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Modeling dispute management in construction industry
Chai, Chang Saar1, Loo, Siaw Chuing2, Tey, Kim Hai3, Aminah Md Yusof4.
Dispute is not uncommon in the complex and fragmented construction industry.
Construction disputes, even though extensively investigated, still plagued the Malaysian
construction industry. This paper aims to develop a dispute performance index to predict the
dispute occurrence in Malaysia. A questionnaire survey was conducted among 374 respondents
to generate the weightage of the indices. Dispute sources were classified into stages of preconstruction,
construction, and post construction. Principal Component Analysis (PCA) was
conducted on the data collected from the survey. PCA analysis results were then utilized to
perform Structural Equation Modeling (SEM) analysis. SEM evaluated the causal relationship
between dispute sources and dispute resolution methods to develop a dispute resolution
performance index. The index is essential to benchmark the dispute resolution performance and
hence provides a guideline to the construction players in handling and or avoiding disputes.
Affiliation:
- Universiti Teknologi Malaysia, Malaysia
- University of Malaya, Malaysia
- Universiti Tunku Abdul Rahman, Malaysia
- Universiti Teknologi Malaysia, Malaysia
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