IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v9y2017i5p781-d98000.html

The Impact of Project Organizational Culture on the Performance of Construction Projects

Author

Listed:
  • Luong Hai Nguyen

    (Department of Construction Economics, University of Transport and Communications, No.3 Cau Giay Str., Lang Thuong Ward, Dong Da Dist., Hanoi 100000, Vietnam)

  • Tsunemi Watanabe

    (Department of Management, School of Economics & Management, Kochi University of Technology, 2-22 Eikokuji-cho, Kochi 780-8515, Japan)

Abstract

Cultural influence has recently received significant attention from academics due to its vital role in the success or failure of a project. In the construction industry, several empirical investigations have examined the influence of culture on project management. The aim of this study is to determine the impact of project organizational culture on the performance of construction projects. A total of 199 completed construction projects in Vietnam with specific data gathering through questionnaires were analyzed. The findings reveal that contractor commitment to contract agreements is the most significant cultural factor affecting project performance. Goal alignment and reliance, contractor commitment, and worker orientation (i.e., commitment to workers) contribute to improved overall performance and participant satisfaction. Contractor commitment and cooperative orientation enhance labor productivity, whereas goal alignment and trust and contractor commitment ensure learning performance (i.e., learning from experience). The findings of this study may assist construction professionals in implementing practices that can contribute to the sustainability and success of construction projects.

Suggested Citation

  • Luong Hai Nguyen & Tsunemi Watanabe, 2017. "The Impact of Project Organizational Culture on the Performance of Construction Projects," Sustainability, MDPI, vol. 9(5), pages 1-21, May.
  • Handle: RePEc:gam:jsusta:v:9:y:2017:i:5:p:781-:d:98000
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/9/5/781/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/9/5/781/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gary S. Hansen & Birger Wernerfelt, 1989. "Determinants of firm performance: The relative importance of economic and organizational factors," Strategic Management Journal, Wiley Blackwell, vol. 10(5), pages 399-411, September.
    2. Florence Phua & Steve Rowlinson, 2003. "Cultural differences as an explanatory variable for adversarial attitudes in the construction industry: the case of Hong Kong," Construction Management and Economics, Taylor & Francis Journals, vol. 21(7), pages 777-785.
    3. Groemping, Ulrike, 2006. "Relative Importance for Linear Regression in R: The Package relaimpo," Journal of Statistical Software, Foundation for Open Access Statistics, vol. 17(i01).
    4. Imran U. Khan & Abel Usoro & Grzegorz Majewski, 2012. "An Organisational Culture Model for Comparative Studies and Assessment of IT Projects," International Journal of Human Capital and Information Technology Professionals (IJHCITP), IGI Global Scientific Publishing, vol. 3(2), pages 63-83, April.
    5. Peter Fenn & David Lowe & Christopher Speck, 1997. "Conflict and dispute in construction," Construction Management and Economics, Taylor & Francis Journals, vol. 15(6), pages 513-518.
    6. Michail Kagioglou & Rachel Cooper & Ghassan Aouad, 2001. "Performance management in construction: a conceptual framework," Construction Management and Economics, Taylor & Francis Journals, vol. 19(1), pages 85-95, January.
    7. Mei-Yung Leung & S. Thomas Ng & Sai-On Cheung, 2004. "Measuring construction project participant satisfaction," Construction Management and Economics, Taylor & Francis Journals, vol. 22(3), pages 319-331.
    8. Ang Yee Kwan & George Ofori, 2001. "Chinese culture and successful implementation of partnering in Singapore's construction industry," Construction Management and Economics, Taylor & Francis Journals, vol. 19(6), pages 619-632.
    9. N. A. Ankrah & D. A. Langford, 2005. "Architects and contractors: a comparative study of organizational cultures," Construction Management and Economics, Taylor & Francis Journals, vol. 23(6), pages 595-607.
    10. Truong-Van Luu & Soo-Yong Kim & Huu-Loi Cao & Young-Min Park, 2008. "Performance measurement of construction firms in developing countries," Construction Management and Economics, Taylor & Francis Journals, vol. 26(4), pages 373-386.
    11. D. G. Proverbs & G. D. Holt & P. O. Olomolaiye, 1999. "Productivity rates and construction methods for high rise concrete construction: a comparative evaluation of UK, German and French contractors," Construction Management and Economics, Taylor & Francis Journals, vol. 17(1), pages 45-52.
    12. Abdelnaser Omran & Mohammed Alnor Abdulbagei & Abdelwahab O. Gebril, 2012. "An Evaluation Of The Critical Success Factors For Construction Projects In Libya," The International Journal of Economic Behavior - IJEB, Faculty of Business and Administration, University of Bucharest, vol. 2(1), pages 17-25, December.
    13. Geert Hofstede, 1983. "The Cultural Relativity of Organizational Practices and Theories," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 14(2), pages 75-89, June.
    14. Prost, Lorène & Makowski, David & Jeuffroy, Marie-Hélène, 2008. "Comparison of stepwise selection and Bayesian model averaging for yield gap analysis," Ecological Modelling, Elsevier, vol. 219(1), pages 66-76.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Adeyemi Awote Adewumi & Nuruddeen Usman & Musa Muhammad & Yusuf Aliyu Ishaku, 2025. "Effect of Project Managers’ Leadership Behaviour on Construction Project Success in FCT, Abuja," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(8), pages 4263-4300, August.
    2. Radek Doskočil & Branislav Lacko, 2018. "Risk Management and Knowledge Management as Critical Success Factors of Sustainability Projects," Sustainability, MDPI, vol. 10(5), pages 1-13, May.
    3. Junlong Peng & Qi Zhang, 2022. "Safety Performance Assessment of Construction Sites under the Influence of Psychological Factors: An Analysis Based on the Extension Cloud Model," IJERPH, MDPI, vol. 19(22), pages 1-22, November.
    4. Muhammad Irfan & Wesam Salah Alaloul & Maria Ghufran & Ghulam Yaseen & Muhammad Jamaluddin Thaheem & Abdul Hannan Qureshi & Muhammad Bilal, 2024. "Analyzing the impact of organizational culture on social sustainability: a perspective of the construction industry," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(1), pages 1103-1133, January.
    5. Deep Shumank & Asim Mohd & Kesarwani Neeti & Kandpal Shweta, 2018. "Identification of Delay Causing Actor in the Indian Real Estate Project: an AHP-Based Approach," Baltic Journal of Real Estate Economics and Construction Management, Sciendo, vol. 6(1), pages 116-130, September.
    6. Shahid Hussain & Zhu Fangwei & Ahmed Faisal Siddiqi & Zaigham Ali & Muhammad Salman Shabbir, 2018. "Structural Equation Model for Evaluating Factors Affecting Quality of Social Infrastructure Projects," Sustainability, MDPI, vol. 10(5), pages 1-25, May.
    7. Iulia Dumitraşcu-Băldău & Oana Dumitraşcu, 2019. "Research on the Behavior of Factors That Influence the International Virtual Project Team Performance, Using Data Modeling Techniques," Sustainability, MDPI, vol. 11(3), pages 1-21, January.
    8. Rudolf Kampf & Silvia Lorincová & Miloš Hitka & Ondrej Stopka, 2017. "Generational Differences in the Perception of Corporate Culture in European Transport Enterprises," Sustainability, MDPI, vol. 9(9), pages 1-14, September.
    9. Ahmad Soltanzadeh & Mohsen Mahdinia & Alireza Omidi Oskouei & Ehsan Jafarinia & Esmaeil Zarei & Mohsen Sadeghi-Yarandi, 2022. "Analyzing Health, Safety, and Environmental Risks of Construction Projects Using the Fuzzy Analytic Hierarchy Process: A Field Study Based on a Project Management Body of Knowledge," Sustainability, MDPI, vol. 14(24), pages 1-20, December.
    10. Choudhary Dhruva & Singh Priyanka & Dixit Saurav, 2024. "Impact of quality change management on civil engineering projects in India," Organization, Technology and Management in Construction, Sciendo, vol. 16(1), pages 150-169.
    11. Rasool, Samma Faiz & Chin, Tachia & Wang, Mansi & Asghar, Ali & Khan, Anwar & Zhou, Li, 2022. "Exploring the role of organizational support, and critical success factors on renewable energy projects of Pakistan," Energy, Elsevier, vol. 243(C).
    12. Cholwe Mbilima & Jackson Phiri, 2025. "The Influence of Digital Transformation on the Financial Performance of Telecommunications Firms: A Case of Airtel Zambia," African Journal of Commercial Studies, African Journal of Commercial Studies, vol. 6(5).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Alam, M. Jahangir, 2020. "Capital misallocation: Cyclicality and sources," Journal of Economic Dynamics and Control, Elsevier, vol. 112(C).
    2. Wang, Daojuan & Hain, Daniel S. & Larimo, Jorma & Dao, Li T., 2020. "Cultural differences and synergy realization in cross-border acquisitions," International Business Review, Elsevier, vol. 29(3).
    3. María Victoria Uribe‐Bohorquez & Jennifer Martínez‐Ferrero & Isabel‐María García‐Sánchez, 2019. "Women on boards and efficiency in a business‐orientated environment," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(1), pages 82-96, January.
    4. Yi-Min Chen, 2008. "How Much Does Country Matter?," International Regional Science Review, , vol. 31(4), pages 404-435, October.
    5. Peter JANSEN & Gabriel Viorel RAITA, 2021. "Macro-Level Determinants of Board Effectiveness in UK and Romanian Listed Companies: A Conceptual Approach," CECCAR Business Review, Body of Expert and Licensed Accountants of Romania (CECCAR), vol. 2(10), pages 60-72, October.
    6. Carretta, Alessandro & Farina, Vincenzo & Fiordelisi, Franco & Schwizer, Paola, 2006. "Corporate culture and shareholder value in banking industry," MPRA Paper 8304, University Library of Munich, Germany.
    7. Matanda, Margaret Jekanyika & Freeman, Susan, 2009. "Effect of perceived environmental uncertainty on exporter-importer inter-organisational relationships and export performance improvement," International Business Review, Elsevier, vol. 18(1), pages 89-107, February.
    8. Galil, Koresh & Varon, Eva, 2024. "National culture and banks stock volatility," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 91(C).
    9. Oleksiuk Adam & Pleśniak Agnieszka, 2022. "Environment Characteristics and Internationalization of SMEs: Insights from a Polish and Finnish Sample," Journal of Management and Business Administration. Central Europe, Sciendo, vol. 30(3), pages 175-194, September.
    10. Zur, Andrew & Leckie, Civilai & Webster, Cynthia M., 2012. "Cognitive and affective trust between Australian exporters and their overseas buyers," Australasian marketing journal, Elsevier, vol. 20(1), pages 73-79.
    11. Mitzi Cubilla‐Montilla & Ana‐Belén Nieto‐Librero & Ma Purificación Galindo‐Villardón & Ma Purificación Vicente Galindo & Isabel‐María Garcia‐Sanchez, 2019. "Are cultural values sufficient to improve stakeholder engagement human and labour rights issues?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(4), pages 938-955, July.
    12. Chang, Chia-Lin & Hsu, Hui-Kuang & McAleer, Michael, 2013. "Is small beautiful? Size effects of volatility spillovers for firm performance and exchange rates in tourism," The North American Journal of Economics and Finance, Elsevier, vol. 26(C), pages 519-534.
    13. Stephen Guisinger, 2001. "From OLI to OLMA: Incorporating Higher Levels of Environmental and Structural Complexity into the Eclectic Paradigm," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 8(2), pages 257-272.
    14. MILIJEVIC Srdjan & SKLAVOUNOS Nikolaos & ROTSIOS Konstantinos, 2020. "Consumers' Purchase Intentions Towards Novel Dairy Products: Evidence From Greece And Serbia," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 15(3), pages 152-167, December.
    15. Neaimeh, Myriam & Salisbury, Shawn D. & Hill, Graeme A. & Blythe, Philip T. & Scoffield, Don R. & Francfort, James E., 2017. "Analysing the usage and evidencing the importance of fast chargers for the adoption of battery electric vehicles," Energy Policy, Elsevier, vol. 108(C), pages 474-486.
    16. Artz, Kendall W. & Brush, Thomas H., 2000. "Asset specificity, uncertainty and relational norms: an examination of coordination costs in collaborative strategic alliances," Journal of Economic Behavior & Organization, Elsevier, vol. 41(4), pages 337-362, April.
    17. Vishal K. Gupta & Gizem Atav & Dev K. Dutta, 2019. "Market orientation research: a qualitative synthesis and future research agenda," Review of Managerial Science, Springer, vol. 13(4), pages 649-670, August.
    18. Laura Maria Ferri & Nelly Oelze & André Habisch & Mario Molteni, 2016. "Implementation of responsible Procurement Management: An Institutional Perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 25(4), pages 261-276, May.
    19. Bernhard Fietz & Julia Hillmann & Edeltraud Guenther, 2021. "Cultural Effects on Organizational Resilience: Evidence from the NAFTA Region," Schmalenbach Journal of Business Research, Springer, vol. 73(1), pages 5-46, March.
    20. Wang, Qinying & He, Hong S. & Liu, Kai & Zong, Shengwei & Du, Haibo, 2023. "Comparing simulated tree biomass from daily, monthly, and seasonal climate input of terrestrial ecosystem model," Ecological Modelling, Elsevier, vol. 483(C).

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:9:y:2017:i:5:p:781-:d:98000. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.