Le, A T H and Sutrisna, M (2024) Project cost control system and enabling-factors model: PLS-SEM approach and importance-performance map analysis. Engineering, Construction and Architectural Management, 31(6), pp. 2513-2535. ISSN 0969-9988
Abstract
Purpose: This paper reports the developments of a project cost control system (PCCS) for construction projects to (1) measure its current level of cost control maturity, (2) examine the relationships between elements within PCCS processes and (3) identify improvement areas. Design/methodology/approach: This study adopts a mixed approach of descriptive analysis and partial least squares structural equation modelling (PLS-SEM) to measure the current maturity level of PCCS and evaluate the relationships between elements within PCSS to identify improvement areas. Further importance-performance matrix analysis (IPMA) of priority constructs was conducted to improve a target construct and identify the most important areas of specific actions at indicator levels. The results of IPMA revealed the contrast that has the greatest importance on the performance of others so that the recommendations can be made accordingly. Data collected in New Zealand were used to develop the research model. Findings: This study develops structural and measurement models with the constructs including pre-control, in-control and post-control processes, enablers and their proposed interrelationships. Then, data from survey of 184 experienced project cost control team members reveal that post-control has the lowest maturity or weakest areas in the PCCS. Data analysis facilitated by PLS-SEM confirmed that all the constructs in the structural model have positive and significant relationships with each other and suggested that systematic cost analysis reports, communication, skills and experience, defining roles and responsibilities, and top management's support should be the highest priority for improving the PCCS in a more effective manner. Originality/value: This study presents one of the earliest attempts to develop and test an integrated model that links sub-processes in PCCS and their enablers. Secondly, this research adds to the construction project management literature by empirically verifying the roles of enablers in enhancing maturity level of PCCS.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | maturity model; PLS-SEM; project control systems; project success |
| Index terms: | data analysis, cost analysis, project cost, survey, structural equation modelling, control system, cost control, construction project, top management, methodology, partial least square, maturity model, matrix analysis, maturity level, project success, New Zealand, integrated model, construction project management, project control |
| Subjects: | data collection methods, control systems, financial and cost management, analytical methods, data analysis and analytics, data science, economics, research methods, management, project management theory and practice, evaluation, Geography, production management, monitoring and control, statistical analysis |
| Topics: | Organizational Design, Geographical Context, Project Management, Research Practice, Information Management, Cost Management, Business Strategy |
| Descriptive scope: | 5 PCTEA |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here