Year: 2012
Type: conference-paper
Abstract: The paper presents a perspective of the design organization in engineering projects based on the economic concept of the hold-up problem. By integrating the economic theories on the boundaries of organizations into the existing knowledge on design in engineering projects, the paper hypothesizes a theoretical framework that represents the design organization in the context of the hold-up problem. The framework is illustrated with findings from an interpretive study of a large-scale engineering project that faced design integration issues that are well explained by the hold-up problem. The findings suggest the specific nature of the hold-up problem in design organizations which calls for a managerial mindset based on the concept of the social network and relational contracting instead of the typical project management reasoning based on static hierarchies of scope and controlling mechanisms.
Authors: Vedran Žerjav, T. Hartmann
Language: English
Field: Decision Sciences
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2114871660