Relationally integrated value networks for sustainable procurement

Abstract

Relationally integrated value networks (RIVANS) aim to boost collaboration in built infrastructure supply chains, thereby improving both efficiencies and value creation. However, in widely practiced traditional procurement modes, transactional forces are still complex and short-sighted, resulting in weak collaborative supply chain networks, while potentially beneficial relational forces remain untapped and/or fragmented, lacking well-defined common goals among stakeholders. RIVANS have been proposed to provide a holistic conceptual framework for relational integration towards the concept to all stakeholders in the built asset lifecycle, by engaging them in cross linked value networks. The ultimate goal is for sustainable procurement through RIVANS, by developing collaborating practices and overall value focus across the entire network and through the whole built asset life cycle. A questionnaire survey was carried out to elicit relevant opinions from industry professionals. The survey led to identifying eight potential synergies/better values by linking supply chains in Infrastructure Project Management (IPM) with Infrastructure Asset Management (IAM). Functional and relational integration were identified as an appropriate mechanism to achieving value through integration. The degree of importance of eleven common goals was identified in achieving ‘better value'. The key stakeholders of D&C and O&M value networks were also identified.