Integrated project delivery (IPD) in Norwegian construction projects : Sharing of risk and opportunities aiming at better cooperation and project achievement

Master's thesis Industrial Economics and Technology Management IND590 - University of Agder 2018 In the architecture, engineering and construction (AEC) industry projects are often temporary in nature and are often characterised as PBO project-based organisations. Each project chooses a number of strategies which makes up a project development model. Traditionally models have focused on transactional contracting between actors in the value chain which opens up the way, for sub-optimisation and risk aversion as the common challenges. In such circumstances, each actor has a different perception of the aim and the success of the project, and so try to find ways to take the lowest risk and gain…

Overcoming the principal-agent problem: The need for alignment of tools and methods in collaborative project delivery

Comparative Analysis of Mega Road Construction Projects in Term of Innovation

Purpose This paper examines, using critical realism, the causes and mechanisms of innovation in three civil road construction projects. Its focus is to examine how value can be created within the design process through innovation. Emphasis is placed on Best Value Procurement (BVP) as a procurement strategy where the preferred contractor is considered the expert, as it is the first case of its use in Norwegian road construction projects. Data was collected through surveys and interviews. Findings indicate that procurement using early involvement is innovative in the design process yet must be adapted, to allow for early planning of innovative ideas that help, to foster innovative solutions. …

A critical perspective on Integrated Project Delivery (IPD) applied in a Norwegian public hospital project

Does the IPD concept deliver as required and expected, and if not, how can that be explained? This paper is a critical realist inspired methodology based on a combination of the inductive and deductive approaches used in case study research. IPD is based on relational contracting between multiple parties, in this case between the Owner, Contractor, MEP subcontractors and a group of Consulting engineers who share control of the project. At the core of the concept is shared risk and opportunities among the parties in the IPD contract. Our theoretical perspectives are based mainly on the Principal-Agent theory (PA), Transaction Cost theory (TC), and its related incentives. This paper reports o…

How relational contract theory influence management strategies and project outcomes: a systematic literature review

Despite growing interest in Relational Contracting (RC), few studies have comprehensively investigated the qualities required for a successful RC project. Macneil’s ten norms are principles of behaviour in contracts based on the application of relational contract theory and play an essential role in the formation and agreement of parties and their commitment to means and objectives. In contributing a missing dimension to the RC approach in construction, the purpose of this research is to conduct a systematic review of studies of relational contracting to answer the question: In what ways can the influence of RC theory be observed in the management strategies and outcomes of relational proje…