zeljko Torbica,Zoran Cekic

doi:10.3846/13923730.2014.945950

Abstract

Critical success factors can be used in value management workshops to determine the client value system, which in turn is critically important to the briefing process and the successful delivery of construction projects. This research is concerned with international construction projects. In particular, it investigates the impact of local knowledge on the client value system. Workshops were organised on 12 international projects in the western Balkans region. The initial client value system was captured by using a paired comparison exercise. Next, local knowledge information was introduced, and the EFTE (Estimate-Feedback-Talk-Estimate) technique was used to capture the revised client value system. The changes in the two sets of client value systems were analysed. The results indicate that 4 parameters (Scope, Contract-admin, Human resources and Health and Safety) out of 8 changed and that the changes were statistically significant. Local knowledge can be used to impact client value system.

Highlights

Globalization has provided new opportunities to construction companies
Variety of additional factors impact the success of the international project such as global, country, company and project specific according to Dikmen et al (2011)
As initial step in the second leg of the workshop, local knowledge information was presented to client representatives

Summary

Introduction

Globalization has provided new opportunities to construction companies. International construction projects are more prone to risk than projects undertaken in the home market. Variety of additional factors impact the success of the international project such as global, country, company and project specific according to Dikmen et al (2011). While Neale (1995) focuses on project technical risks, size and complexity are identified as key risks which are confirmed by Mawhinney (2001). Gunhan and Arditi (2005) view political, financial, cultural, and legal risks as key for project success. All of these risks are dependent on local country conditions and international projects stakeholders often lack local construction market knowledge and experience

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