Analyzing Characteristics of Conflicts and Their Impact on Project Added Value in Construction Projects in China

This research study aims to explore the characteristics of conflicts and their impact on project added value in the context of construction projects in China. The study will collect primary data through the interview method from two different construction firms in China and integrate the opinions of six participants from each company, belonging to low, medium and high management levels. The collected data will be analyzed by using Constant Comparative Analysis (CCA) and relevant results will be extracted.

Research Project Topic
Analysing the characteristics of conflicts and their impact on project added value in the
context of construction projects in China.
Abstract
Conflict is identified as a very critical outcome of poor performance and inadequacy in
relation to construction projects. The environment of construction projects is appropriate to study
and explore the disputes and conflict management. The purpose of this research study is to explore
the characteristics of conflicts and their impact on project added value in the context of construction
projects in China. The qualitative, multiple case-study research will collect primary data through the
interview method from two different construction firms in China and integrate the opinions of six
participants from each company, belonging to low, medium and high management levels. The
perceptions of the employees regarding the characteristics of conflicts in the Chinese construction
industry and the impact of three variations of conflicts, conflicts related to conduct issues,
contractual issues and technical issues on project added value will be assessed through the collected
qualitative data. The collected data will be analysed by using Constant Comparative Analysis
(CCA) and relevant results will be extracted.
1. The rationale of the study
A common construction project includes different task members, for example, the
proprietor, the contractual worker, the sub-temporary worker, the expert and the manager. These
project members function in a dynamic framework with an arrangement of interrelated connections
which demands skills and energy to organize schedule, assets and data (Harmon, 2003). Amid the
execution of projects, project members are associated with resource trade, exchange of knoweledge
and data correspondence. The shared objective of project members is to convey an effective task as
per the plans within the time and financial costs, initially foreseen. However, it is important to note
that variations of these associations unavoidably prompt different conflicts (De Dreu & Weingart,
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2003). If the conflicts are not resolved at the right time, they could affect the task advance, in
addition to the relationship between the various project members. In view of these contentions, the
construction ventures are tormented by an undeniably antagonistic connection between the
members, especially between the proprietor and the temporary worker (Chen et al., 2014). Such
conflict laden association makes it hard to accomplish project targets, resulting in increased time
and cost (Hwang et al., 2013; Jelodar et al., 2015). Consequently, more consideration should be
paid to reveal the basic elements of project conflicts and its related instrument.
The status of construction contracts is generally incomplete (Demirel et al., 2016). This can
be attributed to the features of construction projects, for example, complications and dynamicity,
and vulnerability all through the project life cycle, the novel attributes of construction by-products,
the conceivable human faults and the trouble in foreseeing the task execution. With progressively
complicated and dynamic construction strategies and momentous industry divisions, endeavours
have been channelled to accomplish project added value. Project added value, which begins from
the value chain, has concrete and delicate estimations, including project value, client value and
member value (Cheng & Huang, 2008). In the meantime, irregularity in goals and advantages has
brought about regular contentions among project members (Mele, 2011). Lately, inter-
organizational conflicts have turned out to be progressively confounded and exhibit variations in
construction projects because of the developing project scale and multifaceted nature. The effects of
inter-organizational conflicts on construction projects’ added value could be dangerous or valuable,
contingent upon various factors, for example, conflict management methodologies, the mentalities
of project members and the features of the contentions (Wu, 2013). Accordingly, it is fundamental
to examine the impacts of inter-organizational conflicts on construction projects’ added value. This
diminishes broad losses of significant worth and to help maintain a strategic distance from
contentions.
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The aim of this examination is to research the impacts of inter-organizational conflicts on
Chinese construction projects’ added value. A few examinations have been conducted to explore the
conflict among project members and its effects on added value (Wu et al., 2017). However, not
many of these investigations used a multi-level approach pertinent to the management levels, low,
medium and high to examine inter-organizational conflicts on the value of projects. To fulfil this
gap, this examination aims to add to the existing literature on project and conflict management by
proposing a logical framework.
2. Significance of the study
The outcomes of the research aim to significantly contribute to conflict management and
project management literature and specifically three primary stakeholders, the top management
support, project managers (negotiators) and the contract managers. The aims of conducting a study
on inter-organizational conflict management are to essentially tackle either clear or subdued
conflicts and to mitigate the onset, dispersion and altercation of conflicts. The consequences of the
examination will allow reasonable channels and methods for adopting diverse procedures,
organizing the thoughts of all members in project execution, identifying project issues in a timely
manner and gathering satisfactory data to make high-quality decisions. Additionally, the result of
the investigation will empower the stakeholders to discover and tackle the current yet hidden
conflict in a timely and effective manner, thus mitigating the conceivable conflict drivers and
guaranteeing the accomplishment of project added value. Along these lines, the investigation will
focus on the way project members should endeavour more efforts in managing conduct issues,
contractual issues and technical issues, specific to construction project management. In China,
absence of equality is not unordinary within project members, where conflicts are imperative. Thus,
the study will focus on the specific cases in relation to low, middle and top management to provide
necessary strategies across each level to enhance communication and effectuate mutual trust and
reduce conflicts and enhance project value add.
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3. Preliminary literature review
Conflict and Conflict Types
Wang et al. (2012) recommended that conflict was a condition, for example, discordant
episode of antagonistic activity, or a condition of confrontation in comprehension or feeling. The
conventional perspective of conflict accentuates objective restriction in contentious circumstances
and expects that conflict starts from inverse advantageous association including assets allocation
and irregularity in objectives, and the discernment that accomplishment of somebody's goal might
be detrimental to the other (Jehn, 1995). Among groups with shared objectives, in any case, conflict
may in any case emerge despite the absence of genuine logical contradiction (De Dreu, 2007).
Consequently, as indicated by the consistency in aims and objectives, conflicts can be segregated
into two categories, shared conflict with shared objectives and competitive clash with genuine
logical contradiction (Hemple et al., 2009). Most contentions in the construction projects are akin to
shared conflict that has a genuine impact on the project added value. The internal conflict is
normally identified with members' conduct and is nearly connected with project added value. With
shared objectives, project members are inclined to be associated with each other, which may prompt
conflicts.
From a construction projects’ perspective, conflict can be characterized as common
associations between project members because of alternate points of view on project targets (for
instance, quality, time, finances, security) (Wu, 2013), which is a type of inter-organizational
conflict. Inter-organizational conflict, in which the free interests and objectives produce the synergy
among project members, more often is evident among project members and represents distinctive
attributes at various phases of the project life cycle (Yiu & Cheung, 2006). The commanding
conflict detonates in the construction phase, and the fundamental members included are the
proprietor and contractual worker, representing 74.82 percent of aggregate contentions (Ding,
2012). Inter-organizational conflict in construction projects is a comprehensive procedure because
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of restriction or intrigue disparity in project goals among the proprietor, contractual worker and
other task members. In this manner, inter-organizational conflicts in construction projects are
characterized into conflicts identified with conduct issues, contractual issues and technical issues.
As indicated in the past examinations (studies such as that of Chen et al., 2014), conflict
because of conduct issues is a consciousness of relational incongruence that incorporates affective
aspects, for example, sentiments of strain and friction. Further, task conflict presents an attention to
contrasts in perspectives and conclusions relating to a group task; process conflict mirrors an
awareness of contention about how unique factors of a task will be proficient, for example,
designation of obligations and assets. Nevertheless, the task-conflict centres around various
perspectives on project substance and objectives. Contrarily, the process-conflict features process
variations all through the task achievement. Distinctive scales and kinds of conflicts have
interactional and entwined connections and can complete the change under specific conditions.
Huang (2010) examined the connection between task contentions, relationship issues and group
objectives by reviewing 529 staffs from 120 research and development (R&D) groups. The
examination presumed that group objective and a conflict resolution strategy directed the task-
conflict-relationship issues connection. Mele (2011) suggested that distinctive types of contentions
can be changed and differently influence the network value of projects.
Pazos (2012) contended that the conflicts intervened the connections between commitment
towards goals and group outcomes. Chen et al. (2014) segregated conflict into relationship based
issues, process based issues and task based issues to assess their consequences for project execution
and uncovered that the three types of contentions are emphatically related. Al-Sibaie et al. (2014)
recommended that conflict was a noteworthy reason of unproductivity and constrained execution of
construction ventures. Hu et al. (2017) analysed the impacts of task and relationship conflicts on
group creativity and found that conflict has a negative association with group creativity, while task
issues have an inverted U-formed association with group creativity. As indicated by Wu et al.
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(2017), unique types of conflicts played a helpful or detrimental role on added value. Their
examination found that process related conflicts and relationship conflicts were contrarily identified
with added value, though task conflict decidedly added to added value.
Considering the past examinations (such as studies by Wu et al., 2017), eight basic
components of conflict in construction projects can be distinguished and additionally classified into
three groups:
i. the components identified with characteristics of employees in a project;
ii. the components identified with negotiation characteristics of the participants in a project;
and
iii. the components identified with the technical process and procedures in a project.
Project Added Value
With the improvement of the Chinese construction industry, numerous companies have used
value-based methodologies to accomplish project added value. There are primarily three
methodologies to execute project added value. The main methodology is to increase the value of
construction projects, which is focused on the accomplishment of control goals. The second
methodology is to add value to the general population who specifically participated in a
construction venture, to upgrade their capacity, repute and helpful relationship and the conceivable
participation in the future. The third is to add value to the clients who influence utilization of the
construction project. Based on the Wu, Zhao and Zuo’s (2017) recent study and considering
intrinsic qualities of construction projects, this paper characterizes project added value from two
aspects: the transient measurement and project participant measurement. From the transient
measurement perspective, project added value incorporates the entire project life cycle from
decision-making and execution to project activity and culmination. Furthermore, this paper is
centred around the inter-organizational conflicts on construction projects’ added value, with specific
focus on project execution and functional stages.
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4. Research question(s) and objectives
The research aims to specifically address the question – what are the characteristics of
conflicts and their impact on project added value in the context of construction projects in
China? Accordingly, the following objectives can be outlined:
1. To assess the extent of variation in the conflict types across the three management levels,
low, medium and high in the Chinese construction industry.
2. To assess the relationship between each of the three conflict types, conflicts related to
conduct issues, contractual issues and technical issues, and project added value across the
three management levels in the Chinese construction industry.
3. To outline suitable conflict management solutions to address the most prominent conflict
type in the Chinese construction industry.
5. Research Methodology
5.1 Research Approach
The current study is based on employees’ perception of conflicts and its impact on the
project added value in the Chinese construction industry. The epistemological assumption is
exceptionally subjective and deciphered during the process of data collection and analysis
(Saunders et al. 2012). Likewise, the axiological assumption of the exploration depends on
researcher’s translation of the employees’ perception of conflicts, which constitutes as researcher’s
knowledge. The researcher is integrated within the phenomenon and the data accumulation and
investigation procedures depend on small sample size. Considering these aspects, interpretivism has
been considered as the adept rationality for the present examination (Saunders et al. 2012) and the
examination strategy is qualitative in nature, and the case-study design is suitable for the present
investigation.
The motivation behind the current qualitative, multiple case-study is to investigate
employees’ perception of conflicts and its impact on the project added value across the three levels
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of management, low, medium and high. Qualitative approach empowers in investigating the
phenomenon in an in-depth manner without subjective investigation of information gathered as
numbers. Since conflicts are qualitative and subjective viewpoints, the unobtrusive subtleties of the
perceptions of employees cannot be characterized or measured through numbers as in the case of
quantitative approach (Neuman, 2013; Creswell, 2013; Creamer & Tendhar, 2016). Undoubtedly,
quantitative methods related to conflicts and project added value have been applied (for instance,
study by Wu, Zhao & Zuo, 2017). To add value to the literature, the research method in the current
study is based on qualitative approach.
In addition, since the researcher is submitted broadly to gather information from employees
from time and effort perspective, participate in the intricate and dynamic procedure of information
accumulation and examination, compose long sections and have faith in the developing idea of
speculations instead of predefined assumptions considering past investigations (Creswell, 2013),
qualitative strategy is suitable for the investigation. Likewise, as characterized by Saunders et al.
(2012) the philosophical assumptions in qualitative approach are subjective and the strategy to
accomplish the objectives is inductive in nature.
5.2 Data collection methods and analysis
Data in the present examination will be gathered utilizing primary and secondary data
accumulation techniques. Data accumulation process in the proposed study includes personal
interviews and audiotape recording of each employee who participates in the study. Informal
responses to the interview questions constitutes as the essential qualitative information in the
present examination. The information registered in each audiotape amid the meetings will be
correctly and professionally interpreted.
Semi-structured interviews, which are favoured in most of the qualitative investigations will
be utilized, since it provides the employees with the opportunity and flexibility to offer extra
information and knowledge, and offer significant information of their own perspectives (Yin, 2014).
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In line with the thought-process of Miller and Glassner (2016), the researcher can direct the
exploration with a set of questions, yet, incite for additional data, when an interesting angle is put
forward by the employees.
Study Sample and Sampling Strategy
Since representatives in the Chinese construction industry comprises of a large population,
collecting opinions of each employee in the low, middle and top management is exceptionally
unrealistic. A sample is chosen to lead the investigation, in view of which the outcomes can be
generalized across the Chinese construction industry. The study sample for the study comprises of
low, middle and top management of two Chinese construction companies. The proposed qualitative
multiple-case study research is exploratory in nature; along these lines, the sampling method which
is appropriate in the present examination is purposive nonprobability-based sampling strategy. The
utilization of purposive sampling in qualitative studies, particularly case studies, is viewed as
indispensable strategy for getting information from the employees (Robinson, 2014). Through the
sampling method, the inclusion of predefined employees (two employees each from low
management level, medium management level and high management level for each of the two
companies with a tenure of minimum six months) for collecting data can be achieved. The adoption
of the purposive sampling method is crucial while selecting the employees in the Chinese
construction industry. The proposed study comprises of around twelve employees. The number of
interviews for the case-study research will be decided upon the saturation of data. The point of
saturation can be characterized as accomplishment of threshold of data collection. Once the data is
collected, it is subjected to data analysis.
Data Analysis
Data analysis is known to be the deliberate procedure and techniques that features the
relationship and highlights of connections of factors correlated to the research phenomenon
(Grbich, 2013). One of the upsides of the qualitative research approach amid data analysis is the
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capacity to recognize the result of an emerging examination data design in an ongoing research
(Miller & Glassner, 2016). Content analysis is utilized as a part of the present investigation to
analyse the subjective information. The proposed study will take after Grbich’s (2013) four-phase
data analysis approach where the researcher, in the underlying stage, will read the whole transcript
carefully and possibly a few times. In the second phase, the researcher will change the transcript
into developing themes. In the third phase, the researcher will carefully evaluate the developing
themes and gather them together to plan hypothetical connections. In the last phase, the researcher
will create a chart of topics that exhibits the design of fundamental subjects and sub-points and
conducts a CCA to accomplish relevant outcomes. In this way, considering the inductive rationale
of developing a hypothesis, the outcome of the study is the development of a model that outlines
necessary steps to support the policy and decision makers to develop specific strategies to manage
conflicts and enhance project added value.
5.3 Ethics Statement
This examination is a complimentary assignment to finish Master of Project Management
program at the Central Queensland University. The purpose of this research is to analyse the
characteristics of conflict management in the context of construction projects in China. In the
present investigation, according to University's endorsement and approval of including human
subjects and project proposal acknowledgment, informed consent will be obtained from the
employees. In addition, ethical guidelines outlined by Creswell (2013) will enable the researcher to
comprehend the significance of protection of privacy and confidentiality of the employees
participating in the study. Accordingly, informed consent will be primarily obtained and the
employees will be assured about their individual and company’s privacy. Anonymity will be
ensured. The names of employees or the companies will not be published in this paper. The
employees will be guaranteed of ‘voluntary participation’ and ‘right to withdraw’ from the
examination at any given period of the investigation. There is no hazard related with participation in
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this study. Thus, as part of research ethics, the confidentiality, integrity and privacy of participants
will be always ensured.
6. Research project management
In this section, necessary project management information such as project exclusions, risk
analysis and response strategies, including stakeholder analysis and data management is provided.
Project exclusions
In terms of geographical delimitation, the study is delimited to conflict management in the
construction industry, involving two different construction firms only in China. Regarding the
methodology, the study is delimited to the interview method of data collection, since the researcher
aims at collecting and understanding the subtle nuances involved in conflict management. In
addition, the study is delimited in the implications, since it is focused towards understanding the
conflict management process, rather than outlining suitable strategies. The identified delimitations
can be minimized by projecting the study as a cultural analysis of understanding the opinions of
employees in Chinese construction companies. In addition, involving about 12-15 interviews and
CCA will avoid researcher bias. Finally, a small recommendation section can include various
strategies to mitigate the conflicts in the construction industry.
Risk register including analysis and response strategy
Table 1
Ten negative risks that I may encounter during conducting the project activities and my plausible
response strategy to counter each negative risk
No. Risk Probability
(1 very low,
5 very high)
Impact
(1very
low, 5
very high)
Assessment
(impact x
probability)
Response strategy
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1 Monetary 4 4 High risk Ensure suitable
funding is available
and cite the resources
appropriately to avoid
issues related to
intellectual property
rights
2 Generalizability 3 3 Medium risk Ensure to conduct at
least 12-15 interviews
to avoid lack of
generalizability and
use thematic
measures to ensure
objectivity
3 Integrity 5 5 Very high risk Make justified claims
based on the collected
data and use relevant
secondary resources
to validate the claims
4 Adoption of research
methods
4 4 High risk Conduct relevant
research to ensure the
applicability and
procedures involved
in the interview
process
5 Data management 5 5 Very high risk Ensure recordings are
transcribed in safe
location; store data in
a password-protected
computer and share
data with the faculty
only
6 Suitable understanding of
the subject
4 4 High risk Review relevant
literature to
understand the need
and importance of
conducting a study in
conflict management,
especially in the
construction industry
7 People management 3 4 High risk Explain the objectives
of the study and
deliver the results to
the involved
stakeholders as
accurately as possible
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8 Research ethics 5 5 Very high risk Obtain informed
consent, inform about
the voluntary nature
of participation,
ensure their
protection of privacy
and ensure
confidentiality of
data. Avoid collecting
contact details and
represent the
participants as
participant 1, 2, 3 and
so on
9 Schedule 3 3 Medium risk Ensure that the
project is divided in
phases and complete
each phase within the
specified duration
10 Infrastructure 3 3 Medium risk Ensure suitable
locations are
identified for
participants which
allow them enough
freedom to express
themselves
Stakeholder analysis
Table 2
Stakeholder analysis of five stakeholders who can influence the changes or may be impacted by the
project, in addition to the information needed and the desired outcome of the project
Stakeholder Influence
(ability to effect
changes)
Impacted by
project
Information needed Outcome desired
Employees High High impact Understand the
different types of
conflict
Develop suitable
conflict resolution
strategies among
peers and with the
management
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Construction project
managers
High High impact Understand the
different types of
conflict
Develop suitable
conflict resolution
strategies among
peers, with the
team members and
with the
management
Supply chain
managers
High High impact Understand the
different types of
conflict
Develop suitable
conflict resolution
strategies with the
horizontal and
vertical aspects of
the supply chain
Education authorities Medium Medium impact;
however,
unlikely to
absorb the
implications
Make project and
business
management
students aware of the
various types of
conflict from a
cultural perspective
Mandating of
conflict
management
strategies in
accordance with
industry-wise
specific data to
prepare students
for the reality in
the business world
Interns and students Low High impact and
likely to absorb
the implications
Make project and
business
management
students realise the
importance of
assessing and being
aware of various
types of conflict
Understanding the
nuances of
conflict and the
relevant strategies
will equip the
interns and
students to be
aware of the
plausible issues
and manage them
effectively to
ensure
productivity,
motivation and job
satisfaction
Data management
The primary data collected in the form of recordings, will be transcribed and stored in a
personal computer (PC) with relevant data encryption. The researcher will ensure that the
recordings are transcribed in a closed and secure environment. The data will be reviewed multiple
times to identify suitable themes and conduct appropriate comparison and analysis. The secondary
data collected to support and validate the theoretical constructs of the study, will be organized using
refworks, a citation software. Since the data used in the current study has been collected through
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hard work and after gaining trust and building rapport with the participants, it will be safeguarded
and protected from unauthorised use through an encryption password on the data folder in the PC,
apart from the PC’s password. Only the researcher will have access to the data files and the data
files will be shared with the academic management support upon request in the form of a link,
which only the researcher and higher education authorities will have access to.
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