Partnering is an increasingly common form of project in the construction industry. From its inception in the late 80's in the USA until today, the habit and knowledge are increasing about how to carry out an effective partnering project and what to look out for. Previous reports have been focused on what partnering is and thoroughly how it is works. This report is written together with Skanska Sverige ABs Orebro Office. The purpose is to investigate the major practical pros and cons, when you manage a partnering project instead of a regular one with a fixed price. The selected areas of interest are Finance, Stress, Accidents & Incidents, the problem-solving process and what kind of project is best applicable. Facts are mainly taken from interviewed employees at Skanska and relevant clients they have been in contact with.Finance is the most influential factor in which choice of contractor that gets the deal, in terms of fixed price projects. The sum for which the customer buys a contractor is including risk calculations and fee margins leading to the percentage margin can be quite high. It is up to the contractor to perform the work with the money which they have been bought. If the construction costs run high, the contractor still does not get paid more. If it costs less, the contractor saves more money than planned.In a partnering project, the contract sum is stated between the two parties and a reasonable percentage are generated as a fee for the contractor. The contractor earns this amount regardless of production cost. This can differentiate the total percentage of earnings, if it will be greater or less than expected. The incentive is to create as good a product as possible and at the same time reduce production costs. The arrangement is positive for both parties as a stable income comes to the contractor and the client is able to influence the project more. The benefits are greatest in larger, longer and more complex projects where the risk is greater.Stress generally decreases in partnering projects as it is based on creating one community and to helping each other. No conflicting discussions about whose fault it was but the focus is on how to solve the problem. This leads to an improved problem-solving process and an estimated reduction of Accidents & Incidents in the majority of individuals who are deeply familiar and accustomed to this type of partnering project.The financial incentive promotes a company that wants to increase the percentage of its earnings for its shareholders instead of those that focus on current sales and the money flow. It creates more satisfied customers who realize that the company is not wasteful of their money. This means that companies that are listed on the stock exchange market can possibly get better results from partnering.The conclusion is that the optimal projects for this type of cooperation are those with sales of more than 100 million SEK that last for a long time and have greater complexity. This is because smaller projects cannot use the systems which partnering has to offer because the project is already rounded off when the partnering is at its best. Partnering is a good, stable and secure form of cooperation for both client and contractor as it is a stable income for the contractor and that the client has a better opportunity to influence the project. This as well as the final cost for the client should be as low as possible.
| Identifer | oai:union.ndltd.org:UPSALLA1/oai:DiVA.org:oru-82743 |
| Date | January 2020 |
| Creators | Hagström, Linus, Pettersson, Per-Axel |
| Publisher | Örebro universitet, Institutionen för naturvetenskap och teknik, Örebro universitet, Institutionen för naturvetenskap och teknik |
| Source Sets | DiVA Archive at Upsalla University |
| Language | Swedish |
| Detected Language | English |
| Type | Student thesis, info:eu-repo/semantics/bachelorThesis, text |
| Format | application/pdf |
| Rights | info:eu-repo/semantics/openAccess |
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