Construction disputes in small to medium enterprise's in Ireland during recession: Identification of critical factors

Treacy, D; Spillane, J P and Tansey, P (2016) Construction disputes in small to medium enterprise's in Ireland during recession: Identification of critical factors. International Journal of Law in the Built Environment, 8(1), pp. 21-41. ISSN 1756-1450

Abstract

Purpose This paper aims to identify the critical factors causing construction disputes in small to medium enterprises (SMEs) in Ireland during the recent recession period from 2007 to 2013. Design/methodology/approach This study used a mixed-method approach incorporating a literature review, case studies and questionnaire survey, with results analysed using exploratory (data reduction) factor analysis. Findings The results indicate seven core critical factors which result in construction disputes in SMEs in Ireland during a recession: payment and extras; physical work conditions; poor financial/legal practise; changes to the agreed scope of works; time overrun; defects; and requests for increase in speed of project and long-term defects. Research Limitations/implications With Ireland emerging from the current economic recession and the prevalence of SMEs in the construction sector, it is essential to document the core critical factors of construction disputes which emerge within this particular segment of the built environment. Practical Implications To address the adversarial nature of the construction sector and the prevalence of SMEs, it is essential to identify and document the critical factors of construction disputes within this remit. It is envisaged that the results of this research will be acknowledged, and the recommendations adopted, by construction SMEs, particularly within Ireland, as they emerge from the economic recession. Originality/value This paper fulfils a gap in knowledge with the emergence of the economic recession and the identification of critical factors of construction dispute within SMEs in the Irish construction industry.

Item Type: Article
Uncontrolled Keywords: ireland; recession; factor analysis; construction disputes; small to medium enterprise
Index terms: questionnaire, methodology, emergence, construction sector, survey, literature review, factor analysis, built environment, construction dispute, Ireland, construction industry, time overrun, case study, recession, critical factor
Subjects: dispute resolution, risk assessment, data collection methods, economic analysis, data analysis and analytics, Geography, research methods, statistical analysis, systems engineering, infrastructure and transport systems, industry analysis, project controls
Topics: Legal Issues, Urban Studies, Time Control, Business Strategy, Geographical Context, Research Practice, Engineering Principles, Risk Management
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