Construction Project Organising
1. Edition January 2023
304 Pages, Hardcover
Wiley & Sons Ltd
ISBN:
978-1-119-80717-9
John Wiley & Sons
Construction Project Organising
Discover foundational and cutting-edge ideas in the organisation of construction projects
In Construction Project Organising, an authoritative team of construction researchers delivers a comprehensive exploration of the many organisational processes and forms that can be found in construction project organising and the many dimensions that can influence these forms. The authors examine these dimensions, detailing their importance to projects and enabling managers to respond to calls by industry professionals for more collaborative forms of organising that focus on value creation.
The book investigates the relationship between structure and action, and how patterns of action are created, recreated and maintained by scrutinising the myriad of organisational arrangements between clients, financiers, design teams, contractors, stakeholders and supply chains. It also discusses different concepts in the development and management of construction project organisations, including formation and maintenance issues.
Construction Project Organising highlights some of the key issues that remain underdeveloped in the modern literature. It also includes:
* A thorough description of the rapidly changing socio-economic, technological, digital and data-driven context in which construction projects are designed and delivered
* A comprehensive examination of different concepts in the development and management of construction project organisations
* A practical investigation of the relationship between structure and action and how action patterns are created, recreated and maintained
* Grounded advice to help readers respond to calls by industry for more collaborative forms of project organisation focused on value creation
Perfect for researchers, academics and advanced students of construction and similar disciplines, Construction Project Organising is also a must-read resource for construction professionals and the consultants who serve them.
Preface xiii
Editorial - Construction Project Organising: Towards a Theoretical and Practical
Understanding xv
Simon Addyman and Hedley Smyth
Summary of Chapters xxxix
Part I The Cultural Landscape 1
1 Construction Cultures: Sources, Signs, and Solutions of Toxicity 3
Stewart Clegg, Martin Loosemore, Derek Walker, Alfons van Marrewijk and Shankar Sankaran
1.1 Introduction 3
1.2 Organisational Culture 3
1.3 Toxic Project Culture 5
1.4 Sources of Toxic Project Culture 5
1.5 Detoxing a Project Culture 7
1.6 Stimulating Reflection and Learning 9
1.7 Conclusions 12
References 12
2 Organising Occupational Health, Safety, and Well-Being in Construction: Working to Rule or Working Towards Well-Being? 17
Jing Xu and Yanga Wu
2.1 Introduction 17
2.2 Safety Management: A Tale of Two Paradigms 18
2.3 Working Towards Occupational Health and Well-Being in Construction 19
2.3.1 The Structuration of Occupational Health and Well-Being 20
2.4 Methods 20
2.5 Findings 21
2.5.1 Signification and Communication of OHW 21
2.5.1.1 Interpretations of OHW 21
2.5.1.2 The Meaning of OHW in Management 22
2.5.2 Domination and Responsibility of OHW 22
2.5.2.1 The Tensions Between Business Priorities and OHW 22
2.5.2.2 Imbalanced Power and Responsibility Between Management and Workers 23
2.5.3 Legitimation, Norms, and OHW 24
2.5.3.1 'Norms' of Construction Project Business and Works 24
2.5.3.2 The Influence of 'Norms' on Trust and OHW 24
2.6 Discussion 25
2.7 Conclusion 27
References 28
Part II Wider Integration 31
3 Systems Integration in Construction: An Open-Ended Challenge for Project Organising 33
Jennifer Whyte and Andrew Davies
3.1 Introduction 33
3.2 Challenges of Systems Integration in Construction Project Organising 35
3.2.1 Construction Projects as Interventions 35
3.2.2 Construction Projects as Evolving Phenomena 36
3.2.3 Construction Projects as Heterogeneous 37
3.3 From the Origins of Systems Integration to Its Application in Construction 39
3.3.1 Origins of Systems Integration 39
3.3.2 Systems Integration and Organisation Theory: Collaboration Through Coordination and Cooperation 40
3.3.3 Systems Integration and Construction 41
3.4 Systems Integration in Construction and Contexts of Use 42
3.5 Conclusions 45
References 46
4 Organising Project Finance 51
D'Maris Coffman and John Kelsey
4.1 Introduction 51
4.2 Economic and Finance Theory 52
4.2.1 The Basis of Project Value 52
4.2.2 Sources of Forecasting Error 52
4.2.3 Why Do Firms Exist? 53
4.2.4 Managers vs. Owners and the Basis of Firm Value 53
4.3 Agency Costs and Project Governance 54
4.3.1 Governance of Large Projects to Minimise Agency Costs 54
4.3.2 The Whole Life Contract Mechanism as a Means of Minimising Agency Costs 55
4.3.3 Long-Term vs. Short-Term Risk 56
4.3.4 Project Finance as a Solution to Project Governance 56
4.3.5 UK Public-Private Finance Initiative 57
4.4 Methodology 58
4.5 Case Study: Peterborough City Hospital (National Audit Office 2012, 2013) 59
4.5.1 Background 59
4.5.2 The New Hospital 60
4.5.3 Organisational and Governance Arrangements 60
4.5.4 Operational Performance 61
4.5.5 Client-SPV Relations 62
4.6 Discussion, Lessons, and Theoretical Challenges 62
4.7 Conclusions 64
References 64
5 Organising for Digital Transformation: Ecosystems, Platforms, and Future States 69
Bethan Morgan, Eleni Papadonikolaki and Tim Jaques
5.1 Introduction 69
5.2 Modularity, Platforms, and Business Ecosystems 71
5.2.1 Modularity and Industry Change 71
5.2.2 Platform Thinking 72
5.2.3 Business Models 73
5.2.4 Complexity 74
5.2.5 Business Ecosystems 75
5.3 Organising for Digitalisation: New Entrants and Incumbent Firms 77
5.4 Future States 78
5.4.1 Future State Founding Principles 79
5.4.2 The Advantages of Using Future State Thinking in the Built Environment 79
5.4.3 Using Future States to Create a Business Ecosystem 80
5.5 Conclusion 81
References 82
6 A Resilience Perspective on Governance for Construction Project Delivery 85
Nils O.E. Olsson and Ole Jonny Klakegg
6.1 Introduction 85
6.2 Theoretical Background 87
6.2.1 Governance 87
6.2.2 Resilience in Different Research Areas 87
6.2.3 Resilience in Projects 88
6.2.4 Resilience and Flexibility 88
6.3 Reflections on Project Governance, Resilience, and Survival 89
6.4 Project Cases and Implications on Governance 90
6.4.1 Before Decision - Staying Alive Long Enough to Get Funding 91
6.4.1.1 Nord-Norge Line 91
6.4.2 After Decision - Staying Relevant and Delivery Through Execution 92
6.4.2.1 Venjar-Langset 92
6.4.2.2 Gardermoen Line 93
6.4.3 Non-Survival of Norwegian Railway Projects 94
6.4.3.1 High-Speed Railway 94
6.5 Discussion 94
6.5.1 Different Approaches to Resilience in Different Project Phases 94
6.5.2 Reflections on the Norwegian Railway Cases 95
6.6 Conclusions 96
References 98
Part III The Firm-Project Interface 101
7 Organising Construction Firms 103
Hedley Smyth
7.1 Introduction 103
7.2 What the Literature Says 103
7.2.1 Government and Industry Reports and Their Limitations for Performance Improvement 104
7.2.2 Systems of Systems, Systems Integration, and Loose Coupling 105
7.2.3 Transactional and Transformational Business Models 106
7.2.4 Organising and Reorganising the Construction Firm 108
7.3 Methodology and Methods 109
7.4 A Range of Findings and Analysis 110
7.5 Conclusions 113
References 114
8 Aligning Construction Projects with Strategy 119
Catherine Killen, Shankar Sankaran, Stewart Clegg and Hedley Smyth
8.1 Introduction 119
8.2 PPM and Strategy 120
8.3 PPM and Strategy in Construction 120
8.4 Method 121
8.5 Findings Addressing the Question 'How Do Construction Companies Align Projects with Strategy?' 122
8.5.1 The Nature of Strategic Resource Allocation Decisions in Construction 122
8.5.2 Strategy and Competitive Advantage 122
8.5.3 Multi-Project Management 123
8.5.4 How Is Portfolio Management Achieved in Construction Firms? 123
8.5.5 Portfolio Decision-Making - Whether and How to Bid 125
8.5.6 Flexibility and Responsiveness 125
8.5.7 Repeat Business and Resources 125
8.5.8 Challenges and Performance 126
8.6 Discussion 127
8.6.1 Strategy and Projects - A Two-Way Relationship 127
8.6.2 Internal and External Decisions Determine the Portfolio 129
8.6.3 Flexibility and Responsiveness 129
8.6.4 PPM in Practice in Construction 129
8.7 Conclusions and Recommendations 131
References 132
9 Urban Development Project Ecologies - An Organisational Routines Perspective 135
Susanna Hedborg
9.1 Introduction 135
9.2 Urban
Development as a Project Ecology 136
9.3 Project Ecologies and Its Temporary Organising 137
9.4 Organisational Routines in a Project Context 137
9.5 The Case of an Urban Development District 138
9.5.1 Case Background 138
9.5.2 A Note on Collecting and Analysing the Material 139
9.6 Illustrative Examples of Inter-Project Routines 140
9.6.1 The Procuring Together Routine 141
9.6.2 The Meeting Routine 141
9.7 Discussion 142
9.7.1 Project Ecologies Further the Understanding of Construction Project Contexts 142
9.7.2 Inter-Project Routines Influence on Urban Development Project Ecologies 143
9.7.3 The Client Role in Urban Development Project Ecologies 144
9.8 Concluding Thoughts and Further Development 145
References 145
10 Reflective Practices and Learning in Construction Organisations via Professional Communities of Practice 149
Meri Duryan
10.1 Introduction 149
10.2 Reflective Practice 150
10.2.1 Reflective Practice in Construction Organisations 151
10.3 Communities of Practice as Boundary Spanners in Construction Firms 152
10.3.1 Reflective Practice in Communities of Practice 153
10.4 Methodology and Methods 153
10.5 Findings and Discussion 155
10.5.1 Professional Communities of Practice 155
10.5.2 Reflective Practice 159
10.6 Conclusions 161
References 162
Part IV Inside the Project 165
11 The Use of Collaborative Space and Socialisation Tensions in Inter- Organisational Construction Projects 167
Kirsi Aaltonen and Virpi Turkulainen
11.1 Introduction 167
11.2 Theoretical Background 168
11.2.1 The Origins of Co-Locational Spaces and Their Use in Construction Projects 168
11.2.2 The Use and Outcomes of Collaborative Spaces in Inter-Organisational Construction Projects 169
11.2.3 Socialisation in Inter-Organisational Projects 170
11.3 Methodology 171
11.4 Findings 172
11.4.1 The Spatial Design of the Physical Collaborative Space 172
11.4.2 Facilitation of Collaborative Working in the Collaborative Space 175
11.4.3 Emergent Boundaries Between Full- and Part-Time Members of the Collaborative Space 176
11.4.4 Development of a Shared Identity in the Collaborative Space 177
11.5 Discussion and Conclusions 178
11.5.1 Theoretical Contribution and Implications 179
11.5.2 Further Research 180
11.5.3 Managerial Implications 181
References 181
12 On the Synchronisation of Activities During Construction Projects 185
Tuomas Ahola
12.1 Introduction 185
12.2 Synchronisation of Activities in Construction Projects 186
12.2.1 Task Interdependencies and Synchronisation 186
12.2.2 Synchronisation of Activities in Temporary Organising 187
12.3 Processes by Which Synchronisation Is Lost and Restored 188
12.4 Performance Implications of Desynchronisation 191
12.5 Factors Associated with Synchronisation in Construction Projects 193
12.6 Conclusion 195
References 197
13 Organising Beyond the Hierarchy - A Network Management Perspective 201
Huda Almadhoob
13.1 Introduction 201
13.2 Social Network Analysis 202
13.3 The Case Study 203
13.3.1 Background 203
13.3.2 BSCU Project Formal Organisational Structure 204
13.4 Empirical Analysis 205
13.4.1 Clusters in BSCU Project Networks 205
13.4.2 Intra-Cluster Relationships and Decision-Making 208
13.5 Conclusion 216
References 217
14 Procurement, Collaboration, and the Role of Dialogue 221
Simon Addyman
14.1 Introduction 221
14.2 Procurement and Collaborative Working Practices 222
14.3 Language and Dialogue in Organisations 223
14.4 Applying Chronotope to the Analysis of Dialogue 226
14.5 Implications for Collaborative Working Practices 228
14.6 Conclusion 231
References 232
Author Biographies 237
Index 243
Editorial - Construction Project Organising: Towards a Theoretical and Practical
Understanding xv
Simon Addyman and Hedley Smyth
Summary of Chapters xxxix
Part I The Cultural Landscape 1
1 Construction Cultures: Sources, Signs, and Solutions of Toxicity 3
Stewart Clegg, Martin Loosemore, Derek Walker, Alfons van Marrewijk and Shankar Sankaran
1.1 Introduction 3
1.2 Organisational Culture 3
1.3 Toxic Project Culture 5
1.4 Sources of Toxic Project Culture 5
1.5 Detoxing a Project Culture 7
1.6 Stimulating Reflection and Learning 9
1.7 Conclusions 12
References 12
2 Organising Occupational Health, Safety, and Well-Being in Construction: Working to Rule or Working Towards Well-Being? 17
Jing Xu and Yanga Wu
2.1 Introduction 17
2.2 Safety Management: A Tale of Two Paradigms 18
2.3 Working Towards Occupational Health and Well-Being in Construction 19
2.3.1 The Structuration of Occupational Health and Well-Being 20
2.4 Methods 20
2.5 Findings 21
2.5.1 Signification and Communication of OHW 21
2.5.1.1 Interpretations of OHW 21
2.5.1.2 The Meaning of OHW in Management 22
2.5.2 Domination and Responsibility of OHW 22
2.5.2.1 The Tensions Between Business Priorities and OHW 22
2.5.2.2 Imbalanced Power and Responsibility Between Management and Workers 23
2.5.3 Legitimation, Norms, and OHW 24
2.5.3.1 'Norms' of Construction Project Business and Works 24
2.5.3.2 The Influence of 'Norms' on Trust and OHW 24
2.6 Discussion 25
2.7 Conclusion 27
References 28
Part II Wider Integration 31
3 Systems Integration in Construction: An Open-Ended Challenge for Project Organising 33
Jennifer Whyte and Andrew Davies
3.1 Introduction 33
3.2 Challenges of Systems Integration in Construction Project Organising 35
3.2.1 Construction Projects as Interventions 35
3.2.2 Construction Projects as Evolving Phenomena 36
3.2.3 Construction Projects as Heterogeneous 37
3.3 From the Origins of Systems Integration to Its Application in Construction 39
3.3.1 Origins of Systems Integration 39
3.3.2 Systems Integration and Organisation Theory: Collaboration Through Coordination and Cooperation 40
3.3.3 Systems Integration and Construction 41
3.4 Systems Integration in Construction and Contexts of Use 42
3.5 Conclusions 45
References 46
4 Organising Project Finance 51
D'Maris Coffman and John Kelsey
4.1 Introduction 51
4.2 Economic and Finance Theory 52
4.2.1 The Basis of Project Value 52
4.2.2 Sources of Forecasting Error 52
4.2.3 Why Do Firms Exist? 53
4.2.4 Managers vs. Owners and the Basis of Firm Value 53
4.3 Agency Costs and Project Governance 54
4.3.1 Governance of Large Projects to Minimise Agency Costs 54
4.3.2 The Whole Life Contract Mechanism as a Means of Minimising Agency Costs 55
4.3.3 Long-Term vs. Short-Term Risk 56
4.3.4 Project Finance as a Solution to Project Governance 56
4.3.5 UK Public-Private Finance Initiative 57
4.4 Methodology 58
4.5 Case Study: Peterborough City Hospital (National Audit Office 2012, 2013) 59
4.5.1 Background 59
4.5.2 The New Hospital 60
4.5.3 Organisational and Governance Arrangements 60
4.5.4 Operational Performance 61
4.5.5 Client-SPV Relations 62
4.6 Discussion, Lessons, and Theoretical Challenges 62
4.7 Conclusions 64
References 64
5 Organising for Digital Transformation: Ecosystems, Platforms, and Future States 69
Bethan Morgan, Eleni Papadonikolaki and Tim Jaques
5.1 Introduction 69
5.2 Modularity, Platforms, and Business Ecosystems 71
5.2.1 Modularity and Industry Change 71
5.2.2 Platform Thinking 72
5.2.3 Business Models 73
5.2.4 Complexity 74
5.2.5 Business Ecosystems 75
5.3 Organising for Digitalisation: New Entrants and Incumbent Firms 77
5.4 Future States 78
5.4.1 Future State Founding Principles 79
5.4.2 The Advantages of Using Future State Thinking in the Built Environment 79
5.4.3 Using Future States to Create a Business Ecosystem 80
5.5 Conclusion 81
References 82
6 A Resilience Perspective on Governance for Construction Project Delivery 85
Nils O.E. Olsson and Ole Jonny Klakegg
6.1 Introduction 85
6.2 Theoretical Background 87
6.2.1 Governance 87
6.2.2 Resilience in Different Research Areas 87
6.2.3 Resilience in Projects 88
6.2.4 Resilience and Flexibility 88
6.3 Reflections on Project Governance, Resilience, and Survival 89
6.4 Project Cases and Implications on Governance 90
6.4.1 Before Decision - Staying Alive Long Enough to Get Funding 91
6.4.1.1 Nord-Norge Line 91
6.4.2 After Decision - Staying Relevant and Delivery Through Execution 92
6.4.2.1 Venjar-Langset 92
6.4.2.2 Gardermoen Line 93
6.4.3 Non-Survival of Norwegian Railway Projects 94
6.4.3.1 High-Speed Railway 94
6.5 Discussion 94
6.5.1 Different Approaches to Resilience in Different Project Phases 94
6.5.2 Reflections on the Norwegian Railway Cases 95
6.6 Conclusions 96
References 98
Part III The Firm-Project Interface 101
7 Organising Construction Firms 103
Hedley Smyth
7.1 Introduction 103
7.2 What the Literature Says 103
7.2.1 Government and Industry Reports and Their Limitations for Performance Improvement 104
7.2.2 Systems of Systems, Systems Integration, and Loose Coupling 105
7.2.3 Transactional and Transformational Business Models 106
7.2.4 Organising and Reorganising the Construction Firm 108
7.3 Methodology and Methods 109
7.4 A Range of Findings and Analysis 110
7.5 Conclusions 113
References 114
8 Aligning Construction Projects with Strategy 119
Catherine Killen, Shankar Sankaran, Stewart Clegg and Hedley Smyth
8.1 Introduction 119
8.2 PPM and Strategy 120
8.3 PPM and Strategy in Construction 120
8.4 Method 121
8.5 Findings Addressing the Question 'How Do Construction Companies Align Projects with Strategy?' 122
8.5.1 The Nature of Strategic Resource Allocation Decisions in Construction 122
8.5.2 Strategy and Competitive Advantage 122
8.5.3 Multi-Project Management 123
8.5.4 How Is Portfolio Management Achieved in Construction Firms? 123
8.5.5 Portfolio Decision-Making - Whether and How to Bid 125
8.5.6 Flexibility and Responsiveness 125
8.5.7 Repeat Business and Resources 125
8.5.8 Challenges and Performance 126
8.6 Discussion 127
8.6.1 Strategy and Projects - A Two-Way Relationship 127
8.6.2 Internal and External Decisions Determine the Portfolio 129
8.6.3 Flexibility and Responsiveness 129
8.6.4 PPM in Practice in Construction 129
8.7 Conclusions and Recommendations 131
References 132
9 Urban Development Project Ecologies - An Organisational Routines Perspective 135
Susanna Hedborg
9.1 Introduction 135
9.2 Urban
Development as a Project Ecology 136
9.3 Project Ecologies and Its Temporary Organising 137
9.4 Organisational Routines in a Project Context 137
9.5 The Case of an Urban Development District 138
9.5.1 Case Background 138
9.5.2 A Note on Collecting and Analysing the Material 139
9.6 Illustrative Examples of Inter-Project Routines 140
9.6.1 The Procuring Together Routine 141
9.6.2 The Meeting Routine 141
9.7 Discussion 142
9.7.1 Project Ecologies Further the Understanding of Construction Project Contexts 142
9.7.2 Inter-Project Routines Influence on Urban Development Project Ecologies 143
9.7.3 The Client Role in Urban Development Project Ecologies 144
9.8 Concluding Thoughts and Further Development 145
References 145
10 Reflective Practices and Learning in Construction Organisations via Professional Communities of Practice 149
Meri Duryan
10.1 Introduction 149
10.2 Reflective Practice 150
10.2.1 Reflective Practice in Construction Organisations 151
10.3 Communities of Practice as Boundary Spanners in Construction Firms 152
10.3.1 Reflective Practice in Communities of Practice 153
10.4 Methodology and Methods 153
10.5 Findings and Discussion 155
10.5.1 Professional Communities of Practice 155
10.5.2 Reflective Practice 159
10.6 Conclusions 161
References 162
Part IV Inside the Project 165
11 The Use of Collaborative Space and Socialisation Tensions in Inter- Organisational Construction Projects 167
Kirsi Aaltonen and Virpi Turkulainen
11.1 Introduction 167
11.2 Theoretical Background 168
11.2.1 The Origins of Co-Locational Spaces and Their Use in Construction Projects 168
11.2.2 The Use and Outcomes of Collaborative Spaces in Inter-Organisational Construction Projects 169
11.2.3 Socialisation in Inter-Organisational Projects 170
11.3 Methodology 171
11.4 Findings 172
11.4.1 The Spatial Design of the Physical Collaborative Space 172
11.4.2 Facilitation of Collaborative Working in the Collaborative Space 175
11.4.3 Emergent Boundaries Between Full- and Part-Time Members of the Collaborative Space 176
11.4.4 Development of a Shared Identity in the Collaborative Space 177
11.5 Discussion and Conclusions 178
11.5.1 Theoretical Contribution and Implications 179
11.5.2 Further Research 180
11.5.3 Managerial Implications 181
References 181
12 On the Synchronisation of Activities During Construction Projects 185
Tuomas Ahola
12.1 Introduction 185
12.2 Synchronisation of Activities in Construction Projects 186
12.2.1 Task Interdependencies and Synchronisation 186
12.2.2 Synchronisation of Activities in Temporary Organising 187
12.3 Processes by Which Synchronisation Is Lost and Restored 188
12.4 Performance Implications of Desynchronisation 191
12.5 Factors Associated with Synchronisation in Construction Projects 193
12.6 Conclusion 195
References 197
13 Organising Beyond the Hierarchy - A Network Management Perspective 201
Huda Almadhoob
13.1 Introduction 201
13.2 Social Network Analysis 202
13.3 The Case Study 203
13.3.1 Background 203
13.3.2 BSCU Project Formal Organisational Structure 204
13.4 Empirical Analysis 205
13.4.1 Clusters in BSCU Project Networks 205
13.4.2 Intra-Cluster Relationships and Decision-Making 208
13.5 Conclusion 216
References 217
14 Procurement, Collaboration, and the Role of Dialogue 221
Simon Addyman
14.1 Introduction 221
14.2 Procurement and Collaborative Working Practices 222
14.3 Language and Dialogue in Organisations 223
14.4 Applying Chronotope to the Analysis of Dialogue 226
14.5 Implications for Collaborative Working Practices 228
14.6 Conclusion 231
References 232
Author Biographies 237
Index 243
Simon Addyman is Associate Professor of Project Management in the Bartlett School of Sustainable Construction at UCL. He is an APM Certified Project Manager and received his doctorate in Construction Project Management from UCL in 2019.
Hedley Smyth is an Emeritus Professor in the Bartlett School of Sustainable Construction at UCL. His research focus is on the organisational behavior of construction firms and the interface between the firm and project.
Hedley Smyth is an Emeritus Professor in the Bartlett School of Sustainable Construction at UCL. His research focus is on the organisational behavior of construction firms and the interface between the firm and project.
