Balancing value creating logics in construction

Construction companies apply different logics to create value. Some companies are organized according to one primary logic, while others are based on multiple logics. Different value creating logics have different cost and value drivers according to the type of activities involved and the interdependencies between them. Where multiple logics coexist, the different cost and value drivers may generate tensions. The purpose of the paper is to study how construction companies maintain a balance between multiple logics and how they handle tensions between them through a case study from the Norwegian construction industry. Both project management and supply chain management perspectives have been used to explain construction practice. By applying a ‘value configuration analysis’, it is clear how value creation is achieved in construction practice by balancing the needs of both the project and the supply chain. Both intra‐ and inter‐organizational interactions are vital in creating value across different logics. The contribution of the study lies in applying this framework to the construction area by adding knowledge about the underlying principles of different logics, including the tensions between them. Furthermore, the case study illustrates how these may be handled in order to create value in construction.     

How do project management competencies change within the project management career model in large Chinese construction companies?

Due to the increasing complexity and flexibility of business activities, project-based organizations have become common. In such organizations, project management competencies, which refer to a collection of knowledge, personal attitudes, skills, and relevant experience, are core assets that must be taken seriously. Formalized project management career paths have been widely implemented in the construction industry. However, most recent studies treat project management competencies as static constructs and fail to consider their dynamic changes as a career path advances. To fill this gap in the literature, this study conducted an empirical examination of project management competencies integrated with a career model for the construction industry. First, key project management competencies are identified through a literature review. Then, a project management career model for large Chinese construction companies is developed based on an empirical investigation of six large Chinese construction companies from various sectors. Moreover, a quantitative analysis is performed to explore how these competencies dynamically change as position levels rise in the career model. The research findings indicate that significant differences in project management competencies exist at different levels of the career model. However, the distribution remains steady at different project management position levels for conceptual and organizational competencies, human competencies, and technical competencies.     

Enhancing value co-creation in professional service projects: The roles of professionals,clients and their effective interactions

Projects are value creation mechanisms for organizations. In this paper, we build on service-dominant logic theory to theorize how value is perceived and co-created by service providers and clients in professional service projects. From two studies, we found that for service providers to create their value, particularly non-monetary value (e.g., enhanced reputation), client values (e.g., solving a business problem) must first be generated. The results further highlight the importance of reciprocal interactions between service providers and their clients in co-creating value for both parties. Service providers' professional knowledge and competence and their clients' levels of professional knowledge and motivation to interact are critical to enable effective interactions. However, the influence of service providers' professional ethics and clients' trust in professionals on project value co-creation is more complex than theoretically predicted. This paper advances the project value creation literature by providing a more holistic view of what value means for different stakeholders, how it is created, and by whom.     

Perceptions of owners in German construction projects: congruence with project risk theory

The construction industry is a major user of formal project risk management practices, yet risk is often dealt with inadequately, which is a contributory factor to poor performance. Conceptual developments propose a holistic view of risk incorporating threats and opportunities and the management of uncertainty. To optimize a risk management process there needs to be a reflection of this holistic view in management practice. A key project participant is the owner and understanding the perceptions of project risk of construction owners is an important step in assessing the degree to which practices reflect theory. Semi‐structured interviews were conducted with 10 practitioners in German construction owner organizations to explore their perceptions of project risk. The results showed no common definition of project risk and a general belief that risk equated to threat. Some owners did manage opportunities and saw a link between threats and opportunities, yet this practice seemed more the result of experience than an awareness that it was an integral part of a theoretical risk management framework. Most owners perceived risk to encompass uncertainty and the sources of uncertainty perceived as most important were those linked to a longer timescale, such as the ability to let out buildings.     

Megaprojects as organizational platforms and technology platforms for value creation

Megaprojects are multi-actor and multi-technology constellations that create value for society. Previous research on joint and coordinated activities to create value for multiple actors in megaprojects over system lifecycle is scarce. This study explores how the actors in a megaproject jointly create value. We analyze value creation in megaprojects by theorizing on the research on organizational platforms, which draws together knowledge from research on other types of platforms, ecosystems and networks. In our empirical study, we analyze a city district renewal megaproject, by focusing on the actors' joint activities that contribute to synergetic project processes, solutions and outcomes both tangible and intangible that participating actors find beneficial. We derive five propositions that explain how actors in a megaproject create value through jointly planned and governed design principles, and through value-leveraging activities. Jointly planned and governed design principles include inter-organizational coordinating bodies and joint activities that share ownership and decision-making. In value-leveraging activities, leader actors facilitate megaproject actors' competition and value capture that determine most suitable participants to value-creating activities.     

Toward a model of socializing project team members: An integrative approach

Project work is becoming more and more important in everyday business, as is staffing the right newcomers for the project. Recognizing that not all new project team workers possess equally important specific knowledge, skills and abilities for the success of projects, we draw on project management, human resource management, and organizational socialization literature to develop a framework on how new project team members might be socialized, depending on their strategic value for the project. We specifically draw on the socialization tactics literature and propose how four categories of new employees – Internal specialists, External specialists, External generalists and Internal generalists; based on two dimensions – work task complexity and employment mode, can be socialized more effectively. Implications for theory and practice are discussed as well.     

Managing construction project change: a knowledge management perspective

In the information age, organization theories have addressed problem‐solving as an information‐processing activity. However, in this era, with the realization of knowledge‐based views of the organization, shared problem‐solving is increasingly recognized as a knowledge creation trigger. During shared problem‐solving, stakeholders bring different types of knowledge into the problem situation and it is captured, created and shared by the team members. In construction projects, shared problem‐solving often takes place through pragmatic problem‐solving on site, in particular, through managing project changes. However, this significant role of knowledge in managing project change is not well appreciated in the extant literature. Accordingly, to explore how knowledge is created during project changes in construction a case study approach was adopted using two change events in two collaborative settings within the UK construction industry. The case study findings revealed that different forms of knowledge are created during the project change process within construction projects. However, this knowledge remains largely tacit and does not disseminate to the wider organization due to imbalanced codification and personalization strategies existing in such settings. A knowledge management perspective is introduced to manage project change so that construction project teams can successfully resolve and learn from change events.     

Exploring the dynamics of project management office and portfolio management co-evolution: A routine lens

This paper addresses a recurrent topic of organizational project management (OPM) research: Project Management Offices (PMOs) are perceived to be instrumental in implementing strategy through portfolios of projects, but empirical evidence also shows that PMOs are often short-lived and their value is hard to quantify. We argue that an explanation may lie in the processes of co-evolution that PMOs undergo over time in interaction with organizational capabilities and context. We adopt an innovative research frame in the context of OPM research, using process theories of change and routines as a lens to investigate the co-evolution of PMO and Portfolio Management. A conceptual framework is suggested and we use an empirical case study to test and refine it. We discuss the theoretical implications of the findings and highlight the contributions made in supporting, adding, articulating and contrasting extant literature. We conclude the paper underlining paths for further researches.     

Project value as practice: Interactive valuation practices in architectural design projects

In project research, value has been conceptualized either as something subjective in peoples’ minds or as an objective reality. However, in practice, project actors encounter, express, and negotiate value both subjectively (e.g., as ideals and beliefs) and objectively (e.g., as the price) depending on the evolving circumstances of real-life situations. To capture the project value phenomenon from project actors’ perspective, we adopt a projects-as-practice approach on project value, which puts the emphasis on the activity, process or practice of valuation rather than on value as something in itself. This suggests that project value must be understood with a focus on valuation practices, through which various project actors express what they value, and through which they evaluate the alternative ways of proceeding with the project tasks in hand. Using practice-level interaction data from three projects in an architectural practice, we reveal three nexuses of interrelated valuation practices with distinct practical rationalities, through which various considerations of project actors manifest themselves and get resolved in different ways. We argue that these valuation practices combined create an ongoing process of reconciliation in the observed projects and enact project value on an ongoing basis. We discuss how the cross-cutting issues of relational constitution of valuation practices, temporality as well as power relationships configure the practical rationality of valuation practices, thus determining the enacted project value. Our study complements the existing research on project value by establishing project value as practice, and by highlighting relational constitution, temporality, and power as key issues for the study of the project value phenomenon.     

Understanding front-end project workshops with Social Practice Theory

Stimulated by the growing interest in understanding the actuality of project managing and the need to better understand how front-end project workshops can be efficacious, we aim to turn workshops-as-practice into a meaningful object of inquiry. We operationalise Social Practice Theory by studying the intertwining of materials, skills and meaning in video-recorded micro-episodes in a front-end project workshop. Our findings illustrate how material elements provide sensitive assistance as professional skills are enacted in structuring the project-specific urban development challenge. Our theoretical, methodological and empirical approach makes the characteristic tension of practice between transformation and reproduction accessible for empirical inquiry and theorising from practice, thereby helping to develop project management knowledge that resonates with the experience of the project practitioner.     

Owner organizations’ value-creation strategies through environmental certification of buildings

The existing literature (mostly referencing heuristics of the valuation profession) provides little evidence on how property owners and managers themselves perceive value creation from environmental certification (EC) of buildings. To address this issue, questionnaire and interview data from non-residential EC building owners in Sweden are gathered and related in a ‘strategy map’ that explains their perceived value creation from EC. The mapping process also considers the four standard perspectives of the balanced scorecard, prompting researchers and owners to evaluate EC in terms of its contribution to long-term strategy, measuring it according to financial and non-financial metrics of organizational performance. The study confirmed that tenant demand is an important EC driver for property owners (particularly for large organizations) and therefore that increased EC awareness amongst tenants is important for EC and for further value creation. It was found that tool developers, property owners and valuers could all benefit from more closely aligning valuers’ documentation requirements with those for accreditation with EC tools. Energy efficiency contributes significantly to value creation, but owners use energy management programs in addition to EC, possibly as a result of the performance gap phenomenon.     

Risk managements' communicative effects influencing IT project success

The central question of this research is if, and how, risk management contributes to the success of IS/IT projects. Risk management is used regularly in IT projects, despite indications in literature that risk management only occasionally contributes to IT project success. Drawing on Habermas we distinguish between instrumental and communicative effects of risk management. Stakeholders from seven ERP implementation projects indicate that in addition to the instrumental effects of risk management, being direct risk mitigating actions by stakeholders, individual risk management activities are able to generate communicative effects. Communicative effects create a commonly shared definition of the situation by influencing stakeholders' perceptions and expectations and by defining the inter-stakeholder project relations. These effects contribute to the effectiveness of instrumental action, and consequently to project success. Stakeholders consider risk identification to be the most influential risk management activity, both in number and in strength of the effects.     

工程项目的感知风险测量与管理投入的关系——对建筑企业的实证研究

对工程项目感知风险测量和管理投入的研究,不仅可以更好地预测及影响实践中的风险决策行为,而且具有重要的理论价值。本文首先对建筑业中主要的感知风险测量方法进行回顾,并通过问卷搜集相关数据,分析各种方法得到的风险评估结果与风险管理投入的关系。研究结果表明:用直接感知风险方法和基于期望效用方法所测量的感知风险结果排序之间存在着显著差异,直接感知风险方法所得结果在总体上能更好地预测建筑企业的风险管理行为。同时,直接感知风险结果和风险评估者感知的风险影响以及不确定性存在显著的联系。根据这些结论,本文对建筑行业中的风险管理与合作提出相应的建议。     

Job crafting in project management: Implications for project success and career satisfaction

There is growing evidence that project managers are a heterogeneous group of people. Practitioners hold competing perspectives of project managing and have increasingly greater agency in the choice of tools and method used in their roles. Using job crafting theory, we contribute to the literature on project management careers by measuring how, and to what extent, project managers customise their jobs to better fit their motives, strengths and passions. Job crafting involves self-initiated behaviours that shape, mould, and change job design to better suit the individual. Using structural equation modelling and a sample of IT project managers (N = 245) the objectives of the paper seek to i) establish whether one's perspective of project management predicts job crafting behaviour, ii) explore how job crafting is used in project management and, iii) ascertain whether the benefit of job crafting is individual, project-based or both. The findings show that a value creation perspective of project management predicts job crafting behaviour. A performative link between task crafting and project success is established which in turn impacts long term career satisfaction. In contrast, relational crafting by project managers positively contributes to job satisfaction, but does not support project success.     

Maximizing strategic value from megaprojects: The influence of information-feed on decision-making by the project manager

Large projects are notorious for erosion of value during execution. Decisions made by project managers have a significant impact on the strategic value of the asset delivered, and those decisions depend on the information feed on which they are based. This study uses theories of organizational behavior, decision-making and program management to investigate the impact of information feed used by project managers on the strategic value delivered by mega projects in the oil and gas industry. A global survey of 69 managers of mega-projects was conducted. Results showed that information feed to project managers significantly influences the strategic value created by megaprojects. Also some moderating effects of contextual factors on this relationship were found. The contextual factors that influenced project manager decision-making relate to what they perceived to be Senior Management drivers for their projects. However the hypothesized moderating influence of project manager experience on decision-making was not found—an interesting observation. It was found that the extent to which project managers feel in control should influence the scope and quality of information-feed that should be sought. Four risk areas were observed as significant to long-term value creation from megaprojects: government relations; host community relations; contract management and procurement; and the influence of multi-location execution.     

Exploring the alignment between organization designs and value processes over the program lifecycle

This paper addresses the interplay between organization designs and value processes in the context of programs. Building upon the findings from a longitudinal case study of a complex multi-partner program within Sweden's transportation sector, we argue that different value processes over the program lifecycle require different program management arrangements. Specifically, the paper explores how three distinct value processes, namely value definition, value creation and value capture, were related to specific program organization design dimensions, including overall organizational form, program boundaries, organizational control modes, program protagonist and sources of funding. The paper explicates the dynamics of alignment between organization design and value processes and shows how the external context shaped the process of alignment. Thus, the study contributes to the literature by reporting a rich, longitudinal empirical case, identifying organizational preconditions for different value processes in programs and highlighting the dynamics of these processes.     

建筑施工企业环境责任行为形成机理研究

作为项目建设主体，建筑施工企业履行环境责任对减少建筑生产活动带来的环境破坏、促进建筑业可持续发展具有重要作用。基于计划行为理论构建建筑施工企业环境责任行为分析模型。通过问卷调研收到197份有效数据，使用偏最小二乘法（PLS-SEM）分析数据。结果表明，建筑施工企业环境责任行为受到行为态度、主观规范、感知行为控制的显著影响，其中主观规范是最重要的因素。研究结果对引导建筑施工企业履行环境责任具有重要参考价值。     

Identifying,framing and managing uncertainties in project portfolios

Uncertainties in the organization, external environment and from single projects may hamper project portfolio performance unless managed properly. This paper introduces a framework on uncertainties and their management in project portfolios and pursues increased understanding on how managers can take uncertainty into account better. We explore uncertainties, how managers frame them as opportunities or threats, and the actual practice of managing them across ten R&D project portfolios. The framework on project portfolio uncertainties and their management is further refined based on the empirical results. As key contributions, we show evidence on the balanced existence of three types of uncertainties, the threat bias in their framing, and the dominance of rational, opportunity driven mechanisms of control in uncertainty management. We discuss the context-dependent practice of project portfolio management and the need to complement rational mechanisms with structural and cultural, for project portfolio management to become a dynamic capability.     

创新建筑施工企业项目价值管理

对建筑施工企业项目成本管理的价值取向及价值管理的核心作了论述,并就创新项目成本管理的途径和管理的几个核心阶段作出总结,最后指出了创新项目经营成果在实践中的体现。