An evaluation of performance information procurement system (on cd-rom)

Since procurement is seen as crucial for project success, many methods have been developed and papers written about this issue. A remarkable contribution in this field comes from Dean Kashiwagi (Arizona State University, USA) who underpins his support for the Performance Information Procurement System (PiPS) with claims of high project performance and client satisfaction. Kashiwagi’s explanation for PiPS’s effects is based upon a theoretical framework that relates to staff members’ ability to deal appropriately with information by making sound decisions based not just on implicit expectation and tacit experience. This is not, however, a satisfactory explanation. This paper provides an overview of New Institutional Economics perspectives which are better able to explain the effects of PiPS. The linking of these theories to innovative PiPS elements clears the path to effectively select and apply PiPS elements within suitable projects in the Dutch construction industry. This will enhance industry performance and is of interest to all stakeholders.