Strategic alliances: a model for establishing long-term commitment to inter-organizational relations in construction

This paper presents a long-term commitment model that can support the long existing change process of a strategic alliance in construction. This model embraces components that help to stimulate the level of employee and management commitment in order to satisfy the stakeholders. Clarifying and comparing the meanings of strategic alliance in management and construction are provided. The paper also suggests the measure of satisfaction under project, business, and corporate levels so that the performance of individual organizations and the alliance can be traced according to these levels. Employee and management satisfaction resulting from the favorable performance of the organizations and the alliance will reinforce their commitment further. This interdependence process occurring between commitment and satisfaction supports a growing and never-ending survival of the strategic alliance. In addition, the paper provides guidelines to set up jointly agreed upon regulations or rules to create a favorable alliance environment that helps to facilitate the establishment of necessary co-operative behavior for the change process. Finally, a case study is presented and measures for four key accomplishments are proposed.