Framework for the Successful Implementation of Dispute Boards in Construction Projects

Abstract

As disputes became imminent in the construction industry and parties tend to value prevention techniques and amicable settlements rather than binding decisions, dispute boards became handier and more desirable due to their proactive approach on site. However, dispute boards remain uncommonly used in the Middle East, and Egypt specifically. This research aims to reach a framework that identifies the best practice of implementing dispute boards in any construction project. The research depended primarily on a literature review of M.Sc. theses, research studies, annual forums/reports, and books that discuss dispute boards in the construction industry. Secondarily, based on the literature review, a questionnaire was prepared to verify and justify the literature against the relative knowledge and practical experience professionals have in contracts, claims, and dispute management and the relevance of each project’s stage on dispute boards. Finally, respondents with 15 years or more of experience and who had participated in at least one dispute board were interviewed. Interview questions were in-depth discussions on the questionnaire. Dispute adjudication board was recommended as the most suitable board to be used due to its binding decision. The significant factors that affect the dispute board mode of implementation are the project’s size and the duration of the project; thus, righteously determining the number of members on the board, the presence of the board, and the engineer’s scope in the project. The research aims to tabulate the professional experience and practical knowledge of professionals combined with a literature review in managing dispute boards to illustrate the practicability of implementing dispute boards under various conditions.