DEVELOPING A CONSTRUCTION CONTRACT MODEL TO IMPROVE STAKEHOLDERS-BASED PROJECT PERFORMANCE (CASE STUDY: HIGHER EDUCATION BUILDING PROJECT)
The construction sector is a strategic industry that is significantly contributing to Indonesia's economic growth. One of the key projects in this sector is the construction of higher education buildings aimed at improving human resource quality through education and research. These projects ar...
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Format: | Dissertations |
Language: | Indonesia |
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Online Access: | https://digilib.itb.ac.id/gdl/view/87329 |
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Institution: | Institut Teknologi Bandung |
Language: | Indonesia |
Summary: | The construction sector is a strategic industry that is significantly contributing to Indonesia's economic growth. One of the key projects in this sector is the construction of higher education buildings aimed at improving human resource quality through education and research. These projects are funded by the state budget (APBN) and foreign grants/loans, with substantial financial allocations. However, construction projects for educational buildings often face performance issues, such as delays in project completion, cost overruns, design changes, donor approvals, and poor-quality contract documents. Inconsistencies in contract documents are often found in technical drawings, specifications, and bills of quantities (BQ), which mainly occur during the planning stage. This condition shows how vital the architect's role is to ensure the quality of planning documents and oversee the contract preparation process. The architect's involvement is key to minimising potential errors and ensuring that all documents produced meet the standards required to support effective and efficient project implementation.
This research aims to develop a contract model focused on improving the performance of construction projects. The methodology employs a mixed-methods approach, combining quantitative and qualitative analyses. In the quantitative phase, data collection was conducted through questionnaires distributed to respondents involved in university building construction projects. The collected data were analysed using Principal Component Factor Analysis (PCFA) with the assistance of JMP 18.0.1 software to identify factors influencing the relationship between contracts and project performance. The qualitative phase involved in-depth interviews with project stakeholders and content analysis to validate the quantitative findings. The relationship model between contracts and project performance was developed using Structural Equation Modeling (SEM) with SMART PLS 4.0 software. Additionally, the Analytic Hierarchy Process (AHP) method was used further to evaluate expert assessments in construction contracts and project management.
The results indicate that contract management has a more significant impact on project performance (?=0.557) than the contract aspects themselves (?=0.318). Key factors in contract aspects include coordination, contract standards, and contract clauses, while contract management encompasses implementation, organisation, and contract control. Identified project performance factors include time, cost, quality, environmental performance, occupational health and safety (OHS), contract variations, resource management, stakeholder satisfaction, contract risks, functionality, contract control, and working relationships. The developed contract model emphasises comprehensive contract management, active collaboration among stakeholders, and the strengthened role of architects in ensuring integration between design, execution, and project management. Evaluations show that this approach significantly enhances construction project performance, offering a strategic solution for improving the quality of infrastructure development in Indonesia.
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