The organization of project evaluation under competition

Abstract

This article examines the optimal organizational form of project evaluation under competition. The evaluations are carried out by two fallible screening units that sequentially assess projects. Screening can be organized as a hierarchy or a polyarchy. We show that as competitive pressure rises, the polyarchy becomes less attractive. Therefore, different organizational forms might be found in different industries depending on the degree of competition. In addition, we examine endogenous screening rules under competition: For symmetric situations, we show that polyarchies will employ higher decision thresholds compared to hierarchies. Nonetheless, as in the case of exogenous screening rules, the hierarchy becomes more attractive the higher the degree of competition.

Improving Construction Procurement Systems using Organizational Strategies

“…It is believed that this review would add value to the existing project-management body of knowledge (PMBOK) in construction by examining how these construction-procurement systems could be implemented through projectized and nonprojectized organizations. The purpose of examining the compatibility of these management strategies and organizational approaches is to improve the process of marshalling the adequate human, material, and financial resources [44], as well as to enhance organizational performance and capabilities [15,22,43,46]. Ultimately, it would provide a different perspective to the management organization of procurement systems in support of project effectiveness.…”