Better use of information: A simulation model for international construction joint ventures in China

The underlying proposition of this research was that a simulation model used as a management technique would assist participants in international construction joint ventures in China to approach the management of information in a holistic and systematic way. This would not only provide a strategic advantage by helping them to understand the complexities of their venture, but would also assist them with management issues by allowing different scenarios to be tested before making decisions. The aim of this study was therefore to produce a simulation model that would allow decision makers to view the relationship of information and the effects of decisions in an integrated and dynamic context rather than a fragmented static one. The proposition was that this would not only provide for better use of information for such purposes as allocating resources and setting project targets, but would also encourage a more considered and analytical approach to projects thereby improving overall performance and increasing the chances of success. The research methodology involved an extensive literature review to identify items of information considered essential to the success of an international construction joint venture in China, and the development of a computer simulation model to allow scenario testing. Using sensitivity analysis to assess the behaviour and consequent stability of the system tested the model, which uses a system dynamics modelling approach with an interactive software programme. One of the outcomes of the study was that important items of information were found to significantly affect the behaviour of international construction joint ventures. It was also shown that, by using a system dynamics approach, it is possible and useful to integrate the flow of information and simulate its effect on such ventures. The fact that this aspect of project management had never before been considered for such a complex system, highlights the major contribution of this study in having produced a simulation model for international construction joint ventures in China.