STUDY OF INTERNATIONAL CONSTRUCTION

• What does international construction deal with?
• It basically deals with the construction industry away from the home country. International construction is defined by the US Department of Commerce as consisting of projects, generally large scale, that are subject to international competitive bidding. However, a substantial portion of a company's overseas business may be non-competitively awarded contracts; these projects may also be covered within the purview of international construction. Construction services in this context include scheduling and coordinating construction operations, procurement of materials, installation of equipment, supervision of labor, selection and assignment of tasks to subcontractors (if any), and training of operating personnel where appropriate.
• What are the issues related to international construction?
• Environmental frameworks
• Human and cultural environments
• Exploring the method of examining cultural environment
• Explaining major reasons for cultural differences
• Examining major reasons that differentiate construction practices among countries
• Presenting guidelines for construction companies that operate internationally
• Political and economic environment
• Discussion of political systems and their influence on managerial decisions
• Discussion of different economic systems and their influence on construction industry
• Theories and institutions
• International trade theory
• Underlying assumptions of the theories and their relevance to international construction
• Institutional influence
• Effects of governmental policies on international construction
• Role of international bodies (MDA's, GATT, UNICITRAL, etc.)
• World financial environment
• Terms and definitions of foreign exchange
• Mechanisms of foreign-exchange market and financial transactions
• Influence of exchange-rate movements in business decisions
• Role of IMF and MDA's
• Dynamics of international construction
• Evaluation and selection of market
• Strategies for penetration of market
• Corporate policies and strategies
• Logistics: Equipment, labor, materials, and documentation
• Contractual arrangements with other companies: collaboration
• Human resource management
• International project management
• What is unique about international construction?
• Basic characteristics of construction projects are almost the same throughout the world. What makes international construction unique is the environment in which the job has to be accomplished. The codes and standards that are followed may have completely different social and cultural connotations than those applicable in the home country of the contractor.
• Social, cultural, religious, technological, and political environment of the host country can significantly impact productivity, scheduling, procurement, managerial efficiency, and overall performance of a project.