Value creation dynamics in a project alliance

Farzad Pargar (Corresponding Author), Jaakko Kujala, Kirsi Aaltonen, Sampsa Ruutu

Research output: Contribution to journalArticleScientificpeer-review

3 Citations (Scopus)

Abstract

Project alliance requires all parties to work together in good faith, share project risks, and make unanimous decisions for the betterment of the project. A key feature of successful implementation of a project alliance is a focus on value creation and value for money. This paper proposes a qualitative system dynamics model to specify and explain dynamics of value creation processes in the context of project alliance. By synthesizing the existing literature and reports on project alliancing, this paper identifies four processes that have a strong influence on the value created in the project alliance context: work progression, rework, redesign and innovation, and rescheduling. In addition, we show how these value creation processes are interrelated and evolve over time. The effectiveness of these processes is influenced by the capability and motivation of the project alliance partners to discover works that do not fully utilize the available resources, and make quick decisions to capture these benefits.

Original languageEnglish
Pages (from-to)716-730
Number of pages15
JournalInternational Journal of Project Management
Volume37
Issue number5
DOIs
Publication statusPublished - 1 Jul 2019
MoE publication typeNot Eligible

Fingerprint

Dynamic models
Innovation
Value creation
Alliances

Keywords

  • Project alliance
  • Redesign and innovation
  • Rescheduling
  • Rework
  • System dynamics
  • Value creation

Cite this

Pargar, Farzad ; Kujala, Jaakko ; Aaltonen, Kirsi ; Ruutu, Sampsa. / Value creation dynamics in a project alliance. In: International Journal of Project Management. 2019 ; Vol. 37, No. 5. pp. 716-730.
@article{4ea7e00a18a14e7da7da1a4526453f88,
title = "Value creation dynamics in a project alliance",
abstract = "Project alliance requires all parties to work together in good faith, share project risks, and make unanimous decisions for the betterment of the project. A key feature of successful implementation of a project alliance is a focus on value creation and value for money. This paper proposes a qualitative system dynamics model to specify and explain dynamics of value creation processes in the context of project alliance. By synthesizing the existing literature and reports on project alliancing, this paper identifies four processes that have a strong influence on the value created in the project alliance context: work progression, rework, redesign and innovation, and rescheduling. In addition, we show how these value creation processes are interrelated and evolve over time. The effectiveness of these processes is influenced by the capability and motivation of the project alliance partners to discover works that do not fully utilize the available resources, and make quick decisions to capture these benefits.",
keywords = "Project alliance, Redesign and innovation, Rescheduling, Rework, System dynamics, Value creation",
author = "Farzad Pargar and Jaakko Kujala and Kirsi Aaltonen and Sampsa Ruutu",
year = "2019",
month = "7",
day = "1",
doi = "10.1016/j.ijproman.2018.12.006",
language = "English",
volume = "37",
pages = "716--730",
journal = "International Journal of Project Management",
issn = "0263-7863",
publisher = "Elsevier",
number = "5",

}

Value creation dynamics in a project alliance. / Pargar, Farzad (Corresponding Author); Kujala, Jaakko; Aaltonen, Kirsi; Ruutu, Sampsa.

In: International Journal of Project Management, Vol. 37, No. 5, 01.07.2019, p. 716-730.

Research output: Contribution to journalArticleScientificpeer-review

TY - JOUR

T1 - Value creation dynamics in a project alliance

AU - Pargar, Farzad

AU - Kujala, Jaakko

AU - Aaltonen, Kirsi

AU - Ruutu, Sampsa

PY - 2019/7/1

Y1 - 2019/7/1

N2 - Project alliance requires all parties to work together in good faith, share project risks, and make unanimous decisions for the betterment of the project. A key feature of successful implementation of a project alliance is a focus on value creation and value for money. This paper proposes a qualitative system dynamics model to specify and explain dynamics of value creation processes in the context of project alliance. By synthesizing the existing literature and reports on project alliancing, this paper identifies four processes that have a strong influence on the value created in the project alliance context: work progression, rework, redesign and innovation, and rescheduling. In addition, we show how these value creation processes are interrelated and evolve over time. The effectiveness of these processes is influenced by the capability and motivation of the project alliance partners to discover works that do not fully utilize the available resources, and make quick decisions to capture these benefits.

AB - Project alliance requires all parties to work together in good faith, share project risks, and make unanimous decisions for the betterment of the project. A key feature of successful implementation of a project alliance is a focus on value creation and value for money. This paper proposes a qualitative system dynamics model to specify and explain dynamics of value creation processes in the context of project alliance. By synthesizing the existing literature and reports on project alliancing, this paper identifies four processes that have a strong influence on the value created in the project alliance context: work progression, rework, redesign and innovation, and rescheduling. In addition, we show how these value creation processes are interrelated and evolve over time. The effectiveness of these processes is influenced by the capability and motivation of the project alliance partners to discover works that do not fully utilize the available resources, and make quick decisions to capture these benefits.

KW - Project alliance

KW - Redesign and innovation

KW - Rescheduling

KW - Rework

KW - System dynamics

KW - Value creation

UR - http://www.scopus.com/inward/record.url?scp=85059930145&partnerID=8YFLogxK

U2 - 10.1016/j.ijproman.2018.12.006

DO - 10.1016/j.ijproman.2018.12.006

M3 - Article

AN - SCOPUS:85059930145

VL - 37

SP - 716

EP - 730

JO - International Journal of Project Management

JF - International Journal of Project Management

SN - 0263-7863

IS - 5

ER -