Risk Attributes, Influencing the Time and Cost Overrun in Joint Venture Construction Projects of Pakistan

Authors

  • M. A. Akhund Department of Civil Engineering, ISRA University, Hyderabad, Pakistan
  • A. R. Khoso Department of Civil Engineering, Mehran University of Engineering & Technology, Jamshoro, Pakistan
  • A. A. Pathan Department of Civil Engineering, Mehran University of Engineering & Technology, Jamshoro, Pakistan
  • H. U. Imad Department of Civil Engineering, ISRA University, Hyderabad, Pakistan
  • F. Siddiqui Department of Civil Engineering, Mehran University of Engineering & Technology, Jamshoro, Pakistan
Volume: 8 | Issue: 4 | Pages: 3260-3264 | August 2018 | https://doi.org/10.48084/etasr.2203

Abstract

Business collaborations formed by construction contractors to enhance their abilities and effectiveness in large construction projects are known as construction joint ventures (CJVs). It is widely used as a way of merging assets, capitals, funds, resources and expertise of different organizations. It helps business to grow faster, increase efficiency and generate greater profits without borrowing money. Though it is useful and beneficent for the vendors, it may contain several types of risk. It is both beneficial and stimulating due to differing technical skills, economic and political atmospheres, and cultural and legal backgrounds. Recent development and modernization in Pakistan have led it towards a new construction phase, which involves national and multinational joint venture projects. Global and local CJVs have become gradually prevalent to produce mega construction projects. Current research aims to investigate and to identify the communal, ecological, political, legal, economic and other external risks associated with CJV projects in Pakistan. The study was carried out by literature review and a few national and international guidelines. Interviews were conducted with relevant professionals, experts, and owners of the organizations working on CJV projects. Data was collected in the form of a questionnaire from relevant professionals. The descriptive analysis was performed through SPSS using average index (A.I) technique. This study is helpful for the Government of Pakistan, public and private construction firms working under JV to reduce the emerging risks of construction projects.

Keywords:

joint venture, risk, construction, Pakistan

Downloads

Download data is not yet available.

References

A. Prasitsom, V. Likhitruangsilp, “Effects of organization structures on international construction joint venture risks”, International Journal of Construction Engineering and Management, Vol. 4, No. 4, pp. 128-148, 2015

X. Zhao, B. G. Hwang, G. S. Yu, “Identifying the critical risk in underground rail international construction joint ventures: Case study of Singapore”, International Journal of Project Management, Vol. 31, No. 4, pp. 554-556, 2013 DOI: https://doi.org/10.1016/j.ijproman.2012.10.014

Y. T. Roma, S. O. Ogunlana, “Chapter 3 Culture and Workplace Behavior: A Case Study of Joint venture Construction Projects in Thailand”, in: Joint Ventures in Construction, , pp. 30-40, Thomas Telford Publishing, 2009

V. Bagdonavicius, J. Kruopis, M. S. Nikulin, Non-parametric Tests for Complete Data, John Wiley & Sons, 2011 DOI: https://doi.org/10.1002/9781118558072

A. Prasitsom, A Life Cycle Risk Management and Prediction System for Construction Joint Ventures, PhD Thesis, Chulalongkorn University, Bangkok, Thailand, 2014

A. Gale, J. Luo, “Factors affecting construction joint ventures in China”, International Journal of Project Management, Vol. 22, No. 1, pp. 33-42, 2004 DOI: https://doi.org/10.1016/S0263-7863(03)00012-7

K. Kobayashi, Joint ventures in construction, Thomas Telford Publishing, 2009

C. Black, A. Akintoye, E. Fitzgerald, “An analysis of success factors and benefits of partnering in construction”, International Journal of Project Management, Vol. 18, No. 6, pp. 423-434, 2000 DOI: https://doi.org/10.1016/S0263-7863(99)00046-0

F. Y. K. Cheung, “Relationship management in the Australian construction industry-a grounded study”, Symposium on CIB W92: Sustainability and value through construction procurement, Salford, UK, pp. 92-101, November 29-December 2, 2006

J. Egan, Rethinking construction, construction task force report for the department of the environment, transport and the regions, HMSO, 1998

A. Ashworth, S. Perera, Contractual procedures in the construction industry, Routledge, 2018 DOI: https://doi.org/10.1201/9781315529059

K. M. Hmieleski, R. A. Baron, “Entrepreneurs' optimism and new venture performance: A social cognitive perspective”, Academy of Management Journal, Vol. 52, No. 3, pp.473-488, 2009 DOI: https://doi.org/10.5465/amj.2009.41330755

B. G. Hwang, X. Zhao, E. W. Y. Chin, “International construction joint ventures between Singapore and developing countries: Risk assessment and allocation preferences”, Engineering, Construction and Architectural Management, Vol. 24, No. 2, pp. 209-228, 2017 DOI: https://doi.org/10.1108/ECAM-03-2015-0035

B. G. Hwang, X. Zhao, L. P. Toh, “Risk management in small construction projects in Singapore: Status, barriers, and impact”, International Journal of Project Management, Vol. 32, No. 1, pp. 116-124, 2014 DOI: https://doi.org/10.1016/j.ijproman.2013.01.007

X. Deng, S. P. Low, Q. Li, X. Zhao, “Developing competitive advantages in political risk management for international construction enterprises”, Journal of Construction Engineering and Management, Vol. 140, No. 9, 2014 DOI: https://doi.org/10.1061/(ASCE)CO.1943-7862.0000836

H. Park, K. W. Lee, H. D. Jeong, S. H. Han, “Effect of institutional risks on the performance of international construction projects”, Construction Research Congress 2014: Construction in a Global Network, Atlanta, USA, pp. 2126-2135, May 19-21, 2014 DOI: https://doi.org/10.1061/9780784413517.216

S. P. Low, J. Liu, S. He, “External risk management practices of Chinese construction firms in Singapore”, KSCE Journal of Civil Engineering, Vol. 13, No. 2, pp. 85-95, 2009 DOI: https://doi.org/10.1007/s12205-009-0085-9

C. Berk, “A risk management proposal to the international contractor's industry from the financial perspective”, Journal of Applied Finance and Banking, Vol. 2, No. 5, p. 199, 2012

J. D. Frame, Managing risk in organizations: A guide for managers, John Wiley & Sons, 2003

A. Ardeshir, M. Amiri, Y. Ghasemi, M. Errington, “Risk assessment of construction projects for water conveyance tunnels using fuzzy fault tree analysis”, International Journal of Civil Engineering, Vol. 12, No. 4, pp. 396-412, 2014

F. Nasirzadeh, H. Mazandaranizadeh, M. Rouhparvar, “Quantitative risk allocation in construction projects using cooperative-bargaining game theory”, International Journal of Civil Engineering, Vol. 14, No. 3, pp. 161-170, 2016 DOI: https://doi.org/10.1007/s40999-016-0011-8

G. Zhang, P. X. Zou, “Fuzzy analytical hierarchy process risk assessment approach for joint venture construction projects in China”, Journal of Construction Engineering and Management, Vol. 133, No. 10, pp. 771-779, 2007 DOI: https://doi.org/10.1061/(ASCE)0733-9364(2007)133:10(771)

M. Abdelgawad, A. R. Fayek, “Risk management in the construction industry using combined fuzzy FMEA and fuzzy AHP”, Journal of Construction Engineering and Management, Vol. 136, No. 9, pp. 1028-1036, 2010 DOI: https://doi.org/10.1061/(ASCE)CO.1943-7862.0000210

F. Siddiqui, A. R. Khoso, A. A. Pathan, M .A. Akhund, S. H. Khahro, “Concept and Willingness to Adopt Zero Energy Buildings”, Indian Journal of Science and Technology, Vol. 11, No. 5, 2018 DOI: https://doi.org/10.17485/ijst/2018/v11i5/118639

M. A. Akhund, A. R. Khoso, U. Memon, S. H. Khahro, “Time Overrun in Construction Projects of Developing Countries”, Imperial Journal of Interdisciplinary Research, Vol. 3, No. 5, pp. 124-129, 2017

Downloads

How to Cite

[1]
M. A. Akhund, A. R. Khoso, A. A. Pathan, H. U. Imad, and F. Siddiqui, “Risk Attributes, Influencing the Time and Cost Overrun in Joint Venture Construction Projects of Pakistan”, Eng. Technol. Appl. Sci. Res., vol. 8, no. 4, pp. 3260–3264, Aug. 2018.

Metrics

Abstract Views: 828
PDF Downloads: 424

Metrics Information

Most read articles by the same author(s)