Construction Frameworks in the UK Public Sector: A Procurement Performance Model for Driving Improvement of Project Outcomes

Engineering, Project, and Production Management

EPPM 2014 Conference Papers

Construction Frameworks in the UK Public Sector: A Procurement Performance Model for Driving Improvement of Project Outcomes

Terence Y M Lam¹ and Keith S Gale²

¹Senior Lecturer, School of Natural and Built Environments, University of South Australia, Adelaide SA 5001, Australia, Tel: +61-8-83022001, Fax: +61-8-83022252, E-mail: terence.lam@unisa.edu.au
² Visiting Research Fellow, Department of Engineering and the Built Environment, Anglia Ruskin University, Chelmsford, CM1 1SQ, UK, Tel: +44-1245-493131, E-mail: keith.gale@hant.gov.uk

Abstract:Collaborative construction frameworks have been developed in the UK to create longer term relationships between clients and suppliers in order to improve project outcomes. Research undertaken into highways maintenance set within a major county council has confirmed that such collaborative procurement methods can improve time, cost and quality of construction projects. Building upon this and examining the same single case, this research aims to develop a performance model through identification of performance drivers in the whole project delivery process including pre and post contract phases. A priori performance model based on operational and sociological constructs was proposed and then checked by a pilot study. Factor analysis and central tendency statistics from the questionnaires as well as content analysis from the interview transcripts were conducted. It was confirmed that long term relationships, financial and non–financial incentives and stronger communication are the sociological behaviour factors driving performance. The interviews also established that key performance indicators (KPIs) can be used as an operational measure to improve performance. With the posteriori performance model, client project managers can effectively collaboratively manage contractor performance through procurement measures (use of longer term and KPIs for the contract) so that expected project outcomes can be achieved.

Keywords: Public sector, collaborative frameworks, performance drivers.