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2023 | OriginalPaper | Buchkapitel

4. Behavioural Considerations in Construction Incentivization Planning

verfasst von : Liuying Zhu, Sai On Cheung

Erschienen in: Construction Incentivization

Verlag: Springer International Publishing

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Abstract

It is quite often assumed that all enterprises seek continual performance. In this regard, incentives in various forms have been used as performance motivators. Typically, incentive arrangements in construction involve setting cost, schedule, and outcome performance targets. Moreover, the success of incentive schemes is not guaranteed. Many projects with incentives still end with project overruns, huge claims, and embarrassing defects. It is advocated that defective design is one of the key causes of the nonfunctioning of incentive arrangements. This study reminds us that there are certain norms to be followed in the planning of construction incentivization. The characteristics of three well-known normative principles are introduced. In addition, this study advocates that construction incentivization should also be planned to engender the commitment of the contracting parties. In this respect, managing behaviours between the parties should be one of the planning norms of construction incentivization. Empirical support is also provided.

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Titel: Behavioural Considerations in Construction Incentivization Planning
verfasst von: Liuying Zhu
Sai On Cheung
Verlag: Springer International Publishing
Buch: Construction Incentivization
Print ISBN: 978-3-031-28958-3

Electronic ISBN: 978-3-031-28959-0

Copyright-Jahr: 2023
DOI: https://doi.org/10.1007/978-3-031-28959-0_4

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