Examining the Correlation between Contractual Elements and Construction Project Performance; A Comprehensive Study of Case Studies in Educational Building Projects
Keywords:
educational building, higher education, construction contracts, project performance, stakeholdersAbstract
Buildings constitute the primary infrastructure supporting the effective execution of learning activities within higher education environments. The quality of these buildings is a paramount concern for all stakeholders involved. However, ensuring high-quality construction remains a challenge in building projects. Improving project performance requires construction contract documentation that comprehensively outlines the rights and responsibilities of the parties involved in the project. This research aims to identify the characteristics and relationships among contractual aspects, contract management, and project performance, focusing on improving the quality of construction projects, particularly within higher education institutions. This research applies an exploratory qualitative approach to achieve that goal. The data used results from structured interviews with stakeholders from five universities as study objects. The data processing stages consist of open coding, axial coding, and selective coding, as well as exploring the relationship between research variables using regression analysis. The study revealed three primary project characteristics in higher education institutions: contractual aspects, contract management, and project performance. Key elements within these groups include contract standards, organizational factors, and contract control. Notably, a significant negative correlation between contracts and project performance indicates that issues within contract-related aspects and management adversely impact project outcomes. The findings underscore the importance of effectively managing the involvement of multiple stakeholders in construction projects. Collaborative management between stakeholders and project management is essential for ensuring project success, particularly in quality monitoring, adherence to timelines, and profitability.
References
Asmawi, M. R. (2005). Strategi meningkatkan lulusan bermutu di perguruan tinggi. Makara Human Behavior Studies in Asia, 9(2), 66-71. https://doi.org/10.7454 /mssh.v9i2.124
Data Informasi APBN 2020 (2020): Pokok-pokok APBN 2020 “Akselerasi Daya Saing Melalui Inovasi Dan Penguatan Kualitas Sumber Daya Manusia”. Data diperoleh melalui situs internet https://www. kemenkeu.go.id/media/13730 /informasi-apbn-2020.pdf pada tanggal 29 April 2020.
Zou, P. X., Zhang, G., & Wang, J. (2007). Understanding the key risks in construction projects in China. International journal of project management, 25(6), 601-614. https://doi.org/ 10.1016/j.ijproman.2007.03.001
Burke, C. M., & Morley, M. J. (2016). On temporary organizations: A review, synthesis and research agenda. Human relations, 69(6), 1235-1258. https://doi.org/10.1177/0018726715610809
Vidal, L. A., Marle, F., & Bocquet, J. C. (2011). Measuring project complexity using the Analytic Hierarchy Process. International Journal of Project Management, 29(6), 718-727. https://doi.org/10.1016/ j.ijproman.2010.07.005
Vařbuchta, P., Kovářová, H., Hromádka, V., & Vítková, E. (2017, September). Risk variables in evaluation of transport projects. In IOP Conference Series: Materials Science and Engineering (Vol. 236, No. 1, p. 012112). IOP Publishing. https://doi.org/10.1088/1757899X /236/1/012112
Kermanshachi, S., & Safapour, E. (2019). Identification and quantification of project complexity from perspective of primary stakeholders in US construction projects. Journal of Civil Engineering and Management, 25(4), 380-398. https://doi.org/10.3846 /jcem.2019.8633
Abdou, S. M., Yong, K., & Othman, M. (2016). Project complexity influence on project management performance–The Malaysian perspective. In MATEC Web of Conferences (Vol. 66, p. 00065). EDP Sciences.
https://doi.org/10.1051/matecconf/20166600065
Hanák, T., & Vítková, E. (2022). Causes and effects of contract management problems: Case study of road construction. Frontiers in Built Environment, 8, 1009944. https://doi.org/10.3389/fbuil.2022.1009944
Laporan Kinerja Pelaksanaan Pinjaman dan/atau Hibah Luar Negeri Kementerian PPN/Bappenas Triwulan I-IV periode tahun 2018, data diperoleh melalui situs internet https://www.bappenas.go.id/id/data-dan-informasi- utama/publikasi/laporan-kinerja-pelaksanaan pinjamanhibah-luar-negeri/. Diunduh pada tanggal 01 Mei 2020.
Ekawati, N., Larasati, D., & Tirtadi, S. (2023). Identifikasi Hubungan antara Kontrak Pekerjaan Konstruksi Bangunan Gedung dan Kinerja Proyek. Jurnal Pengadaan Indonesia, 2(1), 37-45. https://doi.org/10.59034/jpi.v2i1.14
Suprapto, M., Bakker, H. L., Mooi, H. G., & Hertogh, M. J. (2016). How do contract types and incentives affect project performance? International journal of project management, 34(6), 1071-1087. https://doi.org/10.1016/ j.ijproman.2015.08.003
Gunduz, M., & Elsherbeny, H. A. (2020). Critical assessment of construction contract administration using fuzzy structural equation modelling. Engineering, Construction and Architectural Management, 27(6), 1233-1255. https://doi.org/10.1108/ECAM-05-2019-0246
He, Q., Wang, T., Chan, A. P., & Xu, J. (2021). Developing a list of key performance indicators for benchmarking the success of construction megaprojects. Journal of Construction Engineering and Management, 147(2), 04020164. https://doi.org/ 10.1061/(ASCE)CO.1943-7862.000195
Jagannathan, M., & Delhi, V. S. K. (2020). Litigation in construction contracts: Literature review. Journal of Legal Affairs and Dispute Resolution in Engineering and Construction, 12(1), 03119001. https://doi.org/10.1061/ (ASCE)LA.1943-4170.00003
Ke, Y., Ling, F. Y., & Zou, P. X. (2015). Effects of contract strategy on interpersonal relations and project outcomes of public-sector construction contracts in Australia. Journal of Management in Engineering, 31(4), 04014062. https://doi.org/10.1061 /(ASCE)ME.1943-5479.000027
Chinyio, E., & Olomolaiye, P. (Eds.). (2009). Construction stakeholder management. John Wiley & Sons.
Dosumu, O. S. (2018). Perceived effects of prevalent errors in contract documents on construction projects. Construction Economics and Building, 18(1), 1-26. https://doi.org/10.5130/AJCEB.v18i1.5663
Lowe, D. (2007). Contract management. The Wiley Guide to Project Technology, Supply Chain & Procurement Management, 317.
Fisk, E. R., & Reynolds, W. D. (2010). Construction project administration. New York: Wiley.
Freeman, R.E (1984): Strategic Management: A Stakeholder Approach, Pitman Series in Business and Public Policy, United States of America
Goldratt, E.M., & Cox, J. (1984): The Goal: A Process of Ongoing Improvement, The North River Press, Great Burrington
Pilcher, R. (1992): Principles of Construction Management, McGraw-Hill Publishing Company Limited, England
Fleming, Q.W., & Koppelman, J.M. (2010): Earned Value Project Management, Project Management Institute
Pryke, S. (2012): Social Network Analysis in Construction, Wiley-Blackwell
Kerzner, H. (2017): Project Management: A Systems Approach to Planning, Scheduling, and Controlling, PMBOK and the Project Management Professional (PMP), 12th ed
Chan, A. P., & Chan, A. P. (2004). Key performance indicators for measuring construction success. Benchmarking: an international journal, 11(2), 203-221. https://doi.org/10.1108/14635770410532624
Takim, R., & Akintoye, A. (2002, September). Performance indicators for successful construction project performance. In 18th Annual ARCOM Conference (Vol. 2, No. 4)
Banihashemi, S. A., Khalilzadeh, M., Shahraki, A., Malkhalifeh, M. R., & Ahmadizadeh, S. S. R. (2021). Optimization of environmental impacts of construction projects: a time–cost–quality trade-off approach. International Journal of Environmental Science and Technology, 18, 631-646. https://doi.org/10.1007/s13762-020-02838-2
Creswell, J.W. (2014): Research Design: Qualitative, Quantitative, Mixed Methods Approaches, Sage Publications, Inc., Singapore, 4th ed.
Sekaran, U (2003): Research Methods For Business: A Skill-Building Approach, John Wiley & Son, Inc., United States of America, 4th ed.
Undang-Undang Republik Indonesia Nomor 12 Tahun 2012 (2012): Pendidikan Tinggi. Diundangkan di Jakarta pada tanggal 10 Agustus 2012.
Creswell, J.W. (2014): Educational Research: Planning, Conducting and Evaluating Quantitative and Qualitative Research, Pearson Education Limited, United Kingdom, 4th ed.
Rameezdeen, R., & Rajapakse, C. (2007). Contract interpretation: the impact of readability. Construction Management and Economics, 25(7), 729-737. https://doi.org/10.1080/01446190601099228
Cho, K., Hong, T., & Hyun, C. (2009). Effect of project characteristics on project performance in construction projects based on structural equation model. Expert systems with applications, 36(7), 10461-10470. https://doi.org/10.1016/j.eswa.2009.01.032
Hyari, K. H., Shatarat, N., & Khalafallah, A. (2017). Handling risks of quantity variations in unit-price contracts. Journal of construction engineering and management, 143(10), 04017079. https://doi.org/10.1061/ (ASCE)CO.1943-7862.0001393
Abdul-Malak, M. A. U., & Hamie, J. M. (2019). Proposed framework for the rendering of construction contract document interpretations by engineering professionals. Journal of Legal Affairs and Dispute Resolution in Engineering and Construction, 11(3), 04519016. https://doi.org/ 10.1061/(ASCE)LA.1943-4170.0000305
Yang, J., Shen, G. Q., Ho, M., Drew, D. S., & Chan, A. P. (2009). Exploring critical success factors for stakeholder management in construction projects. Journal of civil engineering and management, 15(4), 337-348. https://doi.org/ 0.3846/1392-3730.2009.15.337-348
Yang, R. J., & Shen, G. Q. (2015). Framework for stakeholder management in construction projects. Journal of Management in Engineering, 31(4), 04014064. https://doi.org/10.1061/(ASCE)ME. 1943-5479.0000285
Yang, J., Shen, Q., & Ho, M. (2009). An overview of previous studies in stakeholder management and its implications for the construction industry. Journal of Facilities Management, 7(2), 159-175. https://doi.org/ 10.1108/14725960910952532
Celoza, A., Leite, F., & de Oliveira, D. P. (2021). Impact of BIM-related contract factors on project performance. Journal of Legal Affairs and Dispute Resolution in Engineering and Construction, 13(3), 04521011. https://doi.org/10.1061/(ASCE)LA.1943-4170.0000478
Xie, H., & Liu, H. (2017). Studying contract provisions of shared responsibilities for integrated project delivery under national and international standard forms. Journal of Legal Affairs and Dispute Resolution in Engineering and Construction, 9(3), 04517009. https://doi.org/ 10.1061/(ASCE)LA.1943-4170.0000220
Yana, A. G. A., Rusdhi, H. A., & Wibowo, M. A. (2015). Analysis of factors affecting design changes in construction projects with Partial Least Square (PLS). Procedia Engineering, 125, 40-45. https://doi.org/10.1016 /j.proeng.2015.11.007
Dosumu, O., Idoro, G., & Onukwube, H. (2017).
Causes of errors in construction contract
documents in Southwestern Nigeria. Journal of
Construction Business and Management, 1(2),
-23. https://doi.org/10.15641/jcbm.1.2.59
Kar, S., & Jha, K. N. (2020). Examining the effect
of material management issues on the schedule
and cost performance of construction projects
based on a structural equation model: Survey of
Indian experiences. Journal of Construction
Engineering and Management, 146(9), 05020011. https://doi.org/10.1061/(ASCE)CO.1943-7862.0001906
Noor, R., Harianto, F., & Susanti, E. (2018). Karakteristik Kecelakaan Kerja Pada Pelaksanaan Proyek Konstruksi di Surabaya. Proceeding SNTEKPAN, Proceeding, 1-10.
Andi, A., Alifen, R. S., & Chandra, A. (2005). Model persamaan struktural pengaruh budaya keselamatan kerja pada perilaku pekerja di proyek konstruksi. Jurnal Teknik Sipil ITB, 12(3), 127-136.
Halou, M., Samin, R., & Ahmad, M. (2019).
Impacts of change management on risk and cost
management of construction projects. Journal of
Project Management, 4(2), 157-164. https://doi.org/10.5267/j.jpm.2019.1.005
Wawak, S., Ljevo, Ž., & Vukomanović, M. (2020). Understanding the key quality factors in construction projects—A systematic literature review. Sustainability, 12(24), 10376. https://doi.org/ 10.3390/su122410376
Wu, G., Liu, C., Zhao, X., Zuo, J., & Zheng, J. (2022). Effects of fairness perceptions on conflicts and project performance in Chinese megaprojects. International journal of construction management, 22(5), 832-848. https://doi.org/10.1080/15623599.2019.1652952
Meng, X. (2012). The effect of relationship management on project performance in construction. International journal of project management, 30(2), 188-198. https://doi.org/10.1016/j.ijproman.2011.04.002
Alshihre, F., Chinyio, E., Nzekwe-Excel, C., & Daniel, E. I. (2020). Improving clients’ satisfaction in construction projects: the case of Saudi Arabia. Built Environment Project and Asset Management, 10(5), 709-723. https://doi.org/10.1108/BEPAM-12-2019-0140
Moradi, S., Ansari, R., & Taherkhani, R. (2022). A systematic analysis of construction performance management: Key performance indicators from 2000 to 2020. Iranian Journal of Science and Technology, Transactions of Civil Engineering, 1-17. https://doi.org/10.1007/s40996-021-00626-7
Engebø, A., Lædre, O., Young, B., Larssen, P. F., Lohne, J., & Klakegg, O. J. (2020). Collaborative project delivery methods: A scoping review. https://doi.org/ 10.3846/jcem.2020.12186
Gao, S., Low, S. P., & Lee, S. X. X. (2021). Impact of familiar collaboration on construction project quality: perceptions from clients and contractors in Singapore's construction industry. The TQM Journal, 33(2), 338-357. https://doi.org/10.1108/tqm-03-2020-0040
Cleary, J. P., & Lamanna, A. J. (2022). Correlation of Construction Performance Indicators and Project Success in a Portfolio of Building Projects. Buildings, 12(7), 957. https://doi.org/10.3390 /buildings12070957
Jahan, S., Khan, K. I. A., Thaheem, M. J., Ullah, F., Alqurashi, M., & Alsulami, B. T. (2022). Modeling profitability-influencing risk factors for construction projects: A system dynamics approach. Buildings, 12(6), 701. https://doi.org/10.3390/buildings12060701
Kaufmann, C., & Kock, A. (2022). Does project management matter? The relationship between project management effort, complexity, and profitability. International Journal of Project Management, 40(6), 624-633. https://doi.org/10.1016/ j.ijproman.2022.05.007
