Assessment framework for construction supply chain relationships: Development and evaluation

The change of supply chain relationships from the traditional adversarial to the collaborative has been increasing in the UK construction industry. To reflect this change, some attempts have been made to establish models for measuring and improving supply chain relationships in construction. However, there are obvious deficiencies in these existing models. This highlights the need for a systematic model for the assessment of construction supply chain relationships. Based on a review of the literature and an expert group discussion, an assessment framework is developed in this paper, which consists of assessment criteria, relationship levels, detailed descriptions, assessment classes and assessment procedures. The proposed framework is evaluated through expert interviews and case studies. This framework provides a roadmap for the improvement of supply chain relationships. It can help construction organisations to position their current relationship and identify key areas for relationship improvement in the future.

The effect of relationship management on project performance in construction

Few studies to date have paid attention to relationship management when addressing performance problems. To bridge the knowledge gap, a questionnaire survey is conducted to analyze the impact of relationship management on project performance in construction. The analysis reveals that the deterioration of working relationships may increase the likelihood of poor performance. Poor performance can be effectively reduced by improving some aspects of working relationships. Collaborative working contributes to performance improvement, in which long-term collaboration is more effective than short-term collaboration. In addition to the questionnaire survey, a series of expert interviews provide a deeper insight into effective relationship management.

Cross-Cultural Intelligence (CQ): its impact on British Expatriates Adjustment in International Construction Projects

Purpose: The purpose of this paper is to investigate the relationship between the facets of cultural intelligence (CQ) (cognitive, meta-cognitive, motivational and behavioural) and the dimensions of cross-cultural adjustment (interaction, general and work adjustment).

Design/methodology/approach: Interviews and questionnaire survey were carried out with British expatriates from the architectural, engineering and construction sector. A total of 191 respondents, with experience from 29 different countries, actively participated in this research. Structural equation model was subsequently developed to investigate the relationship between elements of CQ and cross-cultural adjustment.

Findings: Results of structural equation modelling revealed that collectively all the four aspects of CQ have significant influence on general, interaction and work adjustment, particularly motivational and cognitive CQ. Cognitive CQ which empowers the expatriates with in-depth knowledge about different cultures was a significant predictor of interaction and work adjustment, whereas, motivational CQ is a significant predictor for general and work adjustment. However, no support was gathered for meta-cognitive and behavioural aspects of CQ.

Practical implications: Globally, construction companies and projects are entering an era of increased internationalisation which has prompted the migration/promotion of British construction professionals to different parts of the world for their specialised capabilities and skills. Thus, it is of utmost importance that these professionals adjust to their new world of varied culture and still be productive in their work.

Originality/value: An understanding of these essential factors can actually help British construction organisations to select and mentor individuals and to provide necessary training for successful international assignments.

Linking response strategies adopted by construction firms during the 2007 economic recession to Porter’s generic strategies

The time period bridging the years 2007 to 2012 will be remembered as one characterised by dramatic changes in the Irish and UK construction industries. Construction companies witnessed unprecedented changes in the environment, namely the coincidence of a sharp economic downturn, the significant decline of public works, a reduction in lending, increased competition, and structural changes in the marketplace. Nevertheless, little has been documented on what response strategies construction companies adopt as a result of an economic recession. Based on four exploratory case studies, a taxonomy framework of the response strategies adopted by Irish and UK construction companies during the 2007 economic recession was developed relative to Porter’s (1980) generic strategies of cost leadership, differentiation, and focus. Porter’s model (1980) is a well known theoretical framework among business strategists and industrial economists worldwide. The analysis provides strong support for the adoption of cost leadership strategies as a means to surviving the 2007 economic recession. The case studies further suggest that cost control initiatives are one of the most important attributes in companies’ responses to the 2007 recession. The findings provide valuable assistance for construction contractors in developing effective strategies and thus reducing business failures during recessionary periods.

From Crisis to Opportunity: Turnaround Strategies of Large Irish Construction Contractors During the Period 2007-2015.

The sudden change in environmental munificence level in the construction sector
during the period 2007 – 2015 provides a natural experiment to investigate strategic
and operating actions of firms, particularly during an environmental jolt. Statistics on
business failures corroborate that neither academics nor practitioners have succeeded
in guiding strategic action during periods of environmental jolt. Despite the recent
increase of turnaround research in the general management domain, its use in the
construction management realm remains underexplored. To address this research
gap, five exploratory case studies of an ongoing PhD study were used to examine the
turnaround strategies of construction contractors during a period of economic
contraction and growth. The findings show that, although retrenchment is often
considered to be a short-term strategy, this is clearly not the case; with the majority of
contractors maintaining the strategy for 6-7 years. During the same period,
internationalization became critical, with the turnaround process shifting towards
strategic reorientation that altered the firms' market domain. The case studies further
suggest that strategic and operational actions resonate quite well with contemporary
practice-based approaches to strategy making. The findings provide valuable
assistance for construction contractors in dealing with organisational decline and in
developing a successful turnaround response.