Using the Balanced Scorecard as a Strategic Management System in the Libyan Construction Industry

Abstract

Libya is a developing country that has a growing construction industry, however, the management of construction projects frequently experiences challenges with time and cost restraints and this affects the overall performance of the project as well as the performance of the project managers. The main aim of this paper is to apply BSC in the Libyan construction industry and evaluate the factors that impact project manager performance and their ability to complete and deliver projects successfully in Libya. This study will ascertain the role of project managers, the challenges that project managers in Libya frequently encounter the cause of time and cost overruns within construction projects and the main factors for successful construction projects. This research adopted both quantitative and qualitative research methods. The findings are based upon 300 structured questionnaires distributed to general, project managers working on construction sectors in Libya (Tripoli). Completed questionnaires received were 183. This is a response rate of 61%. A statistical analysis was used to confirm and address the issues of reliability and validity of the questionnaire survey as a measuring instrument. In addition structured interviews with qualified project managers were used to confirm that the data collected were truly reflective. Upon the data analysis from the questionnaire survey and structured interview the project manager is the most important factor affecting the success of the project in construction industries Libya, furthermore project manager skills are important components that influence the performance of project manager.

The Effect of Risk Management Practices on Project Performance: A Case Study of the Libyan Construction Industry

“…The influence of response and monitoring of risks (RMP-RMR) on Libyan construction projects' performance was formulated through hypothesis 3, and it was found that discovered that RMP-RMR also gave positive impact on the construction projects' performance with corresponding values of β = 0.210, t =3.312, p <0.001. The effect of RMP-RMR was the improvement of performance by almost 21% which agreed with the findings of the study of ( (Nguyen & Watanabe (2017), Shibani and Gherbal (2018) and Marinich ( 2020)).…”

“…In conclusion the above findings supported ( (Shibani & Gherbal (2018), Marinich, (2020 and Ekung et al, (2021)) that the RM practices (RMP-RI, RMP-RA, and RMP-RMR) had positive effects on enhancing projects performance. By adopting these practices, the performance of the studied Libyan construction companies has increased to almost 83% overall.…”

“…There were several studies where construction firms' executive directors were the main respondents (e.g., , Shayan et al, 2019, Pirwani et al ,2020 among others. Some studies conducted in Africa found that the level of awareness of project managers about RM was low (Shibani & Gherbal, 2018, Al-Fakhri et al, 2018Shibani & Gherbal, 2018). Therefore it was expected that managers of construction companies would be more familiar with the level of RM practice in their firms and project performance.…”

The impact of strategic planning on enhancing the strategic performance of banks: evidence from Bahrain

“…These objectives are based on revenue growth, cost reduction and productivity improvement. They can usually be measured by return on investment, growth in sales or income, increase in market share, and economic value added (Kaplan & Norton, 1992;Kaplan & Norton, 2007;Shibani & Gherbal, 2018). This variable will be measured in the questionnaire by the questions from (1) to (4) in the financial section.…”

“…It reflects the organization's ability to attain customer satisfaction by achieving the appropriate quality and price. This perspective includes multiple performance dimensions such as customer satisfaction, customer retention, and customer profitability (Kaplan & Norton, 1992;Kaplan & Norton, 2007;Shibani & Gherbal, 2018). This variable will be measured in the questionnaire by the questions from (1) to (4) in the customer section.…”