Factors affecting the selection of a suitable contract strategy for construction projects in Egypt

Abstract EN

The selection of a suitable contract strategy is the owner responsibility ; accordingly the owner should deeply investigate and examine the different contract strategy alternatives prior to execution of project.

This is because the selection of a suitable strategy is a critical factor for construction project success.

Contract strategy as defined in this paper, consists four main elements ; work packaging / scope ; functional grouping / organization ; contract type ; and award method.

Also it is defined as how the owner pays for the services rendered by service providers in the execution of particular project.

This research paper aims at identifying the most important factors affecting the selection of a suitable contract strategy for construction projects in Egypt as the selection factors are the criteria upon which the project contract strategies are evaluated and selected.

Based on literature review thirty factors were collected and the content analysis yielded five major categories.

A questionnaire was used to collect opinions from experienced construction practitioners to define the relative effectiveness values for the collected factors.

By using a relative importance index, the top ten factors from the perspective of project expert’s participants, were analyzed and ranked.

Seventy seven building construction projects at the Egyptian construction market were selected as a test-bed for this study.

Hence, a deep investigation for a collected sample was carried out to define the frequency distribution for using different contract strategy scenarios.

Twenty two different scenarios and the frequency distribution of using were successfully defined.

Finally the compatibility of top ten factors with etch scenario are presented.