Ogwueleka, A C and Maritz, M J (2016) Modeling for incentive payoffs in the Nigerian construction industry. Journal of Engineering, Design and Technology, 14(3), pp. 543-562.
Abstract
Purpose Incentives are mechanisms used to create genuine opportunity for contracting parties to work together to achieve good results, rational returns and bear appropriate risks. The question of how to motivate the construction workforce rightly so as to achieve best performance has remained paramount to project owners. This paper aims to investigate on how to model for incentive payoffs in the Nigerian construction industry to effectively use the benefits of incentive mechanisms. Design/methodology/approach The collected data are analysed using descriptive and inferential statistics, such as frequency counts, charts and principal component analysis. Findings The findings reveal the metrics for measuring organisational incentive payoff and the scaling factor for each metric. The study further develops the employee incentive payoff models for both operational workers and management staff in the construction sector. Originality/value This study provides a practical solution to the application of incentive mechanisms in construction projects. The paper recommends the need for restructuring of incentive mechanisms to significantly impact on other performance criteria, therefore contributing to best performance in project delivery.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | construction project management; performance improvement; management issues; partnering; construction economic; incentive payoffs; alliance contracting; Nigeria; construction industry |
| Index terms: | performance improvement, principal component analysis, management staff, construction project management, modelling, incentive payoff, construction industry, statistics, scaling, project delivery, partnering, owner, contracting party, Nigeria, methodology, construction project, construction economics, construction sector, management issue, performance criteria, alliance contracting |
| Subjects: | practitioner, mathematical modelling, organization, contractual arrangements, analytical methods, project delivery, economic analysis, production management, Geography, project management theory and practice, management, performance measurement, research methods, industry analysis, statistical analysis, financial analysis, partnership management, sociology |
| Topics: | Human Resources, Quality Management, Procurement, Roles and Professions, Stakeholder Management, Engineering Principles, Geographical Context, Project Management, Research Practice, Business Strategy, Cost Management |
| Descriptive scope: | 4 PCTA |
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