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Making sense of the multi-party contractual arrangements of project partnering, project alliancing and integrated project delivery

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  • Pertti Lahdenperä

Abstract

Collaborative construction project arrangements have been the subject of many development efforts owing to the frustration felt toward the opportunism inherent in traditional contracting. Globally, three approaches have stood out: project partnering, project alliancing and integrated project delivery. These so-called relational project delivery arrangements have much in common. This study aims to clarify the similarities and differences between the arrangements by examining their key concepts and features one by one and in relation to each other; the motivation behind each is also examined. Early involvement of key parties, transparent financials, shared risk and reward, joint decision-making, and a collaborative multi-party agreement are some of the features incorporated in all the arrangements to a varying degree. Beyond the numerous details, divergent applications and constant evolution presented, the study also recognizes project alliancing as a project delivery system in its own right due to its contractual structure that integrated project delivery aims to imitate while introducing some management approaches not included in project alliancing. Project partnering, although developed in leaps and bounds since its introduction, takes a more conservative approach to work scope and liabilities. Similarly, project alliancing takes relational contracting to the extreme compared to the current forms of integrated project delivery and, especially, project partnering.

Suggested Citation

  • Pertti Lahdenperä, 2012. "Making sense of the multi-party contractual arrangements of project partnering, project alliancing and integrated project delivery," Construction Management and Economics, Taylor & Francis Journals, vol. 30(1), pages 57-79, December.
  • Handle: RePEc:taf:conmgt:v:30:y:2012:i:1:p:57-79
    DOI: 10.1080/01446193.2011.648947
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    File URL: http://hdl.handle.net/10.1080/01446193.2011.648947
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    1. Alfen, Hans Wilhelm & Kalidindi, Satyanarayana N. & Ogunlana, Stephen & Wang, ShouQing & Abednego, Martinus P. & Frank-Jungbecker, Andrea & Jan, Yu-Chien Amber & Ke, Yongjian & Liu, YuWen & Singh, L. , 2009. "Public-Private Partnership in infrastructure development: Case studies from Asia and Europe," Schriftenreihe der Professur Betriebswirtschaftslehre im Bauwesen / Series of the Chair Construction Economics, Bauhaus-Universität Weimar, Faculty of Civil Engineering, Chair of Construction Economics, volume 7, number 7, April.
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