The influence of trust on project management practice within the construction industry

Strahorn, S; Brewer, G and Gajendran, T (2017) The influence of trust on project management practice within the construction industry. Construction Economics and Building, 17(1), pp. 1-19. ISSN 2204-9029

Abstract

Given that any construction project is inherently a human endeavour, it follows that issues of trust are significant in terms of the stakeholder interactions that deliver eventual project outcomes.  Previous research indicates that the relational basis upon which projects are undertaken are intended to influence the likelihood of trusting relationships between stakeholders.  Thus, experiences of trust in a construction project environment are likely to be influenced by the contextual specifics of respective transactional and relational contracting (RC) procurement mechanisms, given the divergent theoretical principles upon which they are founded.  The influence of trust has therefore been examined through the lived experiences of construction practitioners.  A phenomenological interview study consisting of thirty-five (35) participants was conducted with sensitivity to the procurement of experiences being recounted. Issues of trust were shown to be integral to stakeholder experiences in both procurement environments, with the benefits of trust acknowledged in many instances.  However, little understanding was evident regarding methods for building and maintaining trust, nor for repairing trust when problems arose. Importantly, despite the differing principles that underpin transactional and relational procurement, and particularly the contention that relational procurement would increase trust between trading partners, this was not evident; with individual personalities and appropriate risk apportionment shown to be greater influences upon the likelihood of trusting relationships.  It is reasonable to conjecture that relational contracts actually diminish the need for trust, given that the objective is to reduce uncertainty through formulaic approaches to risk distribution and reward; the absence of risk negates the need for trust.  Ultimately, the potential to deliver improved project outcomes as a result of proactive approaches to developing and maintaining trust, as well as repairing trust after difficulties, was shown to apply under all procurement conditions.

Item Type: Article
Uncontrolled Keywords: trust; procurement; project management; relationships
Index terms: risk apportionment, project management practice, interview, construction project, relational contracting, construction practitioner, project management, personality, project outcome, construction industry, interaction
Subjects: data collection methods, project completion, production management, professional development, project management theory and practice, financial risk, industry analysis, contractual arrangements, behavioral psychology
Topics: Procurement, Information Management, Project Management, Research Practice, Cost Management
Descriptive scope: 4 PCTE

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