Nguyen, T; Hallo, L and Gunawan, I (2024) Investigating risk of public-private partnerships (PPPs) for smart transportation infrastructure project development. Built Environment Project and Asset Management, 14(1), pp. 74-91. ISSN 2044-124X
Abstract
Purpose: The purpose of this paper is to rank critical risks and determine major categories of risks to be considered by public–private partnerships (PPPs) investors when investing in “smart” transportation infrastructure. Such investment is sorely needed in many mega cities around the world currently suffering from serious impacts of traffic congestion, pollution and lack of usability of transport systems. Design/methodology/approach: The study used literature review focused upon smart transportation infrastructure projects financed by PPP arrangements to create a questionnaire which was refined by subject matter experts and then completed by 126 experienced respondents. Exploratory factor analysis was used to create major categories emerging from the collected data. Interviews with ten experts were used to validate the findings. Findings: The most highly major ranked risks shared by these participants were lack of expertise in complex project implementation, political interference, lack of PPP project data and lack of a collaboration mechanism between government and private sectors. Factor analysis showed that in terms of risk likelihood, stakeholder engagement, implementation process issues, the natural environment, data-sharing and technology complexity emerged. In terms of risk impact, major factors were stakeholder engagement, trust versus resistance issues, the natural environment and factors concerning uncertainty. Originality/value: This paper addresses a somewhat unexplored area, the risks involved in investing in PPP smart transportation infrastructure. Such infrastructure projects are embedded in their environments, and approaches using a complexity lens can emerge overriding risk concerns for investors when undertaking such projects.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | exploratory factor analysis; public–private partnerships; risk likelihood and impact; smart transportation infrastructure |
| Index terms: | complexity, implementation, project development, infrastructure project, complex project, stakeholder engagement, factor analysis, questionnaire, transportation infrastructure, methodology, collaboration, risk impact, usability, project data, partnership, literature review, private sector, pollution, investor, traffic congestion, exploratory factor analysis, interview |
| Subjects: | data collection methods, user-centered design, community and social dimensions, data analysis and analytics, contractual arrangements, strategic project management, project delivery, management, research methods, partnership management, sociology, infrastructure and transport systems, industry analysis, environmental hazards, environmental health, transportation engineering, statistical analysis, systems engineering |
| Topics: | Design Practice, Organizational Design, Business Strategy, Project Management, Research Practice, Engineering Principles, Stakeholder Management, Procurement, Sustainability |
| Descriptive scope: | 5 PCTEA |
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