Analysing outsourced and insourced public infrastructure projects' performance in a provincial department of public works: A grounded theory approach

Awuzie, B O; McWari, Z P; Chigangacha, P S; Aigbavboa, C O; Haupt, T C and Obi, L (2024) Analysing outsourced and insourced public infrastructure projects' performance in a provincial department of public works: A grounded theory approach. Journal of Engineering, Design and Technology, 22(2), pp. 456-479. ISSN 1726-0531

Abstract

Purpose: An increase in outsourcing of consultancy services has been observed during procurement and delivery of public-sector infrastructure projects. However, the incidence of project failure has continued unabated despite this shift by public-sector entities. Also, there appears to be limited literature focussed on seeking to provide the rationale governing the decision to outsource or insource consultancy services by public-sector organisations. The purpose of this study was to appraise the performance of public-sector projects in which consultancy services have been outsourced or insourced. These are the gaps which this study was undertaken to fill. Design/methodology/approach: A grounded theory methodology (GTM) research design was adopted based on the nature of evidence sought and gathered from a Provincial Department of Public Works and Infrastructure (PDPWI) in South Africa. Data was obtained from a mixture of semi-structured interviews and project-specific documents spanning a five-year period and was analysed according to the procedures associated with GTM. Accordingly, open coding, axial coding and pattern matching were carried out at several intervals to develop categories and themes. Findings: The findings of the study showed the absence of a structured approach within the PDPWI for facilitating decisions pertaining to outsourcing or insourcing consultancy services within construction projects. Furthermore, the study established that both approaches yielded similar results across all performance facets of cost, time and quality. In addition, a detailed insight into the steps required for the successful application of GTM in built environment research has been provided in the study. Originality/value: Limited studies have been undertaken to compare the impact of either outsourced or insourced services on the organisational and project performance. This was the gap to which the study reported in this paper was undertaken to contribute.

Item Type: Article
Uncontrolled Keywords: grounded theory; insourcing; outsourcing; public infrastructure projects; South Africa
Index terms: interview, built environment research, South Africa, consultancy, construction project, methodology, evidence, documents, grounded theory, research design, project failure, outsourcing, public infrastructure, infrastructure project, public work, project performance
Subjects: evaluation and assessment methods, data collection methods, project completion, research design and methodology, organization, business, Geography, production management, infrastructure engineering, project management theory and practice, professional development, theoretical framing, research methods, infrastructure and transport systems, research management
Topics: Research Practice, Project Management, Geographical Context, Information Management, Engineering Principles, Procurement, Organizational Design
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