Assignment Sample on BUIL1232 Construction Project Management 

.   Introduction and Background Research

1.1.   Introduction to the issue

Construction project management involves a complex discipline that requires identifying and addressing several significant concerns including ‘scheduling’, “cost control”, “risk management”, and ‘procurement’. The aim of this study is to examine different principles of ethics, governance, and culture within an organization for conducting construction project management. Inadequate risk management, poor communication, lack of structure, delayed cash flow, unrealistic expectation, poor forecasting, and limited skills are the main issues in construction project management.  These critical issues reflect a negative impact on this project and the budget crisis becomes the fundamental consequence. This study sheds its light on these issues, their reasons, and malpractice thus providing some recommendations.

1.2.   Background context

Ethics and governance in business entail several areas that effectively create awareness to mitigate different issues. The basic principles of ethics and governance include transparency, accountability, responsibility, and fairness through proper risk management, compensation, and ethical behaviour. Breakout of these principles creates several issues and jeopardizes organizational infrastructure to carry out different activities. In managing proper construction project work, the organizations are facing different issues for this improper ethics and governance (Hewavitharana, and Perera, 2019). Employees undertake different types of malpractices and this effectively breaks ethics, norms, and governance of construction project management.

The construction industry is considered as one of the most ‘fraudulent’ industries worldwide and it provides an environment for ethical dilemmas with its strong competition and low price strategy. As influenced by Salin et al. (2017), susceptible to unethical practices are involved with this industry, and breaking of ethics and governance are regularly observed. In this scenario, identification of issues with understanding ethics and governance is necessary to ensure employee safety and proper execution of different projects. The effect of unethical practices, for instance, increased project costs, tender uncertainty, wastages of tender expenses, economic damage, creates a lasting impact on the construction industry (Cox et al. 2018). Recently, the construction industry is facing several other issues such as the effects of natural disasters, reduced investment, inaccurate time management, and others.

2.   Analysis and Synthesis of the Task

2.1. Discussion of ethics and governance in business

In business, ethics and governance involve a system of rules, processes, and practices through which the firm is controlled and directed. In the words of Hwang et al. (2017), it assists organizations to encompass every sphere of construction by internal controls and taking planning actions. Effective corporate governance provides different mechanisms for regulating directors’ duties to restrain them from abusing powers and ensures proper activities. Business ethics is defined as integrating different values, for instance, transparency, trust, honesty, and fairness into its practices, policies, and decision-making. As stated by Mohammadi et al. (2018), ethics and governance in business are inherently linked to each other and the consequent adaptations and expectations of different ethical practices create a chain effect for promoting corporate governance. Adaptation of business ethics provides different advantages to build the reputation of a firm, especially of construction projects.

Ethics is regarded as the ‘heart of corporate governance and it is an essential and vital component to the smooth journey of construction project management. According to the view of Sanni-Anibire et al. (2020), ethical practices in the construction industry effectively regain customer values through honesty, trust, and transparency. Understanding these ethical practices is important to create an organizational culture through dealing with several risks and mishaps. In the construction industry, ethical issues do not concern bribery and corruption, but collusive tendering and conflict of interest. This scale of corruption in the construction industry is higher than any other organization and unethical practices impact the quality of projects (Carlson et al. 2018). Increased unethical behaviour and malpractices in construction industries are significant issues that create several defects in the quality of construction.

Advantages of ethics and governance

Adaptation of ethics and governance assist in building up an organizational reputation to increase customer loyalty and revenue through increasing awareness of their rights. In different cases, ethical practices assist regaining customer values through this loyalty, honesty, and transparency of different customers. As opined by Chen et al. (2018), it further assists to attract the talented workforce to improve performance and productivity by motivating them and ensuring their safety. This maintenance of ethics and proper governance enables organizations to remain in close contact with suppliers and employees to improve productivity.  It is a key parameter for evaluating strategic partners and global investors to improve economic efficiency and growth. Compliance with different regulations, collaborative works assists in eliminating financial risks and improving the workforce in the construction industry (Yao et al. 2019). The systematic approach of corporate governance and ethics fosters different organizational activities and enhances project performances.

Ethics and governance is a tool for resolving conflicts and issues through equal treatment to different stakeholders and eliminating bribery. In the words of Schultz et al. (2021), this ethical approach upholds organizational reputation by maintaining all sets of principles, laws, and activities. In this global market, due to different processes, like urbanization, modernization, and westernization, organizational values are constantly changing and evolving. Strong relationships with different suppliers are required to integrate different organizational ethics to adopt this change. Therefore, the adaptation of organizational values and ethics is important to mitigate different issues with proper collaboration and compliance (Lin et al. 2018). Recently, organizations are focusing on implementing different strategies to enhance corporate value to improve its performance.

Poor governance is problematic

In construction organizations, poor governance is problematic and it critically increases different malpractices with either issues or risks. The critical reason for this rise of unethical issues in the construction industry is this poor governance and it creates a profound impact on poor quality projects. According to the view of Chan, and Owusu (2017), improper risk management, planning, and increased construction cost are major problems to foster this poor governance. Besides, different malpractices undertaken by employees jeopardize organizational value along with this poor governance process. The breakdown from organizational culture and values further creates different problems and fosters poor governance processes with increasing dishonesty and malpractices (Tabassi et al. 2019). Unfair conduct, conflict of interest, fraud, and bribery are different other practices that are fostered through this poor governance process.

Recently, to deliver an effective construction project, effective governance is highly significant through demonstrating different operations by integrating organizational value and culture. Therefore, poor governance is highly problematic through corrupting organizational values, norms, and processes and determines project quality. Construction industries, becoming one of the most ‘fraudulent‘ industries, are evolving through different corruption, malpractice, and unethical activities. As opined by Alqooti (2020), a poor governance system fosters different types of activities, for instance, negligence, bribery, fraud, dishonesty, and unfairness. It effectively disrupts the economic condition by maximizing the effects of bad decisions and creating other issues in time management. This poor governance process effectively leads to different types of misconceptions, poor decision-making, lack of resources, lack of skilled employees, and so on (Stanitsas et al. 2021). This problematic issue should be resolved through maintaining proper culture, ethics, and value with fostering the decision-making process and improving financial scale.

2.2. Evaluations of the reasons that malpractice continues to exist

Construction industries are evolving through different susceptible activities, unethical practices and that creates a devastating impact on project performance. In this recent era, malpractice is continuously increasing for different reasons and diminishes project quality, and minimizes the financial scale. As influenced by Vig et al. (2020), different factors relating to the owner, contractor, and consultant are the critical reasons for industrial practices. In this global market, due to different processes, for instance, globalization, modernization, construction industries adopt different strategies to change. In this case, the dissatisfaction of employees fosters themselves to undertake different malpractices that create a devastating impact on organizational performances and diminish project quality. As stated by De Bakker et al. (2019), delaying payment, decreasing the price of tender from the owner’s perspective effectively leads to several problems and makes the employees dissatisfied. These malpractices of construction industries are mainly created from the dissatisfaction of employees and suppliers.

In this case, delayed payment demotivates employees about different types of activities, and decreasing the price of tender diminishes project quality and performance. Advertising a particular project land for private purposes is the most responsible factor for different unethical practices. According to the view of Nassar, and Battour (2020), illogical awarding of projects creates corruption, and delays in projects make the employees work in an unethical manner. Overbilling, withdrawal of tender, eloping from the duties, illogical request to time expansions from the contractor perspective leads to different other main practices by the employees. In this malpractice in the construction industry, the key responsible persons are owners, contractors, and consultants for their negligence, unethical behaviour, and poor-decision making process (Elali, 2021). This makes the employee involved in different kinds of malpractices, like bribery, fraud, and conflict.

The irresponsibility of the contractor, owner, consultant, and project manager creates most common malpractices, like, bribes and inducements, favouritism, nepotism, hospitality, and gifts. Bid shopping, bid cutting, under-bidding, and bid-rigging, overbilling, withdrawal of tender from contractors’ perspective leads to several issues and unethical practices. As influenced by Alqooti (2020), eloping from practice is the most common issue that is critically observed and this decreases organizational productivity and performance. In construction industries, the existence of several malpractices has different crucial reasons and it fundamentally affects its employees and customer satisfaction process. Complex projects, lack of employee security, poor financial scale, and life risk issues, and an increase in accidents and mishaps are the main issues that make the employees dissatisfied (De Bakker et al. 2019). Overbilling and poor delaying issues are the main problems that critically affect this project quality and become unable to meet different customer demands.

In this urbanization era, to meet different customer demands, construction projects become more complex and it increases accidents and injuries. Contrarily, in this time due to the economic crisis, construction industries are unable to satisfy their employees through proper payment. In the words of Chan, and Owusu (2017), delay in payment is a fundamental factor that makes the employee dissatisfied and it fosters different malpractices and unethical issues. The irresponsibility of owner and contractor and their negligence critically affect employee performance and behaviour and it increased malpractices within organizations. Lack of supervision, lack of consultant experience, accepting bribery from the constructor, imposing heavy and unfair fines are other factors that led to unethical behaviour and malpractices (Stanitsas et al. 2021). The different life security problems and payment issues are the most crucial reasons that make this employee dissatisfied and lead them to be involved in different kinds of malpractices.

This responsibility of the project manager, the complexity of different tasks, and payment-related problems are the critical factors for this existence of malpractices within construction industries. According to the view of Tabassi et al. (2019), lack of cultural values, ethics, norms, poor decision-making process, lack of knowledge are other problems that make the employees dissatisfied. Lack of motivation, training, career growth opportunities for doing different complex tasks, lack of increments, and supervision are fundamental factors for increasing malpractices. Recently, the key reasons for this increasing malpractice are poor budget structure, lack of monitoring, controlling, and supervision (Schultz et al. 2021).  This gives a chance for overbilling, lack of increments, and makes the employees dissatisfied about different organizational practices.

Therefore, these issues create significant problems in different organizational practices and critically affect financial performance. According to the view of Yao et al. (2019), lack of motoring, governing, and controlling are critical factors that provide the chance of unethical and malpractices. Illogical demands, fraud activities, and taking bribes are other several factors that critically affect organizational financial scale. These improper training, payment issues, and lack of career growth opportunities are other factors that create demotivated and unsatisfied employees (Lin et al. 2018). Therefore, it is imperative to note that these malpractices in construction industries are continuously increasing for complex project structure, lack of security, and payment issues.

2.3. Ways to combat malpractice and incentivize ‘good’ behaviour

In construction industries, prevention of malpractices and incentivizing ‘good’ behaviour are necessary objectives to increase productivity and project performance. These steps are critical by influencing employees and implementing several strategies through different training and career growth opportunities. As cited by Carlson et al. (2018), construction industries are facing different issues for increasing risks, accidents, and injuries for different complex tasks to satisfy the needs of different customers. Proper controlling, monitoring, and supervision are crucial steps to overview different activities and reduce malpractices. In different complex projects of construction industries, career growth opportunities and training assist in motivating and influencing employees with ensuring safety. In the words of Chen et al. (2018), regular increments and timely payment are also necessary to combat malpractices and make the employees satisfied. Good behaviour is incentivized through motivating and influencing employees through different activities and ensuring their safety within this construction organization.

This malpractice within construction industries is required to prevent financial scale and improve project quality to meet different customer demands. Proper monitoring, controlling, providing career growth opportunities, timely payment is critical steps to make the employees satisfied and combat malpractices. In the words of Sanni-Anibire et al. (2020), building strong relationships between project managers and employees is necessary to influence them and create a favourable organizational structure. Proper governance and integrating different cultural values are important to make different organization activities in an effective and organized way. Resolving different conflicts, regular increments and timely salary are particular factors that make employees more satisfied and motivated. As influenced by Hwang et al. (2017), proper documentation, effective communication are several ways for proper monitoring and employment of loyal employees that assist in preventing unethical practices. The establishment of strong relationships with different employees, suppliers, and managers is crucial for performing different activities.

Complete record and documentation, proper payment, and engagement of loyal employees are essential to prevent different unethical practices. According to the view of Wibowo et al. (2018), training and career development programs are crucial for improving employee behaviour and performance. Proper documentation is required to manage time and budget and foster proper monitoring, controlling, and supervision. Employee satisfaction is a fundamental factor that effectively reduces unethical practices within an organization and improves productivity. Therefore, in order to motivate different employees, construction industries are highly concerned to provide different training programs and career growth opportunities (Hammes et al. 2020). Training, incentives, proper wages, and ensuring life security assist in fostering good behaviour through motivating and satisfying employees.

In this recent challenging situation, combating different malpractices and fostering good behaviour are critically required to improve productivity and project quality. Regular payment, proper incentives, and supervision assist in improving project performance and function by influencing and motivating its employees (Mohammadi et al. 2018). Regular communication and strong relationships with suppliers, managers, and employees assist in fostering ‘good’ and ethical behaviour within organizations. As opined by Salin et al. (2017), these motivated employees assist in improving productivity, and proper supervision, monitoring, and controlling prevent different malpractices and unethical behaviour. Therefore, it is observed that adaptation of different steps and procedures are important to combat this malpractice in the construction industry and incentivize ‘good behaviour’.

3. Conclusion and   Recommendations

3.1. Conclusion

Based on the above discussion, it can be concluded that proper ethics and governance are critically important to improving organizational activities dealing with different malpractices. The study has discussed ethics and governance within construction organizations and its several advantages in improving employee morale and performance. Poor governance is a problematic issue that jeopardizes organizational structure and financial performance. Ethics and governance effectively build up organizational reputation and structure through proper motoring, controlling, and supervising. The study further identifies several reasons for which the malpractices existed until now within this construction organization. Complex project activities, lack of supervision, life risk issues, and lack of monitoring and documentation are fundamental reasons for this increasing malpractice. Several ways to combat malpractices and incentivize ‘good behaviour’ are necessary to improve organizational functionality and productivity.

3.2. Recommendations

The study provides several recommendations to improve organizational productivity through dealing with different malpractices and unethical behaviours. Proper motoring and maintenance of organizational ethics are necessary to supervise every step and produce and through identifying different risks.  As influenced by Seasick (2018), this is an effective practice to avoid different malpractices like overbilling and increase of bills by project contractors. Construction industries in the UK are dealing with different kinds of unethical behavior and complex tasks. In this case, improvement of organizational structure through proper time management and budget control is necessary (Cox et al. 2018). Budget control effectively assists in improving economic crises and delay in payment issues to influence its employees and make them satisfied.

Regular monitoring, promoting ethics code, and awareness are critical to organizing different activities by maintaining ethics and proper governance process. Therefore, to improve the proper monitoring process, the adaptation of technology is critically required to track internal organizational activities. As opined by Rizk et al. (2018), the Internet of Tools (IoT) and Artificial Intelligence (AI) are significant for proper tracking and monitoring and this effect works in preventing different malpractices. These recommendations are significant and effectively assist this construction organization to improve its performance through identifying different risks. Adaptation of ethics and norms provides significant advantages in maintaining organizational culture, productivity, and other internal practices (Hewavitharana, and Perera, 2019). Technology further assists in controlling budgets and maintaining organizational ethics to improve financial scale and organizational productivity.

Engagement of loyal employees and providing training programs assist in preventing malpractices and maintaining different organizational performances. The study suggests engagement of HR management in recruiting loyal employees with proper knowledge in the construction process.  As opined by Montalbán-Domingo et al. (2019), training programs and career growth opportunities effectively work in maintaining different organizational performances and mitigating malpractices. Therefore, this adaptation of technology, engagement of professional employees, and proper monitoring process are significant and assist in improving organizational productivity. Time management, promotion of ethics code, and budget control are necessary to execute proper projects within a limited period (Hetami, and Aransyah, 2020). These recommendations are crucial for dealing with these malpractices through integrating ethics and proper governance within construction industries.

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