Building partnerships: case studies of clientcontractor collaboration in the UK construction industry

Bresnen, Mike; Marshall, Nicholas

doi:10.1080/014461900433104

Cited by 223 publications

(160 citation statements)

References 12 publications

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“…(Mason, 2007). Absence of a systemic approach to partnership affects strongly the ability to put the rhetoric of collaboration into practice (Bresnen and Marshall, 2000). It is not enough to 'play nice', collaboration only works when there is a change in the way work is done.…”

Section: Systemic Approach -Operating Systemmentioning

confidence: 99%

“…Target cost contracts often support partnering and/or alliance agreements with contractors (Bresnen and Marshall, 2000;Eriksson and Pesamaa, 2007;Lahdenperä, 2009;Bajari and Tadelis, 2001). In partnering arrangements a compensation based on financial incentives is believed to be important as it is supposed to allow all participating actors to gain the benefits of increased cooperation and integration between design and construction (Egan, 1998;Bayliss et al, 2004).…”

Section: Target Costing In Constructionmentioning

confidence: 99%

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

Zimina

Ballard

Pasquire

2012

Construction Management and Economics

189

143

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Target Costing is an effective management technique that has been used in manufacturing for decades to achieve cost predictability during new products 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. In this paper 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 uses 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 projects outcomes.Keywords: target cost, lean construction, cost planning, target value design. IntroductionTarget Costing (TC) appeared in the manufacturing industry in the early 1930s (Feil et al., 2004) and has proved to be a powerful strategic instrument for management and profit planning (Cooper and Kaplan, 1999). Since then it has been used in manufacturing to achieve cost predictability during new product development so that new products and services both meet market determined price and provide financial returns. The main principle of Target Costing is to make cost and value drive the design process instead of calculating the cost after design is complete.Similarity in manufacturing product development and construction project delivery processes opens an opportunity for Target Costing in construction. However in spite of potential benefits there is no evidence of this practice being taken up by the industry of Europe or the USA. In Japan about 15% of construction companies use Target Costing from manufacturing (Jacomit et al., 2008). Academic literature provides only scarce reports on theoretical and practical issues of the method (Nicolini, 2000;Pennanen et al., 2010;Knott, 1996).Insights into the adaptation of the manufacturing Target Costing method to the project-based environment of construction can be drawn directly from 12 practical cases of Target Value Design (TVD). TVD takes a view of construction as a complex system which includes project definition, design and construction stages. It correlates closely with lean thinking in design and construction.Many construction cost and project management practices already use "target costing" terminology or repeat TVD in some part of the process. "Target costing" stands for a range of techniques and methods applied ...

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Section: Systemic Approach -Operating Systemmentioning

confidence: 99%

Section: Target Costing In Constructionmentioning

confidence: 99%

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

Zimina

Ballard

Pasquire

2012

Construction Management and Economics

189

143

View full text Add to dashboard Cite

show abstract

“…In the middle of 90's, as a result of a series of high-profile investigations of the shortcomings of traditional procurement, the British government started close collaboration with the industry and introduced partnering to counteract the inability of the British construction industry that was unable to fulfil the requirements that client organisations demanded due to economically adverse development within construction industry [2,5,6]. Partnering is now used in Great Britain in most contracts which are financed by state funds.…”

Section: A Great Britainmentioning

confidence: 99%

Effective Winter Highway Maintenance through Application of Partnering Concept

Abdi

Lind

Birgisson

2013

IJEME

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Abstract-In many countries winter road maintenance is outsourced to private contractors. Selecting appropriate contract for performance of winter highway maintenance and implementing it in an efficient way is then very important for both results and costs. Writing contracts concerning winter road maintenance is however difficult as weather conditions are hard to describe in an exact way and as what is rational to do in a certain situation, depends on expected future conditions. Problems during recent harsh winters in Sweden have clearly illustrated this. The study argues, with reference both to theoretical and empirical studies, that a partnering concept can improve efficiency in outsourced winter road maintenance. A detailed model of how partnering can be implemented is presented for winter road maintenance contracts together with systems for information supply such as International Roughness Index -surface unevenness measurement and Road Weather Information System.

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“…Therefore, incentive mechanism is considered as an important means to enhance cooperation and supplier development (Mead and Gruneberg, 2013). Besides, leadership, training, coordination, and other measures are also important for forming cooperative relations in construction projects (Tang et al, 2006;Bresnen and Marshall, 2000).…”

Section: Introductionmentioning

confidence: 99%

Supplier development and its incentives in infrastructure mega-projects: A case study on Hong Kong–Zhuhai–Macao Bridge project

Wei¹,

Zhang²,

Wang³

et al. 2018

Front Eng manag

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In this paper the Hong Kong-Zhuhai-Macao Bridge project is taken as a case to analyze supplier development in infrastructure mega-projects. Compared with manufacturing industry, the characteristics of supplier development in infrastructure mega-projects is analyzed in term of development motives, supplier selection, quality management, production mode, owner participation and risks. The critical factors influencing the construction supplier development are identified, which include incentives, collaboration, future market, trust and bilateral communication. Furthermore, focusing on the incentives for the supplier's product quality and production capacity improvement, decision-making framework models are proposed to design the incentive mechanisms.

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Building partnerships: case studies of clientcontractor collaboration in the UK construction industry

Cited by 223 publications

References 12 publications

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

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

Effective Winter Highway Maintenance through Application of Partnering Concept

Supplier development and its incentives in infrastructure mega-projects: A case study on Hong Kong–Zhuhai–Macao Bridge project

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