Role Of Contractors Research Articles

How does contractual governance affect construction project performance? The mediating role of the contractor’s behavior

ABSTRACT The contractor’s performance behavior is fundamental in improving project performance. However, few studies have investigated the impact of contractual mechanisms on contractor’s performance behavior and how this impacts project performance. Therefore, this study developed and tested a theoretical model to examine the mediating role of contractor’s performance behavior between risk allocation(contractual governance) and project performance. A total of 208 valid questionnaires collected from project managers in the Chinese construction industry were analyzed by partial least squares structural equation modeling (PLS-SEM) to test the theoretical hypotheses. The empirical results show that proper risk allocation can induce both contractors’ perfunctory and consummate behavior and restrict opportunistic behavior, thus achieving basic project performance. Although the mediating effect of perfunctory behavior is insignificant, consummate and opportunistic behavior can mediate between proper risk allocation and value-added project performance, where the mediating role of consummate behavior is more critical. The findings contribute to the impact of contractual mechanisms on the construction project performance and guide the owner’s contract design strategy and the contractor’s choice of performance strategy.

The European Union's use of contractors in security and defence: blazing its own path of institutional change?

ABSTRACT The rise of global power competition raises unique challenges for the European Union (EU) as it seeks to reconcile its security and defence aims with those of its encompassing member states while confronting both new and old types of warfare and threats on various geopolitical fronts. In this context, our study examines the role of contractors in the EU's approach to security and defence. Using new institutionalism, the study analyses changes to structure, personnel, and environment that empower and hamper the EU as it aims to enhance its capacity and role using contractors. The study finds that while organisational pressures push the EU to follow a path similar to the US in its security and defence outsourcing, the EU is charting its own path of organisational change and customising its use of contractors to align with its institutional values, mission, and processes for global engagement in security and defence.

The Contractor's Role in Mitigating Disasters in Cianjur City, West Java, Indonesia's Ciawi Road Project

Construction projects for road infrastructure are typically undertaken outside and are very susceptible to unforeseen circumstances, such as natural catastrophes. An extensive workforce, high-quality building supplies, and schedule-driven construction implementation strategies were employed by the contractor to complete this project. The purpose of this research was to discover the steps that contractors need to follow in the event of a natural disaster while they are in the process of building, in order to prevent losses for them. The Ciawi Road Project in Cianjur, West Java, serves as the research case study. Ten variables can be used by contractors as preventive measures for disaster management for other contractors and other civil projects, according to data obtained from a questionnaire method and analysis using SPSS statistics.

Effect of LSMC Implementation on Contractor Performance for National Road Construction In Aceh, Indonesia

Performance Based Contract (PBC) which is used to replace traditional contracts in national road constructions in Indonesia has been improvised into the Long Segment Maintenance Contract (LSMC). Contractor role and risk influence contractor performance; hence, the LSMC was introduced to assist contractors in improving their organizations to enhance performance in undertaking national road construction projects. This study was conducted to investigate the relationship between LSMC and contractor performance in Aceh, Indonesia, with operational capabilities as the mediator. Data collection for this study was done through a questionnaire survey, which was carried out involving non-small contractor companies from grades 5 to 7. Questionnaires were sent to 104 respondents. From the 104 questionnaires disseminated, 100 were completed and deemed usable. The data were analysed by the PLS software, followed by SPSS. The findings showed a positive relationship between LSMC and contractor performance

산업안전보건법상 도급규제에 대한 비판적 고찰

Industrial accident prevention developed countries such as the UK, Germany, Japan, and the United States do not take the view that poor safety and health management of work, whether directly managed or contracted, is a problem and that the work itself is bad. Therefore, no regulations such as contract prohibition and contract approval stipulated in the All-Revised Occupational Safety and Health Act in Korea are found. In addition, it is commonly found that developed countries for industrial accident prevention impose obligations suitable for the status and role of contractors on the premise that contractors do not have a direct employment relationship with contractor workers. Although safety and health regulations for contracts vary slightly depending on advanced industrial accident prevention countries, contractors are generally obligated to manage facilities, machinery and facilities, select qualified contractors, cooperate and coordinate with contractors, guide and supervise contractors, and guarantee sufficient cost and air. Like Korea's fully revised Occupational Safety and Health Act, no legislative example has been found that uniformly stipulates the same obligations as the contractor. Clearly establishing roles and responsibilities in industrial safety and health is a basic safety and health principle for the smooth implementation of industrial safety and health measures. This safety and health principle applies not only to the inside of the organization, but also to legal regulations. Even if safety and health regulations for contracts are strengthened outwardly, failure to faithfully reflect these principles in the legislation will only cause a lot of cost and confusion in the industrial field and make it difficult to operate as effective regulations. The reason why the Occupational Safety and Health Act has not achieved much in preventing industrial accidents for contractors despite strengthening safety and health regulations for contractors than any other country internationally is due to lack of content that does not conform to law principles and safety principles. Therefore, it can be said that it is very urgent to reorganize the legal system for contracting internationally in order to achieve practical protection and accident prevention for contractors.

Correction to: The role of contractors in the uptake of precision farming—A spatial economic analysis

Correction to: The role of contractors in the uptake of precision farming—A spatial economic analysis

Dynamism and realignment in the HR architecture: Online labor platform ecosystems and the key role of contractors

AbstractGiven the widespread contribution of independent contractors to organizational innovation and competitive advantage, it is timely to reassess assumptions about the HRM practices appropriate to their management and the rationale for organizations to work with them. In the original and highly influential HR architecture model of Lepak and Snell (1999), contractor status is viewed as an outcome of the low value and/or low uniqueness of human capital resulting in the proposition to externalize and manage them using either none or minimal compliance‐based HRM practices. Developments in digital technologies and algorithmic management epitomized by online labor platforms prompt us to reconsider these assumptions and to challenge the proposed links between value/uniqueness of human capital, employment mode and HRM practices that are assumed by the HR architecture model. Using insights from online labor platforms, we argue that the significant benefits to firms of working with contractors, coupled with the possibilities offered by algorithmic management to efficiently monitor and regulate their behavior, provide a compelling reason for organizations to choose external employment modes even when workers are key to value creation. We challenge the alignment and stability of the relationships proposed by the HR architecture model, and offer propositions to extend the model by reconsidering the rationale for, and nature of, HRM practices associated with contractors. This reassessment is both timely and relevant given the growing prominence of business models where externalizing workers is central alongside the development of new forms of algorithmic human resource management to control them.

The role of contractors in the uptake of precision farming—A spatial economic analysis

Abstract Contractors will play a vital role in providing farms with access to new precision farming technologies, especially in small-scale farming systems. We investigate the impact of spatial competition among contractors on the uptake of precision farming and the effectiveness of policy interventions, considering alternative spatial price schedules. Conceptual analyses show that a lack of spatial competition among contractors hinders uptake of precision farming technology. The effectiveness of policy interventions to support precision farming also depends on the market structure and contractors’ price schedules. In addition, we illustrate the results in a Swiss case study based on a specific contractors’ service market of plant protection technologies.

Roles of Contractors in Implementing Quality Assessment System in Construction (QLASSIC) in Construction Projects

In recent decades, the construction industry has been widely criticized for its lack of efficiency and productivity, and it has been shown that the Malaysian construction industry records poor quality on its projects. To overcome this issue, the Technical Committee on Quality Assessment in Construction with the support of the Construction Industry Development Board (CIDB) has introduced Quality Assessment System in Construction (QLASSIC). QLASSIC is a scoring system that is used to assess and evaluate the performance of construction buildings. It is based on the Construction Industry Standard (CIS 7:2006). Unfortunately, this assessment system had poor implementation since its introduction in November 2006. QLASSIC was not extensively implemented and was taken lightly by the contractors and developers in Malaysia. There are still a huge number of contractors that are not aware of QLASSIC even the big construction companies. Thus, this research is aimed at investigating the contractor’s perspective towards the implementation of QLASSIC in the construction industry in Malaysia. Three objectives are developed to achieve the aim: (1) identification of the needs to implement QLASSIC; (2) investigation of issues and challenges to implement QLASSIC and (3) recommendation of strategies to implement QLASSIC. Structured questionnaire surveys were distributed to the G7 and G6 contractors in the Klang Valley area; which may have or may not have experience in implementing QLASSIC in their projects. The result revealed that majority of the respondents were aware and understand the needs of QLASSIC implementation, but there were still few who were unfamiliar with the QLASSIC. The current level of implementation of QLASSIC in Malaysia is still not satisfactory due to several issues and challenges acting as barriers to its implementation. Therefore, the initiatives from the government are important to promote QLASSIC implementation in the construction industry. By doing this, the contractors would be aware of the implementation of QLASSIC in the construction industry. The significance of this research is that it will assist contractors and other construction players in comprehending the implications and importance of QLASSIC implementation.

“Employers” in a Migrant Intensive Industry: Organised Construction in Thane, Maharashtra

As per Census of India 2011, the Mumbai urban agglomeration forms a major urban magnet for migrant construction workers. The construction sector comprises principally informal workers whose conditions of work are mainly regulated by three laws, viz. the Interstate Migrant Workmen Act, 1979, the Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996, and the Contract Labour (Regulation and Abolition) Act, 1970. Analysis suggests that these laws do not take into account the nature of informality in the sector. In addition to this, the amalgamation of these labour laws, with several others, into four labour codes further adds to the vulnerabilities of interstate migrant workers by not considering how vulnerabilities of migrant workers vary according to their sector and place of work. This paper explores the status of employers with respect to growing informalisation of workforce in the construction industry by taking a case study approach of an organised construction site at Thane, Maharashtra. Ninety-three per cent of the workers at the construction site were migrants, mostly from Uttar Pradesh and Bihar. Seventy-two per cent of the workers at the construction site responded that they got their wages from contractors, and in close to fifty-eight per cent of the cases, the contractor was the figure which helped them find work in the site. To understand the role of contractors better, the authors also conducted semi-structured interviews with fifteen contractors and three labour in-charges from the Thane construction site, during April and May 2020. Through these interviews, the authors found that the management sidestepped their responsibility of the workers by specifying that the contractor is the employer of the workers, while the contractors argued that they are the “recruiters” and not the employers. The paper thus tries to understand the term “employer” by comparing the definition of the employers in the three labour laws with our findings from surveys. Are there any potential areas of conflicts between the definitions? How does it get translated in the lives of workers, especially migrant workers? Do informal networks among migrant workers contribute in formulating the perception of the contractor as an employer? We do this by building up on fieldwork evidence of informality on large organised construction sites.

Smart cities in the time of climate change and Covid‐19 need digital twins

Smart cities in the time of climate change and Covid‐19 need digital twins

The effect of the client–contractor relationship on project performance

PurposeThe purpose of this paper is first to examine the effect of client-led and contractor-led supply chain initiatives on project performance in the Indian construction industry and second to assess how the client-led supply chain initiatives complement the contractor-led supply chain initiatives.Design/methodology/approachIn this study, the effects of the client-led supply chain initiatives (reward power and competence trust of the construction clients) and the contractor-led supply chain initiatives (contractor integration and calculative commitment of the contractor) on project performance in construction projects are examined. The data were collected from 346 construction professionals working in Indian construction projects using purposive sampling. The proposed hypotheses were tested using structural equation modeling.FindingsThe contractor-led supply chain initiatives, in the form of contractor integration and the calculative relationship commitment of a contractor, were found to be strong mediators, indirectly affecting the project performance. On the other hand, the client-led supply chain initiatives, in the form of the reward power of the client and the competence trust of the client, directly influence the project performance.Research limitations/implicationsThis study reports the inevitable bias on the part of participants, who responded to the survey either in the capacity of client or contractor, although they might have executed projects in both capacities. Future studies could benefit from the use of objective data instead of behavioral data.Practical implicationsThis study helps construction firms understand how to demarcate the client and contractor roles in the construction supply chain to improve the project performance.Originality/valueThe originality of this study lies in its investigation of the influence of client-led supply chain initiatives and contractor-led supply chain initiatives on project performance.

The Role of Contractor's Experience Factors In The Process of Prequalification for Green Buildings Projects.

Few numbers of articles dealt with the factors that affecting the selection of contractors in green buildings. This study has conducted to identify the Role Of Contractor's Experience Factors In The Process Of Prequalification For Green Buildings Projects. A total of four sub-factors which are (Experience In Delivering Green Building, The Contractor's & Sub-Contractors Experience In Construction Of Intended Product/Project Type, Recommendation Letters From Past Client, Past Health And Safety Performance); Classified as being used widely in the process of contractors’ prequalification in Turkey, and falls according to the opinion of the experts under the factor of Contractor’s Experience. These sub-factors have extracted from a rigorous literature review of a gross 120 articles published in the past 18 years. Then nine extensive interviews have established with engineers and architects who enrolled in Green Building projects, to score the above-mentioned sub-factors relatively on a scale from (1 to 9) to facilitate the utilization of the Analytical Hierarchy Process method (AHP). To avoid any variations in the expert's opinion regarding the priorities Geometric Mean was adopted, and finally, the weight of the sub-factors that used during the process of selection has determined. The results showed that the factors are ranked as the following: (Experience In Delivering Green Building), (The Contractor's & Sub-Contractors Experience In Construction Of Intended Product/Project Type), (Past Health And Safety Performance), (Recommendation Letters From Past Client) Respectively. Furthermore, both of (Experience In Delivering Green Building), and (The Contractor's & Sub-Contractors Experience In Construction Of Intended Product/Project Type) have recognized as dominant factors with a total weight of 58.5%. according to the calculations that based on the evaluations of interviewees.This study aids to minimize the potential risks associated with the decision-making process, which related to the selection of the best contractor. In other words, it helps to award the project to a contractor who can achieve the successful completion of the project, with a preliminary guarantee of attainment for Green Certificate for it through the accumulated experience in this area

The role of contractors’ building information modelling (BIM) experience in realising the potential values of BIM

There has been recently a growing attention towards the potential benefits of building information modelling (BIM) in construction business processes from both academia and industry practitioners. While prior research has emphasised that there is a link between the proficiency of construction companies to use BIM and the realisation of BIM benefits, little evidence exists to capture this relationship. The aim of this study is to explore the extent to which prior BIM experiences influence the perception of industry experts on potential BIM benefits. The influence of years of BIM experience on the discernment of BIM potential benefits was examined through a survey of Australian building contractors. The results of the analysis of variance (ANOVA) showed that BIM experience was a significant factor in the realisation of potential BIM benefits. The results suggest that an increase in years of BIM experience foster a better understanding of BIM benefits, which consequently can lead to a more inspiring movement towards the adoption of BIM by construction organisations. The main contribution of this article is to increase awareness towards the adoption and implementation of BIM by making a link between BIM proficiency and an increased perception of BIM potential benefits in construction organisations.

Client and contractor roles in schedule incentive/disincentive projects

Purpose Delays in construction projects can be very expensive due to their adverse effects on project cost and profit margin. To overcome this problem, clients in the construction industry sometimes use schedule incentive/disincentive (I/D) contracting strategy. However, previous studies have shown that inadequate understanding and wrong implementation of schedule I/D provisions could result in unintended results. Moreover, the use of the I/D contracting method is in its initial stages in many countries such as India. The purpose of this paper is to identify various factors that are essential for schedule I/D success in construction projects. Design/methodology/approach A questionnaire survey was conducted among experienced professionals (clients, contractors and consultants) from across the Indian construction industry. Findings Top success factors related to clients in the descending order of their importance are: realistic targets; detailed guidelines for I/D implementation; close coordination with other stakeholders; correct estimation of I/D duration and amount; and imposing disincentives after due consideration. Meanwhile, factors related to contractor organisations are: continuous monitoring and control; thorough understanding of schedule I/D targets; specific considerations in appointing senior project personnel; effective communication; and proper labour management. Research limitations/implications This empirical research was conducted in the Indian construction industry. Similar studies from developed construction markets may provide more insights into the successful use of schedule I/D provisions in construction projects. Practical implications The uptake of these recommendations is likely to increase the success of schedule I/D provisions in construction projects, especially in developing countries where the use of I/D contracting strategy is not very popular. Originality/value This research highlights the specific roles of both clients and contractors in the success of schedule I/D projects in developing countries such as India.

Post-clientelistic initiatives in a patronage democracy: The distributive politics of India’s MGNREGA

Abstract This article analyzes the distributive politics of India’s (and the world’s) largest workfare program, the Mahatma Gandhi National Rural Employment Guarantee Act. We use a unique dataset that includes census and MGNREGA implementation data at the single-constituency level for the state of Andhra Pradesh (2009–17) across an entire election cycle (2009–14). Using regression analysis, we find that the ruling party does not use the program to buy votes neither in swing, nor in core areas of support, as we find the distribution of jobs to be ‘post-clientelistic’. We explain this result – surprising in a ‘patronage democracy’ – with the lobbying power of big farmers, an important special interest group in India’s political economy. Our analysis also shows that the ruling party’s distributive strategy consists of compressing job generation in core constituencies, in order to expand expenditure on materials needed for the execution of the projects. In this way, the ruling party can channel resources to contractors, who fund the electoral campaign of the party in return as our qualitative evidence suggests. The article reinforces arguments that predict that political parties will target core areas of support and develops a bi-dimensional model of clientelism that highlights the role of contractors and opaque electoral rules in determining distributive strategies.

The role of contractor in improving buildability in construction projects in Bali

Buildability is defined as the optimum use of construction knowledge and experience (time, cost, quality) at the planning, design, procurement, and field implementation stages so that the building can be completed effectively, efficiently and of good quality. The successful application of the buildabbility improvement program depends on the commitment of all members of the project management team to achieve success. The project management team includes the owner of the project planning and implementation. The aim of the research is to find out the important principle of buildability so that the contractor can play a bigger role in improving constructability. Data collection was carried out by questionnaires and interviews. The results of the analysis showed that the role of the contractor in improving buildability was the highest in the factor of Construction knowledge, team expertise and integration.

Audit as a tool for project maturity certification in heavy civil construction

Organizational learning stems from the synergy of human resources, using their qualification in the results of projects whose maturity may be assessed based on metrics that are still unavailable. These metrics are the first contribution of the present study. The analysis of two case studies of complex terminals, guided by the Front-End Load culture of gate approval for strategic advancement as a business organization, shows that audits are essentially able to measure the level of stakeholders in their consulting, inspection, management, and contractor roles, thereby assessing their productivity and, moreover, their ability to perform the contract without exceeding risks, costs, and deadlines. The analysis clearly shows that the audit should be used as a tool for project maturity certification in heavy civil construction based on this study.

Roles of contractors in process safety

Process safety starts at the conceptual phase and continues throughout the entire life cycle of an asset. From process selection to de-commissioning, various process safety elements govern the safety and reliability of the total system. Contractors play a crucial role in project execution including detailed design, technology selection, plant layout, commissioning, start-up, and further expansion, modification and maintenance activities. The interface/interaction of the contractor with the operator/owner often defines the importance of process safety throughout this life cycle. Undoubtedly, these are the most critical phases of a plant life cycle which could trigger an unexpected or uncontrolled situation leading to a catastrophic incident. This paper discusses the impact of the contractors’ role during major process safety events including the Phillips explosion in Pasadena (1989), Sonat vessel failure (1998), Texas City Refinery explosion (2005), T2 Laboratories explosion (2007) and a few others. Lessons from past incidents are highlighted and an in-depth analysis is conducted to identify essential process safety components for different groups of contractors and for the different phases of projects. Different aspects of process safety functional elements are presented and discussed for both greenfield and brownfield projects. A Comprehensive understanding of process safety and risk management is required by all levels of contractors to ensure risk-based decision making and hazard mitigation. Besides the process safety expertise needed by the contractors, the necessity of having a consistent and harmonized interaction between the operators/owners and the contractors is also emphasized.

Buyer Beware: How Market Structure Affects Contracting and Company Performance in the Private Military Industry

ABSTRACTPrivate military and security companies are integral components of the defense and intelligence operations of some of the world's most powerful states. Despite the increasingly pivotal role of contractors, analysts have yet to develop theories explaining when governments should outsource national security responsibilities or what conditions cause private defense markets to function efficiently. This inquiry addresses this gap in the literature by demonstrating that varying market structures—that is, the quantity of firms providing similar services and the number and purchasing power of those buying these services—have significant effects on costs, oversight, and company performance in the private defense industry. A principal–agent framework is developed to explain variation in the performance of firms in different markets across the industry. Evaluation of three private defense markets yields the surprising conclusion that monopsony, rather than a competitive market, is the ideal structure for governments outsourcing aspects of national defense.