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The outline of today's presentation

Performance contracts and construction quality Lena Borg Dep. of Real Estate & Construction Management. The outline of today's presentation. Introduction Part 1: Definitions and conceptual overview Part 2: The infrastructure sector Part 3: The building sector. The background of the project.

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The outline of today's presentation

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  1. Performance contracts and construction qualityLena BorgDep. of Real Estate & Construction Management

  2. The outline of today's presentation • Introduction • Part 1: Definitions and conceptual overview • Part 2: The infrastructure sector • Part 3: The building sector

  3. The background of the project • Incentive for “right” quality. • Swedish Agency for Public Management verifies: • Clients competence weak. • Some contracts have stronger forces to contribute to a qualitative and cost efficient work. • Swedish Agency for Public Management’s suggestion: • Purchase contracts with functionality demands, e.g. PPP, BOT or Performance contracting.

  4. The project • The research question: “Will a company build differently if they have they have the responsibility for the operate and maintenance part after construction are completed compared to a company that only has the responsibility for the construction part?” • Focus on contracts that has functionality as a main objective. • PPP, BOT, Performance contracting and other contracts that includes this main objective.

  5. Part 1: Definitions and a conceptual framework • New contracts and concepts are introduced, evaluated and discussed e.g. Performance contracting, PPP and BOT. • Lack of explicit definitions of the contracts and concepts. • Aim and Method: • Contribute to the understanding of the more or less new forms of contracts and concepts. • Literature review. • End up in four different categories • The literature in the field will be discusses on the bases of the categories.

  6. Part 2: The infrastructure sector • Cost efficiency can be achieved by contracts that contain: • Functionality demands. • Responsibility for the contractor to maintain and operate. • Does this mean that the decision making differs between those that only build and those that have the responsibility? • Aim and Method: • To see if the technical design differs between contracts purchased as e.g. PPP and Performance contracting compared to “traditional” contracts e.g. Construction contracts • Based on interviews of representatives from the infrastructure sector and will be used as a basis of a questionnaire.

  7. Part 3: The building sector • Aim and Method: • Examine the building sector and in particular the construction of multifamily houses. • To see if the technical design differs between actors that have different incentives. • Build operate and maintain (have everything in house). • Companies that only build and then sell. • Based on interviews of representatives from the building sector and will be used as a basis of a questionnaire.

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