Public Sector Clients Research Articles

‘Fit to play’: Labour market behaviour in a cohort of public-sector antiretroviral treatment patients

ABSTRACTGiven the rapid scale-up of antiretroviral treatment (ART), it is necessary to explore the impact of ART on labour force participation, employment and labour productivity. This article investigates labour market outcomes in a prospective cohort of public-sector ART clients in the Free State province of South Africa. Empirical results suggest that labour force participation increased markedly as the proportion of those too ill to work declined, becoming indistinguishable from participation rates in the general population. Unemployment rates, however, remain above those reported for the general population. ART and its health-related benefits therefore translate into increases in labour force participation, but not employment. Employment status at HIV diagnosis strongly predicts absorption in the labour force. Public-sector ART clients should be referred to vocational rehabilitation and occupational therapy programmes, and to welfare-to-work programmes, and the unskilled to adult education and training and further education and training programmes.

The impact of client characteristics on the time and cost performance of collaborative infrastructure projects

Purpose – Collaboration is thought to offer significant benefits over traditional contracts, however there is little existing research concerning how these benefits can be optimized. To address this gap, a survey investigated the impact of client characteristics on the time and cost efficiency of collaborative infrastructure projects. The paper aims to discuss these issues. Design/methodology/approach – The survey of experienced senior practitioners of Australian collaborative infrastructure projects yielded 320 valid responses. Cluster analysis, one-way between group ANOVA tests and independent sample t-tests were used to confirm that three client characteristics are critical to time and cost performance: client sector (public/private); client experience with asset procurement; and client approach to price competition. Findings – Projects procured by experienced private sector clients were found to meet targeted levels of performance, regardless of their approach to team selection. Among projects procured by experienced public sector clients, groups of relatively low and high performing projects could be distinguished, regardless of their approach to team selection. Projects run by teams selected competitively on non-price criteria prior to the pricing stage exhibited significantly better performance than those run by teams that competed on the price of the project to win the work. Research limitations/implications – This study focussed only on analysis of three client characteristics. Future research may consider a broader range of contextual variables. Results are based on perceptual data rather than objective data. Practical implications – The findings show collaborative infrastructure clients in the construction sector should be less concerned about inexperience than they might have been, and more interested in single-team selection approaches than they might have been. Originality/value – The results indicate significant performance differences between client types. In particular, experienced public sector clients had more polarized performance outcomes, compared to the private sector.

Procurement strategy formation: (re-)designing rail infrastructure project alliances

Purpose – The purpose of this paper is to provide insights into the reasoning behind the development of new procurement approaches by public sector clients. Design/methodology/approach – A case study approach focuses on a procurement development process by a public sector client. It investigates the reasoning behind various applications of the project alliancing concept in rail infrastructure projects over a period of 15 years. Alliancing applications are singled out and mapped against a number of criteria derived from literature on alliancing. The reasoning behind these applications and their differences are reconstructed from contextual documentation. Theories and concepts from the fields of strategic management and knowledge management literature are used to analyse the results. Findings – The development process seems to be evolutionary rather than deliberately planned. The uncovered variations in alliancing applications can only to a very limited extent be explained by the reconstructed reasoning. This suggests that the applied designs are mostly based on implicit reasoning by individual project teams. From a strategic management perspective, the development pattern resembles the emergent type of strategy formation. Originality/value – This study offers an initial insight into the reasoning processes behind the (re-)design of procurement approaches within a public sector client organization. A unique feature of this study is that these reasoning processes are explored from the strategy formation perspective that conceptually links the design of new procurement approaches to strategic management theory.

Random selection: winning the lottery in construction contracts

Government procurement accounts for 10%-15% of gross domestic product. The majority of this is below the European Union financial thresholds and completed under local policy. From 2012, random selection (RS) has been used as part of the selection mechanism. For the first time, this paper analyses and compares RS to the rotation process used in frameworks. The empirical data was gathered from the public sector client and private sectors via structured Limesurvey™ questionnaires. The results indicate that RS is considered transparent with high accountability. However, concerns are raised over safeguards against abuse or manipulation. The impact of using RS on quality, value for money and open competition indicated greater private sector concern. Agreement was achieved on it not always providing the best economic operator, that size of organisations involved does not matter and there is adequate competition. However, the procurement policy for the adoption of RS for certain contract types was deemed correct.

Analysis of the construction waste management performance in Hong Kong: the public and private sectors compared using big data

There is an ongoing debate concerning the disparity between the public and private sectors in relation to construction waste management (CWM) performance: some argue that CWM performance between the two sectors should have no difference since they are under the governance of the same set of CWM related regulations, while others argue that public sector clients should perform better as they are subject to greater social scrutiny. Previous studies comparing CWM performance have suffered from insufficient quality data, leaving the debate on the CWM performance disparity largely inconclusive. Informed by the Coase Invariant Theorem, this research empirically compares CWM performance between public and private projects. It does so by using big data in the form of 2 million waste disposal records generated from around 5700 projects undertaken in Hong Kong during 2011 and 2012. It is found that there is a notable CWM performance disparity between the public and private sectors, with contractors performing better in managing both inert and non-inert waste in public projects than they do in private projects. Furthermore, the interviews and case studies conducted as part of the research suggest that CWM transaction costs are not high enough to incentivize contractors to manage waste conscientiously and therefore other institutional arrangements, such as promoting the value of environment protection leadership, are critical for achieving superior CWM performance. The research therefore supports the corollary of Coase Invariant Theorem, which asserts that certain forms of institutions would improve CWM performance by reducing transaction cost even though both sectors are subject to the same set of CWM-related formal public policies.

Critical Factors Inhibiting Performance of Small- and Medium-Scale Contractors in Sub-Saharan Region: A Case for Malawi

The construction industry is dominated by small- and medium-scale contractors (SMCs) who face an emerging trend of unique challenges in the implementation of projects. The study was aimed at examining inhibiting factors that influence performance of SMCs in terms of “quality of work,” “tender estimation,” “tender preparation,” and “timely completion of construction projects” in Malawi. A survey questionnaire was administered to 370 players in the construction industry which included public sector clients, contractors, consultants, and construction resource trainers in order to elicit data from 118 variables that were identified through a careful literature review. The inhibiting factors were generally dominated by economic issues, which was an emerging trend to what has been previously reported in the sub-Saharan region. The first highest ranked inhibiting factors were high lending interest regimes offered by financial institutions; stringent conditions to access capital; fluctuation of currency; stringent requirements for obtaining bonds; and high taxes. The research lays the foundation for further understanding of inhibitors on performance of SMCs in an evolving world which is being impacted by global factors and punctuated by sudden changes.

Assessing the quality of collaboration towards the achievement of Sustainable Energy Innovation in PFI school projects

Purpose– The purpose of this paper is to examine the quality of collaboration towards Sustainable Energy Innovation (SEI) in Private Finance Initiative (PFI) projects. While the capacity of PFI to encourage collaboration towards innovation is largely advocated by its proponents; however, it remains to be supported by empirical evidence.Design/methodology/approach– Adopting the Complex Product System (CoPS) innovation management model, the authors assess the quality of collaboration at the interface between the innovation superstructure of public sector clients and users, and the innovation infrastructure of private sector designers, contractors and operators. Two interactional elements are examined upon which the quality of collaboration is assessed: openness of communication and alignment of objectives. The authors apply the model to four new-built PFI school projects within the context of the UK government Building Schools for the Future Programme. Semi-structured interviews with total of 50 key stakeholders were used as the primary data collection method.Findings– PFI has introduced a number of problematic issues weakening collaborative efforts towards innovation in the project environment. Particularly, the study underlines the restricting internal contractual relationships within the integrated Project Company and the misalignment of Design-Construction-Operation sustainability objectives. It also highlights ineffective communication with public sector clients and users brought in by the restricted nature of PFI engagement processes as well as the misalignment of public sector-private sector sustainability objectives.Research limitations/implications– The qualitative nature of the chosen research methodology limits the ability to generalise. The research findings need to be confirmed or rejected by means of quantitative research as representative of all PFI projects.Practical implications– The study emphasizes the public authority’s role in relation to providing the necessary conditions for the creation of a collaborative environment conducive to SEI in PFI projects.Originality/value– The study was able to expand the understanding of innovation and collaboration management processes in PFI projects in three respects: First, addressing the limited attention to innovation in PFI research, the study is the first to examine the quality of collaboration in PFI projects towards the implementation SEI. Second, examining the quality of collaboration in PFI projects through the lens of CoPS provides a new understanding of sustainability innovation and strongly indicates that the CoPS model should be expanded to account for the dynamics of innovation processes in the procurement of sustainable CoPS. Third, the explorative nature of the study was useful in generating research hypotheses that can form the basis for future research on SEI in PFI projects.

Exploring the characteristics of nursing agencies in South Africa

BackgroundNursing agencies are temporary employment service providers or labour brokers that supply nurses to health establishments.ObjectiveThis study was conducted to determine the characteristics of nursing agencies and their relationship with clients in the health sector.MethodsDuring 2011, a cross-sectional national survey of 106 nursing agencies was conducted. After obtaining informed consent, telephone interviews were conducted with a representative of the selected nursing agency using a pretested structured questionnaire. Questions focused on the following: ownership, date of establishment, province of operation, distribution of clients across private and public health facilities; existence of a code of conduct; nature of the contractual relationship between nursing agencies and their clients, and numbers and cadres of nurses contracted. The survey data were analysed using STATA® 12.ResultsFifty-two nursing agencies participated in the survey, representing a 49% response rate. The study found that 32 nursing agencies (62%) served private-sector clients only, which included private hospitals, homes for elderly people, patients in private homes, and private industry/company clinics, and only four (8%) of the agencies served the public sector only. Twenty-seven percent of nursing agencies provided services to homes for elderly individuals. Nursing agencies were more likely to have contracts with private-sector clients (84%) than with public-sector clients (16%) (p = 0.04). Although 98% of nursing agencies reported that they had a code of conduct, the proportion was higher for private-sector clients (73%) compared to public-sector clients (27%). In terms of quality checks and monitoring, 81% of agencies agreed with a statement that they checked the nursing council registration of nurses, 82% agreed with a statement that they requested certified copies of a nurse's qualifications. Only 21% indicated that they conducted reference checks of nurses with their past employers.ConclusionsNursing agencies should enhance their quality assurance mechanisms when engaging contracted staff. Overall, the study findings suggest the need for improved governance and management of nursing agencies in South Africa.

Satisfaction of first-time residential clients with architectural services

Purpose – The aim of this study was to investigate the factors which define and predict the satisfaction of first-time residential clients of architects in Nigeria using Lagos as a case study. Design/methodology/approach – The study was based on the notion that satisfaction of first-time residential clients with architectural services is a combination of satisfaction with service, design and relationship qualities as well as reputation of the architect. A cross-sectional survey of randomly selected first-time residential clients of architects in the study area was conducted using pre-tested questionnaire as the principal data gathering instrument. Data were analyzed using descriptive statistics, factor and regression analyses. Findings – Of the seven factors identified, the factors which best define the satisfaction of the first-time residential clients were personalization of service, reliability of, confidence inspired by and personality of the architect. The best predictors of the satisfaction of the first-time residential clients of architects in Nigeria varied with the nature of service. However, it was observed that the experience of the architect cut across all service types as a significant predictor of client satisfaction. Research limitation/implication – Only residential clients were considered in the study. Other categories of clients may be considered in further studies. Practical implications – There is need for architects to consider the nature of services provided in their quest to satisfy their first-time residential clients. Originality/value – Previous studies have focused on experienced and mostly public sector clients. This study provides empirical data on the factors that influence the satisfaction of first-time private clients who engaged the services of architects for their personal homes.

Procurement of public sector facilities

Purpose – The purpose of this research is to determine the perceptions of a public sector agency’s representatives who are involved in the selection of procurement methods about the benefits and barriers of implementing early contractor involvement (ECI). There have been widespread calls for the public sector to use of non-traditional delivery methods so as to obtain better “value for money”. ECI is one form of delivery approach that has begun to attract the attention of many Australian State Governments, as it allows a contractor to proactively participate in design development, risk management and the construction programming processes. Design and construction processes can also be integrated which, therefore, overcome the impediments and barriers that have conventionally existed between designers and contractor. Within Western Australia, the use of ECI has been limited and therefore perceptions about its potential application are obtained. Design/methodology/approach – Using questionnaire surveys and follow-up semi-structured interviews, the research sought to determine the perceptions of a public sector agency’s representatives who are involved in the selection of procurement methods about the benefits and barriers of implementing ECI. Findings – It is revealed that a significant proportion of contractors did not have the capability and experience to be involved within an ECI approach. Their preference was the use of a traditional lump-sum method. Where there was limited scope for using competitive tendering, particularly on large complex projects, then ECI could be a preferred option for future projects. Originality/value – To date, there has been limited empirical research that examined the public sectors views on the use of ECI despite the calls for the greater use of integrated procurement methods of this nature. The research indicates that there is a need to develop strategies to better educate public sector clients, designers and contractors about how ECI can contribute to the development of innovative solutions and better value for money.

Clients’ Perceptions of Architect Performance on Building Projects in Ghana

AbstractThis paper aims to establish clients’ perception of the performance of architects on building projects in Ghana. It reports on a survey of both public and private clients of recently completed building projects in two major metropolitan areas of the country. Data from the survey were analyzed by first computing performance indexes and subsequently comparing similarities and differences between results obtained for the two sector clients. The results showed that private sector clients are likely to be more concerned with cost, while public sector clients are more concerned with buildability of design. A total of 71% of the 28 architect performance assessment criteria identified from literature were similarly selected by both sectors with respect to importance of the criteria. Using these, both public and private sector clients were asked to assess the performance of their architects. The results showed that architects were perceived to perform better on public sector building projects than on priva...

Estimating Construction Contingency: Accommodating the Potential for Cost Overruns in Road Construction Projects

AbstractThe determination of a project’s cost contingency is a pervasive problem as the amount that is incorporated into an estimate is invariably insufficient to accommodate a project’s actual cost overrun. The cost overruns experienced in 49 road construction projects procured using traditional lump contracts are analyzed. The theoretical probability distributions are fitted to cost overrun data derived from the sampled projects whose contract values ranged from AU $0.5 and AU $97 million. Goodness of fit tests are used in conjunction with probability-probability (P-P) plots to compare the sample distribution from the known theoretical distribution. A log logistic probability density function (PDF) was found to best describe the behavior of cost overruns. The cumulative distribution function is then used to determine a realistic probability of a cost overrun being experienced from the point at which a contract is awarded. This is required so that public sector clients can determine an appropriate contin...

Framework procurement for highways maintenance in the UK: can it offer value for money for public-sector clients?

Framework agreements are emerging as a construction management tool used by public authorities to achieve value for money (VFM) services. This research aims to assess whether use of framework agreements for highways maintenance projects can result in significant improvement for performance outcomes and production and transaction costs during the construction phase. A single-case study was conducted to investigate outcomes set within the context of a major county council. Independent-samples t-tests of 164 framework and traditional discrete projects proved that there were significant improvements in performance outcomes in time (finish on time), cost (payment accuracy) and quality (defects and health and safety) resulted from the framework agreements. The independent-samples t-tests also identified significant improvements in total cost for engagement and performance monitoring but without significant changes in tender prices. Conclusions from this study support the use of framework procurement for local authority public-sector clients in highways maintenance, leading to significant improvements of performance outcomes and cost savings and hence VFM services to achieve optimal use of resources. Based on the case-study findings, an informed policy decision has been made between the county council and adjacent local authorities to implement an expanded framework agreement to cover a South East region.

Factors contributing to non-value adding activities in South African construction

Purpose – Non-value adding activities (NVAAs) are considered to be problematic in the management of projects. Reported research findings suggest that these NVAAs consume resources without necessarily adding value to completed tasks. The main aim of the research is to provide insights and plausible explanations concerning how NVAAs can propagate poor performance in South Africa. Design/methodology/approach – The paper reports on a quantitative survey conducted among public sector clients, consulting engineers, and civil engineering contractors in South Africa. Using a framework that was developed from the literature reviewed, the study proposed three conceptual qualitative models that were based on system dynamics. Findings – The study suggests that NVAAs that are prevalent in South African construction can impact project performance negatively in the form of cost and time overruns. It can also be argued that although there is commonality between NVAAs that are identified in South Africa and other countries, their frequency and effects on project performance differ. Research limitations/implications – The findings provide further insights about NVAAs that are related to the South African infrastructure sector only. Originality/value – The study, which is the first of such in South Africa, could lead to increased awareness among South African project stakeholders that are concerned about performance improvement from the lean construction perspective.

Lost in Translation? Ethics and Ethnography in Design Research

It has long been the case that ethnographic techniques have been appropriated by other disciplines. In particular, designers have employed ethnography and naturalistic inquiry in research for private and public sector client projects. As ethnographic methods have diffused to other fields questions have been raised about whether the ethical concerns that have become engrained over time in anthropological field work have carried over along with the methodology. This article explores how ethical considerations are addressed (or not) in ethnographic-style research, specifically within the field of design. A review of secondary sources and interviews with three practicing designers provide insight as to the shifts that have occurred over time within design and how these changes have impacted design research and practice, specifically in relation to ethical issues.

PFI Procurement Skills: A Cross-sector Survey of Practitioners

Contracting the private sector to construct and operate public infrastructure under the Private Finance initiative (PFI) has generated a lot of heated debate among practitioners. The debates derive their steam from increasing reports of failures which have bedeviled projects under these PFI arrangements. It has now become clear that there seems to be a general lack of adequate PFI contracting skills among public sector clients. The result is a lopsided risk transfer arrangement where the private sector privatizes profits and nationalizes losses. This study reports the results of a cross-sector survey attempting to investigate one of the most important issues raised in the now reformed PF2-public sector skills. It was found that stakeholder management, contract management, bid evaluation, risk management and regulatory governance skills were the most important overall. Though slight differences in ranking exist between the private and public sector but they tended not to be statistically significant.

A model framework of output specifications for hospital PPP/PFI projects

Purpose – Social infrastructure projects such as hospitals are increasingly being procured through public private partnerships (PPP). Due to their complex nature and very high operational requirements, these healthcare projects need special attention in developing robust output specifications at the early procurement stage. The purpose of this paper is to present a model framework of output specifications for adoption by public sector clients in jurisdictions planning to develop hospital PPP/PFI (Private Finance Initiative) projects. Design/methodology/approach – The research is based on an in-depth analysis of best practices from standard and sample project output specification documents used in Australia and the UK for completed hospital projects, reinforced by interviews with key stakeholders in the two countries. Findings – Drafting output specifications for hospital PPP projects is perceived to be a difficult and challenging task due to the complexity and changing needs brought about by evolving health policy, technology and medical advancement. The overarching target of preparing good output specification is to achieve value for money, innovation, risk transfer (including catering for changes), whole life asset performance and establishing performance criteria to link up with the payment mechanism. Practical/implications – The proposed framework is built up from public sector requirements on the physical asset, operational services provided by the private sector, with links to payment mechanism and performance evaluation. It also addresses change mechanism as well as conditions upon hand-over back to the public sector. Originality/value – Unlike traditional projects which are procured using prescriptive specifications, PPP/PFI projects are procured using performance based output specifications. This paper provides the foundation and a model framework for preparing comprehensive output specifications based on best practices in Australia and the UK, using hospital as the contextual background.

Demand for quality and design ideas competition: experimentation to discover good practices

The ideas competition process is suggested as a solution that might contribute to an improvement in architectural quality. There have been numerous experiences in Italy over the last decade, but they have not always produced positive and concrete results. Although procedures of international standing might refer to consolidated guide-lines, in most cases, on the local scale, the level of attention is insufficient to ensure ubiquitous quality in results. Participation in the work on the part of a jury, was welcomed as a useful opportunity to try out an approach, outside the academic sphere, based around the technological culture of design. Whatever the limitations of a local environment, it was felt that the experience might take on a generalizable significance, in contributing to thinking about the demand for quality as a precondition to the effectiveness of processes, an objective that is more indispensable than ever, and for which the public sector client has strategic roles and responsibilities.

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.

Comparative study of drivers of and barriers to relational transactions faced by public clients, private contractors and consultants in public projects

Relational transactions can bring about good project outcomes. However, public projects in which different parties hold differential attitudes toward the adoption of relational transactions would likely encounter more uncertainties which may affect the implementation of such relational transactions. This paper aims to compare different parties' (i.e., clients, contractors and consultants) perceptions of the factors motivating and deterring relational transactions in public projects. The results of a questionnaire survey of 104 public projects in Singapore show that 21 drivers could significantly motivate each party to adopt relational transactions; and three parties' perceptions of the importance of the drivers are not significantly different. The topmost driver for each party to adopt relational transactions is the aim of achieving safety performance. The results also show that: (i) the three parties regarded public sector accountability, bureaucracy and stringent rules, regulations and laws as the most serious barriers; (ii) the biggest challenge to adopting relational transactions stems from the public sector client, followed by private sector consultants; and (iii) contractors face the least number of barriers. The measures to ameliorate the barriers to relational transactions are recommended.