The aim of this thesis is to propose a decision support tool for contractors before the bidding stage to quantify the probability of schedule delay in construction projects by using fuzzy logic incorporated with relative importance index (RII) method. Eighty three (83) different schedule delay factors were identified through detailed literature review and interview with experts from a leading Turkish construction company, then categorized into nine (9) groups and visualized by utilizing Ishikawa (Fish Bone) Diagrams. The relative importances of schedule delay factors were quantified by relative importance index (RII) method and the ranking of the factors and groups were demonstrated according to their importance level on schedule delay. A schedule delay assessment model was proposed by using Fuzzy Theory in order to determine a realistic time contingency by taking into account of delay factors characterized in construction projects. The assessment model was developed by using Fuzzy Logic Toolbox of the MATLAB Program Software. Proposed methodology was tested in a real case study and probability of schedule delay was evaluated by the assessment model after the required inputs were inserted to software. According to the case study results, the most contributing factors and groups (that need attention) to the probability of schedule delays were discussed. The assessment model results were found to be conceivably acceptable and adequate for the purpose of this thesis.

Design Build is rapidly becoming one of the most commonly used project delivery methods in the construction industry. The United States Corp of Engineers (USACE) has started implementing its own version of Design Build with the introduction of Military Transformation in April 2005. Per the Department of the Army (2008) Military Transformation is a term employed by the Corps to implement the use of alternate project delivery method as a means of achieving best value. The United States Air Force (AF) and the Air Force Reserve Command (AFRC) are expected to establish a target of 75% of all future Military Construction Projects (MILCONs) executed when using the Design Build method. The use of this delivery method results in significant changes to the relationships between the various parties associated with facility project delivery compared to the traditional Design Bid Build method. AFRC construction project procedures and requirements must also change.

<p>Bakgrund: Forskningen kring projekt har under senare år ökat i omfattning. En anledning är att projektorganiseringen utgör ett sätt att samla ett antal specialister för att få dem att samverka mot ett gemensamt mål. Utöver de interna relationer som uppstår i projekt förekommer det även involvering av interorganisatoriska partners i samarbetet vilket är speciellt vanligt i byggprojekt som karaktäriseras av en hög grad av interorganisatorisk specialisering. Problemformuleringar: Den utpräglade specialiseringen inom byggprojekt fordrar som all annan typ av specialisering, samordning och koordinering av resurser med den skillnaden att det här handlar om samordning över de organisatoriska gränserna. Det som denna studie behandlar är därför de relationer byggföretag har till sina underentreprenörer i samband medbyggprojekt. Fokus ligger på hur företag kan samverka vertikalt i förädlingskedjan för att på detta sätt uppnå konkurrensfördelar. </p><p>Syfte: Syftet med denna magisteruppsats är att utforska styrning och kontraktering av interorganisatoriska relationer för projektbaserad byggverksamhet. Utöver detta är syftet att specificera en optimala relationen mellan byggherre och underentreprenör för de fall som studien omfattar. </p><p>Avgränsningar: Studien har avgränsats till att endast innefatta relationen mellan byggherre och underentreprenör. </p><p>Genomförande: Studien har genomförts med grund i kontraktsansatsen genom intervjuer på två byggföretag med olika strategi, storlek och geografisk placering. </p><p>Resultat: Resultatet visar att en optimal relation mellan byggherre och underentreprenör är avhängigt av i vilken grad samverkan kan ledan till utveckling hos de båda parterna. Alltför omfattande outsourcing av tjänster kan vara negativt precis som alltför täta relationer. Därför är situationen helt avgörande. Ger även stöd åt- samt utvecklar Alvesson&Lindkvists teori om ekonomisk kooperativa klaner.</p> / <p>Background: Business research focusing on different aspects of project work has recently increased. One reason is that project teams can be used as an effec- tive means of getting specialists from different parts of a business to work to- wards a common goal. In addition to the internal project relations that charac- terize project work, some businesses have also shown evidence of involving ex- ternal parties in projects. This is particularly common for construction projects where a large number of firms enter a project in order to achieve a high degree of interorganizational specialisation. </p><p>Purpose: The high extent of specialization within the construction industry in- creases the need for coordination of resources among participating firms. This thesis relates to this coordination with special regard to the relation between contractor and sub-contractor and the involvement of subcontractorsin the verti-cal dimension of the supply chain. Hence, the purpose of this study is to explore the procurement phases related to the involvement of subcontractors in con-struction projects. Further, the study aims at specifying the optimal relations between main- and sub contractor for the construction firms researched. D</p><p>elimitation: This thesis is solely focusing on the relations between main con- tractor and sub-contractor and is not dealing with other parties involved in con-struction projects. </p><p>Realization: The research material for this thesis has been obtained through in- terviews with employees of two Swedish construction firms that differ in strat- egy, size and geographical location. </p><p>Conclusion: The concluding remarks of the study indicate that the optimal rela- tion between main- and sub contractor is highly dependent on in what ways the relations may lead to long-term development for the parties. A high extent of outsourcing from the main contractor as well as too extensive partnering rela- tions may lead to substantial disadvantages in development for both firms. Therefore the environment in which the main contractor is operating is of great importance to the decision on how to handle subcontractor relations. The study also gives insights into the clan literature and supports and extends the theory of economic cooperative clans, developed by Mats Alvesson&Lars Lindkvist.</p>

Architectural, Engineering and Construction (AEC) projects are becoming more complex in terms of client requirements, stakeholder issues, physical, budget and time constraints, and safety and environmental concerns. These constraints have spawned ad-hoc innovations in some AEC projects, without structured frameworks for their assessment, resulting in varying success for these innovations. The primary goal of the thesis is to test an existing framework for evaluating innovative design and construction technologies for high-rise buildings by way of a case-study. The case study is a48-story structure (with an 8-level sub-grade parkade) in a downtown setting with significant constraints and challenges. Unlike most other assessment frameworks which are single-issue based (financial, cost, time or risk), a holistic method that captures a broad range of critical issues at the micro and macro levels is used to screen a number of construction innovations. The process highlights the primary difficulty in balancing stakeholder issues, technical/engineering requirements and project goals in assessing the overall feasibility and net benefits of an innovation. As a useful tool, it facilitates the engineering/technical judgment of proposed innovations and provides evidence of a sufficient trade-off between incremental 'cost and benefits' to justify a detailed evaluation and possible subsequent use of a subset of the innovations that passed successfully through a tiered first stage evaluation process. A secondary objective is to propose appropriate quantitative models for a detailed evaluation of the screened technologies that not only seeks to quantify incremental cost and benefits (e.g. time, increased revenue, etc.) but also assess the level of certainty (in benefits and cost) of innovative construction technologies. An illustrative evaluation provides insights as to the level of modeling and analysis required to evaluate an innovative or novel strategy both at the 'activity/work package' and project levels. The quantum of data required at the pre-construction planning stage coupled with the lack of easy to apply evaluation models probably accounts for the non-prevalence of detailed quantitative evaluation of innovative construction technologies on AEC projects, especially in terms of impact at the project level and the degree of certainty with which net benefits are likely to be achieved.

Researchers studying the alignment of business resources usually focus on business cases that inherently have a going-concern interaction built on long-term relationships at the firm level (e.g., Barney, 1991) dyadic level (e.g., Eisenhardt & Martin, 2000) or the broader network level (e.g., Dyer, 1996). Resource alignment is usually flexible in terms of the timeline for identifying and aligning resources and resource engagement. While contractual limitations can be applied to resource alignment, resource engagement holds a notion of persistent value adding relationship. However, there are multitudes of contexts where relationships are bounded by the limited life of a project and by the way where resources must be rapidly aligned and managed. Examples exist in sectors as diverse as construction, filmmaking, and oil exploration. The study examined theories and empirical studies of resource alignment ranging from resource-based views (e.g., Wernerfelt, 1984) to more complex network views of social organizational interactions (e.g., Gulati et al., 2000). The majority of these literatures treat the development of business relationships and the acquisition of resources as a phenomenon that occurs over an extended period. Time-bound transactions challenge these theoretical perspectives built around the longevity of inter-organizational relations. Thus, the key strategic management problem this research addresses is how resources and capabilities can be rapidly aligned and managed in a time-bound network to achieve sustainable competitive advantages (SCA) at the network level. The fieldwork was conducted on more than 20 construction projects in the United Arab Emirates. Using secondary source data, I mapped the projects??? networks and interviewed 45 industry experts about the resources and capabilities their firms bring to the network, and how quickly they can be aligned to achieve the objectives of the project. The interviews were conducted over 11 months between 2011 and 2012 and amounted to more than 20 hours of audio and hundreds of notes including network sketches. I also investigated the transfer of resources and capabilities that may help network members to increase their competitive advantage when bidding on future projects. The benefits of long-term relationships are evident in any business; however, firms in the project-based construction industry often cannot reap those benefits. This study built upon theories of network-based resource alignment in the extreme situation of time-bound projects. The two-phase qualitative research approach relied on intensive interviews with key decision makers. Template analysis was used as the primary method of data analysis. This research???s primary finding is that there is no evidence of the concept of sustainable competitive advantage at the network level, while it is evident at the firm level. Other findings confirm that the events of full replication and non-replication of networks after project completion do not exist nor do decision makers favour them. While these findings imply the lack of attention to the benefits of contributing to a network, the more apparent scenario is replication of parts of a network, which is a result of two factors: 1) capabilities developed at firm level, which in return develop resources, and other capabilities, 2) movement of resources across network entities. The results shed light on decision-making techniques for efficient management of resources in time-bound business transactions such as construction and other projects. However, they may also generalize to dynamic business situations such as the entry of a firm into a new market or the entrepreneurial start-up of a new company in which resources must also be quickly aligned.

The nature of the construction industry and the complexities accompanying the sector of the economy globally, necessitates that role players review their positions continuously in an effort to stay abreast of the most modern best practice value chain developments, not only in terms of relationships formed within the upstream supply chain (client supply chain), but also within the downstream supply chain (main contractor/supplier supply chain). Not only is it a natural phenomenon for role players to shift their focus from best practise value chain development to a more relaxed state during a boom in the global economy, but also to shift their focus back to best practices during a slump in the global economy, in order to protect their margins and competitive position established during economic prosperity. To this extent, this dissertation offers an overview of the core aspects that cause misalignment between the objectives of the role players in the construction industry as well as the critical need for role players to proactively shift their paradigm in an effort to mitigate any potential effects the economy might have on role player relationships as well as on the productivity of the industry and the supply chain. Chapter 1 provides the overview, the problem statement and the primary and secondary objectives of the study, and in particular, achieving alignment of the objectives of the role players in a typical construction project. This is followed by a detailed literature study in chapter 2 that provides information regarding role player relationships and the alignment of objectives in the construction industry. This is supported by an empirical study in chapter 3 that links the practical state of affairs with the literature study. The dissertation then concludes by introducing recommendations and a generic project strategic model that can be implemented in an effort to achieve alignment of the objectives of the role players in a typical construction project. / Thesis (M.B.A.)--North-West University, Potchefstroom Campus, 2011.

The nature of the construction industry and the complexities accompanying the sector of the economy globally, necessitates that role players review their positions continuously in an effort to stay abreast of the most modern best practice value chain developments, not only in terms of relationships formed within the upstream supply chain (client supply chain), but also within the downstream supply chain (main contractor/supplier supply chain). Not only is it a natural phenomenon for role players to shift their focus from best practise value chain development to a more relaxed state during a boom in the global economy, but also to shift their focus back to best practices during a slump in the global economy, in order to protect their margins and competitive position established during economic prosperity. To this extent, this dissertation offers an overview of the core aspects that cause misalignment between the objectives of the role players in the construction industry as well as the critical need for role players to proactively shift their paradigm in an effort to mitigate any potential effects the economy might have on role player relationships as well as on the productivity of the industry and the supply chain. Chapter 1 provides the overview, the problem statement and the primary and secondary objectives of the study, and in particular, achieving alignment of the objectives of the role players in a typical construction project. This is followed by a detailed literature study in chapter 2 that provides information regarding role player relationships and the alignment of objectives in the construction industry. This is supported by an empirical study in chapter 3 that links the practical state of affairs with the literature study. The dissertation then concludes by introducing recommendations and a generic project strategic model that can be implemented in an effort to achieve alignment of the objectives of the role players in a typical construction project. / Thesis (M.B.A.)--North-West University, Potchefstroom Campus, 2011.

The role of risk management in the construction industry is essential due to the complexityand dynamic environment of the projects. To enhance project success, it is important toembed risk management practices in every activity of the project.The research question is “What is the classification of risks of joint ventures projects indeveloping countries and especially in countries that are facing economic crisis?” Theobjective of this thesis work is to assess the risks by creating proper risk probability versusrisk impact matrices and proceed with further analysis and based on the criticality of themand furthermore to allocate the risks and possible bias of the Concession AgreementBased on literature review and the objective of this thesis work, the propositions are thefollowing: “1) All the examined risks have the possibility to exist. 2) Risks, which hugelyimpact joint venture projects, are financial risks. 3) The purpose of the ConstructionContract is to ensure a fair distribution of risks between the parties, determining the parties'rights, duties, responsibilities and obligations in advance. 4) Criticality is an independentvariable from impact and possibility.”Due to the nature of this research and the research objective, the scientific idealimplemented is critical realism. This research is conducted based on quantitative method ofprimary data analysis. A questionnaire was formed in order to be given to the Panel ofExperts from different organizations for the evaluation of the problem.Based on the empirical data and analysis, the author indentified and evaluated the risks ofthe joint venture construction projects in developing countries within the definedenvironment of the consortium, where the state has a specific regal role, based oncriticality, risk probability and risk impact. The analysis of the data was done with the RankReciprocal method (Carr &amp; Zwick, 2007, p.70). In this thesis work, they are identified,individually and also aggregately, the specific risks with high criticality, high probabilityand high impact. The risks of joint venture projects classified with the higher criticality, thehigher probability and the higher impact, aggregately, are: Public Utilities Organizations(P.U.O.) permits delay (due to either Concessionaire's fault, or State's), State defaults (or anExtensive Force Majeure Event creates a State Event of Default), Events of Delay occurduring Design-Construction period affecting that period or the next one (the OperationPeriod), Critical path complications due to Archaeological Surveys revealing antiquities,Delays, inability of State in its obligation to go forth in expropriations. Risk managers canfocus on those risks and ensure the success of risk management and project control.

In today's worldwide competitive environment, contracting companies are competing in terms of product quality, delivery, reliability and customer satisfaction. In current literature, models of performance measures for contracting companies and construction projects have limitations and shortcomings. They depend mainly on financial measures. These are no longer sufficient to ensure survival and continued profitability in time of change. New measures of performance at the different levels of contracting companies are, therefore, needed. The relatively new performance measurement technique of benchmarking has been widely applied as a powerful performance management concept. However, current published literature does not provide satisfactory proof of its successful implementation in contracting companies. This research addresses these two major weaknesses. Firstly, a methodology using Nominal Group Technique and Delphi Technique was explained and applied to obtain consensus performance measures for construction projects. New performance measures appropriate to construction projects, together with each element's relative importance, were developed. The consensus covers project managers, senior managers and top management. Secondly, quality measures appropriate to construction projects, together with each measure's relative importance, were developed. Thirdly, new performance measures appropriate to contracting organizations were developed. The development of these measures and the determination of their relative importance depend upon: the strategic direction of the organization which reflects the current business and market conditions; the type of construction work; the organization structure; and the development of the management staff within the organization. Fourthly, the implementation of the new performance measures using benchmarking as a management tool for performance measurement and improvement was carried out in one of the largest contracting organizations in the Middle East, the Arab Contractors, Osman A. Osman & Co. The implementation was carried out over a period of five years. Sixteen company branches implemented the measurement system. Each branch was considered as an independent contracting company. The results showed that the use of the new performance measures and the implementation of benchmarking in the company were very effective and led to successful and improved performance.

It is agreed upon by many researchers that, although risk management (RM) is accepted as one of the critical success factors for construction projects, project participants generally do not have sufficient knowledge pertinent to risk management concept and the number of risk management support tools which facilitate the process is rather low. In order to facilitate risk management activities, decision support tools that will enable risk identification, analysis and response strategy formulation should be developed. Decision support tools are necessary for systematic identification of risks, scenario generation, proactive management of risk and integration of risk management activities with other project management functions such as planning, cost estimating and monitoring project success. The aim of this study is to introduce a conceptual risk management model and a prototype risk management decision support system (DSS) which is applicable to construction projects. The proposed decision support system, namely Integrated Risk Management System (IRMS), is designed to support the user at all phases of the risk management process and to integrate risk management activities with other project management functions in the bid preparation stage of international construction projects. A risk management process model has been developed as well as a risk information model so that IRMS can be used for systematic management of risk by all parties involved in a construction project. Major functions of IRMS include, risk identification by using a built-in Hierarchical Risk Breakdown Structure (HRBS), risk analysis by Monte Carlo (MC) simulation, risk assessment by risk rating, risk re-assessment, response generation, risk monitoring and corporate memory. The applicability of the system has been tested by a real case study and its functionality has been demonstrated using the data associated with the case study.