Journal of Construction Engineering and Management

Lessons are drawn from the recent resurgence in public-private partnerships for the procurement of large scale infrastructure, with a focus on Asian megaprojects. BOT (build-operate-transfer)-type win-win cooperation aligns well with the paradigm shift that has repeatedly been called for in addressing construction industry shortfalls. However, the many volatile variables involved and the limited experience in dealing with the special risks encountered highlights the need for decision support frameworks to evaluate and select the optimal from among: (1) potential BOT-type projects; (2) prospective franchisees; and (3) innovative project financing packages. Such frameworks should include appropriate success criteria and indicators for their evaluation. Benchmarking of good practices would establish reasonable ranges of values for such indicators. Identification of critical success factors, classifications of common risks, and comparisons of recent experiences on BOT-type projects lead to recommendations for the development of a “BOT body of knowledge” with related guidelines and toolkits. These would assist both public and private sector decision makers considering BOT-type modalities to attain multiple win-win-win targets that benefit their respective interests, as well as those of the general public end users.

Multiskilling is a workforce strategy that has been shown to reduce indirect labor costs, improve productivity, and reduce turnover. A multiskilled workforce is one in which the workers possess a range of skills that allow them to participate in more than one work process. In practice, they may work across craft boundaries. The success of multiskilling greatly relies on the foreman’s ability to assign workers to appropriate tasks and to compose crews effectively. The foreman assigns tasks to workers according to their knowledge, capabilities, and experience on former projects. This research investigated the mechanics of allocating a multiskilled workforce and developed a linear programming model to help optimize the multiskilled workforce assignment and allocation process in a construction project, or between the projects of one company. It is concluded that the model will be most useful in conditions where full employment does not exist; however, it is also useful for short term allocation decisions. By running the model for various simulated scenarios, additional observations were made. For example, it is concluded that, for a capital project, the benefits of multiskilling are marginal beyond approximately a 20% concentration of multiskilled workers in a project workforce. Benefits to workers themselves become marginal after acquiring competency in two or three crafts. These observations have been confirmed by field experience. Extension of this model to allocation of multifunctional resources, such as construction equipment, should also be possible.

Concession agreement is one of the infrastructure privatization models. In Asia, the rise of concession projects began in the 1980s, and the number of such projects continues to grow. This research provides an overview and detailed analysis of the Asian concession market. Eighty-seven concession projects awarded between 1985 and 1998 covering 12 Asian countries were examined. Findings show that Asia has been implementing concession models actively in response to the high demand of infrastructure development in the power, transportation, and water sectors. Approximately 30% of the total concession projects had disappointing performances resulting in financial loss, cancellation, delay, and suspension of the project.

The timely execution of a construction project is very important to the owner, who makes plans and commitments on the basis of the project’s anticipated completion date. Failure of design professionals to consider how a builder will implement the design can result in scheduling problems, delays, and disputes during the construction process. Constructability of design is a subjective scale that depends basically on a number of interdependent project-related factors. Many design firms have a formal (explicit) constructability program that is launched as early as the conceptual planning stage of the project. This research examines design professionals’ efforts to pursue constructability and provides recommendations for performing constructability reviews in an efficient and effective manner.

Contracting on government construction projects has historically been structured and adversarial. The decade of the 1990s saw the advent of a new attitude in government contracting that emulated success stories from the private sector. After witnessing several high-profile success stories such as constructing the Atlanta Olympic Park, the government embraced the concept of partnering as a primary method of contract administration. The private sector consistently demonstrated an ability to contract for services while realizing a marked decrease in claims and litigation costs with partnering. Their success was founded in the building of trust within the project team by creating a common bond between previously dissociated parties. This was achieved through developing a mutual understanding of the other parties’ interests and goals in the project while maintaining a team focus on the ultimate goal of a successful project. The government espied partnering as a way to improve its relationships with contractors and reduce the volume of litigation that seemed to only be increasing in the industry. The government began a paradigm shift by instilling a new attitude of openness and communication with contractors as well as implementing several broad contract administration changes. This paper examines the process of partnering, its key elements and core competencies, and how various agencies apply these principles in their construction management. The paper further researches stakeholder goals and important issues when entering into a partnering relationship on government contracts and what barriers are perceived that preclude the process from working as effectively as possible.

Optimization problems in construction scheduling, such as time-cost optimization, can be effectively solved using genetic algorithms (GAs). This paper presents an approach that makes GA-based time-cost optimization viable for real world problems. Practicability is incorporated through the integration of a project management system to the GA system. The approach takes advantage of the powerful scheduling functionality of the project management system in evaluating project completion dates during optimization. The approach ensures that all scheduling parameters, including activity relationships, lags, calendars, constraints, resources, and progress, are considered in determining the project completion date, thus allowing comprehensive and realistic evaluations to be made during optimization.

Variability is common on construction projects and must be managed effectively. New management thinking, like that of lean production, has suggested that better labor and cost performance can be achieved by reducing output variability. Efforts to utilize lean thinking in construction, so far, have generated limited evidence to support this claim. This paper investigates the relationship between variability and project performance to test the notion that reducing output variability will result in improved labor performance. Using productivity data from concrete formwork activities on multiple projects, various measures of output variability are tested against construction performance. It is shown that variability in output is inevitable and that there is little correlation between output variability and project performance, but that variability in labor productivity is closely correlated to project performance. It is concluded that lean improvement initiatives should be redirected to adaptable workforce management capabilities to reduce variability in labor productivity instead of output in order to improve project performance.

A significant realignment of risks between project participants is a fundamental facet of the new procurement paradigm of BOT (build-operate-transfer). A BOT concessionaire assumes far more and deeper risks than a contractor. One critical contributor to the success of a BOT project is the selection of an appropriate concessionaire who has the necessary capacity to provide the best overall deal throughout the build-operate-transfer process. However, various BOT-type procurement protocols are not yet proven and are still being tried and tested. Many countries are at the lower ends of their learning curves. Therefore, there is a need to benchmark the best practices that have been emerging. The Hong Kong government has developed a well-structured concessionaire selection framework supported by the Kepner-Tregoe decision analysis technique. This paper analyzes and draws experiences and lessons from this concessionaire selection practice. Current concessionaire selection practices worldwide are also discussed with a view to improve the procurement process of regions lacking in such experiences or expertise.

This paper describes a computer-based system for construction quality management. The system tasks are derived from the elements of ISO 9001 standard and designed to integrate with other computer-aided project management functions. They can assist management in (1) the definition of requirements/criteria for design, construction, and quality management; (2) the development of inspection and test plans; (3) the tracking of actual inspection/test results; (4) the verification of their conformance to defined criteria; (5) the documentation of past experience in the form of standard templates for assisting the tasks involved; and (6) the generation of reports. A model was defined for representing the information used in the system tasks. The central role of the inspection and test plan representation was exploited to associate to construction components and processes, relevant inspections/tests, requirements/criteria, actual results, and nonconformance analyses. Templates were devised to enable the reuse of predefined packages of information, which recur from project to project. The developed system will render the assisted quality management tasks more effective. Its use was tested on data from different construction domains.

This paper discusses a new approach that will facilitate the use of simulation in the construction industry. Previous attempts in this regard have been hampered by the gap between the user and the simulation software, the power and flexibility of available tools, and the readiness of industry. A comprehensive new approach (referred to as the Unified Modeling Methodology), which addresses the complete needs of the construction simulationist, is detailed. It is based on several state-of-the-art concepts in addition to newly developed ones. This methodology also describes how all of these concepts can be combined together using object oriented principles. The methodology was used in the development of a complete simulation tool development and utilization environment called Simphony. Several case studies were performed to illustrate the advantages of the new approach.

The purpose of this paper is twofold: (1) to determine jobs/tasks associated with current injury, illness, and fatality trends in the mechanical contracting branches of the construction industry; and (2) to identify current safety practices associated with the reduction of risk of these injuries, illnesses, and fatalities. To achieve the project objectives, a survey was designed and sent to Michigan mechanical contractors. To design an adequate survey, the research team first collected background information using U.S. Bureau of Labor Statistics online database, published research, and contractor interviews. Fourteen of the 50 mechanical contracting surveys distributed were completed. The pilot study found eye injuries due to grinding and welding and upper extremity cuts due to sheet metal to be the most frequent mechanical contracting task/injury combination.