ROLE OF TRUST IN IMPROVING PROJECT PERFORMANCE IN VIETNAM CONSTRUCTION INDUSTRY

Abstract

A construction project typically involves many participants such as owners/ developers, professional consultants, contractors, sub contractors and suppliers. It is therefore important to have good relationships among them and to keep them in harmony so that they can together bring about good project outcomes. Trust is a critical factor to maintain that integration. The aim of this research is to investigate the role of trust in bringing good project outcomes. The specific objectives of the dissertation are (1) to investigate the role of trust to the accomplishment of a construction project in Vietnam; (2) to explore the relationship between the level of trust and project performance in Vietnam; and (3) to identify attributes that help in improving the level of trust in Vietnam. Structured questionnaires were sent to construction practitioners in Vietnam to assess the important factors affecting project success, the actual performance of surveyed projects and factors promoting trust. Data were analyzed using the SPSS software. The results show that owners, consultants and contractors perceived the importance of mutual trust in accomplishing construction projects in Vietnam. In addition, high level of trust actually contributes to high project quality and high owner’s satisfaction. Cost and time performance were poor and not significantly correlated with trust level. However, this is not because of the lack of trust, but due to inherent weaknesses in Vietnam’s construction industry such as low professional skills level and lack of technology. A number of factors were found to be significantly important to the development of trust such as problem solving skills, frequent and effective communication, top management supports and reputation.