Leiringer, R and Schweber, L (2010) Managing multiple markets: Big firms and PFI. Building Research & Information, 38(2), pp. 131-143. ISSN 0961-3218
Abstract
The Private Finance Initiative (PFI) is frequently portrayed as a vehicle for change for the UK construction sector. Significant change in the working practices of construction companies is predicted as new business models based on whole-life value creation emerge. This paper shifts the focus of discussion from projected ideals and possible developments to the current situation. More specifically, it focuses on the challenges that large firms participating in both PFI and traditional markets face. The analysis focuses on the relations between business units and on day-to-day challenges to greater long-term commitment, through life-service provision and increased integration between construction and service provision. The paper offers insights into the effects of PFI on construction practice and their implications for theorizing on organizational and strategic change. It suggests abandoning a simplistic model of the centralized, homogenous firm and instead capturing the dynamics of decentralized, large firms working in multiple markets on a variety of projects. This would assist in the provision of more realistic and fruitful models of how to realize the PFI vision.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | collaborative working; construction firms; integrated solutions; multiple markets; private finance initiative; public finance initiative; value creation |
| Index terms: | theorizing, construction company, construction firm, working practice, face, commitment, integrated solution, value creation, business model, dynamics, integration, private finance initiative, markets, construction sector |
| Subjects: | systems engineering, industry analysis, organizational analysis, economic development, management, economic analysis, data science, contractual arrangements, psychology, innovation studies, business, organization |
| Topics: | Organizational Design, Procurement, Sustainability, Business Strategy, Research Practice, Engineering Principles |
| 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