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Alliancing in Australia – a long term JV?

Rowlinson, Steve & Cheung, Yan Ki Fiona (2007) Alliancing in Australia – a long term JV? In Proceedings of the Third International Conference on Multi-National Joint Ventures for Construction Works, AIT, Bangkok, Thailand.

Abstract

Joint ventures can take many forms and be formed for a whole host of reasons. However, the contractual and operational arrangements between parties have to be formulated to fit each situation in order to set up a framework for success. This paper reports on a project alliance between public and private organisations in Queensland, Australia as a case study and reports the critical factors identified that influence the success of the alliance project. The alliance is viewed as a business strategy whereby client and commercial participants’ objectives are aligned. As a form of joint venture alliancing is a system that provides a collaborative environment and which provides a framework for participants to adapt their behaviour to project objectives. It is about sharing resources and experiences, exposing the ‘hidden’ risks. The case study suggests that leadership has a strong influence on the alliance climate. Commitment and action by the Project Alliance Board (and, so, parent organisations) has a strong impact on the team and alliance culture, indicating alliancing has a high chance of failure when there is inadequate support from top management. Like all relational contracting approaches, trust between alliance partners is important. This case study took a further step towards reinforcing the trust element by placing a No Dispute clause in the alliance agreement. A review of the effects of the no litigation clause upon the project team is presented. The authors conclude that without a positive approach to relationship management a No Dispute approach is impossible and that a no litigation contract cannot exist without the help of a clear relational vision, which leads to both soft and hard infrastructure to assist decision making and relationship building.

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ID Code: 17876
Item Type: Conference Paper
Additional Information: Yan Ki Fiona Cheung is the maiden name of Fiona Lamari
Keywords: relationship management, alliancing, Australia, no dispute clause, collaboration
Subjects: Australian and New Zealand Standard Research Classification > BUILT ENVIRONMENT AND DESIGN (120000) > BUILDING (120200) > Building Construction Management and Project Planning (120201)
Divisions: Past > QUT Faculties & Divisions > Faculty of Built Environment and Engineering
Past > Institutes > Institute for Sustainable Resources
Past > Schools > School of Urban Development
Copyright Owner: Copyright 2007 (please consult author)
Deposited On: 17 Feb 2009 08:56
Last Modified: 24 Mar 2014 11:48

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