Relationship between design and build selection criteria and project performance

Abstract

One of the causes of poor project performance is the use of inappropriate procurement methods. Whilst employing an appropriate method is considered to result in project success, limited research has so far been done to empirically explore this relationship. As a contribution to addressing this gap, this paper reports on part of a wider study aimed at investigating the relationship between procurement selection criteria and key project performance outcomes (Time, Cost and Quality), towards the development of a model for explaining such relationships in detail. The aspect reported concerns the design and build (DB) procurement method, and is based on findings of a questionnaire survey. The study shows that only 9 out of the 12 common DB selection criteria have significant correlations with one or more project performance outcomes, as follows: (1) the features “speedy project execution”, “client unfamiliarity with project” and “effective project planning” showed positive association with time and cost performance outcomes; (2) the features “quick project start”, “low likelihood of changes”, “reduced project duration” and “collaborative relationship between parties” are positively associated with time performance only; (3) the feature “high project complexity” has a positive effect on both time and quality performance, and finally (4) “reduced project cost” showed a positive relationship with only quality performance. These findings demonstrate that there is an opportunity to develop formalised regression models that can be used to predict performance based on project needs and procurement choices, to aid appropriate selection of procurement methods.