Project Performance Improvement Research Articles

THE ROLE OF TRUST IN RELATIONSHIP DEVELOPMENT AND PERFORMANCE IMPROVEMENT

The importance of inter-organizational trust to project success has been increasingly highlighted in the construction industry. This study aims to explore the role of trust between project parties. It adopts a combination of quantitative and qualitative methodologies. Based on the analysis of the responses of a questionnaire survey, trust is demonstrated to have a significant contribution to the development of cooperative or collaborative relationships; fostering trust proves to have a major influence on the improvement of project performance; and some relationship and performance indicators are found to have closer associations with trust than others so that trust is more important to the development of relationship and the improvement of performance in these aspects. The analysis of questionnaire responses also provides significant evidence for the reduction in monitoring and control following the increase of mutual trust. The questionnaire survey is followed by a series of expert interviews, both of which contribute to the establishment of a model that links trust with relationship and performance and distinguishes the new approach that is based on trust from the traditional mechanism that relies on monitoring and control.

Project performance improvement through application of knowledge management processes

Project performance improvement through application of knowledge management processes

Improvement of Productivity through the Control of Continuity and Variation of Work Flow in Building Space

The majority of currently used construction productivity management systems rely on result-based management techniques, which have difficulties in managing in uncertain environments. Massive amounts of time and resources are wasted due to conflicts between works and constraints in space, etc. Hence, we need to recognize the limitations of existing result-based management systems and suggest a productivity management index that is expected to ensure that the issues of productivity reduction are properly controlled. Work flow refers to the progression of work in a limited time and space. Schedule delay and expense waste can be controlled by managing the work flow. Measurement of work flow is evaluated using 3 indices: Continuity Index, Variation Index, and Productivity Index. Therefore, this research suggests an evaluation and measurement system for work flow that shows the productivity of construction work both directly and indirectly, and thereby aims at an improvement in project performance by using a target index.

Analysis of the Usage of the CII/COAA Benchmarking and Project Performance Assessment System

AbstractThe Construction Owners Association of Alberta (COAA) and the Construction Industry Institute (CII), in collaboration with the University of Calgary, researched project performance improvement. The research investigated the usage of the COAA/CII benchmarking system in order to draw attention to the benefit of improved project performance in Alberta. A qualitative research methodology was used for investigating the usage of the system. Interviews, which contained open-ended questions, were conducted with industry practitioners. The results of the research showed that a lack of resources and a lack of an understanding of benchmarking are the major barriers to adopting the benchmarking system. The usage of the system will contribute to better project performance. The system has the potential to contribute to a reduction in cost and schedule overruns. It is concluded that the system can provide a guide for companies to improve project performance in Canada.

Is Early Warning Effective for the Improvement of Problem Solving and Project Performance?

AbstractSince the first launch of the new engineering contract (NEC) in 1993, early warning of problems has been widely recognized as an important approach of proactive management during a construction or engineering project. Is early warning really effective for the improvement of problem solving and project performance? This is a research question that still lacks a good answer. For this reason, an empirical investigation was made in the United Kingdom (U.K.) to answer the question. This study adopts a combination of literature review, expert interview, and questionnaire survey. Nearly 100 questionnaire responses were collected from the U.K. construction industry, based on which the use of early warning under different forms of contract is compared in this paper. Problem solving and project performance are further compared between the projects using early warning and the projects not using early warning. The comparison provides clear evidence for the significant effect of early warning on problem solvin...

Quantifying Success Factors for IT Projects—An Expert-Based Bayesian Model

Large investments are made annually to develop and maintain IT systems. Successful outcome of IT projects is therefore crucial for the economy. Yet, many IT projects fail completely or are delayed or over budget, or they end up with less functionality than planned. This article describes a Bayesian decision-support model. The model is based on expert elicited data from 51 experts. Using this model, the effect management decisions have upon projects can be estimated beforehand, thus providing decision support for the improvement of IT project performance.

Stringing Construction Planning and Execution Tasks Together for Effective Project Management

This paper introduces a new concept termed the continuous task-string (TS), which consists of specific combinations of preconstruction planning (PCP) and project execution (PE) tasks that, when linked together have a high probability of improving project performance. Through a two-stage process, 3,910 combinations of 46 and 85 PCP and PE tasks, respectively, were reduced down to 239 validated task-strings. These task strings were evaluated by electrical construction professionals to statistically quantify the potential influence of the task strings on cost and schedule success. Statistical analysis supported the hypothesis that those task strings which were viewed as being more important to cost and schedule success would also be viewed as being more critically interdependent. Hence, completion of the PCP-PE task combination was viewed as being a key ingredient for project success. The research reported in this paper provides a strong theoretical foundation for further studies on the influence of task strings on project performance. Ultimately, by elucidating the relationship between preconstruction planning and project execution tasks, the research reported in this paper can help electrical contractors achieve project performance improvement through effective task-level strategies.

A Framework for Improving Project Performance of Standard Design Models in Saudi Arabia

Improving project performance in the construction industry poses several challenges for stakeholders. Recently, there have been frequent calls for the importance of adopting standardisation in improving construction design as well as the process and a focus on learning mapping from other industries. The Saudi Ministry of Interior (SMoI) has adopted a new Standard Design Model (SDM) approach for the development of its construction programme to effectively manage its complex project portfolio and improve project performance. A review of existing literature indicates that despite the adoption of SDM repetitive projects, which enable learning from past mistakes and improving the performance of future projects, it has been realised that there is a lack of learning instruments to capture, store and disseminate Lessons Learnt (LL). This research proposes a framework for improving the project performance of SDMs in the Saudi construction industry. Eight case studies related to a typical standard design project were performed that included interviews with of 24 key stakeholders who are involved in the planning and implementation of SDM projects within the SMoI. The research identified 14 critical success factors CSFs have a direct impact on the SDM project performance. These are classified into three main CSF-related clusters: adaptability to the context; contract management; and construction management. A framework, which comprises the identified 14 CSFs, was developed, refined and validated through a workshop with 12 key stakeholders in the SMoI construction programme. Additionally, a framework implementation process map was developed. Web-based tools and KM were identified as core factors in the framework implementation strategy. Although many past CSF-related studies were conducted to develop a range of construction project performance improvement frameworks, the paper provides the first initiative to develop a framework to improve the performance of standard design and repetitive projects.

Reducing ‘non-value-adding activities’ when building infrastructure in South Africa

The purpose of the investigation was to examine issues pertaining to poor project performance by identifying non-value-adding activities and their causes in South African construction. The assessment was undertaken through a quantitative survey conducted among public sector clients, consulting engineers, and general contractors involved in civil engineering projects in South Africa. Selected findings were that the respondents perceive that non-value-adding activities such as inadequate supervision and waiting for critical tasks to be completed contributed significantly to poor project performance in South Africa. In addition, the respondents were of the opinion that factors contributing to non-value-adding activities in South Africa include lack of appropriately skilled workers, repetitive revisions and changes, and delay in design approval. Although the findings are based on the perceptions of stakeholders in the South African infrastructure sector only, the discourse supports the argument that it is imperative to limit/eliminate non-value-adding activities in the construction process in order to engender improvement in project performance in the sector.

EVALUATION OF DESIGN-BID-BUILD (D-B-B) PROJECTS WITH AND WITHOUT AGENCY CONSTRUCTION MANAGEMENT

Agency CM is a construction management system, and is a way to manage the process of construction. Agency Construction Management when paid on hourly Fee tempts to work hours that are not needed to maximize fee. When Agency CM is paid by Lump sum Fee or remunerated by a percentage of the Project Cost, Agency CM is only committed to provide defined services and results for a lump sum Fee. So the Agency CM may be tempted to provide less service than what was contracted for to increase profits and may maximize profits by cutting corners on services at risk of not obtaining expected results. Hence there is a need for the owner to understand whether there is improvement in Project Performance when Agency CM is contracted with any Project Delivery System. Design-Bid-Build (D-B-B), Design-Build (D-B), and Construction Management at risk (CM at - Risk) are the three principal project delivery systems. Agency CM can be used with any type of Project Delivery System. This necessitates a comprehensive investigation in to the performance of projects delivered with Agency CM and projects delivered without Agency CM. This study evaluated the project performance metrics such as Project Cost, Project Schedule and Project quality in Projects where Design-Build (D-B-B) Project Delivery System was used with Agency CM and Projects where Design-Bid-Build Project Delivery System was used without Agency CM. The study included literature review, designing a questionnaire, collecting data from 200 Design –Bid-Build (D-B-B) projects of which 100 projects where Agency CM was used and 100 projects where Agency CM was not used. Analysis of data pertaining to project performance metrics was done by using SPSS statistical software. An understanding of this study can help an owner/client better select the D-B-B project delivery system either with or without Agency Construction management.

Target value design: using collaboration and a lean approach to reduce construction cost

Target costing is an effective management technique that has been used in manufacturing for decades to achieve cost predictability during new product development. Adoption of this technique promises benefits for the construction industry as it struggles to raise the number of successful outcomes and certainty of project delivery in terms of cost, quality and time. Target value design is a management approach that takes the best features of target costing and adapts them to the peculiarities of construction. The concept of target value design is introduced based on the results of action research carried out on 12 construction projects in the USA. It has been shown that systemic application of target value design leads to significant improvement of project performance—the final cost of projects was on average 15% less than market cost. The construction industry already has approaches that have similarities with elements of the target value design process or use the same terminology, e.g. partnering and target cost contracts, cost planning, etc. Following an exploration of the similarities and differences target value design is positioned as a form of target costing for construction that offers a more reliable route to successful project outcomes.

메가프로젝트 기획/계획단계 VE적용을 위한 준비단계 수행방안

최근 국내에서는 쇠퇴도시 재개발, 도시의 균형발전, 도시 이미지 창출을 목적으로 메가프로젝트 규모의 사업이 활발히 추진되고 있다. 메가프로젝트 사업은 다양한 주체들에 의해 장기간에 걸쳐 대규모로 추진되는 특성으로, 참여주체간의 복잡한 이해관계와 갈등, 부적절한 시설규모 계획을 통한 사업성 저하 등의 문제점이 야기되고 있다. 이러한 문제점을 해결하기 위해서는 사업초기단계에서 비용절감 및 성능향상 효과를 최대한 발휘할 수 있으며 다양한 시설의 규모적 특성을 기능중심적 사고를 통해 지원할 수 있는 VE 적용이 필수적으로 요구된다. 하지만, 사업초기단계에 대한 가용정보의 부족, 기존 방법론의 부재 등으로 인하여 사업초기단계에서의 VE적용은 미흡한 실정이다. 따라서 본 연구에서는 사업초기단계 메가프로젝트의 문제점과 VE적용의 한계를 해결하기 위한 방안으로, VE준비단계에서의 VE팀 구성, Quality Model, 성능지표, Space Model을 제안하였다. 본 연구의 결과는 메가프로젝트의 기획/계획단계에서 VE 수행을 위한 기초적인 자료로 활용될 수 있을 것으로 기대된다. In Korea, many mixed-used development projects(MXD) in mega project size are currently active. As these mega projects require long-term construction and execution and involve by different subjects in different fields, their completion breeds various problems, such as conflicts among project participants due to their complicated interest relationships and inaccuracy in predicting the economic performance of the projects due to inappropriate facility capacity planning. To solve these problems, it is essential to apply value engineering (VE) at the planning phase of the project, which can result in the best possible cost reduction and improvement of project performance. However, not many projects are actually implementing VE because of the lack of available information, as well as the limitations due to uncertainty in the early period of project execution. Therefore, this study aimed at proposing VE Team Building, Quality Model Performance Indexes, Space Model so as to resolve common mega project problems and overcome VE application limitations at planning stage. The result of this study is expected that the data can be utilized as basic data to apply VE at the planning phase of the large complex projects.

Front-End Planning Implementation in Singapore: Status, Importance, and Impact

AbstractFront-end planning (FEP) is relatively new to the Singapore construction industry, and its importance is not yet well recognized or emphasized. Technological advancements and continuous fragmentation in the construction industry have resulted in a rapid increase in the complexity of projects, and yet this has not been matched by a concomitant increase in planning efforts. This study aims to identify the importance of FEP and its impact on project outcomes in order to encourage more organizations in Singapore to practice and benefit from it. To achieve this objective, a questionnaire was developed, and the responses from 27 companies were analyzed. The analysis revealed that only about 44% of the responding companies practiced FEP on their projects. In addition, the study quantified the amount of the budget allocated to FEP as well as the level of improvement in project performance achieved by implementing FEP. Once companies recognize their FEP implementation status, they will be at a starting poi...

Knowledge‐mapping model for construction project organizations

PurposeThe purpose of this study was to investigate and propose the appropriate K‐mapping models as an approach to integrating key project components and technologies for the effective improvement of project performance within and across construction projects.Design/methodology/approachIn this holistic, single‐case study, one of the largest construction consulting firms in South Korea has been studied by conducting 15 semi‐structured interviews and the different loci for each of the K‐mapping components are identified and analyzed. Based on the different loci, four types of the K‐mapping model are provided and elucidated.FindingsResearch findings indicate that these four types of the K‐mapping model provide the criteria to identify the appropriate types of K‐map for construction project organizations, according to the characteristics and conditions of their own construction personnel, construction processes, and K‐transfer technologies. With the K‐mapping models, an appropriate knowledge management system (KMS) can be developed more effectively.Research limitations/implicationsFirst, as interpretivism was adopted as the research philosophy, the case study findings were subjective and qualitative to both the interviewees in the case study company and the researchers, though this study provided an important underpinning for future research on K‐mapping within construction project organizations. Second, the theory developed in this study was based on an investigation of the appropriate K‐mapping models with only a single case study. Nevertheless, this case study provided sufficient data and information to develop and propose a theory for successful K‐mapping model development within construction project organizations.Originality/valueIn the KM area, the definition, benefits, purposes, principles and types of K‐map have been already provided by many KM researchers and practitioners. However, no industry (practical)‐based K‐mapping model has been developed and proposed, especially in the construction industry. Accordingly, the originality of this study to be presented in one of the paper's conclusions: construction processes must be considered and adopted as a key component in the K‐mapping process, and the discussion of the four types of K‐map this research have generated, which significantly expands the existing literature on K‐mapping.

Using the Quick Scan Audit Methodology (QSAM) as a precursor towards successful Lean Six Sigma implementation

PurposeThis paper seeks to propose the use of and analyses the effectiveness of a supply chain auditing methodology called Quick Scan (QS) as a precursor to the implementation of Lean Six Sigma (LSS) projects in small and medium manufacturing enterprises (SMEs). The purpose of this paper is to identify how effective the use of such an approach will be on an organization aiming to implement LSS. The effectiveness of QS Audit Methodology (QSAM) is measured in qualitative terms through its ability to assist LSS project teams in providing the required focus to develop correctly strategically aligned projects which ensure maximum benefits are obtained from LSS projects.Design/methodology/approachThrough the development of a case study approach, the paper initially and briefly describes the results of the implementation of LSS projects into ten manufacturing SMEs. The paper then, through a case study, describes the implementation of the QSAM into the design, development and early stage implementation of an LSS project with an SME and analyses its effectiveness in being able to develop a more robust approach to planning, measuring and defining the early stages of LSS project implementation in companies.FindingsThe paper initially identifies that most LSS project champions identified the project definition stage as being particularly problematic since it was at this stage that future LSS success hinged. The paper then goes on to show how the effective development and implementation of QSAM into the front end of LSS project implementation brought benefit to a subject company and how the approach has led to improvements in project performance for that company.Practical implicationsThe design, development and implementation of an effective QSAM/LSS approach provide a simple yet effective method to achieving improvements in systems performance. Whilst the authors accept that QSAM does not provide a panacea for project definition, the paper offers practicing process managers and engineers as well as industry‐focussed academics a strategic framework for increasing the likelihood of identifying strategically focussed projects for future LSS implementation.Originality/valueThe proposed QSAM/LSS strategy contributes to the existing knowledge based on supply chain and quality systems and subsequently disseminates this information in order to provide impetus, guidance and support towards increasing the development of companies in an attempt to move the UK manufacturing sector towards improved manufacturing performance.

Examining the Relationship between Organizational Learning Styles and Project Performance

A review of literature on organizational learning suggested that organizations mainly exhibit three types of learning styles: single-loop learning (SLL), double-loop learning (DLL), and deutero learning (DeuL). SLL refers to the detection and correction of errors without adjusting one’s underpinning assumptions about performance requirements. DLL refers to improvement actions which are undertaken in response to the change of one’s underpinning assumptions. DeuL refers to the establishment of a system which propels continuous learning. It has been advocated that effectuating these learning styles are critical for attaining continuous project performance improvement. This paper reports a study that aimed to examine the relationship between organizational learning styles and performance improvement in construction projects. A conceptual model for the same was first developed. Data about the contracting organizations’ practice of learning styles and project performance were collected through a questionnaire survey. Structural equation modeling was used to examine the significance of the relationship between organizational learning styles and project performance improvement. It was found that the attainment of project performance improvement was positively related to the practice of DLL. Further, DeuL was found essential for facilitating the practice of SLL and DLL.

Improving Project, Program and Policy Performance in Developing Countries through Managing for Development Results

This article seeks to answer five questions: (1) What is ‘Managing for Development Results (MfDR)’? (2) What are the known conditions for the successful adoption of MfDR?, (3) Do these conditions apply to developing countries?, (4) Does MfDR produce better results in developing countries?, and (5) What are some of the emerging challenges in adopting MfDR? In noting that that MfDR is results-based management expressed in the language of development, the reasons for the adoption of the new term and the possible consequences of this are explored. While the perils of transferring management practices from one cultural context to another are noted, the Asian Development Bank's experience supports the view that the known conditions for successful adoption of MfDR generally apply to developing countries. Many developing countries also face special challenges not faced by rich countries and they need to deal with the particular cultural context that may support or impede successful adoption. Surprisingly little research has been conducted to test the relationship between MfDR and improved development results. However, the evidence presented in this article supports the view that applying the principles of MfDR can bring about significant improvements in project, program and policy performance. Paradoxically though, those countries that need the benefits the most are the least likely to be able to apply whole-of-government MfDR. Notwithstanding this, adoption where the conditions are favorable offers hope for better results from projects, programs and policies in the future.

Book Reviews

Book Reviews

A dynamic model for managing overlapped iterative product development

Intense competition in many industries impels firms to develop more products in less time. Overlapping of development activities is regarded as one of the most promising strategies to reduce project cycle time. However, the gain from overlapping must be weighed against the additional resource and time for rework. This paper presents a new product development (NPD) process model, termed Dynamic Development Process Model (DDPM), for managing overlapped iterative product development. We validated the model with data from a mobile phone development project. The DDPM was employed to identify appropriate policies for the overlapped iterative projects in the case study company. These identified policies were implemented in the company and led to marked improvement in project performance, thus demonstrating the viability of our model.

THE ROLE OF LOGISTICS IN NEW PRODUCT DEVELOPMENT

For many firms, a program of successful new product development (NPD) projects is critical to overall company strategy. However, the role of logistics in NPD has rarely been researched. The purpose of this paper is to empirically test the relationship between logistics involvement in new product development and improvements in NPD project performance and NPD logistics performance. Senior logistics managers in manufacturing firms in the United States were surveyed to test these relationships. The analysis demonstrated NPD project performance and NPD logistics performance improved with the involvement of logistics in NPD.