Title: The role of organisational culture in construction company alliances

Authors: Beliz Ozorhon, David Arditi, Irem Dikmen, M. Talat Birgonul

Addresses: Civil Engineering Department, Middle East Technical University, 06531 Ankara, Turkey. ' Department of Civil, Architectural and Environmental Engineering, Illinois Institute of Technology, 3201 South Dearborn Street, Alumni Memorial Hall, Room 229, Chicago, IL 60616, USA. ' Civil Engineering Department, Middle East Technical University, 06531 Ankara, Turkey. ' Civil Engineering Department, Middle East Technical University, 06531 Ankara, Turkey

Abstract: Alliances between construction companies have become popular because of their importance as an alternative in global competition. Construction companies complement skills, experience, and resources with their partners to successfully complete a construction project through the formation of alliances. Alliances provide several advantages for the participants, but are subject to several risks too. The quality of inter-company relations determines how well an alliance performs. In this study, the effect of the similarity/difference between the organisational cultures of partnering companies on the quality of inter-company relations is examined through a questionnaire survey. The results of the study suggest that similarities in the organisational culture of the partners have a significant and direct impact on the quality of inter-company relations. It also has a significant and direct impact on the organisational structure of an alliance, which in turn affects inter-company relations. The findings reveal that allied companies maintain better relations when the organisational structure of the alliance is properly designed.

Keywords: company alliances; organisational culture; organisational structure; construction industry; inter-company relations.

DOI: 10.1504/IJHRDM.2008.018786

International Journal of Human Resources Development and Management, 2008 Vol.8 No.3, pp.177 - 191

Published online: 18 Jun 2008 *

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